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International Tropical Timber Organization INTERNATIONAL TROPICAL TIMBER ORGANIZATION ITTO PROJECT PROPOSAL TITLE: DEVELOPMENT AND TESTING OF NATIONAL FOREST STOCK MONITORING SYSTEM (FSMS) WITH IMPROVED GOVERNANCE CAPABILITIES AT ALL LEVELS OF THE FOREST ADMINISTRATION SERIAL NUMBER: PD 599/11 Rev.1 (M) COMMITTEE: ECONOMIC INFORMATION AND MARKET INTELLIGENCE SUBMITTED BY: GOVERNMENT OF THE PHILIPPINES ORIGINAL LANGUAGE: ENGLISH SUMMARY: The project will see the development and piloting of additional modules to the Philippines Forest Stock Monitoring System (FSMS) providing: (a) Chain of Custody management (including “back to stump” traceability) with improved data processing capabilities for validation and reconciliation of datasets along the supply chain; (b) Integrated Verification of Legal Origin (VLO) features related to the issuance and control of Certificate of Timber Origin (CTO) / Certification of Lumber Origin (CLO) used for royalty declarations; (c) An extension module to allow field data entry facilitating “on site” law-enforcement activities and auto-declaration; and (d) An online, flexible, multi-user interface. EXECUTING AGENCY: PHLIPPINES FOREST MANAGEMENT BUREAU (FMB) DURATION: 18 MONTHS BUDGET AND PROPOSED SOURCES OF FINANCING: SOURCE CONTRIBUTION IN US$ ITTO 497,930 GOVERNMENT 290,113 TOTAL 788,045 TABLE OF CONTENTS TABLE OF CONTENTS .......................................................................................................................................... II PROJECT BRIEF .......................................................................................................................................................1 CURRENT SITUATION ................................................................................................................................... 1 DEVELOPMENT AND SPECIFIC OBJECTIVES ................................................................................................... 1 BENEFICIARIES............................................................................................................................................ 1 ASSUMPTIONS AND RISKS............................................................................................................................ 2 METHODOLOGY........................................................................................................................................... 2 BUDGET...................................................................................................................................................... 2 LIST OF ABBREVIATIONS AND ACRONYMS....................................................................................................3 REFERENCES AND WEB-LINKS...........................................................................................................................4 MAP OF PROJECT AREA .......................................................................................................................................5 PART 1 PROJECT CONTEXT ..............................................................................................................................6 1.1. ORIGIN ..................................................................................................................................... 6 1.2. RELEVANCE .............................................................................................................................. 6 1.2.1. Conformity with ITTO’s objectives and priorities..................................................................... 6 1.2.2. Relevance to the submitting country’s policies....................................................................... 7 1.3. TARGET AREA ........................................................................................................................... 8 1.3.1. Geographic location ................................................................................................................ 8 1.3.2. Economic, social, cultural, and environmental aspects ........................................................ 10 1.4. EXPECTED OUTCOMES AT PROJECT COMPLETION...................................................................... 12 PART 2 PROJECT RATIONALE AND OBJECTIVES ....................................................................................13 2.1. RATIONALE ............................................................................................................................. 13 2.1.1. Institutional set-up and organizational issues....................................................................... 13 2.1.2. Stakeholder analysis............................................................................................................. 14 2.1.3. Problem analysis................................................................................................................... 15 2.1.4. Logical framework matrix...................................................................................................... 19 2.2. OBJECTIVES............................................................................................................................ 21 2.2.1. Development objective and impact indicators ...................................................................... 21 2.2.2. Specific objective and outcome indicators............................................................................ 21 PART 3 DESCRIPTION OF PROJECT INTERVENTIONS ............................................................................22 3.1. OUTPUTS AND ACTIVITIES ........................................................................................................ 22 3.1.1. Outputs.................................................................................................................................. 22 3.1.2. Activities................................................................................................................................ 22 3.2. IMPLEMENTATION APPROACHES AND METHODS ......................................................................... 23 3.3. WORK PLAN ............................................................................................................................ 25 3.4. BUDGET.................................................................................................................................. 26 3.4.1. Master budget schedule........................................................................................................ 26 3.4.2. Consolidated budget by component ..................................................................................... 29 3.4.3. ITTO budget by component .................................................................................................. 30 3.4.4. Executing agency budget by component.............................................................................. 30 3.5. ASSUMPTIONS, RISKS, SUSTAINABILITY ..................................................................................... 31 3.5.1. Assumptions and risks .......................................................................................................... 31 3.5.2. Sustainability......................................................................................................................... 31 PART 4 IMPLEMENTATION ARRANGEMENTS ............................................................................................33 4.1. ORGANIZATION STRUCTURE AND STAKEHOLDER INVOLVEMENT MECHANISMS.............................. 33 4.1.1. Executing agency and partners ............................................................................................ 33 4.1.2. Project management team.................................................................................................... 33 4.1.3. Project steering committee ................................................................................................... 34 4.1.4. Stakeholder involvement mechanisms ................................................................................. 34 4.2. REPORTING, REVIEW, MONITORING AND EVALUATION ................................................................ 34 4.3. DISSEMINATION AND MAINSTREAMING OF PROJECT LEARNING.................................................... 34 4.3.1. Dissemination of project results............................................................................................ 34 4.3.2. Mainstreaming project learning............................................................................................. 35 -ii- ANNEX 1. PROFILES OF THE EXECUTING AND COLLABORATING AGENCIES..............................36 ANNEX 2. TASKS AND RESPONSIBILITIES OF KEY EXPERTS PROVIDED BY THE EXECUTING AGENCY....................................................................................................................38 ANNEX 3. TERMS OF REFERENCE OF PERSONNEL AND CONSULTANTS AND SUB- CONTRACTS FUNDED BY ITTO..................................................................................................39 ANNEX 4. NATIONAL FORUM ON STRENGHTENING POLICIES AND OPPORTUNITIES FOR FOREST INVESTMENT IN THE PHILIPPINES .................................................................40 ANNEX 5. RECOMMENDATIONS OF ITTO EXPERT PANEL ...................................................................81 -iii- PROJECT BRIEF Current Situation Over the last 15 years, the Philippines Forest Management Bureau (FMB) has progressively implemented, with the assistance of the ITTO, a central Forest Information System (FIS) to assist with
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