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Quarterly Performance Report January – March 2021

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Quarterly Performance Report January – March 2021 PHOTO CREDITS: USAID TEAM QUARTERLY PERFORMANCE REPORT JANUARY – MARCH 2021 USAID Transparent, Effective and Accountable Municipalities Activity in Kosovo DISCLAIMER: This publication was produced for review by the United States Agency for International Development. It was by DAI Global, LLC. The author’s views expressed in this document do not necessarily reflect the views of the United States Agency for International Development (USAID) or the United States Government. USAID Transparent, Effective and Accountable Municipalities (USAID TEAM) activity in Kosovo QUARTERLY PERFORMANCE REPORT JANUARY – MARCH 2021 Project Title: USAID Transparent, Effective and Accountable Municipalities (USAID TEAM) Activity in Kosovo Sponsoring USAID Office: USAID/Kosovo Contract Number: AID-167-C-17-00001 COR: Jeton Cana Contractor: DAI Global, LLC Date of Submission: April 15, 2021 Prepared By: USAID TEAM USAID TEAM Quarterly Performance Report – Year 5 Quarterly 1 | ii CONTENTS Acronyms and abbreviations ...................................................................................................................iv INTRODUCTION .................................................................................................................................... 1 Kosovo USAID TEAM Background ................................................................................................... 1 SIGNIFICANT EVENTS THIS QUARTER ........................................................................................... 3 WORK PLAN PROGRESS ...................................................................................................................... 4 A.1. Activities serving the Adaptive Management Plan ................................................................. 4 Component I: Develop, Refine and Roll Out Models for Transparent and Accountable Municipalities ........................................................................................................................................ 10 Component II: Engage the Central Level in Addressing Municipal Corruption within the procurement process ......................................................................................................................... 31 Component III: Enable Civil Society to Track and Expose Corruption .................................. 38 PROGRESS OF ACTIVITIES IN ACCOUNTABILITY AND ENFORCEMENT MECHANISMS ..................................................................................................................................................................... 48 SUSTAINABILITY AND SELF-RELIANCE ......................................................................................... 50 INDICATOR PERFORMANCE ............................................................................................................ 53 PROJECT MANAGEMENT ................................................................................................................... 59 Successes during reporting period .................................................................................................. 59 Challenges during reporting period ................................................................................................. 60 Mitigation measures taken to address challenges......................................................................... 61 MAJOR ACTIVITIES FOR NEXT QUARTER ................................................................................... 61 ANNEX A: WORK PLAN PROGRESS TABLE ................................................................................ 63 ANNEX B: Technical STTA Assignments During Reporting Period ........................................... 72 ANNEX C: Reports and Deliverables Completed This Quarter ................................................. 74 USAID TEAM Quarterly Performance Report – Year 5 Quarterly 1 | iii Acronyms and abbreviations AAR After Action Review API Application Program Interface CHU Central Harmonization Unit CM Contract Management COR Contracting Officer Representative CPE Contractor Performance Evaluation CSO Civil Society Organization D+ Democracy Plus EGA Economic Governance Activity FMC Financial Management and Control GLPS Group for Legal and Political Studies GOK Government of Kosovo IA Internal Audit IT Information Technology MAC Municipal Audit Committee MLG Ministry of Local Government MOF Ministry of Finance MoU Memorandum of Understanding NAO National Audit Office NGO Non-Governmental Organization OCAT Organizational Capacity Assessment Tool OCDS Open Contracting Data Standard OECD Organization for Economic Co-operation and Development OPTP Open Procurement Transparency Portal PPP Private-Public-Partnership PPRC Public Procurement Regulatory Commission PRB Procurement Review Body RFA Request for Application SOP Standard Operating Procedure STTA Short-Term Technical Assistance TEAM Transparent, Effective and Accountable Municipalities TOR Terms of Reference USAID United States Agency for International Development USAID TEAM Quarterly Performance Report – Year 5 Quarterly 1 | iv INTRODUCTION This quarterly performance report for the USAID Transparent, Effective and Accountable Municipalities (USAID TEAM) activity in Kosovo documents progress from 1 January to 31 March 2021, in compliance with section F.6.c. of the referenced contract. The report is divided into the following sections: • Introduction, giving an overview of the project and events for the reporting quarter; • Work plan progress, covering the status of each activity as outlined in the current version of the approved USAID TEAM work plan (Annex A); • Indicator performance, which relates to activity management and progress towards specific indicators; • Project management, including operational successes and challenges; and • Major activities for next quarter. A list of reports and deliverables completed during the reporting period is included as Annex C. KOSOVO USAID TEAM BACKGROUND The USAID Transparent, Effective and Accountable Municipalities (USAID TEAM) Activity in Kosovo is a five-year project that began on 11 January 2017 and is scheduled to conclude in January 2022. The project is improving procurement effectiveness and transparency by providing comprehensive assistance to all 38 Kosovo municipalities, with more intensive coaching and mentoring in a selected sub-set of 15 focus municipalities. At the central level, USAID TEAM works closely with national-level actors including the Ministry of Finance, the Public Procurement Regulatory Commission, the National Audit Office, the Procurement Review Body, and the Anti-Corruption Agency. Civil society also plays a key oversight and watchdog role, exposing corrupt practices and working with citizens and local governments as a partner in the process of procurement modernization. The project is partnering with an active network of civil society organizations to promote transparency and accountability. This network is educating and engaging citizens to identify corruption when it occurs—from the municipal to the national level—and is sustaining pressure to improve transparency. Activities implemented through USAID TEAM contribute to the Country Development Cooperation Strategies (CDCS) Development Objective 1: Improved Rule of Law and Governance that Meet Citizens’ Needs. The project directly contributes to two intermediate results under this development objective: IR1.2: Strengthened Effectiveness and Accountability of Assemblies, Administrations, and Election Processes. USAID TEAM is improving the accountability of municipal administrations and assemblies through greater transparency and effectiveness. USAID TEAM Quarterly Performance Report – Year 5 Quarterly 1 | 1 USAID TEAM meets the above-mentioned objectives through activities organized around three main components and a support fund. Component One: Develop, Refine, and Roll-Out Models for Transparent and Accountable Municipalities. The objective of this component is to assist local governments to carry forward anti-corruption reforms, particularly around public procurement, in all 38 municipalities. Through coaching, mentoring, and the introduction of new systems and enforcement mechanisms, USAID TEAM works to increase the capacity of municipal procurement managers, contract managers, internal auditors, and other public officials involved in the procurement cycle. In addition, USAID TEAM supports fifteen focus municipalities on a daily basis – five of which the Project has worked with since 2017 - Gjakova/Ðakovica, Gjilan/Gnjilane, Pejë/Peć, Prishtinë/Priština, and Vushtrri/Vučitrn – and ten of which the project began working with in Year 4 - Deçan/Dečane, Ferizaj/Uroševac, Hani i Elezit/Elez Han, Istog/Istok, Junik/Junik, Lipjan/Lipljan, Podujeva/Podujevo, Prizren/Prizren, Rahovec/Orahovac, and Suharekë/Suva Reka – providing them with more intensive coaching and mentoring based on the findings of USAID TEAM’s Needs Gap Analysis and Corruption Vulnerability Assessment. Component Two: Engage the Central Level in Addressing Municipal Corruption within the Procurement Process. USAID TEAM’s second component works to increase the capacity of central-level institutions to target municipal corruption. Working closely with the Kosovo National Audit Office (NAO), as well as the Ministry of Finance’s (MOF) Central Harmonization Unit (CHU), the project is strengthening coordination mechanisms between the central government and municipal internal audit units to detect and address procurement weaknesses. In
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