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Hebei Elderly Care Development Project: Resettlement Due

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Resettlement Due Diligence Report November 2019 People’s Republic of China: Hebei Elderly Care Development Project Prepared by the Hebei Provincial Government for the Asian Development Bank. CURRENCY EQUIVALENTS (as of 18 November 2019) Currency unit – Chinese Yuan (CNY) CNY1.00 = $0.14 $1.00 = CNY7.01 ABBREVIATIONS ADB – Asian Development Bank AP – affected person LAR – land acquisition and resettlement PMO – project management office RP – resettlement plan RECID – Runqinyuan Elderly Care Industry Development Co. Ltd. of She County WEIGHTS AND MEASURES mu – 0.006 ha square meter – m2 NOTE In this report, "$" refers to US dollars. This resettlement due diligence report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the “terms of use” section of this website. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area Table of Contents 1 OVERVIEW ............................................................................................................................................ 1 1.1 BACKGROUND ................................................................................................................................................ 1 1.2 PROJECT VARIATION AND RESETTLEMENT DUE DILIGENCE ....................................................................... 1 1.3 PROJECT IMPLEMENTING AGENCIES ............................................................................................................. 5 1.4 METHODOLOGY FOR THIS DDR ................................................................................................................... 5 1.5 SUMMARY OF PROJECT COMPONENTS ....................................................................................................... 6 2 DAYCARE CENTERS IN XINJI CITY .................................................................................................. 7 3 DAYCARE CENTERS IN LI COUNTY ............................................................................................. 11 4 DAYCARE CENTERS IN JULU COUNTY ....................................................................................... 20 5 DAYCARE CENTERS IN SHE COUNTY ......................................................................................... 22 6 CONCLUSION .................................................................................................................................... 27 APPENDIX 1 LAND USE AGREEMENT FOR DAYCARE CENTER OF YANGDONG VILLAGE ..... 28 I List of Tables TABLE 1-1 COMPARISON OF LOCATION OF DAYCARE CENTER AND ASSESSMENT OF RESETTLEMENT IMPACTS .... 3 TABLE 1-2 LIST OF SUBPROJECTS ..................................................................................................................................... 5 TABLE 2-1 SUBPROJECT INFORMATION OF XINJI CITY ................................................................................................... 8 TABLE 2-2 SUMMARY OF INTERVIEW RESULTS OF XINJI SUBPROJECT .......................................................................... 9 TABLE 3-1 SUBPROJECT INFORMATION OF LI COUNTY .............................................................................................. 13 TABLE 3-2 INTERVIEW RESULT OF LI COUNTY ............................................................................................................. 15 TABLE 4-1 SUBPROJECT INFORMATION OF JULU COUNTY ......................................................................................... 20 TABLE 4-2 INTERVIEW RESULTS OF JULU COUNTY ...................................................................................................... 20 TABLE 5-1 SUBPROJECT INFORMATION OF SHE COUNTY .......................................................................................... 25 TABLE 5-2 INTERVIEW RESULTS OF SHE COUNTY ....................................................................................................... 26 List of Figures FIGURE 2-1 CURRENT SITUATION OF TOWNSHIP/COMMUNITY HOSPITALS OF XINJI ............................................. 10 FIGURE 3-1 CONSULTATIONS AND SITE VISITED CONDUCTED .................................................................................. 11 FIGURE 3-2 AGREEMENT WITH MR. TIAN ON PROPERTY EXCHANGE OF HOUSE DEMOLITION ...................... 19 FIGURE 4-1 CURRENT SITUATION OF DAYCARE CENTER OF JULU SUBPROJECT ................................................. 21 FIGURE 5-1 INFORMATION NOTE ON CONSENT OF HOUSE LEASING FOR DAYCARE CENTERS IN SHE COUNTY ................................................................................................................................................................................ 23 FIGURE 5-2 REAL-ESTATE PROPERTY CERTIFICATE FOR RUNQINYUAN RESIDENCE COMMUNITY .......................... 24 FIGURE 5-3 CURRENT CONSTRUCTION OF RUNQINYUAN RESIDENCE COMMUNITY ............................................... 24 I 1 Overview 1.1 Background On June 6, 2017, the Asian Development Bank (ADB) approved a loan of $100 million for the Hebei Elderly Care Development Project (the Project). This loan is used to establish a three-tiered comprehensive old age care system. 1 The loan agreement was signed on 17 July 2017 and became effective on 26 October 2017. The project consists of six subprojects, of which, five are to build the three-tiered comprehensive old age care system covering a number of local counties and cities in Hebei Province, and one is a provincial subproject by Yanshan University (located in Qinhuangdao City, to the east of Hebei Province), which aims to strengthen the human resources of the elderly care department and conduct professional researches on relevant to the sector. The five counties and cities involved in the project are Shuangluan District of Chengde City, Li County and Xinji City (provincially governed) of Baoding City, Julu County of Xingtai City, and She County of Handan City. 1.2 Project Variation and Resettlement Due Diligence During the project preparation in 2017, 4 resettlement plans were prepared for the subprojects in Li County, She County, Xinji, Shuangluan District, and two due diligence reports for the subprojects in Julu County and Yanshan University. According to the preliminary design, 25 daycare centers will be constructed under 4 subprojects in Xinji City, Li County, Julu County, and She County. Compared to the feasibility study report, 23 daycare centers have changed their construction sites. The sites of Runqinyuan Residence Community daycare center2 in She County and Liushi Village daycare center3 will be constructed on same site that were identified at the feasibility stage. The DDR covers 23 of 25 daycare centers whose sites have been changed to examine the land or buildings to be used by the Project and verify whether there are any remaining issues or not and whether the corrective measures are to be taken. In addition, the current situation of two daycare centers whose sites are not changed are also screened and verified during the due diligence. The main reason for the changes is that the preparation of the project was completed in 2016, three years ago, and the original sites proposed for the daycare centers of subproject have been already been occupied for other uses and are no longer available for locating the proposed daycare centers. Following the variation, those 1 It comprises home-based care as the base, community care as a support and residential care as supplement. 2 As indicated in resettlement plan, this center will be constructed on the land owned by Runqingyuan Elderly Care Industry Development Company, Ltd., involving no land acquisition. (See Section 2 of Executive Summary, Page V) 3 This center will use the unoccupied properties of Liushi Central Health Center. As indicated in RP, the Liushi Central Health Center has been relocated, and its former properties are unoccupied, and are to be converted into a daycare center through consultation. (See Table 2.1, Page 6) 1 planned daycare centers which the sites are not same to those in this due diligence report (DDR) will not be constructed any longer. It was reported that variation of the planned daycare centers in Xinji County and Li County was initiated by the original shareholders who would contribute land or houses for construction of daycare centers due to land use plan adjustment. For Julu County, the Hebei Project Management Office (PMO) has informed the variation to the related agencies (villages) via telephone call. Although, the locations of daycare centers have been changed, the project activities are not changed. In addition, the responsibilities of related agencies and implementing agencies set in resettlement plans (RPs) shall be fulfilled. The main purposes of the DDR are to (i) confirm the site of 25 daycare centers; (ii) conduct due diligence review on the land acquisition and resettlement (LAR); (iii) verify compensation and payment towards LAR; (iv) review information disclosure and consultation during resettlement process; and (v) verify whether there are remaining issues and grievances regarding the land use and resettlement or not, and propose corrective action plans, if needed. According to investigation, it
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