RP- 37 VOL. 1 Public Disclosure Authorized

Resettlement Action Plan For Sewage Treatment Project of City Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized

Table of Contents

1. Introduction...... 1 1.I Brief Descriptionof Project...... i 1.2 Areas Affectedby and benefit fromthe Project .2 1.3 SocioeconomicBackground of the ProjectArea .4 1.4 Efforts to MinimizeResettlement and its Impact...... , . 5 1.5 Technicaland EconomicFeasibility Research .6 1.6 Project Ownershipand Organizations .7 1.7 SocioeconomicSurvey .8 1.8 Preparationsmade for the RAP .8 1.9 Contract Signing,Construction and ImplementationSchedule of the Project . 9 1.10 Laws and Regulationson Compensationand Relocation .9 2. Project Impacts...... : 10 2.1 SocioeconomicSurvey Procedure .10 2.2 Affected Population.11 2.3 Land Use.. 12 2.4 Affected Shops.13 2.5 Affected GroundAccessories .24 2.6 Land Use Systemand LandTransfer System...... 24 2.7 Social and Culture Featuresof the Organizationsof the ResettledPeople 24 2.8 Impact Analysis.25 3. Legal Framework.27 3.1 Laws and Regulations...... 27 3.2 Policies on Relocationand Compensation.34 3.3 Standardsof Relocationand Compensation.35 4. ImplementationPlan for Resettlementand Rehabilitation...... 39 4.1 Land Acquisition...... 39 4.2 TemporaryLand Use...... 41 4.3 Affected Shops ...... 41 4.4 Measuresto Alleviatethe Impactof Pipe Network Constructionon Environment. 42 5. Budget for Compensation.45 5.1 Fund Flow.45 5.2 Basic Costs.46 5.3 Cost of Surveyand Design.46 5.4 Monitoringand EvaluationCosts .46 5.5 Managementfee .46 5.6 Contingencies.47 5.7 Total Costs.47 5.8 Annual InvestmentPlan .48

11 6. Implementation Scheduleof ResettlementActivities ...... 50 6.1 Join of Resettlement Implementationand Project Construction...... 50... 50 6.2 Principles of making ImplementationSchedule of Resettlement .. 51 6.3 Schedule of Land Acquisition,House Demolitionand Resettlement...... 52 7. Organizations...... 3 7.1 OrganizationalFramework .53 7.2 Responsibilities.54 7.3 Staffing...... 57 7.4 OrganizationChart .59 7.5 Measures to StrengthenOrganizational Capacity ...... 60 7.6 WorkingRoutine of Land Acquisition.60 8. Participation and Consultation.62 9. Grievances and Appeals.68 10. Monitoring.70 10.1 Internal Monitoringand Supervision.71 10.2 IndependentMonitoring ...... 73 11.Report.77 11.1 Internal Report.77 11.2 Report Responsibilitiesof Project Offices.78 11.3 Report Responsibilitiesof IndependentMonitoring Organization .79 12. EntitlementMatrix .81 Annex A The General Outline of the Independent Monitoring and Evalualion on Sewage Treatment Project of ShijiazhuangCity .82 Annex B Sketch Map of Sewage Pipe Network of Sewage Treatment Project of Shijiazhuang City..89 1. Introduction

1.1 Brief Description of Project

Hebei Urban Environment Project consists of three sub-projects, namely Sewage Treatment Project of Shijiazhuang City, Urban Environment Project of City and Urban Environment Project of City. Sewage Treatment Project of Shijiazhuang City is very important for protecting underground water resource, improving surface water environment quality and investment climate and accelerating the sustainable economic development of Shijiazhuang City.

Shijiazhuang Sewage Treatment Project contains two parts, construction of Qiaodong Sewage Treatment Plant, and construction and reform of part of urban drainage pipe network.

Shijiazhuang urban sewage pipe network project is to build 34069m of 8 sewage pipelines.

The designed treatment capacity of Qiaodong Sewage Treatment Plant Project is 5OO,OOOm3/d, and the capacity in the long run is 780,000m3/d. The plant, lying on the east bank of arterial escape canal, is located in Loudi Village beyond Third Circular Road in the south of the urban and covers 466.25 mu of land space (the area is 500 mu including the land requisitioned for roads planned).

The general investment is about 900 million yuan, which includes the World Bank loan of 60 million USD. 1.2 Areas Affected by and benefit from tiie Project

Altogether, the length of drainage pipes in the city is about 637.89 km, including rain network 194.89km, sewage pipelines 225km, collecting pipes 218km, open canals 37km and flood prevention embankment 32km. Before the establishment of P.R.C, all the sewage and rain flowed into collecting pipes. After P.R.C was established, dividing system was adopted in New (that is Chang' an District). Since the early of 1980's, all the pipelines built or rebuilt have been designed to adopt dividing system, which lays a foundation for dividing system. There is one sewage pump station and 19 rain pump stations in Shijiazhuang. Every day, about 950,000 tons of sewage is drained away. There are more than ten sewage treatment facilities for industrial enterprises(including pharmacy enterprises, textile enterprises and chemical enterprises) and one urban sewage treatment plant, that is Qiaodong Treatment Plant,with its treatment capacity of 160,000 tons per day. The rate of urban sewage treated is about 17%. Each day, about 950000 tons of sewage in Shijiazhuang flows to the rural area through pipes, and is drained away into through an open canal of 37 km in length. Jiao River has been a polluted river in Shijiazhuang. It flows through Luancheng county, , Ning county and Xinhe county, winds for hundreds of miles, enters into Kuiyang River, and finally merges into at Xian County of Province.

Underground water pollution and decline of underground water level is one of the major environment problems in Shijiazhuang City and becomes an important limiting factor of the socioeconomic development of Shijiazhuang City. Moreover, as pollution of surface water is growing in intensity, quality of water environment is bound to worsen. Water pollution and deficit of water resource have become two main chief obstacles to sustainable water resource utilization and economic development of Shijianzhuang City. Water

2 resource is not a substitutable natural resource but a recoverable resource.

Since urban wastewater control and resource recoverv can not only abate water pollution but also alleviate water shortage, it is one of important *vays and necessarv conditions of sustainable development of Shijiazhuang City.

Shijiazhuang City is one of main pollution sources in system, so the construction of Sewage Treatment Project is very important for

protection of Hai River system environment quality.

In a word, the construction of Sewage Treatment Project can abate

underground water pollution effectively, create favorable condition for water resource reuse and alleviation of water shortage. It will also raise living standard of urban residents, improve the investment environment of the city, prettify the imagines of the city and Hebei province, attract foreign capital, and accelerate economic development of Hebei Province. Moreover, the project is of great importance to developing quality of agricultural water, keeping healthy, maintaining social stability and implementing sustainable economic development. Therefore, the project is a strategy decision that will benefit contemporary people as well as coming generations and imperative under the circumstances.

The land use of the project involves the city proper of Shijiazhuang City and Luancheng County. 499 people including 264 labors will be affected by land acquisition for the project, and 375 shop employees will be affected by temporary land use of the project. In addition, 500 mu of collective lands in rural area are to be requisitioned, and 319.88 mu of urban state-owned lands are needed for temporary use of the project. Moreover, the project will also affect 5 types of ground attachments.

3 1.3 Socioeconomic Backlround of the Project Area

Shijiazhuang Citv, the capital citv of Hebei Province that was set up in 1925, was named as Shimen City at first and changed its name in 1948.The city, a former larger citv having a certain basis of industry, now has become a important industry base in North after developing over several decades. In addition, the city is one of national centers of textile, chemical, pharmaceutical and electronic industry, and it is also the political, economic, cultural, scientific and educational center of Hebei Province.

At present, Shijiazhuang City includes 6 districts (Qiaoxi District, Qiaodong District, Xinhua District, Chang'an District, Jiao District and Kuang District) and 16 counties (cities) and covers 14,077 square kilometer of land space. The total number of population in the city is 8,672,700including1,571,700 in the city proper (6 districts), and the number of population in the chief city proper, which includes 4 districts in city proper and part of suburbs, is 1,300,000.

In 1998, the GNP of the city is 84.35 billion yuan and it ranks the city fifteenth in cities above capital level. The city ranks twenty-fifth in 50 cities of the country that have greatest comprehensive strength.

Shijiazhuang City is the axis of national communications and the hub of trade and commerce. Shijiazhuang Railway Station is one of the three marshalling stations in the state, and the three railwailys, Jingguang Railway, Shide Railway and Shitai Railway, cross at the city. Jingshi High-speed Freeway, Shi'an High-speed Freeway, Shitai High-speed Freeway and Shigang High-speed Freeway extend in all directions, while there are over a decade additional highways radiating from the city. Besides, dLomestic

4 airlines betveen Shijiazhuang City and more than 20 cities has been opened. and so have scheduled flights to Hong Kong and Russia. Shigang High-speed Freewav under construction, which leads to Huanye Port directly, makes the city a pivotal city for land, sea and air transport.

Shijiazhuang City is the center of trade and commerce in the north of China. There are 620 trading markets in the city. The upwards of domestic retail

sales of consumer goods in 1998 is 26.802 billion yuan.

1.4 Efforts to Minimize Resettlement and its Impact

The selection of Qiaodong Treatment Plant site and drainage pipeline route is

based on the alignment option that minimal resettlement, cultivated land acquisition, temporary land use and house demolition will take place. Qiaodong Treatment Plant is to be located in the area without residents, and all the land requisitioned is farmland (irrigated land).

Actions will be taken to reduce the impacts of project construction on the local society and economy. Zhonghua Street, Pingan Street and Jianshe Street are the main roads in urban area. The traffic there is very heavy, so the project will have effects on the roads connected during construction period. Therefore, the project will be done in this way. The pipes of the crossroads of relevant roads within 100 meters will not be laid down directly by digging. Instead, they will penetrate the earth or the buildings under ground to connect. Meanwhile, a main sewage pipeline will be built along Nanxiao Street and Nanchang Street and its extension to play a supporting role in the old city proper reconstruction and in the project of building new roads. Therefore, it will reduce the effects on local society and local economy. The construction scale of qiaodong Sewage Treatment Plant is adjusted from

5 250.000 m3 per day to 500,000 m3 per day. Trough optimized design. the land

which the plant covers is reduced from 540 mu to 500 mu. The less land used.

the less socioeconomic impacts on Loudi Village. During the construction period, the excavated earth should be moved out of

the city proper in time to reduce the temporary land use to minimum. Meanwhile, new techniques should be adopted to reduce the impact of

construction on the surrounding area.

1.5 Technical and Economic Feasibility Research

In February 1997, Shijiazhuang Municipal Engineering Design & Research Institute of Hebei Province and North China Municipal Engineering Design & Research Institute have finished the compilation of Pre-feasibility Research Report on Shiiazhuang Sewage Treatment Project.

In May 1998, entrusted by State Planning Committee, Expert Group of China International Engineering Consultation Corporation has made a on-

the-spot survey on the project and made constructive suggestions on Pre- feasibility Research Report on Shijiazhuang Sewage Treatment Project.

In June 1998, Shijiazhuang Municipal Engineering lkesign & Research

Institute and North China Municipal Engineering Design & Research Institute have revised Shijiazhuang Sewage Treatment Project Proposal according to the advice of Expert Group.

In August 1998, North China Municipal Engineering Design & Research Institute and Shijiazhuang Environment Protection Research Institute have finished the compilation of Environment Impact Report of Shiiazhuang Sewage Treatment Project.

6 In March 1999, North China Mlunicipal Engineering Design & Research Institute, Shijiazhuang Municipal Engineering Design & Research institute, and Preparation Group of Shijiazhuang Construction Committee have finished the compilation of Feasibility Research Report on Shijiazhuang Sewage Treatment Project of Urban Environment Project in Hebei Province(the third edition).

In July 1999, North China Municipal Engineering Design & Research

Institute, Shijiazhuang Municipal Engineering Design & Research institute, and Preparation Group of Shijiazhuang Construction Committee have compiled Feasibility Research Report on Shijiazhuang Sewage Treatment Project of Urban Environment Project in Hebei Province(supplement report two).

In August 1999, North China Municipal Engineering Design & Research Institute has finished the compilation of Environment Impact Report of Shijiazhuang Sewage Treatment Project of Urban Environment Project in HIebei Province(for examination), which has been submitted to State Environment Protection Bureau for examination and approval.

The project has been approved by State Planning Committee Order No.2472 (1998) in December 1998.

1.6 Project Ownership and Organizations

The project is an urban infrastructure construction project managed by Shijiazhuang City Government. The construction funds are composed of two parts, domestic funds and the World Bank loan. The general investment of

7 about 900 million yuan wvill be made in Sewage Treatment Project of Shijianzhuang City, including the WNorldBank Loan of 60 million USD.

Sewage Treatment Project Office of Shijiazhuang Citv (STPO) is responsible for the construction and the implementation of land acquisition and temporary land use of the project. Land Administration Bureau of

Luancheng County is responsible for the implementation of land acquisition

in rural area.

1.7 Socioeconomic Survey

STPO, Shijiazhuang Municipal Engineering Design & Research Institute and North China Municipal Engineering Design & Research Institute have made on the spot survey for many times to investigate the project impacts and compare different implementation schemes since June 1996.

From September 1998 to May 1999, STPO organized a socioeconomic survey of project area.

1.8 Preparations made for the RAP

STPO has made preparations for the RAP of the project since February 1998. A preliminary survey on the local socioeconomic condition and quantity of land acquisition and house demolition has been conducted since June 1998. After this, STPO began to compile the RAP of the project. In October 1999, the RAP of the project is submitted to be examined. NRCR is responsible for the independent monitoring and evaluation of the project.

8 1.9 Contract Signino, Construction and Implementation Schedule of the Project

Planning and Designing Bureau of Shijiazhuang city approved the land acquisition according to Order No.152 of Shiguiguanzhengzi(1998). Land acquisition is to start in March 2000. Each subproject construction will be carried out by stages. According to the construction schedule of each subproject, land acquisition, house demolition and resettlement action should be completed before civil engineering work.

1.10 Laws and Regulations on Compensation and Relocation

3 Urban Real Estate Administration Law of the P.R.C 3 Detailed Enforcement Regulations of Urban House Demolition Administration of Shijiazhuang City (proposed suggestions) 3 Land Administration Law of the P.R.C (revised on August 29, 1998) * Enforcement Regulations of Tax of Cultivated Land Use of Hebei Province (Jizhen(1987)No.119) * The notice of Hebei Planning Committee regarding Raising Funds for Preliminary Work Expense of Diversion Project that diverts the water from south of China to north of China (Jijinong(1995)No.1074) * The opinions of Hebei Province regarding Implementation of The Notice of Central Committee of the Communist Party of China and State Council regardingfurther Tightening up the Land Acquisition and CultivatedLand Protection (May 31, 1997) * Guideline OD4.30 of the World Bank

9

2. Project Impacts

The land use of the project involves the city proper of Shijiazhuang City and

Luancheng County.

499 people including 264 labors will be affected by land acquisition for the project, and 375 shop employees will be affected by temporary land use of the

project.

In addition, 500 mu of collective lands in rural area are to be requisitioned During the construction period of the project, 119 urban shops with 375 employees will be affected for a short time.

Moreover, the project will also affect 5 types of ground attachments.

2.1 Socioeconomic Survey Procedure

The main task of socioeconomic survey is to carry out a survey on all kinds of objects within the project area and on the quality indexes. Based on the

information, the work such as calculating the physical loss caused by land acquisition, conducting social assessment of the project, defining the scale of the project, studying the social and economic impacts on the project areas, compiling the rehabilitation plans for the affected shops and peasants affected by land acquisition, estimating the resettlement cost, implementing resettlement, monitoring and evaluating can be done. In 1999, STPO began to survey on the objects in the project area and estimated the loss. In the same year, the proposal for the project was compiled. From August, 1998 to June, 1999, overall surveys were conducted on the quantities of demolished objects and on the socioeconomic impacts. All of the

10 data are basic information for project analysis. And after that, the w-ork of compilation of RAP started. As for the shops temporarily affected by the project, STPO checked the real estate certificates, licenses and certificates of land use right and other information shop by shop. After consulting with the owners of shops, they kept a record of areas of each affected shop, their profits and the numbers of empioyees affected in each shop. All the information was stored in a databank and will be the basis of RAP. PAPs, many of the employees working in affected shops, enterprises and institutions took part in the socioeconomic survey and they agreed with the results. The land requisitioned was measured on the spot with the participation of relevant villagers. An overall survey was conducted on Loudi village which is directly affected by the project. The survey attached importance to the income structure of its villagers. The impacts after land acquisition on the local society and economy was analyzed. The survey was carried out in a way of interview combined with questionnaire. STPO consulted with the village committees with the compensation rate for land requisitioned and resettlement schemes. And the results of the consultation will be considered when the RAP is compiled.

2.2 Affected Population

Table 2-1 Summary of Affected Population (Unit: person)

Items Total Sewage Pipe Qiaodong Network Sewage

______Tieatment Plant 1. Affected Population 499 499 Agricultural Population Affected 499 499 by Land Acquisition Include: Agricultural Labor 264 264 2. Population Affected in Short-term 375 375 Shop Employee 375 375

11 .3 Land tIse

Qiaodong Sewvage Treatment Plant w ill requisition 500 mu of collective lands(irrigated fields) in Loudi Village, Fangcun Town of Luancheng County. 319 mu of state owned lands in urban area will also be used temporarily.

See Table 2-2 and 2-3 for information about the length of pipes and the land for temporary use in Shijiazhuang Sewage Treatment project. Table 2-2 The Length of Pipes Used in Shijiazhuang Sewage Treatment Project Unit: Meter Sewage Sewage Sewage Sewage Sewage Sewage Sewage Sewage Total Reform Reform Reform Reform Reform Reform Reform Reform Length Project Project Project Project ProJect Project Project Project Pipe in in in in in in In in Third Diameter Zhonghua Nanxiao Qingyuan Xinhua Ping' an Jianshe 2nd East South Street Street Street Road Street Street Circular Circular I I I Road Road 5001 2354 516 576 0 0 1687 0 0 5133 600 0 336 0 291 0 758 0 0 1385 800 0 0 834 532 0 326 1124 0 2816 1000 0 0 0 1288 0 1997 1823 923 6031 1200 0 819 0 0 2032 1704 756 1413 6724 1500 0 2710 0 0 1341 0 1823 1584 7458 1800 1743 0 0 0 0 0 0 701 2444 2000 2078 0 0 0 0 0 0 0 2078 Total 6175 43811 1410 2111 3373 6472 5526 4321

Table 2-3 Lands Temporarily Used for Shijiazhuang Sewage Treatment Project -Unit: mu Sewage Sewage Sewage Sewage Sewage Sewage Sewage Sewage Reform Reform Reform Reform Reform Reform Reform Reform Project Project Project Project Project Project Project Project PipeDiameter in in in in in in in 2nd in Third Total ZhonghuaNanxiao Qingyuan Xinhua Ping'an Jianshe East South Street Street Street Road Street Street CircularCircular

I I I~~~_____Road Road 500 8.47 1.86 2.07 0.00 0.00 6.07 0.00 0.00 18.48 600 0.00 1.45 0.00 1.26 0.00 3.27 0.00 0.00 5.98 800 0.00 0.00 4.80 3.06 0.00 1.88 6.47 0.00 16.22 1000 0.00 0.00 0.00 9.27 0.00 14.38 13.13 6.65 43.42 1200 0.00 7.08 0.00 0.00 17.56 14.72 6.53 12.21 58.10 1500 0.00 36.59 0.00 0.00 18.10 0.00 24.61 21.38 100.68 1800 28.24 0.00 0.00 0.00 0.00 0.00 0.00 11.36 39.59 2000 37.40 0.00 0.00 0.00 0.00 0.00 0.00 0.00 37.40 Total 74.12 46.97 6.88 13.60 35.66 40.33 50.74 51.59 319.88

12 2.4 A.ffected Shops

The detailed business conditions of shops affected by the project in short- term is listed in Table 2-4.

3

1 3 Table 2-4 Shops Short-term Affected by Shijiazhuang Sewage Treatment Project No. Name of .Shop Location Owner Employee Nature Profit Area of Btisiniess I)own Avergeifv ('olliepll ship Business Time Soill-v s;;I i i (vi'ani/ 2 (Yuan/year) (M) (day) miountI) ( !'t r n)

1 Jinsanjiao Store Nanxiao Private 2 License 7200 13 General 63 431 3053 Street Merchandise --- 2 Xiumei Beauty Center Nanxiao Private 2 License 6800 22 llaircut 63 655 3925 St reet 3 Xingda Cigarette Shop Nanxiao Private 2 License 7534 16 Cigarette 63 573. 3707 Street 4 JiejingDry-Cleaning Shop Nanxiao Private 3 License 11000 18 Dry-cleaning 63 573 5'(O) Street 5 Nanbei BianmingSnack Bar anx iao Private 4License, 15068 25 Snack 63 6 810- Street Illegal Building 6 Fuli Grain and Non-staple Shop Nanxiao Private 3 License 10200 34 Grain andl Noun- 63 873 72i() Sttreet staple Blud__ 7 Wenzhou Barbershop Nanxiao Private 2 License 6938 17 Ilaiicut 63 573 3'04 Street 8 Siluhuayu Beauty Center Nanxiao Private 5 License 21000 51 [lair-cut 63 873 12791 St reet 9 Yuanli Electric Appliatnce Nanxiao Private 3 License, 10287 25 llome IRlectric 63 655 5902 Repairing Stidio Street Illegal Appliance Buiilding Repairing ____ 10 Wineshop Nanxiao Priivate 1 License, 3600 14 Wine 90 431 2181 Street Illegal Building 11 Zhengrong Store Nanxiao Private 1 License, 4960 16 General .90 232942 Street Illegal Merchandise Buil(ling 12 Cunwei Restaurant Nanxiao Private 8 License 28128 91 Restauunant 90 73 27B Street ______

14 Av,i aR( , No. Noiueof Shol) lo-at ion Emloyee Natre I-wnerProf it Area of Buis nless I)o"I sOii 13tSuisness Tie SH iY a i

(Yuan/yeair) (M2) (day) illo1 II) I\ I;uiI 90 _ 87 3 I 58' 13 WeimeizhaiRestauiranit Nanxiao Private 6 License 23808 89 Re.sta-irant Street 5773 25 14 i)ongfang Barbershop Naniao Private 1 license, 3420 18 llaiicut I_9_0 Street I l legal ______Bi_ il i Idingt_ __ and 90 431 229') 15 llaizhoiBookstore Nanxiao Pr-ivate 1 License, 4080 8 Magazin[ Street Il legal Newslpaper- ltlil(tinlg 90 873 1417Yf 16 Dongxing Buiding Material Shop Nanxiao Private 4License 15000 46 lt Idirug Street _ _ater lial 90 655 551)11 17 l.iming Store Nanxiao Priivate 2 L.icense 6400 26 (en(ral Street Merciharnli sc 18 Xingcieng Shop Nanxiao Private 2 License 7600 20 (;newral 90 573 5: 1:' Street Merlchandi se 90-655 31)?') 19 Daxin General MerchandiseShop Nanxiao Private 1 License 4300 25 e(;neral Street Merchanlti se 90 873 t3l()44( 20 Liming Ilardware Store Nanxiao Private 3 License 10500 41 Hard Ware S treet 1(333 21 GuchengMerchant Store Nanxiao Priivate 3 License 18000 27 Gnra 90 655 SItreet Mei-clan(lise 8(315 22 ZhongshanElectron Shop lanxiao Private 2 License 19000 23[Electron 90 655 Street 6 29 23 Sationery Shopaoli lanxiao Private 1 License 3800 28 Stat _oey 90 ______St_Sreet 90 655 51)09 24 Yong'anMerchant Department Nanxiao Private 2 License 7620 21 General Street Merehand i se 9 25 L.ixi!.oca! So rProdNacP Pr e P License, 21480 111General _1() Street temporary Merelhandi se of, I ~~~~~~~~~~~~~~btiild ing I.ocalI Pr-oductt ____ - -31--l -' 26IShidaiElectron Shop Nanxiao Private 2Iicense, 7800 26 F

15 No. Name of Slhop .Location Owner Employee Nature Profit Area of llsiness Down Average sh i ) Business Time Sa I alYi ;i I i ol

(Yuan/year) (M2) (day) molloII) (YI

Street temporary

______~~b,,ildirng 27 Nandu Shop Nanxiao PIrivate 1Li.cense, |400 30 (;enerall 90 __ _if Street te mporary Merchardli se luijld irg 28 Feida Merchant Store Nanxiao Pr-ivate 3 License, 11400 33 Generaal 90 873 186811 Street temporary Merlchandlise building 29 Qiaoxi Barbershop Nanxiao Private 1 License, 3600 12 Haircut 90 431 218 I St reet temporary bui ldigig 30 Ningjing Restaurant Nanxiao Private 4 License, 15920 70 Restaurant 90 873 114401 Street temporary building 31 JiigjingMusic and Video Shop Nanxiao Private 2 License, 8000 17 Tape and Video 90 573 5111 Street temporary building 32 Yanxin Store Nanxiao Private 2License, 7860 25 General - 90 655 5n68 Street ternporary Merchandise building 33 Yingfeng Restaurant Nanxiao Private 10 t.icense, 43000 112 Restaur-arnt 75 873 30f ;i Street temporary buildii ng 34 Yanling Clothes Store Nanxiao Priivate 2 License 7900 33 C'Iolt 75 873)l( Stl eet 35 Yiming Store Nanxiao Private 1 License 3800 27 (;enera l 75 655 2418 Street Merchlandise 36 Shunda Music and Video Shop Nanxiao Private 1 License 4000 25 Tape andi Video 75 655 241591 Street _ 36000 175_i__an 37 Meishijia Restaurant Nanxiao Private 12 License 36000 175 Restauiant 75 877 33587

16 No. Naine of Sihop .Location Owner Employee Nature it Area of Business DrofIown Avratimii Shli) BLIsiness 'itue IinmIv :;81 i (yuan!ll 2 (Yuan/year) (M ) (day) mll itII) (v I;I)

Stlreet 38 ChengguangStore Nanxiao Private 1 License 3600 27 (General 75 655 2377 Street __ _Mecc chand i se 39 lFangxiangTea ilouse Nanxiao Priivate 2 License 7680 18 rea 75 57:3 '444 Street 40 LinglingGift and Toy Store Nanxiao Private 2 License 7400 27 Toy 75 655 4796 Street 41 Productioni Means Store Nanxiao Private 8.icense 58000 145 Genel 75 6 25018 Street Mercliandi se 42 Rixin Local Product Department Nanxiao Private 3 License 43000 40 (General 75 655 13748 Store Sttreet Mercchandi se 43 Dongxing Electronics Shop Nanxiao Private 4 License 7800 125 Electron 75 655 8153 Street 44 Xindazhou Department Store Nanxiao Private 2 License 8800 129 Gener-al 75 655 ( )11 Street Merchand(lise 45 llaolai Restaurant Nanxiao Private 7 License 4700 10 Restaurant 75 655 12428 Street 46 Xingxin Bookstore Nanxiao Private 2 License 2000 24 Bookstore 75 655 3686, Street 47 Liming Fast Food Restauriant Nanxiao Private License 4300 52 Restaurant 75 655 415

Street __.__. .... 48 Donghua Food Store Nanxiao . Private 1 License, 3600 22 Foo(d 75 655 2377 Street temporary 13uiiiIding __ _ 49 Feiyue Electroniical Material Nanxiao Private 2 License 5000 19 Electron 75 655 43(12 Shop St reet _ _ 50 WenzhouModern Barbershop Nanxiao IPrivate 2 License 4000 48 1laircut 75 655 4097 Street _ _ 51 Meili Barbershop Nanxiao Private _ 2License 4000 48 ai-c[It 75 6_55 409 shtireet . . 65

17 No. Nameof Shop Location Owner Fmployee Nature Profit Area of Busi tless I)own Averi;ge (, .1,pll ship Busi ness Time Sa II Vll sO

(Yuan/year) (M2) (ray) illoII) (vNim)

52 Yunong Barbershop Nanxiao I'rivate 2 License 4000 48 1airct - 754 655 '097 Street 53 Bianming Snack Bar Nanxiao Pr ivate 1 License, 2000 12 Restaurant 75 655 2048 Street temporary

.______B uildinlg ______ld_ 54 Panrong Restaurant Nanxiao Private 5License 56000 88 Restaurant 75 655 1'36()1 Street 55 I;uxing Barbershop Nanxiao Private 2License 4000 48 Haircunt 75 655 409'7 Street 56 Fulai Puigent Soup Restaurant Jianshe Piivate 9 License 26000 73 Restarllant 75 655 21)00) Street 57 llongqi Stationery Store Jianshe Private 1 License, 5000 30 St at iorie y 75 655 2GG65 Street temporary bui lding 58 Guang(laElectroniics Shop Jianshe Pr,ivate 3 License 32000 30 Electron 75 655 - 114n11 Street 59 Xinrong HlardwareStore Jianshe Priivate 2 License 11000 5 Genera I 75 655 55:13 5 Street Merchanidise 60 llaozai I a i Restaurant Jianshe Private 12 License 40000 150 Restaurlant 75 _ _7869 Street 61 Shangyi(lang Restaurant Jianshe Private 5 License 30000 47 Restaur ant 75 655 14352 Street 62 Xilai Restaurant Jianshe Private 2 License 20000 13 Restairalint 75 655 7385 Str-eet 63 KanigxsinBarbershop Jianshe Priivate 2 License 4000 48 llair-cut 75 655 4t1!1 Street 64 Shinli Store Jianshe Private 1 License, 2300 14 General 75 655 2111) Street temporary Merchandise building 65 ZhongShian Daily Necessities Jianshie Private 2 License 3200 38 General 75 655 3933

18 No. Nameof Shop Location Owner Employee Nature Profit Area of Business Dowai Avvi; (I"] ship Business Timn S;I l ry

2 (Yuan/year) (M) (af) ii lI) ( v

Shtop Street Merchiandise 66 Nanxiao Street Shop Jiansle Private 1License, 2000 12 General 75 655 "IWil Street temporary Merclhandise

______~~~buildIIing 3200__ __---_ 67 Xinxin Snack Shop Jianshe Private 2 Liceinse 3200 38 Restaurant 75 655 :!i.l 1 ~~~~~~~Street 68 Meiweizlhai Food Shop Jianshe Private 2License 2000 24 Restaurti-nt, 75 6_ ASttC

______Street ______69 Shimen Shop Jianshe Private .13 License 58000 236 (;eneral - _ 65 _ u Street Merchan(lise 70 Zijing Electronics Shop Jianshe Private 2 License 6500 4 Electroll 75i t55 .'; Street I 71 HlaoyunRestaurant Jianshe Private 4 License 3500 164 Restauiant 75- --- u t 1 Street 2 72 Xinxin Electronic Material Ping'an Private License 4500 54 Electron 75 55 i( Store Street 73 Xinkai store Pings an Private 2 License 6500 14 General 75 - 55 1fl Street Merchlan(lise 74 Kaida Feather Clothes Ping' an Private 1 License, 4400 26 Clothes 75 6f55 VY1. Shop Street temporary building 75 Xishli Barbershop Ping' ann, Private 2 License 420 .50 llaircut 75 - 5r 4133 Street _ __ 76 Yuxi Cloth Shop PIng' an Private I License, 1800 11 Cloth 75 6i55 'u Street temporary ______~building ______77 Nanmalu Daily Necessities Pirng' an Private ILicense, 3000 18 General 75 655 )"i'M Store Street temporary Merchandise I__ I__ building _ _ 4 300 78 NanchangCurtain Shop PiigB an uiuiv,e _ 3cese, 1 26 1CG!uain 75 fr5 : I

19 No. Nameof Shop Location Owner Emnpioyee Nature Profit Area of Busiliess Downj Avri ;igv ship Business Time Siialt.Y i

(Yuan/year) (u2 ) ((ay) wontil)1l (I Street temporary building ______. 79 Nanchang Department Store Ping' an Private 4 License 8000 3 General 75 655 11n Street Merchlanidise 80 Zhongshan Electronics Shop Ping' an Private 6 License 12500 23 Electron 75 655 122!H Street 81 Daily Necessities Ping' an Private 1License, 3000 18 General 75 655 2;';4 Store Street temporary Merchatnise building 8 2 Pickles Shop Ping' an Private I License, 2500 15 Foo(d 75 655 .I'i Street temporary building ______83 Beili Shop Ping' an Private 1 License, 3200 19 General 75 655 Street temporary Merchatidise building _ _ _. 84 Chongqing Chafing Dish Ping ' an Private 3 License 12500 12 Restaui-ant 75 655 Restaurant Street _ ____._.__ 85 wenzhou Beauty Parlor Ping' an Private 2 License 4000 48 llaircut 75 f-55 1()!1 Street .__ _ 86 Xinxin Beauty and Barber Shop Ping' an Private 5 License 21000 33 Haircut 75 655 1!;>

______S treet ______I__ 87 Qingjingge Bar Ping' an Private 5 License 12000 19 Restaurant 75 655 I (U2l Street _ . ____.__._. 88 Ihiaqingchi Shop Ping' an Private 9 License 35000 98 Bathroom 75- 655 ;

Street ______89 SiChuan Fishilea(d Chafing Dish Ping' an Private 2 License 4500 54 Restat'iant 75 - - 655r, 4''tI Restaurant Street I 90 Haerbin Bearin)g Agency Ping' an Private 2 License 5000 53 Machinery 75 655 4 tV Street ______. 91 llenan Crane Agency Ping ' an Private 2 License 5000 53 Machinery 75 . 655 413(V

20 No. Nameof Shop Location Owner Employee Nature Profit Area of Business Dowu Avei,o r ship Businiess Time ;; t6

(Yuiani/year) (M2) (day) l)lh)

Street 92 Yatai Water PumpAgency Ping' an Private 2 License 500C 53 Machinery 75 1u Street ______93 Nanjinig Water PumpAgency Ping' an Private 2.icense 5000 53 Machinery 75 G55 tt1 . Street ______94 ShanghaiValve Shop Ping'an Private 2 License 5000 53 Machinery 75 - 655 4UI'

______Street ______95 XinxiangCrane Shop Ping' an Private 2 License 5000 53 Machine-y 75 65r lIft Street _____ 96 WenahouValve Shop Ping' an Private . 2 License 5000 53 Macliiir 75 6r,55 I Street ______97 TianjinValve Shop Ping' an Private 3 License 5000 45 Machinery 75 6 55 1'" Street - 98 Yongan Electronic MaterialPing' an Private 2 License 5000 45 Electrono 75 - r55 l Shiop Street ______99 Qingyuan Daily NecessitiesQingytan Private I License, 2400 1 Geoer-al 75 6f5 "I I Store Street temporary Merelliatilise building 100 NanfangWine City RestaurantQingytan Private 11 License 45000 155 Restaurant 75 _ 65_. ; 'i

Street______101 Xinhau Snack Bar Qingyuan Private 3 License 8000 25 Restauirant 75 655 (Y'l(; Street ~ ______102 Yafang Beauty Shop Qingyuan Private 2 License 2300 28 hlaircut 75 6ni5 5 I

Street ______103 Flaoyunlai Restaurant Qingyuan Private License 25000 47 Restaurant 75 .t _| IQ' Street______104 Big Canteen Qingyuan Private 5 License 9000 98 Restauranit - 75 - 6 r l55 1

Street ______105 YongchangElectronics Shop Qingyuan Private 2 License 4500 54 Electron 75 655 jIll

21 No. Nameof Shop Location Owner Employee Nature Profit Area of Business Dowi Avye!;ig

ship Business Time Sillilrv I'

.(Yuan/year) (MI) (day) mtolI ll) slp 106 Jinshan Clothes Shop Qingyuan Private 1 License, 7800 47 Clothes 75 _ l. l Street temporary :______hobuilding ______107 HluaduFeather Clothes Shop Qingyuan Private 1 License, 4500 27 Clothes 75 655 Street temporary building 108 Mingyue Ornament Shop Qingyuan Private 4 License 9500 12 Ornament 75 655 r. Street 109 Shinan Building Material Shop Qingyuan Private 7License 8700 19 Building 75 655 1325r) Street Material 110 Zhenhau Building Material Shop Qingyuan - Private 5 L.icense 7860 12 Building 75 655 H))!o Street Material 111 Zhendong Ornamental Material Qingyuan Private 4 License 7000 61 Ornament 75 - 655- H Shop Street 112 Huakang Labor Protection Qingyuan Private 1 icense, 3000 18 General 75 65, Appliances Shop Street temporary Merchandise building 113lluahang Goods and Material Qingyuan Private 5 License 5000 2 8 General 75 G55 ( I! Market Street Meichalidise 114 Guanghau Curtain Ornamental Qingyuan Private License,. 2300 14 Ornainent 75 655 211( Material Shop Street temporary . ______I______building 115 Jiansheng Restaurant Qingyuan Private 9icense 15000 42 Restaurant 75 655 1 Street

116 Haixin Electronic Material Qingyuan Private 1 License, 4500 27 Electron 75 . 6 55 Shop Street temporary I" ______bu ilding 2 117 Changan Building Material Shop Qingyuan Private License 6000 135 Building 75 655 ' 1'I Street Material

22 No. Nameof Shop Location Owner Employee Nature Profit Area of Bowsiness Down Aver ige ship lusiness Tiie S; I;I1v (v I;IfII/ 2 (Yuan/year) (M) (day) i aIII b) v,1

118 Yade Food Shop Qingyuan Private I License, 7400 44 Restaurant __ - U Street temporary buiilding 119 luaxing Department Store Qingyuan Pr-ivate 11 License 64000 220 Gnereal __ G5 Ull t Street Merchlindi se Total 375 1350243 5396 .. _

Notes: (1) Compensation fee = the shop' s average profit of each day Xthe number of days whien the shop closes - the ntimhel etl employees X their average wage of each day X the number of days when their shop closes.

(2) The shops mentioned in Table 2-4 will not be demolished, yet the project construction shall have adverse ilmpci: olN

23 2.5 Affected Ground Accessories

Table 2-5 Affected Ground Accessories Items unit Total Sewage Pipe Qiaodong Sewage Network Treatment Plant Enclosure M2 40 40 Toilet toilet 16 16 380V Pole pole 237 237 19 FlowerBed M2 11224 11224 Trees tree 178 178

2.6 Land Use System and Land Transfer System

The ownership of the land occupied by the roads in the city proper belongs to the State. The right to use the state owned land can be transferred according to relevant laws. The land for urban infrastructure and public service can be allocated under laws. The collective land of the peasants in the project area belongs to the collective village according to laws. The land owned by peasant collectives may be operated by village economic organizations for cultivation and animal husbandry. The land is contracted by the peasants. The land between the contractors can be adjusted with the agreement of at least two thirds of the representatives of the villagers and submitting the relevant written material to Agriculture Administration Department in the township(town) people' s government for approval.

2.7 Social and Culture Features of the Organizations of the Resettled

People

The resettled people have a good organization network. The rural residents has such an organization as city-district-county-country-

24 .;-,:azc.This ;inc of !. e-ate organization wvil;provide co-venience TO: the implementation of resetLlement.

2.8 Impact Analysis

Qiaodong SewageTreatment Plant, lying on the east bank of arterial escape canal, is locatedin the west in Loudi Villageof Fangcun Townin Luancheng County beyond Third Circular Road. Totally,500 mu of the land in the villagewill be requisitionedfor the project including466.25 mu of cultivated land for sewage treatment plant, 33.75 mu of cultivated land for roads planned. 499 people will be affected by land acquisition. There are 4,028 people, 979 householdsand 6 villager groups in Loudi Village.In 1998, the average net income per capita of the village is 3,254 yuan/person. Acquisitionof cultivatedland will have adverse impact on the requisitioned land contractors, the direct annual economic loss from cultivated land acquisitionis about 891,700yuan.

There are 2095 persons in the villagewho have the ability to work, and 264 of them will be affected by the land acquisition.Of all the labor force, 9641 persons are engaged in agriculture, accounting for 46%; 394 persons are engaged in industry, accounting for 18.8%;195 persons are engaged in construction,accounting for 9.3%;59persons are engaged in transportation, accounting for 2.8%;96 persons are engaged in business and catering, accounting for 4.6%; the other 387 persons are engaged in service trades such as finance, insurance, water resource management and real estate management, accounting for 18.5%. In brief, among the labors affected, 46% of them are engaged in agriculture and 54% of them are engaged in other industries. This fact indicates that all the affected familieshave labor force and have stable jobs to do. After land acquisition,most of the labor forces can go on with their former jobs, but someof them shall do new jobs.

25 Thc shomb affected by the construction (,. urbar drainagze pipn n.nmc:". arc

mainly located on Nanxiao Street. Jianshe Street, Ping' an Street. Qingyuan Stree and etc. Totally, 119 shops with 375 employees and 5396 m2 of business area will be affected by construction of urban drainage pipe network. It is estimated that the shops will be closed for about 75 days. These shops will not be demolished, yet the project construction shall have adverse impact on the business activity of the shops. The business of shops will return to normal when the construction is completed.

The construction of drainage pipe network will have adverse impacts on urban traffic, and such impacts will last until the construction is completed.

26

3. Legal Franmewvork

Land acquisition, demolition and resettlement of the project are mainly based on the following laws and policies:

* Land Administration Law of the P.R.C (revised on August 29, 1998) * Detailed Enforcement Regulations of Urban House Demolition Administration of Shijiazhuang City (proposed suggestions) * Urban Real Estate Administration Law of the P.R.C * Enforcement Regulations of Tax of Cultivated Land Use of Hebei Province (Jizhen(1987)No.119) * The notice of Hebei Planning Committee regarding Raising Funds for Preliminary Work Expense of Diversion Project that diverts the water from south of China to north of China (Jijinong(1995)No.1074) * The opinions of Hebei Province regarding Implementation of The Notice of Central Committee of the Communist Party of China and State Council regarding further Tightening up the Land Acquisition and Cultivated Land Protecton (May 31, 1997) * Guideline OD4.30 of the World Bank

.3.1 Laws and Regulations

3.1.1 Relevant Provisions of Land Administration Law of the P.R.C * Article 2: The State may, in the public interest, lawfully requisition land owned by collectives.

* Article 47:

27 Land reauisition c snap bL c(Or,!;T.C-!sra1eafor or 0c I.>:T, orieinai purpose of use.

Compensation for requisitioned cultivated land shall include compensation for land, resettlement subsides and attachments and young crops on the requisitioned land. Compensation for requisition of cultivated land shall be six to ten times the average annual output value of the requisitioned land for three years preceding such requisition. Resettlement subsides for requisition of cultivated land shaDl be calculated according to the agricultural population needing to be resettled. The agricultural population needing to be resettled shall be calculated by dividing the amount of requisitioned cultivated land per person of the unit the land of which is requisitioned. The standard resettlement subsides to be divided among members of the agricultural population needing resettlement shall be four to six times the average annual output value of the requisitioned cultivated land for three years preceding such requisition. However, the highest resettlement subsides for each hectare of the requisitioned cultivated land shall not exceed fifteen times its average annual output value for the three years preceding such requisition. X

Standards of land compensation and resettlement subsidies for requisition of other types of land shall be prescribed by provinces, autonomous regions and municipalities directly under the Central Government with reference to the standards of compensation and resettlement subsidies for requisition of cultivated land.

Standards for compensation for attachments and young crops on the requisitioned land shall be prescribed by provinces.,

28 autonomous regions and municipalities directly under the Central

Government.

For requisition of vegetable plots in city suburbs, the land users shall pay towards a development and construction fund for new vegetable plots in accordance with the relevant regulations of the

State.

If land compensation and resettlement subsidies paid in accordance with the provisions of the second paragraph of this Article are still insufficient to help the peasants needing resettlement to maintain their original living standards, the resettlement subsidies may be increased upon approval by people' s governments of provinces, autonomous regions and municipalities directly under the Central Government. However, the total land compensation and resettlement subsides shall not exceed 30 times the average annual output value of the requisitioned land for the three years preceding such requisition.

The State Council may, in light of the level of social and economic development and under special circumstances, raise the standards of land compensation and resettlement subsidies for requisition of cultivated land.

* Article 48: Once a plan for compensation and resettlement subsidies for requisitioned land is decided on, the local people' s government concerned shall make it known to the general public and solicit comments and suggestions from the collective economic organizations, the land of which is requisitioned, and the peasants.

29 * Article 49: The rural collective economic organization, the land of whiich is requisitioned, shall accept supervision by making known to its members the income and expenses of the compensation received for land requisition.

The compensation and other charges paid to the unit for its land requisitioned is forbidden to be embezzled or misappropriated.

* Article 57: Where land owned by the State or by peasant collectives needs to

be used temporarily for construction of projects or for geologic prospecting, the matter shall be subject to approval by the land administration shall be subject to approval by the land administration departments of people' s governments at or above the county level. However, if the land to be temporarily used is located in the area covered by urban planning, the matter shall be

subject to agreement by the urban planning administration department concerned before it is submitted for approval. The land user shall, depending on who owns the land and who has land- use right, enter into a contract for the temporary use of tlhe land with the land administration department concerned, or the rural

collective economic organization, or the villagers committee and pay compensation for it in accordance with the provisions of the contract.

The temporary land user shall use the land for purposes stipulated in the contract for temporary use of the land and may not build permanent structures on it.

30 Generally, the period for temporary use of land shall not exceed two vears.

3.1.2 Relevant Provisions of Hebei Province government regarding the Enforcement Regulations of Tax on Cultivated Land Use

Average tax per square meter on cultivated land use is calculated and verified based on cultivated land holdings per capita and economic development level of counties, urban areas and suburbs. The standard

of the tax on cultivated land use of this project is 5 yuan/m2 .

3.1.3 Relevant Provisions of Urban Real Estate Administration Law of the P.R.C

Allocation of land use right means that the unit who uses the land for project construction can use the land or can get the right of land use free of charge after its land use application is approved by the local government above county level and its land compensation, relocation allowance and other fees have been paid.

If the land use right of the following land for construction is really

necessary, it can be approved and allocated by the local government

above county level: * Land for urban infrastructure and public facilities * Land for the state key projects such as energy project, traffic project and water conservancy project.

3.1.4 Relevant Provisions of Detailed Enforcement Regulations of Urban House Demolition Administration of Shijiazhuang City

31 * Article 46:

If the houses are demolished, the unit who uses the land should pay the following compensation to the owners. 1) The fees of transporting and installing the equipment and materials, which should be decided by both the unit who uses the lands and the owners of the

houses.

2) Compensation for the loss from cessation of production and business. It should

be decided according to the number of actual employees and the monthly average income of the city(including social insurance premium, accumulation funds for housing). If the ownership is exchanged, the period of paying compensation is the actual transition period. If the houses demolished will be compensated in cash, the period of paying for the loss from cessation of production and business should not exceed 6 months.

3.1.5 Relevant Provisions of The Notice of Hebei Planning Committee

regarding Raising Funds for Preliminary Work Expense of Nanshuibeidiao Project that diverts the water from south of China to north of China (Jijinong(1995)No.1074). At present, the policy is being carried out. Relevant cost shall be charged on the requisitioned land in the scope stipulated in the above document. And the cost shall be included in the project.

(1) Scope of Fund Raising

The additional expense of land to be used for construction shall be collected from the society, and it shall be collected mainly from the cities and districts on the line of Middle Line Nanshuibeidiao Project or benefiting from the project, Shijiazhuang City, City, Handan City, Baoding City, City, Cangzhou City and Perfecture.

32 Ail units and individuals that neNNlyobtain the right to the use of

land for non-agricultural construction shall, in accordance with the standards and measures prescribed in this notice, pay towards the additional expense of the land use for construction, with the exception of the ones that are exempted from the payment because they use lands for peasant house sites and urban municipal green area and the ones that only pay half of the expense because they use lands for construction of water conservancy projects except Nanshuibeidiao Middle Line Project, railways and highways above county level (including high-speed freeways).

(2) Standards of Fund Raising ' 2,000yuan/mu for the use of the state-owned lands in the planning areas of cities and towns; * 2,000yuan/mu for the use of cultivated lands, orchards, forest lands, fish ponds, lotus root ponds and reed pond; * 800 yuan/mu for the use of other lands.

3.1.6 Relevant Provisions of The opinions of Hebei Province regarding Implementation of The Notice of Central Committee of the Communist Party of China and State Council regarding further Tightening up the Land Acquisition and Cultivated Land Protection (May 31, 1997)

Any unit or individual that, with approval, uses cultivated land, shall enter into a contractor for development and reclamation of cultivated lands with the land administration department of the city or county concerned to specify the amount, quality and site of the cultivated land to be developed and reclaimed as well as the time the reclamation and development of cultivated land will be conducted. The amount and quality of cultivated land to be developed and reclaimed prescribed in

33 such contract should be in line with the amount and qualitn of cultivated land used. If the amount and quality of reclaimied or developed land fails to meet the requirements, the unit or individual

shall pay expense for reclamation or compensation for use of capital

farm land to land administration department concerned in accordance with the standards of use of capital farm lands, and the money shall exclusively be used for development of cultivated land.

3.1.7 Relevant Provisions of Guideline OD4.30 of the World Bank

* avoid or minimize resettlement;

* PAPs shall get compensation for their property loss, have

opportunity to share in the profits of the project and be assisted during the transition period in the rebuilding area;

* The goal of the World Bank policies is to help the PAPs to imnprove their living standards or at least to restore their former living standards;

* PAPs and the persons in resettler community are encouraged to

participate in the formulation of resettlement action plan.

3.2 Policies on Relocation and Compensation

Policies on house demolition, relocation and compensation of the project are as following:

* The compensation standards of all property affected should be rixed in accordance with replacement principles.

34 * The compensation should be paid before requisition of land and

property. * STPO, Land Administration Bureau of Shijiazhuang City, Jiao District and Luancheng Countv should negotiate with the owners of affected property or villages affected by the project about the standards of relocation and compensation and resettlement methods. The shops

(including temporary shops and shops that are constructed against the

relevant laws or regulations) that will be affected by the project and stop doing business due to such construction shall get compensation for loss from suspense of business in accordance with average profit of each shop, the wage of the employees and the actual cessation period. * More attention will be paid to the construction management to shorten

the construction period and reduce the loss from the suspense of business as much as possible.

* The affected public infrastructures should be restored and reconstructed. * The land compensation and resettlement subsidy for the requisitioned land should be calculated and paid in accordance with Land Administration Law of P.R.C. that was revised on August 29, 1998. * It is necessary to offer the agricultural labors to be relocated assistance, training and employment opportunity in order to prevent their living level from decreasing.

* Full compensation for the crops, young crops, trees and other attached facilities should be calculated based on market price.

3.3 Standards of Relocation and Compensation

(1) STPO should compensate the shops (including temporary shops and shops that are constructed against the relevant laws or regulations), which will

35 stop ding business due to the project construction, for the loss from suspense of business in accordance with the number of registered staff at the time of house demolition. The compensation will be calculated in this way, compensation fee = the shop' s average profit of each day * the

number of days when the shop closes + the number of employees * their

average wage of each day * the number of days when their shop closes.

However, the actual compensation should be calculated in line with the

actual condition of the affected shops and actual closure time.

(2) Compensation Standards of Requisitioned Land and Land for Temlporary Use See Table 3-1 for the average annual output value of the land requisitioned for the project for the last three years before such acquisition.

Table 3-1 Annual Output Value of the Requisitioned Cultivated Lands for the Last Three Years 1996 1997 1998 Average Unit Main By- Average Annual Land Price Product product Type kg/mu kg/mu kg/mu kg/mu OutputValue .an/kg yuan/mu yuan/mu vuan/mu Wbheat 440 454 468 454 = 1.3 590.2 177.1 767.3 Maize 524 573 578 585.3 1.4 781.6 234.5 1016.1 Average Annual Output 1783.4 Value f (yuan/mu) 1783_4_J Remarks: The output value of by-product is 30 percent of that of main product. The requisitioned lands belong to the villages in the suburbs of Shijiazhuang City and Luancheng County that is near the city. Since the cultivated land per capita of these villages is too little, it is quite difficult to resettle PAPs in these villages.

According to Land Administration Law of P.R.C. that was revised on August 29, 1998, land compensation and resettlement subsidy for the cultivated land requisitioned shall be 28 times the average annual output

36 value of the requisitioned land for the three vears preceding such acquisition after negotiation with Loudi Village Committee. And the standard of land compensation and relocation allowance is 50000

yuan/mu. The tax on the use of cultivated land is 7.5 yuan/m2 amounting to 5000 yuan/mu.

According to The opinions of Hebei Province regarding Implementation of The Notice of Central Committee of the Communist Party of China and State Council regarding further Tightening up the Land Acquisition and

Cultivated Land Protection, the relevant expense for the use of cultivated land is as followings: * Expense of reclamation is 15 yua/m2 amounting to 10005 yuan/mu.

D Compensation for the young crop on the affected land is calculated in line with the half of the output value of the land and amounts to 892

yuan/mu; * Nanshuibeidiao additional expense is 2,000 yuan/mu; * Management fee is 2103 yuan/mu. See Table 3-2 for the costs of the requisitioned land. Table 3-2 Costs of the Requisitioned Land (Unit: yuan/mu) Land Land Young Crop Tax on Reclamation Nanshuibeidiao Total Management Type Compen- ompensati ultiv Expense Additional Fee sation and on ated Expense relocation Land allowance Use Irrigated Land 50000 892 500C 10005 2000 2103 70000

The unit Land who The Administration Land Land he The Administration Bureaus of receives Village Bureaus of the . Contractors State Bureau of the County and the fee Committeel Province and the City Province City . the City

(3) Compensation Standards of Ground Attachments Table 3-3 Compensation Standards of Ground Attachments

37 ,.--ms unit Unit Price(yuan uni:! Ercn sure N0 30 Toilets toilet 200 380V Poles pole 1000 Flower Bed m2 150 iTrees tree 100

38 4. Implementation Plan for Resettlement and Rehabilitation

4.1 Land Acquisition

500 mu of cultivated lands in Loudi Village'are requisitioned for Qiaodong Sewage Treatment Plant, amounting to 12.4% of the total cultivated land. In 1998, the average net income per capita of the peasants in the village is 3,254 yuan/person, and the total grain yield is 3,034 ton. It is estimated that the direct economic loss of the village from land acquisition is about 891,700 yuan, and the project will affect the life habit and production activities of the peasants relying on the cultivated lands to be requisitioned as a means of life.

499 people including 264 labors will be affected by land acquisition of the project. After getting the land compensation and resettlement subsidy for the requisitioned lands, Loudi village can, according to the state laws and regulations, use the land compensation and resettlement subsidy for investment to boost local economy with the permission of two-thirds of the villagers. All villagers in the village have the right to share in the profits of such investment. If the investment profit ration is more than 3.5%, the annual profit of investment will exceed the annual economic loss of the land requisitioned.

Loudi village is 8Km away from Shijiazhuang City. The villagers have been well aware of the market economy and they have the skills to be engaged in the second or the third industry. An overall survey on the PAPs in the village indicates that each household has one or two labors engaged in the second or the third industry. And the results of the survey conducted by the village. committee shows that 54 percent of labors in the village are working in Shijiazhuang City or out of Shijiazhuang and have stable income. Therefore,

39 land acquisition of the project will have little impact on the PA-Psin the village. The labor resettlement plan for the village is as followings: * The project unit should pay land compensation and resettlement subsidy to the vilage whose lands are requisitioned in accordance with the standard of 50,000 yuan/mu. * Village collective will allocate the land compensation and resettlement subsidy to the adjustment of industrial structure, the development of high economic value industries such as special aquaculture and setting up tertiary industry with the permission of two-thirds of the villagers. Moreover, all villagers in Loudi Vilage share in the investment profits of the land compensation. VAC of the village will utilize the investment profit to reduce or remit the taxation of the villagers which amounts to 61.6 yuan per person per year (the standard in 1998) to ensure that the income level of the PAPs after land acquisition will not decrease.

After 500 mu of land was requisitioned, Loudi Village re-allocated the land between September and October in 1999. And that was done in the light of the present situation of land and population under the state' s emphasis on household contract system this year. The land revolution in Loudi Village started in early 1950' s. In 1953, 50 teams were established to help each other. TIhe land was allocated to each team. In the winter of 1954, junior associations were established. There were 7 junior associations, and the land waXdistributed again within the associations. In 1955, a senior association was established. The whole village was divided into 12 teams, and the land was distributed to each team. In 1956, jointly agricultural associations were established, and Loudi Village, Shaojiazhuang Village and Dongyin Village consisted of a jointly agricultural association. The land was allocated to each village. The household contract system has been put into operation since 1984. At that time, 3300 persons took part in it with one mu land for each person. The rest of the land, that is 300 mu, was used as farms. In 1992, the land was adjusted for the second time amnd3500

40 persons took part in it. The average land was 0.8 mu/person. The rest of the land, 200 mu land was still used as farms. The land was adjusted for the third time in 1999, and 4000 persons took part in it. The average land then was 0.5 mu/person. 500 mu land was reserved for sewage, 25 mu for the bases of vegetable and breeding, and 230 mu for planting. The net income of the vegetable base and breeding base each year is 250000 yuan.

4.2 Temporary Land Use

The land used temporarily for the project includes 319.88 mu state-owned land for urban pipe network construction. It is the land for urban roads and can be rehabilitated after the pipes are laid down. According to the relevant laws, no compensation is needed for the land to be used temporarily for construction of urban public welfare undertakings, so temporary land use for urban pipe network construction involves no land use expense. Usually, the period of temporary land use is about half a year.

4.3 Affected Shops

The drainage pipes in the project will only temporarily occupy the state owned land. Because the pipes are to be laid down Xunder the roads, demolition can be avoided during the implementation. However, the shops along the roads will be affected temporarily. According to the survey, 119 shops with 375 employees will be affected by the project. They will be compensated according to actual situations and actual closure time. The Project Unit will compensate the employees for the income loss, so they can maintain their income level. The compensations of the shops short-term affected by Shijiazhuang Sewage Treatment Project are listed in table 2-4. The operating income of shops affected will be affected during the

41 transition period, but it will recover after reconstruction. Moreover, eff'ective

measures will be taken to lessen the impact time.

4.4 Measures to Alleviate the Impact of Pipe Network Construction on Environment

(1) Measures Taken to Minimize Impact on Traffic

Construction of the project will unavoidably affect some roads, and the excavation work will seriously affect the traffic in the relevant region. The project developer has already taken these adverse impacts into account when working out implementation plan. Measures taken to minimize impacts on traffic include: * As for the roads with heavy traffic, temporarily substitute paths are designed, and the construction is carried out by stages. The work of excavation, pipeline laying and backfill is to be finished as soon as possible. * As for the roads with heavy traffic, the project construction is stopped in peak hours.

(2) Measures Taken to Alleviating Dust

The clay dug up from the irrigation canals is piled up along the roads, the dust will be raised by the wind and mechanical force in dry season and thus will affect the nearby residents and factories. In order to minimize the impacts of construction on the surrounding environment, it is necessary to sprinkle the mound with water to avoid dust in the construction when it is fine and windy often. The clay dug up will be transport elsewhere and disposed in time, while overload during

42 transportation is forbidden to prevent the arid soil from spilling out of the vehicles on the way. Moreover, before the vehicles leaves the construction site, soil on the wheels should be clean away in order to avoid the arid soil spilling out of the vehicles on the way and affect the environment. At the same time, the construction team should be responsible for the environment sanitation of the roads near the entrance of the construction site and sweep off the spilled soil in time.

(3) Control of the Construction Site Noise

The construction noise results from the excavation of canals, sound from the loudspeaker of transport vehicles, sound of engines, noise of concrete mixer and noise of road roller. In order to minimize the impacts of noise on the surrounding residents, the construction within the region 200M away from the residential area should stop from 11 pm to 6 am, and low- noise construction machinery should be adopted perferentially. If the construction site is near the residential area and the construction must continue at night, measures should be taken to eliminate the noise of construction machinery. In addition, temporary sounder barrier should be set up around the construction site or residential area to ensure the environment quality of residential areas.

(4) Disposal of In-situ Waste in the Construction Site

The project developer and construction enterprise should contact local environment sanitation department in time to get rid of the consumer waste in the construction site and make it clean and tidy.

The living standards and producfion level of the project PAPs will not decrease due to the rational compensation and well arranged relocafion,

43 and effective measures will be taken to eliminate the adverse impact of regional pipeline construction on the surrounding environment.

44 5. Budget for Compensation

All cost incurred in the course of land acquisition, house demolition, restoration of infrastructures, reconstruction of special facilities, and resettlement of relocated people shall be included in the overall budget of the project. To calculate at the price in September 1999, the total cost of land acquisition, house demolition and resettlement of PAPs of Shijiazhuang Sewage Treatment Project is RMBS 44.16 million.

5.1 Fund Flow

(1) Permanent Acquisition of CollectiveLand

STPO and Land Administration Bureau of Luancheng County should sign the compensation agreement on permanent land acquisition, and STPO should pay the cost of land acquisition in accordance with the agreements. Land Administration Bureau of Luancheng County and Jiao District should sign the pernianent land acquisition contracts with the villages concerned and paid them land compensation and young crop compensation in accordance with the contracts. After getting land compensation and young crop compensation, the villages will transfer the land requisitioned. STPO should pay the tax on cultivated land use, cost of farmland reclamation, Nanshuibeidiao additional expense and management fee to the department concerned, while the compensation for attached facilities and young crop should be paid to land contractors or property owners directly.

(2) Affected Urban Shops

45 STPO should pay compensation cost for affected shops to the shop operators directly in accordance with Shijiazhuang House Demolition Administration Detailed Enforcement Regulations(proposed suggestions), the number of employees and the shops' situations and the period they stop business.

(3) Ground Attachments STPO should negotiate with the owners of ground attachments about the compensation standards. STPO will pay the owners the compensation fees.

5.2 Basic Costs

Basic costs include: * Land acquisition fee * Affected shop compensation fee * Ground Accessories compensation fee

5.3 Cost of Survey and Design

2% of basic cost is used as cost of survey and design.

5.4 Monitoring and Evaluation Costs

1.5% of basic cost is spent as monitoring and evaluation costs.

5.5 Management fee

3 percent of basic cost should be used as management fee of the organizations in

46 charge of the land acquisition, house demolition and resettlement of the project, and it is mainly used for the cost of activities related to the land acquisition, house demolition and PAP resettlement of the project such as buying equipment, transportation, having meetings, communication, business trip and handling official business, etc. r

5.6 Contingencies

10% of basic cost will be used as contingence cost, which includes contingence cost for materials and price. * The contingence cost of materials is prepared to pay the additional costs resulted from the changes in project design and the changes in tangible material indices during the implementation period of RAP. * The contingence cost of price is prepared out of consideration for inflation and changes in price during the implementation period of RAP. The estimation of the contingence cost mentioned above is based on the price in September 1999.

5.7 Total Costs

See Table 5-1 for the general cost of land acquisition, house demolition and PAP resettlement of Shijiazhuang Sewage Treatment Project.

47 Table 5-1 General Cost of Land Acquisition, House Demolition and PAP Relocation of Shijiazhuang Sewage Treatment Project

temsQuantit Amountof Money Items Unit Quantity_ (104 Yuan) 1. Land Acquisition mu 500.00 3500.00

Including: Land compensationand 2500.00 relocationallowance Compensationfor standingcrops 44.60 Taxon cultivatedland 250.00 Reclamationexpense 500.25 Nanshuibeidiaoadditional expense 100.00 Managemnentfee 105.15 2 Compensationfor AffectedUrban Shops 94.43 3. Compensation for Affected Ground 196.18 Accessories Enclosure M2 40 0.12 Toilet toilet 16 0.32 380VPole pole 256 25.60 FlowerBed M2 11224 16836 Tree tree 178 1.78 Subtotal x1O0yuan 3790.61 6. Cost of Survey and Design 2% 75.81 7.Monitoring and Evaluation Costs 1.5% 56.86 8. Management Fee 3% 113.73 9.Contingencies 10% 379 TotalCost xlO4yuan 4416

5.8 Annual Investment Plan

Annual investment plan should be worked out according to the implementation progress of land acquisition, house demolition and PAP relocation of the project. See Table 5-2 for the annual investment plan for land acquisition, house demolition and PAP resettlement of Shijiazhuang Sewage Treatment Project.

48 Table 5-2 Annual Investment Plan for Land Acquisition, House Demolition and PAP Resettlement of Shijiazhuang Sewage Treatment Project. Unit: x104 yuan Year 2000 2001 2002 2003 Total Cost 3800 316 250 50 4416 Percentage (%) 86% 7.1% 5.7% 1.2% 100

49 I 6. Implementation Schedule of Resettlement Activities

6.1 Join of Resettlement Implementation and Project Construction

The subprojects involved in land acquisition, house demolition and PAP relocation of the project include: * Qiaodong SewageTreatment Plant * Sewage Pipeline

According to the project schedule, the construction of Qiaodong Sewage Treatment Plant is to start in March 2000 and will be completed in December 2004, while the construction of the sewage pipeline begins in March 2000 and will be completed in June 2005. The schedule for land acquisition, house demolition and PAP resettlement should be determined according to that for project construction in order to dovetail with it.

The basic principles of making the project construction dovetail the progress of land acquisition, house demolition and PAP resettlement are as followings: * To fix the schedule for land use of the project in accordance with the date of the sewage pipeline construction and of the sewage treatment plant construction. * When Land acquisition and house demolition begins is determined on the basis of the work of land acquisition, house demolition and PAP resettelment, while it should be completed 2 months before the start of the project.

See Table 6-1 for joint schedule for the project construction and land acquisition and house demolition.

50 Table 6-1 Joint Schedule for the Project Construction and Land Acquisition and House Demolition Date of Land Acquisition,House Date of Construction Demolition,and PAP Name of Project Resettlement r Begin Finish Begin Finish

Sewage Pipeline 2000. 3 2005. 6 2000. 1 2005. 4

Qiaodong Sewage 2000. 3 2004. 12 1999. 4 2000. 2 Treatment Plant

6.2 Principles of making Implementation Schedule of Resettlement

The implementation work of land acquisition, house demolition a:nd PAP resettlement of the project will be carried out when the project is assessed and approved by the World Bank. The implementation schedule of resettlement is determined according to the following principles:

3 The scope of land acquisition and house demolition of the project should be determined according to the design drawing of each engineering item before the inventory survey made for the land acquisition and house demolition. * Before the contracts for compensation and relocation are signed, the measurement and calculation of the tangible materials affected by land acquisition and house demolition should be carried out in accordance with the red line drawing of land acquisition and house demolition by both the owners of title and the Project Office. * Before the contracts for compensation and relocation are signed, the Project Office should hold mobilization meetings to announce the policies and methods of land acquisition, house demolition, relocation

sI and compensation and promulgate the formal announcement of land requisition and house demolition. Attendees at the meetings include: the PAP households and the unit affected. * After the measurement and calculation of tangible materials affected by land acquisition and house demolition and the promulgation of the formal announcement of land requisition and house demolition, the contracts for compensation and relocation will be signed by the unit or person whose land or house are affected and the unit or person who needs to requisition land and demolishing houses. * Compensation for operation loss of the affected shops should be paid to the shop operators during the construction period, and it should be paid before the construction begins. * To settle the accounts of compensation cost and deal out the compensation after the relevant contracts are signed and before the move begins.

6.3 Schedule of Land Acquisition, House Demolition and

Resettlement

According to the progress of preparation and implementation for the project construction, land acquisition, house demolition and PAP resettlement, the schedule of the land acquisition, house demolition and resettlement of the project is worked out and illustrated in Table 6-2.

52 Table 6.2 ResettlementAction Scheduleof ShijiazhuangSewage Treatment Project

_199=8 1999 2000 2001 2002 2003 2004 2005 ID Task Duration Start Finish T2 13 14111213 11 14 1 PreliminaryWork 435d 98-2-2 99-10-1

2 STPOCollect Relevant Personnel 30d 98-2-2 98-3-13

3 Determinationof theScope of LandAcquisition and House Demolition 45d 99-1-18 99-3-19

4 Measurementand Calculation of theAffected Tangible Materials SOd 99-3-22 99-5-28

6 Negotiationof ResetlementPolicies and Plans 30d 99-5-31 99-7-9

6 Compilationof RAP 60d 99-7-12 99-10-1

7 Land Acquisitionand HlouseDemolition of DrainagePipeline Project 1422d 004-4 05-9-14 j _

8 Holdingthe Mobilization Meetings and Announcing Relevant Policies 3d 004-4 00-4-6

9 PromulgatingFormat Announcement of Land Acquisitionand House Demolition 8d 004-7 004-18

10 Negotitationand Signature of theContracts for Compensationand Resettlement 1020d 004-19 04-3-16 i 1

11 Settlingthe Accounts and Dealing out theCompensation 115Id 00-5-17 04-10-13

12 PayingCompensation for AffectedShops 1391d 00-5-17 05-9-14

13 Land Acquisition.of QinodongSewage Treatment Plant Project 230d 994-5 00-2-18ii

14 Holdingthe Mobilization Meetings and Announcing Relevant Policies 3d 99-4-5 994-7

15 PromulgatingFormal Announcement of LandAcquisition and House Demolition 5d 994-S 994-14

16 Negotitationand Signature of theContracts for Compensationand Resettlement 210d 994-15 00-2-2

17 Settlingthe Accounts and Dealing out theCompensation 7d 00-2-10 00-2-1S ,

18 InfrastructureReconstruction 1378d 00-1-5 054-15

19 IndependentMonitoring and Evaluation 1534d 00-1-3 05-11-17

Project:RAPfor ShiJlazhuangSewage Task Milestone Rolled Up Task Rolled Up Progress Treatment Project Progress Summary _ Rolled Up Milestone O 7. Organizations

7.1 Organizational Framework

During the implementation of the project, organizations responsible for resettlement planning, management, implementation and monitoring include: * Urban Environment Project Office of Hebei Provinve (UEPOHP) * SewageTreatment Project Lead Team of Shijiazhuang City (PLT) * Sewage Treatment Project Office of Shijiazhuang City (STPO)

D Land Administration Bureau of Shijiazhuang City(LAB) * Land Administration Bureau of Luancheng County (LABLC) * Shijiazhuang Municipal Design & Research Institute of Hebei Province (SMDRI) * North China Research Institute for Municipal Engineering Design (NCRIMED) * National Research Center of Resettlement (NRCR) * Loudi Vilage Administration Committee (LVA) * Fangcun Town Government

The main responsibilities of these organizations are as followings: * PLT is in charge of leading the land acquisition, house demolition and resettlement activities of the project. * STPO is responsible for compiling the RAP, organizing, coordinating, examining and supervising the inplementation of the RAP. * Land Administration Bureau of Jiao District and Luancheng County are in charge of acquiring land. * Land Administration Bureau of Shijiazhuang City is in charge of the supervision and arbitration of land acquisition.

53 7.2 Responsibilities

7.2.1 Sewage Treatment Project Office of Shijiazhuang City (Project

management organization) The responsibilities of STPO are: * Arrange for and conduct socioeconomic survey and tangible material indices survey; * Apply to LAB for the planning permission and construction permission for land use; * Work out and implement the relevant polices of the RAP; * Organize and coordinate the compilation of RAP; * Ensure and coordinate the implementation of RAP in accordance with the schedule of project construction;

e Allocate project funds and supervise the utilization of fund; * Direct, Coordinate and supervise the implementation of RAP; * Supervise internal monitoring of the project, chose external independent monitoring organization and cooperate with and coordinate the external monitoring activities; * Examine the monitoring report; * Prepare the progress report and submit it to Urban Environment Project Office of Hebei Province; * Coordinate and solve the conflicts and problems incurred during the implementation of RAP.

7.2.2 Land Administration Bureau of Luancheng County The responsibilities of them are: * Conduct socioeconomicsurvey; * Register and announce the tangible material indices of land

54 acquisition; * Negotiate with the units whose land are to be requisitioned about the RAP and compiled the RAP with them * Go through formalities for land acquisition. * Sign the agreement on compensation and resettlement for land acquisition and house demolition with STPO and the affected villages; * Information management of land acquisition, demoliton and resettlement activities; * Staff training; * Coordinate and solve the conflicts and problems incurred during the implementation of RAP;

7.2.3 Land Administration Bureau of Shijiazhuang City (Organization for Management and Supervision) The responsibilitiesof LAB are: * Execute and implement the relevant state policies, laws and regulations regarding the management of land used for project construction; * Participate in the examination and investigation of the compensation standard and the resettlement plan for land acquisition and attached facilities of the project; * Go through formalities for examination and approval of land acquisition of the project; * Participate in the socioeconomicsurvey; * Participate in the compilation and examination of RAP; * Grant the construction license for land use and the planning license for land use; * Promulgate Land Acquisition Announcement, * Direct, coordinate and supervise the implementation of RAP;

55 * Coordinate and solve the conflicts and problems incurred during the land acquisition and allocation of the project.

7.2.4Fangcun Town Government The responsibilities of them are: * Participate in socioeconomicsurvey; * Participate in working out and compiling RAP and resettlement scheme; * Investigate and supervise the resettlement and iincome restoration of PAPs; * Report the suggestions and opinions of PAPs to higher authorities.

7.2.5 Loudi Village Administration Committee (LVAC) The responsibilities of LVAC are: * Participate in conducting socioeconomic survey and working out resettlement scheme; * Participate in working out and compiling RAP; * Organize public consultation and propagate the policies of land acquisition and demolition; * Adjust and allocate the land left in the village after land acquisition; * Arrange for PAPs to carry out production development and income restoration activities after land acquisition; * Transfer opinions and suggestions of PAPs to the higher authorities concerned; * Provide vulnerable group for restoration with special assistance.

7.2.6 Shijiazhuang Municipal Design & Research Institute and North China Research Institute for Municipal Engineering Design 56 (Organizations for Investigation and Design) The responsibilities of them are: * Minimize the adverse impacts of the project through optimum design; * Define the scope of the area affected by land acquisition and house demolition; * Assist to compile RAP; * Provide STPO with technical consultation on data investigation and processing.

7.2.7 National Research Center of Resettlement (Organization for Independent Monitoring and Evaluation) 3 Provide STPO with technical consultation on land acquisition, house demolition and PAP resettlement; * As an organization for independent monitoring and evaluation, NRCR is responsible for observe and monitor the RAP and its implementation and submit reports on independent monitoring and evaluation of resettlement to the World Bank and STPO. Its responsibilities will be explained in detail in Chapter

7.3 Staffing

The staffing of each major resettlement institution involved in the project is shown in Table 7-1. The resettlement organizations involved in the project are well-staffed, and the average number of working staff is 49 and the total number of staff is 108. Most of the staff have an above average education degree and well trained in their specialties. The information path among the organizations is unimpeded. Thus can ensure a good performance in the implementation of RAP.

57 Table 7-1 Staffing of the Resettlement Organizations involved in the Project

Resettlement Average Number Total Number of E a Date of Start of Institutions of Staff (person) Staff (person) Education and Qualification of Staff Operation

From August PLT 2 8 Government officials; college degreex8 1 996 Engineers; Technicians; Economic From August STPO 3 10 management personnel; college degreexlO 1996

LAB 2 4 Civil servants; college degreex4 From1 996 August

LABLC 2 4 Civil servants; college degreex4 From October

.TTG12 6 Civil servants; Economic management From February FTTG 6 12 personnel; college degreexl2 1997

LVAC 26 50 Cadres of villages From February NCRIMED______2______6n ese ia cle geFm u1997 NCRIMED 2 6 Engineers; Technicians; college degreex6 From August 1996

College professorx3; Ph.D. degreexl; MS From August NRCR 4 6 degreex2 1998

Grand Total 49 108

58 7.4 Organization Chart

See Figure 7-1 for organization chart.

I IEPOHP7

~PIT

SMDRIjSTPO LAB NRCR

LABLC

Shop Ownerof I | FTG Owner Ground Accessonres.

LVAC

* r ~~PAPs|

Figure 7-1 Organization Chart

59 7.5 Measures to Strengthen Organizational Capacity

* Funds and equipment are fully guaranteed. STPO has been equipped with telephones,fax equipment,computers, etc. * To set up ARMS,carry out data managementof land acquisition,house demolition and PAP relocation using computers, and ensure an unimpededinformation deliverysystem. * PLT is in charge of makingstrategic decisionfor major issues. * Strengthen the reporting system and internal monitoringand solvethe problemsincurred without delay. * Independent monitoring and evaluation should be reinforced. The Organization in charge of Independent monitoring and evaluation should report the existing problems to the department concerned without delay and suggestsolutions

7.6 Working Routine of Land Acquisition

The project unit must obtain the -followingdocuments to go throogh the formalities of land use: * The documentof state key project approval; * The documentsof capital investmentplan; * Topographicmaps; * Planning license; * General plan layout drawing;, * Agreementon land acquisition; * Applicationfor land use; * Examinationand approval forms; * The opinionsof the higher competentauthorities; * The opinion certificationby the departments concerned;

60 * On-the-spot survey card; * Written instructions on the feasibility research report; * Written instructions on preliminary project design.

STPO shall, through LABJD and LABLC, pay land compensation to the affected villages and pay young crop compensation to affected contractors.

VAC shall carry out appropriate readjustment of cultivated land. During the transition period, VAC will compensate the affected contractors for their loss from land acquisition until the land is re-ailocated.

61

8. Participation and Consultation

In order to formulate relevant policies, work out and compile the RAP, carry out the RAP efficiently, guarantee the legal advantage of PAPs, alleviate the grievances and conflicts and resettle the PAPs properly, special attention will be paid to participation and consultation of the PAPs in the project. During the formulation of resettlement policies, compilation and implementation of the RAP, the opinions of PAPs are heard widely.

When feasibility study is carried out during the project preparing phase, STPO has solicit opinions of Shijiazhuang City Government, Government of relevant districts and counties, the People' s Congress of Shijiazhuang City, the Political Consultative Conference, mass organizations, and the representatives of villages affected by land acquisition on drainage pipeline alignment, location of the sewage treatment plant, land acquisition, house demolition and reseftlement for many times.

In March 1998, STPO conducted a questionnaire survey. Totally, 150 questionnaire forms were send out among which 120 were returned, and the rate of return is 80%. The persons who fil in the forms are of different ages and occupations, including deputies of the NPC, members o the C.P.P.C.C, government officials, college professors, ordinary townsfolk, workers, peasants, the villagers around the site of the sewage treatment plant, etc. Therefore, the result of the survey can reflect the suggestions and opinions from different social strata and different aspects. See Table 8-1 for the survey result.

62 Table 8-1 Summary of the.Questionnaire Survey No. of Survey Questions Options People Result Surveyed (%) Is the urban sewage control Yes 112 93.3 beneficial to the economic No suggestion 8 6.7 development of Shiliazhuang City? No 0 0 Is it necessary to construct Yes 120 100 Qiaodong Sewage N Treatment Plant? u Do you agree that the Yes 109 90.8 sewage treatment plant will Alternative site 6 5 lie in the south of Loudi Village beyond Third No 5 4.2 Circular Road? _ ___ Is the sewage treatment Yes 116 96.7 project beneficial to the improvement of living No 4 3.3 condition of the residents? _ Yes 68 56.7 Do you agree to the policy' of levying effluent charge? y _ .5 Do you express opinions es 1 50.8 and suggestions on Shjiazhuang Sewage o 9 49.2 Treatment Proiect? __ _

The questionnaireshows that 100% of the people surveyed agreed to the Qidong Sewage Treatment Plant Project and 50.8% expressedtheir suggestions, opinions and wonry about the project, and the result Mustratesthat tl1e people surveyed are concerned about the sewage treatment project and aware that the constructionof the sewagetreatment plant is beneficialto economicdevelopment of Shijiazhuang City and improvement of living standard of urban residents. Moreover, the people. surveyed have already made the following pertinent suggestionsand opinionson the project. * To implementthe constructionof QiaodongSewage Treatment Plant Project as soon as possible and abate the water pollution nuisance in Shijiazhuang City;

63 * To pay attention to the impact of project construction and the operation of the plant on surrounding environment, especially the noise during the construction period and the foul smell during the operation; * To carry out secondary exploitation and utilization of water resource to utilize the effluent of the plant to create economic benefit; * To resettle the PAPs, whose land is used for the project, properly; * To make legitimate utilization of funds. In a word, the project is a social public welfare works that is very important for the improvement of water quality of the arterial escape canal, Jiso River and Fuyang River.

In November 1998, STPO carried out a survey of socioeconomic condition, pubic opinions and psychology and solicited the opinions from 14 households affected by or benefit from the project. The result of psychological questionnaires showed: * 100% of the sampling households were fully aware of or partially aware of the project; * 100% of the sampling households agreed with the project; * 71% of the sampling households were aware of or partially understood the policies on land acquisition, house demolition, resettlement and

compensation; * 93% of the sampling households believe that the project is beneficial to the state; * 93% of the sampling households believe that the project is beneficial to the colective; * 100% of the sampling households believe that the project is beneficial to the individual; * 93% of the sampling households knew that they could appeal to the department concerned if their rights were encroached upon. Table 8.2 shows the details of the survey.

64 Table 8.2 Psychology Questionnaire Results(%) No. Questions Answers (1) 1(2) (3) (4) (5) I Do you know that the (I ) Yes (2) Know a little about it 86 14 / / project constructionwill (3 ) No begin? 2 Do you agree with the (I) Yes (2) No (3 ) Indifference100 / I / roject? r a) Thestate (1) Yes (2) No 93 7 / / 3 Who will benefitfrom the b) The collective ( I ) Yes (2) No 93 7 / / project? (Multiple c) Individuals (I) Yes (2) No 100 / / I Choices) (I) Economicloss 4 which ofthe potential ( 2 ) Deterioration of residential hazards of urban environment 64 100 100 86 93 wastewater do you know? (3 ) Do harm to resident health (4) Affectinvestment environment (S) Smear the images of .______Shijiazhuang City ( I ) Haveno impact 5 To what degreedose the (2) Not seriously 0 7 29 64 / urban wastewateraffect (3) Ratherseriously your work and life? (4) Seriously (1) Improveliving environment 6 Which ofthe benefitdo (2) Improveworking enviroment 93 57 36 93 you think you can get (3 ) Provideemployment opportunity from the project? (4) -Benefithealth of body and mind ( I ) Have no adwrse impact 7 Which of theadverse (2) The project constction may impact do you thnk the affecttmffic condition 43 43 / / 7 project will has on you? (3) Economicloss cause by house demolition (4) Decase of income caused by land acquisition (5) Other adverse impacts 8 (1) Yes Do you know thepolicies (2) Know a little about 21 50' 21 / -onurban landacquisition, (3) No - house demolition, resettlement and compensation? . 9 Do you knowtha you can (C) Yes appealtO the dcPartment (2) No 93 7 / . concernedwhen your rights are encroached upon? ___ All the results of the survey mentioned above have been adopted in the RAP after arrangement and analysis.

65 In the future, the following measures will be taken to encourage public participation and consultation. * Holding the negotiation meetings(6 months before the land acquisition) To organize urban residents, rural residents, village cadres and woman representatives (Female representatives should comprise at least 30% of all attendants to protect the interests of the vulnerable groups) to participate in discussion meetings, introduce the resettlement condition to the attendants and further hear their opinions and suggestions. * Holding mass meetings(3 months before the land acquisition) The mass meetings are held before the implementation of RAP in order to explain the relevant policies, regulations, compensation standards, the resettlement scheme and so on in detaiL Thus, the PAPs can make early preparations for the resettlement. * To propagate the policies on land acquisition and house demolition of the project via mass media. * Promulgation of land acquisition announcement The contents are: 1) brief introduction of the project 2) the scope of land acquisition and demoUtion 3) the resettlement policies(including compensation standards) 4) organization whichis responsible for the resettlement 5) schedule of resettlement and relocation 6) rights and obligations of PAPs 7) grievances and appeals 8) monitoring and evaluation

* Village cadres and representatives of PAPs participate in the work of land acquisition and resettlement. Village cadres and representaives of PAPs should make on-the-spot survey with the worldng staffs of SMPO,LABJD and LABLC to determine the final quantity

66 of land acquisition and house demolition and negotiate about the plan for compensation standards and resettlement. Directed by STPO, LABJD, LABLC and TTG, the VAC of viUages affected determine the resettlement plan for the total population affected and decide how to allocate the land left after land acquisition and the investment profits of land compensation and how to utilize the land compensation on the basis of democratic consultation (with the permission of two-thirds of the villagers). 0 The report of Resettlement Action Plan for Sewage Treatment Project of Shijiazhuang City wfll be placed at STPO to be looked up by relevant people.

67 9. Grievances and Appeals

Special attention will be paid to the PAPs and the project affected units (PAU) participation throughout the process of compilation and implementation of RAP. To ensure that the P-APs and the PAUs have channels for redressing their grievances, transparent and efficient grievance redress procedures have been established for the project to avoid serious grievance problems.

The grievance redress procedures include the following four stages:

* Stage I If PAPs or PAUs are not satisfied with the RAP or implementation of RAP, they can appeal to LABJD and LABLC (Implementation organizations) orally or in writing. In case of an oral compliant, LABJD or LABLC is required to document the specific grievance on paper, keep it in the archives and settle the grievance within two weeks.

3 Stage II If the PAPs and PAUs are not satisfied with the solution of Stage I, they can then appeal to STPO or LAB after receiving the Judgement notice of Stage L MTPOor LAB shaU make a decision on the complaint withln two weeks.-

* Stage Im If the PAPs and PAUs are still dissatisfied with the settlement, they can appeal to PLT (The institution in charge of supervision and arbitration of land acquisition and house demolition) after receiving the decision made by STPO and submit the dispute for arbitration. PLT, the arbitration organization, will make arbitration on the complaint withi 3 weeks

68 * Stage IV If the PAPs or PAUs are still dissatisfied with the arbitration, they can appeal to the Peoples Court in accordance with the Administration Procedure Law of PRC after receiving the decision of the arbitration organization. PAPs or PAUs can make an appeal on any issue of the resettlement plan, including compensation criteria.

The PAPs will be informed of the grievance redress procedures mentioned above through meetings and other ways to ensure that they are clear about their rights of grievance and appeals and can protect their own rights.

.69 10. Monitoring

According to Operational Directive 4.30 of the world Bank, implementation of land acquisition, house demolition and resettlement activities should be monitored regularly to ensure those actions have proceeded in accordance with , the provisions of the RAP. There are two kinds of monitoring mechanisms in this RAP, the internal monitoring and the independent monitoring that is carried out by an external institution.

Internal Monitoring is carried out by UEPOHP, TLP, STPO, LAB, LABJD and LABLC to ensure that al the units follow the schedule and comply with the principles of the RAP. The purpose of the internal monitoring is to make the resettlement organizations fulfil their duties efficiently during the implementation of the RAP.

Independent Monitoring Organization is responsible for making independent monitoring and evaluation on the activities of land acquisition, house demolition and resettlement regularly. NRCR, as the independent monitoring organization (IMO), undertakes the independent monitoring of the project. The independent monitoring covers the issues folowing: * Operation efficiency of the resettlement network; * Implementation process of land acquisition, house demolition, rehabilitation; * Compensation and business restoration of affected shops; * Investigation and analysis of the living standards of PAPs. The independent monitoring is to entrust an organization independent of STPO with the monitoring and evaluation on the implementation of resettlement and economic rehabilitation from an overall and long-term point of view. IMO follows the resettlement activities of the project closely to evaluate whether the

70 goals of resettlement are achieved. The evaluation criteria include: * To follow national laws and regulations relevant to land acquisition, house demolition and PAP resettlement; * To comply with the principles of Operational Directive 4.30 (OD4.30) on Involuntary Resettlement of the World Bank; * To help the PAPs to improve their living standards or at least to restore former one. The IMO should provides STPO suggestions about the implementation of RAP so as the problems incurred during the implementation of RAP can be resolved without delay.

10.1 Internal Monitoring and Supervision

STPO has developed an internal monitoring system to supervise the resettlement activities. STPO establishes relevant database on land acquisition, house demolition and resettlement and use it to compile the RAP, monitor the PAPs and PAUs and carry out the internal investigation and supervision of the whole course of resettlement preparation and implementation.

10.1.1 Implementation Procedure

During the implementation of RAP, STPO should collect and record information on PAPs and affected shops according to the samples provided by monitoring organizations. At the same time, they should report the record of the current activities timely to UEPOHP so as to ensure a continuous monitoring on implementation. STPO should conduct regular inspection on the implementation of RAP and report it to higher authorities

71 concerned.

In the internal monitoring system mentioned above, the information table with unified form should be fixed in order to realize tie continuous information flow from LABJD, LABLC, LAB and STPO to UEPOHP. UEPOHP, STPO, LAB, LABJD and LABLC, the important members of internal monitoring system, should carry out regular inspection and verification.

10.1.2 The Tasks of Monitoring

(1) Payment of compensation to PAPs and project affected villages (PAV) (2) Rehabilitation and business recovery of affected shops

(3) The schedule of the activities mentioned above (4) Conformity with the policy and regulation of RAP (5) Community Participation and consultation during the implementation of RAP (6) Staffing, training, working schedule and operation effectiveness of the resettlement institutions

10.13 Personnel

The staffing of resettlement organizations is presented in Chapter 7. Staffs of the organizations responsible for monitoring and data processing are as follows:

72 Table 10.1 Personnel of Resettlement Organizations Involved in Monitoring Unit: person Total Staff in Peak NO. ResettlementOrganizations Regular Staff r ~~~~Hour 1 PLT 1 2 2 STPO 2 4 3 LAB 1 2 4 LABLC 1 2 5 IMO 4 6

10.2 Independent Monitoring

The IMO carries out its monitoring work on the basis of the census data compiled by the survey and design institute and materials utilized by the resettlement organizations.

10.2.1 The Independent Monitoring Organization (IMO)

STPO invited NRCR as the IMO of the project. NRCR is the first national research institution of project resettlement in China, and it is also the only one in cooperation with EDI in training of resettlement personnel in china. It has rich experience in resettlement policies, planning, design, implementation, monitoring, evaluation, management, etc. Moreover, NRCR has undertaken independence monitoring and evaluation work or RAP compilation work of projects funded by the World Bank more than 20 times.

73 The monitoring and evaluation (M&E) group of NRCR consists of 6 members experienced in sociology and engineering resettlement including professors, lecturers, Ph. Ds and masters. See Annex 1 for the. outline of independent monitoring and evaluation.

,- 10.2.2 Responsibilities

NRCR should follow,monitor and evaluate the implementation of RAP. In addition, as an independent consultant, it should provide advice and suggestions.

NRCR has already made an on-the-spot survey of the sites where the land will be requisitioned or the houses wiD be demolished for the project from September to October 1998 and provide technical consultation and guidance for supplementary socioeconomic survey and RAP compilation. Besides, it should carry out following activities. A. Baseline Survey

NRCR should carry out baseline survey of the PAPs and PAUs and collect basic materials of living standards of PAP households and production level of PAUs. Survey on production and living standards wiD be made annualy thereafter to measure the changes in the living standards of PAPs. Various methods such as sampling survey, tracking typical sampling households (sampling households are determined using random sampling method), random visit and in-site observation are used to collect necessary materials. Finally, NRCR analyzes those collected materials and gives an evaluation.

74 B. Regular Monitoring and Evaluation

During the implementation of RAP, IMO will conduct regular monitoring on project resettlement once a year. By in-situ observation, tracking typical sampling households and random visit to PAP households, IMO will monitor the following activities. * Payment of Compensation and the sum of compensation * Compensation and restoration of affected shops * Training * Production and living standards of PAPs . The schedule of the activities mentioned above * Social psychology of PAPs * Organizations of resettlement and rehabilitation system

C. Public Consultation

IMO will attend the public hearing, and consultation meetings during the compilation and implementation of RAP. Through participation in these meetings IMO evaluates the effectiveness of the community participation.

D. Grievance Redress

In order to evaluate the grievance redress system of the implementation organizations, IMO will monitor the PAPs' grievance and complaints by visiting the PAPs regularly,

75 checking the grievance files kept by the implementation organizations responsible for receiving the complaints and interviewing the PAPs who raised the complaint. As for these grievance issues, IMO should make suggestions about improving t4e grievance redress system to make it more effective.

10.2.3 Monitoring and Evaluation Procedure

(1) To compile the outline of independent monitoring and evaluation (2) To prepare and compile survey outline and questionnaire (3) To work out plan for sampling survey and determine the sampling PAP households and project affected shops (PAS) (4) To carry out baseline survey (5) To establish monitoring and evaluation information system (6) To conduct monitoring and survey To conduct local socioeconomicsurvey To monitor resettlement implementation organizations To monitor sampling PAP households To monitor sampling PASs (7) To arrange monitoring data and establish the relevant database (8) To conduct comparative analysis (9) To produce and compile monitoring and evaluation reports

76

11. Report

11.1 Internal Report

11.1.1 Responsibilities and Frequency of Report

From the beginning of the implementation of the RAP, STPO should submit progress report to UEPOHP biannually and submit annual progress report at end of a year, while UEPOHP should submit progress report to the World Bank biannually and submit annual progress report at end of a year. Summary reports should be produced after the completion of land acquisition and house demolition.

11.1.2 Format

S The Statistic Reports The statistic reports of resettlement progress should be compiled in accordance with the requirements of the World Bank and be submitted by project offices regularly. In accordance with the requirement of the WorftdBank, the report should contain two parts. The first half is the literal part which focus on the progress of land acquisition, house demolition, resettlement, compensation fund availability, and so on. The problems and difficulties encountered during the implementation of RAP and the solution to them are also included in it. The second half contains the forms which summarize the statistical data of earlier stage and show the results of comparative analysis for the planning quantity and

77 the actual quantity of land acquisition, house demotion, compensation fund availability, etc.

0 The Progress Reports A progress report mainly consists of literal parts and forms.

11.2 Report Responsibilities of Project Offices

11.2.1 Report Frequency

STPO will submit the internal monitoring report on land acquisition and resettlement progress to UEPOHP four times a year. UEPOHP will submit the biannual progress report of the land acquisition, house demolition and relocation of the last year to the World Bank at the end of January every year.

11.2.2Report Contents

* Progress of land acquisition, house demolition and resettlement * Compensation rates, and payment of compensations * Resettlement and production recovery of PAPs and PASs * Staff training

11.2.3 Report Format

In accordance with the requirement of the World Bank, the report should contain two parts. The first half is the literal illustration which focus on the progress of land acquisition, house demolition, resettlement, compensation fund availability, and so oll. The

7g problems and difficulties encountered during the implementation of RAP and the solution to them are also included in it. The second half contains the forms which summarize the statistical data of earlier-stage and show the results of comparative analysis for the planning quantity and the actual quantity of land acquisition, house demotion, compensation fund availability, etc.

11.3 Report Responsibilities of Independent Monitoring Organization

11.3.1 Report Frequency

According to the World Bank' s guidelines, the IMO should carry out independent monitoring and evaluation on the resettlement once a year and submit the monitoring and evaluation report to the World Bank through STPO.

From the beginning of resettlement implementation, monitoring and evaluation survey will be carried out in every November, and corresponding reports should be submitted on January 31 of the next year. The work of land acquisition, house demolition and resettlement of the project wil be completed in December 2001, so the independent monitoring and evaluation on resettlement of the project wiUlbe conducted 7 times. They are: * Baseline survey in January 2000 * Monitoring and evaluation in November 2000 * Monitoring and evaluation in November 2001 * Monitoring and evaluation in November 2002 * Monitoring and evaluation in November 2003

79 * Monitoring and evaluation in November 2004 * Monitoring and evaluation in November 2005

11.3.2 Report Contents

* Resettlement base-line survey * Implementation progress of land acquisition, house demolition and resettlement * Fund availability and utflization * Compensation and business recovery of PASs * Living and production standards of PAPs * Evaluation on the operation and efficiency of resettlement agencies * PAPPsychology survey * Existing problems and suggestions on solutions to them

11.3.3 Report Format

'The independent monitoring report adopts 3 formats: literal illustration, forms, and pictures.

80 12. Entitlement Matrix

Impact PAP or Type PAU Compensation Policies Standards * PAUs get land compensation and 50,000 relocation allowance yuan/mu Village 0 The land compensatiorf and Collective relocation allowance are used to Land help the PAPs restore their income Acquisition level * VAC allocates land compensation and relocation allowance to the economic development of village collective with the permission of two-thirdsof the villagers * Measures such as providing PAPs with jobs* or technical training Labor courses will be taken to avoid incomedecrease of PAPs * The remaining land will be adjusted 'and allocated to the PAPs directly affected by the project so that they can have cultivated land similar to that of other peasants. * PAPs get investiment profit of the land compensation and relocation allowance. Contract PAPs get young crop compensation 892 Household yuan/mu * PAPs get compensationfor Loss of closure on the basis of actual Shops in Owner duration of closure and the actual Rural Area wage and bonus of the employees Attached * PAPs get full compensationbasod on See Facilities Owner market price Chapter 3 . for detail

81

Annex A The General Outline of the Independent Monitoring

and Evaluation on Sewage Treatment Project of Shijiazhuang

city

1. Objectives of Independent Monitoring and Evaluation on Resettlement

According to the requirement of OD4.30 Involuntary Resettlement and annex 3 in the technical document No.80 of the World Bank Involuntary Resettlement and Rehabilitation in DevelopmentProjects -Guidelines of Policyfor the World Bank Loan Projects, NRCR undertakes the independent monitoring and evaluation on the resettlement of Sewage Treatment Project of Shijiazhuang City. NRCR will survey the fund availability and utilization, project management and progress of lai'nd acquisition, house demolition and resettlement, conduct comparative analysis and evaluation on changes in production, business and living condition of PAUs and PAPs before and after relocation and then make an evaluation for the progress. of land acquisition, house demolition, relocation and rehabilitation. It will submit regular monitoring and evaluation report (once a year) to the World Bank, STPO, UEPOHP and the relevant competent departments. At the same time, it will also provide information and suggestions for the departments concerned making decision. From these reports, the World Bank and the competent departments of the project can get full understanding of whether the work of land acquisition, house demolition and resettlement achieve the desired results on time. These reports can also help to identify the crux of the problems and make suggestions about how to improve the resettlement work.

2. The Contents of Independent Monitoring and Evaluation

82 (1) Independent Monitoring and Evaluation on Implementation Progress of Land Acquisition and House Demolition

The implementation progress of land acquisition includes * The progress of land acquisition; * The progress of temporary land use; * The progress of project impact;

(2) Independent Monitoring and Evaluation on Resettlement Fund Availability and Utilization

Resettlement fund availability and utilization include: * Funds allocation and availability; * Funds utilization (planning and actual).

(3) Independent Monitoring and Evaluation on Living Standards of the PAPs

It includes: * Living standards of PAPs before relocation; * Living standards of PAPs after relocation; * The comparative analysis and evaluation on employment and living standards of PAPs before and after relocation.

(4) Independent Monitoring and Evaluation on Compensation and Business Recovery of Affected Shops

It includes: * Business condition and income level before project construction; * Whether or not the operators of PASs are compensated for their loss from suspense of business on time.

83 3. Technical Route

See Figure 1 for the technical route of independent monitoring and evaluation.

4. Independent Monitoring Organization

NRCR will undertake the independent monitoring and evaluation work of the resettlement of the project.

5. Organization and Division of Labor of Resettlement Monitoring and Evaluation

(1) The National Research Center of Resettlement (NRCR) is entrusted by STPO to be in charge of the surveys, data collection and analysis work of the independent monitoring and evaluation, while STPO is responsible for the examination of the its results.

84 Project roval

Compiling the Outline of Monitoring & Evaluation

Developing the Software of M. & E. Information System . + Compiling Survey Outline & Forms; Making Record Card of Sampling Households and Units

Working Out the Plan for Sampling Surv,Fy

Baseline Survey | .~~~~~~~~~~4 ' Establishing Management Information System of MI & E.

Monitoring & Survey

' . . I. *1. _ Local Monitoring on Monitoring Monitoring Monitoring Socioeconomic Resettlement on Sampling on Sampling on Sampling Survey Implementation -PAP PASs Villages Institutions Households

Sorfing outData & Establishing Database

Comparative Analysis & Evaluation '

Compilation of M & E Report

Whether the Resettlement Monitoring is Completed or not

The End

Figure 1 Technical Route of Independent Monitoring and Evaluation.

85 (2) NRCR sets up the Resettlement Monitoring and Evaluation Group of Sewage TreatmentProject of Shijiazhuang City (M&E group). The tasks of the group include: * Guided by the project manager of the World Bank, M&E group will carry out resettlement monitoring and evaluation of the project; * Compilation of the outline of resettlement monitoring and evaluation; * Monitoring site selection; * Outwork such as on-the-spot survey and monitoring and indoor work such as data processing and data analysis; 3 Compilation of resettlement monitoring and evaluation reports.

(3) STPO provides required personnel, transport equipment and other facilities for the M&E when on-the-spot survey and monitoring work are conducted.

6. The Method of Resettlement Monitoring and Evaluation

(1) The method of monitoring and evaluation is a combination of field visit, data collection and calculation, comparative analysis, and expert evaluation.

(2) In the monitoring and evaluation process, both overall surveys and sampling surveys are conducted. Overall surveys are for collecting data of the progress of resettlement implementation, funds, organizations and management, etc. At the same time, sampling surveys of house demolition and reconstruction and living standards of PAPs and PASs are made.

86 (3) Sampling survey adopts various methods such as typical sampling and random sampling to make a tracing survey of the sampling households and shops. Sampling sizes of different groups of PAPs are 10% of PAP households of land acquisition, house demolition and resettlement, 10% of PASs of business recovery, and 10% of PAP households of temporary land use.

(4) The methods of overall surveys are distributing forms to resettlers and ask them to fll out the forms, interviewing resettlers, holding discussion meetings and checking the files kept in department concerned, etc.

(5) Besides written material, other kind of material need to be collected such as pictures, magnetic tapes, video tapes and material objects. Resettlement Monitoring and Evaluation Information System on Sewage TreatmentProject of Shijiazhuang City is also established.

7. Schedule of Resettlement Monitoring and Evaluation

* In December 1999, M&E Group was set up and began to compile the outline of independent monitoring and evaluation.

* Before January 2000, preparations for resettlement monitoring and evaluation have been finished. The preparation work includes: * compiling the outline of survey and relevant forms; * establishing monitoring system; * identifying tasks; * monitoring sites selection.

* In January 2000, baseline survey will be made.

87 * The first external monitoring and evaluation will be conducted in November 2000, and its report will be submitted in January 2001.

* The second external monitoring and evaluation will be conducted in November 2001, and its report will be submitted in July 2002.

* The third external monitoring and evaluation will be conducted in November 2002, and its report will be submitted in January 2003. * The fourth external monitoring and evaluation will be conducted in November 2003, and its report will be submitted in January 2004. * The fifth external monitoring and evaluation will be conducted in November 2004, and its report will be submitted in January 2005. * The sixth external monitoring and evaluation will be conducted in November 2005, and its report will be submitted in January 2006.

88 i Annex B Sketch Map of Sewage Pipe Network of Sewage

Treatment Project of Shijiazhuang City

.

89