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Project Administration Manual Project Administration Manual Project Number:50102 Loan and/or Grant Number(s): {LXXXX; GXXXX} July 2018 Kingdom of Cambodia: Second Urban Environmental Management in the Tonle Sap Basin Project ABBREVIATIONS ADB – Asian Development Bank ADF – Asian Development Fund AFS – audited financial statements AH – affected household AP – Affected Person CQS – consultant qualification selection DMF – design and monitoring framework EA – Executing Agency EARF – environmental assessment and review framework EMP – environmental management plan GACAP – governance and anticorruption action plan GDPW – General Department of Public Works GDR – General Department of Resettlement ICB – international competitive bidding IEE – initial environmental examination IPPF – indigenous people planning framework IRC – Inter-ministerial Resettlement Committee LAR – land acquisition and resettlement MEF – Ministry of Economy and Finance MOE – Ministry of Environment MOI – Ministry of Interior MLMUPC – Ministry of Land Management, Urban Planning and Construction MPWT – Ministry of Public Works and Transport NCB – national competitive bidding NGOs – nongovernment organizations O&M – operation and maintenance PAM – project administration manual PCA – procurement capacity assessment PCC – Provincial Coordinating Committee PDPWT – provincial departments of public works and transport PIU – project implementation unit PMIS – project management and implementation support PMU – project management unit PPMS – Project Performance Management System PSC – Project Steering Committee QBS – quality based selection QCBS – quality- and cost-based selection RP – resettlement plans SBD – standard bidding documents SOE – statement of expenditure SPS – Safeguard Policy Statement SWM – solid waste management TOR – terms of reference CONTENTS I. PROJECT DESCRIPTION 1 A. Summary 1 B. Impact and Outcome 1 C. Outputs 1 II. IMPLEMENTATION PLANS 2 A. Project Readiness Activities 2 B. Overall Project Implementation Plan 3 III. PROJECT MANAGEMENT ARRANGEMENTS 4 A. Project Implementation Organizations: Roles and Responsibilities 4 B. Key Persons Involved in Implementation 5 C. Project Organization Structure 6 IV. COSTS AND FINANCING 6 A. Cost Estimates Preparation and Revisions 6 B. Key Assumptions 6 C. Detailed Cost Estimates by Expenditure Category 7 D. Allocation and Withdrawal of Loan and Grant Proceeds 8 E. Detailed Cost Estimates by Financier 9 F. Detailed Cost Estimates by Expenditure Category and Output 11 G. Detailed Cost Estimates by Year 12 H. Contract and Disbursement S-Curve 13 H. Fund Flow Diagram 17 V. FINANCIAL MANAGEMENT 18 A. Financial Management Assessment 18 B. Disbursement 20 C. Accounting 22 D. Auditing and Public Disclosure 22 VI. PROCUREMENT AND CONSULTING SERVICES 23 A. Advance Contracting and Retroactive Financing 23 B. Procurement of Goods, Works, and Consulting Services 23 C. Procurement Plan 24 D. Consultant's Terms of Reference 24 VII. SAFEGUARDS 24 A. Environmental Safeguards 26 B. Social and Resettlement Safeguards 28 VIII. GENDER AND SOCIAL DIMENSIONS 32 IX. PERFORMANCE MONITORING, EVALUATION, REPORTING, AND COMMUNICATION 35 A. Project Design and Monitoring Framework 35 B. Monitoring 35 C. Evaluation 36 D. Reporting 36 E. Stakeholder Communication Strategy 37 X. ANTICORRUPTION POLICY 31 XI. ACCOUNTABILITY MECHANISM 31 XII. RECORD OF CHANGES TO THE PROJECT ADMINISTRATION MANUAL 31 LIST OF TABLES Table 1. Schedule of Project Readiness Activities Table 2. Project Implementation Plan Table 3. Escalation Rates for Price Contingency Calculation Table 4. Detailed Cost Estimates by Expenditure Category Table 5. Allocation and Withdrawal of Loan Proceeds Table 6. Allocation and Withdrawal of Grant Proceeds Table 7. Detailed Cost Estimates by Financier Table 8. Cost Estimates by Expenditure Category and Output Table 9. Summary Project Cost and Financing Plan Table 10. Detailed Cost Estimate by Year Table 11. Contract awards and disbursements for loan Table 12. Contract awards and disbursement for grant Table 13. Contract awards and disbursement for loan and grant (aggregate) Table 14. Financial Management Action Plan Table 15. Institutional Roles and Responsibilities for Environmental Safeguards Table 16. Institutional Roles and Responsibilities for Social and Resettlement Safeguards Project Administration Manual Purpose and Process The project administration manual (PAM) describes the essential administrative and management requirements to implement the project on time, within budget, and in accordance with the policies and procedures of the government and Asian Development Bank (ADB). The PAM should include references to all available templates and instructions either through linkages to relevant URLs or directly incorporated in the PAM. The Ministry of Public Works and Transport (MPWT) and Department of Public Works and Transport (DPWT) are wholly responsible for the implementation of ADB-financed projects, as agreed jointly between the borrower and ADB, and in accordance with the policies and procedures of the government and ADB. ADB staff is responsible for supporting implementation including compliance by MPWT and DPWT of their obligations and responsibilities for project implementation in accordance with ADB’s policies and procedures. At loan negotiations, the borrower and ADB shall agree to the PAM and ensure consistency with the loan agreement. Such agreement shall be reflected in the minutes of the loan negotiations. In the event of any discrepancy or contradiction between the PAM and the loan agreement, the provisions of the loan agreement shall prevail. After ADB Board approval of the project's report and recommendations of the President (RRP), changes in implementation arrangements are subject to agreement and approval pursuant to relevant government and ADB administrative procedures (including the Project Administration Instructions) and upon such approval, they will be subsequently incorporated in the PAM. I. PROJECT DESCRIPTION A. Summary 1. The project will improve urban environmental services in Battambang, Serei Saopohoan and Stung Saen, three of Cambodia’s provincial cities located around the Tonle Sap lake. The project will also improve institutional effectiveness to provide sustainable services and support an improved policy and planning environment for wastewater and solid waste management. B. Impact and Outcome 2. Impact: Sustainable, inclusive, equitable and resilient growth achieved. 3. Outcome: Urban services improved in participation cities C. Outputs 4. Output 1: Urban infrastructure improved. The project will finance (i) a new 4,800 cubic meters (m3)/day capacity WWTP, 87 kilometers (km) of new sewers and a 350,000 m3 landfill in Battambang; (ii) a new 2,300 m3/day capacity WWTP, 39 km of new sewers, 17 km drainage network and a 48,000 m3 landfill in Stueng Saen; and (iii) a new 2,500 m3/day capacity WWTP, 78 km of new sewers, 8.5 km drainage network and 130,000 m3 landfill in Serei Saophoan.1 It will also finance free house latrines for 760 poor households. The design of the WWTP, access roads, and drainage network will factor disaster and climate risk considerations. 5. Output 2: Institutional effectiveness improved. The project will strengthen institutional effectiveness through improving staff capacity in critical areas (including improved urban service delivery, O&M of urban facilities, public private partnerships and other institutional arrangements), supporting the establishment of urban service units, and dedicated consultant support for project management. 6. Output 3: Policy and planning environment improved. The project will develop urban development strategies and master plans for all three cities. It will develop a road map for financial sustainability for wastewater and solid waste (including a proposed road map and arrangement for tariffs, and mechanism for ensuring household connections). It will build community awareness on the benefits of proper sanitation and separate sewage systems and safe disposal of solid waste. 1 The service area for the sewerage network includes the core town areas in each city, covering 20%–30% of each city’s population. The project will finance free household connections to the sewer system (i.e., the line from the sewer to the boundary of the property). It also allocates financing for on-site plumbing (i.e., plumbing needed within the boundary of the property), which it will provide as a subsidy to identified poor households. The government may choose to recover all or part of this cost from the remaining households. The service area for solid waste covers 50%–75% of each city’s population. 2 II. IMPLEMENTATION PLANS A. Project Readiness Activities Table 1: Schedule of Project Readiness Activities 2018 Responsible Individual/Unit/Agency Indicative Activities Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan /Government Project implementation MPWT, PIUs arrangement established Advertisement of project management consulting ADB, MPWT service ADB Board approval ADB Completion of DED ADB, MPWT, PPTA and BDs for CW01 team Loan signing ADB, MEF Project included under MEF, MPWT the government budget Government legal MOJ opinion provided Loan effectiveness ADB, MEF ADB = Asian Development Bank, BD = bidding documents, DED = detailed engineering design, MEF = Ministry of Economy and Finance, MOJ = Ministry of Justice, MPWT = Ministry of Public Works and Transport, PIU = Provincial Project Implementation Units Sources: Asian Development Bank, Royal Government of Cambodia. 3 B. Overall Project Implementation
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