Document of The World Bank
FOR OFFICIAL USE ONLY
Public Disclosure Authorized Report No. 12579-UG
STAFF APPRAISAL REPORT
REPUBLICOF UGANDA Public Disclosure Authorized
TRANSPORTREHABILITATION PROJECT
VOLUMEII
MARCH8, 1994 Public Disclosure Authorized
Energy & Infrastructure Operations Division
Public Disclosure Authorized Eastern Africa Department
This document has a resticted distribution and may be used by reipients only in the performance of their official duties. Its contents may not otherwis be disdosed without Wodd Bank authorization. IOR OMCLALUSE OLY
REPUBLIC OF UGANDA TRANSPORT REHABILITATIONPROJECT
TABLE OF CONTENTS
VolumeU
GENERAL:
1.1 EstimatedSchedule of Disbursements,all projectcomponents
MAINROADS COMPONENT:
TABLES
1.2 Upgrading,RegraveliingfRehabilitation of Roads, DesignStandards 1.3 Four Year Road MaintenanceProgram (FY95-FY98) (List of Roads) 1.4 OutlineTerms of Referenceof TechnicalAssistance 1.5 TrainingEquipment/Audio-Visual Aids and InspectionVehicles 1.6 Progress ReportingRequirements 1.7 Project MonitoringIndices 1.8 Main Roads Component,Cost Estimate 1.9 Main Roads:Annual Road MaintenanceCosts
CHARTS
1.10 OrganizationalStructure: Mnistry of Works,Transport and Communications 1.11 Establishmentof Ministryof Works,Transport and Communications, Directorateof Engineering 1.12 MainRoad Component- ImplementationSchedule
This documenthas a restricteddistribution and may be used by recipientsonly in the perfofmnee of their officialduties. its contents may not otherwisebe disclosedwithout WorldBak authorization. RURALFEEDER ROADS COMPONENT:
TABLES
2.1 PopulationData for the Four ParticipatingDistricts, by Countyand Subcounty 2.2 CompleteList of FeederRoads per District:Kapchorwa, Mbale,Palissa, Tororo 2.3 PriorityRoads per District 2.4 Feeder Roads to be Improvedand Maintainedin each District 2.5 OutlineTerms of Referencefor TechnicalAssistance Posts and key GovernmentPersonnel in the Field Annex- Proposalfor ContractorEquipment Leasing and Management 2.6 Cost of Trainingand TechnicalAssistance; Cost Estimatefor ProposedNDF Funding 2.7 Number of EstablishedPosts filledor vacant in Project Districts- July 1993 2.8 SummaryInformation on DomesticContractors 2.9 Project District,Revenue and RecurrentBudget Estimatesfor FeederRoads. MOLG: Rural FeederRoad MaintenanceFunding, FY91-FY94 MOFEP:Projected Feeder Road CounterpartFinancing 2.10 Yearwise Breakdown of Feeder Road Maintenance Costs (US$ millionand ProposedFinancing Shares) 2.11 Summaryof FeederRoads Rehabilitation Program, in kms per activityand cost in US$ and Ushs by Districtand year 2.12 Cost Estimatefor Four Year RoutineMaintenance programs, 1994-1998,by District 2.13 Cost of FeederRoads Component 2.14 PerformanceIndicators
CHARTS
2.15 OrganizationalStructure of MOLG 2.16 OrganizationalStructure of the EngineeringDepartment, MOLG 2.17 DistrictOrganizational Chart 2.18 FeederRoads Component:Implementation Schedule RAILWAYSCOMPONENT: TABLES
3.1 RailwaysComponent, Estimated Project Costs 3.2 ProjectedDisbursement Profile for RailwayComponent 3.3 List of URC PriorityInvestments 3.4 PrincipalPerformance Indicators 3.5 Termsof Referencefor SpecialistAdvisers 3.6 LTRCOrganization Chart 3.7 ImplementationSchedule, Railway Component
TRANSPORT PLANNING COMPONENT:
4.1 Costs of TransportPlanning Component 4.2 Termsof Reference 4.3 ImplementationSchedule, Transport Policy Component
SELECTED ORGANI7ATIONAL AND FINANCUALASPECTS:
5.1 ImplementingAgencies and DomesticPrivate ContractingIndustry 5.2 FinancialAnalysis: Local Authoritiesand URC 5.3 SupervisionPlan
MAPS
1. UgandaTransport Infrastructure
^-'9! FeederRoads to be Improvedand Maintainedin each District (Programfor Years 1 & 2, and 3 & 4) Appendix1.1 Pa&eI of 1
UGANDA TRANSPORT REHABILITATIONPROJECT Al Components Estimated Schedule of Disbursements
Fiscal Year and End of Semester Cumulative Disbursementsat End of Senester USS'000 1995 December31, 1994 June 30, 1995 14,000
1996 December31, 1995 June 30, 1996 29,300
1997 December31, 1996 June30, 1997 47,700
1998 December31, 1997 June 30, 1998 62,700
1999 December31, 1998 June 30, 1999 73,100
2000 December31, 1999 June 30, 2000 75,000 Appendix1.2 Page1 of I UGANDA TRANSPORT REHABILITATIONPROJECT
Upgrading, RegravellinglRebabilitationof Roads
Design Standards
Temain Flat Rolling Hilly
Design Speed 90 kph 80 kph 60 kph
CarriageWidth 6 m 6 m 6 m
ShoulderWrdth 1.5 m 1.5 m 1.5 m
MinimumHorizontal Curve radius 315 m 240 m 125 m
MaximumGrading 3% 5% 8%
Road Crossfill
(a) Carrageway 2.5% 2.5% 2.5%
(b) Shoulders 5.0% 5.0% 5.0%h Appendix1.3 Page1 of 2 UGANDA TRANSPORT REHABILITATIONPROJECT
Four Year Road Maintenance Program (FY95-FY98)
List of Roads
L Priority I Paved Roads
Name Length (k) Kampala-Bombo(non-urban part) 21.01/ Bombo-Wobulenzi 14.01/ Kampala-Gayaza 20.11/ Gayaza-Namulonge 9.4 Namulonge-Kiwenda 12.0 Kaampala-Mukono 22.0 KyambogoEstate Road 3.8 Kampala-Entebbe 34.0 EntebbeAirport 5.0 KampalaJct-Mubende Bdr 48.0 Mityana-MubendeBdr 15.0 Mubende-Kitanga 18.0 Kitanga-Myanzi 50.0 Myanzi-Mityana 18.0 Wobulenzi-Luwero 18.0 Luwero-Nakasongola 53.0 Nakasongola-Kafuibridge 55.0 KafiuBridge-Rwekunye 19.0 Rwenlwnye-Kigumba 12.2 Kigumba-KaummaBridge 56.8
Total 504.3
IL Priority 2 Paved Roads
Gulu-Bobi 18.0 Bobi-Kamudini 44.0 Kamudini-Karuma 16.0 Lira-Ayer 20.0 Ayer-Kamudini 44.0
Total 142.0
1/ to be resealed Appendix1.3 Page2 of 2 mL Priority 1 GravelRoads
Name Length (km) Nebbi-VurraJct 70.121 Pakwach-Nebbi 60.12/ Vurra Jct-Arua 2.02t Arua Jct-Vurra(Customs Post) 16.0 Arua-Wandi 16.02/ Olwlyo-Pakwach 52.02/ Karuma-Olwlyo 55.02/ Kayunga-Nabuganyi 20.021 Sironko-Muyambe 50.02/ .Myambe-Namalu 29.0V1 Namulu-Morinka-Lokapei-Nadunget 122.02/ Muyambe-Kapchorwa 31.0 Kapchorwa-Suam 78.0 Atiak-Numule 39.02/ Moyo-Laropi 18.0 Zirobwe-Wobulenzi 25.2 Agwata-LiraS. Border 54.0 Laropi-Atiak 64.0 Atiak-Gulu 67.0 Gulu-AswaRiver 40.0 Aswa River-Acholibur 42.0 Busunju-Kiboga-Hoima 1502
Total 1,100.4
2/ to be regravelled Appendix1.4 Papg1of 4 UGANDA
TRANSPORTREHABILITATION PROJECT
Outline Terms of Reference of Technical Assistance
L Objectives
1. The purposeof the technicalassistance is to assistthe Ministuyof Worts, Transportand Comnunications(MOWTC) with imprving road maintenance planning, orgnization and operations andto train MOWTCstaff/local contactors in roadmaitenance.
IL Scope of Technical AssistanceServices
2. Thetechnical assistance staff willconsist of a roadmaintenace managment engine (team leader),a roadmaintenance engineer, a contractmanagement advisor and a taining advisor/mstructor. The individualswill assist and advise the MOWTCin their respectivefields, and cany out clasroomlon-the-Jobtaing of MOWTCstaff/local contractors. The particularfunctions of the technicaleperts are describedbelow.
IIL 3ob Description
A. Road Maintenance Management Engineer (Team Leader)
3. The road maintence maagement engineerwill assist and advise the Chief Road MaintenanceEngine/Principal Engineer (Planning) on all aspectsof highwaymaintece planning, organizion and operations,and will overseeand coordinatethe activies of the technicalassistance team. In particular,he will assistMOWTC to:
(i) reviewand updateMOWrC MaintenanceManagement Manual for use on the project, includingall reportforms, standardmethods of workdngand maintenancestandards;
(ii) reviewand update the existingMOWTC Maintenance Management software;
(iii) design and implement a cost accounting system for the proper performance of road maintenane work;
(iv) carry out annual road inventoryand conditionsurveys for the planningand progranunmgof road ma;itenance,
(v) carry out annual road traffic counts and collect other data such as axle loads, origin and destinationdata and traffic forecasts;
(vi) carry out annual equipmentinventories and conditionsurveys of both force account and- conactor resources; Appendix1.4 Page2 of 4
(vi) developannual work plans;
(viii) esinate resourcesand budgetrequirements for the exccutionof the annual workplans;
(ix) identify,supervise, monitor and controlthe executionof the works by the establishmentand operationof a maintenancemanagement system;
(x) producemonthly/quarterly prWress reports; and
(xi) provideon-thejob trainingof MOWTC'sstaff for carryingout the abovetasks.
4. 'Me expert fillingthis position shouldbe a well qualifiedhighay engmeerwith 15-20 years experiencein road design,construction and maintenanceand, in particular, with at least five years previous experience in road maiteance planning, management, contr formulaion and administratio; and shouldhave previousexperience in orgazg and conductingtraining programs for staff. Fluencyin writtenand spokenEnglish is also required.
B. Road MaintenanceEngineer
5. The road manenance engineerwill assist and advise the PrincipalEngineer (Operations) in road maitnance organizaion and operations, and will provide on-the-jobtraining of MOWTC stafflocal conactors. In particular,he will assist MOWTCto:
(i) cary out annual road inventoryand conditionsurveys for updatng inventoriesof the road network;
(ii) idei for each road sectionthe type and amountof work requiredfor adequatemaintenance and translatesuch worksinto specifictak in terms of routine/periodicmainteance;
(iii) cary out annual road taffic counts and gather other data such as axle loads, orgin and desfinationdata and trafficforecasts,
(iv) establishperformance standards and proceduresfor routineand periodicmainance involving an appropriatemix of labor and equipment;
(v) instl a system of cost accountig procedures to determinethe cost of individual road maintena operationsand the total cost of maintainingindividual road sections,relating costs to physicalenvionments and trffic;
(vi) operatethe highwaymaintenance organization, including work scheduling and budgeting;
(vii) supervise,mowitor and controlthe executionof the works;
(viii) producemonty/quarterly progressreports;
(ix) selectkey road maitenance staff for trainingat the Road MaintenanceTraiing Center,and
(x) provideonAe-job trainingof roadmaintenance personnel. Appendix1.4 Page3 of 4
6. The expert fillingthis positionshould be a well qualifiedhighway engineer with 15-20yeaws experiencein rmaddesign, constructionand maintenanceand, in particular, with at least five years previousexperience in road maintenanceplanning, orgnization and opertions. Fluencyin wrtten and spokenEnglish is also required.
C. Contract Management Advisor
7. The conta managementadvisor will assist and advise the Senior Prncipal Enineer (Contracts) in admstering contract operations, and will conduct fonral trainig of MOWTC salocal contractors. In particular,he will assist MOWTCto:
(i) prepare contractorprequalification documents and adveriments, and to review,analyze and recommendeligibility of suitablecontractors;
(ii) preparetender and contact documents(condition of contract,specifications, bills of quantities, schedule of rates, etc.) for the programmed maintenance works, by both Local and fnterationalCompetitive Bidding, together with EngineersEstimates;
(iii) review,analyze and evaluatetenders and recommendcontact awards;
(iv) monitor and control the executionof the works, through supervisionand organizationof MOWTCdistrict engineers and their staff;
(v) ensurequality controls of the works;
(vi) ensure proper measurementof the works and authorize settlementof contactoes payment certificates;
(vii) reviewand analyzecontractor's claims, measurement disputes, revision of unit rates, requests for extensionof time, and recommendsettlements;
(viii) adviseand train associatedMOWTC staff and contractorpernnel at pointsof interactionand condict formaltrainmg in conjunctionwith MOWTCs tramingdivision and the participating traimnginstitutions;
(ix) providetechnical and manageial advisoryservice to contractorswho requestassistance in any facet of the contractwork and/orthe organizationand managementof their company;
(x) producemonthly/quarterly progress reports.
The expert filling this position should be a well qualified highway engineer, with 15-20 years expeience in road design, constructionand maintenanceand, in particular, with at least 10 years experiencein road constuction and maintenancecontracts. Fluencyin spokenand wrtten Englishis also required. Appendix1.4 Page4 of 4
D. TrainingAdvisorAnstrnctor
8. The trainig advisor/instuctorwill assistand advie the ChuefTrng Engineerin orga g and conductingtrainig p ams for both MOWTCstaff and contr personnel. In particular,he will ass-t MOWTCto:
(i) reviewstaff invenes and identifytraining target groups, , employmnt category;
(ii) ident spefic tra g needsof MOWTCstaffconractor pesonnel;
(iii) review avalable trainig courses both in-houseand by outside institutionsand recommend adoptionof selectedcoures;
(iv) iden oter courses not readily availableand develop such courses in conjunctionwith outsideinstitutions or in-house,as practicable;
(v) draw-up a 3-year trainig programand related annual trainingprogrms, in conjunctionwith the various trauni instituions to be involved, togethir with associated trade test qualiffications;
(vi) ident trainingequipment, literure, etc. requiredfor both in-houseand exernal training;
(vii) idet trainees for each course and ensure all arrangementsare in place for the successful executionof each course;
(viii) establish monitoring reportingand control proceduresregarding each course, includingend resut assessmentand foward planning;
(ix) producemonthly/quarterly progress reports; and
(x) provideclassroom and on-the-jobtanig of MOWTCs stafcontrctor personnel.
he epert fillingthis positionshould be a well qualifiedcivil engineer with specialistbackgound and with 15-20 years expeiiencein curriculumdevelopment and taining of staff. Fluencyin spoken and wren Englishis also required. Appendix1.5 Page of 1 UGANDA TRANSPORTREHABILITATION PROJECT
Training Equipment/Audio-VisualAids & Inspection Vehides
Qy (nos) Trining Equipment/Audio-VisualAids
Multi-systemcolor TV set 29" screen 2 Multi-systemvideo recorderU-matic, portable 2 Video camera,semi-professional 2 Rechargeablebatteries for camera& recorder 4 Zoom lens 1.3/30.7mm for camera 1 ELC lamp 24 volts/250 watts 12 Quartz lamp 24 CarouselMagazine 10 FilmProjector, 35 mm 1 SlideProjector & carryingcase 2 Projector Screen 3 Doublecassette player 1 UniversalPress Tape 1 35mmStill Camera 2 Film for plainpaper copierfor makingtransparencies 2 OverheadProjector 2 Acetatefilm for overheadprojector 2 Pens/marketsfor overheadprojector transparencies 50 Flip chartswith stand,200 sheets chartsstandard size 5 PublicAddress System (two-way) - 150w,with audio tape 2 recordingand replayfacility 4 speakers,4 microphoneswith mixer Whiteboard 2 Desk/Portablebook-binder 1 Scientificcalculators 10 Photocopier- Xerox 1025,5028 1 PersonalComputer 1 Instructionalvideo cassettes 2 sets Road and BridgeMaintenance Road Construction,Paved/Unpaved Concretework ConstructionSafety
Inspection Vehicles
Pick-ups 8 Motor Cycles 30 Appendix1.6 Page1 of 1
UGANDA
TRANSPORT REHABILITATION PROJECT
Progress Reporting Requirements
I1. ProgressReports shall be submittedto the Associationquarterly in triplicate,no later than one calendarmonth after the end of the quarter. The first report shouldcover the periodending December 1994.
2. The Reportshould contain the foilownnginformation:
(i) General Information: uhisshould refer to Project MonitoringIndices shown in the Attachment)
(a) the physicalprogress accomplished during the reportingperiod;
(b) actual or expecteddeviations from the projectimplementation schedule;
(c) actual or expecteddifficulties or delaysand their effect on the implementation scheduleand the steps plannedor taken to overcomethe difficultiesand avoid delays;
(d) expectedchanges in the completiondates of the project;
(e) key personnel changes in the staffs of the MOWIC, consultants or contractors;
(t) matterswhich may affectthe projectcost; and
(g) any developmentactivity likely to affectthe economicviability of the project components.
(ii) A bar-typeprogress chart, based on the projectimplementation schedule, showing the progresson each projectcomponent.
(iii) A financial statementset out in tabular form which shows for each of the project components:
(a) originalestimated cost; (b) revisedcost, if appropriate; (c) actual expenditure; (d) projectedexpenditure; and (e) actual withdrawalsand projectedwithdrawals from the CreditAccount.
(iv) Fundsbudgeted/allocated for roadmaintenance and the amountsactually released. Appendix1.7 Page I of I UGANDA TRANSPORTRERADUJTATJON PROJECT Projet MonitoringIndices Eimaed Adasd Acoaad Rerwafe, Cwav !wLFjghaated dhwgeww Ptw, wEaken L StrengthenwwlngJnprovenwmaofKmKapala. Entebbe Road 1. Contractr Mobilization(moth) 2. Pavenst stenghei reconscon(km) 3. Wideningroadtofourlanes(knm) 4. Sholder ronstuction (m) S. Surfiaedressing%eRsaling (km) 6. Recosuon replaemt of cuvet (Nos) 7. Reintaemet of roadside,d,ais(km) S. Improvem to interonos 9. Paymentto to rslConCulants IL Upgrading Road to Bit _m Standard (Lieah road) 1. ConractorMobilizaion (months) 2. Earthworks(tm) 3. Sub-base(km) 4. Base(km) 5. Suface dressing(km) 6. Shouler onstrcon (km) 7. Reonstruction/replacemenof culvets (Nos) S. Reinsttmn of roadsidedrains (kcm) 9. Paymentto ContratoConu DI RegavelngORhabltation of Zirobwe- WobulenziRoad 1. Contact Mobilization(monts) 2. Eatwrks(km) 3. Roadreaelling (km) 4. Shoulderreonsuction(km) 5. Reconuctionreplacemet of aclveat (Nos) 6. Reinstatementof roadsidedrains (nm) 7. Payme to ConacttoConulant IV. Road Mainenance 1. Manualroutine roa mainte (iteachroad) (i) Lentua Contrs (Nos) (it) Leng covered(kin) 2. Mehanied rou roade mainenance (Lid eac rod) (i) Ugh gadi (km) (ii) Mediumgrading (km) (iti) Heavygrading (kcm) 3. Roadrsealg (km) 4. Road egravegDing(km) V. Inotlonal Sbteghenng 1. Tedmcia Assistance(manhnonth) 2. Traing equipmenf(uitb) 3. MOWTCstafftraindingtrained (Nos) 4. Contractorponnlrtaied1being tained (Nos) 5. Studytours undertaken (Nos) Appendix1.8 Page 1 of 1
UGANDA TRANSPORTREABIUITATION PROJECT
Main RoadsComponent
Cost Estimate Item Local Forex Total % Foreign (US$ million) Componew 1. Road maintenance: (i) ManualRoutine Mainteance 1.41 0.00 1.41 0 (ii) MechanizedRoutine Maintnce 1.92 7.70 9.62 80 (iii) PeriodicMantennc 2.75 10.89 13.74 80 11. Strengtheningand Impovementof 0.89 4.65 5.54 84 Kampala-EntebbeRoad (32.5 kmn) Im. Upgadingto pavedstandar: (i) Mbarara-mbandaRoad (66.5 km) 3.94 10.07 14.01 72 (ii) Gayaza-Bugema-Zirobwe(30.9 in) 1.90 4.83 6.73 72 IV. Regrmveingtbabilitation: (i) Zirobwe-WobulenziRoad (25 kn) 0.46 1.17 1.63 72 (iu) VdiaMaia-Senbable Road(40 kan) 1.00 2.58 3.58 72 V. ConstructionSupervision 0.41 1.65 2.06 80 VI. Instiuional Stengthening: (i) TechnicalAsistan 0.43 1.73 2.16 80 (ii) StudyToursFellowships 0.05 0.30 0.35 86 (iii) TrIningEquipment 0.00 0.15 0.15 100 (iv) InspectionVehicles 0.00 0.22 0.22 100
Sub-total 15.16 46.04 61.20 75
Contdgencies: (i) Physical@ 10%/ 1.52 4.60 6.12 (ii) Price14% 2.33 7.09 9.42
Total 19.01 57.73 76.74 75 (on runding) (19.0) (57.7) (76.7) Projectcosts are basedon the following: * RoadSUngthening and Improvement * Road Upgrading,Regrvelling/Rehabilitation: based on detailedengineering studies, unit costs and quanties developedby engineeringconsultants taking into considerationthe currentpnces of material, laborand equipment * Roadmaintenance: based on unitcosts and quaities developedby consultantstaking into consideration the currentprices of materials,labor and equipment * ConsultantServices: the contuction supervisionof road strengtheningand improvement,and road upgrading,regravelling/rebabilitation will requireabout 120 nanmonths of consultantservices over a 24 monthperiod; and technicalassist to MOWrC,144 mamnonths over a 42 monthperiod. The cost estimt for consultantsevices are basedon similarand ongoing services in Uganda. UGANDA TRANSPORT REHABILITATION PROJECT
Main Roads: Annual Road Maintenance Costs (USS million)
FY1995 FYI 996 FY1997 FY1998 Total tern La Foreign Tota Lca Foreign Total Local Foreign Total IA Foren TOta Local Forgn Tota a) ManualRoutine 0.35 - 0.35 0.23 - 0.23 0.35 - 0.35 0.48 0.48 1.41 - 1.41 Road Maintenance b)Mechanized 0.31 1.23 1.54 0.32 1.30 1.62 0.54 2.18 2.72 0.75 2.99 3.74 1.92 7.70 9.62 RoutineRoad Maintenance [)Periodc Road Maintenance
(i) Reseaing 0.21 0.4 l.OS 0.12 0.48 0.60 - - - - 0.33 1.32 1.65 (ii) Regravelling 0.93 3.71 4.64 1.03 4.12 5.15 0.34 1.36 1.70 0.12 0.48 0.60 2.42 9.67 12.09 Sub-Total 1.80 5.78 7.58 1.70 5.90 7.60 1.23 3.54 4.77 1.35 3.47 4.82 6.08 18.89 24.77 Xcntingencies
(i) Physical 0.18 0.58 0.76 0.17 0.59 0.76 0.13 0.35 0.48 0.13 0.35 0.48 0.61 1.87 2.48 (ii) Price 0.28 0.89 1.17 0.26 0.91 1.17 0.19 0.55 0.74 0.21 0.53 0.74 0.94 2.88 3.82
Total Cost 2.26 7.25 9.51 2.13 7.40 9.53 1.5 4.44 S.99 1.9 4.35 6.04 7.63 23.44 31.07
to UGANDA TRANSPORTREHABILITATION PROJECT Organzational Structure: Ministry of Works,Transport and Communications
Transporta _ "Egeenng ~~~~~~~~~~~~~~~~~~~~~~~Director Director EIC
Fin.nce& Admsraon Mahtnan De nt
| Aener Uer J bner
Co Rasd Aviaton Water ¢om. NRSC TL8 Accounts Admin PersownelMechanalftnae Trainn MateIl Desg Saftft mSA S Unk
EIC - Englneer.nchle CIME - Ch meh engeet PTE - Principaltransort eonom CRME - Chieroad manteae PE - Pncaleonomist CTE - Chiefrai enieer PAS - Prirn asstnt secrery C.MAT.E- Chiefmernals egweer PPO - Princkpapersne officer CPDDE - Chiefplani, designand documernation engineer NRSC- Nafionalroad r counl CCE - Chiefc uctionengneer TL8 - Transpt licensigboawdr
.~S -o beo4a UGANDATRANSPORT REllTATION PROJECT
Estabsmeat of Misry of Wowki,Trnport & Commrnikaio.
Dirtrate of Em fmwi.g
ROAD~~~~~ 1. I
IDIRI. . ,TO I I
| N3IEEROA|I N>f |E " |w}ONEFI|
REVIE OWSN T6NS HL MEO UE8SUP DE MCt OPERS' ;PRINCPALI PfRINCUIPA | PRINPALr bl. PIN FAL ISTAFFNU PR PApN ENGINEER ENGSNEERVENGNEER ENCUNEER ECNS E ENGINEER ENGINEER ENGIEER S UEYR ININI INo. INo. 3 No. I NO ENINEEREII I
SENIOR SNO EIREIOR SUKENIOR NIMR ENNE IN INs. IONN. 2 No. No. I 3
INs.l INs. 4Ns.E OWn 3 No. iNs. 2N
EKNf#3I4C UGANDA TRANSPORTREHABILITATION PROJECT MAIN ROAD COMPONENT
______ImDlejTmentationSchedule______S_edu CY 94 CY 95 CY96 CY97 CY98 QUARTERI23 12 4 2 3 4 2 3 4 - 2 3 4
CreditEffectiveness I. Uperadin,e.ReravellinsARehabilitation of Roads Preparationof biddingdocuments Prequalificationof Contractors ** Bidding ** Bid Evaluationto ContractAward Executionof Work **** **************** *** ****** 2. ConstructionSupervision Selectionof Consultants Execution **** ******************** ******** 3. RoadMaintenance (i) ManualRoutire Road Maintcnance Contract Award ******** **** ******** ******** **** **** ************ t*** ************ Execution *************e**** ********************************** ******* _
(ii) MechanizedRoutine & PeriodicMaintenance Preparationof BiddingDocuments Bidding Bid Evaluationto Contract Award * * Execution **t *** *** ***4 ***4 **** **4 **t **t j**4 )**L *** *** **V * 4. TechnicalAssistance Selectionof Twinning Organization Execution *** **** *** **4 **** ***4 *** h**i *** **4 **i *** **4 **' 5. TrainingEquinment d Callingof Quotationsto ContractAward 0 Deliveryof Equipment 6. TrainingSeminars. Study Tours etc. Preparationof TrainisigProgram ** Execution __*** i*** ***4 **** ***4 **; **4 i*** *** **4 ***4 *** t**** App2.1 Pap I ofo5
UGANDA TRANSPORT REHABILIATION PROJECT
Population Data for the Four Participating Ditcts Summaried by Distrit
Disbict Population Ana (bn2) DengL
Kapchorwa 116,702 1,741 67
Mbale 710,980 2,460 289
Palisa 357,656 1,602 223
Tororo 555,574 2,464 225
Total 1,740,912 8,267 211 Appoenx2.1 Pr0ge2of S
UGANDA TRANSPORTREHABILITATION PROJECT
Population Data for the Four Participating Districts by County and Sub-County Kapchorwa District
County Sub-County Population Area (em2) Denty Kongask Chesokeii 6,417 88 73 Bukwa 7,054 131 54 Suam 10,770 129 83 Kaberi 6,451 181 36 Sub-total 30,692 529 58 lVngey Kaseremn 13,550 72 188 Sipi 13,167 128 103 Kaptanya 17,346 177 98 KapchorwaT 4,604 6 767 Sub-total 48,667 383 127 Kween Kapron 13,953 157 89 Binyin 20,996 287 73 Ngenge 2,394 385 6 Sub-total 37,343 829 45 Total Kapchorwa Dbtrict 116,702 1,741 67 Appendix2.1 Pip 3 ofS
UGANDA TRANSPORTREHABILITATION PROJECT
PopulationData for the Four Participating Districts by County and Sub-County Mbale District
Conty Sub-County Population Area (km2) Desi Bubulo Buwabwala 19,343 114 170 Bombo 35,880 117 307 Bubutu 26,261 76 346 Butiru 25,753 98 263 Bugobero 31,426 96 327 Bupoto 18,463 45 410 Buwagogo 21,402 48 446 sub-total 178,528 594 301 Budadiri Bumasifu 12,847 106 121 Busulani 25,347 76 334 Buyubo 31,161 67 465 Buwalasa 43,728 112 390 Buhugu 34,646 91 381 Sub-total 147,729 452 327 Bulambuli Bulago 17,434 114 153 Buginyanya 11,756 82 143 Muyembe 16,941 89 190 Bunambutye 4,298 302 14 Sisiyi 14,147 32 442 Sub-total 64,576 619 104 Bungokho Bufumbo 29,407 62 474 Wanale 8,898 28 318 Busoba 19,306 69 280 Busiu 19,203 76 253 Nakaloke 38,935 74 526 Bunghkoko 47,193 102 463 Bukiende 24,000 86 279 Sub-total 186,942 497 376 Manjiya Bushika 11,747 29 405 Buldgai 16,404 24 684 Bududa 17,807 38 469 Bulucheke 16,432 89 185 Bubiita 16,828 94 179 Sub-total 79218 274 289 Mbale MbaleTC 53,987 24 2249 Municipality Sub-total 53,987 24 2249 Total Mbale District 710,980 2,460 289 Appendix2.1 Page CofS
UGANDA TRANSPORTRUERBDITATION PROJECT
PopulationData for the FourParticipating Districts by County and Sub-County PaUisaDistrict
County Sub-County Population Area km2) Density Budaka Naboa 13,141 61 215 LkiLld 24,855 94 264 Kaderuna 15,849 60 264 Budaka 16,855 58 291 Kamonkoli 17,500 63 278 Lyama 12,148 54 225 Sub-total 100,348 390 257 Butebo Kabwangasi 14,039 59 238 Kakoro 12,106 62 195 Butebo 23,585 113 209 Kibale 13,822 82 169 Sub-total 63,552 316 201 Kibuku Kadama 26,079 105 248 Kibuku 24,244 104 233 Buseta 17,048 77 221 Bulangira 23,845 114 209 Sub-tow 91,216 400 228 Pallisa Gogonyo 10,926 60 182 Kasodo 13,794 61 226 Kamele 12,748 73 175 Agule 12,516 73 171 Palisa& TC 22,140 63 351 Apogong 10,202 57 179 PutiPuti 20,214 109 185 Sub-total 102,540 496 207 TotalPalbsa Distict 357,656 1,602 223 Appendix2.1 Pge S Sof UGANDA TRANSPORT REHABILITATIONPROJECT
PopulationData for the 4 ParticipatingDistricts by Countyand Sub-County TororoDistrict
County Sub-County Populaton Area (w2) Density Tororo Municipality Tororo TC 26,783 30 893 Sub-total 26,783 30 893 SamniaBugwe Bulumbi 15,552 132 118 Masafui 20,892 89 235 Buhehe 12,738 59 216 Masaba 13,350 71 188 LTumino 15,212 72 211 Buteba 12,400 56 221 Busitema 16,030 91 176 Dabani 11,868 58 205 Lunyo 17,588 108 163 BusiaTC 27,967 9 2107 Sub-total 163,597 745 220 YKisoko Mulanda 22,132 110 201 Iyolwa 17,327 128 135 Paya 23,280 121 192 Yirewa 16,898 62 273 Nagongera 21,123 77 274 Kosoko 20,366 71 287 Nabuyoga 14,649 86 170 Rubongo 23,212 85 273 Sub-total 158,987 740 215 Bunyole Budumba 19,034 119 160 Kachonga 18,889 83 228 Mazinwa 18,410 87 212 Butaleja 26,046 135 193 Busolwe 13,153 51 258 Busaba 11,146 69 162 Sub-total 136,678 544 196 Tororo Osukuru 23,819 114 209 Kwapa 30,963 115 269 Mukuju 21,455 77 279 Mobo 23,292 99 235 Su-total 99,529 405 235 Total Torore District 555,574 2,464 225 Appendix2.2 Page1 of 4
UGANDA TRANSPORT REHABIUTATIONPROJECT Complete List of Feeder Roads Per District Kapchorwa District
Nane of read sechion L.ngth Sunwyed Conden Wartispropod (1cm yes/ne by 11wdL*# Lnto. ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~. .i & h Kaserem-Kapeinda 11.0 yes poor fil Sirimityo-Amukoi 7.7 yes poor fil Soeur-Gamatui 6.0 yes poor foil Kapwirwok-Towei 1.0 no poor foil Kapwirwok(Sipi Caves) Gamatui-Bugimotwo 5.9 yes fUir/poor spot Kapwirwok-Kamorok 3.0 no poor foil Chema-Kapnyikew-Ngpta 15.0 yes vely poor foil Chema-Ngaeire 10.0 no fair/poor spot Kapchomwa-Kapenguia 5.9 yes vewypoor fill Chema-Kapkwai(-Kapenguria) 4.0 yes vety poor full Cheseber-Kubany 2.0 no poor fuil Te KseTuban-Kapteret 6.0 yes poor spot Siron-Ngambhri 7A yes fair/poor spotlW Ngangata-Burkoyon 9.6 no poor fil Kokwomurya-Kapchesombe(Atari) 8.7 yes good mai Kapkoch-Kapnakt-Kapteror 8.0 no poor fol Aari-Ngoryemwo-Ngenge 18.0 yes fair spot Setyo-Loch 5.0 no poor fill Loch-Kabachiria 7.0 no poor funil Chepeicunya-Kirkriver 28.0 no poor fil Nabukubt-Sundet 3.0 no poor full Binuiny-Kisongi 4.0 yes verypoor fuil Cheminyi-Benet 8.0 no poor fill Cheminyi-Kaptum 5.0 no poor foil Cheminyi-Moyok 6.5 yes verypoor fuil Chemwania-Keere 5.0 no poor fill Chepkwasta-Kwanyiy(Kw=en) 4.0 yes verypoor full Kwanyiy-Kirikriver 8.0 no poor foil Tulei-Mokoyon 3.2 yes fair/poor foil Kortek-Chesmat 6.0 yes poor foil Bukwo-Riwo 8.0 no poor foil Bukwo-Brim 12.0 no poor fill Bukwo-Kapnandi-Kwirwot 20.4 yes fair/poor spot Kapworo-Chepkwas 2.6 yes very poor fodl Amanang-Chepkwasta 7.0 yes poor full Kapsarur-Chesumat 5.0 no Kapchorwa Total 276.9
full fil rehabilitation spot spot improvement
Roads Inventoried143.3 representing52% Appendix2.2 Page2of 4
UGANDA TRANSPORT RE[ABILITATION PROJECT Complete List of Feeder Roads Per District PaDisa District
Name of road section Length Surveed Condition Worksproposed (km) yes/no by the di* Pallisa-Agule 13.7 yes poor full AguleW-Kibale 11.9 yes verypoor full Kibale-Kamuge 8.5 yes verypoor full Pallisa-Gogonyo 15.9 yes poor full GogonyoAgule 12.8 yes poor full Pallisa-Kasodo 11.1 yes poor full Kadoto-Butebo 20.0 no verypoor full Butedo-Kabwangasi 22.5 no fair/poor spot PetButedo-Ladoto 13.2 yes poor full Budaka-bulangira-Petete 20.2 yes poor ful Bulangira-Kibuku-Tirinyi 20.4 yes poor full Kadam-Kibuku-Bueet 15.2 yes good/fair maintenance Budala-Ild-Ik 11.0 yes fair spot ki-Bki-Kakoro 10.0 no fair/poor spot Kabwangasi-Kamonkoli 7.8 yes fair spot Naboa-Kaiti 3.0 yes fair/poor spot Kakule-Naboa 8.0 no fair spot Kakoro-Kachumbala 2.5 no poor full Kakoro-Kidongole 9.6 no poor fill Ladoto-Kameke 11.3 no poor full Agule-Agule(kshoe) 3.2 no poor full Kabwangasi-DistrictBorder 3.0 yes fair/poor spot/fill PallisaTotal 251.8 fuhll: fullrehabilitation spot: spotimprovement
RoadsInventoried: 164.7 representing 65% Appendix2.2 Page3 of 4
UGANDA TRANSPORTREHABILITATION PROJECT Complete List of Feeder Roads Per District Mbale District
Name of road section Length Surveyed Condition Worksproposed (km) yes/no by the district Bumbobi-Kachonga 4.4 yes fair spot Busie-Lukhuna 5.0 yes poor spot Busie-Lokonge 9.6 yes good/fair maintenance Sikhoye-Bugobero 8.2 yes good/fair maiance Bugobero-Molo 10.9 yes fair/poor spot Kufu-Magale 18.1 yes good/fair maintenance Magale-Bumbo 5.0 no poor fuln Nambola-Bunamnbale 6.0 yes verypoor fill Namba-Lwak1akha 5.0 yes poor fill Bukawek-Butiru 15.0 no poor full Butiro-Salossalo 8.1 yes poor fuln Bukigai-Bukalaei 5.0 yes poor fai Bunmbi-Bumayoka 5.0 no poor full Mbale Total 242.9 ful: fail rehabilitation spot : spot inprovement
Roads Inventoried:199.6 representing 83% Appendix2.2 Page4 of 4 UGANDA TRANSPORTREHB1LITATION PROJECT CompleteList of FeederRoads Per District TororoDistrict
Nameof roadsection Length Surveed Condition Worksproposed (ks) Yvesho bydIe hed Kaiti-Nabiganda 5.1 yes poor spot Kachonp(district border)- Nabiganda 8.0 no fair maintennce Nabiganda-Buteleja-Busolwo 21.9 yes fair maint-n spot Busolwe-Busaba-Budumba 19.3 no fair spot Busohve-Budumba 8.4 yes fair mai ce/spot Buso-nagongera, 14.0 yes fair ntce/Spot Budumba-Bubada/Buwesa 12.8 yes fair/poor spot Bubada/Buwea-Mulanda 14.2 yes fair mainnce/spot Mulanda-nagongera 9.2 yes fair/poor spot Mulanda-Lolwa 10.0 yes poor fi,ll Lolwa-Nyanbogo 9.1 yes poor fill Mulanda-Rubongi 17.0 no fair main spot Nagongem-Miidi- a 21.3 yes poor fallexcept 4.1 km Kachonga-Kidoko-Mirikiti-Molo21.0 no fair spot/main Nagongera-Paya-Butelea 18.6 ys fair maintenance/spot Apokoi-Mirikiti 9.6 no fai mainc/spot Taorro-Kwapa 7.5 Yes fair full Kwapa-Apokori(Tuba) 9.0 yes poor fail Kwapa-Bugieuborder Salosalo 3.1 yes poor full Taroro-Molektipe-Malaba 13.3 yes poor full Mukuju-Kwapa 3.2 no poor fall Kwapa-Mela 6.4 no poor full Kwapa-Kalaid 8.0 no poor full Senda4drewaSQHQ 4.8 no poor fill Lumino-Lunyo-Namaingo 14.5 yes poor full Lumin-buhehe-Masafu 12.9 no poor full TororoTotal 321.1 fill : fullrehabilitaton spot : spotimprveme Totallength of all roadsin the projectdistricts: 1092.7
Totallength of all rads surveyd:723.3 Appendix2.3 . ageI of4 UGANDA TRANSPORT REHABILITATIONPROJECT Priority Roads in Kapchorwa District
Name of roadsection length surveyed condition worksproposed km yes/no by the dstrict Kaserem-Kapsinds 11.0 yes poor fitl Sirinityo-Amukoi 7.7 yes poor fit Sosur-Gamatui 6.0 no poor fuin Kapwirwok(Sipi Caves)- 6.0 yes fair/poor spot Gamatui-Bugimotwo Chema-Kapnyikew-Ngaangata 15.0 yes very poor fdli Kapchorwa-Kapenguria- 8.0 yes very poor fit Kapkwai Tegress-Tuban-Kapteret 6.0 yes poor fitl Siron-Ngambirir- 7.4 yes fair/poor fuit Ngangata-Burkoyon 9.6 no poor Kokwomurya-Kapchesombe- 8.7 yes good maintenance Atari Atari-Ngoryemwo-Ngenge 18.0 yes fair spot Binuiny-Kisongi 4.0 yes very poor fitl Cheminyi-Moyok 6.5 yes very poor fitl
Chepkwasta-Kwanyiy-(Kween) 4.0 yes vety poor full Kwanyiy-Kirikriver 8.0 no very poor full Bukwo-Kapnandi-Kwirwot 3.2 yes fair/poor spot Amnanang-Chepkwasta- 7.0 yes poor fitl Kapsarur-Chesumat 5.0 no poor Kortek-Chesmut 6.0 yes poor full Total priority roads in Kapchorwa District 167.5 Appendix2.3 Page2of4
UGANDA TRANSPORT REHABILITATIONPROJECT PriorityRoads in Mbale District
Name of road section length surveyed condition worksproposed km yes/no by the district Bulegeni-Bumwambu 8.0 yes good maintenance Bumawambu-Buginyanya 3.4 yes good spot Buwambu-Bulago 4.0 yes good maintenance Sisiyi-Tunyi 5.4 yes poor full Buyaga-Buluganya 12.7 yes fair spot Nalugugu-Naldwondwe 11.6 yes fair spot Nakiwondwe-Bugltimwa 7.0 yes poor full Busulani-Bunaseke 7.5 yes fair full Buweri-Bumumulu 10.0 yes fair full Nampanga-BuwalasiTTC 4.0 yes fair maintenance Bugusege-Buteza 9.3 yes fair/poor spot Mbale-Bufumbo 10.2 yes fair spot Bufimbo-Bubiango 3.5 yes poor full Nabumali-Busano 8.3 yes goo/fkir spot Bumbobi-Kachonga 4.4 yes good/fair maintenancetspot Busiu-Lukonge 5.0 yes fair/poor spot/full Busiu-Lukonge 9.6 yes good/fair maintenance/spot Sikhoye-Bugobero 8.2 yes good maintenance/spot Bugobero-Molo 10.9 yes poor spot/full Kufui-Magale 18.1 yes fair spot/maintenance Nambola-Bunambale 6.0 yes poor full Namba-Lwakhakha 5.0 yes poor fiull Butiro-Salosalo 8.1 yes poor full Magale-Bumbo 5.0 yes poor spot/full Bukigal-Bukalasi 5.0 yes very poor fill Total priorityroads in Mbale District 190.2 Appendix2.3 Page3 of 4 UGANDA TRANSPORT REHIABUMATIONPROJECT PriorityRoads in TororoDistrict
Name of rad secgion length surveyed condiion worksproposed km yes/no by the distict Kaiti-Nabiganda 5.1 yes poor spot Kachonga(dist. border)- 8.0 no fair maintenance Nabiganda Nabiganda-Busolwe 21.9 yes fair maintenancetspot Busolwe-Budumba 8.4 yes fair maintenance/spot Budumba-BubadaJBuwesa 12.8 yes fair/poor spot/ftll Bubada/Buwesa-Mulanda 14.2 yes fair maintenance/spot Mulanda-Nagongera 9.2 yes fair/poor spot/fil Busolwe-Nagongera 14.0 yes fair maintenance/spot Lolwa-Nyambogo 9.1 yes poor ful Mulanda-Rubongi 17.0 no fair maintenance/spot Tororo-Kwapa-Apokori(Tuba) 17.0 yes poor ful Tororo-Molekatipe-Malaba 15.3 yes poor ful Lumino-Lunyo-Namaingo 14.5 yes poor fiull/spot Lumino-Masaba-Masafu 16.9 yes fair spot/maintenance Total priority roads in Tororo District 183.4 Appendix2.3 Page4 of 4 UGANDA TRANSPORT REHABILITATIONPROJECT
PriorityRoads in Palissa District
Name of road section length surveyed condMion worksproposed km yes/no by the ditic Palissa-Agule 13.7 yes poor fill Agule-Kibale 11.9 yes verypoor fulU Kibale-Kamuge 8.5 yes verypoor fill Palissa-Gogonyo 15.9 yes poor spot/fuiln Gogonyo-Agule 12.8 yes poor fill Palissa-Kasodo 11.1 yes poor full Petete-Butebo-Ladoto 13.2 yes poor spot/fil Budaka-Bulangira-Petete 20.2 yes poor spot/flU Bulangira-Kibuku-Tirinyi 20.4 yes poor MIfl/spot Kadana-Kibuku-Buseta 15.2 yes good/fair maintenance/spot Budaka-Lld-Li 11.0 yes fair spot Liki-Lkd-Kakoro 10.0 no fair/poor spotfulU Naboa-Kaiti 3.0 ms fai/poor spot Total priority roads in PalissaDstrict 166.9 Appendix2.4 Page1 of 2 UGANDA TRANSPORT REHABIUTATION PROJECT
FEEDER ROADSREHABILTATION
A. Feeder Roads Proposed for the First Year Programme
Name of road section Dibtd Lengt (kn) Adivity Source Cosln Totl CoSt 118$ 118 Buweri-Bumomulu Mbale 10.0 Full Training 13,108 131,075 rebabilitation Mbale-Bufibo- Mba 13.7 Full Contractor 11,852 162,375 Bubiango rehabilittion Busiu-Lukuna Mbale 5.0 Ful Contractor 11,373 56,867 rhbilitadon Kaderuna-Petete- Palissa 9.5 Spot Contactor 5,865 S5,717 Butebo improvme Nabumali-Busano Mbale 9.3 Culverting DA/MOLG 2,000 18,600
Total 47.S 424,04
B. Feeder Roads Proposed for the Second Year Programme
Name of road semon Dislric Length (Am) Acivity Source Co4tsa Total Cost
Bugusege-Buteza Mbale 9.3 Full Training 16,658 1S4,917 Kapchorw-Kapenguria Kaphomra 6.0 FWu Contractor 18,144 108,867 (part) Kapirwok-Bugimotwo Kapehorwa 5.9 Spot Contactor 9,511 56,117 Cheminyi-Moyok Kapra 6.5 Full Contactor 24,355 158,308 Kaserem-Kapsinda Kapehoa 11.0 Spot Contractor 5,000 55,000 Sinmityo-Amukol Kplowa 7.7 Culverts DAIMOLG 2,000 IS,400 Bumbobi-Kachonga Mbale 4.4 Full Contractor 10,417 45,833 Bugobero-Molo Mbale 10.9 Spot Contractor 6,415 69,925 Butiru-Salosalo Mable 8.1 Full Contractor 11,061 89,592 PaLissa-Agule Palissa 13.7 Ful Contractor 11,622 159,225 Palissa-Gogonyo Palissa 15.9 Spot Contractor 7,519 119,550 Nakaloke-Katwangb_ Palissa 6.0 Ful Contractor 12,594 75,567 Lunmino-Lunyo-NamaingoTororo 14.0 Full Contractor 10,946 153,250 Tororo-Kwapa-Sasalo Tororo 10.5 Full Contractor 7,843 82,350 Selectedroad sectons N/A 20.0 Culverts DA/MOLG 2,000 40,000
Total n rehabilated 149.9 1,383,901
Full: FullRehabilitation Spot: SpotImprovement Culveru:Construction of essentialculverts Appendix2.4 Page2 of2
C. Roads included in First Year Maintenance Program
Kapclorwa Pallisa
Atari-Ngenge(part) 6.0 km Budaka-ki-Iki 11.0 Ikn Kokwomurya-Atari 8.7 kan Kadama-Buseta 15.2kn Siron-Ngambirii(part) 5.0 kan SUB-TOTAL 26.2 km Bukwa-Kapnandi(part) 5.0 km Chema-Ngasire(part) 5.0 kmn Tororo SUB-TOTAL 29.7km Kachonga-Nabiganda 8.0 kn Mbale Nabiganda-Busolwe 21.9 bn Kachonga-Kidoko- - Bulegeni-Bumwambu 8.0 km Mlrikiti-Molo 21.0 km Bumwanbu-Buginyanya 3.4 km Nagongera-Butaleja 18.6km Bumwambu-Bulago 4.0 km Apokori-Merikiti 9.6 km Busiu-Lukonge 9.6 km Kaiti-Nabiganda(part) 3.0 km Sikhoye-Bugobero 8.2 kin SUB-TOTAL 82.1 km Kufu-Magale(part) 11.0 km Buwalasi-BuwalasiTTC 3.3 km Bugobero-Molo(part) 3.4 km SUB-TOTAL St.9km GRANDTOTAL 189
An additional70 km of feeder roads are expectedto be maintainedduring the first year as part of the district roads maintenanceprogram, includingroads to be maintainedby contractors under training. Appendix2.5 Page 1 of 18
UGANDA TRANSPORTREHABILITATION PROJECT FEEDER ROADS COMPONENT
TechnicalAssistance for Posts and Key Government Personnel in the Field
Outline Terms of Reference
L PROJECT DESCRIPTION
1. The Govemmentof Uganda proposes to implementa Transport RehabilitationProject whichwill providesupport to activitiesin highways,feeder roads, railwaysand transportplanning. The feederroads componentcomprises:
* rehabilitationof 680 km of feeder roads in four Eastem disticts, Kapchorwa,Mbale, Palissaand Tororo; e four year (FY95-FY98)feeder road maintenanceprogram with coverage incrg fiom 260 km to 880 km per annumfor the four districts; * establisumentof feeder roads rehabilitationand maintenancecapacity through labor- based,light equipmentsupported, contractor executed works in the four districtswith taining and technicalassistance; and D strengtheningthe EngineeringDepartment of the Ministryof LocalGovernment.
IL OBJECTIVES
2. The technicalassistance to providefield technical support, localcapacity building and trainingwould assistthe governmentto:
(a) improve MOLG's and District Authorities'capacity to plan, manage and monitor feeder roads rehabilitationand nmintenance; (b) train, counsel and employ domesticsmall and mediumsized contractorsfor feeder roads worksand faciitate such contractors'access to equipmentthrough leasing, hi- purchaseand other methods; (c) introducelabor-based methods of road maintenanceand feeder roads rehabilitation whenevermost cost-efctive.
IIL SCOPE OF CONSULTING SERVICES
3. The consultantsshall providea technicalassistance team consistingof three expatriateand three local expertsas follows:
Experts WM 1. ProjectCoordinator (expatriate) 40 2. Construction/MaintenanceEngineer (expatriate) 24 3. SeniorTraining Specialist (expatriate 24 4. Civil Engineer/Training(local) 48 5. Civil Engineer/Construction(local) 48 6. Mechanical/LogisticsEngineer (local) 48 Appendix2.5 Page2 of 18 lTe Project Coordinatorwill be fully engagedin the projectfor 36 monthsfollowed by two to four monitoringmissions (four monthsaltogether} during the last projectimplementation year.
The three local private consultingengineers will be hired for the entire projectperiod (4 years) to ensure gradual and effectivetransfer of know-howand responsibilityby buildinglocal private sector capacity for labor-basedtlightequipment supported road works. Local support staff (An Accountantand other administrativestaff) will be hired by the consultantfor their entire project implementationperiod.
4. Government Counterparts: MOLG will nominatethree counterpartsto the TA team: a ProjectManager and two DistrictEngineers to workwith the teamn.The individualjob descriptions of the key TA and Governmentpersonnel are presentedbelow.
IV. INDIVIDUAL JOB DESCRIPTION
A. PROJECT COORDINATOR (PC)
S. Duties: The Project Coordinator(PC), jointly with the National ProjectManae (NPM) will serve as leader of the field support team and report to the Chief Engineer,MOLW. He/She shall be responsiblefor the overall management,planning, implementationand supervisionof feederroads rehabilitationand maintenanceworks by domesticcontractors and districtand MOLG staff in the four pilot districts. The PC, shall be assisted in his duties by the NPM, the Constructionand MaintenanceEnginee, and the SeniorTraining Specialist and workingwith the District Engineersand Works Supervisors. In addition,the PC and the National projectManager will be responsiblefor coordinatngdistrict staff and contractortraining to ensurethat the training is fully responsiveto actual needs. The PC will be recruitedfor a total periodof hfreeyears, to be followedby two visits of two monthseach to take placeafter six monthsand at end of the project. In great detail, the PC shall:
(a) advise and assist in the establishmentof capacity within the Ed of MOLWand the district to plan, implement,and monitor road rehabilitationand maintenanceworks executedby contractors;
(b) prepare work plans and materialschedules, project launch and otherprograms for the smooth implementationof the project; identifydeficiencies and deviationsfrom the projectimplementation schedule, initiate actions to correctthem and monitorexecution of such actions;
(c) adviseand assist in reviewingrequired equipment lists for all procurementof plant and equipment,tools, materials, both local andoverseas;
(d) manageand coordinateall projectinputs providedby MOLG,World Bank,NDF, the Leasing Companyand/or CommercialBank, and others, ensuringthat all inputs are effectivelyused;
(e) select, in collaborationwith the training team at Elgon Technical College,Mbale, contractorssuitable to receivetraining, assist in identifyingtheir, DA technicalstaff Appendix2.5 Page3 of 18
and ResistanceCouncils I and III trainingneeds and coordinatetraming activities to that they are truly responsiveto DA short- and long-termneeds;
(f) in liaisonwith PMDD in MOLO,organize and keep up-to-datefeeder road inventories and conditionsurveys, and developor adopt and apply a suitablesysten for fieder roads programplanning and budgetingin the four pilot districts;
(g) update and detail, as appropriate, based on complete and up-to-date fiede road inventoriesand conditionsurveys, the four-yearrehabilitation and maintenanceplans providedin the final preparatoryreport;
(h) elaborateyearly detailedwork plans with budgetsfor rebabilitationwork to be caried out on contractand maintenancework to be done on contract;subsequenfly implement the plans;
(i) select,in close collaborationwith MOLGand DAs, and based on techmicaland socio- economiccriteria (suggested in the final preparation report), feeder roads to be improvedand selectthe type of improvementto be undertaken(full rehabilitation,spot improvementor culvertingonly);
j) assist MOLG in preparing andlor finalizingtender documentsincluding technical specificationsfor feederroad rehabilitationand maintenancework;
(k) to an extentnot already carried out already, prepare detailed engineeringdesign and tenderdocuments for worksto be carriedout on contact; inviteconactors (whohave successfullyundergone training) to tender,evaluate their offers and adviseMOLO and DAs on contractawards;
(1) coordinateand supervisethe work of contractorsand technicalassistance staff for the perfornance of required tasks within time and cost Umits,and provide advice as requiredon howto irnproveperformance;
(m) developand implementadequate field reportingsystems for works on contrac and on forceaccount, and assist MOLGin elaboratinga districtactivity reportingsystem;
(n) preparemonthly district progress reports and consolidatequartedy progressreports;
(o) prepare a manual on the planning,administration and implementationof feeder road rehabilitationand maintenance,which would serve as a guide for DAs; the first draft basedon initialexperiences should be ready 18 monthsafter projectstart and the final versionone year later,
(p) prepare a final report on the results of the project with a plan of action for further work to be carriedout underthe projectand post-projectactivities; this report should be readythree monthsbefore the PC leaves.
6. The PC will train his/hercounterpart by graduallyand systematicallytransferring kmow- how and responsibilityto the NationalProject Manager,as well as otherkey nationalstaff (District Engineers and Works Supervisors). The ain will be to ensure a harmonious and rational Appendix2.5 Page 4 of 18 delegationof responsibilitiesrequired for effectivefunctioning of the DA Works Departments.To facilitatethis, a job descriptionhas been madefor key DA WB staff. The detailedplan for transfer o know-howand responsibilityshould, at an early stage, be discussedand agreed with the Chief Engineer,MOLG, the NationalProject Manager,the District Engineersand the four DAs.
7. Qualifications:The PC shouldbe a qualifiedprofessional civil engineerwith at least eight years' experience,a major part of which shouldhave been in road planning,design, construction and maintance applyingiabor-based methods. A significantpart of the experienceshould have been acquiredfrom work in developingcountries, preferably including sub-Sahar Africa. The PC shouldhave general (contract) and financial managementor accountingexperience and be fluent in English.
B. CONSTRUCTION/MAINTENANCE SPECIALIST (CMS)
8. Duties: The Construction/MaintenanceSpecialist (CMS), jointly with his Ugandan coleague, and in association with the Districts Engineers under the overal guidance and supervisionof the PC, will assist in carryingout the tasks identifiedin the job descriptionfor the PC, with particular referenceto the field activities for which the CMS would have a major responsibility. The CMS would be recruitedfor a total period of 2 years (24 man months). In greaterdetail, the CMS, in closecollaboration with his Ugandancolleague, shall:
(a) carry out feederroad inventoriesand conditionsurveys;
(b) preparedetailed engineering and technicalspecifications for worksto be carriedout by contractors,and subsequentlyguide and supervisethe contractorsin their work;
(c) assist the DAs, through working closely with the District Engineers, in setting up systemsfor carryingout and supervisingmaintenance;
(d) assist communitiesin identifying tracks and trails which may be suitable for improvement,mainly on a self-helpbasis, and subsequentlyassist the communitiesin carryingout the works;
(e) assist in identifyingsuitable borrow pits;
(f) assist Resistance Councils I and III in identifyingtheir role in the area of labor recruitment,and certificationof workscarried out correctly(after certificationby DA staff);
(g) assist, as required, in carrying out the overall trainingprogram, in particular as to trainingof DA staff and small contractorsin routinemaintenance;
(h) define format for site reporting (daily, weeklyand monthly)and assist in effective implementationof the system. AppendI 2.5 PageSof 18
9. The CMS will traininghis/her counterparts. The CMS shall graduallyand in a systematic and planned way transfer know-howand responsibilityto the local experts workingclosely with him, as well as the District Engineersand Work Supervisors. A detailedplan for the transfer of know-howand responsibilityshould be agreed at an early stage and shouldbe closely monitoed and reportedupon in progressreports.
10. Qualifications: The CMS shouldbe a qualifiedprofessional civil engineerwith at least six yeas' relevant experience, a major part of which should be in road planning, design, constructionand maintenanceof low-costgravel and earth roads using labor-basedmethods, as well as in the testing of soils and materials; should also have experience in operational and administrativeaspects of rural road maintenancein a governmentor district organizationand shouldhave suitable experiencein equipmentusage and control. A significantpart of iser experienceshould have been acquiredin countrieswith similarsocio-economic conditions as ose prevailingin Uganda. The CMS shouldbe fluentin English.
C. Senior Training Specialist (STS)
11. Duties: The STS, jointly with his supportingtrainers, will be responsiblefor training activities. Thus the STS would identifytraining needs, develop training programs, participate in implementingthese, and monitorthe resultsof the traming. The STS will be requiredfor a total periodof two years. In greaterdetail, the STS, in collaborationwith his/hercounterparts and wi the trainingcoordinator at MOLGhead quarters,shall:
(a) identifytraining needsfor MOLOand DA staff, as well as domesticcontrs and developcomprehensive on-the-job and classroomtraining programs for each category of trainees;
(b) identifyneeds for trainig equipmentand materialsand arrange for the procuremt of these (to the extentthis has not been donein advanceof arrivalof the STS);
(c) organizeand imp!ementtraining of domesticcontractors and governmentstaff at the MbaleTraining Center;
(d) prepare trauiingmaterial and backgroundpapers for courses,semsina and wodkhops for engineers,planners, contractrs and othersand participatedin the implementation of these activities;
(e) organizea close collaborationwith trainingactivities for LBALESactivities under the NorthernRehabilitation project;
(f) prepare training modulesand other backgroundmaterial suitable for integrationin curriculaat the engineeringfaculty at the universityand at technicalschools;
(g) establishcontact with the KisiiTraining Center in Kenyaand arrange for Kisiito give lecturesin specific subjectsto traineesat the Mbale TrainingCenter, and/or arrange for projecttrainees to be given lecturesat Kisii; Appendix2.5 Page6 of 18
(h) superviseand monitorall trainingactivities including verification of performancelevel achievedby trainees;
(i) train trainers (engineersand technicians)who can graduallytake over responsibility for training;
(i) quarterlyprogress report;
(ii) trainingreports on specificsubjects as warranted;
(iii) final traiing report
12. The STS will train his/hercounterparts and overseetraining being canried out. TheSTS shall gradually and systematicallytransfer know-howand responsibilityfor trainin to his/her counterpartsand othersas appropriate. With his/herdesignated national successor a plan of action should be elaboratedfor this transfer of responsibility. The capacity buildingin above respects shouldbe closelymonitored and reportedon; in the case of inefficienciesor delays beingobserved correctiveaction must be taken.
13. Qualfications: The STS shouldhave a universitydegree in civil engineering,followed by at least ter, years' professionalexperience, a major part of which havingbeen gained in developing countries, preferably including Sub-SaharanAfrica. He/She should have experience in the applicationof labor-basedtechniques for road constructionand maintenancein countries with similar socio-economicconditions as those prevailingin Uganda. He/Sheshould have extensive experiencein managementand trainingand be fluent in English.
D. NATIONAL PROJECT MANAGER (NPM)
14. Duties: The National Project Manager (NPM), will be the counerpart to, and be responsiblejointly with the PC for the overallmanagement, planning and implementationof feeder roads rehabilitationand maintenancein the four pilot districts. In addition,the NPM and the PC will be responsiblefor coordinatingdistrict staff and contractortraining to ensurethat the training is fully responsiveto actual needs. He will provide the required coordinationbetween the ConsultanttTAteam and MOLGheadquarters and the district administrationand engineers,and contractors. It is expectedthat with the trainingand experiencegained on the project,he will be able to performthe duties of the PC when he leavesat the end of his contract. The NPM shall assist the PC, and in consultationwith the Constructionand MaintenanceSpecialists, and working withthe DistrictEngineers and Works Supervisors,shall:
(a) select, in collaborationwith the traiing team at Elgon Technical College, Mbale, contractorssuitable to receivetraining, assist in identifyingtheir, DA technicalstaff and ResistanceCouncils I and III training needsand coordinatetraining activitiesso that they are truly responsibleto DA short- and long-tern needs;
(b) in liaison with the PMDD in MOLG, organize and keep up-to-date feeder road inventoriesand conditionsurveys, and developor adopt and apply a suitablesystem for planningand budgetingin the four pilotdistricts; Appendix2.5 Page7 of 18 (c) update and detail, as appropriate,based on complete and up-to-date feeder road inventoriesand conditionsurveys, the four-yearrehabilitation and maintenanceplans providedin the final preparatoryreport;
(d) elaborateyearly detailed work plans vwthbudgets for rehabiRationwork to be carried out on contract and maintenancework to be undertakenon contract; subsequently implementthe plans'
(e) select,in close collaborationwith MOLGand DAs, and basedon technicaland socio- economic criteria (suggested in the final preparabon report), feeder roads to be improvedand selectthe type of inprovementto be undertaken(ful rehabilitation,spot improvementor culvertingonly);
(f) assist MOLG in preparing and/or finalizng tender documents includingtechnical specificationsfor feederroad rehabilitationand maintenancework;
(g) to an extent not carried out already, prepare detailedengineering design and tender documents for works to be carried out on contract; invite contractors (who have successfullyundergone training) to tender, evaluatetheir offers and adviseMOLO and DAs on contractawards;
(h) supervise the works being carried out by contractors and provide advice to the contractorson how to improveperformance;
(i) developand implementadequate field reportingsystems for works on contract and on force account, and assist MOLO in elaboratinga district activity reporting system whichcould eventuallybe appliednationally;
j) prepare monthlydistrict progress reports and consolidatedquarterly progress reports;
(k) prepare a manual on the planning,administration and implementationof feeder road rehabilitationand maintenance,which would serveas a guidefor DAs; the first draft based on initialexperiences should be ready 18 monthsafter projectstart and the final versionone year later;
(I) prepare a final report on the results of the projectwith a plan of action for further work to be carried out under the project and as post-projectactivities; this report shouldbe readythree monthsbefore the PC leaves.
15. Qualifications: The NPM shouldhave a universitydegree in civil engineering,followed by at least five years' professionalexperience. He/Sheshould be familiar with, or have received taining in labor-basedtechniques for road constructionand maintenancein countrieswith similar socio-economicconditions as those prevailingin Uganda. He/She should have experiencein managementand trainingand be fluent in English. AppenIx2.5 Pagp o8f18
E. DISTRICT ENGINEERS (DEs)
16. Duties: The two District Engineers(DEs) are to be statiOnedin Mbale (to cover Mbab and Kapchorwadistricts) and Tororo (for Tororo and Pass). EachDE will pnmarily liaie with the PC and the CME in seting up and amnuallyimplementing maintenance manm nt and accountg systemsfor the twoassigned districts. In particular,the DE shallin collabotion with the PC and the CME:
(a) iialy review and fimn up maintenancespecifications, contrt domn and managementsystems; and workwith District Wors Supervisorsto: (b) plan the programof maintenancework in each district,assess resoures neededand preparebudget estimates;
(c) detenminenmitenanc priorities,and arange for appropriateallocation of fuids and oter resources;
(d) authorize and schedule maitence work to be carried out by contaor and supervisedby RoadInspectors;
(e) train and advise Rls, on propermethods of roadmainteance; and
(f) monitorthe qualityand effectivenessof maintenanceactivities.
(g) assist local communitiesand RCs in selectionof wo and mobilizaion of labor if required
.p) participate in the trainig progmn for small scale cotaco (includinggroup contrctors and logthmen)
17. Qualifications: The DEs shouldhave a universitydegree in civilengineerin folowed by at least five years' professionalexperience in road constructionand maintena. He/Sheshould be familiarwith or shouldhave receivedor be givenan eady taining in labor-basedtechniqes for road constrction and maintenance. He/She should have some experiencein managementand
F. MECHANICAL/LOGISTICSENGINEER (MLE)
18. Duties: Under dte directionof the Project Coordinator,STS and CME as requied, the MLE will orgaiize and supervisethe mechanicalservices and logisticsrequired in connection%ith the project. He/Shewill work as a memberof the TA team. Inparticular, he/she shall:
(a) assist in elaboratingand reviewingtechnical specifications for equipment;
(b) carry out inspectionsof deliveredequipnnt, set up stores and a stores managmet systemfor all sparepans; Appendix2.5 Page9 of 18
(c) sct up a systemfor maintenanceof equipmentincluding major repairs from private workshops,and supervisethe implementationof maintenancerepairs requiredto be carriedout by the projectteam andthe privatecontractors;
(d) assist the financeAeasingcompany in inspectingand monitoringthe utilizationof equipmentleased to the domesticcontractors;
(e) organizeand superviseequipment and vehicleutilization;
(f) keep recordsof expendituresby itemof equipment/vehicle
(g) conducttraining and provideadvice as requiredfor plant and auto mechanics,store keepersand otherassociate staff fromthe districtsand the contractingfirms;
(h) organize and implement a system for keeping records of local and overseas procurement;
(i) liaiseand follow-upon the clearingand transportof all overseasprocurement.
19. Qualifications: The MLE should have a degree or diplomain mechanicalengiering, followedby at least five years' practicalprofessional experience. He/She should have the abilityto establishgood workingrelations with localand expatriatestaff.
G. PROJECT ACCOUNTANT (PA)
20. Duties: In consultationwith the PC, the Project Accountant(PA) shall set up and implementsystems for managingthe accounts of the project activities. With the support of the FinancialAssistant (Cashier), the PA shall:
(a) advise the District Engineersand DA treasurers on improvingthe District budgeting and accounting for road operations, as well as appropriate staff and contactor paymentsystems;
(b) assistthe PC in managingthe projectcash flow, organizeand follow-upand ensurethe promptpayment of contractorcertificates;
(c) advise contractor'sstaff on organizingand improvingtheir accountingsystem, and assistthe PC in monitoringthe performanceof contractors,and in their repayingto the finance/leasingcompany for equipmentand tools leasedto them;
(d) assist the PC in obtaininginfonnation and preparing project cost reports, including implementingsystems for cost monitoringset up by the Planning, Design and MonitoringDivision (PMDD) of the EngineeringDepartment of MOLG. Appendix2.S Page 10of 18
V. DATA, LOCAL SERVICESAND FACILITIESTO BE PROVIDED BY GOVERNMENT
21. The Government(Central and District)shall providethe technicalassistance team with all available information,studies and reports required for their services, and wil assis swtabe counterpartsas stipulatedabove. It shall also providethem with necessaryoffice space, furniture, equipmentand officesupplies and other servicesas requiredby the consultantteam.
VI. REPORTS
22. The consultants shall prepare distrct reports, and prepare and subnmtconsolidated quarterlyprogress reports (3 copies each to Govemment,Nordic DevelopmentFund and IDA sumnanzmg accomplishmentsduring the reportingperiod and total progresssince the start of the work identifyingany problemsencountered in the work with recommendationsfor corrective action. Appenix2.5 Page11of 18 Annex UGANDATRANSPORT REHABILITATIONPROJECT FEEDER ROADSCOMPONENT
SMALL CONTRACTOR EQUIPMENTLEASING AND MANAGEMENTPROPOSALS
Project Objective and Strategy I Oneof the aimsof the FeederRoads Component of the Transport iliion Projedt (TRP) is to developsmall domesticcontactors to becomefully dependt prive business concerns(after about 4 years). This would implythat they are well managed,tically competent,dispose of a wel trainedstaff and own a substntialpart oftheir ligh equipmentTbey wouldthen be ableto continuedoing road rehabiliation and periodicmaintnance work competing wnthother contractors, labor-based and equipment-based, assunung that contract conditions are not bised agn them. They would have establisheda track-recordwith a fin instituon (FLI)I/ and wouldprovide collateral as requiredto renewand gaduallyexand their equipmet fleet. Theirbusiness would then becomesustainable with a capacityfor expansion providedthat there is a reasonablebalance between demand and supply of contractingservices. In this connection,it shouldbe notedthat contactorsusing lWt equipmentare moreflexible as to type and size of workthey can undertake,while road contractors,using heavy equipment, can expectto usetheir equipment only in full scale units for large road works. 2. In orderto reachthe describedstage of development,the contactorsmust have (a) gone throughthe varioustraining stages to be executedunder the TRP;and (b) hada reasonableprofit- levelwhich has enabledthem to buildup theirbusiness and, in particular,to havepaid back on the equipmentso that theyown most of theirequipment fleets. To reachthat stagewithin an effctive 3.5-yeartime fiame under the project,it is mostlikely that theywould be requiredto go througha numberof evolutionaryphases, described in somedetail below. Te speedat whichthis cantake place depends,to a large extent,on mnro-conic fators (inflationand interestrates), the contrctors perfomance,the eventualcreation the UgandaLeasing Company (ULC) which would specializein leasing. Furtherinfonnation on the actualconditions of engagemenof the FLI are beingfinalized in consultationwith the IFCand are expectedto be firmedup by the FieldSupport TechnicalAssistance team. Thispaper presents some of the issuesand suggestsan appmachfor implementingthe leasingoperations under the proposedproject.
Conditionsfor Borrowing 3. A pre-conditionfor the smoothdevelopment of a gradualcapital formation on the part of the contractorsis the contractors'ability to borrowcapital and lease equipmentand be paid for theirservices. Thus, particularly with high interest rates, payments of monthysaements mustbe prompt.If the real interestrate (the difference betwee the interestcharged and the inflationrate) is large,it wouldalso be highlyrelevant that contractunit rates are adjustedfirly. With appropriateadjustment (for priceescalation) clauses in their contractsthe contactorswould not f 'eThproposed Leasing Company (ULC) will have to be linkedwith a localbank which will handle progresspayments, and also provide qualifying contractors with wodring capital if requird. Appendix2.5 Page12 of 18 have to bear the foreign exchange risk. The emergingcontractors should not be put at a disadvantagevis-a-vis large establishedcontractors using equipment-intensivemethods who have accessto the internationalcapital market.
The Step-by-StepApproach to the Operations
4. It is clear that the developmentof domesticcontractors cannot reach maturitywithout reliableand sustainableaccess to financialcredit on reasonableterms. What is less clear is how and in whichtempo this can be achieved. Under idealconditions, this may be donein one step; in Uganda, it is not likely to be feasible. The various potential steps in the process are briefly describedbelow:
Step I Purchase of equipment byMOLG under TRP (9 months). Equipment operated byMOLG under TRP; training of contractors on the training site and in the classroom (6 months).
Step 2 Each contractor carries out rehabilitation work on 4 km-6 km test section with,fixed unit rates Equipment may be leased to contractors by the FLI on behal of the owner, MOLG and operated by contractors provided the contractors are likely to participate in future contracts. Equipment maintenance is the responsibility of the contractor who could undertake the required maintenance at local, well run workshops (of their choice, but preferably in Mbale and Tororo).
Step 3 Contractors carry out work on one-year contract (1S km-20 fcm) with fixed unit rates. Contractor leases equipment procured by MOLG from the FLI under agreement with MOLG to administer interest payment on equipment. Equipment maintenance would be carried out by local workshop under contract with contractor. In addition, the contractor should provide pay-back on the equipment, also administered by the FL. The interest to be paid should either be the agreed rate for loans denominated in foreign exchange, or a reasonable commercial interest on a USh loan. (See also para. 3).
Step 4 The contractors will bid on, and be awarded, a one-year contract With the leasing operations envisaged the total contract period will have to be ideally 3 or 4 years, subject to performance criteria allowing for early termination by MOLG. The other conditions as above.
Step S The contractor could preferably opt to complete the pay-back on the equipment and become the owner of the equipment. Preferably at the beginning of this step, the risk of the equipment loan can be removed from the MOLG and taken over by the FLI who would then have to cover its risk by an increased charge to the contractor. If the contractor has established a good track-record over the previous years and the general interest level has been reduced to a reasonable level this would seem achievable.
The Role of the Financing/LeasingInstitution
S. The role of the financing/leasinginstitution would be to ensure (a) efficientadministration of interest and pay-back on equipmentrented by contractorson a hire purchase basis; and (b) soundand efficientfinancial management of the contractor'saccounts. Appexnx2.3 Pag 13 of 18 6. Listof Services:In orderto ultimatelyfulfil this role,the FL!should provide the following semvces,some of whichbelong to laterstages of the project(pam. 4): (a) equipmentprocured by MOLGto be inspectedby the FLI to confilmnat al specificationsand contractualconditions have been fulfilled;
(b) screeaingef contractors'credit worthiness by applyinga set of evaluationcriteia agreedwith MOLC- or its representatives,e.g., the ProjectManagement Team;
(c) developmetof appropriateloan a s betweenthe FLI and the contctos applyingconditions of repaymetapproved by andacceptable to MOLG-,
(d) uponthe siare of loanagremens, handingover of equipmentto cotators togetherwith signed condition inpecion certificate;
(e) regular monitoringof the conditionsand utilizationof the equipmentand the financi performanceof the contractorsas to their credit worthiess, taking appropriatelegal action in case of najordelinquencies; M recoveryof loan (payback) and interestpayments in accordancewith conact areement and creditingpayments (on behalfof MOLG)to fte FLI-mana_d revolvingfund whichmay be used foron4ending to futurecontactors;
(s) exeting paymts for works exewted to contacs, based on payment rificates issued by the MOLO, applymga sound banking system and mainuain recordsfor eachof the constuctionf ins, showingrelevant conta and lease emnent,gross and net payment assessmnents and balanceof loan; () assisingcontactors with their accounting and financialmanagenot by providing unsellngand technical guidance; and
(i) openingand maintaininga revolving fund account accring interestand providing regularstatements for this account (see (1) above).
7. SuggestedExpertise and Services: It is expet that dte financing/leasinginstitution willhave on its staffthe nonnalbanking expertise of manager acuntn, clerksand othes with requisitetruning and experience.However, in orderfor the insutn to undertakethe role definedin paas. Sand 6, it musthave on its staff orhave regularaccess to the servicesof: (a) a projectanalyst to evaluatethe contro rs; creditworthiness, their needs for assistance,etc.; (b) a _mea engneer to inspectequipment on receipt from MOLG and ovesee equipment utilizationand adequac of equipmentmaintenance; and (c) a civil engineerto liaise with contators on constructionissues. The expertisein (b) and (c) couldbe providedby the Field SupportTA teamn. 8. Reporting: TheFll shouldprovide (a) regularand up-todte statmen on all financial matters,and (b) regularreporting on all otherrelevant matters. The following reporting schedule is prpoed: Appenlix2.5 Page14 of 18
regular and up-to-datestatements of the TRP recoveryaccount to be providedat least once a month; provisionof quarterlyloans and interestfinancial statements for each contracWras wellas a combinedstatement for all contractors; an inceptionreport coveringthe managementand servicesto be providedshould be submitted2 monthsfrom the beginningof the assignment; half-yearlyreports on the performanceof the contractors; a completionreport at the end of each loan agreementand a summaryreport when all loanshave beenrecuperated.
9. Responsibilitiesof MOLG: The MOLGthrough the EngineeringDepartment will:
- provideregular and continuouswork to the contractorsduring the entire periodof loan recovery; - purchasethe requiredhand tools, lightequipment including a set of essental spare parts and employ the FLI to managethe leasing and financingoperations after assuringthat the equipmentis in orderand accordingto requestedspecifications; - submit names of the contractors recommendedby the MOLG for lease of equipment; - submita detailedlist describingthe amount and type of equipmentto be provided to each contractor; - ensurethat all checksbased on paymentcertificates are issuedin the joint name of the contractorand the finance/leasinginstitution until fuUlloan recoveryhas been achieved.
Selection of Finance/Leasing Institution
10. A number of investors,among whom is the DevelopmentFinance Companyof Uganda, will establisha leasingcompany - The UgandaLeasing Company(ULC). The ULC appearsthe most likelyto be functioningby projecteffectiveness. A FeasibilityStudy Report on the Leasing Company was completed in May and concludedthat favorable conditionsexisted for leasing operationsin Uganda. Pendingthe resolutionof some outstandingissues regardingthe enactment of legislationfor leasing, the Road Traffic Act, etc., the formationof the leasing companywill facilitatethe arrangementssuggested above. The major shareholdersare expectedto include(i) DevelopmentFinance Company of Uganda,(ii) GrindlaysBank (Uganda)- to be renamed'Stanbic Bank of Uganda"(iii) InternationalFinance Corporation,and (iv) CommonwealthDevelopment Cooperation,and (v) StandardBank of South Africa, and (vi) Nile Bank. An IFC mission in association with representativesof these institutions appraised the Company proposals in September1993. The findingsof the appraisalmission confirm that the ULC will participatein the leasing operationsfor small contractorsonce it is operational by the Fall of 1994. It is proposedthat the ULC will grant eligible contractorsfull payout (otherwiseknown as finance) leasesthe durationsof which shouldbe the same as the periodof contractsthose contractorshave fromthe MOLG.
Operation
11. It is appropriatethat the proposedLeasing Company designates a Project AppraisalUnit to deal with the MOLGon all issuesof the labor-basedconators. The Unit shouldbe reporting Appendix2.5 Pageis of 18 to a joint FLI/MOLGStanding Committee. The committeeshould comprise the Chief Engineerof the MOLG, the Project Coordinatorand Local Project Manager, The Director of the Leasing Company'sUnit and its operationalofficer.
12. Somefunctions of the Unit:
(i) All correspondencebetween the Leasing Companyand the MOLG on the labor- basedcontractors should be withthe Unit. (ii) List of beneficiarycontractors will be submittedto the Unit whichwill arrangefor their appraisal. (iii) Equipmentfrom MOLO will be receivedby the Unit and issuedto the contractors after appraisaland approval. (iv) All paymentchecks issued by the MOLG for joint paymentwill be presentedto the Unit first. The Unit will then informthe contractor of the amount for loan repaymentsand the remaining balance which will be released to him. On conclusion of this negotiation the Unit will then instruct the Branch of the Financing/LeasingInstitution where the contractorkeeps his accountto releasethe agreed amount.
13. The labor-basedcontractors should be encouragedto forn an association. Commonissues likelyto cause misunderstandingbetween the contractorsand the Financing/LeasingInstiuon can be brought before the MOLG/LeasingCompany Standing Committeefor settlement. The contractorswill be representedby the executivemembers of this association. The aim is that doomesticcontractors should, at the end of the project,be able to own a major part of the required equipmentand not continueto rent for ever.
14. All issues between the MOLO and the Leasing Companyneeding clarificationwill be settledat the StandingCommittee level.
Terms of Loans
15. The MOLG is responsiblefor assessingthe amountsdue to each contractorat every stage of the contractperiod. Checksfor the completedworks are issuedby the MOLGin the joint name of the contractorand the FLI (the localbank) to ensurethat no other bank has accessto the check. Whenthe check is cashedthe FLI can graduallyrecover the loan by securingan agreed portionof the amountas a repaymentof the loan. To ensurethat this arrangementis followed,the FLI must establishprocedures so that only the unit responsiblefor the contractorsare authorizedto handle the checks,avoiding that the entireamount of the checksare cashedand no repaymentsare made to the equipmentloan.
16. Repayment Period: The repaymentperiod shouldbe in the range of 4-6 years depending on the amount of the equipmentprovided to the contractor. (See Annex A for equipment amorfizationexample)
17. Security: The LeasingCompany may requirea securityfrom the contractorwhich should be agreed initially. It is, however,expected that the equipmentprovided under the project will serveas sufficientsecurity. Appendix2.5 Page16 of 18 18. Interst Rata: The MOLOand the Leasing Companymust agree upon an appropriate levelof interestrates for the equipmentloans. The rates take due accountof the rumningexpenses of the LeasingCompany for the managementand handlingof the loans,existing interest rate level in the country,inflation, exchange rates betweenlocal currencyand foreigncurrencies (US$). A certain amount of the generatedinterest should be channelledback to the MOLO revolvingfund accountto cover losses.
19. Restrictions on Usage: Equipmentfinanced under the loan shouldbe used solelyfor the purpose of the Project,and shall not be used for any otherpurpose exceptwith the authorizaton of the MOLG in consultationwith the LeasingCompany. Only after a certainperiod of time or after the contor has completeda certain amountof works will he be releasedand be free to use the equipmenton other assigmnents. This period shouldat least cover the project period. However, the MOLG must guaranteethat it canprowde regular and continuousamount of work duringthe bondingperod. Appendix2.5 Page 17 of 18
EQUIPMENT AMORTIZATION
Introduction:
I. In the estimates of the cost of rehabilitationit has been assumedthat the contractor's equipmentwould be filly amortisedover an averagetime span of 6 years. In the Annex, yearly amortisationhas been estimatedbased on an interestrate of 12% p.a., all figuresbeing in US$. The cost estimate was based on a contractor'sadministration/profit/risk at 30% of direct cost (includingtaxes and duties). Assumingthat administrativecosts are half of this, or 15% of direct costs, it is seenthat on an averageone-year contract of US$ 260,000(20an rehabilitationat US$ 13,0001km)the contractorwould have a yearly profit of US$ 30,000. In case the equipmentis amortizedover a 3.5 year period,corresponding to the effectiveproject period, it is seen that the contractorwould need to investhis entireprofit in payingback on the equipmenton the assumption that the contractoruses US$ 30,000/yearon contractadministration. In this way, after 3.5 years with about an additional2.5 years life for the equipmentthe contractorwould have reachedthe stage describedin para. I of the main text. As an alternative,the contractorcould stretchthe pay- back periodand, in parallel,deposit excess profit in an incomeeaming account in the FLI.
2. In July 1993,at projectappraisal, the exchangerate had (sincemid-1992) remained almost constantat US$ 1.00 = USh 1,200.00while the interestrate had droppedfrom about 45% p.a. to 25% p.a. This interestrate is still highfor lendingin US$ and may not be attractiveto contractors takdngloans in US$ at that rate. Intereston loans in hard currencywould have to carry a more modestinterest but would haveto be subjectto a considerablerisk of devaluation.
Assumptions:
Cost of all equipmentfor one contractor includingtaxes and duties US$ 257,840
Averagefull rehabilitationcontract includingtaxes and duties US$ 13,000/kmn
For one-year20 kancontract
- taxes/duties US$ 40,000 - administration/profit/risks US$ 60,000 (of this admin.US$ 30,000) - base cost excludingtaxes/ duties US$ 160,000 - interest US$p.a. Appendix2.5 Page18 of 18 Alt. A. Amortisation over 6 years
Year Amortization Interest Total Available as Profit
1 31,009 27,434 58,443 30,000 2 34,730 23,713 58,443 30,000 3 38,898 19,545 58,443 30,000 4 43,566 14,877 58,443 30,000 5 48,793 9,650 58,443 30,000 6 60,841 - 60,841 30,000
Alt. B. Amortisation over 3.5 years
Year Amorzation Interest Total Availab as Profit
1 63,547 25,592 89,139 0 2 71,172 17,967 89,139 0 3 79,713 9,426 89,139 0 1/2 43,409 - 43,409 0 Appendix2.6 Pap1af 3 UGANDA TRANSPORT RERABILfTATIONPROJECT Training and TechnicalAssistance Cost Estimate for Proposed NDF Funding Detaits WIM Local Foreign Totcf DI Trainig Program D.l.l Elgon Training Colege Rehabilitation 90.000 60,000 Funishingof Clssrooms, Officesand Donnitories 13,000 10,000 Sub-total 103,000 70,000 173,000
D.1.2 In-County Traning Boardiig Costs (330boarders, 700mmxUS$250) 175,000 Sub-total 175,000 175,000
D. .3 Linidag with Other TrainingSchools Kisii School 27,000 Other Schools S,000 Sub-total 0 32,000 32,000
D..4 Study Tows 15 participantsx US$3,300 50,000 Sub-total 0 50.000 50.000
D.1.5 Fellowships 3 monthsx 4 pers. US$10,000 40.000 Sub-total 0 40,000 40,000
D.L.6 Trainng Mat ids Matrials 15,000 VideoFilm Production 5,000 Sub-total 0 20,000 20,000
D.L 7 Training Equipment and Vehice.t SupplementaiyTraining Equipment and spares 208,875 SurveyEquipment and Handtools 17,828 l Van 15,000 S Motorcycles 15,000 50 Bicycles 6,000 Spares 9,000 Sub-total 45,000 226,703 26Z 712
D.1.8 Running Costs Building 20,000 Vehicles 15,000 15,000 Equipment 90,000 90,000 Sub-total 125,000 105,000 230.000 Dl Sub-total 448,000 543,703 987,712 Appendix2.6 Page 2 of 3
Details WIM Locol Foreign Tota D2 Field Support D.21 TechnicalPersonnel ProfessionalFees ProjectCoordinator 40.0 552,000 552,000 Sr. Training Speciait 24.0 316,800 316,800 Constr./MaintenanceEngr. 24.0 316,800 316,800 Civil Engineer/Trainer Local) 48.0 240,000 240,000 CivilEngineer/Constuction ocal) 48.0 240,000 240,000 Mechanical/logisticsEugr.(Local) 48.0 240,000 240,000 Sub-total 232 1,905.600 1,905,600
OtherLT PersonnelCosts: InternationalTravel 69,300 Shipmentof PersonalEffects 18,000 HousingAllowance 140,000 In-CountryTravel 100,000 Miscellaneous 8,000 Sub-total 100,000 235,300 335,300
D.22 Sht-Term Coiwds ProfessionalFees 8.0 108,000 Per Diems 8.0 36,000 Travel (1OxUSS3700) 0 181,000 181,000
D.2.3 CounterprtSupport Staff 3 Counterpam48x150/150/250) 144 26,400 District StaffPerfonnance Bomis 10,000 I Accountnt (48mmx400) 48.0 19,200 Fin. AssL(48wmx350) 48.0 16,800 2 Secretaries(96wmx250) 96.0 24,000 2 Drivers (96wmx200) 96.0 19,200 4 SecurityGuards (192wmxloo) 192.0 19,200 Sub-total 134,800 0 134,800
D.214Sub-Contrating Local Services 46,500 ILO Services 15,000 Environmentaland Aids Mitigation 80,000 Sub-total 126,500 15,000 61,500
D.2S Vehiclesand Equipent 3 Vehicles(4-Wheelers) 72,000 4 PC's and acoessories 22,000 Consumablesfor PC's photocopiers,etc) 8,000 Sub-total 0 102,000 102,000 Appendix2.6 Page 3 of 3
Details WiM Local Forei Towa D.2.6 Operatng Costs and Miscellaneous ProjectWorkshops 20,000 VehiclesOpeating Costs 54,000 ReportingCost 8,000 IntenmationalCommnwication 5,000 Sub-total 74,000 13,000 87.000
D2. Sub-total 435,300 2,451,900 2,387,200 BASE TOTAL 883,0 2,995,603 3,878,903
Contingencies Physical@ 10%Xe 88,330 299,560 387,890 Price 136,028 461,323 597,351
TOTAL COST 1,107,658 3,75,486 4,864,144 UGANDA TRANSPORT REHABILITATION PROJECT Number of established posts in Public V. orks Department (Per District)
Kapchorwa Mbale Pallisa Tororo Post EsL FL Vac. Est. FL Vac. Est Fi. Vac. Est FL Vac. SupavisorofWorks I 1* - I I - 1 1* 1 1 -
RoadsSeod
Ass.SOWOWad/BDtBdges)I I 1 - 1 1 1 - I 1
FosemanlEngAss. 1 1 - 2 - 2 1 - I I - I
RoadlIspeao 3 - 3 3 3 - 4 4 4 4 Dw- -Qpn S5 S5 5 ? Sub4dfo(Roao S 2 3 11 8 3 II s 6 6 . 6 BuildiugSon
Ass.SOW (Buildipp) I - I - - - I - 1 1 - 1
Foremt )(Buidiugs) I - 1 1 - 1 1 - 1 1 I -
- _ ~ ~ ~~I- 1 1 . I 1 1I 1
Ass.Formuao, Msm Carpeutrs Plumbeau dcecnias 6 6 - 14 6 a 14 2 12 4 - 4 ftb4I (BuBdku) 9 6 3 16 6 10 17 2 is 7 2 5S
: ss~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~'. Kapchorwa Mbale Pallisa Tororo Post EsL FL VaC 1St Vat Esk FL Vac. Est Fi. Vs Mechaical Sectio
ChiefMechanic - - I . 1 1 . 1 . .
Ass. Chef mecbaid I - 1 1 - I I - Forman Ggep
Mechanics I I - 3 3 - I 1 4 - 4
Mob. Ards=s(welding, I I 6 6 - 7 - 7 6 - 6 pand bea& fitting)
S oal0me,h) 3 2 1 11 9 2 19 - 10 10 - 10 Ad _
MlgherE.Officer I I ------
EX Officer (Ac) I I 1 1 . 1 I
Cleria Officer I I v 3 2 1 2 2 - - - -
COPyTY1sSeCtay 2 2 - I I - 1 I - 1 1
strdm I I,,,,I,III
Messergr,Watchmen, - - - 3 3 - 5 2 3 3 1 2 Gateper, caner
Suh-Wa (AdifnJ 6 6 - 8 7 1 10 6 4 6 4 2 Grand Total 23 16 7 46 30 16 48 12 35 29 6 23 o t0 UGANDA TRANSPORT REHABILTATION PROJECT Summary Information on DomesticContractors
In the tablebelow some abbreviations have been used and theirmeaning are as follows:
Keystaff: CE: CivilEngineer ME: MechanicalEngineer Arch: Architect Ec: Economist BA: BusinessAdministration EE: ElectricalEngineer
Reconimendedfor: FR: Fullrehabilitation SI: SpotImprovement MS: Minorspot improvements like culvert repairs MC: Maintenar-ceContracts Area of Turn-over Bang Name operation Key!tgaff Eqipment E ice Ushsx 1090 UssxlOOO Recxmmendedf KampalalJinja
Lopard Mainly 4 CE I traxcavator,I grader, roads,drainage 8,000 UCBcan loan20,000 FR,SI Constniion Kampala I EE I roller,I concrete sgracur water assets:73,000 mixer,2 cars(all old) supply
Multiplex Kampala 3 CE I tipper,I pick-up adworks, 100,000 UCB FR,SI I roller,I handbitumen bilding constr. assets:200,000 sprayer(all old)
LassoEng. & Kampala I CE 3 tippers,I grader grading 50,000 UCBCity Hall notobvious Constr.Co. Ltd. I taxacavator buildingworks Branch candidate I roller,I concrete trenching assets:54,000 n~r
Noel Enginoers Jinja 2 CE 2 pick-uphiring heay roads,water 50,000 UCB400 ac of land FR,SI equipment buildingconstr. assets:300,000
MbanajoEnteprises Kampaa I CE I Pick-up,I car 8,000 Barclay'sBank MC Toroo 1 Arch I Motorcyle assets:11,500 I Concretemixer
o Areaof TrN-., Rankia Now opT*n Keyt$ff a-m!u* Efpince ULhsx1O0O UsxtOOO Rec dedfor Kapeow
ChemistoAs _o Kapclwa I CE 2 nctos, Building 20,000 UCB Kap.& Coop SI and MC Disict I Pick-up constrcion Bank Mbae assets: 268,700
Sbedtertoch Kapeborwa 3CE I tct Builing IS,000 UCB Kapowa& SI and MC Constuctio & District constiod Sipi Bruaches assets: 250,000 Mbde
OgCaantucr mbale, I B.A. None Building,waer 8,000 UCBMbale STfor small Morl drainag strct assets: 50,000 stnutes Koddo bridWgecostr. buldig MC
Buyla Building Easten I CE 4 cs4pick-p Builng, vwaer 10,000 Badclys, KLA SI Contractors Uganda& I Ach UCB,Mbale Karja}es: not stated
GisingoCoop Mbic I CE only hirng Builing cont., 106,000 95,000 SI Sociey District brds
B wa Mbae 2CE None Buidings 30,000 Coop Bank& UCB MC G.C.S. LUd. Distict 2 Ec Mbale
RobertMangpli & Mbae I CE None Builings 120,000 UCB,Nbae MC Bo. Distic assets: 100,000
cS
o AKre of Tarn-over -anking Nawe operati Key asa Equven Expefience Usiwx 1000 Usls x 1000 Re fcw Mbaleautd. MountElgon Mbdleoo ? None Building ? ? SI,MC BuildingContact roDisicts constuction
MbaleChmcoal Mbale I B.A None none so far 20,000 UCB,Mbule MC Briquue Disuic assets: 80,000 bidldings
MagwauzuElcra MbaleiToro I ME I Pidc-p Building 10,000 UCB,Mbale SI & Garal Agencies ro Disricts I CE CMstruction asses: 41,200 (Cuvetng) MC
rn' Area of Turn-over Banking Name operation Key staff Eqwiment E e Ushsx 1000 Ushsx 1000 Recommendedfor Tororo
Toroo Akukuranut Tororo 2 CE I tipper trnport business 20,000 300,000 FR, SI Cotractors district I tractor building constr.
ABC Cantractos Tororo and - I tipper food business 7,000 70,000 MC Soroti I tractor Districts
Tena Assciates Eastern I CE I tipper Building 100,000 ? 400,000 SI, MC Uganda I Arch. 2 carspick-up construction I EE
Benedictine Ft. Tororo I CE I tipper Building COnstr. 40,000 16,750,000 (?) FR, SI, MC District ? tractors road maintenance ? grader
Rock Century Works Tororo 3 CE all looted Concrete works, ? 150,000 SI, MC Ltd. District water supply, road works
Bukedi Civ. Eng. & Tororo 3 CE 2 tippers, 4 tractors Rural roads 350,000 UCB, Tororo FR, SI District 1 lorry, 2 cars, 3 Pick-ups construction, assets: 850,000 I grader, I loader, building houses I comp. all old equipment construction
Hyke Works and Eastern I CE only hiring Building 15,000 UCB & Coop Bank, MC Stores Ltd. Uganda & construction Tororo Kampala assets: 89,500 Iganga
Alfred Luba & 2 CE Igrader bridge, drainage 20,000? UCB MC Partners 2 tipper, I water trailer assets: 3,000,000?? 9.,' Appendix2.9 PageI of 4
UGANDA TRANSPORT RERABIUTATION PROJECT Project Districts Revenue, 1990/91- 1992/93 (Ush million)
1990/91 1991192 1992/93 Distitowce Acdud Ewg Atud Budget Actua Budget Tororo: GPT 163 269.3 223 333 402 Market Dues 13.2 28.9 20 45 48 Other - - - - - RFRFunds n/a - OtherGOU contdb. 6.3 4.2 4.4 13.2 - 17.1
Total 190.8 317 263.6 420.6 - 513 Kapchorwa: uPT 40.8 203 80 92 - 102 MarketDues 5.3 12 8.4 12 - 13 Other ------RFRFunds ------OtherGOU contrib. 10.6 12.5 12.5 12.5 - 12.4
Total 62 249 116 147 - 169.9 MaWe GPT 373 525 275 406 - 725 MarketDues 52 92 68 65 - 104 Other ------RFRFunds ------Other GOU contrib. 9.7 12 8.6 12 - 17.7
Total 445 691 386 504 - 1184 Palissa: OPT 132 166 128 220 - 313 Market Dues 8 10 8.8 27 - 27 Other - - -- - RJR Funds - - -- Other GOUcontrib. - 6 17 21 16.5
Total 150 188 175 310 - 562 Appendix2.9 Page2,of 4
UGANDA TRANSPORTREHABILIThATION PROJECT
Recurrent Budget Estimates for Rural Feeder Roads (Ush thousand)
1992 1993 1994 IA GOU LA MOLG LA MOLG
Kapchorwa b/ 9,200 6,500 21,600 n/a 20,300
Mbale bt 131,200 bt 18,700 n/a 30,970a/
Palissa 1,079 17,500 22,140 28,500 n/a 29,000
Tororo 500 28,500 24,000 28,500 n/a 29,684a/
MOLG/ED 900,000 1,372,000 1,700,000 Souce: Localauthoities, MOLG a/ Contrbutionto decentaisod districts vi Not separatedin Districtexpenditures Appendix2.9 Page 3 of 4
UGANDA TRANSPORT REHABILITATIONPROJECT
Ministby of LoAaGovernment RuralFeeder Roads Maintenance Funding, FY91-FY94 (Ush million) 1990/9] 1991/92 1992193 1993/94 Code Estiate Acdual Estiate Adual Estmae Adtual /Budget RECURRENTBUDGET EngineeringDept. 03
Employee Costs Allowances 1040 0.2 0.3 0.3 2.9 4.6 0.3 0.5 TravellitigTrran. 1060 6.8 9.8 17.2 9.9 53.0 35.5 53.3 Welfare 1100 0.6 0.0 0.5 0.0 1.0 0.6 1.0 Training 1110 15.8 12.8 30.0 0.6 7.5 7.6
Admnirfration Costs OfficeExpenses 2010 1.2 29.5 4.0 0.8 2.5 1.5 2.5 Promotion 2030 0.0 0.0 0.1 0.0 - 10.0
Suppiepserice ComputerServ. 3020 2.1 0.0 3.0 0.0 - 12.2 Materials 3030 2.2 0.0 3.1 45.6 99.0 " 99.4
RoadMaintnaince 3050 420.0 278.0 1298.0 1001.0 1650.0 687.0 2593.0
0 & M Vehicls 4020 180.0 13.9 508.0 179.3 661.5 435.0 684.9
Total 629.0 344.3 1864.3 1240.1 ?A79.1 1159.9 3464.3 DEVULOPMENTBUDGET Co-fiancedftojeds
GTZ 64.0 48.0 186.0 186.0 200.0 133.4 dU UNDP 64.0 50.0 117.0 203.0 200.0 116.7 dU IFAD 36.0 25.0 176.0 88.0 844.0 491.4 700.0 BADEA 104.0 15.0 - ? 173.0 100.6 JICAI bi 136.0 260.0 900.0 750.0 1000.0 512.6 900.0 ERC I - - 250.0 ? 650.0 412.3 720.0 JICAII 163.0 - 400.0 333.0 200.0 77.8 900.0 IDA IV 30.0 62.0 104.0 97.0 c/ cl cl
Sub-total 597.0 460.0 2133.0 1657.0 3267.0 1844.7 3220.0
GRANDTOTAL 1226.0 804.3 3997.3 2897.1 5746.1 3004.6 6084.3 a/ Includesonly first eight months b/ Implementedby a consortiumof retired engineers ci comnpleted dl notyet available eJ IncludesUsh64S.5 million for decentralizeddistricts Appendix2.9 Page4 of4 UGANDA TRANSPORT REHABILITATIONPROJECT
Ministry of Finance and EconomicPlanning GOU DevelopmentBudget Estimates (1993194-1995/96) Projected Feeder Roads Counterpart Financing (Ush mllion)
FY94 FY95 PY96
GTZ 311 406 335 Jica I 800 900 900 ERC II 740 720 720 Badea 565 1730 620 ADB 20 a/ a/ IFAD 800 800 800 Source:MFEP a/ Includedin RecuffentBudget UGANDA TRANSPORT REHABITATION PROJECT
Year-wiseBreakdown of Feeder Road Maintenance Costs (Project Districts) lUS$ million) FF1995 FF1996 F1997 FY1998 TOTAL tm Local Foreign Total Local Foreign Total Local Foreign Total Local Foreign Total Local Foreigl Total toutine 0.07 0.01 0.08 0.10 0.01 0.11 0.15 0.02 0.17 0.20 0.02 0.22 0.52 0.06 0.58 kenodic 0.00 0.00 0.00 0.00 0.00 0.00 0.13 0.08 0.21 0.13 0.08 0.21 0.26 0.16 0.42 ub-Total 0.07 0.01 0.08 0.10 0.01 0.11 0.28 0.10 0.38 0.33 0.10 0.43 0.78 0.22 1.00
Doingendes
(i) Physical 0.0 0.00 0.01 0.01 0.00 0.01 0.03 0.01 0.04 0.03 0.01 0.04 0.08 0.0.2 0.10
(ii) Price 0.01 0.00 0.01 0.02 0.00 0.02 0.04 0.02 0.06 0.05 0.02 0.07 0.12 0.03 0.15 rotal Cost 0.09 0.01 0.10 0.13 0.01 0.14 0.3S 0.13 0.48 0.41 0.13 0.54 0.98 0.27 1.26
Proposed Feeder Road MaintenanceFnancing Shares
FY1995 FY1996 FY1997 FF1998 TOTAL orce Amount % of Total Amount %of Total Amont % of Total Amount % of Tot1 Amount % of Total
DAs 0.045 45 0.065 46 0.095 20 0.125 23 0.33 26
W4OLGMED 0.045 45 0.065 46 0.14S 30 0.175 32 0.43 34
[DA 0.01 10 0.01 8 0.24 50 0.24 45 0.50 40 rotal 0.10 100 0.14 100 0.48 100 0.54 100 1.26 100
::~o - UGANDA TRANSPORT RERIABUITATION PROJECT
SummarY of Feeder Roads Rehabilitation Programme AN Districts, by Year, kms per activity and costs in USS and Ushs
(Cost in US dors) (Cost in UganAdShs (=mo)) NameOf rea srct Ful Spot Cuov Costkm Total Foreign Lcad Tot Foreigp Local km km km USS Cost Cost Cot cost Cost Cost 305.7 Fist Year All 29 10 9 48 424,633 169,853 254,780 509.6 203.8 996.4 SecondYear All 79 44 28 150 1,383,900 553,560 830,340 1,660.7 664.3 3,123.7 Third and Fouth Year ALl 252 119 111 482 4,338,450 1,735,3802,603,070 S,06.1 2,082.5 4,425.8 Totd AU 359 172 148 679 6,146,983 2,458,793 3,688,190 7,376.4 2,950.6
By Districts and Years (Cost in USWo (Cogin UgandASks (nuion)) Local Name of mad District Full Spot Culvert, Cost/ku Totd Foreign LAoca Total Forig km km km USS Cost Cost Cost Cost Cost Cost 295 Firg and secondyea Kapchorwa 12.5 16.9 7.7 37.1 409,067 163,627 245,440 491 196 Mbalde 50.5 10.9 9.3 70.7 747,783 299,113 448,670 897 359 538 Fp1isa 19.7 25.4 10.0 55.1 430,058 172,023 258,035 516 206 310 Tororo 24.5 0.0 10.0 34.5 255,600 102,240 153,360 307 123 184 720 Third and fourthyar lyapchorwa 44.6 22.0 27.0 93.6 999,933 399,973 599,960 1,200 480 Mbale 27.7 18.4 27.8 73.9 655,308 262,123 393,185 786 315 472 Pallisa 87.5 35.3 31.0 153.8 1,491,842 596,737 895,105 1,790 716 1,074 Tororo 92.4 43.0 25.0 160.4 1,191,367 476,547 714,820 1,430 572 858 FclProgramme Tota 359.4 171.9 147.8 679.1 6,180,958 2,472,383 3,708,575 7,417 2,967 4,450 AUlyeaos KWachorwa 57.1 38.9 34.7 130.7 1,409,000 563,600 84S,400 1,691 676 1,014 Mtbae 78.2 29.3 37.1 144.6 1,403,092 561,237 841,855 1,684 673 1,010 Padlisa 107.2 60.7 41.0 208.9 1,921,900 766,760 1,153,140 2,306 923 1,384 Tororo 116.9 43.0 35.0 194.9 1,446.967 578,787 868,180 1,736 695 1,042 Total 359.4 171.9 147.8 679.1 6,180,958 2,472,3833,708,575 7,417 2,967 4,450 _ [
- . - 2%r~~ UGANDA TRANSPORT REHABILITATION PROJECT
Compostion and Cost of Rehabilitation Programme: First Year First Year: AR Districts
(Cost in US doUrs) (Cost in UgandaShs (millon)) Nameof road Source Fun Spot Culverts Costlkm Total Foreign Local Total Foreign Local km km km USS Cost Cost Cost Cost Cost Cost Buweri-Bumomulu(M) Training 10.0 0.0 0.0 13,108 131,07S 52,430 78,645 157.29 62.92 94.37
Mbale-Bufumbo-Bubiango(M)Contractor 13.7 0.0 0.0 11.852 162,375 64,950 97,425 194.85 77.94 116.91
Busiu-Lukuna(M) Contractor 5.0 0.0 0.0 11,373 56,867 22,747 34,120 68.24 27.30 40.94
Kaderuna-Pctete-Butcbc(P) Contractor 0.0 9.5 0.0 5,865 55,717 22.287 33.430 66.86 26.74 40.12
Nabumali-Busano(M) DA and MOL 0.0 0.0 9.3 2,000 18,600 7,440 11,160 22.32 8.93 13.39 Total for First year 28.7 9.5 9.3 N/A 424,633 169,853 254,780 509.56 203.82 305.74 M = MbaleDistrict. P = Palissa District
Assumptions: Exchangerate: 1.200UShs to I USS Full: Full rehabilitation Foreigncost: 40%of total cost Spot: Spotimprovements Localcost: 60%/oof total cost Culvcrts: Installationof culvertsand otherdrainage work
0O 0 UGANDA TRANSPORT REHABILITATIONPROJECT
Summary of Cost of Four Year Rehabilitation Programme: Second Year Second Year programme: ANDistricts
(Costin USdollars) (Costin UgandaShs (million)) Nameof rad Soure Fnll Spot Cuhverts Cos/km Tot Foreign Local Total Foreign Local km km km USS Co Cost Cost Cost Cost Cost Bugusege-Bufeza(m) Training 9.3 0.0 0.0 16,658 154,917 61,967 92,950 185.93 74.36 111.54 KapcKwa-Kapengmia- Conator 6.0 0.0 0.0 18,144 108,867 43,547 65,320 130.64 52.26 78.38 Kapkvdi (Pan) (K) Kapwirwok-Bugnmoto (K) Conutror 0.0 5.9 0.0 9,511 56,117 22,447 33,670 67.34 26.94 40.40 Cheannyi-Moyok(K) Cotactor 6.5 0.0 0.0 24,355 158,308 63,323 94,985 189.97 75.99 113.98 Kaseremn-Kapsinda(K) Contractor 0.0 11.0 0.0 5,000 55,0Oi) 22,000 33,000 66.00 26.40 39.60 Sinimityo-Amukoi (K) DAIMOLG 0.0 0.0 7.7 2,000 15,400 6,160 9,240 18.48 7.39 11.09 Bumbobi-Kachonga (M) Contnator 4.4 0.0 0.0 10,417 45,833 18,333 27,500 55.00 22.00 33.00 Bugobero-Molo (M) Conractor 0.0 10.9 0.0 6,415 69,925 27,970 41,955 83.91 33.56 50.35 Buiru-Salosao (M) Conuactor 8.1 0.0 0.0 11,061 89,592 35,837 53,755 107.51 43.00 64.51 Paflisa-Agule(P) Contrctor 13.7 0.0 0.0 11,622 159,225 63,690 95,535 191.07 76.43 114.64 Pallisa-Gogonyo (P) Contactor 0.0 15.9 0.0 7,519 119,550 47,820 71,730 143.46 57.38 86.08 Nakaloke-Kabwangasi (P) Contactor 6.0 0.0 0.0 12,594 75,567 30,227 45,340 90.68 36.27 54.41 Lsmirno-lunyNavuWngo (T) Contractor 14.0 0.0 0.0 10,946 153,250 61,300 91,950 183.90 73.56 110.34 Tomro-Kwapa-Namaingo (r) Contractor 10.5 0.0 0.0 7,843 82,3S0 32,940 49,410 98.82 39.53 59.29 Selected road sections (N/A) DA/MOLG 0.0 0.0 20.0 2,000 40,000 16,000 24,000 48.00 19.20 28.80 Total for Second Year 78.5 43.7 27.7 IS6,086 1,383,900 553,560 830,340 1,660.68 664.27 996.41
Total km rehabilitatd: 149.9 knms
M = Mbale, K = Kapchorwa, P = Paissa, j= Tororo
Assumptions: Exctange rate: 1,200 UShsto I US$ Full: Full rehabiNtaion
Forgn cost: 40% of total cost Spot: Spot imoementws G Local cost: 60%P/of tot cos Cu: Instlion of culvt an othr dring work UGANDA TRANSPORT REHABILITATIONPROJECT
Summary of Cost of Rehabilitation Programme: Third and Fourth Year Kapchorwa District
(Cost in US dollars) (Cost in UgandaShs (million)) Name of road Source Full Spot Culves Cost/km Totl Foreign Local Total Foreig Local km km km USS cost Cost Cost Cost Cost Cost AtA-Ngenge (pa) Contractor 0.0 12.0 0.0 5,500 66,000 26,400 39,600 79.20 31.68 46.52 Binuiny-Kisongi Contractor 4.0 0.0 0.0 15,200 60,800 24,320 36,480 72.96 29.18 43.78 ChekpkwaswaKwcnyly Contractor 0.0 4.0 0.0 10,000 40,000 16,0Q0 24,000 416.16 166.46 249.70 Bukwa-Kapnandi-Kwirwot Contuctor 20.4 0.0 0.0 17,000 346,800 138,720 208,080 416.16 166.46 249.70 Amanang-Chepkasuta Contrctor 7.0 0.0 0.0 20,000 140,000 56,000 84,000 168,00 67.20 100.80 Korteg-Cheema Contractor 0.0 6.0 0.0 9,000 54,000 21,600 32,400 64.80 25.92 38.88 Tulci-Mokoyon Cntractor 3.2 0.0 0.0 11,979 38,333 15,333 23,000 46.00 18.40 27.60 Chema-Ngangata(part) Contractor 10.0 0.0 0.0 20,000 200,000 80,000 120,000 240.00 96.00 144.00 SironNgangata (part) DAItMOLG 0.0 0.0 7.0 2,000 14,000 5,600 8,400 16.80 6.72 10.08 Seeed road sections DA/MOLG 0.0 0.0 20.0 2,000 40,000 16,000 24,000 43.00 19.20 28.80 Total in Capchorwafor 3rd and 4th year 44.6 22.0 27.0 NIA 999,933 399,973 599,960 1,199.9 480.0 720.0
Total km rehabilitated:93.6 kms
* The emaining panl(6 tum)was rehabilitatedby 4th highwayprject * The roadis only a foot tiack beyondkm 7 and was not survyed The populationdensity is particularlyfow (rocky and foret area).
Assumptions: Exchangerate: 1,200UShs to I USS Full: Ful rehabilitation Foreigncost: 40%oof to cot Spot Spotimpvements Localcst: 60P/oof tot cost Culfvers: Insalation of cults and other dranage work
o-4 UGANDA TRANSPORT RERABILITATION PROJECT
Summary of Cost of Rebabilitation Programme: Third and Fourth Year Mbale District
(Costin VS dolar) (Costin UgandaShs (million)) Nameof rd Sowre Fol Spot Colverts Con/lkm Tota Foreig Local Total Foreign Local km km km USS Cost Cost Cost Cost Co cost Buaga.Bulugan=a Training 12.7 0.0 0.0 19,512 247,808 99,123 148,685 297 118.95 178.42 Bukigai-Bukaasi Contractor 5.0 0.0 20,833 104,167 41,667 62,500 125.00 50.00 75.00 Sisiyi-Tuwi Cmntrator 0.0 .4 0.0 6,000 32,400 12,960 19,440 38.88 15.55 23.33 Busiu-Lakonge DA/MOLG 0.0 0.0 9.6 2,000 19,200 7,680 11,520 23.04 9.22 13.82 Sikhoye-Bugobeo DA/MOLG 0.0 0.0 8.2 2,000 16,400 6,560 9,840 19.68 7.87 11.81 Kufo-Magale Contr"cor 0.0 8.0 0.0 4,000 32,000 12,800 19,200 38.40 15.36 23.04 Nambola-Bunambale(part) Contruaor 5.0 0.0 0.0 18,000 90,000 36,000 54,000 108.00 43.20 64.80 Namba-Lwakchakha Contractor 5.0 0.0 0.0 12,667 63,333 25,333 38,000 76.00 30.40 45.60 Magale-Bumnbo Contrwor 0.0 5.0 0.0 6,000 30,000 12,000 18,000 36.00 14.40 21.60 Selectedroad sctions DA/A4OLG 0.0 0.0 10.0 2,000 20,000 8,000 12,000 24.00 9.60 14.40 Totad in Mbale for 3rd and 4th year 27.7 18.4 27.8 NA 655,308 262,123 393,185 786.4 314.5 471.8
Toa kmnrehabilitated: 73.9 km
* Three bridgesto contruct at km 2.8. km 3.3 ard km 4.1
Assumptions: Exchangerate: 1.200UShs to I USS Full: Full rehablitation Foreigncost: 40% of total cost Spot: Spotimpov nts LocaJcost: 60%oof total cost Culveuts: Installationof culvertsand ole drainagework
U0~ Ph UGANDA TRANSPORT REHABILITATION PROJECT
Summary of Cost of Rehabilitation Programme: Third and Fourth Year** PaDisa District
(Cowitin Vds rs) (Costin fganda Shs(mllion)) Name of road Source Full Spot Culverts Cost&km Total Foreign Local Total Foreig Local km km km USS Cost cost Cost Cost Cost Cost Aguie-Kiae 13.7 0.0 0.0 13,504 185,000 74,000 111,000 222.00 88.80 133.20 Kiiale-Kamuge 11.9 0.0 0.0 13,025 155,000 62,000 93,000 186.00 74.40 111.60 Gogpnyo-Agule 0.0 12.8 0.0 5,000 64,000 25,600 38,400 76.80 30.72 46.08 PaMisa4Kasodo 11.1 0.0 0.0 13,500 149,850 59,940 89,910 179.82 71.93 107.89 Budaka-Bulangira 13.3 0.0 0.0 13,972 185,833 74,333 111,500 223.00 89.20 133.80 Kabwangasi-Butebo 0.0 22.5 0.0 6,000 135,000 54,000 81,000 162.00 64.80 97.20 Butebo-Ladoro 10.2 0.0 0.0 11,994 122,342 48,937 73,403 146.81 58.72 88.09 Bulangira-Kibuku 12.0 0.0 0.0 16,054 192,650 77,060 115,590 231.18 92.47 138.71 Naboa-Nabiganda (pat) 5.3 0.0 0.0 18,899 100,167 40,067 60,100 120.20 48.08 72.12 Budaka-k-Lki 0.0 0.0 11.0 2,000 22,000 8,800 13,200 26.40 10.56 15.84 Lki-tki-Kakoro 10.0 0.0 0.0 13,000 130,000 52,000 78,000 156.00 62.40 93.60 Seled moadsectins 0.0 0.0 20.0 2,500 50,000 20,000 30,000 60.00 24.00 36.00 Tota In Pallisa for 3rd and 4th year 87.5 35.3 31.0 N/A 1,491,142 596737 895I10S 1,709.2 716.1 1,074.1
Tota km rhdabilitated: 153.8 km
The programmefor full rehabilitationmay ecmeedthe capacityof the contractor traind underthe progmaame, Tis may only be resoled by either pmvide training to an additional contractor or rduce the scope of fui rehabilitation wok possiblycompensated by an mcra n spot irovemen works
Assumptions: Exchange tate: 1,200 UShs to I US$ FIll: Full rehablitaon Foreign cost: 40% of total cost Spot Spot improeme Loclcost: 60/ of total cos ClvutS: Insalon ofcveats and oter d age work
C M _. UGANDA TRANSPORTREHABILITATION PROJECT Summaryof Cost of RehabilitationProgramme: Third and FourthYear"* TororoDistrict
(Cost in US dollars) (Cost in UgandaShs (million)) Name of oad Source Fuil Spot Cuherts Cost/km Total Foreign LIcal Total Foreign Local km km km USS Cost Cost Cost Cost Cost Cost Busolwe-Budwmba 8.4 0.0 0.0 9,524 80,000 32,000 48,000 96.00 38.40 57.60 Budmnba-Bubada 12.8 0.0 0.0 11,068 141,667 56,667 85,000 170.00 68.00 102.00 Bubada-Mulanda 14.2 0.0 0.0 10,563 150,000 60,000 90,000 180.00 72.00 108.00 Mulanda-Nagongera 9.2 0.0 0.0 12,500 115,000 46,000 69,000 138.00 55.20 82.80 Busolwe-Nagongera 14.0 0.0 0.0 9,500 133,000 53,200 79,800 159.60 63.84 95.76 Buta1ja-Busolue 8.5 0.0 0.0 9,500 80,750 32,300 48,450 96.90 38.76 58.14 Lolwa-Nyambogo 0.0 9.1 0.0 6.000 54,600 21,840 32,760 65.52 26.21 39.31 Mulanda-Rubongi 0.0 17.0 0.0 3,500 59,500 23,800 35,700 71.40 28.56 42.84 KuWapa-Apokori*Tuba 10.0 0.0 0.0 13,000 130,000 52,000 78,000 156.00 62.40 93.60 Tororo.Molekatipe-Malaba 15.3 0.0 0.0 9,000 137,700 55,080 82,620 165.24 66.10 99.14 Lumino-Masaba-Masafu 0.0 16.9 0.0 3.500 59,150 23,660 35,490 70.98 28.39 42.59 SelectedTrad sections 0 0 25 2.000 50,000 20,000 30,000 60.00 24.00 36.00 Total in Toromfor 3rd and 4th year 92.4 43.0 25.0 NJA 1,191,367 476,547 714,820 1,429.6 571.9 857.8
Total km rchabilitated:160 4
* bTheprogramme for full rhabilitation may exceedthe capacityof the actors tained under the programme: This may onlybe resolvedby either providetraining to an additionalcontractor or reducethe scopeof full rehabilitation %vk possbly compensatedby an increasein spot imprvement works.
Assumptions: Exchangerate: 1,200UShs to I USS Full: Full rehabilitation Foreigncost: 40%Xof total cost Spot: Spot impron Locl cost: 60%of total cost Cuvets: Insallation ofculverts and other drainagework
o 0 UGANDA TRANSPORTREHABELUTATION PROJECr
Cost Estimate for Four Year Routine Mata Pme (A Cost in US$)
1994 (1) 1995 (2) 1996 (3) 1997(4) Toed 1998 (5) Loal Fo Lw! Fo*p Lo! Fore4u Lca Forn Loca Fori, rol Locad FW*oreI caw costi CAo cost Cow Cost Cost Coi Coil Coo Co Co co
Kap*orma 15,750 1,750 15.750 1,750 29,925 3,325 39,375 4,375 100,800 11,200 112000 48,825 S,425
Mbsle 18,900 2,100 31,500 3,500 44,100 4,9W0 53,550 S,950 148,050 16,450 164500 61,425 6,825
Pauisa 16,200 1,800 21,600 2,400 35,100 3,900 49,950 5,SS0 122,850 13,650 136500 59,400 6,600
Tomo 24,300 2,700 32,400 3.640 44,550 4,950 58,050 6,450 159,300 17,700 177000 67,S00 7,500
Total 754150 V3,3 101,250 2II50 153A75 17,075 200,25 2,5 31,000 59,000 590,000 237,150 26,350
Awstpfiowt Av aw-coTnnD =WA = caPer 10L
ICapdmuuwa 350 tS Mbl. 350UtS PlDis; 300WU Tonur 300USS L ost: 90% F0r. ost 10% Appendix2.13 Pagel of 2
UGANDA TRANSPORT REHABILITATION PROJECT
Rural Feeder Roads Component Local Forex Total % Foreign Item (cL taxes) (US$ nillion) Conponent A. Strengtheing MOLGIED: Transpot PlannerTA 0 029 0.29 Studies(inventories, monitoring) 0.14 0.08 0.22 Officeequipment 0.01 0.02 0.03 Vehicles 0 0.05 0.05
Sub4otalA 0.15 0.45 0.60 75 B. FeederRoad Rehabilitation Prwuemnt ofequipment 0.00 2.08 2.08 Proement of tools 0.07 0.12 0.20 Roadrehabilitation works (c) 2.46 2.46 4.92 50
Sub4otalB 2.53 4.66 7.19 65 C. DistrictRoad Maintenance program: Routinemaintenance 0.49 0.06 0.55 Paiodic maintenance 0.17 0.17 0.34 Runningcosts 0.07 0.18 0.25 salaries 0.07 0 0.07 Buildi consron/repars 0.02 0.02 0.04 Ofllce & Soils TestingEquipment 0 0.06 0.06 RoadEquipment 0 0.08 0.08 Vehicles 0 0.12 0.12
Sub-totalC 0.82 0.69 1.51 46 D. Trainingand TechnicalAssistance: DI. TrainingPrgram: Rehabilitationand furhing of Mt Elgon 0.10 0.07 0.17 TrainingSchool Vehicles,Equipment & Trng. Materials 0.17 0.35 0.52 StudytoursTellowships 0 0.12 0.12 In-county training(boarding costs) 0.18 0 0.18
Sub-totalDl 0.45 0.54 0.99 55 D2. TechnicalAssistance-Field Support: Sub-totalD)2 0.44 2.45 2.89 85
Sub-totalDI and D2 0.89 2.99 3.88 77 BaseTotal 4.39 8.79 13.18 67
Contingencies: (i) Physical@ 10% 0.44 0.88 1.32 (ii) Price @14% 0.68 1.35 2.03
rnd TotalUSS million 5.51 11.02 16.53 67 Appcndix2.13 Page 2 of 2
The componentcosts are based on the following:
(a) StrengtheningMOLG/ED, Districts and PrivateSector the costestimate oftechnical assistance(18 man- months)is based on similar and ongoingservices in Uganda;
(b) FeederRoad Rehabilitation:based on detailedengineering studies of road condition,unit costs and quantities developedby engineeringconsultants considering cumnt prices of materials,labor and equipment;
(c) District FeederRoads Maintenance:the costestimate is based on unit costs and quantitiesdeveloped by consultantsconsidering the currentprices of materials,labor and equipment,and;
(d) Trainingand TechnicalAssistance: the costestimate for technicalassistance (232 man-months)is based on similar and ongoingservices in Uganda;and the training,and other equipmentcosts are based on unit costs and quantitiesdeveloped by consultantsconsidering curnent prices of materials,labor and equipment Appendix 2.14Pg 1°2
l~~~~~~~~~~~~~~~~~~Pg 1it ofl > t ] § t i !~~~~~~~~~~~~~~~~~~
1 I.l | g I .
.1s03s}
4 1 ... 1......
lS I Iblt.I *rI 1']' a *i l *I1. 1* FarnwOrk for Monito g Project Obje and Outputs (2 of 2)
KUYVR0JlWT CMO14SOUTPUTS~ DIDICATrORS TIMING
RoadbReubwabltw - bid d t dw of ConDats biddingdocomentsprepae - AprI 1995 (3 km fhaltabt i - contracwarded - May t99S (170 km spat inapsvnats (150km 'vert work ) - reabIlTaon - km of toedrebIlitaed - costof rensto and nit coss) of work - end of reportingpeid - mmberef pwplo mployed comparedto her _metods of rehabiltta
Roads nisintetmace - usp-to4ateeomllitodinventori,s - km or ad for whichup-toda inentouic ii early mitaplns - gide s or ofmenanceplans Sepoember1994 - detailedanalatenance plans preare withresouce October 1994
, ouine auim acotn sb - 5 rduction of wob on &M account,S inrase of an conrac - km of foad on contrct nd on force acw - end of reportingpeod - knmd S of nork cvaedpeiod - end of repotg peiod - cos1-eflbciVIeasoal and unitcost) of work unmnberofpele employe - end of each year per'dicV a_intenne - % of W caie out on contr - co stdeffete and unit cost) of wort - numberof Peo employed end of each year
Tning s Ca tu - nced di capay - mner of districtstaff ted to anage rehabitati - end of ecih year andlorm Anane waork nmberofm- nanal saff tand in lbor-based methods as Tners - rspon lt ae ovaerby Nation saff frm Technicl-Asistaue sAff - TWriningmti elaborted - Novemr 1994 - TrainingSchood buldi rab1IItad - November 1994 - Trn atTrinng School - November1994 - enhanced otactrcpacity - numberof mcu m e cotracto tdned in LDL * reprt date
- numberof medium u conatots ained in t - teportg dare
- nmxwr of sall co4nto tmrAiedin culvetiog work - repordngdaue - mber of smalt contracns tined in mAintenance - repottingdate woIks - EnhancedMOLG cpacity for planningad - data ban estabished * negotiationsdate miwrg - guidies developedand iplementd on prges - negotiationsdate I ~~~~~~~~~~~~~~~~~~~~~~~~~~reporting - mtooo for dat anlysis - Mah 1994I_ - guidelinesdeveloped for priect budgetrequest - March 1994 i - firm up natioa porie, ategies and program - mid-termreview ...... _ -- .. .. . - _~~~~~~~~~~~~~~~~~~~~~~~~~~~~~' ma Ow0
hA UGANDATRANSPORT REHABILITATIONPROJEC[
Orpizftioul Struture of MOW
DEPUTY MINISTER
PERMAUNENT SECRETARY l
RURALAND URBAN ADMINSTRATION& I FINANCE NER I COMMUNIT URBAN DEPARTMENT HEALTHESTABLISHMENT&DEPARTMNTSERVICES IDEPARTMENT DEPARTM I DEVELOPMDEPARTMENT_ A EMENT HEALTHS PRICE ENSTABL OISHMNTSE FINANCEEE ENIER OEPARIl ANE&| URBAN POLICEAND LOCALAUTH4ORITES | RESISTNCE PRISONS INSPECTORATME PLNNN ICMITE PRMAR SCHOOL DEPARTMENT DEPARTMENT [ EPARTMENT 1 COUNCILTESDET[ A
_1DlhlAdmIitalion_~ ; ~~~~~~~~~~~2.Urm Kxlml0 I EKIASS29A
,qII 0AU'¢ UGANDATRANSPORT REhABILITATION PROJECT
Orgaizational Stnrotde of the EngineeringDepartment, MOLG
| BMSER 1
OEPUTYM;WSTRE PERIMANENT SECRETARY
|CHIEFENGINEER|
OrrRCTSUPPORT ENGINEER | UILDI;;T I EEASRCES|;RAVDK RURALPEEDER ROADS MAUNTENANCEAND REHAB¢TATION
P~~~~~~~~~~o""r gmOkDnRoaKb PIM= C4ooRwwhdn SerA*XS MaIhwnceN
RI bW Ua_ I IM" aEacW
iOtbtidAmnerlo Distic Adwu*ftratlnj IDistic Adminitraton Ditit Ad mkmInstaLo= illts
H 11 1a1 11 1 o-E~~~~~~~~~~~~~~~~~~~~~~~~~~~~~0 UGANDATRANSPORT REHABIUTATION PROJECT
District Organiatiovil Chart
ASOW ASOW ASOW Sii)iiigs ~~~~~~~~~~~Adn*iistration Roads
Fasemnw ChiefC**i Ch lmetc Exec.Offcer_ FlmanWood DanF/man Acwounts smWlshop Roads
Ass?. Account~~~~~~~~~~~~~~~Cw_As.Fltma Roads F(mnwnCf ASS.L Q S1 CleMacs Brdges lnsp.
WeectPlums Ca".
_ | . MacheNce . I~~~~~~~~~~~~~~~~~~ Headinen
Labourers
EKNW55348 '_ tIXv PROJECT IMPLEMENTATION SCIHEDUIL 1993 1994 199S 1"6 1997 1998
Activities ist Sem 2nd Se lIst Sem 2nd Sem Ist Sem 2nd rem Ist Sem 2nd Sem lit Sem 2nd Sem lst Sam 2ad Set TECH{NICALASSISTANCE
Transport Planner/Economist t m m Project Coordinator M Construction/Maintenance Specialist Senior Training Specialist CivilEngineer/Construction (Local) CivilEngineer/Training (Local) Mechanlcal/LogisticsEngineer (Local)
ShoLs term Consultants 1 a
ROAD REHABIUTATION PROGRAMME
Rehabilitation of Etgon Training College Building [Intial Demonstration and Training iting Programme. rrial Contraets Contracts (after training)
MAINTENANCE PROGRAMME Routine maintenance on existing roads R Mr I Routine Maintenance on rehabilitated roads| | Periodic Maintenance | | *
MONITORING AND EVALUATION C)uarterlyprogress reports 3 Evaluation iiijjjjmLlisrnein Final Itepart || PRE-IMPLEMENTATION SCHIELDULEi 1993 1994 1995 Activities JullA4 S i Nd D la| F4 t AA W3 JutA 0 N"N jaF Aa J CREDT PROCESSING11 Appraisal mission. Board presetation Crediteffective J
TECHNICAL ASSISTANCE (NDF Component) WB submits Staff Appraisal Report to NDF m NDF Board Presentation Negotiations. Credit Effective NDF Consultant long list to GOU/MOLG MOLO submits short list and evaluation to NDF 3 NDF no obJection to GOU0 Consultante proposals to GOU(3 Proposals evaluated and selection proposal to NDF/WB No objection received from NDFIWB Negotiation between selected consultant and NDF Contract signedwith consultant Consultant starts work (Coordinator) Hiring of Local Staff Posting of remaining TA-team _ PROCUREMENT OF EQUIPMENT L Delivery of equipment under 4th HArayproject |. IL Equipment financed under UTRP (i) technical specifications and bidding documents |E (ii) suppliers invited to submit bids (iii) bids received (iv) bid evaluation report submitted by MOLO to WB (v) WB no objection recived (vi) contracts signed (vii) equipment delivery r
I . . ,0 1, | I I I-I-I- 0 t; Appendix3.1 Pap 1 of 1 UGANDA TRANSPORT REHABILITATIONPROJECT
RailwaysComponent Estimated Project Costs
Local Foregn Total
Institutionaland OrganizationalStrengthening 0.13 1.44 1.57
Supportto ferries: - 0.65 0.65
TrainingMarine Staff - 0.23 0.23
OillSpill Containment Equipment - 0.13 0.13
BaselineCost 0.13 2.45 2.58
PhysicalContingencies 0.01 0.23 0.24
Price Contingencies 0.02 0.36 0.39
Total Cost 0.16 3.04 3.21 Appmdix 3.2 PapeI di
UGANDA TRASPORT REIABlITATION PROJECT
Projected Disbursement Profile for Railway Component
ProjectedDisbunement ( USSmlon) Comp o. Co_oeat Nsne 9 95/1 W4l K4 97/1 97n Tad
13. WagonFerriesMainL 0.16 0.63 - . . 0.79
14. SutnheningManagem 0.36 0.47 0.40 0.26 0.27 0.09 1.85
15. TWainingMarineStaff 0.05 0.10 0.10 0.04 - - 0.29
16. Oil Spi Cont Equipment 0.03 0.13 - - - - 0.16
Total 0.60 1.33 S.0 *.30 0.27 0.09 3.0 Appentix3.3 Page1 of2
UGANDA TRANSPORT REEHABIUTATIONPROJECT
UGANDARAILWAYS CORPORAIION
List of Priority Investments
1. As seen fromthe financialanalysis and projections,URC has to be very cautiousin effectingcapital investments in view of the depreciationburden and the tight financial outcomesin the near future. Basedon this strict principle,and subjectto each individual projectbeing econonically and financially evaluated and justified, a listof investmentswhich are likelyto qualifyhas been prepared. These are aimed at achievingimprovement in URC's competitiveedge, in coveringunavoidable arreras of maintenance,andlor based on safety considerations. 2. Ferry OverLauls: A cycleof majoroverhauls on the lakeferries will be due during the Projectperiod, and IDA assistance has beenplanned under the Project. 3. Radarfor ferries:This requirement is basedon safetyconsiderations.
4. Triangle at Port Bell & remodeling of Kampala MarshallingYard: With the commissioningof Port Bell,there has beena changein the patternof operations,with (a) a requirementof turningthe wagonson arrivalfrom the ferry owingto the uni-directionally orientedcoupling arrangements, and (b) a shift in the shuntingworkload from Jinja to kampala,albeit with a projectedreduction owing to the increasingnumber of blocktrains. The work is currentlybeing managedwith make-shiftarrangements, with attendant repercussionson wagonutilization. This is proposedto be rectifiedby the provisionof a triangleat Port Bell,and minimal remodelling at Kampala.
S. Strengtheningof the NileBridge: This bridgeon the mainline was inspectedby Consultantsin 1992,and based on theirrecommendations, repairs and stengthening measures are requiredon safetyconsiderations. 6. Mechanicalhandling equipment: URC'smarketing thrust willrequire provision of this equipmentat the modalinterfaces. The specificitems will have to be justifiedon an individualbasis, after the marketingpolicy is streamlinedand finalizedwith the helpof IDA- fundedTechnical Assistance.
7. ACIS- Phase U: Underthe first Railwayproject, the basicACIS (Advance Cargo InformationSystem) wagon tracking module has been installedon URC. This needsto be followedup with the PhaseII moduleto enhancethe MIS capacityof URC,to improveits capabilityto competeeffectively in the transportmarket. Appendix3.3 Page 2 of 2 8. Road Motor Vehides: These are intended for maintenancesupport to improve efficiencyin the engineeringdepartnents. Replacementsfor currentlyoperative vehicles and future replacementneeds will have to be found from URCs own funds generated from depreciationprovisions.
9. Lake Tanker. The traffic projectionsindicate that there is likelyto be the need for additionalferry capacityin 1998,when one ferry willneed to be dedicatedto POL transport. The choice between a wagon ferry and a tanker vessel will have to be clearlyanalyzed and evaluated,takdng into accountthe initialcost, the operatingand maintenancecosts, the effects of the projectedextension of the Kenyanoil pipelineto kisumu,the projected enhancementof bulk oil storage capacityat Mwanzaas well as the split of the product betweenthe entry ports of Mombasaand Dar es Salaam. An indicativeprovision has been shown under this item.
10. Tank Wagons: URCs potentialto competein the profitablejet fuel market remains unutilizedfor want of the speciallylined tank wagons, and the interfacearrangements needed for traner of the product from kampalato Entebbe by road. URC would be embarkingon tis investmentonly after (i) confirmationand commitmentfrom the oil companies, (B) simultaneousprovision of the interfacetransfer arangements at Kampalais ensuredand (iii) a detailedevaluation of the profitabilityand rate of returnis carriedout.
Summary of Estimated Costs
No. Item US$ nillion T7ming I. Ferry Overhauls 0.70 1995-96 2. Radar for ferries 0.10 1994 3. Triangleat Port Bell 0.50 1994-95 4. KampalaMarshalling Yard 0.30 1994-95 S. Strengtheningof Nile Bridge 0.50 1995 6. MechanicalHandling Equipment 1.50 1995-96 7. ACTS- Phase II 0.30 1994 8. Road Motor Vehicles 0.50 1995-98 9. Lake Tanker 10.00 1998 10. TankWa.on (20) 1.50 1994 Total 15.90 3 3.4 pageIof 2
UGANDA TRANSPORT REHABILiTATIONPROJECT
UGANDARAILWAYS CORPORATION
Prindpal Performance Indicators
Paticulars 1993 1995 1996 1997 1998 1999 EquipmentMaintenance & Utilzation
Locomotives:
Availability(0%): main line 58 64 68 75 75 75 shunting 41 60 65 65 6S 65
Reliability (000 km per fialure, mainlinelocos): 40 45 S0 60 60
Utilization: Kms/day/locoin use on URC): 80 100 110 120 140 160
Maintenance Max% runningoverdue overhaul 1S IS I 1S 1S
Wagons:
Availability(%) overall: 83 85 8S 85 8S 85 flats: 90 90 90 90 90 tanks: 90 90 90 90 90
Utilization: Turnaroundon URC: 7 6 6 5 S KR: 16 14 12 12 12 TRC: 12 12 11 11 11 Avg.load/loadedwagon (T): 33 33.5 33.5 34 34 34 Appendix3.4 Pa I of 2
Parclar 1993 1995 1996 1997 1998 1999 Coaches:
Availability(%/6) 63 65 65 65 65 65
Feries:
Availability(%) 75 80 80 83 83 83
Trips/availablefeny/year 90 110 110 110 110 110
Track Maintenance:
%ofmainhinethroughpackedinyr: 100 100 100 100 100 %ofmainlineballastscreened: 25 25 25 25 25 % ofmainlinebaLlast volume added: 6 6 6 6 6
sflwfflcOperions:
Avg. detentionto wagons (hrs) Kampalacomplex: 100 90 84 80 72 Tororo Yard: 24 18 15 12 12
Avg.transit time (days): Coffeeexports (DAR) 7 7 6 6 6 CoffeeexporzsNSA) 9 8 7 7 7 PO impotu (DAR) 5 5 5 5 5 POL imports(NBO) 8 7 7 7 7 Containerimports (DAR) 5 5 5 5 5 Containerimports (MSA) 8 7 7 7 7
Financal Performance:
WorlingRatio: 84 83 82 77 77 70 OperatingRatio: 113 111 110 103 102 94 Debtors(>90days) to totalrevenue (%): 40 25 25 25 25 25
Staff Produ cldly:
No. of staff(31/12/yr): 4200 3000 2600 2600 2600 2600 '000 U.T./employeeper year: 40 60 75 78 81 85 Appendix3.5 Page 1 of 10 UGANDARAILWAYS CORPORATION
TERMSOF REFERENCEFOR FINANCIALMANAGEMENT SPECIALIST
Background
1. The Uganda Railways Corporation Statute of 1992 enjoins on the Uganda Railways Corporation (URC) to become a self-supporting,autonomous, commercially orientedparastatal entity. Withthis formalizationof its legal status, URC has embarkedon a major restructuringexercise, based on a Core Corporate Plan (CP) and a Financial RestructuringPlan (FRP).The Governmentof Uganda(GOU), as the sole shareholderin the Corporation,is clearlydefining the contractualrelationship between GOU and URC in the form of a MemorandumOf Understanding(MOU), which lays down the mutual obligationsand rightsof the two parties.
2. In the light of these developments,it has become essentialto criticallyreview the financialmanagement function on URC and streamineand modernizeit to meet the needs of the restructuredURC. The financedepartment's function had hitherto been directed principallyto maintainingthe Corporation'saccounts. With the restructuringin progress, the functionsof the departmenthave to be enlarged and sharpenedto include financial analysis,realistic and accuratebudgeting and cash flow management,close monitoringof collectionof dues, debt management,cost and profit center-basedaccounting and review, and investmentanalysis and evaluation.For this purpose,URC intendsto obtain external assistanceand skills to assist in re-organizingthe Finance Department,and part of the proceeds of the IDA Credit for the Uganda Transport RehabilitationProject will be utilizedto engage a FinancialManagement Specialist (FMS) for a twelve to twenty one monthsperiod.
Objectives
3. The objectivesof the assignmentare the re-organizationand streamliningof the Finance Department of URC in line with the restructuring of the Corporation into a commnerciallyoriented parastatal entity, and transfer of expertise to the Ugandan counterpartsby on-the-jobtraining to enable the latter to run the departmenteffectively and efficiently.
ReportingRelationships
4. The FMS will report directly to the ManagingDirector (MD) of URC. He will work in the Finance and Accounts Department in close liaison with the Financial Controller(FC) who will be his principalcounterpart, the other counterpartsbeing the DeputyFinancial Controller and the SeniorFinance Officers. All orders involvingsystem changes, introductionof new procedures,and major financialstatements will be signed jointly by the FC and FMS. Appendix33 Page 2 of 10
Duties and Responsibilities
5. The FMS willbe responsiblefor:
1) reviewingand revisingthe current allocationsystem for expenditure,with a view to making it cost and profit center based, with accountability allocatedto the spendingauthority.
.2) reviewingand revisingthe current income allocationsystem with a view enableanalysis by serviceand section.
.3) reviewingand streamliningthe procedure for collectionof dues to URC, and providingfor an efficientmonitoring system for the same.
.4) organizingmonthly cash flow forecasts,and establishingan effectivecash flow managementsystem.
.5) working closely with the Marketing Department in formulatingpricing policiesand makingpricing decisions.
.6) improvingthe accuracyand timelinessof the budgeting,review and control processes,exercising close coordinationwith the operatingdepartments.
.7) assisting the FC and MD in the preparation of the revised scheme of delegationof financialauthority.
.8) assisting the FC and MD in organizing effective debt management measures.
.9) assisting URC management in project and investment evaluation and financialanalysis.
.10) assisting the FC and MD in financialnegotiations with customers, inter- acting transportoperators, and GOU, as required.
.11) ensuring that all donor assistanceto llRC is properly documented and accountedfor in URC'saccounts.
.12) preparing a Manual of Procedure for the FinanceDepartment of URC, providingguidance to staffand managersof the Department.
.13) assistingFC and MD in introducingcomputerized accounting and financial managementon URC. Appendix3.5 Page 3 of 10 .14) trainingof staffin the Financeand AccountsDepartment.
6. In all the tasks, the FMS willwork in close cooperationwith his I her counterparts and the principalobjective of the contract will be the correct and timely transfer of expertise to the counterparts,who should be able to function independently,effectively and efficientlyafter the departureof the FMS. All importantprocedure orders, instructions and directiveswill be jointly signedby the EC and the EMS.
Qualification and Experience
7. The FMS should be a CharteredAccountant, or have an equivalentqualification, and have about ten years experiencein a senior financialmanagement position in a large autonomous public or private sector corporation,holding responsibilityfor accounting, financialanalysis and financialmanagement. Experience in developingcountries will be an added qualification.Proficiency and fluencyin Englishis essential.The candidatemust be computerliterate.
Termof Contract
8. The contract willbe for a periodof twelvecontinuous months, extendable by up to a further nine months, suitablysplit up into modulesof three months each. During the breaks in betweentwo snodules,the independentfunctioning of the URC counterpartswill be evaluated, with the succeeding module designed to assist URC in eliminating weaknessesnoticed in the independentfunctioning of the counterpans and in the systems introduced.
Reports
9. The EMS will submitto URC, with a copy to IDA, an InceptionReport and time- based workplan with targeted outputs, within a month of conmmencementof the assignment.The final Workplan will be agreed upon with URC within two months of commencementof the assignment.Thereafter, the FMS will submitbrief monthly progress reports to MD, URC. At the end of each quarter, withintwo weeks of the close of the quarter, a detailedQuarterly Progress Report will be submittedto URC, with a copy to IDA, covering the progress and performanceduring the quarter under review, and the updatedplan of action for the ensuingquarter. At the end of the first twelve monthperiod, the EMS will submita closingreport, listingall work done and attacha plan for follow-up work to be undertakenindependently by the URC counterpartsduring the break in the FMS's assignment.Similar reports will be submittedat the end of each of the follow-up modules.A final report willbe submittedby the FMS at the end of the contract on similar lines.All these reports willbe copiedto IDA. Appendix3.5 Page4 of 10
UGANDARAILWAYS CORPORATION
TERMS OF REFERENCE FOR TRANSITION MANAGEMENT ADVISOR
Background
1. The UgandaRailways Corporation (URC) has embarkedon a major restructuring exercise, designed to transform it into a commerciallyoriented transport enterprise, competingin a liberalizedtransport market environment. The legalstatus of the autonomy of the Corporation has been fornalized by the promulgationof the Uganda Railways CorporationStatute of 1992,which enjoinson URC to functionon commerciallyguided principlesand be financiallyindependent and viable. To achieve this end, URC has prepared a Core Corporate Plan (CP) and a FinancialRestructuring Plan (FRP), which provide the framework for a Memorandum Of Undertanding(MOU) between the Governmentof Uganda(GOU) and URC.
2. Implementationof the MOU, FRP and CP call for majorchanges in the objectives, outlook and work cultureat all levelsin the URC organization.It calls for a concertedand plannedeffort to effect these far-reachingchanges affecting all facets of managementand systemsin the Corporation.Transition management is a major and criticaltask of URC management.The transitionhas to be effected as rapidlyand smoothlyas possible,with little margin of error because of the highlycompetitive transport market environmentin which URC is operating and wherein loss of market share can be irretrievable.URC proposes to utilize external assistance and skills in assisting top managementin the transitionmanagement process; to this end, part of the proceedsof the IDA Credit for the Uganda Transport RehabilitationProject will be applied to obtain the services of a TransitionManagement Advisor (TMA) for a periodof up to eighteenmonths.
Objectives
3. The objectiveof the assignmentis to effectivelyassist in the transition- in terms of operations,organizational culture and corporateoutlook - of URC to a commercialprofit orientedand viable entity. It aims to provideexperienced expert assistanceto the MD in the management of change and in effecting a smooth and effective transition in organizational culture, which will a critical management responsibilityduring the restructuringprocess in the URC.
Reporting Relationships
4. The TMA will be directlyreporting to the MianagingDirector (MD), and will be co-opted into the StandingCommittees of the Board of Directorsof URC. He / she will advise the top managementof URC on matters concerningtransition management, and ensure a smooth,rapid and sustainablechange, so as to attainthe objectivesof the CP. Appendix3.5 Page 5 of 10
Functions and Responsibilities
5. The TMA willbe responsiblefor:
.1) assisting the MD and departmental heads in the preparation of the followingtime-based and targeted SupportingAction Plans (SAP) for the implementationof the CP: (TWs work should be completedwithin five monthsof commencementof the assignment).
a) BusinessPlan, setting out the rationale of services offered, the prioritiesand targets
b) Re-organizationPlan, withprofit and cost centers
c) OperatingPlan
d) Asset UtilizationPlan
e) Asset RationalizationPlan, includingscrap disposalprogram
f) Asset MaintenancePlan, with estimatesof financialinputs
g) Man-powerRationalization and DevelopmentPlan
h) StaffCompensation and IncentivePlan
i) ManagementInformation System Plan
.2) assisting the MD in the effective implementationand monitoringof the above SAPs.
.3) organizing Seminars and Workshops for URC staff, supervisors and managersto foster a commercialcorporate orientation in the organization. These shouldcover all the manageriallevel and the majorityof supervisory levelpersonnel of URC.
.4) reviewing and revising the schedule of delegation of authority, and providingfor the matchingof authorityand accountabilityin URC.
.5) ensuring inter-departmentalcoordination by introducing appropriate accountability.
.6) assistingthe M.D. in the effectiveachievement of the targets of physical and financialperformance indicators. Appendix3.5 Page 6 of 10
6. The TMA will liaisewith the other externalexperts appointed by LTRC,and ensure the coordinationof their functions.
Qualification and Experience
7 URC is looking for a candidate with a UniversityDegree in Economnicsand/or Scienceor Engineering,with at least ten years experiencein a senior general managerial position in a transport organization,preferably in the privatesector, and close familiarity with railways. The candidate must have a proven track record in the successful managementof institutionalchange. Experience in developingcountries will be an added advantage.Fluency and proficiencyin Englishis essential.
Term of Contract
9. The contract is scheduled to run for a period of twelve months, extendableto eighteenmonths. After the initialcontinuous period of twelve months,the subsequentsix monthswill be plannedsuitably in two periodsof three monthseach, with breaks of three to six monthsin betweenthem.
Reports
10. The TMA will submitto URC, with a copy to IDA, an InceptionReport and time- based workplanwith targeted outputs, withinone month of takingup the post. This wilM be discussed with the MD and the final plan agreed upon within two months of commencementof the assignment.Brief monthlyreports will be submittedby the TMA to MD, URC. Detailed Quarterly Progress Reports will be submittedat the end of each quarter to the MD, with a copy to IDA, withintwo weeks of the close of each quarter. These reports will cover progress and performanceduring the quarter, and the updated plan of action for the ensuingquarter. At the end of the first period of the assignment,the TMA will submit a closing report detailing the progress, and provide URC with a workplanand monitoringplan to assist in follow-upafter his departure. Sinilar reports will be submittedat the end of each follow-upmodule. At the end of the contract period, he / she willsubmit a similarreport. All these reportswill be copiedto IDA. Appendix3.5 Page7 of-10
UGANDARAILWAYS CORPORATION
TERMS OF REFERENCE FlOR MARKETING AND RAIL OPERATIONS SPECIALJST
Background
1. The UgandaRailways Corporation (URC) has embarkedon a major restructuring exercisewith the objectiveof transformingitself into a commerciallyoriented autonomous financiallysdlf-supporting parasttal corporation.This is in line with the UgandaRailways CorporationStatute of 1992.URC's Core CorporatePlan and the FinancialRestructuring Plan lay down the frameworkof its policy objectivesard action plans and URC will be negotiatingand signinga MemorandumOf Understanding(MOU) with the Government of Uganda (GOU), which will define the mutual obligations and relationshipbetween GOU and URC.
2. The liberalizationof the transport market in Uganda calls for URC to compete with other modes of freighttransport, and its commercialsuccess depends critically on its abilityto market its services competitively.URC is, therefore, setting up a spccialized marketing department in its organizational structure. This new function will be spearheadedby the MarketingManager, assisted by a specializedteam in the organization. URC needs external assistanceand skillsin setting up the Marketi,egDepartment with a solid foundationfor effectivefunctioning and development;for this purpose, it intendsto utilize part of the proceedsof a proposedIDA Credit (TJgandaTransport Rehabilitation Project)to engage a full time TransportMarketing and Rail OperationsSpecialist (TMS) for a periodof between 12 to 18 months.
Objectives
3. The objectivesof the assignmentare to help URC to establish an efficientand effective MarketingDepartment, to improve the efficiencyof rail operations, and the transferof expertiseto the Ugandancounterparts by on-the-jobtraining to enable them to run the departnent independently,so that the commercialobjectives of URC can be attained.
Reporting Relationships
4. The TMS will report directlyto the ManagingDirector (MD) of URC. Imually, he/she willbe headingthe MarketingDepartment, with URC'sMarketing Manager (M as a counterpart,and in a probationarycapacity. The Chiefof Rail Operationsof URC will be another counterpartto the TMS. On the confirmationof the MM in a substantive capacity,subject to evaluationof performance,the TMS will assume an advisory role; Appendix3.s Page8 of 10 he/she will still be accountablefor the implementationof the marketing policy and establishmentof proceduresand systems.
Functions and Responsibilities
5. The TMS willbe responsiblefor:
.1) assistingthe MD in preparingjob descriptionsand selectingthe personnel to staffthe MarketingDepartment.
.2) organizing a detailed marketing survey and arrangementsfor systematic and regular updatingof the survey.
.3) formulatinga marketing strategy for URC, taking into account costs, competitiveprices, and URC'sstrengths and weaknesses.
.4) refiningURC's traffic costing systemand pricingpolicy with the view to enhancethe competitivenessand profitabilityof URCs transport services.
.5) assistingthe MD in identififingareas for, and means of improvingefficiency of URC'soperations in any of its departments;special attention will be paid to rail operationsin respect ofimprovementof asset utilizationby running block trains, rapid turn-round of wagons at terminals, efficient yard operationsand effectiveliaison with other departmentsof URC.
.6) setting standards for quality of service to customers, includingwagon trackdngand status reporting,and organizationof monitoringof customer satisfactionby regularsurveys.
.7) settingup a MarketingManagement Information System WS) on URC with appropriateperiodicity and destinationlevels of reports, and guiding URC in the proper use of the MMJS.
.8) preparingmarket forecasts and assistingin the formulationof URC'sannual budget and its revisions.
.9) advising the MD on marketing or;ented, financiallyjustifiable and affordableinvestments.
.10) organizingeffective coordination with interfacingrailway systems in order to get full advantageof URC's strengthsand to mitigate its weaknessesin competitionwith other modesof transport.
.11) assistingURC in formulatingappropriate liability and loss / damageclaims policies,and to monitortheir effectiveimplementation. Appendix3.5 Page 9 of 10
.12) setting up an appropriateperformance evaluation, monitoring, rewards and sanctionssystem in the MarketingDepartment.
.13) preparing a Commercialand Marketing Manual, and ensuring that its contentsare well understoodand effectivelyimplemented by all URC staff involved.
.14) systematic and specialized developmentof the MM and staff of the MarketingDepartment and transfer of expertise,so as to enable them to function effectivelyand independentlyof externaltechnical assistance,by the end of the term of the TMS contract.
6. The TMS will head the MarketingDepartment in the initialstage of the contract, and at an appropriatetime to be decidedby the AD and Board of URC in consultation with the TMS, with the confirmationof the MM in hispost, assumean advisoryrole in the department,still reportingdirectly to the MD. Throughoutthe cermof the assignment,all importantprocedure orders, and instructionsregarding system or policy changes will be signedjointly by the TMS and his appropriatecounterpart.
7. Thus, the principalrole of the TMS will be to set up an effectiveand efficient MarketingUnit in URC, and to train and developthe MM and other senior marketingstaff of URC to functionequally efficiently on their own, after the term of the contract expires. Transferof expertisewill be a prime criterionon whichthe success of the assignmentwVll be judged.
Qualification and Experience
S. Th- candidate for TMS must have a basic University degree in Transport Economics(or equivalent),with specializationin Marketing.He/she must have at least eight years experiencein a senior managerialposition and hold a proven track record in the marketing and sales functionin a freight transport organization,preferably in the private sector, functioning in an inter-modalcompetitive enviromnent, with adequate familiaritywith railwayfreight transport operations and provenability to train and transfer expertiseto counterparts.The candidatemust be computerliterate, and proficientin using traffic costing systems.Fluency and proficiencyin English is an essential qualification. Workingexperience in developingcountries will be an addedqualification.
Term of Contract
9. The contract willbe for an initialperiod of twelve months,extendable after review at the end of the period by six more months. The additional period could be in continuationof the first period,or, with a break of upto a maximumof six months,during whichtime, the MM willfunction independently without an advisor. Appendix3.5 P ge10 of 10 Reports
10. The TMSwill subnut an InceptionReport to URC, with a copy to IDA withn one monthof commencementof the assignmentin Uganda.This report will include a detailed work-planwih taet outputs,and wil be discussedwith URC mangementand the finalWork-plan agreed upon within two monthsfrom commencement of the assignment. Thereafter,bajef monly progressreports will be submited to the MD. Quarterly Progres Reportssum the progressand performance, and updated plan of action for the next quarterwiUl be submittedwthn two weeksof the close of the quarer to URC,with a copyto IDA.At the end of the first periodof the contract,the TMS will subnmta closing report detiig al work undetaken, achievementsand non- achievements,and a detailedprogram for follow-upwork by the llRC afterhis deparure. A similarreport will be submittedat the end of the contact. Thesereports will also be copiedto IDA. UGANDATRANSPORT REHABiLITATION PROJECT
Uganda Railways Corporation: Organizational Chart
BOARD
MANAGING DIRECTOR
cmm - ChiefMarineanager ACIA - Assist Chti fitemal Auditor FC - Financl Cotrolr ACP&DM- Assis.Chief Panfng & Dev.Mana COE - ChiefCM Engineer ACS&TE- AssisLChief Sig. &Tecom Em er PPRO PSO OCM - Chie C _oniErieer PPRO - Prini Ptidc Reltion Officr CME - Chiefk4Schanlcad Engneer P80 - Pf`ncpalSecmit Officer CAM - Chief Ad _ntaUonManer CCU - Chief ConstuclionUnit IUWS634A AppendIx 3.7 Page 1 of 1
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tt~~~... ~ itl< UGANDA TRANSPORT REHABILITATIONPROJECT Costs o. Transport Planning Component (In US$ million) Local Forex Total TechnicalAssistance/Training and short-termSpecialist Consultancies for NationalTransport Planning/Data Base 0.06 0.57 0.63 Dry Port/ContainerTerninal Study 0.02 0.15 0.17 Sub-total 0.08 0.72 0.80 Contingencies 0.02 0.18 0.20 Total PlanningSupport 0.10 0.90 1.00 Appendix4.2 Page I of 3 TRANSPORT REHABILITATION PROJECT - REPUBLIC OF UGANDA Draft Terms of Reference for Transport Economist 1. General: Underthe TransportRehabilitation Project (TRP)to be undertakenbetween July 1994and June 30, 2000, it is intendedto furtherstrengthen the TransportPlanning capacity of the Planning Department (Transport) {PD (T)} of the Ministry of Works, Transport and Communications.Previous technical assistance projects of the World Bank and the UNDP in the transport sector have focused on training in economicappraisal and computer based transport problemsolving. 2. Objectives of the Technical Assistance: The PD now is characterizedby a reasonable level of analytical capabilityand the TA is designedto (i) raise the capabilityof PD staff by f.trther on the job training in their transport economicsassignments within MOWTC and (ii) supplementtheir skillsin the fornulationof policyin certair,key areas such as: * the monitoringof the relationshipbetween road tax and the costs of the road sub-sectorgiven possiblesignificant changes to the financingof road expenditureduring the life of the TRP; * the restructuringof the UgandaRailwvays Corporation into a commnericallyoriented parastatal with increasingfinancial autonomy; * the policy and framework for negotiations betveen Governmentand parastatals when Govenmentdirects parastatalsto engagein activitieswhich would not nonnally be undertaken on a commercialbasis; * the developmentof an urban transportpolicy in the light of work undertakenby the PD and underthe First urban Project;and * other issuesthat may arise in the courseof implementationof the TRP. 3. Reporting and Intermittent Service: It is intendedto providea total of twelve person- monthsof intermittentinput in the atea of transporteconomics to the PD over the life of the TRP. 4. Qualifications and Experience of the TA: The TA will be an experiencedtransport economist with at least 10 years, involvementin the analysis of transport issues and the formulationof transport sector policy in Sub-SaharanAfrica. The TA is also expectedto have worked on issues concerningthe varioustransport modes. His capacityto effectivelytransmit his know-howto the PD staff will be major consideration.The TA should be fluent in both spoken and written English, and have a working knowledgeof current computer programs in use in MOWTC/PD. Appendix4.2 Page2 of 3 Draft Terms of Referencefor TechnicalAssistance to National Transport Data Base(NTDB) 1. General: The NTDBwas establishedin 1987.It is locatedin the PlanningDivision of the Ministryof Works, Transportand Communications.Its objectivesare (i) to provideMOWTC with the data it requiresto r.-anagethe ministerialfunctions of formulating,coordinating and monitoring trsport policiesin Uganda.and (ii) to serveas the central point in Governmentwhere transport data are being collectedand storedfor use by all interestedparties. The NTDB staff has built up a reasonablelevel of capacity to collectand store data, and managethem in the formof a set of files organizedaccording to the FoxPro data base system;this capacity was built up with the help of technical assistance, most recently under project UGA/90/018,the UNDP-financed,World Bank executedTransport Policy and PlanningProiect, whichwill close on January31, 1994. The data base managementsystem is now operating,but the Ugandan staff capacity needs further strengtheningwhile the data base also needs further improvementsto retainit as an up to date and relevantinfonnation source. 2. Objectivesof the TechnicalAssistance: In orderto enhancethe NTDB'susefulness to its users both inside and outside MOWTC, a systematicapproach has to be introducedto identify additionaldata requirements.Simultaneously, customer interaction with the data base needs to be failitated.Thirdly, the trainedpersonnel needs to get fully confidentin its managementof rigorous and timely updating of the files under the intermittentguidance of the technical assistance. Technicalassistance will in generalbe used to providehands-on training in order to consolidate and strengthenthe data base managementskills of the Ugandanstaff. More specifically: (a) it is proposedthat three timesa year, new areas of data shouldbe identifiedon the basis of indicationsobtained from MOWTC and outsideusers. (b) in order to make the NTDB more user-friendly,a program should be designed and implementedthat will controlfile use througha menu, first for access only but to be followed by data editingand reportgeneration facilities. The technicalassistance will also exploreother means of serving more customersbetter, includingpossibly through an informationpoint in KCampala. (c) in order to create a sustainabledata base of professionalquality, the structure of the database in its present consolidatedform on Foxpro and the data held within that structure must be maintained.One of the Ugandanstaff shouldbecome the data base manager who wouldbe in charge of the records for all the data base files and the data base structure in general. (d) transfer of know-howwould be effectedby a seriesof seminarsto the data base personnel coveringtheoretical data base techniquessuch as file design and data base management.in addition, practical hands-on sessions will need to be given on progammmingin data base laguages. Appendix4.2 Page3 of 3 3. Reporting and Intermittent Service: The TA should start his assigmnent with an inceptionmission of four weeksresulting in a inceptionreport, including a detailedworkplan. This should be agreed with the Chief Transport Economistin MOWTC. Thereafter, the TA would provide 22 monthsof intennittentservices in Uganda,divided possibly in 4 periodsof about six months each, spred over the duration of the Transport RehabilitationProject. A one month terminationmission would complete the TA input. 4. Qualifications and Experience Required: The TA should be highly qualified and experienced in the use of computers, including experience in data base designs and in programmingof data base languages,in particulardBase or FoxPro. The TA should have both theoreticalknowledge and practical experienvein transport economics,including statistical and analyticalwork. He/sheshould be fluent in both spoken and written English.The TA's capacityto effectivelytransmit his know-howto the PD staffwill be a majorconsideration. UGANDA TRANSPORTREHABILITATION PROJECT TRANSPORTPOLICY COMPONENT ImplementationSchedule -~~~~~ 1994 1995 1996 1997 1998 CY/Ouarta 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 *oject Effectiveness *ranspotnEconomist: locruitment rZceptionmission xecution onmpletlonReport 'A to NTDB lecruitment sception mission 'ecutbon :ompletion Report IT TA lecrut ment as required -~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ w1 _ * Appendix5.1 Page1 of 13 UGANDA TRANSPORT REHABILITATION PROJECT IMPLEMENTING AGENCIES AND DOMESTIC 1'RIVATE CONTRACTING INDUSTRY A. MOWTC General 1.01 As a result of the merger of the Ministriesof Works and Transport and Conmmunications MOWTC has a wide tange of functions.It is responsiblefor policy formulationand execution (or supervisionof executionby others)for all transportand communicationsactivities, with te exceptionof rural feeder and communityroads. Its responsibilitycovers both infiastructureand transport services.A major part of its work concernsthe planning, programmingand actual executionor supervisionof constructionand maintenanceof the classifiedroad network(called "mainroads network"in this report). MOWTC is the parent ministryto five parastatals, namely:the Civil Aviation Authority,the Uganda Posts and TelecommunicationsCorporation, the Uganda Transport Company,the People's Transport Company and the Uganda Railways Corporation.In additiur, MOWTC comprises the Transport Licensing Board, and supervisesthe National Transport Safety Council. In a 1993 reorganization, MOWTC was divided into two directorates:Engineering, and Transport and Communications.lhe Engineering Directorate is responsible for road maintenance and strengthening,upgrading and regravelling/rehabilitationactivities. The Road MaintenanceDivision in the EngineeringDirectorate, headed by a chief road maintenanceengineer/assistant commissioner, is responsiblefor the upkeep and maintenanceof roads. Responsibilityfor road maintenanceis distributedover 21 MOWTCmaintenance districts. At MOWTC headquarters,the chief road maintenanceengineer is assisted by six principal engineers,one for maintenanceplanning, one for contractsand four for field operations(one each for the Northern, Eastern, Central and Western areas). Transport Planning is one of the functions of the Transportand CommunicationsDirectorate, and is undertakenin the PlanningDivision which also houses the NationalTransport Data Base. The Transport and Communications Department 1.02 This departmentconsists of 3 units: SurfaceTransport, Aviationand Planning. The Planning Unit is headed by the Chief Transport Economist,and generally carries out socio-economicstudies neededfor formulatingtransport improvementand developmentpolicies. It is responsiblefor the overall preparation,appraisal, evaluation and monitoringof all transport developmentpolicies including those of the parastatalsaffiliated to the ministry. The divisionalso carries out projectwrite-ups of all modesof transportand communicationssectors. There are three sub-unitson: (i) regionalsub-sector programme; (2) monitoring,appraisal and evaluation,and (3) National Transport and CommunicationsDatabase. The latter is responsiblefor the collectionand tabulationof all relevantdata on transport and also for carrying out transport field surveys and presentingdata requiredfor transport policy fomulation. The PlanningUnit is receivingtechnical assistance under the UNDPfinanced World Bankexecuted Transport PolicyPlanning Project. AppendixS.1 Page2 of 13 Engineering 1.03 The maintenance section of the Engineering Directorate is responsible for upkeep and maintenanceof roads. Responsibilityfo; maintenanceof the road network is divided into four geographicalareas, each headedby an area engineerstationed in Entebbe. Each area in turn is divided into a number of maintenancedistricts; there are currently 21 districts performingroad maintenance functions. At the Ministry's headquarters, the chief road maintenance engineer wvhoheads the maintenancesectioi is assistedby two seniorexecutive engineers, one for the Eastemand Northemareas and the other for the Centraland Westemareas. 1.04 The mechanicalsection of the TD is responsiblefor the repair and maintenanceof vehiclesand plant of all Governmentministries/departments, and is headedby chief mechanicalengineer located at the central workshopin Kamnpala.Under the centralworkshop, there are four area workshops(at Kampala, Mbale, Gulu and Fort Portal) and thirteendistrict workshops. While the central and area workshops handlemajor overhauls/repairsfor vehiclesand plant, the districtworkshops take care of lightrepairs and routine servicing. About 70% of the overall workload in MOWTC workshops relates to road maintenancevehicles and plant. As a result of the lootingcaused during the 1979 war, a large amountof the workshop equipmentwas damaged beyond repair. The Third Highway Project assisted with supplemnentaryworkshop equipment and tools to help upgradethe maintenanceand repair capabilityof MOWTC workshops. In addition, it provided for the needed repair/reconstructionof most of the workshops. 1.05 The MOWTChas a well equippedmaterial testing laboratory located outside of Kampala. The Laboratorynot onlyprovides testing services for the MOWTC,but also providessuch servicesto other Governmentagencies and private firms on a charge basis. The laboratoryheaded by a chief materials engineer,is dividedinto four sections:soils, bitumen, concrete, and chemical. 1.06 Staffing and Training: The MOWTC is understaffed;several senior and middlemanagement positions,as well as lower posts at the headquartersand in the field, are vacant; the vacancy rate is particularlyhigh (40%) in the road maintenancesection. At the Ministry'sheadquarters, one of the 2 key positionsof principal executiveengineer is vacant, and in the field 7 positions(377%) of executive/civil engineer, 34 positions (41%) of engineeringassistant of various grades, 20 (67%) positions of road inspectorof variousgrades and 15 positions(28%) of overseerare vacant. Similarly,there is a shortage of mechanicalstaff, notablymechanics and plant operators. Furthermore,the majorityof personnellack the qualificationsand experiencenecessary for efficienttask performance. The Govenmnentlow salary scales often make it difficult to recruit and retain qualified and experiencedpersonnel. Given the country'sdifficult economic situation, the issue of low levelof salaries of staff can be addressedover the medium term within the overall Governmentadministrative policy. In the meantine, the impact of staffing shortagewill be alleviatedby providingtechnical assistance to MOWTC to help improveroad maintenanceplanning and operations. 1.07 Currently,there are three ongoingMOWTC technicalassistance (TA) programs:(i) TA under the UNDPTransport Policy and PlanningProject; (ii) TA fundedby EEC whichincludes, among others, a transporteconomist for highwayplanning; and (iii) TA as part of the eastern Ugandaroad maintenance program (EURMP)funded by KfW. The TA programsat (i) & (ii) are scheduledfor completionby Januaryand July 1994. The KfW EURMPprovides for 186 man-monthsof TA inputs from July 1992 Appendix5.1 Page3 of 13 thru December1995. In addition,the EEC 3-year Initial Action Program(lAP) for road maintenance (January 1994 thru December 1996) in south-westernUganda and the ODA 5-year gravel road rehabilitationand maintenanceprogram (January 1994 thru December1998) in western Uganda each envisagesa 5 map TA team to run their respectiveprograms. 1.08 The training section of the TD is responsiblefor training activitiesof the MOWTC. The MOWTC's road maintenancetraining center (RMTC)at Kyambogo,just outside Kampala,has class- room and on-the-jobfacilities for trainingof road maintenancepersonnel (road inspectors,overseers and headmen);separate facilitiesexist withinthe central workshopfor classroominstruction and on-the-job trainingof mechanicalstaff (foremen,plant operatorsand mechanics). 1.09 The MOWTC also draws on the resources of external training facilities such as Makerere Universityand the UgandaTechnical College, located just outsideKampala, for trainingof its staff. The universityoffers coursesleading to a Bachelor'sdegree in civil,electrical and mechanicalengineering; the yearly intake of students varies from 60 to 65. The college offers courses leading to ordinary diplomahigherdiploma in civil, electricaland mechanicalengineering. It also offers a technicalteacher tining course, and has residentialfacilities for about 600 students. Besides,there are a number of technicalsecondary schools in the country providingcraftsmen/master craftsmen training to secondary schoolleavers, and 4 vocationaltraining institutes/centersrun by the Directorateof IndustrialTraining under the Ministryof Labor. The VocationalTraining Institute, Nakawa and the VocationalTraining Center, Lugogoare locatedjust outsideKampala, while the other two: the YMCAVocational Training Center and the Jinja VocationalTraining Center are located at Jinja. The courses offered at the vocationaltraining institutes/centers are automobilerepairing, machine fitting and assembly,welding and fabrication,carpentry, brick laying,etc. The trainingfacilities in the countryare adequatein size for the foreseeableneeds of the MOWTC. 1.10 Engineering and Construction: The design section of the DevelopmentDvision carries out minor road and bridge design includingfield investigations,while detailed engineeringand economic feasibilitystudies for major projects are done by foreign consultants. There are a few local private consultants in the country, but they are generally involvedwith structural design. The established standardsand specificationsfor road worksare generallyacceptable. Major constructionworks financedby outside agenciesare awardedfollowing prequalification and internationalcompetitive bidding, and are supervisedby foreignconsultants. Much likeother sectors, the road constructionindustry in Uganda is suffering the consequencesof disruptionsin economic activity,and is currentlyat 10-20%of the pre-1974capacity. There are some 10 medium-sizedand a number of small domesticcontractors who have been engaged in minor road upgradingand periodic maintenanceworks, but they lack proper equipment,management expertise and trained manpoNverto perforn effectivelyand profitably. Nine domesticfirms received classroom and on-the-jobtraining under the pilot program for developmentof the local constructionindustty, includedin the Third Highway Project; however, due to the lack of funds/equipment,coupled with Governmentdelay in releasing advancepayments, the programachieved limited success. To provide local constructionindustry with access to plant and equipment,Government wishes to rent out equipmentto contractors(see para 3.17) and establisha plant hire pool by July 1, 1995,if leasingand privateequipment pools do not providean effective solution. Funds for short term consultanciesto help its introductionare provided under the project. The Nakawa ManagementTraining and AdvisoryCenter, locatedjust outside Kampala, has AppendixS.1 Page4 of 13 prepared proposals for special courses to address the training needs of managers of medium size constructioncompanies. 1.11 Road Maintenance: MOWTC'sroad maintenanceorganization is basically sound, but because of staff shortages,the lack of trainednunpower and paucityof funds, the quality and quantityof road maintenanceis unsatisfactory.Routine maintenance is carriedout sporadically;periodic maintece has not been undertakenon a meaningfulbasis since early 1970s. During FY89, FY90 and FY91, the total road maintainedwas 120/o,25% and 26% of the classifiedroad networkrespectively. Table 5.1.1 shows anmualforce accountroad maintenancecarried out duringFY89 - FY92. Table 5.1.1 Light/HeavyGrading Regravelling Spot Regravelling Premix Patch -kms FY89 781 96 74 FY90 1,675 324 - FY91 1,637 8 348 84 FY92 4,260 1/ 1/ ll Source:Consultants' Louis Berger Int'l Road MaintenanceStudy Report 1.12 The funds allocated/releasedby Governmentfor road maintance are far below the acal needsof the road network. Table 5.1.2 showsthe budgetallocation vis-a-vis amounts actuallyreleased/spent during FY88 - FY93. Table 5.1.2 Year AmountBudgeted Amountactually released/spent (In US$ million) FY88 6.67 1.80 FY89 4.95 2.20 FY90 2.76 2.27 FY91 3.84 3.79 FY92 5.35 3.76 FYl93 5.79 4.72 FY94 5.92 N.A. Source: MOWTC 1.13 As of end-December1992, the total equipmentfleet for MOWTC comprised 1,094 units, including396 units of light/supportequipment and 698 units of heavy equipmentand plant. Of these, 349 units (32%) we-e 5 years old or more, 462 units (42%) 4 years old, and the remaining283 units (26%) were 3 years old or less. Accordingto the MOWTC, about 65% of the equipment is in saisfiactorycondition; the rest is in poor to very poor condition.Due to the insufficientlocal funding and/or bureaucraticdelays, MOWTC is unableto procurefuel, lubricants,fast movingspare parts and/or tires for day to day operationsof equipment. A large numberof equipmentunits thus remaui idle; the equipmentavailability rate is about 30%. Appendix5.1 Page5 of 13 1.14 Followingrecommendations of the National Road MaintenanceAwareness Seminar held in Ugandain February 1992, Govermuenthas expressedits willingness(i) to establisha Road Maintenance Fund to resolve the problem of inadequate funding of road maintenance;and (ii) to consider an autonomous Road Authority to free the managementof the road network from the civil serce bureaucracy. A Road Authority/RoadFund study to be financedby GTZ will be undertakenfrom May to December1993. 1.15 As recommendedby the February 1992 RoadMaintenance Awareness Seminar, Government has decidedto cany out all future manual routine road maintenanceand periodic road maintenance(road resealing/regravelling)by contrct Mechanized rouffne road maintenanceoperations and works of emergencynature, however,would be carried out by force account, on a task basis. Govemmenthas, as of January 1993, started manual routine road maintenanceon some 2,500 km of rehabilitatedroad using contract lengtumansystem (on a one man per 2 km basis), and has set up road maintenance accounts, with an initial deposit for 4 months, in each of the 21 operational districts to expedite disbursements.No mechamizedroutine road maintenanceis currentlyplanned due to shortageof funds. 1.16 The KfW is currentlyassisting Government with a 3 1/2year program(July 1992thru December 1995)for maintenanceof 659 km of road in eastern Uganda. The ODA plans to financea 5-year gravel road rehabilitationand maintenanceprogram (January 1994 thru December1998) for 1148 km of road in westernUganda, and the EEC aims at maintining the roads recentlyrehabilitated under EEC financial assistance and associatedfeeder roads (a total of 2,046 kan)in south-westernUganda over a three year period(January 1994thru December1996). The ODA and EEC programshave, however,not yet been firmedup. 1.17 The projectincludes a 4-year (FY95-98)road maintenanceprogram identified by the consultants, and covers 1,952 km of primary roadnetwork, comprising 812 kanof paved road and 1,140kan of gravel road. This progran to be supportedby the Associationwould representabout 1.16 percentof the total road maintenanceprogram and would be implementedin parallel with the maintenanceof the roads beingftobe maintainedunder the ongoingKfW ERRMand the proposedEEC and ODA programs. 1.18 Accordingto the road maintenancestudy carried out by consultants Louis Berger Intl, the countrywideyearly requirementof recurrentfunds for road maintenance(basic maintenanceon priority I & 2 roads and 'minimal'maintenance on priority 3 roads) is US$37.43 million, with a foreign cost componentof US$27.2million. Againstthis, thiedonor (KfW, EEC, ODA & IDA) fundingis expectedto be of the order of US$15 millionper annum leavinga financinggap of about US$22 million, *%itha foreignexchange component of US$12 million. Based on the consultants'report, the EEC and ODA programsare underbudgeted. 1.19 Road Safety: Promotionof Road Safety would deserve much more effort than it presently receivesin Uganda.The 1970 Trafficand Road Safety Act, currentlybeing amended,gives the National Road Safety Council (NRSC) the responsibilityto coordinateall road safety activities, informnand educate the public throughthe press, campaigns,schools and literature,and advise the Governmenton measuresto be taken. NRSC reportsannually to MOWTC.Lack of public fundingand limitedsuccess in raising private support have reportedlyseverely limited actual NRSC activities.Improved funding and adequatereporting by the police on accidents,fatalities and injuriesis neededto improve and maintain Appendix5.1 Page6 of 13 solid basic data, establishedearlier in the National Transport Data Base in MOWTCtPD,on which analysis and recommendationsfor inproved infrastructureand behaviorof traffic participantscould be based. The partial informationavailable suggests that traffic accidents are on the rise, that personal injuries alone cost in the order of 1-2 percent of GDP to the economy,and that most of them are concentratedin the Kampalaarea. Both driversand vehicleshave to pass tests to receivea road license. Also, third party liabilityinsurance is mandatoryand requiredto obtain a road license.The use of safety belts nor motor helmetsis compulsory.Speed limits are often not observednor enforced.These facts showthat there is muchroom for improvedregulations and more systematicenforcement of existingones, wvhichwould depend on better traffic police training and remunerationto be introducedover time. l OWTCtries to includeaccident reductionfeatures in its road design and in improvementsat black .dots; MOWTC wouldfor examplelike to pave road shoulderswhere this couldhelp movehigh levelsof pedestrianand cyclist traffic off the carriage-way.With improvedproblem analysis, it could undertake more effectiveaction. B. MINISTRY OF LOCAL GOVERNMENT: GENERAL 1.20 Throughthe Urban AuthoritiesAct 1964, the District AdministrationAct of 1967 and various administrativeprocedures, the national governmentexercises considerablecontrol over the financial managementof local authorities. MOLG has primary supervisorycontrol over councilfinance and is responsiblefor: (a) Allocationof blockgrants to councils; (b) Establishmentof financialpolicies and directionsthrough budgetary control procedures; (c) Reviewof monthlyfinancial reports prepared by councils; (d) Inspectionand audit of councildevelopment plans; (e) Establishmentand enforcementof councilaccounting practices; (f) Appointment(by the Minister)of city, municipaland towvnCouncilors, in cases wherethe ministerdecides that Councilorswill not be chosenby elections; (g) Managementof the Local AuthoritiesLoan Fund. While in theory MOLG has an importantfunction in supervisingand enhancinglocal authoritv financialmanagement, its role in practice has been largelyineffective because of serious lack of trained managementand technicalstaff, equipment,supplies, transport and budget allocations. In 1987, GOU enactedthe ResistanceCouncils and CommitteeStatute to decentralizepower and foster politicalas well as administrativeaccountability on all levelsof governments.The officiallaunch of the decentralization programmein October 1992announced far reachingchanges, especially in the revenueand budget fields. StartingFY94, district votes includedin the nationalbudget and each District ExecutiveSecretary uzill becomethe accountingofficer for his District. A new local GovernmentStatute will be formulatedto redefinethe powers of the Minister of Local Government. All functions (except securit%.national planning, defense, imrnigrationand foreign affairs) will be devolved in phases to local ukits of administrationbased in the District ResistanceCouncils. The Ministryof Local Governmentand the technicalministries will issue regulationsand set up an interdisciplinaryinspectorate to carrv out regular inspectionsof services,and regularfinancial and performanceaudits wvillalso becomemandatory. 1.21 The developmentand maintenanceof feeder roads are already onc of the mandatory responsibilitiesof District Adrninistrations(DAs) under the District AdministrationsAct of 1067 They AppendixS. 1 Page7 of 13 shouldin principlefinance the activitiesfrom their own various revenuesand central Governmentgrants. During the 1960 's and early 1970's, the DA Works Departments'maintenance of feeder roads were generallyadequate. This systemcollapsed in the late 1970'sand districtactivities practically stopped. In this situation,and as a temporarymeasure, MOLG throughits EngineeringDepartment, widened its role and took over responsibilityfor planningand implementationof rehabilitationworks, while the DAs were expectedto manageroutine maintenance. 1.22 OrganizationalStructure of the EngineeringDepartment: The EngineeringDepartmnent (ED) is the principal MOLG departmentfor feeder roads planning and execution. Its new organizational structure is definedin the Rural FeederRoads StrategyPaper (Appendix2.15). Underthe responsibility of the Chief Engineer,it would consist of eight divisions: Planning,Monitoring and Design (PMD); Rehabilitation(Construction); Maintenance; Training; Mechanical services; General services;Urban and Buildings. The first five whichconcem mainly rural feederroads, will on a day-to-daybasis be managed by a District Support(Rural Roads)Engineer under the overalldirection of the ChiefEngineer. 1.23 The ED is inadequatelystaffed and its offices are complttelyinadequate to fulfil its functions. The GOU agreed that the ED shouldbe strengthenedand the staff workingenvironment should also be improved. The GOU is actively taking steps to fill some of the establishedpositions in the ED. Currently,the Acting ChiefEngineer is supportedby three civil engineersand one mechanicalengineer at the head office. In addition,nine civil engineershave been assignedto various ongoinggovernment and donor-fundedprojects in the field (JICAI,GTZ, UNDP/UNCDF,ILO, IFAD/DA and IDA). OtherTA to be providedin the field or at headquartersfor the proposedABD Road MaintenanceProject, DANIDA Norther UgandaReconstruction Project (NURP)and IDA TRP will be assignedin accordancewith the agreed structure of the ED. The need for a Training Coordinatorat MOLG has been confirmedwith MOLG and GOU will activelyseek to fillthe position,if necessarywith donor-fundedTA. The position whichis to be providedat headquartersis expectedto be closelycoordinated with other trainingprograms organizedin the Local GovernmentResource Center (LGRC, also the UgandaManagement Institute). 1.24 The objectivesof strengtheningMOLO would, inter alia. be to ensurethat: i. feeder roads projects and feeder roads and rural transport activities are carried out effectivelywith comprehensivedocumentation on projectphysical, engineering, economic, financialand social aspects; ii. responsibilityfor projectexecution is graduallytransferred to the respectivedistricts; and iii. planning of feeder road developmentand rural transport is based on engineeringand economiccriteria aimingat overallcost-efficiency, and at the sametime optimizingthe use of locally availableresources (unemployedand underemployedlabor, local contractors, localmaterials, etc.), thus savingforeign exchange and enhancingemployment ge.eration. In order to achievethe aboveobjectives, MOLG shall, inter alia, work in the followingareas: a. Settingup systemsand proceduresfor district-executedfeeder road inventoryand condition surveys,overseeing their implementationat the nationalbasis and updatingthem at regular intervals. Appendix5.1 Page8 of 13 b. Settingup systemsand proceduresfor effectivedistrict routineand periodicmaintenance, initiallyin the four project districtsto be transferredlater to other districts on a national basis. c. Settingup systemsand proceduresfor selectingfeeder roads for spot improvementsor full rehabilitation;and providing assistance to the project districts in implementingthese systemsand procedures. d. Settingup systemsand proceduresfor the implementationof feeder road improvementsin the projectdistricts. e. Coordinatingtraining and demonstrationactivities in order to build up capacity at district level to implementroad maintenanceand rehabilitationworks, mainly through local contrctors. Coordinatingalso (i) the training of local contractorsand (ii) provisionof assistanceto privateworkshop development. f. Buildingup a data bank in MOLG on all the above activities in terms of physical, financial,economic and social parameters. The proposedPMD is expectedto carry out a major part of the above tasks (a,b,c and d). The other taslcswill provideuseful informationfor planning,however, they can be handledmore suitablyby other divisionsof the EngineeringDepartment. Economicappraisal and evaluationof projects will be camed out in close collaborationwith the MOLG PlamiungDepartment. In the national context for transport policy, strategy, classificationand budgeting,close collaborationand infonnationsharing will be necessary,between MOLG and the Ministriesof Finance and EconomicDevelopment (MFED), and Works,Transport and Communications(MOWTC). C. DISTRICT ADMINISTRATIONS AND THEIR WORKS DEPARTMENTS 1.25 The four project districts - Kapchorwa,Mbale, Pallisa and Tororo - representfour different levels of implementationcapacity: Technical Staff and OrganizationalSetup, Building Facilities, Equipment(for roads constructionand maintenance,workshops and offices) and FinancialResources. Financialaspects are discussedin greaterdetail in ChapterVI of this report. 1.26 Existing Technical Staff and Organizational Set-up: The District Works Departmnents typically have three sectionsunder a Supervisorof Works, i.e. Administration(including Mechanical), Buildings, and Roads Suctions. A typical OrganizationalChart is shown in Appendix2.17. The establishedposts in the District Works Departrnentsfor Road Works are: Supervisorof Works (SOW), Assistant SOW (ASOW), Foreman/EngineeringAssistant for Roads and Bridges (F/EA), Road Inspectors(RI), Drivers/Operators(dtO), and Mechanics(Mech). No district has a substantiveDistrict Engineer,apart fiom an Executive Engineerwho is stationedat Mbale for the Pilot Rural Roads MaintenanceComponent of the IDA lVth HighwayProject. Each districtreported having a Supervisorof Wors (SOW),and Pallisahas an ASOWposition filled as well. Of the otherpositions, Kapehorwa had one F/EA while Mbaleand Pallisahad 2 and 4 RIs, respectively.Only Kapchorwaalso reportedhaving one mechanicand a mechanicalartisan (welding,etc.) at post. The other positionswere all vacant. AppendixS.1 Page 9 of 13 Appendix 2,17 presents the staffing situation for all sections in the four districts. Staff presendy employedin the Works Departmentsare underpaidand their motivationhas decreasedbecause of low activity/investments,lack of facilitiesand equipmentto carry out their work satisfactorily. With the reduced activity in the feeder roads sector in Uganda over the last decade (except for donor assisted rehabilitationprojects), the availability of engineers and technicianswith sufficient managerial and technicalexperience to fill the vacant posts is low. Employmentin the public sector, especiallyin the districts,is no longerattractive due to the low wages. Many of the ASOWs,foremen and road inspectors are above 50 years old, hence, within a few years there will be the need for a new generation of techniciansto take overfrom themn.This will requireactive training and districtlevel recruitnent. 1.27 Existing Office, Storage and Workshop Facilities: The Works Departmentin Zapohorwa located next to the District Administrationin the town center, has 92 m2 office area but no stores or workshop. Part of the office space is presentlyused as storagerooms for handtools. There is no yard or fencingaround the officebuilding which is in needof maintenanceand minorrepairs. 1.28 The Works Departmet of Tororo District Administrationis located in approximately2.25 hectaresof land closeto the city center. The yard whichwas built in 1967, is enclosedwith chain-link perimeterfencing and a securitypost is providedat the entrance. Buildingsand other facilitiesprovided in Tororo are: (i) an office block of approximately150 m2 floor area containing 3 offices; (ii) two byuildingsserving as an office for the ASOW(Buildings) and drawingoffice, while the secondis used as a fuel and lubricantsstore; (iii) a workshopand stores blockof 1050m 2 floorarea with three store rooms for storageof timber,cement and a generalstore for hand tools used in roadwork. The timber store and generalstore are each of approximately375 m2 floorarea whilethe cementstore is about 50 rn2 in floor area Withinthe timber store there is an imer store of about 40 m2 floor area. The stores and office buildings are in fairly good condition but are in need of minor repairs to the fencing, electrical installationsincluding security lighting,and repair of water connection. All buildingsshould be painted and a soilslaboratory needs to be establishedpossibly at the locationof the presentfuel stores. Other facilities include a carpentry workshopequipped with band saw, plane and thickness machine,all in various states of disrepair,and a mechanicalworkshop, of approximately450 m2 floor area with an inspectionpit. Unserviceableequipment in the shop also includes an engine crane, a hydraulicpress, a bench lathe and a drillpress. Leadingoff the workshoparea are the foreman'soffice, spare parts store, battery chargingroom and a compressorroom. The battery charger and compressors are also unserviceable;and undergroundstorage tanks for diesel and petrol fitted with fuel station-type electricpumps on site have not been used in nearlya decade. 1.29 The District AdministrationWorks Departmentat Mbale has similarfacilities as those described above. The Works Departmentyard is locatedin the westemoutskirts of Mbalecity. The buildingswere constucted in 1965, but have been refurbishedunder the IDA-supportedPilot Project. There are two office blocks of 164 m2 and 51 m2 respectively, a carpentry workshop (300 m2) and stores (300 m2). The buildingsare in need of somerepairs on the roofingand somepainting of the walls. The mechanical workshop,which has a floor area of 525 m2 , has facilitiesto carry out minorrepairs on equipmentand vehicles,though the numberof workshoptools is limited. 1.30 The Admisation in Pallisadistrict, being a very youngdistrict, is most inadequatelyequipped. The Works Departmentdoes, exceptfor a tiny office, nothave any facilitiesat all. AppendixS.l Page10 of 13 1.31 Existing Equipment: In the four project districtsinadequate fiuding has caused shortagesof essentialroad worksequipment, spare parts, handtools, implments, office and workshopequipment and supplies. An overviewof the roads equipmentavailable in the four districtsis presentedin Table 5.1.3. Kapchorwaand Pallisa do not have any equipmentat all. During the IDA supportedPilot Project one wheel loader, aoe mntor grader and two tipper lorries were made availablefrom other districtsand are listedunder Mbale district All the equipmentis olc, and frequentbreak downsoccur. The capabilityin theWorks Departnt for manting any size equipmentfleet is presentlyvery limited,due to the run downworkshops. Table&1.3: Overview of road worksequipment available in the projectdistricts. EquipmnOt Kowchorwa Mbate Paloisa Tororo Bulldozer none none none none Grader none motorgrader, 1969* in none onecaterpillar fair workingcondition and one04Y, both scrapped Roller none none none none Traxcavator none one, 1960scrapped none one,borrowed fromMOWTC, working Bulldozer none one, 1957scrapped none none Wheel loader none one in fair woridng none none condition Tipper truck Loy none one, 1978,broken none one tippingand down, repairable, one fixed-bed two tipper trdcs in in fair working fair condition condition Concretemixer none one, 1955in fair none none workingcondition Weldingplant none one, 1990 in good none none workingcondition Car none two Land Rovers(110) none none diesel/petrolin good condition Motorcycle none none none none The year indicatedis year of purchase. AppendixS. I Page11 of 13 1.32 Underthe IDA-supportedPilot Projectwhich forms part of the FourthHighway Credit someroad constructions and maintenanceequipment and workshop tools worth about US$300,000 will be purchasedin FY94. This will facilitatean early statu of the trainingof contractorsunder the proposed Project. 1.33 Workshop equipment: Mbale Works Departmenthas purchaseda compressor,a thicknessera ripper, and a planner (carpentry)in 1990 and these machinesare all in good condition. Tororo has a planner,a ripperand a mclderwhich requires some repairs. Apart fromthe weldingplant includedin the table above none of the districts have presently any mechanicalworkshop equipment other than old scrappedmachines. 1.34 Officeequipment: The officeequipment available is almostnegligible. The Work Departments rely on the scarcefacilities available in the DistrictAdministrations. 1.35 Hand tools: Somehand tools were procuredfor road rehabilitationand maintenanceunder the IDA supportedPilot Project. The nmnberof hand tools availablein October 1992 are listed in Table 5.1.4. Table 5.1.4: Overviewof hand tools availablein the project districts Kapekorwa Mbale Pallisa Tororo DescrWion Nos Year Nos Year Nos Year Nos Year Shovel/spade 229 1992 375 1992 105 1002 164 ? Forked Hoe 60 1989 - - - Pick Axe 105 205 1992 105 1992 34 Slasher ------161 Panga 42 1986 76 1992 - - 41 ? Hoe - - 340 1991 374 Wheelbarrow - - - - 80 1991 104 D. DOMESTIC PRIVATE CONTRACTING INDUSTRY 1.36 Twenty one domestic contractors have filled in a questionnaire providing details of their managementand technicalstaff, equipmentholding, financial situation,work experience,turnover, etc. Fourteenof the contractorswere interviewedand Appendixsummarzes the interviewsand providesin tabular form an overviewof contractors'responses. All contractorsshowed interestin the labor-based feeder roads project. The few who own substantialamounts of equipment,however,, expressed doubts about the feasibility of labor-based methods and indicated their preference for equipment-intensive methods. Nearly all the contractorshave previous experiencein buildingconstruction using labor- intensivemethods, and at least four also had experiencein road constructionusing mostly *quipment- intensivemethods. Most of the firms are directedby one or several (Civil)engineers who deal with all managementaspects of the business. The permanentstaff is limitedto an absolute minimumand the majorityof the "key staff", includingin some cases the managers,ire often full-timecivil servantswho are caUedupon as needed. Appendix5.1 Page12 of 13 1.37 Most of the contractors with road works experiencehad receivedtraining under ID)AsThird Highwayproject. The trainingwas carriedout by the Superfosconsultants/contractor and was limitedto equipment-intensivemethods using bulldozers,graders, front-endloaders and heavy rollers. The trained contractorshad subsequentlyonly had occasionalwork and mostappear nowto be financiallyweak. The interviewedcontractors with road experiencestated that they had not been able to amortize their equipmentbecause of inadequate earnings, and would not be able to replace obsolete or inoperable equipment. E. UGANDA RAILWAYS CORPORATION 1.38 The Board: URC'slegal status as a parastatalentity is definedin the Railway Statuteof August 1992. This providesfor a nine memberBoard of Directors,headed by a Chairmanwith seven other directorsand the ManagingDirector. All the membersof the Boardare to be appointedby the Minister responsiblefor railwaystransport (MOWTC),from amongpersons havingknowledge and experiencein commerce,transport, finance,industry, administration or engineering. The ManagingDirector is a full time manager,and is appointedby the Minister(MOWTC) on the recommendationof the URC Board of Directors. The term of office is three years for all Board membersand four years for the Managing Director. 1.39 Management: The ManagingDirector has seven major departmentchiefs (Marine, Finance, Commercial,Civil Engineering,Mechanical Engineering, Construction and Administration)reporting to him. In addition,the Signalingand Telecommunications,Planning and InternalAudit sectionsand the Public Relationsand Securityunits report to him. The organizationchart of URC is at Appendix3.4) There is a highlycentralized management structure, and delegationand accountabilityare conspicuousby their absence. The corporateculture is also predominantlydepartment-oriented, rather than corporation- oriented. Both ficts result in the M.D. having to intervenein day to day matters, and in delays and operationalinefficiencies. With a commerciallyoriented URC, as it will have to become in order to surviveand succeed and succeedin a competitiveenvironment, the corporateculture will need a radical change,and managementof this change will be an activityvital to the success of the proposed project. The M.D. will need experiencedassistance and adviceto managethis process, as well as full cooperation fromthe Boardand MOWTC,the presentministry. The Projectaims to providethis component. 1.40 The three EngineeringDepartment (Civil, Mechanical and Signal & Telecomins.)are mannedby personnelcompetent in their technicalfields; they have also benefitedfrom technicalassistance provided in the past by bilateraldonors and throughthe recentlyconcluded Railway Project. The manageriallevels are mannedby qualifiedtechnical graduates. The weak departrnents,in relative performanceterms, are (i) the newly formed Conunercialdepartment, which includes the erstwhileTraffic department.and (ii) the Finance department,which hitherto, has been perforning mainly an accountingfunction. These departmentswill need technicalassistance and trainingto help them perform their critical ro:-s in the restructuredURC. The other weaknessesare (i) the SuppliesDcpartment, where a basic computerized suppliesmanagement system is currentlybeing installed,and (ii) the PersonnelDepartment, especially in the ManpowerDevelopment function. Short termnassistance may be needed in these two areas in the courseof the project. AppendixS.1 Page 13of 13 1.41 Staff: URC has succeededby its own effortsto bringabout a large reductionin its workforce from 7280 in 1987 to about 4200 currety, by a system of selectiveredundancies and payment of compensation,in consultationwith the Trade Union. The reductionis continuing. Duringthe proposed Project, URCwould enforcestrict limitationson fiesh employment,introduce more incentive schemes and strengthentask-onented supervision. In addition,URC is exammig the subject of undtking tack mainteance by contract. The target for the staffinglevels will be agreed upon with URC as part of the agreementon the Core CorporatePlan. The expert Advisersbeing engagedunder the Project will assist URC in the preparationof detailedAcbon Plan to implementthe CorporatePlan. F. AlR TRANSPORTATION 1.42 Ugandais in the process of fomalizing its air transport policy. Its practice has been in recent years to encouragemore carriers, intemationalcompanies as well as small argo companies,to come to Entebbe, the internationalairport. The Civil Aviation Authority (CAA) was establishedin 1991 to operateboth as an aviationand an airportsauthority. It reportsto the Ministerof Works, Transportand Communications,through a Board of mainly private sector members,which supervisesthe executive level: managingdirector, corporationsecretary and five directors. A sizable UNDP-financed,ICAO- supervisedteam of experts is assisting CAA and training its personnelin many tasks; the project is supposedto be completedin 1994. CAA collectsrevenue directly from landing rights and navigational services to overtflyingaircraft. CAA sets its own fees and salaries. CAA does not receive fiancial support from the Government,but has to financeon the contrarythe downpaymentfor the Spanishloan for the rehabilitationof the terminalbuilding. 1.43 Operationalrequirements and safety considerationsprescribed a program of works prepared by consultantsin 1991. This was followedby a TwentyYear AviationMaster Plan completedin July 1993. These studies have shown the urgent need for improvementsin infrastructure and equipment. Navigationalaids and the runwayrepairs are CAA'shighest priorities, but no clear financingoffers have been received.Meanwhile, terminal buildingrepairs have begun in 1993. All safety-related activities were supposedto be completedduring the lifetimeof the UNDP-financedproject (1991-1994) but they have not beenforthcoming. 1.44 Uganda Airlines (UAC) is a 100 percent Goveramentowned public corporation. Its Board containsmainly non-private sector members.Although UAC used to dependon Governmentsubsidies to meet its payroll, that is not currentlythe case, thanksto the fact that UAC eams incomefrom its small flyingoperations but in particular from its monopolyof handlingplanes, freight and passengersat the airport. If CAAwere to liberalizethese services,this would adverselyaffect UAC'sfinances. UAC owns only one plane, a Fokker F27, and leases planes from other regionalairlines for East African flights. UAC is reportedlyseriously considering a lease-purchaseof a freighteror combi plane for a serviceto the MiddleEast. As a subsequentstep UAChopes to buy a 19 seater for domesticflights in 1994, inter alia to facilitatetourist travel withinUganda. UACs lack of a capital basis, and the fact that the Government cannot at this stage affordto recapitalizeits nationalflag carriermake these plans uncertain. Appendx5.2 Pagel of 6 UGANDA TRANSPORT REHABILITATIONPROJECT FINANCIALANALYSIS: LOCAL AUTHORITIES AND URC Financial Analysis of Local Authorities 1.01 Background: There are two types of funds availablefor LAs: (i) emenuesgerated within the distict, e.g., grduated tx, market dues, v4ous fbes and licenses;and (ii) allocatons of fimds from the central GOU anmualbudget that are eannarkedfor LAs such as the block grnts traditionally aimedat the social sub-sectors,budget supportfor rural feeder roads mait ce, and prject-specific fimdsmanaged by MOLQ.2D1 Revenueand expendiue estimatesfor the four project districtsfor 1990/91through 1992193,are shownin Appendix2.18 and they showtht: (a) Revenueesates exceedactual funds raised,roughlybyafactor 13 to 1.8; (b) expendituresclosely match actual revenues,as a reflectionof the LAs' low creditrats and impossibilityto obtainbank loans. 1.02 Graduatedtax: is an importantrevenue source for the districtLAs acnting for bet 65%- 80%. Ihis tax is basedon LA-levelassessments of individualsperceived asset base and/or mcome.The schedule provides for eleventax levelsranging from USh 1,000p.a. to USh30,000 p.a. However,the districtsreport that mostcollections are in the under-USh3000bracket. 1.03 Moveto privatizeMarket Dues and Rents: Marketdues and rentsare the majorcomponent of fies and licenses,the secondmost importantsource of revenue. Reducedvolumes of economic activity, corrupt collecdonpractices, ineffectivemonitoring stms and seasona}ityof receipts (tlh rainy seasonacts as a depressant)were reportedas havinga negativeeffect on totat incom firm this particularsource in the past. However,all fourdistricts bave either already leased out this functionor intendto do so begining 1993/94,with the primaryobjective of reducingcollection costs and leakages.So far, the experiencehas beenpositive, e.g., Tororo reported market revenues of UShl4 millionin the first 7 monthsof 1992/93(compared to a total of aboutUSb2O million in 1991/92) withoutany associatedcollection costs. 1.04 MOLG/EDGeneral: From 1990/91to 1992/93,GOU acta recurrentexpenditure by MOLG/EDranged from USh344 million to a high in 1991/92of USh1240million. Development budgetallocations have increasedfrom USh8O4million to USh3004million mainly for donorco- financedrural feeder roads projects. The current funding capacity of the LAsis consideredinadequate for theirneeds, and resultsfrom a combinationof the economicrecession and relativelylow incomes prevailingnationwide, the tightmonetary situation in GOU,as wellas under-collectionratms in the LAs estimatedas between30°/1o50% of potentialrevenues. 1 At the sametime, under-collectionof GOUtax revenuesis reportedat about 50% of expectedrevenues. This issue is to be addressedby the proposedTax Authority whichhas a goal to progressivelyincrease central tax revenuecollection from a presentlevel of about 7% to about 16%of GDP. Appenix5.2 Page2 of 6 1.05 BlockGrants: are povidedout of the annualGOU recurrent budget through MOLG to the LAs so as to bridgegaps in the LA budgetsespecially with regard to the socialsectors, e.g., health, education,etc.. In practice,the grans are appliedat the discretionof therespective LAs. Overthe past two decades,and in stepwith GOU Is worsening financial sitation, blockgrants have declined to less than 10%of totalrevenues in most LA budgets. 1.06 Other GOU support: to the districtswhich includes items such as supportto feederroad matace or essental drugs were not detailedin the annual LA esmates of revenueand expenditure.However, as a result of recentreviews, this GOUassistance wil be reflectedin the annualestima from1993/94 onwards. 1.07 LocalAuthority Loan Fund (LALF): has beenmoribund since the latter 1970s,hence its absencefrom the list of revemecomponents in Appendix2.18. Originallyestablished as a vehu4efor low-costGOU development funds to be on-lentto the LAs for capitalprojects, the LALFhas not opeatedsince 1978 due to cessationof inflowof GOUfinancing. This has had a negatiwveeffect on LA developmentfinancing. 1.08 The BudgetProcess: he formuationof annualrecurrent and capital budgets for the Local Authorities(LAs) including the four projectdistricts is theoreticallya 'bottom-up'process. The entitiesinvolved include the District ResistanceCouncil (DRC); and the District Development Conmmttee(DDC) which comprses the DistrictExecutive Secretazy and the heads of Treasuty, HEealt,Education and Works. TheDDC is responsiblefor compilingdifferent sections of the budget and consolidatigthem into a totalbudget within the Treasuy'sestumates of expectedrevenues in the fiscalyear. Thebudget is thensubmitted to the DRCfor approvalbefore it is sentto the MOLG. In MOLW,hspectorate reviews the vanousLA budgetsand makesrecommendaons to the Ministeron the draftconsolidaed LA budget requet to the Ministyof Finance(MFEP). 1.09 The presentbudge systemsuffers from a lack of skillsat bothLA and MOLGlevels, in budget preparation,objective prioritization, reporting and monitoringof and acconting for expdir. Thisphenomenon has contributedto inefficientuse of existingresources and in the past has beenone reason for MOFEPnot incresing resources to the LAs. 1.10 GOUintends to decentalizetwelve districts on a pilotbasis (whichinclude Tororo and Mbale) as self-accountingentities from the 1993/94Budget onwards. The other districts will also be devolved on a phasedmanner in the followingyears. This firther emphasizesthe need for supportto the districts in organizing,budgeting and executingtheir various functionsincluding feeder road maintenance. 1.11 Proposalto IncreaseLA Fundingfor FeederRoads: Oneof the proposedproject actions is to encourgethe districtsin effectiveorganization and fundingof feederroad maintenance. Therefore, the projectfinancing plan expects the fourproject districts to contributetowards the cost of ruralfeeder roadsmaten ce. Severalinstitutonal and socialissues wil, however,need to be addressedin this respectin all fourproject disticts, varying only in degreeof intensity.They are describedbelow. 1.12 Sub-optimalrural feeder roads maintenance:In 1990/91,the conceptof assising Local Authrties in route roadmaitenance was introduced in the recurrentMOLG budget which provided forwages of oneroad porter per kIlometerof feederroad (under item 3040). Therespective LAs were Appendix5.2 Page3 of 6 supposedto contributematching funds to total two lengthnen per kilometer. However,most LAs (includingaU four project districts)did not contributeany funds for this purpose, citing inadequate income. Tlhemain drawbacks of the present systemare: (a) availablefunds spread thinlyover entire districtnetworks; (b) treatng lengthmenpermanent LA staff to be paid year-roundregardless of output and the seasoa nattrre of routine maintenancework; (c) delays in paying road porters, which undemine morale;and (d) inadequateguidance and monitorngby the Works Departments,given lack of transport and the extent of the districtnetworks. These factors have dilutedthe effectivenessof the present rural feeder roads maintenanceprograms. As a result, many rehabilitatedroads have fallen back into disrepairand becomeinaccessible. 1.13 Accountablty Systems: Existing accobility frameworks have weak monitoring, reportng and enforcement. The MOLO has taken several steps to improve accountabilityin the districtspartly as a result of lessonslear duringthe 1992audit carriedout by the USAID-sponsored programfor rural feederroads maiatenance.These included:(i) requiringseveral countersignatures (of the DES, Treasurer and the Supervisorof Works) on checkssent from MOLG; (ii) paymentto road porters by sub-countychief in the presenceof RC officials;and (iv) returnof paymentvouchers (duly signedor thumb-printedby the recipients)to LA headquarterswith copiesto MOLG. 1.14 As a condition for negotiations, the four participafing districts will be required by Governmentto submitproposals for action programs to raise the collection efficiency of District revenuebeginning In the 1993/94 budget. The action plans will include proposals for improving reenue mobilizationand for establishingappropriate accountability frameworks. URC Finances 1.15 Generad: Since the bacldog in accounts has been eliminated during the IDA-suppored Railways Project, URC is producmgconventional profit and loss statments, balance sheet, sources and applicationof funds as well as an annual budget regularly,although still with some delays. Auditingofthe accountscauses additonal delays. Auditedfinancialstatements for the last year 1992 havebeen submittedby URC The auditing of the Project accountfor 1992 is in progress and is expectedto be completedin December1993. Auditedaccounts for 1993 and subsequentyears will be submittedto IDA within6 months of the end of the calendaryear. 1.16 OperatingPerformance: After the increaseto nearly to 500,000MT in 1990, a declinein firegt volumeset in. Revenuefrom freight seriices reflectedthis decline,but overall USh revenue was kept up by proceedsfrom locomotiveleasing to Kenyaand tariff increases. In US$ equivalent revenue underwenta slow and steady erosion. Expendituresfirst reflected increasingmamtenance levels, then stagnated, while depreciationmoved permanentlyto a higher level as a result of a comprehensiverevalhation in 1990. The outcomewas: deterioratingworking ratios and operating ratios in 1992comparedto 1989and sizableoperating deficits since 1990. (Seetable 5.2.1) Appendix5.2 Page4 of 6 Table5.2.1: UgandaRailways Corporation OperationalPerfonrance 1987-1992 Particulars 1987 1988 1989 1990 1991 1992 TrafTicOnerational Results: Freighttonnes(000) 377 404 415 491 415 363 Net TKM (000,000) 18 82 88 159 138 119 Passengers(000) 1289 629 432 572 392 399 Tfc.via KSM (OOOT) 185 n.a. 249 226 202 214 Tfc. via MZA (OOOT) 99 n.a. 129 114 97 80 Total feny tfc. (0001) 284 n.a. 378 340 299 294 FinancialResults (UShbillion}: Revenue 4.88 7.39 10.51 14.22 Wkg.exp. 3.44 7.54 8.86 11.37 Depreciationetc. 0.03 0.03 5.40 6.20 OpDetingSurplus/(Deficit) 3.47 7.57 14.26 17.57 Workingratio (%/e) 70 102 84 80 Operatingratio (%) 71 102 136 124 1.17 Transuarencv of Accountswill needto be improvedin two respects:the tenrs and conditions under which assets procured by GOU and handed over to URC should be incorporatedin URC's c-aital structure, whichwould determineany repaymentobligations from URC to GOU as well as a clearerbasis for fiuturecost calculations.For this same purpose,the capital assets acquiredwith donor funds shouldbe recordedin an orderlymanner in the AssetsRegister. Secondly,the amount of donor financedrecurnt eMpnditurewill need to be specifiedon a regular basis, and distinguishedfrom URC resources, so that the true operating deficit can be established. The Memorandum of Undersiand&ngbetween GOU and URC wouldcover these issues. 1.18 PayroDl: Salaries and Allowance continue to claim a relatively small proportion of expenditurws.Incentive payments for essentialservices were increasedin 1990, but could not be kept on the same level because of budget deficits. The URC managementhas been quite successfulin bringingthe staff complementdown to 4,200 by the end of 1992, and has financedseverance payments out of its own means. 1.19 Tariffs: URC's new statute allows it to raise tariffs to meet increasedcosts pending the approvalof the Minister,MOWTC. URC has so far raisedits tariffs infrequentlybecause of trucking competitionin the market. The installationof the OSCAR system in 1993 pernitted MOWTC to calculate somewhatbetter estimates of railway costs. 'Te aggregate runningexpenses are about UShlOOper tonne-km. 1.20 AccountsReceivable: As of December31, 1992 accountsdue totalled USh8.3billion. Over 85% are at least 3 months overdue. Importantdebtor are (a) CMB, PMB and Transoceanwiich togetherassumed TRC's debt to URC (40% of debt over 3 months):(b) the oil companies. A dispute over a 15% commercialtransaction levy is delayingpayments. UTC is not exemnptedand therefore charges the oil coinpanies15% CTL, whereasroad trasorters are exempted. IDA has requested Appendix5.2 Page5 of 6 MOFEP to eliminatethis distortionin competitve conditions(16% of debt over 3 months);and (c) Governmentministries, mostly longstanding debt (10% of debt over 3 monfts). Althoughreduction of the claims outstandingwas specifiedin IDAs EmergencyAction Program Plan (EAP) with URC, recoveryhas sic As a result, URC's cash position is seriouslyconstrained. IDA is continuingto monitorthe E4P untilJune 1994. 1.21 Financial Forecasts: 'Te URC finacial projectionsfor 1993-1998(excluding grants and donations)shows margially decreasingoperaing deficitsthroughout in UShs,resulting from revenues growing at 8 percent per annum or slightlyfaster than expenditures(about 6 percent per annum). Marine servicescontinue to provide more than half of the revenue,but earnings from rail services, whichmeans domestictraffic and the Kampala-Kaseseand NorthernLines are shown as improving overtime. This needsto be carefullyanalyzed because both lines are a priori lossgiving propositions. Leasingof locomotivesis projectedto bring in considerableearnings throughout the period (see table 5.2.2), but this hinges on continuedpoor performanceof KRC and KRC leasing locomotivesfrom URC. Appendi5.2 Page6of6 UGANDA TRANSPORTRIEHBILITATION PROJECT UGANDARAILWAYS CORPORATION Table 5.2.2- IncomeStatmenlt Projections 1993 1994 1995 19 1997 1998 199 2000 Tnrffic(t 000) 497 534 571 623 674 746 817 Revenue(Shs billion) Rail Goods 3.71 4.36 4.88 5.37 6.14 7.13 8.20 9.04 Marine Goods 9.97 11.29 12.37 13.59 15.51 16.90 18.70 21.57 Passenger&- Coaching 0.90 0.68 0.70 0.72 0.74 0.76 0.78 0.80 Hre of equipment 3.84 4.53 4.40 3.65 3.67 3.15 3.13 3.18 Miscellaneous 1.20 1.23 1.27 1.31 1.35 1.39 1.43 1.47 Total 19.62 22.09 23.62 24.64 27.41 29.33 32.24 36.06 Expenditue (Shs bilhon) Staffcosts 5.72 6.22 6.33 6.4S 6.56 6.70 6.82 6.96 PwFWorks, Telcom.. 2.70 2.82 2.93 3.05 3.19 3.32 3.46 3.63 Fud & maintenance 5.82 6.25 6.64 7.05 7.64 8.09 8.67 9.43 Hireof wagons 0.93 1.08 1.17 1.14 1.09 0.97 0.94 0.86 Hire of wagonferries 1.35 1.39 1.90 2.01 2.12 2.97 2.35 2.47 Interestpayment 0.00 0.76 0.70 0.63 0.55 0.48 0.41 0.37 Sub-total 16.54 18.52 19.67 20.33 21.15 22.53 22.65 23.72 Depreciation 5.62 5.87 6.46 6.76 6.99 7.53 7.66 7.76 TOTAL 22.16 24.39 26.13 27.09 28.14 30.06 30.31 31.48 Profit(Lss) (2.54) (2.30) (2.51) (2.45) (0.73) (0.73) 1.93 4.58 AppeudixS.3 Page l of 2 UGANDA TRANSPORTREIABILITATION PROJECT SIPERVISON PLAN 1/ FY Activity Shan Staffweek month 94 First SupervisionMission TM 4 July 94 and Workshop HE 4 FRE 4 FA 3 RE 2 (17) 95 Review/SupervisionMission TM 3 March95 HE 3 FRE 3 FA 3 RE 2 (14) 96 SupervisionMission TM 3 Sept. 95 HE 3 FRE 3 RE I (10) Mid-TermReview TM 4 March96 HE 3 FRE 3 FA 3 RE 2 TE 3 ES 2 (20) 97 SupervisionMission TM 3 Sept ..96 HE 3 FRE 3 RE 1 (10) Review/SupervisionMission TM 3 March 97 HE 3 FRE 3 RE 1 FA 3 (13) 98 SupervisionMission TM 3 Sept. 97 HE 3 FRE 3 RE 1 (10) Review/SupervisionMission TM 3 March 98 HE 3 FRE 3 RE I FA 3 (13) 99 SupervisionMission TM 3 Sept. 98 Appendix5.' Page 2 of 2 HE 3 FRE 3 RE 1 (10) Review/SupervisionMission TM 3 March 99 HE 3 FRE 3 RE I FA 3 (13) 2000 SupervisionMission TM 3 Sept. 99 HE 3 FRE 3 RE I (10) Final SupervisionMission TM 4 March 2000 HE 4 FRE 4 RE 3 PA 4 ES 2 TE 3 (24) Betweenmissions, procurement supervision will require at least 6 sw per year over four years (24) TOTAL STAFFWEEKSREQUIRED 188 TM= Task Manager; HE= Engineerin charge of main roads component;FRE= Engineerin charge of feeder roads component;RE= RailwaysEngineer; FA= Financial Analyst; ES= EnvironmentalSpecialist; TE= Transport Economist. 1/ Assumingan EffectivenessDate of July 1, 1994.