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Republic of the Marshall Islands

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Republic of the Marshall Islands Republic of the Marshall Islands THE PORTFOLIO BUDGET STATEMENTS FY2005 INFRASTRUCTURE DEVELOPMENT AND MAINTENANCE 1 1. Overview The Infrastructure and Maintenance Plan (IDMP) was finalized in November of 2003 and the Project Management Unit (PMU) was established in March 0f 2004. Beca Inc. of New Zealand, the same firm that prepared the IDMP, is managing the PMU. The PMU moved into the Ministry of Public Works in June of 2004 to better coordinate work with the various government ministries. For the medium-term, the current stream of capital funding for the main development sectors are identified in the following table. For FY05, a total of $13.41 is available for capital development, inclusive of $1.02 million from Ebeye Special Nees. A total of $1.30 is available for the Infrastructure Maintenance fund with half from Compact capital funds and half from the RMI General Fund. Table 1: Capital Fund Flows, FY04-07 $s millions, Source: RMI MTBIF FY04 FY05 FY06 FY07 Total Capital Fund (investment+maintenance) 21.40 21.06 23.12 24.18 Capital Inv. (Compact Capital Portion) 13.00 12.39 12.43 12.47 Ebeye Special Needs (Capital) 1.00 1.02 1.04 1.06 ROC (Capital Account as of '04) 6.00 7.00 7.00 7.00 Total Asset Maint. ( ½ Compact+ ½ GF) 1.40 1.30 1.31 1.31 Chart 1: IDMP Flows FY04-FY07 25 Total asset maintenance 20 ROC (Capital Account as of 15 '04) 10 Ebeye Special Needs (Capital) $s millions 5 0 Capital Inv. (Compact Capital Portion) FY04 FY05 FY06 FY07 The majority of capital development and maintenanc will continue to be aimed at the education sector (78 percent). Health will be the second main sector (19.6 percent). Two projects will continue on Ebeye: power and water improvements and sewer maintenance. In addition, Ebeye Special Needs funds will be used for education and health projects. The focus on education and health is similar to the emphasis of the other Compact sector grant allocations as the government continues to focus on these priority sectors to improve human resource capacity and living standars. The objective of the Ebeye projects is to continue to invest in infrastructure that will immediately impact living and health standard improvements. Table 2 provides a breakdown of funding. 2 Table 2: Breakdown by Sector and Major Projects, FY04-06 COMPACT CAPITAL ACQUISITION/MAINTENANCE BUDGETARY COSTS DISBURSEMENT PER FISCAL YEAR Project Description TOTAL 2004 2005 2006 EDUCATION Jaluit High School (JHS) $ 7,382,150.00 $ 5,810,900.00 $ 1,571,250.00 Northern Island High School (NIHS) $ 4,063,750.00 $ 1,405,000.00 $ 2,658,750.00 Rita Elementary School (RES) $ 2,410,000.00 $ 1,200,000.00 $ 1,210,000.00 Uliga Elementary School (UES) $ 3,738,750.00 $ 3,738,750.00 Marshall Islands High School (MIHS) $ 6,582,500.00 $ 1,832,500.00 $ 4,750,000.00 Laura High School (LHS) $ 2,015,625.00 $ 760,125.00 $ 1,255,500.00 Rairok Elementary School (RaES) $ 2,023,500.00 $ 2,023,500.00 Ebeye Elementary School (EES) $ 3,419,250.00 $ 1,088,750.00 $ 2,330,500.00 Delap Elementary School (DES) $ 445,000.00 $ 445,000.00 Ebeye High School (EHS) $ 3,677,500.00 $ 3,677,500.00 CMI Information Network Improvement $ 184,506.00 $ 184,506.00 CMI Capital Improvements $ 139,888.00 $ 139,888.00 Maintenance Programs $ 1,705,000.00 $ 560,000.00 $ 745,000.00 $ 400,000.00 SUB-TOTAL $ 37,787,419.00 $ 11,892,919.00 $ 11,532,500.00 $ 14,362,000.00 HEALTH Majuro Hospital Equipment $ 1,901,910.00 $ 827,410.00 $ 1,074,500.00 Outer Island Dispensaries $ 1,125,000.00 $ 490,000.00 $ 635,000.00 Ebeye Hospital Equipment $ 570,000.00 $ 570,000.00 Ebeye Hospital Repair $ 914,671.00 $ 429,671.00 $ 485,000.00 Maintenance Programs $ 2,040,000.00 $ 640,000.00 $ 700,000.00 $ 700,000.00 SUB-TOTAL $ 6,551,581.00 $ 2,957,081.00 $ 2,894,500.00 $ 700,000.00 OTHER SECTORS Ebeye Power & Water Improvements $ 350,000.00 $ 350,000.00 Ebeye Sewer Maintenance $ 485,000.00 $ 200,000.00 $ 285,000.00 SUB-TOTAL $ 835,000.00 $ 550,000.00 $ 285,000.00 $ - TOTAL ALLOCATED $ 45,174,000.00 $ 15,400,000.00 $ 14,712,000.00 $ 15,347,000.00 TOTAL COMPACT CAPITAL OUTLAY $ 44,887,160.00 $ 15,400,000.00 $ 14,712,000.00 $ 14,775,160.00 SURPLUS/DEFICIT $ (286,840.00) $ - $ - $ (571,840.00) Need bottom line for table 2. Education Sector Projects Education is the priority sector targeted by Compact funds. In addition to significant increases in development and operating funding, education will also receive the largest portion of infrastructure development and maintenance funding. Below are descriptions of each project. Please note that several projects are continuations from FY04. For these relevant projects, the status of the project is indicated. A. Rita Elementary School – 541 Students Situation Analysis This school was opened in the early 1960’s with aluminum buildings (brought from Enewetak when nuclear weapons testing ended) used to provide classrooms. These 3 buildings are now well beyond their useful life spans. These buildings have holes throughout the walls and ceilings. These holes compromise security at night as well as let in rain. The electrical and lighting systems are now beyond feasible repair as a result. However because this is a rather large site it is planned to construct 8 extra classrooms first. This will help to relieve the enrollment pressure on Uliga Elementary School. This will accommodate approximately half of the Uliga students. Once the new Uliga Elementary School is completed, students from the existing Rita school will then move into the buildings and demolition of the old Enewetak building will commence, followed by construction of new classrooms. This is viewed as a very critical project because of the relationship with the reconstruction of Uliga Elementary School. General Description of Condition Varying condition. Buildings 1 and 2 are generally average to good condition (building 2 was recently renovated). The two aluminum buildings (Enewetak buildings) used for classrooms and the main office are in very poor condition. General Description of Expected Performance Phase 1 – FY 04 - $1,230,000 Construction of two 4 – classroom buildings Phase 2 – FY 05 - $1,210,000 1. Demolition of Enewetak building 2. Construction of two 4 – classroom buildings Progress Indicators 1. A/E Design Production - Completed April 2004 2. Bidding • Phase 1 – Completed June 2004 • Phase 2 – Completed March 2005 3. Construction Progress Phase 1 • Construction of two 4 classroom buildings completed March 2005 Phase 2 • Demolition of Building #3 completed June 2005 • Completion of two 4 classroom buildings completed September 2005 Expected Results/Outcomes Upon completion of Phase 1, the work on the reconstruction of Uliga Elementary School can begin and most of the Uliga students will occupy the new classrooms. When Phase 2 begins, Uliga School will be completed allowing those students to move back. The construction of these new classrooms will significantly improve the learning environment as students are moved out of the old Enwetak buildings. The classrooms will be brighter and cooler than is currently the case. B. Marshall Islands High School – 826 students Situation Analysis The Marshall Islands High School (MIHS) opened for school enrollment in 1963. Several of the original buildings (Career and Business buildings) are still in use despite their very poor condition. In 2002, a 14-classroom building was demolished as it was exhibiting many of the same structural problems evident at Jaluit High 4 School. A new smaller 8-classroom building is to occupy this site on the campus. A two-story vocational education building is also in very poor condition and will be demolished and replaced with three classroom buildings. The multi-purpose classroom building will be used for computer, sewing and science classes. This will be next to two new 8-classroom buildings. These three buildings will be constructed on the site currently occupied by the two-story vocational building. The Career and Business buildings will also be demolished to further clear the site. Plans are also in development for a library that will be used jointly with the Middle School, which is also on this site. With the cooperation of the Asian Development Bank a block of five new classrooms was just completed next to the Business building, along with the first 8 Classroom building. This will provide some of the space needed in order for Phase 2 of this project to commence. General Description of Condition Average to very poor General Description of Expected Performance Phase 1 – FY 04 - $1,882,500 Construction of one 8-classroom building Phase 2 – FY 05 - $4,750,000 1. Demolition of vocational building 2. Construction of multi – purpose classroom building 3. Construction of two 8 classroom buildings 4. Demolition of Career and Business buildings Progress Indicators 1. A/E Design Production – Completed July 2004 2. Bidding • Phase 1 – Completed July 2004 • Phase 2 – Completed May 2005 3. Construction Progress Phase 1 • Construction of 8 classroom building completed May 2005 Phase 2 • Demolition of Vocational Building completed June 2005 • Construction of Multi purpose classroom building completed February 2006 • Construction of two 8 classroom buildings completed February 2006 • Demolition of Career and Business buildings completed February 2006 Expected Results/Outcomes Completion of Phase 1 will provide some urgently needed classroom space, space that was lost when MOE had to demolish a 14-classroom building. Upon completion of Phase 2 MIHS will be able to meet the needs of approximately 900 students with 25-27 students per class.
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