Resettlement Plan

August 2013

PRC: Chongqing Urban–Rural Infrastructure Development Demonstration II Project

Prepared by Chengkou County Traffic Development Corporation for the Asian Development Bank. This is a revised version of the draft originally posted in April 2013 available on http://www.adb.org/sites/default/files/projdocs/2013/45509-002-prc-rp-01.pdf

CURRENCY EQUIVALENTS (as of 5 August 2013) Currency unit – Chinese yuan (CNY) CNY1.00 = $0.1631 $1.00 = CNY6.1294

ABBREVIATIONS ADB – Asian Development Bank AAOV – average annual output value AP – Affected Person AH – Affected Household CCLRB – Chengkou County Land Resource Bureau DMS – Detailed Measurement Survey FSR – Feasibility Study Repor GRM – Grievance redress mechanism HD – House Demolition IA – Implementation Agency M&E – Monitoring and Evaluation PMO – Project Management Office RIB – Resettlement Information Booklet RP – Resettlement Plan PRC – People’s Republic of China

WEIGHTS AND MEASURES ha – hectare mu – 666.7 m2 km – kilometer

NOTE In this report, "$" refers to US dollars.

This resettlement plan 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.

ADB-financed Chongqing Urban-Rural Infrastructure Development Demonstration II Project

Chengkou Urban-Rural Road Network Improvement

Resettlement Plan

Chengkou County Traffic Development Corporation Chongqing, China 4 March 2013

CONTENTS

Executive Summary ...... 8 A Project Description ...... 8 B. Scope of Land Use ...... 8 C. Information Disclosure, Participation and Appeal ...... 8 D. Legal Framework and Compensation Rates ...... 8 E. Resettlement and Income Restoration ...... 9 F. Estimates and Management of Resettlement Cost ...... 9 G. Organization and Implementation Schedule ...... 10 H. Monitoring and Evaluation ...... 10 1 Project Description ...... 11 1.1 Foreword ...... 11 1.2 Basis for Project RP Preparation ...... 11 1.3 Project Description ...... 12 1.4 Measures to Reduce Project Impact ...... 12 2 Scope of Land Acquisition, House Demolition and Resettlement ...... 14 2.1 General Situation of Impacts ...... 14 2.2 Project Impact ...... 14 2.2.1 Permanent Land Acquisition ...... 14 2.2.2 Temporary Land Occupation ...... 15 2.2.3 House Demolition and Impact Analysis ...... 16 2.2.4 Affected Vulnerable Groups ...... 16 2.2.5 Affected Ethnic Groups ...... 17 2.2.6 Ground Attachments ...... 17 3 Socioeconomic Survey ...... 19 3.1 Socioeconomic Profile of Chengkou County ...... 19 3.2 Socioeconomic Profile of the Affected Towns ...... 19 3.3 Socioeconomic Profile of the Affected Villages and Groups ...... 20 3.4 Socioeconomic Status of the Affected Households ...... 20 3.4.1 Statistics of Population Features of APs ...... 21 3.4.2 Possession of Cultivated Land ...... 22 3.4.3 Financial Analysis ...... 23 3.4.3.1 Distribution of Household Income Level ...... 23 3.4.3.2 Analysis of Women’s Income ...... 23 3.4.3.3 Status of revenue and expenditure ...... 24 3.4.4 Main Economic Activities ...... 25 4 Public Participation and Appeal Mechanism ...... 26 4.1 Public Participation Plan ...... 26 4.1.1 Status of the Completed Public Participation ...... 26 4.1.2 Next Stage Public Participation Plan ...... 29

4.2 Appeal Mechanism...... 31 5 Legal Framework and Resettlement Policies...... 33 5.1 Principle of Resettlement ...... 33 5.2 Applied Laws and Regulations ...... 33 5.3 ADB’s Policy Requirements on Involuntary Resettlement...... 34 5.4 Policy Gaps ...... 35 5.5 Compensation Rates ...... 36 5.5.1 Compensation Rates of Permanent Land Acquisition ...... 36 5.3.2 Compensation Rates of Temporary Land Occupancy ...... 37 5.3.3 Compensation Rates of Rural Houses ...... 37 5.3.4 Compensation Rates of Ground Attachments ...... 38 5.4 Qualification for Getting Compensation and Entitlement Matrix ...... 39 6 Program of Restoring APs’ Production and Livelihood ...... 44 6.1 Objectives and Principles of Land Use Compensation and Resettlement ...... 44 6.2 Plan of Income Restoration ...... 44 6.2.1 Replacement Land ...... 44 6.2.2 Utilization of Compensation of Villages...... 45 6.2.3 Skill Training of the APs ...... 45 6.2.4 Employment Driven by the Project ...... 46 6.3 Relocation Program of Rural House Demolition ...... 46 6.4 Resettlement of Vulnerable Groups ...... 47 6.5 Restoration of the Land Occupied Temporarily ...... 47 6.6 Restoration of Affected Ground Attachments ...... 47 7 Estimates and Management of Resettlement Cost ...... 48 7.1 Resettlement Budget ...... 48 7.2 Funding Sources...... 49 7.3 Fund Flow and Disbursement Plan ...... 50 7.3.1 Fund flow ...... 50 7.3.2 Disbursement Plan...... 50 8 Organizational Structure ...... 52 8.1 Executive Agency ...... 52 8.2 Resettlement Implementing Agency ...... 52 8.3 Agency responsibilities ...... 53 8.4 Staffing and Facility of Resettlement Agencies ...... 55 8.4.1 Facility Allocated ...... 56 8.4.2 Plan ...... 56 9 Implementation Schedule ...... 57 10 M&E and Reporting System ...... 60 10.1 M&E ...... 60 10.2 Internal Monitoring ...... 60 10.2.1 Implementing Procedures ...... 60

10.2.2 Monitoring content ...... 60 10.2.3 Internal Monitoring Report ...... 60 10.3 External Independent Monitoring ...... 60 10.3.1 Purposes and Tasks ...... 60 10.3.2 Independent Monitoring Agency ...... 61 10.3.3 Steps and Contents of Monitoring ...... 61 10.3.4 Monitoring Indicators ...... 62 10.3.5 External Monitoring Report...... 62 Appendix 1: Related Laws and Regulations ...... 64 Appendix 2: Resettlement Information Booklet (RIB) ...... 69

Contents of Tables Table 1- Status of Scheme Comparison ...... 13 Table 2-Impact of Permanent Land Use ...... 14 Table 3-Information on Lost Cultivated Land ...... 15 Table 4-Impact of Temporary Land-Occupancy ...... 15 Table 5-Structure, Use and Area of the Demolished Houses...... 16 Table 6-Impact on Vulnerable Groups...... 17 Table 7-Ground Structures (Attachments) and Fruit Trees ...... 17 Table 8-Basic Information on the Affected Towns ...... 20 Table 9-Basic Information on the Affected Villages ...... 20 Table 10-Proportion of Sample Survey ...... 21 Table 11-Population Features of Surveyed Households ...... 21 Table 12-Per Capita Cultivated Land Possession of Affected Villages/Groups ...... 23 Table 13- Distribution of Household Income Level ...... 23 Table 14- Women’s Income Ratio in the Household Income ...... 24 Table 15-Structure of Annual Income & Expenditure ...... 24 Table 16-Information on Public Participation Activities ...... 28 Table 17-Public Participation in Suggestion and Solution Measures ...... 29 Table 18-Next Stage Public Participation Plan ...... 29 Table 19-Contact Persons in Charge of Appeal Channels in All Steps ...... 32 Table 20- Compensation Rates of Permanent Land Use ...... 36 Table 21- Compensation Rates of House Demolition ...... 38 Table 22- Compensation Rates of the Affected Ground Attachments ...... 38 Table 23-Entitlement Matrix...... 40 Table 24-Basic Information on Reserved Land and Land Improved ...... 44 Table 25- Training to Be Provided by Local Government ...... 46 Table 26-Fund Budget Sheet ...... 48 Table 27- Staffing of Resettlement Agencies ...... 55 Table 28- Schedule of the Resettlement Activities…………………………………………………………………. 57 Table 29-Schedule of Monitoring and Evaluation ...... 63

Contents of Figures Figure 1-Layout Plan of Yanhe -Shuanghe Highway ...... 12 Figure 2-Channel of Appeal ...... 32 Figure 3- Fund Flow Chart ...... 50 Figure 4-Organization Chart of Resettlement Implementing Agency ...... 53

ABBREVIATIONS

ADB - Asian Development Bank AAOV - average annual output value AP - Affected Person AH - Affected Household CCLRB - Chengkou County Land Resource Bureau DMS - Detailed Measurement Survey FSR - Feasibility Study Repor GRM - Grievance redress mechanism HD - House Demolition IA - Implementation Agency M&E - Monitoring and Evaluation PMO - Project Management Office RIB - Resettlement Information Booklet RP - Resettlement Plan PRC - People’s Republic of China CNY - Chinese yuan

Units 1 hectare = 15 mu

Executive Summary

A. Project Description

1. The Urban & Rural Road-Network Reconstruction Subproject, Chengkou County is a subproject of ADB-Fianced Chongqing Urban and Rural Infrastructure Development II Project. Construction site of this subproject starts from Yinghong Village of Yanhe Town (original Zhongxi Town), and ends at Xiaoshuiba Village of Shuanghe Town. The whole subproject is 10.188 km long,

B. Impacts

2. This subprojects will permanently acquire 490.80 mu of rural collective land, including 64.89 mu of cultivated land, 11.4 mu homestead, 187.36 mu woodland and 227.15 mu barren land, affecting totally 4 villager groups of 2 villages in Chengkou County’s 2 towns, involved with 630 persons of 168 households; It will also temporarily occupy 68 mu of land, including 11 mu of cultivatied land and 57 mu uncultivated land, producing an impact on 114 person of 28 households in 2 villages of 2 towns; 7,360 m2 of premises will be demolished, all beongs to mustic home. From aspect of house structure, they are split into reinforced concrete (370 m2), brick-concrete (2,050 m2), brick-timber (4,380 m2) and earth-timber structure (560 m2), which will affect 2 groups of 2 villages, involved with155 persons in 38 households.

C. Information Disclosure, Participation and Appeal

3. All the affected households, villages and communities, village leaders and town and township and county governments were involved in the project impact and socioeconomic survey. On various occasions during meetings, interviews, focus group discussions, public consultation workshops, and community consultation meetings, local representatives and affected persons participated in the planning and their concerns have been integrated into the resettlement plans. 13 consultation meetings with the 310 APs were held at the village committee office from November 2011 to October 2012. Before implementation, the PMOs, implementing units and village leaders will further discuss and consult with the affected persons’ to ensure affected persons’ interests are protected and to provide employment opportunities for the affected persons’ livelihoods as a result of project implementation. County governments will disclose the resettlement plans in community and village offices. The resettlement plans will also be posted on ADB’s website and resettlement information booklets will be distributed to affected households by February 2013. The information booklet contains the resettlement scope, project schedule, compensation rates for land and other assets, relocation and economic rehabilitation strategies, and grievance redress mechanisms.

4. When grievances arise, the affected persons may submit an oral or written complaint first to the village committee. If the village committee cannot solve the issue, it can be taken to the township government. If the grievance is still unresolved, they can seek redress at the county land administration bureau. A response to the appeal must be made within 2 weeks. If any affected person is not satisfied with the response or if the complaint is of a serious nature, the Chengkou PMO will try to solve the problem. Alternatively, the APs may file an action in a civil court in accordance with the Civil Procedure Law of the PRC at any time irrespective of the use and progress of the GRM process.

D. Legal Framework and Compensation Rates

5. Compensation for permanent land loss is based on the Land Administration Law of PRC

(2004) and the State Council Decision to Deepen Reform and Strictly Enforce Land Administration (Document 28 dated November 2004) and Regulation on Land Administration in Chongqing, the circular from the People's Government of Chongqing Municipality on Issues Regarding adjusting the Policy of Land acquisition Compensation and Resettlement (YFF [2008] 45) and Notice of Related Matters on the Adjustment of the Land Compensation and Resettlement Policy of Chengkou County Government (CHENG FU FA [2008] No. 33 Document). These policies provided essential guidelines for resettlement plan preparation. The resettlement plans comply with PRC laws and regulations of resettlement and ADB’s Safeguard Policy Statement (2009). The resettlement principles established for the project are: (i) land acquisition and involuntary resettlement should be avoided or minimized where feasible by developing and comparing design alternatives; (ii) compensation and entitlements provided are based on replacement costs and must be adequate to allow those affected to at least maintain their pre-project standard of living, with the prospect of improvement; (iii) the land temporarily occupied and the period of disruption are to be minimized; (iv) all affected persons, legal and illegal, are to be considered and accounted for; (v) the per capita landholding after land acquisition should be sufficient to maintain previous livelihood standards; (vi) where land allocation per capita is not sufficient to maintain previous livelihood standards, other income-generating activities will be provided for; (vii) a preferential policy will be provided to vulnerable groups in such things as compensation, creation of special funds, minimum living guarantees, and employment; (viii) all affected persons will be adequately informed about eligibility, compensation rates and standards, livelihood and income restoration plans, and project timing; (ix) displacement will not occur until after full compensation has been paid and other entitlements provided; (x) the resettlement budget shall be enough to cover all impacts that are caused by project construction; and (xi) close monitoring and timely actions will be conducted to identify and resolve any problems.

E. Resettlement and Income Restoration

6. Land acquisition and house demolition compensation rates will be implemented pursuant to the Notice of Related Matters on the Adjustment of the Land Compensation and Resettlement Policy of Chengkou County Government (CHENG FU FA [2008] No. 33 Document) and ADB’s Involuntary Resettlement Policy. The land compensation fees and resettlement subsidy which is 35 times of the AAOV will be paid to village collectives, which will be used for developing the collective economy and making arrangement for production and livehood of members of the collective economic organization. Each village will discuss and decide way of using compensation funds by holding villagers’ meetings. Replacement land with same quality will be provided to the affected farmers. Income restoration measures include: providing job opportunities in the stage of project construction and operation; developing commerical crops with high economic value; promoting and developing the secondary and tertiary industries; providing technical training of the affected people so as to enhance their skills, etc. For rural housing demolition, cash compensation wiil be paid based on replacement cost and agreed between the demolisher and displaced persons on this basis after a field appraisal by a real estate appraisal and surveying company. And the house plots will be provided by the villages.

F. Estimates and Management of Resettlement Cost

7. Total resettlement costs of this subproject are CNY12.3363 million.

G. Organization and Implementation Schedule

8. Project implementation agency is Chengkou District Land Resources Bureau, which is liable for specific implementation of resettlement of this project, including preparation and coordination in early stage of preparing resettlement report, resettlement work in the process of the project execution and monitoring, and evaluation in the later stage of the project implementation, etc. In all affected towns/townships and village committees, specially-assigned persons will be dispatched to perform coordination of resettlement.

H. Monitoring and Evaluation

9. M&E comprises internal monitoring and external monitoring, where, internal monitoring insures that all responsible departments will strictly perform implementation pursuant to the principle of RP and schedule. And external M&E will be performed regularly and independently by an external monitoring agency, which will regularly report to Chongqing PMO, and propose recommendations for solving problems arising in the process of the resettlement so that activities of the resettlement will be carried out smoothly.

1 Project Description

1.1 Foreword 1. This RP has been prepared pursuant to Safeguard Policy Statement (2009) Safeguard Requirement 2: Involuntary Resettlement of Asian Development Bank (referred to as ADB hereinafter), the laws and regulations of the People's Republic of China, and the related land acquisition policies of Chongqing Municipality and Chengkou County Government. This plan provides an overview of these policy frameworks, and proposes effective measures to reduce the negative impact posed by the project based on a series of activities with public participation and adequate consultation.

2. For the Chinese government and ADB, the primary purpose of an RP is to ensure that the living standards of those losing land or properties can restore their living standards to or even better than before the project scenario.

1.2 Basis for Project RP Preparation 3. Basis for preparation of this RP is as follows:

(i) ADB Safeguard Policy Statement (2009) Safeguard Requirements 2: involuntary resettlement; (ii) Laws and regulations of the PRC; (iii) Local laws & regulations and policies of Chongqing and Chengkou County; (iv) Reports of project design and evaluation: FSR of the project and environmental impact evaluation report; (v) Field survey of the project site; (vi) In-depth interview with related staff of Chengkou County and those who are working in the towns, villages and groups involved in the Project; (vii) A sample survey of the APs on their socioeconomic conditions and willingness of compensation and resettlement for land acquisition in November 2011; (viii) Local approval documents adopted by the affected village committees and villager groups; (ix) Interview with representatives of the APs in the 2 villages, and these representatives were recommended by the APs themselves; (x) Discussions with the officials in relevant towns and bureaus; and (xi) Interview with the vulnerable groups such as the poor population.

4. The engineering data in this RP is from the Feasibility Study Report. This RP and RIB have been disclosed in local language and distributed to the APs, and it will be disclosed on ADB’s website before Management Review Meeting. Before ADB’s management review meeting, the Chengkou County Government will issue a letter of commitment for this RP. In addition, this RP will be updated and finalized on the basis of the detailed measurement survey (DMS) and census of APs. The final RP will be submitted to ADB for review and approval prior to contract awards.

1.3 Project Description

5. It is a subproject of ADB-Fianced Chongqing Urban and Rural Infrastructure Development II Project. Construction site of this subproject starts from Yinghong Village of Yanhe Town (original Zhongxi Town), and ends at Xiaoshuiba Village of Shuanghe Town. It is a new construction subproject, and the run of the road is shown in Figure 1. The provision of a rural Class 4 road of 10188 meters for these townships is in line with the overall transport network planning. It will also help in promoting the economic growth of Chengkou County.

Figure 1: Layout Plan of Yanhe -Shuanghe Highway

1.4 Measures to Reduce Project Impact 6. At the design stage, the Chengkou PMO and the design agency optimized the subproject design to minimize land occupation and house demolition, and impacts on the economy and people’s lives. Status of scheme comparison is shown in Table 1.

Table 1: Status of Scheme Comparison Content of Comparison Scheme 1 Scheme 2 1. Total length of the highway is 10,188 1. Total length of the highway is m; 28,187m; 2. Permanent land occupancy of 490.80 2. Permanent land occupancy of mu; affecting 630 persons of 168 1,794.75 mu; affecting 2,190 persons households; of 478 households; Comparison Impacts 3. Demolition of rural residential houses 3. Demolition of rural premises of of 7,360m2 will have impact on 155 14,320m2 will affect 351 persons of persons of 38 households; 87 households; 4. Temporary land occupancy of 68 mu 4. Temporary land occupancy of 180 will affect 114 persons of 28 mu will have an impact on 592 households. persons of 145 households. Resettlement Cost CNY12.3362 million CNY30.2584 million Highway length in Scheme 1 will be 17,999 m shorter than that in Scheme 2; then 1,303.95 mu of permanent land occupancy will be reduced, with impact on 1,560 persons of 310 households being reduced; 112 mu of temporary land occupancy Results of will be decreased such that impact on 488 persons of 117 households will be Compariosn-Selection reduced, with 6,960m2 of hosue demolition being cut down and impact on 296 persons of 49 households reduced. CNY17.9222 million of resettlement costs will be reduced. Scheme Comparison Scheme 1 is Recommended

2 Scope of Land Acquisition, House Demolition and Resettlement

2.1 General Situation of Impacts 1. According to the FSR, the subproject will permanently acquire 490.80 mu of rural collective land, including 64.89 mu of arable land, and 425.91 mu uncultivated land, which will affect Chengkou county’s 2 townships, involved with 4 villager groups of 2 villages, a total of 630 persons in 168 households; Temporary land occupancy will be 68 mu, including 12 mu of cultivated land and 57 mu uncultivated land, affecting Chengkou county’s 2 villages of 2 towns, involved with a total of 114 persons in 28 households; Rural residential houses with area of 7360 m² will be demolished, all belonging to rural premises. In tems of house structure, they are split into reinforced concrete structure (370 m² ), brick-concrete structure (2050 m²,) brick-timber structure (4380m2 ) and earth-timber structure (560m2), having influence on the county’s 2 groups of 2 villages, involved with a total of 155 persons in 38 households.

2.2 Project Impact

2.2.1 Permanent Land Acquisition 2. 490.80 mu of rural collective land will be permanently expropriated, including 64.89 mu of cultivated land, 11.4 mu homestead, 187.36 mu forest land and 227.15 mu wasteland, affecting 4 villager groups of 2 villages in 2 towns, a total of 630 persons in 168 households. Details of permanent land use and impact are shown in Table 2.

Table 2: Impact of Permanent Land Use Area of Land Acquisition Cultivate Home Forest Waste Town Village Group AH AP Subtotal d Land stead Land Land Yinghong Group 4 39 148 137.35 17.55 3.2 51.35 65.25 Yanhe Village Group 6 32 114 114.35 16.15 3 42.45 52.75 Town Subtotal 71 262 251.7 33.7 6.2 93.8 118 Xiaoshuiba Group 1 63 240 108.85 17.15 2 41.55 48.15 Shuanghe Village Group 4 34 128 130.25 14.04 3.2 52.01 61 Town Subtotal 97 368 239.1 31.19 5.2 93.56 109.15 Total 168 630 490.8 64.89 11.4 187.36 227.15 Data Source: Feasibility Study Report.

3. Some forest land in the village was allocated to the farmers to protect the forest. But, the farmers are not allowed to sell the trees. Land acquisition will not affect the farmer’s income. After forest land acquisition, the village will allocate the same area to them. These 24 HHs will not have income loss.

4. In this subproject, there are 144 households whose cultivated land will be affected, of which 79 households (54.86%) will lose less than 10% of the cultivated land, 52 households (36.11%) will

lose 11%-20% of the cultivated land, and 13 households (9.03%) will lose 21%-30% of the cultivated land. According to the socioeconomic survey data, agricultural income accounts for 8% of the household income so all AHs will only loose less than 2.4% of its income.

Table 3: Information on Lost Cultivated Land Proportional distribution of land loss of farmers with land-acquisition in the project (Household) Town Village Group AH <10% 10%~20% 20%~30% 30%~50% >50% Yinghong Group 4 34 13 16 5 0 Yanhe Village Group 6 24 12 10 2 Town Subtotal 58 25 26 7 0 0 Xiaoshuiba Group 1 53 33 16 4 Shuanghe Village Group 4 33 21 10 2 Town Subtotal 86 54 26 6 0 0 Total 144 79 52 13 0 0 Proportion in Total Households 54.86% 36.11% 9.03% 0.00% 0.00%

2.2.2 Temporary Land Occupation 5. The temporarily land occupancy of this project includes waste slag site, construction access road and material stacking sites, etc, which will temporarily occupy 68 mu of land, including 11 mu of cultivated land and 57 mu of uncultivated land, producing an impact on 114 person of 28 households living in 2 villages of 2 towns. For the specifics, see Table 4.

Table 4: Impact of Temporary Land-Occupancy Temporarily occupied rural collective land (mu) APs Cultivated Forest Barren Town Village Group Subtotal Land land mountain Others HHs. Person Yinghong Group 4 13 1 5 5 3 4 17 Yanhe Village Group 6 15 2 4 7 3 5 22 Town Subtotal 28 3 9 12 6 9 39 Xiaoshuiba Group 1 18 3 7 6 2 8 33 Shuanghe Village Group 4 22 5 8 8 1 11 42 Town Subtotal 40 8 15 14 3 19 75 Total 68 11 24 26 9 28 114 Data Source: Feasibility Study Report.

2.2.3 House Demolition and Impact Analysis 6. Total demolished area of housing in this subproject will be 7,360 m2, all are rural houses. From the housing structure, they can be split into reinforced concrete structure (370 m2), brick-concrete structure (2,050m2), brick-timber structure (4,380 m2), earth-timber structure (560 m2); from housing purposes, divided into main room (3,790m2) and attached room (390m2). Housing demolition will affect 2 groups in 2 villages, involving totally 155 persons of 38 households. For the specific status, see Table 5.

7. Among the 38 households, there are 8 HHs will only loose some attached room and and the main residential houses will not be affected by the project. Accordingly, only 30 households need to be relocated.

Table 5: Structure, Use and Area of the Demolished Houses

Use and Area

Structure and Area of Houses (m²) of Houses (m²)

Reinforced Brick- Brick- Earth- Main Attached Town Village Group AH AP Total concrete Concrete Timber Wood Room Room Yinghong Group 4 10 39 2,000 150 650 950 250 1,880 120 Yanhe Village Group 6 9 36 1,900 0 500 1,300 100 1,800 100 Town Subtotal 19 75 3,900 150 1,150 2,250 350 3,680 220 Xiaoshuiba Group 1 7 29 1,340 100 250 880 110 1,290 50 Shuanghe Village Group 4 12 51 2,120 120 650 1,250 100 2,000 120 Town Subtotal 19 80 3,460 220 900 2,130 210 3,290 170 Total 38 155 7,360 370 2,050 4,380 560 6,970 390

2.2.4 Affected Vulnerable Groups 8. According to the socioeconomic survey, the vulnerable groups to be affected include 5 persons of 3 households with the aged as the main labor; 13 persons of 4 household with women as the main laborers; 1 severe case; and 28 persons of 6 poverty-stricken households. Totally 50 vulnerable persons of 14 households will be affected. Total area of acquired land of the families of the vulnerable groups will be 6 mu, with HD area of 270 m2 (brick-timber structure). For the specifics, see Table 6.

Table 6: Impact on Vulnerable Groups The aged Severe Poverty- as the main Women as the Case stricken labor force main labor force Family Family Area of House House House House Land HD hold Hold Hold Hold Acquisition Area Town Village Group No. Person No. Person No. Person No. Person (mu) (m2) Yanhe Yinghong Group 4 1 3 2 9 2 120 Town Village Group 6 1 2 2 7 1 4 3 13 1 Group 1 1 1 1 3 1 150 Xiaoshuiba Shuanghe Village Town Group 4 1 2 1 6 2 Total 3 5 4 13 1 4 6 28 6 270 Data source: The socioeconomic survey conducted in November 2011.

2.2.5 Affected Ethnic Groups 9. This subproject does not involve impact on population of ethnic groups.

2.2.6 Ground Attachments 10. The attachments affected by this project primarily include the enclosing wall, small flat ground and enclosed sheds, etc.; the public facilities comprise electrical poles, wires and cables, etc., and ground attachments encompass trees and graves and so on. For the specifics, see Table 7.

11. 10 tombs will be affected by the project, and most of them were built 20 years ago, which are not ancient tombs and not the graves of ethnic groups. The local custom for moving graves is not different from that of other places, essentially depending on choosing a specific date of grave moving according to geomancy, without involving other matters that need special attention.

Table 7: Ground Structures (Attachments) and Fruit Trees Quantity Yanhe Shuanghe Attachments Unit Total Town Town Remark Owner Enclosing wall m3 170 60 110 Individual HH Earth m2 170 80 90 Individual HH Smalll Flat Slab Ground m2 150 50 100 Individual HH stone Boulder Manure pit Piece 12 7 5 Individual HH strip Tomb Tomb 10 3 7 Individual HH Pole Piece 5 2 3 Village

Quantity Yanhe Shuanghe Attachments Unit Total Town Town Remark Owner Wire m 800 300 500 Village Water channel m3 300 50 250 Brick village Motor- Well well 2 1 1 pumped Individual HH well Diameter: 2-4 cm Piece 240 100 140 Citrus Individual HH Fruit trees Diameter: 4-7 cm Piece 320 120 200 Citrus Diameter: 7-10 cm Piece 220 100 120 Citrus Timber Diameter: 3-5cm Piece 900 400 500 forest Timber Diameter: 5-10 cm Piece 500 200 300 forest Timber Varied trees Diameter: 10-15 cm Piece 350 180 170 Forest bureau forest Timber Diameter: 15-20 cm Piece 350 150 200 forest Timber Diameter: > 25 cm Piece 152 72 80 forest

3 Socioeconomic Survey

3.1 Socioeconomic Profile of Chengkou County 1. Chengkou County, situated in the utmost north of Chongqing, is located at the hinderland of Daba Mountain. It borders on Zhenping and Pingli Counties of Shannxi Province in the east, being adjacent to Wuxi and Kaixian Counties of Chongqing in the south, connects to Xuanhan County and Wanyuan City of Sichuan Province in the west, and bouders on Ziyang and Lan’gao Counties of Shannxi Province in the north.

2. In 2011, GDP of Chengkou County reached CNY3.716 billion, an increase of 19.7%, having a net increase of CNY799 million compared with the previous year. This growth rate took 6th place in whole municipality and 1st place among 13 counties located in both wings of Chongqing Municipality, and 10.5 and 3.3 % higher than the whole nation and the whole municipality, respectively. The primary industry realized an added value of CNY344.04 million, an increase of 7.1%; the secondary industry obtained an added value of CNY1.05541 billion, increased by 35.7% compared to previous year. In the secondary industry, industrial added value was CNY827.29 million, a year-on-year growth of 50.5%; and building trade added value was CNY228.12 million, increased by 10.6% compared with the previous year. The tertiary industry realized an added value of CNY554.37 million, an increase of 14.4%. In the tertiary industry, that of traffic, storage and post services reached CNY66.82 million, a year-on-year increase of 9.9%; that of wholesale and retail business reached CNY102.39 million, an increase of 15.2%; lodging and catering trade reached CNY40.58 million, increased by 9.8%; that of financial industry reached CNY55.64 million, up 18.4% compared with the previous year; that of real estate reached CNY44.37 million, a year-on-year increase of 5.0%; that of other services reached CNY244.57 million, an increase of 17.0%. Added value of these 3 industries accounted for 17.6%, 54.0% and 28.4% of the county’s GDP, respectively, and their contribution rate to the economic growth was 5.9%, 72.5% and 21.6%, respectively. Proportion of non-public ownership economy reached 68.6%.

3.2 Socioeconomic Profile of the Affected Towns 3. Yanhe Town, at south bank of Renhe River, being 40 km from the county government. The highway is connected to Chengkou-Wanyuan Highway. With an area of 51 square kilometers and population of about 8,100, the town has jurisdiction over 10 village committees, namely, Bayi, Heli, Gaofeng, Pingxing, Guanghua, Lianping, Zhongba, Wen’an, Wenfeng and Hongyan.

4. Shuanghe Town is situtated at southwest of Chengkou County, 55 km from the town seat. It has jurisdiction over 9 administrative villages, with 10800 residents of 2942 households in 70 villager groups. At the end of 2010, its total product of society reached CNY67 million, per capita net income being CNY 4,274, and the revenue primarily relies on working for industries or projects, planting and aquaculture.

5. For the economic status of the towns involved in the project, see Table 8.

Table 8: Basic Information on the Affected Towns Area of Cultivated Grain Total rural Rural per capita Population Land Production revenue net income Name of (10,000per Town son) (mu) (ton) (CNY10,000) (CNY) Yanhe 0.56 12,762 2,685 1,465 4,189 Shuanghe 1.08 18,495 3,145 1,836 4,274

3.3 Socioeconomic Profile of the Affected Villages and Groups 6. 22 This subproject passes through Yinghong Village of Yanhe Town, and Xiaoshuiba Village of Shuanghe Town. Basic economic conditions of the villages are shown in Table 3-2.

Table 9: Basic Information on the Affected Villages No. of Agricultur Poverty- Rural per Total Total al stricken No. of the capita net household Population population Household poor income Town Village No. (person) (person) (household) (person) (CNY) Yanhe Yinghong 403 1625 1625 53 235 4,212 Town Village Shuang Xiaoshuiba he 286 1163 1163 92 410 4,274 Village Town Data source: The socioeconomic survey conducted in November 2011.

7. From the above table, we can see the rural per capita net income of the 2 affected villages was around CNY4,200. Rural per capita net income of Chengkou County was CNY4595 in 2010 and farmers’ income in the affected villages was lower than this level.

3.4 Socioeconomic Status of the Affected Households 8. In November 2011, the PMO conducted the socio-ecomomic HH survey. The main objectives are as follows: (1) To obtain socioeconomic information on the APs who may lose land or property due to project construction; (2) To get aware of the APs’ requirements and desires for land acquisition, HD and income restoration measures.

9. The survey respondents were the AHs involved in permanent land acquisition in 4 groups-communities of 2 villages/neighborhood committees in 2 towns. By way of consulting the leaders of the villages and groups, and combination of questionnaires and interviews, the rural residents of 55 households were surveyed, accounting for 32.74 % of the AHs.

Table 10: Proportion of Sample Survey No. of surveyed Survey household proportion Town Village Group AHs (household) Yanhe Group 4 39 12 30.77% Yinghong Village Town Group 6 32 12 37.50% Shuanghe Group 1 63 16 25.40% Town Xiaoshuiba Village Group 4 34 15 44.12% Total 168 55 32.74%

3.4.1 Statistics of Population Features of APs 10. The statistics of population features of the APs include gender, age, population composition, education background and occupation, etc. 215 persons of 55 AHs were involved in this survey. Status of statistics of population features is shown in Table 11.

Table 11: Population Features of Surveyed Households Town Yanhe Shuanghe Yinghong Xiaoshuiba Village Village Village Total Gender Male Female Male Female Male Female Subtotal % Household No. 24 31 55 Total Population 95 120 215 Family size 4 3.9 3.91 1. Age Structure <16 10 11 13 12 23 23 46 21.40% 16-60 26 27 35 34 61 61 122 56.74% >60 12 9 13 13 25 22 47 21.86% Total 48 47 61 59 109 106 215 2. Education Background Illiterate 4 5 5 4 9 9 18 8.37% Primary School 9 7 8 7 17 14 31 14.42% Junior High School 25 27 42 41 67 68 135 62.79% Senior high school or above 10 8 6 7 16 15 31 14.42% Total 48 47 61 59 109 106 215 3. Composition of Labor Force Children 6 7 7 5 13 12 25 11.63% Student 9 9 10 10 19 19 38 17.67% Labor force 20 22 31 31 51 53 104 48.37% Aged population 12 9 13 13 25 22 47 21.86%

Town Yanhe Shuanghe Yinghong Xiaoshuiba Village Village Village Total Gender Male Female Male Female Male Female Subtotal % Patient 1 1 0 1 0.47% Total 48 47 61 59 109 106 215 4. Career of Labor Force Farming 10 10 8 10 18 20 38 36.54% Migrant workers 10 12 23 21 33 33 66 63.46% Business 0 0 0 0.00% Total 20 22 31 31 51 53 104

12. Gender structure - 215 persons of 55 households were involved in this survey and all of them belong to agricultural residence registration. In the population of the surveyed households, female population is 106, accounting for 49.3% of the total population; Male population is 109, making up 50.7%.

13. Age structure. The population of 0-16 years old is 46, making up 21.40% of the total population; that aged at 16-60 is 122, amounting to 56.74%; and persons aged over 60 are 47, making up 21.865% of the total population.

14. Educational background. In the respondents of the AHs, the illiterates are 18 persons, accounting for 8.37% of the total population; those of primary school education are 31 persons, 14.42% of the total population; those of junior high school education are 135 persons, 62.79% of the total population; those of senior high school education or above are 31 persons, 14.42% of the total population. The statistics show that the illiterates and persons with primary school education are primarily those aged over 60, and the number of the people of junior high school education is the most. Men and women have nearly the same education level.

15. Composition of labor force. Population of children is 25, accounting for 11.63% of the total population; 38 students, 17.67% of the total population; the labor force population is 104, making up 48.73% of the total population; the elderly population is 47, being 21.86% of the total population; 1 patient, accounting for 0.47% of the total population.

16. Employment Status of Labor Force. In total labor force of 104 persons, 38 are engaged in farming at home , accounting for 36.15% of the total labor force; persons who work for others are 66, making up 63.46% of the total labor force.

3.4.2 Possession of Cultivated Land 17. According to the survey, among the affected groups of Yanhe and Shuanghe Towns, Group 1 of Xiaoshuiba Village has the largest per capita arable land area of 1.85 mu; Group 6 of Yinghong Village has the smallest per capita arable land of 1.53 mu. For the details, see Table 12.

Table 12: Per Capita Cultivated Land Possession of Affected Villages/Groups Per Capita Cultivated Lan Town Village Group mu/person Yinghong Group 4 1.77 Yanhe Town Village Group 6 1.53 Shuanghe Xiaoshuiba Group 1 1.59 Town Village Group 4 1.85 Data source: The socioeconomic survey conducted in November. 2011.

3.4.3 Financial Analysis 3.4.3.1 Distribution of Household Income Level 18. In the sampled households, there was no family with annual per capita net income of over CNY8,001; and there were 2 households with annual per capita net income of CNY5,000-8,000; 46 househods with annual per capita net income of CNY3001-5000; and 7 households with annual per capita net income less than CNY3,000, most of them are vulnerable groups, 1 household with long-term patient, and 6 poverty-stricken households. For the specific, see Table 13.

Table 13: Distribution of Household Income Level Net Income Less than (CNY/person/year) 1500 Yuan 1501-3000 3001-5000 5000-8000 Over 8000 Total Household No. 1 6 46 2 0 55 (Household) Proportion (%) 1.00% 10.91% 83.64% 3.64% 0.00% 100.00% Data source: The socioeconomic survey conducted in November 2011.

3.4.3.2 Analysis of Women’s Income 19. The women’s income is constituent part of the total household income. According to the survey, in the 55 surveyed families, women’s income in 4 families accounts for 50% of total household income; that in 8 families accounts for 40% - 50% of the total household income, that in 33 families takes up 30-40% of the total household income, and that in 10 families is less than 30% of the total household income. For the specifics, see Table 14.

Table 14: Women’s Income Ratio in the Household Income Women's income ratio (%) <30% 30%~40% 40%~50% 50%> Remarks Household No. 10 33 8 4 (Household) Proportion (%) 18.18% 60.00% 7.27% 7.27%

20. Women income ratio in total household economy is relatively less than men, depending on women’s job types and the duration of work time. Survey shows among the APs, the women working for others are mainly engaged in some non-physical and non-technical jobs such as restaurant waitress, nurserymaid, cleaner, garment worker and shoemaker with relatively low wages. The women often take care of children and older people, therefore part of them can not work outside for a long period of them and only work intermittently.

3.4.3.3 Status of revenue and expenditure 21. Income of the families in the affected area of the project is primarily non-agricultural income, including income of working for others, ancillary income, business income and social insurance, etc.

Table 15: Structure of Annual Income & Expenditure Average Value of Item household (CNY) Proportion 1. Income of planting 2,500 8%

Annual 2.Livestock Breeding 11,000 37% Household 3. Income of non-agricultural production 16,500 55% Income 3.1.Income of working for others 15,000 50% 3.2.Other income 1,500 5% Total income 30,000 100% Plant productive outlays 1,500 8% Aquaculture expenditure 5,000 27% Non-productive expenditure 12,200 65% Annual 1.Food expenditure 7,200 39% Household 2.Traffic expenditure 1,500 8% Expenditure 3.Educational expenditure 800 4% 5.Medical expenditure 700 4% 6.Other expenditure 2,000 11% Total Expenditure 18,700 100% Data source: The socioeconomic survey conducted in November 2011.

3.4.4 Main Economic Activities 22. According to interviews with leading officials of the village committees and sample door-to-door survey, it is learnt that in the economic structure of the project area, the source of family income is primarily divided into agricultural income and non-agricultural income. Income of crop cultivation in the agriculture income makes up 8% of total income, and livestock breeding income accounts for 37% of total income. As phenomenon of working for others is common, income of the migrant workers and aquaculture income constitute an important part of the family income in local agricultural households.

 Income of crop cultivation: The main crops planted by farmers in the project area comprise corn, potatoes, sweet potatoes and vegetables, etc, and these farm products are mostly used for self-eating, with remainder used as pig fodder.  Breeding livestock includes pig, cattle, sheep, poultry and fish, in which, pig is the main farm livestock used to produce cured meat, which sells well in Chongqing and surrounding provinces; However, Chengkou County is a mountain county and it’s not easy to develop crop cultivation, and the farmers mainly purchase as pig feed.  Non-agricultural income: Now that the project area is restricted by traffic conditions, added with high mountains and steep slope and relatively poor soil texture, the farm production income here is comparatively low. Therefore, in the economic structure of the project area, phenomenon of being migrant workers is popular, and income of migrant workers becomes an important part of income of local agricultural households, accounting for some 55% of their total family income. Migrant workers going out of home are essentially engaged in jobs of services and engineering industry, and most of the jobs have low technical content. Working places of these migrant workers primarily include Shanghai, Guangdong and Chongqing. In addition, working as local casual laborers, normally as mason, carpenter and porter, is also popular, where one can averagely earn CNY150 per day, working in some 20 days monthly.

4 Public Participation and Appeal Mechanism

4.1 Public Participation Plan 1. According to the policies and regulations of ADB, the PRC and Chongqing Municipality on land use, house demolition and resettlement, it is very necessary to conduct public participation at the preparation and implementation stages in order to protect the lawful rights and interests of the APs, reduce grievances and disputes, and realize the resettlement objectives properly by developing sound policies and implementation rules on displacement and resettlement, preparing an effective RP, and organizing implementation properly.

2. In combination with actual situation of this project, "Three-Stage" strategy is taken for public participation.

3. Stage 1: During the feasibility study stage and drawing up resettlement report, the stakeholders were consulted to allow them to be aware of the resettlement issues. In particular, more importance was attached to the consultation in the area where the project is located. Information about the project was introduced to the people living in the project area; this helped to understand the demands and intent of the persons potentially affected by the project. The land acquisition and resettlement impacts posed by the project were discussed; proposals for the design optimization, compensation rates and policies as well as possible solutions and measures were drafted. The work of this stage has been completed along with the preparation of this RP. "Resettlement Information Booklet" has been distributed to the affected households with basic information on the project, project impact, compensation policies, resettlement solutions and appeal channels, etc.

4. Stage 2: Before the commencement of land acquisition and house demolition, meetings with all affected people will be held to listen to the opinion of various sides on compensation and resettlement and the updated RP based on final design and DMS will be disclosed to the APs.

5. Stage 3: During project construction and operation, surveys and interviews will be regularly held in the affected area to see if relevant compensation for the affected people are provided and their production and livelihoods are restored.

4.1.1 Status of the Completed Public Participation 6. These public participation activities were carried out through various forms, including community meetings, discussion with the owners and survey by door-to-door visit, etc.

Community meetings: Before starting work by the field survey team of the project, the survey team leader made publicity of this project to the residents of villages, affected persons and groups who attended the meetings. The information included the project background, project content, and necessity of implementation of the project, possible impact posed by the project, compensation policies and resettlement programs to be undertaken. The participants comprised of affected persons, representatives of the affected villagers, women, project implementing agency, township governments, villages and cooperatives. Holding face to face discussion with APs to explain the impact of the project on

his/her property. Household socioeconomic questionnaire survey: to learn the socioeconomic profile of the subproject area, and the APs’ comments and opinions. The survey team conducted a door-to-door questionnaire survey in November 2011 and April 2012. During the survey, the information, impacts and resettlement policies of the Subproject were explained, and the sample AHs were consulted about ideas for compensation and resettlement, livelihood restoration, their comments and suggestions formed the basis for RP preparation. Panel discussion with cadres of the villages and cooperatives: Panel discussion was held with village heads, village CPC Secretaries and accountants to get an idea of the overall socioeconomic information on rural collective, site selection of homestead for self-building, expectations and demands of villages’ and cooperative cadres towards the project, opionions and suggestions on the land compensation and resettlement policy, and sharing of the related experience. Interviews with the government: Through visiting Chengkou County Development & Reform Commission, Land Resources Bureau, Employment Bureau, Labor and Social Insurance Bureau and Bureau of Statistics, the project survey team has obtained data and nformation of the resettlement policy in relation to this project, and collected opinions and suggestions of the relevant departments on implementation of this project.

7. Completed public participation activities of this project are as follows

Table 16: Information on Public Participation Activities

Date of Participators of Location Interview Interview APs Key Issues discussed 2 affected 2011.11-2012.3 APs, PMO, FSR 20 Introducing the background and purpose of the Subproject; villages office preparation Discussion of the alignment to minimize the LA and HD impacts; agency, RP preparation agency 2 affected 2011.11 and APs 30 Socio-economic survey villages office 2012.4 meetings were held with groups of APs 2 affected 2012.4-5 APs 220 Discuss ways of compensation for land acquisition of the project, propose recommendations villages office for land adjustment or allocation of replacement land (3 meetings Method of computing replacement price; At each village) Propose recommendations for land-acquisition & relocation management and livehood restoration, including flexible adjustment in the villages and groups, and compensation rates are used to improve infrastructures of the relevant villages and groups, etc. PMO 2012.6 APs 15 the location of the relocation sites; The need of trainings; The income restoration measures; 2 affected 2012.10 APs, PMO staff, 25 Discussion of the draft RP; villages office LRB Discussion of the GRM; Discussion of the future consultation plan; Discussion of the future information disclosure plan. Total Number of Participators 310

8. With implementation of a lot of public participation activities and awareness of the opinions and demands of the AHs, the PMO drafted measures of solution along with relevant departments; these measures have been incorporated into the RP. For details, see Table 17.

Table 17: Public Participation in Suggestion and Solution Measures No. Main Appeal and Views Solution Measures 1 APs prefer agricultural resettlement, not All land compensation and resettlement subsidy will be requiring a change from “agricultural to paid to the collective economic organizations, used to non-agicultural” household registration develop the collective economy and make an due to the very limited land acquisition. arrangement for production and livehood of the members of these collective economic organizations, and then the village collective readjusts the land for the persons whose land have been acquired, here, the way of rural residents becoming urban residents is not adopted for the affected household. If the village can’t provide reserved land, the resettlement subsidy will be distributed to APs directly. 2 APs prefer to be provided with There are few people to be relocated in villages, and homestead for self-building houses they are living in a scattered way. Such being the case, each village can provide homesteads to the relocatees for self-building their houses 3 APs prefer to be provided with training Labor department and Women’s Federations, etc. offer of agricultural and non-agricultural skills the affected persons training of planting, breeding and non-agricultural industry in allusion to specific conditions of the project region. 4 Aps expect to get replacement land as Each village will allocate the village collective’s the old people are farming on the land reserved land to the affected households according to and the minor land acquisition will status of their land-loss. contribute litte cash compensation.

4.1.2 Next Stage Public Participation Plan 9. Though public consultation has been made for many times, Chengkou County Resettlement Implementation Agency will conduct further public consultation and activities with constant advancement of engineering preparation and implementation. For the arrangement of public participation in next stage, see Table 18.

Table 18: Next Stage Public Participation Plan Aim of Date Locale Activities Agencies Main Contents Affected CCLRB, Main contents of the RIB include:overview of the Distribution of 2013/02 Villages village Project, land-acquisition plan, resettlement policy, RIB leaders, right of compensation, compensation standard,

Aim of Date Locale Activities Agencies Main Contents and all AHs implementing institutions, channel for appeal and resettlement plan, etc. Place the resettlement plan in offices of the village committees/neighborhood committees so that the affected people and units and individuals who are interested in this project can consult it without IA, CCLRB, Affected Disclose hinders. Before it, the Project Office will publish an village 2013/02 Villages resettlement announcement on local newpaper to explain the leaders, plan specific site for consulting this land-acquisition and all AHs compensation-resettlement plan; The resettlement plan with a Commitment Letter signed by the County Government will also be posted on ADB Website. IA, CCLRB, Main contents of the Announcement: Project village profile, scope of land-expropriation, policy of leaders, resettlement (including scheme of land adjustment Affected LA and all AHs and compensation standard), resettlement 2013/06 Villages announcement implementing agency, schedule of

land-expropriation, rights and obligations of the affected people, channel and mechanism of appeal and monitoring & evaluation plan, etc. IA, CCLRB, Before land use, CCLRB will conduct a DMS to village determine the affected physical quantities, leaders, including land area, demolition area, and affected and all AHs ground attachments and infrastructure as a basis for compensation, and disclose the DMS results. Affected DMS and The procedure is as follows: Hold a meeting to 2013/07 Villages disclosure of introduce brief information, compensation and results resettlement policies and programs, and purpose and method of the DMS; conduct the DMS with the confirmation of proprietors; disclose the DMS results for supplement or correction, and then disclose the final compensation and resettlement programs. CCLRB, IA The RP will be made available to the APs at the Affected Updated RP and all village committee. The PMO will disclose the 2013/08 Villages disclosure affected access point of this RP on the announcement

people published on a local newspaper.

4.2 Appeal Mechanism 10. To ensure that opinions of the APs on such issues as land occupancy, compensation and personnel resettlement can be solved in an open and fast way to avoid APs of the project to be forced to resort to adopt complex formal channels to express their dissatisfaction or complaint, IA has established handling procedures involved with appeal of the project, with specific steps as follows:

Step 1: In case the APs or village committees have any objection to the land compensation RP, they can propose an oral or written appeal to the township government. If they file their appeal orally, it is required to be addressed by the township government with a written record. The township government shall make a disposition within one week; Step 2: In case the APs are still unsatisfied with the disposition in Step 1, they can still appeal to Chengkou County Land Resources Bureau or the Relocation Office in accordance with relevant laws and regulations of Chongqing, the Land Resources Bureau or the Relocation Office shall make a disposition within 10 days; Step 3: In case the APs remain unsatisfactory with the disposition in Step 2, they can lodge an appeal to Chengkou County PMO after receiving the disposition, and the County PMO shall make a disposition within one week.

11. APs can decide to go through the legal system directly and may decide not to use the project level grievance channels.

12. APs can file a lawsuit aiming at any aspect of the resettlement, including compensation rates etc. The above channel of appeal will be notified to APs by way of meeting and RIB so that the APs can get a full awareness of their right to appeal. At the same time, the media will be utilized to strengthen publicity, and the opinions and proposals of various aspects on the work of resttlement will be solidified into information provisions, which shall be studied timely and solved by the resettlement agencies at all levels. All these agencies shall receive complaints and appeals from the affected people free of charge, and reasonable expenses arising therefrom will be paid out from unforeseeable fee of migration resettlement. For channel of appeal, see Figure 2, and ways of contacting persons responsible for appeal channels in all stages are shown in Table 19.

13. The aggrieved person may also express grievance to the external monitor, who would then report it to CCLRB, the IA, and the PMO. Alternatively, the aggrieved person(s) may submit a complaint to the ADB’s Project Team to try to resolve the problem. If good faith efforts are still unsuccessful, and if there are grievances that stemmed from a violation of ADB's safeguard policy, the APs may appeal directly to ADB in accordance with ADB's Accountability Mechanism (2012).1

1 Before submitting a complaint to the Accountability Mechanism, the affected people should make a good faith effort to solve their problems by working with the concerned ADB operations department. Only after doing that, and if they are still dissatisfied, should they approach the Accountability Mechanism - http://compliance.adb.org/.

CountyAffecte Legald collectiveDepartment Chengkou County PMO economic organizations Office AHs County Discipline Insp. Dept. External Monitoring Agency Affected farmers Chengkou County Land Resources Bureau/Relocation Office and owners

County Petition Letter Dept.

Township Governments

AHs/Village Committees

Figure 2: Channel of Appeal

Table 19: Contact Persons in Charge of Appeal Channels in All Steps Responsible Item Way for Appeal person Post Telepone Yanhe Town Government Yang Dengxian Township Head 59501500 Step 1 Shuanghe Town Yuan Hongfu Township Head 59295500 Government Chengkou County Land Step 2 Zhang Yiqin Deputy Director 59222935 Resources Bureau Deputy Director of Step 3 Chengkou County PMO Guo Xiaolian Development & 59223581 Reform Commission Director of County Chengkou County Legal Chen Yangchao Office of Legislative 59226099 Department Affairs Director of County Chengkou County Discipline Inspection Discipline Inspection Zhang Guoyi 59223334 Commission-Petition Department Letter Office Chengkou County Petition Director of County Xiao Tiyong 59221221 Letter Department Petition Letter office

5 Legal Framework and Resettlement Policies

5.1 Principle of Resettlement 1. The first goal of this RP is to ensure income of the affected people can be restored to enhance their standard of living and reduce social and environmental impact. The following is the summary principles used for land occupancy and resettlement. Purpose of these principles about compensation, resettlement and restoration is that during period of resettlement, the affected individuals can be given adequate compensation to restore and enhance their living standard. The compensation and rights received by the affected persons can at least maintain their living standards as same as prior to dispossession of assets, and may probably be improved accordingly; Take measures as far as possible to minimize negative impact of the land acquisition; Conduct serious consultation with the affected people in terms of land compensation and resettlement so that they have a chance to comprehensively participate in the planning and implementation of the compensation and resettlement program; All the affected property will be compensated by full replacement cost; Try to take the principle of building first and demolishing later or to making compensation first and demolishing later. Displacement will not occur until after full compensation has been paid and other entitlements provided; Show concern for the vulnerable groups, trying to lay out special measures to protect the vulnerable groups such that situation of their livehood will not get worse because of land occupancy .

5.2 Applied Laws and Regulations 2. The land compensation policy of this project is finalized after full consultation with the land resouces bureau, labor and social security bureau, the affected towns and representatives of the affected households, with basis for formulating the policy as follows: Land Administration Law of the People's Republic of China (August 28, 2004, Revised Edition), and related laws and regulations; The Organic Law of the Villagers Committee of the People’s Republic of China, November 4, 1998; Land Management Regulations of Chongqing (Chongqing Municipal Government Order No. 53), January1,1999; Land Acquisition Compensation and Resettlement Methods of Chongqing (Municipal Government Order No.55, January 1, 1999; Notice of Chongqing Municipal Government on Adjusting Matters Concerning Compensation and Resettlement Policies for Land Acquisition (YU FU FA [2008] No.45 Document); Notice of Related Matters on the Adjustment of the Land Compensation and Resettlement Policy of Chengkou County Government (CHENG FU FA [2008] No. 33 Document); Asian Development Bank Safeguard Policy Statement (2009) safeguard requirements 2: involuntary resettlement;

5.3 ADB’s Policy Requirements on Involuntary Resettlement 3. ADB’s Safeguard Policy Statement has three key elements for involuntary resettlement: (i) compensation for lost properties, livelihoods and income; (ii) assistance in resettlement, including the provision of a resettlement site, and appropriate facilities and services; and (iii) assistance for restoration, as a minimum, to the standard of living before the project. Planning and implementation should take into account the following basic principles: (i) Screen the project early on to identify past, present, and future involuntary resettlement impacts and risks. Determine the scope of resettlement planning through a survey and/or census of displaced persons, including a gender analysis, specifically related to resettlement impacts and risks. (ii) Carry out meaningful consultations with affected persons, host communities, and concerned nongovernmental organizations. Informally displaced persons of their entitlements and resettlement options. Ensure their participation in planning, implementation, and monitoring and evaluation of resettlement programs. Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women and children, and Indigenous Peoples, and those without legal title to land, and ensure their participation in consultations. Establish a grievance redress mechanism to receive and facilitate resolution of the affected persons’ concerns. Support the social and cultural institutions of displaced persons and their host population. Where involuntary resettlement impacts and risks are highly complex and sensitive, compensation and resettlement decisions should be preceded by a social preparation phase. (iii) Improve or at least restore, the livelihoods of all displaced persons through (i) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation at replacement value for land when the loss of land does not undermine livelihoods, (ii) prompt replacement of assets with access to assets of equal or higher value, (iii) prompt compensation at full replacement cost for assets that cannot be restored, and (iv) additional revenues and services through benefit sharing schemes where possible. (iv) Provide physically and economically displaced persons with needed assistance, including the following: (i) if there is relocation, secured tenure to relocation land, better housing at resettlement sites with comparable access to employment and production opportunities, integration of resettled persons economically and socially into their host communities, and extension of project benefits to host communities; (ii) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (iii) civic infrastructure and community services, as required. (v) Improve the standards of living of the displaced poor and other vulnerable groups, including women, to at least national minimum standards. In rural areas

provide them with legal and affordable access to land and resources, and in urban areas provide them with appropriate income sources and legal and affordable access to adequate housing. (vi) Develop procedures in a transparent, consistent, and equitable manner if land acquisition is through negotiated settlement to ensure that those people who enter into negotiated settlements will maintain the same or better income and livelihood status. (vii) Ensure that displaced persons without titles to land or any recognizable legal rights to land are eligible for resettlement assistance and compensation for loss of non-land assets. (viii) Prepare a resettlement plan elaborating on displaced persons’ entitlements, the income and livelihood restoration strategy, institutional arrangements, monitoring and reporting framework, budget, and time-bound implementation schedule. (ix) Disclose a draft resettlement plan, including documentation of the consultation process in a timely manner, before project appraisal, in an accessible place and a form and language(s) understandable to affected persons and other stakeholders. Disclose the final resettlement plan and its updates to affected persons and other stakeholders. (x) Conceive and execute involuntary resettlement as part of a development project or program. Include the full costs of resettlement in the presentation of the project’s costs and benefits. For a project with significant involuntary resettlement impacts, consider implementing the involuntary resettlement component of the project as a stand-alone operation. (xi) Pay compensation and provide other resettlement entitlements before physical or economic relocation. Implement the resettlement plan under close supervision throughout project implementation. Monitor and assess resettlement outcomes, their impacts on the standards of living of displaced persons, and whether the objectives of the resettlement plan have been achieved by taking into account the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports.

5.4 Policy Gaps 4. The CMG Order No. 55 documents were in effective on 1 January 1999 following the Regulations on the Implementation of the Land Administration Law of PRC (1998), which stipulated detailed compensation and resettlement measures including the disbursement channels of compensation for land loss—exactly refer to the Article No.26 of the above mentioned PRC regulations. In addition, No. 55 document also stipulated the organizational arrangement for the implementation and management of land acquisition and resettlement.

5. However, this document was annulled by a latest CMG [2008] No.45 document which paid more attention on the APs who will be urbanized after land loss. 80% of the land compensation and resettlement subsidy will be only benefited by the APs who will be urbanized

after land loss. With updated compensation rates in the latest document, there is no detailed description on the compensation and resettlement of non-urbanized APs after land loss. The entitlements received by the APs will be different depend on if they will change to urban households registration. Under this policy: (i) The rate of land compensation fee is based on the region where it is located and it’s the same for all types of land. (ii) Resettlement subsidy is calculated based on number of the agricultural population that needs to be resettled for the production resettlement. The agricultural population to be converted into urban status is the sum of the acquired cultivated land area and 0.5 times the acquired non-cultivated land area divided by the per capita cultivated area of this village before land acquisition.

6. Considering the incompleteness of each of the two documents—outdated compensation rates in Document No. 55 and the silence on non-urbanized APs after land loss, full consultation with the affected villagers and land resource bureasu were conducted to fill these policy gaps. Due to the impacts on the farmers are limited and the land to be acquired is scattered, affected farmers will not be changed to urban households based on consultations in order to avoid the policy gaps. Land compensation and resettlement subsidy will be paid to the village committees if the village can provide reserved land to the APs and the compensation for standing cops will be paid to the APs directly. All APs can receive the same entitlements after land acquisition.

5.5 Compensation Rates 5.5.1 Compensation Rates of Permanent Land Acquisition 7. According to relevant policies and requirements, land use compensation fees for this project include land compensation fee, resettlement subsidy and young crops compensation fee. Irrespective of type of land, the land compensation fee will be calculated based on the area of the occupied land and standard of the region where it is located; Resettlement subsidy is to be calculated based on number of the agricultural population that needs to be resettled for the production resettlement (quantity of land occupancy divided by per capita number of the cultivated land of this villager group before land occupancy). Land use for this project does not involve resettlement of rural residents becoming urban inhabitants, but the number of persons who will become urban residents because of land acquisition this time and total sum of resettlement subsidy rates will be still calculated according to the relevant policies. The land compensation fee and resettlement subsidy will be paid to village collectives by the land use unit in a unified way while young crops compensation fee be given directly to the APs by the land use unit. Related compensation rates are shown in Table 20.

Table 20: Compensation Rates of Permanent Land Use Resettlement Land compensation subsidy Young crops compensation rates (CNY/mu) rates (CNY/mu) (CNY/person) Vegetable Grain 10,000 25,000 1,500 1,000

8. According to the survey, in the project area, average annual output value (AAOV) of the cultivated land in previous 3 years was CNY1,000/mu, the rate of land compensation fee is 10 times of the AAOV. According to Chongqing policy, Resettlement subsidy is calculated based on number of the agricultural population that needs to be resettled for the production resettlement. The agricultural population to be converted into urban status is the sum of the acquired cultivated land area and 0.5 times the acquired non-cultivated land area divided by the per capita cultivated

area of this village before land acquisition. The mathematical calculation is presented in table 21. In the project villages, the average per capital land holding is 1 mu, so the resettlement subsidy is equivlant to CNY 25,000 yuan/mu (25,000 yuan/person divide 1 mu/person), which is 25 times the average annual output value of the land. Totally, the land compensation fee and resettlement subsidy is 35 times of the AAOV in the past 3 years.

Table 21: Calculation of agricultural population to be converted into urban status Areas of land acquired (mu) Agricultural population to be converted into urban status Per capital land Cultivated Non-cultivated Village Group holding (3) land (1) land (2) （4)=[(1)+(2)*0.5]/(3)

Yinghong 2 17.55 119.80 1.77 29

4 16.15 98.20 1.53 24 1 17.15 91.70 1.59 25 Xiaoshuiba 4 14.04 116.21 1.85 26 64.89 425.91 104

5.3.2 Compensation Rates of Temporary Land Occupancy 9. Young crops of the cultivated land will be affected by temporary land occupancy. According to unified rates stipulated in CHENG FU FA [2008] No.33 Document, IA will grant young crop compensation fee in a unified rates for the affected young crops, CNY1,500/mu for vegetables (including commerical crops) and CNY1,000/mu for grains. After the project is completed, IA will be liable for restoring original functions of the land.

5.3.3 Compensation Rates of Rural Houses 10. The compensation rates for house demolition have been fixed by reference to the construction costs of similar local housing in 2012, which reflect the replacement cost; the final rates will be agreed between the demolisher and displaced persons on this basis after a field appraisal by a real estate appraisal and surveying company. Detailed compensation rates of the involved housing demolition are shown in Table 22.

Table 22: Compensation Rates of House Demolition A Compensation for houses Compensation rate Reinforced concrete 650 structure Brick- concrete structure 500 Brick- wood structure 350 Earth-timber structure 250 B Subsidy Transition subsidy CNY200/Person/month will be given based on 6 months. When it is over 6 months, CNY200 will be also given to each person monthly. Subsidy for house moving Lump-sum subsidy for their house moving will be paid based on a household, with CNY500 to a household with 3 members or less, and CNY1000 to a household with 4 or more members. Subsidy for HD For resettlement by self-building houses, each AP will get CNY 1000 of lump-sum subsidy for relocation

5.3.4 Compensation Rates of Ground Attachments 11. Compensation rates for the ground attachments will be executed pursuant to relevant policy in CHENG FU FA [2008] No.33 Document. The specific compensation rates for ground attachments in this project are shown as Table 23. Related compensation rates are determined based on the replacement price.

Table 23: Compensation Rates of the Affected Ground Attachments

No. Type of Buildings Unit Rates Material Structure 1 Enclosing wall m3 55 Boulder strip Earth m2 3 2 Small flat ground Slabstone m2 7 3 Manure pit m3 39 Boulder strip 4 Tomb Tomb 330 5 Pole piece 99 6 Wire m 3 7 Water channel m3 55 Masonry 8 Well Well 330 Motor-pumped well Diameter: 2-4 cm Piece 22 9 Fruit trees Diameter: 4-7 cm Piece 33 Diameter: 7-10 cm Piece 55 Diameter: 3-5cm 6 10 Varied trees Diameter: 5-10 cm 10

No. Type of Buildings Unit Rates Material Structure Diameter: 10-15 cm 20 Diameter: 15-20 cm 33 Diameter: > 25 cm 55

5.4 Qualification for Getting Compensation and Entitlement Matrix 12. The cut-off date for identification of AP qualification is the date when the notice of land-acquisition and HD was announced. After that date, the APs shall not newly-built, extend and rebuild the houses; shall not change uses of the houses and land; shall not lease the land, and shall not lease, buy and sell their houses. People who come to the area after this date shall not have qualify for resettlement compensation.

Table 24: Entitlement Matrix Degree of Affected Type of impact impact people Compensation policies and rates Rights Permanent rural 490.80mu, Land 1) Land compensation rates: CNY10, 000/mu. (i) The village will receive land collective land including acquisition 2) Resettlement subsidy: CNY 25,000/person. compensation fees and acquisition 64.89 mu of the 3) CNY1,500/mu young crops compensate fee for vegetables, and resettlement subsidy; cultivated project CNY1000/mu for grain. (ii) Compensation for standing land, and involves 4 crops will be paid to the AHs; 425.91 mu villager (iii) The AHs will receive free uncultivated groups in 2 training; land. villages of 2 (iv) The village collective will use towns, the compensation for totally community facilities. affecting (v) Jobs during construction and 630 persons maintenance will be in 168 provided. households (vi) Replacement land of equivalent quantity and quality will be provided to APs; (vii) During the transition period when low quality of land needs to be improved, cash compensation based on AAOV will be paid to the AHs. Temporary 68 mu, Producing Compensation rate is CNY1,500/mu for vegetable, and CNY1000/mu for Conduct on-the-spot Land-occupancy including an impact grain. measurement and consultation, 11mu on totally and the IA will pay the

Degree of Affected Type of impact impact people Compensation policies and rates Rights cultivated 114 persons compensation in cash to the of 28 collectives or individuals who land，and 57 households execute a contract of the land mu in 2 villages and restore the land. uncultivated of 2 towns. land. 7360m² will Affecting A Compensation for Compensation rate (i) Receiving house Rural HD be totally 155 houses compensation at demolished, persons of Reinforced 650 replacement cost, and including 38 concrete structure transition subsidy, moving 370m² of households, Brick- concrete 500 subsidy and relocation reinforced involved structure subsidy; concrete with 2 Brick- wood 350 (ii) Providing housing plots in structure, villager structure the same community 2050m² groups of 2 Earth-timber 250 provided by local village brick-concrete villages in 2 structure freely; structure, towns. B Subsidy 4380m2 Transition subsidy CNY200/Person/month will be given brick-wood based on 6 months. When it is over 6 structure and months, CNY200 will be also given to 560m² each person monthly. earth-timber Subsidy for house Lump-sum subsidy for their house houses. moving moving will be paid based on a household, with CNY500 to a household with 3 members or less, and CNY1000 to a household with 4 or more members.

Degree of Affected Type of impact impact people Compensation policies and rates Rights Subsidy for HD For resettlement by self-building houses, each AP will get CNY 1000 of lump-sum subsidy for relocation

Ground Enclosing Including all No. Type of Buildings Unit Rates Attachments wall, stone agricultural 1 Enclosing wall m3 55 ridge and households Earth m2 3 water wells, with ground 2 Small flat ground Slabstone m2 7 etc. attachments 3 Manure pit m3 39 on the 4 Tomb Tomb 330 expropriated 5 Pole piece 99 land. 6 Wire m 3 7 Water channel m3 55 8 Well Well 330 Diameter: 2-4 cm Piece 22 9 Fruit trees Diameter: 4-7 cm Piece 33 Diameter: 7-10 cm Piece 55 Diameter: 3-5cm 6 Diameter: 5-10 cm 10 10 Varied trees Diameter: 10-15 cm 20 Diameter: 15-20 cm 33 Diameter: > 25 cm 55

Vulnerable 6 mu land will 14 HHs and (i) The villages will provide groups be acquired 50 persons necessary assistances and 270 m2 before, during and after houses. relocation; (ii) They can have the priorities to select the location of the

Degree of Affected Type of impact impact people Compensation policies and rates Rights housing plots; The unskilled job opportunities will be provided to them during construction and operation.

6 Program of Restoring APs’ Production and Livelihood

6.1 Objectives and Principles of Land Use Compensation and Resettlement 1. According to evaluation on project impact in this stage and survey results of the production and livelihood situation of the affected residents, analysis has been made to identify goals of land use compensation and resettlement as follows: Allow per capita net income of the AHs to be restored to the level before resettlement; Enable production and living conditions of the AHs to be improved; Allow public infrastructure, school, hospital, level of social welfare and natural environment, etc. to be as same as that before the resettlement or somewhat improved in comparison with that before the resettlement, and enable enrollment rate of school-age children and basic medical coverage to be maintained at the original level.

6.2 Plan of Income Restoration

6.2.1 Replacement Land 2. For the 168 HHs that will lose cultivated land, the per capita cultivated land loss is 0.1 mu. Consultations with the APs indicate that most of the people farming on the land is the older people and women, so they prefer to have land. Also cash compensation for such minor land acquisition can’t bring a lot of cash money. After the land acquisition, each village will allocate the village’s collective reserved land to them. Location and conditions of the newly-allocated land will not be worse than that of the original land. So that the production level and living standard of the persons affected by land loss would not be decreased. By providing the replacement land, the per capita land holding of the AHs will be the same as before, consequently it won't bring impacts on their income.

3. According to the survey, in these two villages, there are not enough same quality land for allocation to the AHs. So the village committee will use the conpensation fee to improve the low quality land, and the cost will be 2,300 yuan per mu which will be used for construction irrigation facilities. The Agriculture bureau will provide technical assistance to the villages. And it will cost 1 year to improve the land to reach the same quality. During the 1 year, the AHs will get cash compensation based on 1500 yuan/mu, which is higher than the AAOV.

Table 25: Basic Information on Reserved Land and Land Improved Area of Permanent Land Existing Reserved Land Area of low quality Land to be Village Acquisition With same quality improved Yinghong 33.7 mu 10.2 mu 23.5 mu Village

Xiaoshuiba 31.19 mu 13.5 mu 17.69 mu Village

6.2.2 Utilization of Compensation of Villages 4. Land compensation fee and resettlement subsidy will be paid to the village collectives. For this part of the compensation, villager meetings will be held to discuss the way of using such funds. Some village collectives plan to use this compensation fund for improvement of village’s infrastructures such as building village roads that connect the trunk highway, improving irrigation facilities and rebuilding old-dangerous houses and schools. In addition, some villages will, in line with local conditions, use such compensation to develop agriculture and animal breeding, for instance, making an investment in establishment of pig-producing cooperatives, which will attract local villagers to be employed.

5. Chengkou County is famous for produce cured meat in Chongqing, and livestock breeding makes a contribution of 37% to the household income. The village will utilize the fund to buy piglets and the villagers raise them, and the cooperative will provide skill training, animal epidemic prevention and sell all the pigs. Fodder is purchased by the cooperative in order to reduce the cost. This can make a contribution of 10,000 yuan to each household. According to the survey, these two villages have a mall pig breeding cooperative, and with the compensation fund, they will expand the business. There are some successful pig breeding cooperatives in Chengkou, and the government will arrange them to help these 2 villages to develop.

6.2.3 Skill Training of the APs

6. Results of questionnaire sample survey showed among 104 persons at labor age section, more than half of them expressed their willingness of participating in training of labor skills, most are men aged below 45. In order to enhance level of production and improve livelihood of the APs, the government will make an arrangement for special training courses of skills, including training for agricultural and non-agricultural industries to encourage participation of the affected farmers so as to help them in broadening the way of increasing income.

Agricultural training. Chengkou County Agriculture Bureau will take the lead to organize aggie to provide trainings including planting, aquaculture and agrotechny and agricultural industrial cultivation, such as pig raising and pest control techniques of crop. Training items will be offered free of charge, and other villagers can attend as they like. Non-agricultural training. Chengkou County Labor and Social Security Bureau will collaborate with several vocational training schools that undertake tasks of job training to gradually perform whole coverage training of personnel who are willing to be trained. The training content with relatively great social demand in job posts will be taken as key points so that the trained personnel can conform to needs of human resources market. The main training content comprises guard training and cook training, etc.

Table 26: Training to Be Provided by Local Government No. of persons to be Types Contents of Training trained (female)

 pig raising & antiepidemic technology  150 (70) Agricultural training  pest control for crops  100 (60)

Non-agricultural  Cooking  60(20) training  Guard  30 (5)

6.2.4 Employment Driven by the Project 7. During the project construction and operation and maintenance of later stage, the project will lure a part of labor force, where, priority will be given to employment of the farmers affected by the project, and these farmers can be temporary workers of the project works. This will create some employment opportunities for local people in order to help increase their income. It is estimated that during the construction, about 200 temporary workers will be needed and contractors will try to hire some local villagers, which will account for at least over 30%. Meanwhile, with premise of desire of the women, efforts must be made to employ women laborers as far as possible. Particularly in the work posts with low-labor intensity in later stage of the project such as afforestation, proportion of women laborers will exceed 50%.

6.3 Relocation Program of Rural House Demolition 8. According to survey of AHs, all 30 households need to be relocated will choose the way of resettlement by self-building houses after getting the cash compensation The standard of the allocated homestead plot is 30 m2 per capita, at least 90 m2 for each household, with maximum of 120 m2.

9. Specific location of the homestead will be determined by the village collective after consultation with the APs. Location conditions of the newly-allocated homestead shall not be inferior to that of the original housing section. Due to construction of a new countryside, each village will also make a plan for the APs based on specific situation, and try their best to resettle them at the well-planned centralized residential zones where all the facilities for waste disposal, virescence around their houses, water supply and drainage systems, electric power, telecoms, radio & TV, and fire-fighting and safety equipment are better than that of the original residential places.

10. In terms of the way of self-building houses for resettlement, the local government is liable for the works of site formation and “three supplies and one leveling (supply of water, electricity and road and leveled ground)”. At the same time, all costs for land use approval will be exempted. As the APs due to this project are living in a relatively scattered way, field survey shows all the villages are able to provide homestead for their resettlement. Allocation of homestead shall comply with principle of allocating it near the AHs’ original residence, namely, try to allow the APs to live in the range of the original village to avoid consistency arising from moving outside.

11. For instance, a household with 4 family members originally had 150m2 brick-concrete structure houses. With demolition of their houses, they will obtain housing compensation of 150 *

500 =CNY75,000. Other compensation fees comprise CNY96000 for transition (according to CHENG FU FA [2008] No.33 Document, each person can monthly obtain transition subsidy of CNY200 for transition calculated based on 24 months), CNY1000 of house moving subsidy, CNY4000 of subsidy for HD and compensation fees for house attachment and decoration, total compensation fees will be around CNY200,000. At present, APs usually take the way of living in home of relatives or friends in their village for transition, so even if they rent houses at rental of around CNY500/month, money given to them for transition is enough. The AHs can use the materials recycled from the old houses for building new houses. All the AHs in this project believe that the HD this time is an opportunity to improve their living conditions, which at the same time conforms to the trend of building a new countryside.

6.4 Resettlement of Vulnerable Groups 12. Special assistance will be provided to them, including: (i) the communities and villages will provide necessary assistances before, during and after relocation, including free labor to construct new housing and moving house; (ii) they can have the priorities to select the location of the housing plots; (iii) the unskilled job opportunities will be provided to them during construction and maintenance.

6.5 Restoration of the Land Occupied Temporarily 13. For the arable land temporarily occupied by the project, compensation will be given to the affected HHs at CNY1,000/mu per year. Before implementation of the project, the IA is required to discuss and identify a compensation scheme and sign a temporary land acquisition agreement with each village committee. Representatives of the affected households are required to sign agreement on the temporary land occupancy which is then signed and confirmed by the village committee, and finally submitted to Chengkou County Land Resources Bureau for approval and filing records. The IA can use the land only after the approval-reply for the temporary land acquisition is issued. Period of temporarily expropriating land shall not exceed two years. When the project is completed, the IA is responsible for restoring original function of the land.

6.6 Restoration of Affected Ground Attachments 14. Ground attachments to be affected by permanent land acquisition of the project primarily comprise young crops, ground structures and some specialized infrastructures. IA will provide compensation fee for the affected young crops. In terms of facilities such as electricity poles and wires, IA will give compensation following the determined compensation rates.

15. For the 10 graves affected by the project, the resettlement implementing agency will issue a Notice of Matters on Grave Relocation in advance before land acquisition, and pay grave-relocation compensation to the grave relocation households at rate of CNY400/tomb. The village collectives will provide new land freely to relocate the graves, and the new land is still within the village and near the old location. The compensation is suffiient to build new tombs. Local custom of grave relocation here is identical to that of other places without special precautions, primarily on selection of a grave-relocation date according to Chinese FengShui (a kind of geomancy).

7 Estimates and Management of Resettlement Cost

7.1 Resettlement Budget 1. Total resettlement costs of this subproject are CNY12.3363 million, split into 2 parts: (i) CNY11.0145 million of basic expenses, including CNY7.5729 million as compensation and subsidy for permanent land acquisition, CNY36,000 as compensation fee for temporary land occupancy, CNY3.3150 miilion as compensation subsidies for HD and resettlement, and CNY90,600 as compensation cost for ground attachments; (ii) CNY1.3217 million of management and monitoring fee. For the detailed information, see Table 27.

Table 27: Fund Budget Sheet

No. Item Rate Unit Q’ty Total A Basic cost 11,014,523

I Permanent land acquisition 7,572,890

1 Land compensation rates 10000 CNY/mu 490.8 4,908,000 CNY/ 3 Resettlement subsidy 25000 104 2,600,000 person 4 Young crops compensation fee 1000 CNY/mu 64.89 64,890

II Temporary land occupancy 36,000 Compensation fee young crops in 1 1000 CNY/mu·Year 11 36,000 cultivated land Compensation for HD and Ⅲ 3,315,000 resettlement Reinforced 650 CNY/m2 370 240,500 concrete structure Brick-concrete 500 CNY/m2 2050 1,025,000 Compensatio structure 1 n fee for HD Brick-wood 350 CNY/m2 4380 1,533,000 structure Earth-wood 250 CNY/m2 560 140,000 structure Transition CNY200/person/ CNY/person- 2 200 155 186,000 Fee month in 24 months month CNY/ Subsidy for 3 persons and less 500 5 2,500 3 housing household moving 4 persons or more 1000 CNY/ household 33 33,000

4 Subsidy for One-off CNY1000 1000 CNY/ 155 155,000

No. Item Rate Unit Q’ty Total relocation to each person person

Ⅳ Ground structure ( attachments) 90,633

1 Enclosing wall 55 m3 170 9,350

2 Small flat Earth 3 m 170 510 2 ground Slabstone 7 m2 150 1,050

3 Manure pit 39 m3 12 468

4 Tomb 330 Tomb 10 3,300

5 Pole 99 Piece 5 495

6 Wire 3 m 800 2,400

7 Water channel 55 m3 300 16,500

8 Water well 330 piece 2 660

D 2-4cm 22 piece 240 5,280

9 Fruit tree D 4-7cm 33 piece 320 10,560

D 7-10cm 55 piece 220 12,100

D 3-5cm 6 piece 900 5,400

D 5-10cm 10 piece 500 5,000 1 Varied Trees D 10-15cm 20 piece 350 7,000 0 D 15-20cm 33 piece 350 11,550

D 25cm or more 55 piece 152 8,360

B Management and monitoring cost 1,320,063 Management cost for 1 At 5% of A 549,886 implementation of RP 2 Skill training for APs At 1% of A 110,145

2 External monitoring cost of the RP At 6% of A 660,031

C Total(A+B) 12,336,266

7.2 Funding Sources 2. According to the project construction plan, the resettlement money of this project belongs to Chengkou County financially-raised fund.

7.3 Fund Flow and Disbursement Plan

7.3.1 Fund flow 3. During implementation, the project will, in accordance with the compensation policy and compensation rates determined in the RP, audit an agreement of compensation and resettlement signed by Chengkou County resettlement implementing agencies and the households involved with land occupancy and HD, and then Chengkou County Finance Bureau will allocate the land-acquisition and HD compensation fees to the affected villages and towns which then will grant them to the affected collective economic organizations or individuals. Chengkou County project leading team conducts necessary supervision on and guidance to the use of such compensation fees to prevent misappropriation of this fund. For disbursement flow graph of the resettlement fund, see Fig. 3.

Chengkou County Finance Bureau

Compensation fees for land Compensation fees for young

use and resettlement crop and attachments

Compensation fee for HD Bureau

Affected collective AHs Affected farmers economic organizations and owners

Figure 3- Fund Flow Chart

7.3.2 Disbursement Plan 4. Disbursement and use of the compensation fund will be executed under supervision and management of an internal monitoring agency, and examined and verified by an external monitoring agency. Chengkou County Finance Bureau will allocate various sorts of compensation fees to each affected town according to construction project, and then grant them to the affected collective economic organizations and individuals:

All costs related to HD and resettlement will be included in the total project budget,

and compensation fee for HD-resettlement compensation fee and other cost will be paid directly to the relevant units and individuals; Use of land: County Resettlement Office will sign an agreement of land-acquisition compensation and ground attachment compensation with the towns’ and the villages’ committees affected by the project. Compensation funds will be allocated to the affected villages and towns by the County Finance Bureau in accordance with items, quantity, time and sum stipulated in agreement of land-acquisition compensation, and then disbursed to each collective economic organization, with compensation fees for ground attachments being paid directly to the owners. Housing: Land use unit will sign a written agreement with the APs on such contents as the compensation rates, mode of resettlement and demolition period. Compensation fund will be directly allocated to the APs. Other costs: The project implementing agency is entitled to use such funds. In case the budgetary reserve is in shortage due to inflation and other factors, it shall be immediately reported to the relevant departments.

8 Organizational Structure

8.1 Executive Agency 1. To do a well organization and leadership in project preparation and construction, Chengkou ADB Project Leading Team has been jointly formed by specific leaders from County Development & Reform Commission, Land Resources Bureau and Transport Bureau under the unified coordination of departments of Chengkou County Government, with the County Executing Vice-Head acting as the Team Leader, Director of the County Development & Reform Commission as deputy head, who are responsible for coordination among various departments. A PMO will be established under this leading team to perform overall management of the project implementation on behalf of Chengkou County Government. As the decision-making administrative agency of the project, it is responsible for specific work of the project management, including contact with ADB.

8.2 Resettlement Implementing Agency 2. Under the unified leadership of Chengkou County ADB Project Leading Team, Chengkou County ADB PMO is responsible for overall project management. IA is Chengkou County Traffic Construction Investment Group Co., Ltd., who is responsible for specific implementation of the project, including preparation and coordination of preparing a RP in early stage, coordination with the County resettlement implementing agency for APs’ resettlement during land-acquisition implementation, and M&E in later stage of the project implementation. In each affected township and village committee, members of this PMO will coordinate the work of resettlement. Relationship of its organizational structure is shown in Fig. 4.

Chengkou County ADB Project Leading Team

Chengkou County Traffic Development Corporation Internal External Monitoring Monitoring Chengkou County Land Resources Bureau Agency

Governments of涪陵区国土局 Townships where the Project is located

Persons Persons Equity affected by Figure affected by HD persons of 4-Organization Chart of land use ground Resettlement attachments Implementing Agency

8.3 Agency responsibilities

(1) Chengkou County ADB Project Leading Team 3. Its primary duties are to organize resettlement work of this project, take charge of policy development of the resettlement activities in the implementation areas of this project, and organize and coordinate relationship of the resettlement agencies at all levels. Coordinate work of relevant government departments in the stage of project preparation and implementation; Make decisions on major matters in relation to the construction and resettlement of this project.

(2) Chengkou County ADB Loan PMO 4. Its main duties are to deal with daily affairs of the RP and in the implementing process. As project management agency, its main duties are to comprehensively perform functions of management, planning, implementation, coordination, supervision and monitoring: Conduct coordination, management, supervision and services during project implementation; Report progress of project implementation to Chongqing Municipal Government and ADB competent department; Formulate annual financial plan; Organize and coordinate preparation of《Resettlement Planning Report》; Conduct quality control of the construction project; Carry out technical assistance to and research of the project implementation, and

conduct coordination of training; Preside and inspect activities of internal monitoring, and take charge of compiling the resettlement progress report; Give assistance to activities of external monitoring.

(3) IA 5. IA is Chengkou County Traffic Development Corporation, and specially-assigned persons are responsible for supervision and management of resettlement activities. Its main duties comprise: Organize to do purchasing by invitation to bid; Entrust consulting agency to compile RP; Participate in and coordinate resettlement survey; Authorize or organize implementation of resettlement; Conduct supervision on and management of resettlement activities; and Regularly report progress of resettlement to Chengkou County ADB PMO and submit Internal Monitoring report.

(4) Chengkou County Resettlement Implementing Agency Participate in preparation of RP; Implement resettlement activities pursuant to RP approved by ADB; Go through formalities related to land acquisition and HD; Give publicity to policy of resettlement and organize public participation; Put RP into practice, and submit it to IA and PMO for the record; Take charge of the fund disbursement, and submit copies of payment document to IA and PMO for the record; Address grievance and appeal arising during the resettlement

(5) Village Committee and Villager Group 6. Resettlement working team of the village committee and villager groups is composed of main cadres from the village committees and villager groups. Its duties include: Participate in socioeconomic survey and conduct investigation on project impact; Organize public consultation, and give publicity to policy on land acquisition and HD; Select sites for resettlement, and allocate homestead to the APs; Formulate land adjustment schemes and conduct land adjustment; Organize to implement activities such as agriculture and non-agricultural production resettlements; Be responsible for fund management and granting fund to specific households; Report opinions and suggestions of APs to relevant superior departments; Report progress of implementing resettlement; Offer help to the AHs with difficulties. (6) Designer Institution

7. Main responsibilities of the designer institution are as follows: In the planning and design stage, make accurate survey on land-occupancy HD physical indicators, environmental capacity and exploitable resources, etc. Assist the project area government to formulate resettlement program, compile compensation investment estimates of land-occupancy, HD and resettlement planning report, and preparing relevant drawings, etc. In the implementation stage, timely provide IA with design documents, technical regulations, drawings and notifications and offer the finalized design by stages to the PMO at various levels, help each Resettlement Office in implementation of AP relocation and production resettlement, and improve and perfect the resettlement planning scheme according to actual situation.

(7) External M&E Agency 8. Chengkou County ADB PMO will employ a qualified M&E unit as external M&E agency, whose main duties include:

As an independent M&E agency, it will observe all aspects of the implementation of RP and, conduct M&E of relocation and resettlement work, the implementation effect and APs’ social adaptability, and submit external M&E report of resettlement to the PMO and ADB. Offer technical consultation to municipal ADB PMO in aspect of data survey and processing.

8.4 Staffing and Facility of Resettlement Agencies 9. For the smooth proceeding of resettlement work, resettlement agencies of the project at all levels are equipped with special staffing to form an unimpeded information transmission channel. Resettlement agencies at all levels are primarily composed of the administrative personnel and professional technicians, who all have certain professional level and quality of management, with considerable experience of resettlement. Staffing of the resettlement agencies of this project is shown in Table 28. Table 28: Staffing of Resettlement Agencies Responsible No. Department Responsibilities Person Post Telephone Development & Project Leading Deputy 1 Reform Guo Xiaolian 13896963898 Team Director Commission Chengkou County Traffic General 2 IA Hu Xingjian 023-59227056 Development Manager Corporation Township CPC Liang Yibin Party 13996666651 Town’s Person in coordination Secretary Yanhe 3 Charge and Town Township Yang Township Contact Person 13983443501 coordination Dengxian Head Township Fu Hongshu Leader in 13896953118

Responsible No. Department Responsibilities Person Post Telephone coordination charge of such work Beipo Village Wu Branch 15320695856 Village Coordinator Chengxian Secretary Yinghong Village Village Liu Yiming Village Coordinator Officer Hongyan Village Village Mu Yongbin Village Coordinator Secretary Xiaoshuiba Village Gao Village

Shuanghe Village Coordinator Zhengzhou Secretary Town Xiaoshuiba Village Yang Village

Village Coordinator Youxue Officer

8.4.1 Facility Allocated 10. County and towns’ resettlement agencies of this project will utilize the existing resources, they have been equipped with basic office facilities, traffic equipment and communication devices, including office chair, computer, printer, telephone set, fax machine and vehicles, etc.

8.4.2 Traning Plan 11. Purpose of training: to train administrative sfaff and technical personnel in relation to resettlement of the project such that they can get aware of and master relevant contents of the resettlement to allow the resettlement plan of this project to be put into practice comprehensively.

12. Objects of training: based on the working content, the training is divided into 2 types: Resettlement managers - the purpose is to conduct training of the project’s executive management for resettlement and emergency measures. Purpose of training for them is to be aware of experience of the advanced nations in the aspect of the resettlement for highway construction and management, and give publicity to the staff working on the resettlment of this project. Staff in charge of resettlement - the purpose for them is to know about content, resettlement policy and measures to be taken for restoration involved with the project, and give assistance to the resettlement plan and ensure a smooth implementation. Way of training: the training is divided into 2 levels: training of senior management, which is sponsored by the resettlement office, where ADB officers, other governmental officials and experts will be invited to deliver lectures; training of common staff, which is sponsored by the District Resettlement Office and held in the district, to be directed by specially-assigned persons from the resettlement office of the project. Contents of training: including project profile and background, relevant laws & regulations, details, management, reporting procedures, cost management, M&E, report and handling of complaint, etc. in relation to the resettlement plan of the project.

9 Implementation Schedule

1. Implementation schedule of the RP activities proposed by this project is shown as Table 29. Activities of land-acquisition and HD are expected to start in February 2013, and finish in August that year. Table 29: Schedule of the Resettlement Activities Deadline for Agencies that Take Completion of No. Tasks Charge of Tasks Goal Tasks

Stage 1: Compilation and Review of Resettlement Report

1. Chengkou County Affected Traffic Development village Corporation; 1 Distribution of RIB collectives 2013.02 2. Chengkou County and Land Resources individuals Bureau 1. Chengkou County Traffic Development Distribution of finalized RP to Corporation 4 affected 2 2013.02 subproject office/affected villages 2. Chengkou County villages Land Resources Bureau

3 Post RP in ADB Website ADB 2013.02

Stage 2: DMS and Updating of RP

Chengkou County Conduct detailed survey on physical 4 Land Resources 2013.06 quantity based on final design Bureau 1. Chengkou County Traffic Development Update the RP based on the Corporation 5 2013.07 detailed survey 2. Chengkou County Land Resources Bureau

Stage 3: Signing Agreement on Land Use and Compensation Resettlement

Affected Signing Agreement of Chengkou County village 6 Land-Occupancy and HD Land Resources 2013.07 collectives Agreement Bureau and

Deadline for Agencies that Take Completion of No. Tasks Charge of Tasks Goal Tasks individuals

Affected Chengkou County village Disbursement of compensation 7 Land Resources collectives 2013.07 money Bureau and individuals

8 Building new houses AHs 10 AHs 2013.06

9 Moving to new houses 2013.10

Chengkou County 10 Demolition of old houses Land Resources 12 AHs 2013.06 Bureau Chengkou County The land is transferred to and used 11 Land Resources 2013.08 by the Project Bureau Replacement land to provided to 12 2013.08 APs

Stage 4: Implementation of Capability Building

1. Chengkou County Traffic Development Corporation Staff who Organize training of the persons 2) Employed implement 13 who are responsible for 2012.12 professionals resettlement compensation resettlement 3. Chengkou County work Land Resources

Bureau。

Chengkou County Establish an Appeal and Complaint 14 Traffic Development 2012.12 Committee Corporation

Stage 5: M&E

It was accomplished 15 Basal survey Monitoring agency 2013.06 in the stage of compiling RP

Deadline for Agencies that Take Completion of No. Tasks Charge of Tasks Goal Tasks Chengkou County Establish an internal monitoring 16 Traffic Development 2012.11 system Corporation 1) Chengkou County Signing a contract of external Traffic Development 17 2013.02 monitoring Corporation 2) Monitoring agency Chengkou County 18 Internal monitoring Traffic Development 2013-2015 Corporation

19 External monitoring Monitoring agency 2013-2015

Chengkou County Report on completion of 20 Land Resources 2015.12 resettlement Bureau

10 M&E and Reporting System

10.1 M&E 2. To ensure smooth implementation of the RP and achieve the goal of well arranged resettlement of APs, this project will conduct a regular M&E of the implementation of land-occupancy, HD and resettlement activities. Such monitoring is composed of 2 parts, internal monitoring of the resettlement agencies and external independent monitoring. M&E will start from February 2013, and finish 6 months after resettlement activities are completed and production and livelihood of the APs are restored. According to schedule of project construction and resettlement of Chengkou Project, internal monitoring and external monitoring reports will be submitted regularly to ADB semiannually.

10.2 Internal Monitoring 3. An internal monitoring mechanism will be established in this subproject to examine resettlement activities. By setting up a database of the land-occupancy, HD and resettlement, monitoring of all APs will be executed with the help of its compiled RP to the extent that entire process of the preparation and implementation of the resettlement activities is internally supervised and examined.

10.2.1 Implementing Procedures 4. During implementation period, the project implementing agency will collect and record the information on implementation of the resettlement based on the monitoring samples, and timely transmit the current activity record to the PMO so as to keep a continuous monitoring on implementation. The PMO will carry out a regular inspection of implementation.

10.2.2 Monitoring content 5. Monitoring content primarily comprises: Land-occupancy and payment of compensation money to the APs; Restoration of APs’ income, including location and conditions of the newly-allocated land; Housing restoration, including allocation of homestead; Staffing, training, operating schedule and handling efficiency of the resettlement agencies; Grievance redress and appeal registration of the APs.

10.2.3 Internal Monitoring Report 6. Semiannually, the project implementation agency will compile an internal monitoring report, and submit it to the PMO which will make a summary at the end of each year, and report it to Chongqing ADB Loan PMO and ADB.

10.3 External Independent Monitoring

10.3.1 Purposes and Tasks 7. Purpose of external M&E is essentially to conduct a regular M&E of the land-occupancy, HD and resettlement activities outside the resettlement agencies to evaluate if goals of

resettlement are achieved. Through external M&E, opinions and recommendation on entire process of the resettlement and restoration situation of the APs’ production and living standard will be proposed, thus providing an early-warning system for the project management department, and a channel of response for the views of the APs.

8. The external monitoring agency will serve as an adviser of administrative organization and project implementation agency of this project, who will conduct tracking M&E of the implementation activities of the RP, and propose its views for decision-making.

10.3.2 Independent Monitoring Agency 9. Pursuant to ADB requirements, this project will authorize a unit with qualification to act as independent external M&E agency. This external independent monitoring agency will implement all elementary monitoring works by offering technical assistance to the project institutions at all levels, and survey on living standard of the APs according to relevant provisions.

10.3.3 Steps and Contents of Monitoring 10. Steps and contents of monitoring are as follows: (i) Compile work outline of M&E (ii) Draw up investigation outline, survey form and record card of the affected residents (iii) Scale of scheme design samples for sample survey: proporation of households affected by land-occupancy will be no less than 20%; and that of APs no less than 50% . (iv) Basal survey. Conduct basal survey required for independent M&E of the villager households affected by land-occpancy of this project to acquire basic data about living standard (level of livelihood, production-management and income) of the monitored APs. (v) Set up a M&E information system. Establish a M&E information system, where, various sorts of data involved with M&E are to be classified to build databases which provide computer aid for analysis, tracking and monitoring. (vi) Survey of M&E: a) Evaluation on the ability of the resettlement agencies: Make a survey on working ability and efficiency of the resettlement agencies b) Monitoring of progress, compensation rates and typical APs: Conduct monitoring of cashing the residents’ compensation money, status of income restoration and quality of resettlement c) Public participation and consultation: Participate in compilation of the project’s RP and APs’ public participation in activities during the implementation, and monitor effectiveness of APs’ participation d) Appeal of APs: Monitor grievance redress and appeal registration of the APs. (vii) Monitor data collection and establish databases (viii) Perform comparative analysis (ix) Write M&E report according to the monitoring plan

10.3.4 Monitoring Indicators 11. Major M&E indicators:

(i) Progress. Including preparation and implementation of land acquisition, HD and resettlement. (ii) Quality. Including implementation results of the resettlement measures and satisfaction of the resettlement objects. (iii) Investment. Including allocation and use of funds.

12. M&E will be carried out based on the survey data provided by the Survey and Designing Institute and resettlement implementation agencies. After getting a full awareness of the situation, evaluation will be conducted by way of holding interview with key objects and the rapid evaluation of rural area. Usually, the external M&E agency will carry out following works.

(i) Execution of public consultation. The independent monitoring agency will participate in public consultation meetings held in villages and towns. Accordingly, the monitoring agency is able to evaluate effectiveness of public participation and cooperative attitude of the APs to implementation of the RP. These activities will be conducted in the period of and after the implementation of resettlement.

(ii) Collection of opinions of villagers along the highway. The independent monitoring agency will frequently meet representatives of the resettlement agencies and the villagers’ representatives to acquire opinions collected by them. This monitoring agency will report opinions and suggestions from the affected individuals and collectives to the resettlement agency, and propose advices for improvement such that resettlement work can be implemented more smoothly and effectively.

(iii) Other duties. The independent monitoring agency will offer its suggestions on the RP to the resettlement agency, and monitor implementation of the following resettlement activities.

13. The external monitor will also verify the data and findings of the internal monitoring reports.

10.3.5 External Monitoring Report 14. Based on the materials obtained from observation and survey, the external monitoring agency will compile an external monitoring report, and independently report it to Chongqing PMO which will submit the report to ADB.

(i) Period

15. M&E will start from February 2013, and finish 6 months after the resettlement activities are completed and production and livelihood of the APs are restored. Pursuant to ADB requirements, in the stage of implementation, the external monitoring shall be performed twice a year, one conducted in the middle of the year and one at end of the year: after implementation of land-occupancy and HD is completed, the external monitoring will be carried out once at end of each year.

Table 30: Schedule of Monitoring and Evaluation

Item M&E Report Date

1 Baseline Survey Report 2013.06 2 NO 1 M&E Report 2013.12 3 NO 2 M&E Report 2014.06 4 NO 3 M&E Report 2014.12 6 Resettlement Completion Report 2015.12

(ii) Contents

a) Basal survey of APs; b) Schedule of land-occupancy, HD and resettlement; c) Land adjustment, production resettlement and restoration; d) APs’ house demolition and reconstruction resettlement; e) Implementation schedule of special facilities; f) Change of APs’ living standard; g) Put resettlement fund into practice and its use; h) Operation and efficiency evaluation of the APs’ relocation & resettlement executing agency; i) Support to the vulnerable groups; j) Functions of the resettlement implementation agencies; k) Problems and suggestions.

Appendix 1: Related Laws and Regulations

Notification of Chengkou County Government on Policies of Compensation and Resettlement for Land Acquisition and House Demolition

(CHENG FU FA [2008] No.33 Document) I. Adjustment of Way and Rates of Land Acquisition Compensation Resettlement In tems of land acquisition, land compensation fees, resettlement subsidy and ground structures (attachments) & young crops compensation fees shall be paid according to law. Land compensation fees and resettlement subsidy are calculated separately.

(I) Land Compensation Fees. Based on land value and socioeconomic development level of the area, rural collective land of the county is divided into 3 categories of area, where, regardless of type and region of land, land compensation fees will be calculated based on area of acquired land. At Category 1 area, the rate of land compensation fee is CNY12000/mu; at Category 2 area, that of land compensation fee is CNY11000/mu; and at Category 3 area, that of land compensation fee is CNY10000/mu.

(II) Resettlement subsidy. Resettlement subsidy is calculated based on number of agricultural population who become urban residents, and rates of resettlement subsidy for each member of agricultural population becoming urban resident is CNY25,000.

(III) Compensation fees for young crops and ground structures (attachments)

1. Young crops compensation. Young crops compensation is calculated based on cultivated land area of the acquired land, and compensation rate will be executed pursuant to related rate stipulated in policies of Chengkou.

2. Ground structure compensation. Compsensation rate for ground structure will be implemented according to related rates in policies of Chengkou.

(IV) Compensation and resettlement of rural HD due to land acquisition

1. Identified evidence of compensation for HD. Compensation for rural HD on acquired land wil be based on collective land deed of expropriation and certificate of ownership of rural houses. Newly-built houses which failed to timely get collective deed of expropriation of rural houses and ownership certificate of rural houses will be based on approval letter for the land used for building urban and rural residents’ houses and license of rural construction planning as well as other relevant legal approval procedures. Buildings (structures) without approval will not be compensated.

2. Check and ratify compensation area of HD. Compensation area of rural houses on exproriated land is ratified by the legal area with registration of title. The land with legal basis but without registration of title is ratified by the area measured by the land acquisition implementing agency. Measurement of housing area is uniformly executed pursuant to relevant national norms on measurement.

3. Compensation rates of HD. Compensation rate of rural HD due to land

acquisition will be executed according to relevant standard in policies of Chengkou.

4. Way of housing resettlement. Ways of housing resettlement include resettlement of getting money, resettlement of self-building houses and resettlement of purchasing unified-built houses.

Resettlement of self-building houses. Agricultural house-demolished households with part of land expropriated in the planned regions such as towns, industrial parks and scenic zones of above municipal level (except a household whose all members have changed from rural residents to urban inhabitants) will be compensated according to the rate of the building area that ought to be resettled and in combination with average construction and installation costs of local urban residents’ houses at that time, and then they will apply for self-building houses in accordance with the provisions of rural homestead management.

5. Rates such as house moving subsidy. House moving subsidy: For AHs whose houses are moved in the stipulated period, a lump-sum house moving subsidy will be calculated and paid to them based on a household. A household with 3 members or less will get CNY500, and a household with 4 or more members will get CNY1000. Subsidy for temporary transition household will be calculated and paid twice.

Rates of transition. One who belongs to resettlement of purchasing unified-built houses at preferentical price will be calculated according to actual time period of transition; one who belongs to resettlement of self-building house will be calculated according to a transition period no more than 6 months, then each member of such family will monthly get CNY 200 as subsidy for transition.

Subsidy for relocation. For one who belongs to resettlement of getting money for housing and self-building house, each person will be given a lump-sum of CNY1000 as subsidy for relocation.

Appendix 2：TOR of External Monitoring and Evaluation

A. Purpose of Monitoring and Evaluation Pursuant to requirements of resettlement policy formulated by Asian Development Bank, external M&E of this project are required to be conducted. A tracking-evaluation on the work of land-acquisition and resettlement of this project will be carried out by inspecting the schedule, fund and management of land acquisition, house demolition and resettlement, and comparative analysis of change and restoration of level of production and living standard of the affected APs. Information and suggestions will be proposed to each department for reference in decision-making while reports are regularly submitted (twice a year during resettlement implementation period) to ADB, Chongqing Municipal Project Office and relevant competent departments. The external M&E will allow ADB and the competent department of the project to get comprehensive awareness of the project and see if work of the land-acquisition and resettlement is implemented on schedule, and expected goals are achieved in terms of quality, and make suggestiongs to improve the work.

B. Main Contents of M&E 1. M&E of the schedule of implementing land-acquisition and house demolition, includes:

(i) progress of land acquisition; (ii) progress of temporary land occupation; (iii) progress of house demolition and relocation.

2. M&E of fund, which includes:

(i) availability of funds; (ii) utilization of funds (planned vs. actual).

3. M&E of living standard of the APs. It includes:

(i) Status of the living standard before and after LAR; (ii) Comparative analysis and evaluation of the migants’employment and living standard before and after resettlement.

4. Evaluation on capacity of the implementing agency and public participation, complaint and appeal.

5. The external monitor will also verify the data and findings of the internal monitoring reports.

C. Technical Route Technical route of external M&E is shown in Fig. 1.

Project Initiation

Compile outline of monitoring and evaluation

Compile survey outline, survey table, record card of typical households

Design of sampling survey scheme

Basal survey

Set up a management information system of monitoring and evaluation

Monitoring survey

Socioeconomic Migration Effect of Effect of Land Implementation land-expropriation expropriation-house Survey of the Monitoring of agency Monitoring of demolition Villages-groups Monitoring of Region Househosld

Sort out monitoring data and set a database odate

Comparative analysis and evaluation

Compile report of monitoring and evaluation

NO Whether migration monitoring is completed

Completed

Fig. 1: Technical Route of External M&E

D. External Monitoring Agency Chongqing Project Office authorizes an external monitoring agency recognized by ADB to conduct work of M&E of the resettlement of this project.

E. Organization and Division of Work of M&E Chongqing Municipal Project Office authorizes an external M&E agency to conduct specific survey, data acquisition and computation analysis, and examine the results. “M&E Team is formed in the external monitoring agency. Its tasks comprise: Pursuant to involuntary resettlement of Asian Development Bank, it conducts M&E of resettlement of this project, takes charge of preparing an outline of M&E, sets up monitoring points, performs field survey & monitoring and internal analysis, and compiles report of M&E. Chongqing Municipal Project Office will cooperate with its work in the aspects of personnel arrangement and traffic convenience in the field survey period conducted by the M&E team.

F. Method of M&E Field survey, computational analysis and experts’ comprehensive evaluation are combined to perform M&E. Survey is carried out in combination with the investigation carried out at selected spots and in entire areas. A comprehensive survey on schedule, fund, agency and management of the resettlemnt implementation will be performed. And sample survey of the relocatee households will be conducted. Sample survey adopts method such as random sampling by classification to perform tracking investigation on typical sample relocatee households. (Scope of sampling: 20% of the households affected by land-acquisition and house-demolition, and 50% of the affected villages, and sample households are selected with random sampling). Overall survey adopts ways such as the survey by filling up tables, panel discussion, and consulting archival data. . Attention shall be paid to the collection of photos, audio, videos, material objects in addition to the text data.

G. Report of External M&E Pursuant to project schedule and requirements of ADB, the external M&E agency shall regularly submit monitoring report and evaluation report to Asian Development Bank and Chongqing Municipal Project Office (generally, once semiannually). Table 1: Schedule of Monitoring and Evaluation M&E Report Date 1 Baseline Survey Report 2013.06 2 NO 1 M&E Report 2013.12 3 NO 2 M&E Report 2014.06 4 NO 3 M&E Report 2014.12 6 Resettlement Completion Report 2015.12

Appendix 3: Resettlement Information Booklet (RIB)

Resettlement Information Booklet

A. Project Background 1. Urban & Rural Road-Network Reconstruction Subproject, Chengkou County is a subproject of ADB-Fianced Chongqing Urban and Rural Infrastructure Development II Project. Construction site of this subproject starts from Yinghong Village of Yanhe Town (original Zhongxi Town), and ends at Xiaoshuiba Village of Shuanghe Town; Design standard is Grade IV, two-way 2 lanes, asphalt macadam with roadbed width of 6.5 m and traffic lane width being 2×3.0m, designed speed per her hour 20km/h. The whole subproject is 10.188km long, where, 2 bridges of 100 meters, 39 culverts and a 1510m tunnel will be laid along the line.

B. Resettlement Plan 2. This resettlement plan is prepared according to relevant requirements of ADB and Chinese policies, based on detailed survey and soliciting full views of the rural residents. The plan has summarized related policy framework and, through a series of public participation activities and consultation, proposed effective measures to mitigate negative impact of the project. For the Chinese government and the Asian Development Bank, the primary purpose of the resettlement plan is to ensure that the living standard of those losing land or properties inevitably in a development project is equal to or even better than the "without project" scenario. All policies, suggestions and measures included in this RP are committed to this purpose.

C. Project Impact 3. This subproject will permanently occupay 490.80 mu of rural collective land, including 64.89 mu of arable land, 11.4 mu homestead, 187.36 mu woodland and 227.15 mu uncultivated land, which will affect Chengkou county’s 2 townships, involved with 4 villager groups of 2 villages, a total of 630 persons in 168 households; Temporary land occupancy will be 68 mu, including 11 mu of cultivated land and 57 mu uncultivated land, affecting Chengkou county’s 2 villages of 2 towns, involved with a total of 114 persons in 28 households; Rural residential houses with area of 7360 m² will be demolished, all belonging to rural premises. In tems of house structure, they are split into reinforced concrete structure (370 m² ), brick-concrete structure (2050 m²,) brick-timber structure (4380m2 ) and earth-timber structure (560m2), having influence upon the county’s 2 groups of 2 villages, involved with a total of 155 persons in 38 households. In addition, it has an impact on 10 categories of ground attachments such as enclosing walls, wells, tombs and electric poles.

D. Compensation Rates 4. Resettlement policy and compensation rates of this subproject will be executed strictly following above policies. Compensation rates for all kinds of impact are shown in Tables 1, 2 and 3.

Table 1: Compensation Rates of Permanent Land Acquisition

Resettlement Young crops compensation rates (CNY/mu) Land compensation subsidy rates (CNY/mu) Vegetable (including (CNY/person) Grain commercial crop) 10000 25000 1500 1000

Table 2: Compensation Rates of House Demolition Housing Compensation Rates (CNY/m2) Other Compensation Rates (CNY) Reinforced Brick- Brick- Earth- Subsidy Way of concrete concrete wood timber Transition for house Subsidy for resettlement structure structure structure structure rate moving HD Resettlement 650 500 350 250 CNY200/ Lump-sum For By Person/ subsidy for resettlement self-building month will their by houses be given house self-building based on 6 moving houses, months. will be each AP will When it is paid get CNY over 6 based on 1000 of months, a lump-sum CNY200 household subsidy for will be also with relocation given to CNY500 each to a person household monthly. with 3 members or less, and CNY1000 to a household with 4 or more members.

Table 3 Compensation Rates of the Affected Ground Attachments

No. Type of Buildings Unit Rates Material Structure 7 Water channel m3 55 Masonry 8 Well Well 330 Motor-pumped well Diameter: 2-4 cm Piece 22 9 Fruit trees Diameter: 4-7 cm Piece 33 Diameter: 7-10 cm Piece 55 Diameter: 3-5cm 6 Diameter: 5-10 cm 10 10 Varied trees Diameter: 10-15 cm 20 Diameter: 15-20 cm 33 Diameter: > 25 cm 55

5. The time standard for identification of AP qualification is the date when the notice of land-acquisition and HD was announced. After that date, the APs shall not newly-build, extend and rebuild the houses; shall not change uses of the houses and land; shall not lease the land, and shall not lease, buy and sell their houses. Personnel who swarmed towards this site after this date shall not have qualification of resettlement compensation.

Degree of Affected Type of impact impact people Compensation policies and rates Rights Permanent rural 490.80 mu, Land 1) Land compensation rates: CNY10,000/mu. (i) The village will receive land collective land including acquisition 2) Resettlement subsidy: CNY 25, 000/person. compensation fees and acquisition 64.89 mu of the 3) CNY1,500/mu young crops compensate fee for vegetables, and resettlement subsidy; cultivated project CNY1000/mu for grain. (ii) Compensation for standing land, and involves 4 crops will be paid to the 425.91 mu villager AHs; uncultivated groups in 2 (iii) The AHs will receive free land. villages of 2 training; towns, (iv) The village collective will totally use the compensation for affecting community facilities; 630 persons (v) Jobs during construction in 168 and maintenance will be households provided; (vi) Replacement land of equivalent quantity and quality will be provided to APs; and (vii) During the transition period when low quality of land needs to be improved, cash compensation based on AAOV will be paid to the AHs. Temporary 68 mu, Producing Compensation rate is CNY1,500/mu for vegetable, and CNY1000/mu for Conduct on-the-spot Land-occupancy including 11 an impact grain. measurement and consultation, mu cultivated on totally and the IA will pay the

Degree of Affected Type of impact impact people Compensation policies and rates Rights land, and 57 114 persons compensation in cash to the mu of 28 collectives or individuals who uncultivated households execute a contract of the land land. in 2 villages and restore the land. of 2 towns. 7360 m² will Affecting A Compensation Compensation rate (i) Receiving house Rural HD be totally 155 for houses compensation at demolished, persons of Reinforced 650 replacement cost, and including 370 38 concrete structure transition subsidy, moving m² of households, Brick- concrete 500 subsidy and relocation reinforced involved structure subsidy; concrete with 2 Brick- wood 350 (ii) Providing housing plots in structure, villager structure the same community 2,050 m² groups of 2 provided by local village Earth-timber 250 brick-concrete villages in 2 freely. structure structure, towns. B Subsidy 4,380 m2 Transition subsidy CNY200/Person/month will be given brick-wood based on 6 months. When it is over 6 structure and months, CNY200 will be also given to 560 m² each person monthly. earth-timber Subsidy for house Lump-sum subsidy for their house houses. moving moving will be paid based on a household, with CNY500 to a household with 3 members or less, and CNY1000 to a household with 4 or more members. Subsidy for HD For resettlement by self-building

Degree of Affected Type of impact impact people Compensation policies and rates Rights houses, each AP will get CNY 1000 of lump-sum subsidy for relocation

Vulnerable 6 mu land will 14 HHs and (i) The villages will provide groups be acquired 50 persons necessary assistances and 270 m2 before, during and after houses. relocation; (ii) They can have the

Degree of Affected Type of impact impact people Compensation policies and rates Rights priorities to select the location of the housing plots; (iii) The unskilled job opportunities will be provided to them during construction and operation.

E. Appeal Mechanism 6. To ensure that opinions of the APs on such issues as land occupancy, compensation and personnel resettlement can be solved in an open and fast way to avoid APs of the project to be forced to resort to adopt complex formal channels to express their dissatisfaction or complaint, the IA has established handling procedures involved with appeal of the project, with specific steps as follows: Step 1: In case the APs or village committees have any objection to the land compensation resettlement plan, they can propose an oral or written appeal to the township government. If they file their appeal orally, it is required to be addressed by the township government with a written record. The township government shall make a disposition within one week; Step 2: In case the APs are still unsatisfied with the disposition in Step 1, they can still appeal to Chengkou County Land Resources Bureau or the Relocation Office in accordance with relevant laws and regulations of Chongqing, the Land and Resources Bureau or the Resettlement Office shall make a disposition within 10 days; Step 3: In case the APs remain unsatisfactory with the disposition in Step 2, they can lodge an appeal to Chengkou County PMO after receiving the disposition, and the PMO shall make a disposition within one week;

7. APs can decide to go through the legal system directly and may decide not to use the project level grievance channels.

8. APs can file a lawsuit aiming at any aspect of the resettlement, including compensation rates etc. The above channel of appeal will be notified to APs by way of meeting and RIB so that the APs can get a full awareness of their right to appeal. At the same time, the media will be utilized to strengthen publicity, and the opinions and proposals of various aspects on the work of resttlement will be solidified into information provisions, which shall be studied timely and solved by the resettlement agencies at all levels. All these agencies shall receive complaints and appeals from the affected people free of charge, and reasonable expenses arising therefrom will be paid out from unforeseeable fee of migration resettlement. For channel of appeal, see Figure 2, and ways of contacting persons responsible for appeal channels in all stages are shown in Table 19.

9. The aggrieved person may also express grievance to the external monitor, who would then report it to CCLRB, the IA, and the PMO. Alternatively, the aggrieved person(s) may submit a complaint to the ADB’s Project Team to try to resolve the problem. If good faith efforts are still unsuccessful, and if there are grievances that stemmed from a violation of ADB's safeguard policy, the APs may appeal directly to ADB in accordance with ADB's Accountability Mechanism (2012).2

10. For ways of contacting personnel responsible for appeal channel in each step, see Table 4.

2 Before submitting a complaint to the Accountability Mechanism, the affected people should make a good faith effort to solve their problems by working with the concerned ADB operations department. Only after doing that, and if they are still dissatisfied, should they approach the Accountability Mechanism - http://compliance.adb.org/.

Table 4: Contact Persons in Charge of Appeal Channels in All Steps Responsible Item Way for Appeal person Post Telepone Yanhe Town Government Yang Dengxian Township Head 59501500 Step 1 Shuanghe Town Yuan Hongfu Township Head 59295500 Government Chengkou County Land Step 2 Zhang Yiqin Deputy Director 59222935 Resources Bureau Deputy Director of Step 3 Chengkou County PMO Guo Xiaolian Development & 59223581 Reform Commission Director of County Chengkou County Legal Chen Yangchao Office of Legislative 59226099 Department Affairs Director of County Chengkou County Discipline Inspection Discipline Inspection Zhang Guoyi 59223334 Commission-Petition Department Letter Office Chengkou County Petition Director of County Xiao Tiyong 59221221 Letter Department Petition Letter office

Appendix 4: Endorsement letter from CCLRB and affected villages on

land using

Chengkou County Land Resource and Housing Bureau

Dear Chonging PMO, The Project will improve the transportation condition for the people living nearby. It is a people's well-being project and a key county road. The project will occupy some existing country road and also will occupy some new farmland. A meeting was held on May 28 to discuss the land using for this project. Officials from Chengkou County Land Resource and Housing Bureau, County Development and Reform Bureau, Transportation bureau, Yanhe township government, Shuanghe township government, and village leaders of all affected villages attended the meeting. According to the discussion, the per capita land holding in the affected villages is more than 1 mu averagely, and the project will only occupy a few lands and the impacts are scattered. Land occupation will not severely affect local farmers’ livelihood. So all affected villages think land using of this project need to follow the policies and practice for country road implemented in the past, which are (i) the project road is country road, and the farmland to be used for the project is due to agricultural interior structural adjustment; (ii) the compensation standard for the villages should be the same as permanent land acquisition, and the village will use the compensation for development to mitigate the loss of land; (iii) the project implementation agency will have the right to construct and management, and the collective economy organization can’t interfere.

Regards,

Chengkou County Land Resource and Housing Bureau 2012/6/8

Shuanghe Town, Jiaoshuiba Village, Group 1 Endorsement letter for the land using3

County Land Resource and Housing Bureau,

In order to support the construction of the Road, we hereby endorsed that: i. Supporting the construction of the Road. This project will improve our living condition and bring better transportation condition. It will also increase our income. We support the project due to our own needs. ii. Construction of the Project will mainly occupy existing country road and also will occupy a few farmland. The per capita land holding in our villages group is more than 1.2 mu. Land occupation will not severely affect our collective economy organization. We recommend the compensation standard should be the same as permanent land acquisition, and the resettlement for the APs will be land-based agricultural resettlement. The collective economy organization will solve the resettlement according to relevant policies. iii. The Road is country road and will service the farmers along the roads. The approval procedures for transferring farmland to construction land will not be applied, and the farmland to be used for the project is due to agricultural interior structural adjustment. The implementation measures are mentioned in the provision II.

Shuanghe Town, Jiaoshuiba Village, Group 1

2012/06/06

3 This is one example of the endorsement letter from the affected village group. All affected village groups sent endoresement letters during preparing the RPs.