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Download 560.87 KB ASIAN DEVELOPMENT BANK PCR: PHI 29083 PROJECT COMPLETION REPORT ON THE SUBIC BAY AREA MUNICIPAL DEVELOPMENT PROJECT (Loan 1599-PHI) IN THE PHILIPPINES September 2004 CURRENCY EQUIVALENTS Currency Unit – Philippine peso (P) At Appraisal At Project Completion (5 September 1997) (30 June 2003) P1.00 = $0.0296 $0.0187 $1.00 = P33.75 P 53.60 ABBREVIATIONS BLGF – Bureau of Local Government Finance CDF – Countryside Development Fund DBM – Department of Budget and Management DBP – Development Bank of the Philippines DILG – Department of the Interior and Local Government DOF – Department of Finance EIRR – economic internal rate of return FIRR – financial internal rate of return GFI – government financial institution LBP – Land Bank of the Philippines LGU – local government unit LWUA – Local Water Utilities Administration MDFO – Municipal Development Fund Office MOU – memorandum of understanding NEDA – National Economic and Development Authority O&M – operation and maintenance PAG – project advisory group PCR – project completion report PGB – policy governing board PIU – project implementation unit PMO – project management office PSC – Project Supervisory Committee SBF-SEZ – Subic Bay Freeport and Special Economic Zone SBMA – Subic Bay Metropolitan Authority SEZF – Special Economic Zone Fund SIP – subproject investment package SLA – subloan agreement SWM – solid waste management TA – technical assistance TWC – technical working committee WD – water district NOTES (i) The fiscal year (FY) of the Government ends on 31 December. (ii) In this report, "$" refers to US dollars. CONTENTS Page BASIC DATA iii MAP vii I. PROJECT DESCRIPTION 1 II. EVALUATION OF DESIGN AND IMPLEMENTATION 1 A. Relevance of Design and Formulation 1 B. Project Outputs 4 C. Project Costs 5 D. Disbursements 5 E. Project Schedule 6 F. Implementation Arrangements 7 G. Conditions and Covenants 7 H. Consultant Recruitment and Procurement 8 I. Performance of Consultants, Contractors, and Suppliers 8 J. Performance of the Borrower and the Executing Agencies 9 K. Performance of the Asian Development Bank 9 III. EVALUATION OF PERFORMANCE 9 A. Relevance 9 B. Efficacy in Achievement of Purpose 9 C. Efficiency in Achievement of Outputs and Purpose 10 D. Preliminary Assessment of Sustainability 11 E. Environmental, Sociocultural, and Other Impacts 12 IV. OVERALL ASSESSMENT AND RECOMMENDATIONS 12 A. Overall Assessment 12 B. Lessons Learned 12 C. Recommendations 14 APPENDIXES 1. Project Framework 16 2. Project Outputs 20 3. Estimated and Actual Project Cost 24 4. Project Schedule at Appraisal and Actual 25 5. Chronology of Events 28 6. Institutional, Financial, and Operational Action Plan 30 7. Organization Chart for Project Implementation 32 8. Status of Compliance with Loan Covenants 33 9. Financial and Economic Evaluation 39 10. Local Government Unit’s Institutional Capacity 46 iii BASIC DATA A. Loan Identification 1. Country Philippines 2. Loan Number 1599 3. Project Title Subic Bay Area Municipal Development Project 4. Borrower Republic of the Philippines 5. Executing Agencies Subic Bay Metropolitan Authority Local Water Utilities Administration Department of the Interior and Local Government 6. Amount of Loan $22.0 million 7. Project Completion Report Number 847 B. Loan Data 1. Appraisal – Date Started 18 August 1997 – Date Completed 5 September 1997 2. Loan Negotiations – Date Started 11 November 1997 – Date Completed 13 November 1997 3. Date of Board Approval 19 December 1997 4. Date of Loan Agreement 21 January 1998 5. Date of Loan Effectiveness – In Loan Agreement 21 April 1998 – Actual 8 September 1998 – Number of Extensions 2 6. Closing Date – In Loan Agreement 30 June 2003 – Actual 30 April 2004 – Number of Extensions 0 7. Terms of Loan – Interest Rate Variable – Maturity 25 years – Grace Period 5 years 8. Terms of Lending Municipal Development Fund Office – Interest 14% – Maturity 12 years – Grace Period 3 years Local Water Utilities Administration – Interest 10.5% – Maturity 20 years – Grace Period 1 year iv 9. Disbursements a. Dates Initial Disbursement Final Disbursement Time Interval 15 November 1998 16 July 2003 56 months Effective Date Original Closing Date Time Interval 8 September 1998 30 June 2003 57 months b. Amount ($ million) Last Net Category or Original Amount Amount Undisbursed Revised Amount Subloan Allocation Canceled Disbursed Balance Allocation Available 01 – Civil Works 11.1 0.3 10.9 0.3 0.1 0.2 02 – Equipment 2.6 0.7 1.8 0.7 0.6 0.1 03 – Consulting 1.3 0.1 1.2 0.1 0.0 0.1 Services 04 – IDC 3.8 0.8 3.0 0.8 0.5 0.4 05 – Unallocated 3.2 0.2 3.0 0.2 0.0 0.2 Total 22.0 2.1 19.9 2.1 1.2 1.0 IDC = interest during construction. 10. Local Costs (Financed) - Amount ($) 0.2 million - Percent of Local Costs 8% - Percent of Total Cost 3% C. Project Data 1. Project Cost ($ million) Cost Appraisal Estimate Actual Foreign Exchange Cost 18.6 3.1 Local Currency Cost 18.4 2.1 Total 37.0 5.2 2. Financing Plan ($ million) Source Appraisal Estimate Actual A. External Sources FX LC Total FX LC Total 1. ADB-Financed 15.8 6.2 22.0 1.0 0.2 1.2 2. Spanish Government Grant 1.0 0.0 1.0 0.9 0.0 0.9 Subtotal 16.8 6.2 23.0 1.9 0.2 2.1 B. Domestic Sources: 1. National Government a. DILG 0.0 2.5 2.5 0.0 1.2 1.2 b. SBMA 1.8 2.4 4.2 1.2 0.6 1.8 2. LGUs and WDs 0.0 7.3 7.3 0.0 0.1 0.1 Subtotal 1.8 12.2 14.0 1.2 1.9 3.1 Total 18.6 18.4 37.0 3.1 2.1 5.2 ADB = Asian Development Bank; DILG = Department of the Interior and Local Government; FX = foreign exchange cost; LC = local currency cost; LGUs = local government unit; SBMA = Subic Bay Metropolitan Authority; WDs = water districts. v 3. Cost Breakdown by Project Component ($ million) Component Appraisal Estimate Actual A. Base Cost FX LC Total FX LC Total 1. Part A: Physical Infrastructure a. Water Supply 1.7 2.3 4.0 0.1 0.2 0.3 b. Solid Waste Management 1.7 1.3 3.0 0.4 0.1 0.5 c. Urban Roads and Bridge 3.1 3.3 6.4 0.0 0.0 0.0 d. Drainage and Flood Control 2.2 1.7 3.9 0.0 0.0 0.0 e. Public Markets 1.2 2.2 3.4 0.0 0.0 0.0 Subtotal 9.9 10.8 20.70.5 0.3 0.8 2. Part B: Capacity Building a. Human Resource 0.3 1.4 1.7 0.2 0.8 1.0 Development b. Productivity Enhancement 0.7 0.6 1.3 0.7 0.4 1.1 c. Implementation Assistance 1.8 2.4 4.2 1.2 0.6 1.8 d. Incremental Administration 0.0 1.0 1.0 0.0 0.0 0.0 Subtotal 2.8 5.4 8.22.1 1.8 3.9 B. Contingencies 1. Physical 1.5 1.6 3.1 0.0 0.0 0.0 2. Price 0.6 0.6 1.2 0.0 0.0 0.0 Subtotal 2.1 2.2 4.30.0 0.0 0.0 C. Interest and Commitment 3.8 0.0 3.8 0.5 0.0 0.5 Charges Total 18.6 18.4 37.0 3.1 2.1 5.2 FX = foreign exchange cost, LC = local currency cost. 4. Project Schedule Item Appraisal Estimate Actual Date of Contract with Consultants Part A March 1998 December 1998 Part B July 1997 January 2001 Completion of Engineering Designs March 1999 December 2001 Civil Works Contract Date of Award July 1999 April 2002 Completion of Work June 2001 June 2003 Equipment and Supplies Dates Part A First Procurement January 1999 December 2000 Last Procurement October 1999 March 2003 Completion of Equipment Installation September 2001 June 2003 Part B First Procurement July 1998 November 2002 Last Procurement September 1998 November 2002 Completion of Equipment Installation September 1998 December 2002 Start of Operations Completion of Tests and Commissioning October 2001 August 2003 Beginning of Startup October 2001 August 2003 vi 5. Project Performance Report Ratings Ratings Implementation Period Development Implementation Objectives Progress From November 1998 to November 2000 Satisfactory Satisfactory From December 2000 to February 2001 Satisfactory Partly Satisfactory For March 2001 Satisfactory Satisfactory From April 2001 to December 2001 Partly Satisfactory Satisfactory From January 2002 to February 2003 Satisfactory Satisfactory From March 2003 to December 2003 Partly Satisfactory Satisfactory From January 2004 to March 2004 Satisfactory Satisfactory D. Data on Asian Development Bank Missions No. of No. of Specialization Name of Mission Date a Persons Person-Days of Members Fact-Finding 21 April–9 May 1997 4 76 b, d, e, f Appraisal 18 August–5 September 1997 5 65 b, b, c, d, h Inception 20 January–9 February 1998 1 4 b Review 1 19–20 November 1998 2 4 b, d Review 2 28 April–7 May 1999 2 4 b, k Review 3 25 November–3 December 1999 3 21 b, d, g Review 4 15–26 May 2000 2 24 d, g Review 5 11 September–17 November 2000 2 8 d, i Midterm Review 6 12 March–20 April 2001 5 74 d, a, b, g, e Review 7 12 September–5 November 2001 3 20 a, b, g Review 8 3–18 June 2002 2 13 a, g PCR 5–27 May 2004 4 57 a, g, i, j Total During Implementation 35 370 PCR = project completion report a a - engineer, b - financial analyst, c - counsel, d - urban development specialist, e - programs officer, f - environment specialist, g – assistant project analyst, h - consultant (municipal engineer), i - consultant (financial analyst), j – consultant (evaluation specialist).
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