Resettlement Plan

July 2014

PRC: Hunan Flood Management Sector Project

Resettlement Plan and Due Diligence Report for Fenghuang County (Non-Core Subproject)

Prepared by Hunan Hydro and Power Design Institute for the Hunan Provincial Project Management Office (PMO) of Urban Flood Control Project in Hilly Region Utilizing ADB Loans, Fenghuang County PMO of Urban Flood Control Project Utilizing ADB Loans, and the Asian Development Bank.

GSDS Certificate Grade A No.180105-sj GSDK Certificate Grade A No.180105-kj GZ Certificate Grade A No. 1032523001 SBZ Certificate Grade A No. 027

Hunan Province Fenghuang County

Urban Flood Control Project Utilizing ADB Loans

Resettlement Plan and Due Diligence Report

(Final version)

Hunan Provincial PMO of Urban Flood Control Project in Hilly Region Utilizing ADB Loans Fenghuang County PMO of Urban Flood Control Project Utilizing ADB Loans Hunan Province Hydro and Power Design Institute July, 2014 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Approved by: Xiao Wenhui

Ratified by: Zhang Kejian

Examined by: Xie Dahu

Checked by: Yu Bo

Compiled by: Liu Yiwei

Main Designers: Zhang Tao Pei Xijun Zhao Gengqiang

Tan Lu Liu Yiwei Yu Bo

Huang Bichen He Jiqiang

Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Notes to this Update

During the PPTA phase of this Project, a Resettlement Plan for Hunan Flood Management Sector Project of Fenghuang County (hereinafter as Original RP) was compiled in Sep. 2009 based on the Feasibility Study Report of the Project according to requirements of ADB’s Policy which has reviewed and approved at that stage. In May 2010, with the supports from project-affected county governments, town governments, villages, resettlers and design units, Fenghuang Water Resources Bureau completed recheck on project impacts, as well investigation and study on the Project compensation policies and standards, and resettlement scheme, etc. In July 2010, Hunan Province Hydro and Power Design Institute updated the original plan according to detail designs and resettlement implementation of the Project and submit the RP to ADB for approval in 2010. After this, during the an ADB mission conducted in December 2011, it was learned that part of land acquisition and house demolition of Urban Flood Control Project of Fenghuang County (UFCPFC) were carried out in 2005/06 in anticipation of ADB funding before ADB’s approval of the respective RP and with financing under a different domestic project. Based on the safeguard policy requirements of ADB, a DDR was required by the mission to account for this. Under this situation, a DDR was prepared and annexed in the annex 3.

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Contents

NOTES TO THIS UPDATE ...... I CONTENTS ...... I EXECUTIVE SUMMARY ...... 4 A. Status of Resettlement Plan...... 4 B. Scope of Land Acquisition and Resettlement ...... 4 C. Policy Framework and Entitlements ...... 4 E. Institutional Arrangements ...... 5 F. Vulnerable Group ...... 5 G. Consultation and Grievance Redress ...... 6 H. Monitoring and Reporting ...... 7 I. Finance and Implementation Schedule ...... 7 1. GENERAL DESCRIPTION OF PROJECT ...... 9 1.1 Project Background ...... 9 1.2 General Situation of Project...... 11 1.3 Affected Scope of Project ...... 12 1.4 Compilation of Resettlement Plan ...... 13 2. PROJECT IMPACTS ...... 15 2.1 Measures for Avoiding or Reducing to the Minimum the Land Acquisition and Relocation Impacts ...... 15 2.2 Investigation on Project Impacts ...... 17 2.3 Investigation Results on Project Impacts ...... 18 3. NATURAL AND SOCIO-ECONOMIC CONDITIONS OF THE PROJECT-AFFECTED AREAS ... 18 3.1 Natural Conditions of the Project-Affected Areas ...... 18 3.2 Socio-Economic Conditions in the Affected Areas of Project ...... 20 3.3 Socio-Economic Conditions of Townships (Sub-districts) and Villages in the Affected Areas of the Project ...... 22 3.4 Social and Economic Effects for Resettlement to the Affected Population ...... 25 4. LEGAL FRAMEWORK AND POLICY ...... 43 4.1 Main Chinese Laws & Regulations and Policies for Resettlement ...... 43 4.2 Relevant Articles of the ADB ...... 38 4.3 Compensation Standards for Project ...... 39 4.4 Table of Entitlement Matrix ...... 42 5. RESETTLEMENT AND REHABILITATION MEASURES ...... 44 5.1 Resettlement and Rehabilitation Objectives ...... 43 5.2 Resettlement Population Calculation ...... 43 5.3 General Scheme for Resettlement ...... 44 5.4 Environmental Capacity Analysis ...... 47 5.5 Resettlement Plan ...... 48 5.6 Economic Rehabilitation Planning for Resettlers...... 53 5.6 Planning of Relocation and Reconstruction Special Facilities ...... 72 5.7 Vulnerable Groups Resettlement and Rehabilitation ...... 73 6. INSTITUTION AND RESPONSIBILITIES ...... 75 6.1 Resettlement Engaging in the Resettlement Planning ...... 80 6.2 Institutions and Responsibilities of Resettlement Implementation Management ...... 80

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6.3 Supervision Institutions ...... 84 6.4 Resettlement Management System ...... 85 6.5 Personnel and Facilities of Resettlement Institution ...... 85 6.6 Training Plan ...... 86 6.7 Measures for Institution Consummating ...... 88 7. PUBLIC PARTICIPATION AND HARMONIZATION WITH RESIDENTS IN RESETTLEMENT AREA...... 90 7.1 Public Participation Strategies ...... 90 7.2 Approaches and Measures of Public Participation ...... 90 7.3 Public Participation in the Process of Resettlement Planning ...... 91 7.4 Public Participation and Plan in Implementation of Resettlement Plan ...... 94 7.5 Women Participation ...... 95 7.6 Harmonization with the Residents in Resettlement Area ...... 96 8. APPEAL PROCEDURE ...... 97 8.1 Possible Complaint and Problems Solving Methods ...... 97 8.2 Appeal Channel and Procedure ...... 98 9. ENVIRONMENT PROTECTION AND MANAGEMENT ...... 100 9.1 The Necessity of Environment Protection ...... 100 9.2 Liquidation of Relocation ...... 100 9.3 The Environment Management of the Resettlement Area ...... 101 10. MONITORING AND EVALUATION ...... 103 10.1 Internal Monitoring ...... 103 10.2 External Monitoring ...... 104 10.3 The Evaluation of Resettlement ...... 113 11. RESETTLEMENT COST ...... 114 11.1 Compilation Reference and Principle ...... 114 11.2 Resettlement Funds ...... 115 12. RESETTLEMENT PROGRESS ARRANGEMENT ...... 116 12.1 Progress Plan ...... 116 APPENDIX 1: RESETTLEMENT INFORMATION BOOKLET ...... 117 APPENDIX 2: DUE DILIGENCE REPORT OF URBAN FLOOD CONTROL PROJECT OF FENGHUANG COUNTY ...... 129 APPENDIX 3: ORIGINAL DESIGN MAPS AND SCHEMATICS AND THE ACTUALLY IMPLEMENTED DESIGN ...... 149

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Executive Summary

A. Status of Resettlement Plan 1. The proposed Hunan Province Fenghuang County Urban Flood Control Project will finance the following items: 1) newly-built flood control earth embankment of 5.084km along Tuojiang River; 2) treatment of Tuqiao brook waterway of 2.85km and Xiaoxikeng waterway of 1.3km; 3) reconstruction of 26 bridges over Tuqiao brook in the urban area; 4) newly-built Shawan and Mianzhai flood diverging canals, with a length of 2.25km. The resettlement plan includes all the above parts, and all the project impacts and resettlement measures are based on the preliminary design and a detailed survey of all the indices. The resettlement modes and compensation standards have been reviewed and endorsed by Fenghuang County People’s Government. The resettlement plan of land occupation which is included in the planning construction scheme contradicts the new Fenghuang Conservation Regulation by Xiangxi Autonomous Prefecture. According to Fenghuang Conservation Regulation and the requirements of engineering implementation, the PMO of Fenghuang Subproject wants to adjust the engineering scheme. The adjusted scheme no longer concerns land occupation and demolition. 2. The project executing agency for the Hunan Flood Control Project is the Key Project Office of Hunan Province Water Resources Department (HPWR). For the proposed Fenghuang Urban Control Subproject, the Local Project Management Office (LPMO) in Fenghuang Water Resources Bureau is the project implementation agency. This resettlement plan has been prepared by LPMO under the guidance of PPMO and assistance of Hunan Hydro and Power Design Institute (HHPDI) and ADB consultants.

B. Scope of Land Acquisition and Resettlement 3. The proposed Fenghuang urban flood control Subproject will affect 1 villager’s group of 1 village (residential committee) of Tuojiang Town in Fenghuang County. According to the detailed impact assessment, 0.023 ha. of land, which is all collectively-owned land (namely the dry farmland), will be occupied. 4. Except for land acquisition, there will be no other project influences (housing, special projects).

C. Policy Framework and Entitlements 5. For people unavoidably affected, the resettlement objective is to achieve equal or better income and living standards in line with the PRC Land Administration Law (1998) and the ADB’s Policy on Involuntary Resettlement. The Key Project Management Office under HPWR and Fenghuang PMO will ensure that

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any people losing land, housing, other assets or income source will be assisted to fully restore their income and living standards. The Hunan Provincial Government in 2000 issued Methods of Hunan Province for Implementing the Land Administration Law of PRC, which stipulates the regulations for land compensation, resettlement subsidies, young crop compensation, house compensation and other measures to carry out resettlement. According to the policy and its actual implementation, the total compensation (land compensation, resettlement subsidy and young crop) will be set at RMB 33,488 yuan per mu for dry farmland.

D. Resettlement Strategy 6. Efforts to minimize resettlement effects have been made after consultations with local officials during the setting of the alignment in the initial feasibility study. The adjustment of the preliminary design has resulted in only occupying 0.338 mu of land without interference of other subprojects.

E. Institutional Arrangements 7. Hunan Provincial Project Management Office (PPMO) will assume the overall responsibility for implementing resettlement for Hunan Provincial Flood Management Sector Project. Hunan Provincial Resettlement Management Office of PPMO will provide the guidance to the overall project implementation, take charge of coordination of working relationships among relevant project counties and districts and ensure successful implementation of both civil works and resettlement for all subprojects. For proposed Fenghuang Subproject, Fenghuang County People’s Government will set up Fenghuang County project leading group in order to reinforce the management of the project implementation, coordinate working relationships among relevant townships and towns, and ensure successful implementation of the resettlement program. Under the county project leading group, Fenghuang County Project Management Office is set up to be responsible for project implementation. Within LPMO, a resettlement management office is set up to carry out functions of resettlement planning and implementation for the subproject. With assistance of concerned townships and villages, the resettlement management office is responsible for consulting with APs, delivering the entitlements, supervising resettlement implementation and conducting resettlement monitoring and evaluation.

F. Vulnerable Group 8. Based on the investigation, the minority population affected by the project is 185 persons, accounting for

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54.73% of the total persons to be relocated. Many of them are Tujia and Miao nationalities, inhabiting in the same places for generations. They speak Chinese and intermarry with Han Nationality, which results in assimilation with Han Nationality in many aspects of living and social customs. 9. Of the total affected people, there are 24 vulnerable persons, mainly the widowed and old people, accounting for about 7.1 percent. Under the Resettlement Plan, vulnerable groups will receive the following additional assistance: (i) physical help in housing construction and relocation free of charge and (ii) a special subsidy will be paid to enable them to maintain their living standards while constructing their houses. The specific amount for such assistance will be determined according to the actual condition and their needs. For this purpose, The Key Project Management Office under HPWR and Fenghuang PMO agreed to set aside a special fund with 1 percent of total resettlement cost, which will be used to provide direct and needed help for those vulnerable people.

G. Consultation and Grievance Redress 10. The Land Administration Law of 1998 requires disclosure and consultation with people affected. The people affected have been notified about the key elements of the RP during meetings and interviews. Prior to implementation, there will be further consultations arranged by township and village officials to discuss specific impacts in each village and how they will be addressed. The people losing housing will be offered a choice of housing sites; and those losing agricultural land will have the opportunity to consider suitable income replacement alternatives. All villagers will also have input to decisions on how to utilize the collective compensation funds. 11. In July 2007, several months prior to resettlement implementation, a resettlement information booklet was distributed to all affected townships, villages and households by the resettlement office of Fenghuang County. The information booklet contains the resettlement scope, expected timeframe, compensation rates for land and other assets, other assistance to replace assets, relocation and economic rehabilitation strategies, and the grievance redress mechanisms. The county, township and village officials will ensure that any concerns raised by the people affected are quickly addressed. 12. In case of grievance, people affected will submit their oral or written complaint first to the village committee or the township resettlement office. If their complaint is not settled in ten days, they can seek redress at the county resettlement office, within one month. If still unresolved within two weeks, the PRO of HPWR will try to achieve a solution. The final redress would be sought, if necessary, in the civil courts, in accordance with the Civil Procedures Act.

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H. Monitoring and Reporting 13. The detailed plan for internal and external monitoring and evaluation is included in the RP. The LPMO of Fenghuang Water Resources Bureau will engage a qualified monitoring agency to carry out independent resettlement monitoring and evaluation. The independent monitoring agency will ascertain the extent to which the affected people have (i) received their full entitlements on time and (ii) fully restored their livelihoods, income levels and living standards. It will also conduct a baseline survey prior to resettlement, semi-annual investigations during resettlement and annual survey updates for two years after the completion of resettlement. The household survey will include a representative number of those severely affected by loss of land, those losing housing, and those classified as minority and economically vulnerable. 14. Under the leadership of the Key Project Management Office under HPWR, Fenghuang Subproject PMO will set up a quarterly reporting system and will report to PPMO on the progress of land acquisition and resettlement through resettlement progress reports. The Key Project Management Office under HPWR will provide ADB progress reports on the progress of land acquisition and resettlement. The selected external monitoring and evaluation agency will provide the independent monitoring and evaluation reports to LPMO, which will also be submitted to ADB through PPMO. The external monitoring and evaluation reports will be prepared twice a year during resettlement implementation and once a year after resettlement completion. After completion of land acquisition and resettlement, the PRO of LPMO will prepare a resettlement completion report, which will be submitted to ADB through PPMO.

I. Finance and Implementation Schedule 15. The RP budget estimate is RMB 7.7186 million yuan, for all costs including compensation, resettlement subsidy, payments for other assets such as housing, moving allowances, subsidy for vulnerable groups, fees for resettlement administration, and monitoring and evaluation. The LPMO under CCWR will guarantee to supplement the resettlement cost, as may prove necessary, to meet any shortfall which emerges in achieving the resettlement objectives. 16. The resettlement schedule has been prepared according to the project construction schedule approved by the EA. It is planned to start the land acquisition in September 2009. The house demolition will be carried out during November 2009 to September 2010. In the progress schedule, it is planned to develop and readjust the cultivated land in the end of 2009 as well as resume the livelihood and living conditions at the end of September 2010 completely.

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17. Only 0.338 mu of land needed to be permanently occupied according to the adjusted scheme of this project, and the land occupation was finished in 2008.

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1. General Description of Project

1.1 Project Background Hunan Province is located on the south bank of middle reaches of Changjiang River, bordering Jiangxi Province on the east, neighboring the Wuling Mountains on the south, connecting Guangdong Province and Guangxi Province, and close to the Guizhou Province and Chongqing City with the unbroken mountains in Guizhou and Chongqing areas. Changjiang River separates Hunan Province and Hubei Province on the north, and nearly 70% cities of Hunan Province are located in mountainous areas or hilly areas. These cities lie in the areas with relatively high ground elevation, and the landform varies greatly. These areas are subject to the flash flood though they are affected little by the Dongting Lake and the propping of tail water level of the four rivers. Because the river level in mountainous areas rises sharply and abruptly with great flow velocity, the cities along the river are always destructively damaged. In November of 1999, Hunan Province Hydro and Power Design Institute worked out the report on urban flood-control planning in Hunan Province according to Flood-control Planning Outline for Changjiang River Drainage Area and Compilation Outline for Urban Flood-control Planning (Ministry of Water Resources [1998] No.215 Document). This report covers 91 cities, plans for the 18.3 million urban populations, and 2253km2 urban areas. The embankment-construction-oriented project plan is determined in the report, and the existing embankments to be heightened and reinforced are 1037.16km in total, and the would-be-built embankments total 600.53km. Only the cities of above-county-level and once seriously damaged by the flood in the mountainous areas in Hunan Province will be covered by this urban flood-control project in this time. They shall be the economy developed area, such as Xiangtan, Zhuzhou, and Hengyang, which are all the very important industrial cities, boasting the various industries of machinery, electricity, metallurgy, chemicals, building materials, paper making, mining, medicament, and foodstuff. And, of the local areas these cities shall be the financial, communications, and business centers as well as the science and education centers, where the municipal or county government is located, and moreover the distributing center of agricultural produce, industrial product, and commodities. Their economic status is very important. These cities are the main centers of the economic development of those areas with dense population, and

9 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report are clustered with properties. If these cities are submerged or suffered great losses, the economic development of local areas will be seriously affected. In addition, the manpower and material resources are abundant in these cities; it is the main rear base for flood-control and providing disaster relief. The submergence of these cities will bring the disaster relief and rehabilitation into a passive situation. In years, the government at every level in Hunan Province and the local masses took great pains and sacrificed a lot for fighting the floods in these cities, and enormous achievements were achieved. According to statistics, in the 36 urban areas undertaking the project, total 286.628 km long flood-control embankments, and 141 drainage sluices, and 124 drainage pump stations of 15648kw have been built. Because the flood-control works is improving slowly, the present urban flood-control standards of these cities are low, which are only for the 4-year-occurrence ~ 20-year-occurrence floods, and their waterlogging drainage abilities are only for floods between 3-year-occurrence ~ 8-year-occurrence, and only a few cities are in the fortified status, while most cities are undefended or incompletely defended. Therefore, the construction progress and urban flood-control project strengthening shall be speeded up and beefed up to facilitate the economy development being in a speedy, stable and forward way. By constructing and perfecting the necessary flood-control and waterlogging treatment facilities, efforts shall be made to promote the beneficial and abolish the harmful so as to guarantee the safety of people’s lives and assets and to promote the economic development. Fenghuang county seat is situated on the upper reach of Tuojiang River, for the river gradient is steep, floods rise and drop abruptly, the houses are generally built along the primary terrace of Tuojiang River, accordingly, the topogRPhy is quite low, it often suffers from the threats from floods. There were basically no flood control and waterlogging drainage facilities built before the 1980s. According to the records, the urban area was often invaded by floods, since the hydrological station was built in 1962, it suffered from floods for 10 years, basically against 1 in 4-year return flood. With the frequent floods, the losses resulted from floods were momentous. The Tuojiang Town, the county seat of Fenghuang County has no dikes along the river, the urban area basically lies along the river, the Hexi protective circle has Tuqiao Brook going through the urban area without dikes at the two banks, so the two banks of Tuojiang River and Tuqiao Brook are the inundated scope, also the serious disastrous areas. Changtangang reservoir stands 13km away from the upper reach of the county seat with valley area of 460km2, and the dam is made of laid stones in arch with max. dam height of 86.7m, total reservoir capacity of 99.70 million m3, normal water level of 398m, overflow weir crest elevation of 392m. The 4 10×6.3m arch gates are installed, the electric drainage station at the rear of the dam has 3 4000kw generator units with annual generation of 37.25

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million kw·h, so it is a project with flood control and generation. The dam has been built for 392m, and the arch gate has not been installed, so the flood control benefits have been fully exerted. Currently, due to the storage and adjustment of Changtangang Reservoir, the flood peak flow is minified, the present flood control capacity is against 1 in 8-year return flood, which is slightly promoted than before, but is still lower than the urban flood control standard of 1 in 20-year return flood. 1.2 General Situation of Project 1.2.1 Areal GeogRPhy Location

Fenghuang County is located in the northwest part of Hunan Province, the south part of Xiangxi Autonomous Prefecture, with a total area of 1757km2. The locality of the county seat, Tuojiang Town is situated at the bank of Tuojiang River, a tributary of Wushui River, which is the political, economic and cultural centers of the whole county, with administrative area of 12k m2, including urban area of 7.2k m2. See attached drawing 1 for the Schematic Drawing of GeogRPhic Position of Fenghuang County Urban Flood-control Project. 1.2.2 Contents and Scale of Project Construction Fenghuang County Urban Flood-control Project is a sub-project of hilly area urban flood-control project in Hunan Province utilizing the loans from ADB. It includes the flood control and waterlogging harnessing projects, and the main project scale is as follows: (1) newly-built flood control earth embankment of 5.084km along Tuojiang River; (2) treatment of Tuqiao brook waterway of 2.85km and Xiaoxikeng waterway of 1.3km; (3) reconstruction of 26 bridges over Tuqiao brook in the urban area; (4) newly-built Shawan and Mianzhai flood diverging canals, with a length of 2.25km. 1.2.3 Project Investment Estimation and Planned Progress According to the Feasibility Study Report on Hunan Province Fenghuang County Urban Flood-control Project Utilizing Loans from Asian Development Bank, which is compiled by the Hunan Province Hydro and Power Design Institute, the estimation of the total investment of the project is RMB 74.24 million yuan, including the resettlement investment of RMB 1,3540 yuan. Based on the project progress, the total construction time limit of the project is 40 months, including 38 months for construction of main works. 1.2.4 Socioeconomic Benefit of Project After completion of the project, the existing flood control capacity of the city will be elevated from the present 2-year-occurrence to 20-year-occurrence, and the waterlogging harnessing capacity will be

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elevated from the present 2~5-year-occurence to 10-year-occurrence. Thus, it could offer a superior environment to maximize the guarantee for the safety of lives and properties of the people. As the flood control embankment is integrated with the construction of urban roads, docks, and discharging pipelines as well as renovation of the bank lines, it could not only relief the traffic congestion in the the downtown area, but also beautify the environment and offer a superior rest and entertainment area for residents. In addition, with the improvement of the flood control and waterlogging harnessing standard, it could greatly reduce threat to lives and properties of the people by flood and waterlogging disasters. What’s more, it strengthens the sense of security of the people, guarantees the peaceful and comfortable environment of the people, as well as establishes a firm foundation for the industrial and agricultural production, therefore, its social and economic benefits are distinct. The normal financial expenditure of the project is RMB 2.083 million yuan, including RMB 1.68 million yuan for project operation management fee and RMB 1.210 million yuan annual depreciation fee. The mean economic benefit is RMB 9.50 million yuan, the annual average growth of the project benefit is calculated at 3%, the internal return rate is 11.06%, more than 11%, the net present value is RMB 33.08 million yuan, larger than zero, the economic benefit and cost ratio is 1.546, more than 1.0, so the economic evaluation indicators are good and the project implementation is reasonable in economy.

1.3 Affected Scope of Project Based on the geogRPhical location of Fenghuang County, landform status, current state of the flood control project and the riverway, as well as the overall urban planning, the whole urban area is divided into Hedong and Hexi flood control protective circles: (1) Hedong protective circle starts from Mianzhai and ends at Timbers Company; (2) Hexi protective circle, also the main urban area, including the Slaughtering and Meat Processing Plant, Cigarette Factory, Tuqiao brook and Xiaokukeng. The land acquisition areas, and the area in which the people’s life and production is seriously affected by the project construction shall all be regarded as the affected areas due to the project land acquisition and relocation. In this phase, the affected area due to the land acquisition and relocation in project is based on the recommended scheme in the project preliminary design phase. The scope of impact is determined by detailed survey assisted with 1/2000 topogRPhic map, which only involves 1 villager’s group of 1 village (residential committee) of Tuojiang town in Fenghuang County.

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1.4 Compilation of Resettlement Plan 1.4.1 Basis and Objective for Report Compilation 1.4.1.1 Basis for Design 1) Hunan Province National Economic and Social Development “the Tenth Five-year” Plan and Long Range Plan for 2015 2) Fenghuang County National Economic and Social Development “the Tenth Five-year” Plan and Long Range Plan for 2015 3) Urban General Planning of Fenghuang County (2001-2020) 4) Statistical Yearbook of Fenghuang County (2006-2008) 5) Urban Flood-control Planning Report of Fenghuang County 6) Feasibility Study Report on Hunan Province Fenghuang County Urban Flood-control Project Utilizing Loans from ADB (Hunan Province Nanfang Hydraulic and Hydropower Design Institute) 1.4.1.2 Policy Foundation 1) National laws and regulations 2) Laws and regulations in Hunan Province 3) “Involuntary resettlement policy” of ADB (published in November of 1995) and “Resettlement Handbook ------practical and operable guidance on practice” (published in 1998) 1.4.1.3 Objectives of Policies 1) Adopt the engineering, technical, economic measures to avoid or minimize the quantities of physical goods to be removed and relocated; if the land acquisition and relocation is unavoidable, try best to adopt the effective measures to minimize the impact on the local residents due to the land acquisition and relocation. 2) In project preparation phase, conduct the social economy investigation and compile the relevant resettlement plan; 3) The resettlement shall be based on detailed physical indices in terms of relocated material goods and compensation standard in order to increase or at least restore the income and production levels for the affected people; 4) Promote resettlement in a developing mode. The resettlement from in the rural areas shall be land-based, supplemented with possible employment in second or tertiary industries. 5) Encourage the resettlers and original residents in resettlement area to take part in the resettlement planning; 6) Try best to resettle in the original community.

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7) The resettlers and the former residents in resettlement area shall all be benefited from the project. 1.4.2 Method of Report Compilation The Key Project Management Office under the Water Resources Department of Hunan Province as project EA is responsible for overall resettlement preparation. The relevant resettlement design units, consulting units and local government all participated in the process. From March of 2006~ April of 2006, the designers had conducted the general survey and statistics on the physical indices for the land-acquisition-affected area with the active support from local governments in project area. Based on census survey, detailed sample survey on social economic conditions and attitudes of the affected people was also carried out during the same period. In investigation, designer had consulted with the PMO (project management Office) of Fenghuang County and held several resettlement coordination meeting attended by the government department of every level and representatives of resettlers from affected area. Comments were made on the resettlement plan, economic rehabilitation options, and compensation, which were the basis for developing resettlement plan. According to the current national policies, laws and regulations and the requirements on resettlement by ADB, the resettlement team carried out detailed analysis on the degree of impact and feasibility of proposed rehabilitation for each affected town(ship) in project area. According to the suggestion and opinions on resettlement plan for core subprojects set forth by PPTA experts and ADB and analysis on rationality and feasibility of impact degree of all town(ships), the resettlement plan for Fenghuang Subproject was finally prepared and approved by local people’s government in the project area.

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2. Project Impacts

2.1 Measures for Avoiding or Reducing to the Minimum the Land Acquisition and Relocation Impacts 2.1.1 Measures for Reducing the Land Acquisition Impacts in Project Design Phase Since the start of the project preparation , in order to reduce the negative impact on the local social economy due to the project construction, the flood-control scenery road plan has been revised and improved for several times, and the special technical review meetings had been conducted. The objective of plan optimization is to minimize the scope of impact, reduce resettlement cost and facilitate the project construction. The comparison is made over the two schemes, i.e. mortar rubble embankment and earth embankment. Through computation, the cost of mortar rubble embankment is higher than that of earth embankment. However, in the area where the embankment line passes through, the residential houses are densely distributed at both banks. There is little unutilized land since the earth embankment occupies lots of area. The soil of the banks is arenoso, not suitable for constructing the embankment. If the scheme of earth embankment were adopted, firstly, the condition of the construction site would have been restricted and a large quantity of residential houses and factories would have been demolished and resettled; secondly, it would have been far to borrow soil and the cultivated land would have been occupied, which would invisibly increase works cost, make it difficult for residents to be resettled and affect the construction period. Therefore, the scheme of mortar rubble embankment is adopted for the works. According to the varied difference values of elevation of embankment crest and elevation of ground, the mode of retaining wall, mode of anti-wave wall combined with protective slope and mode of anti-wave wall are adopted respectively. 2.1.2 Measures for Reducing the Impact due to Land Acquisition in Project Construction The lands occupied in this project are distributed in linear form, and the whole project area will not have significant negative impact on the local industrial and agricultural production, basic livelihood and local economy. The land acquisition and relocation along the linear area will not bring much impact. In order to minimize the impact on the local area, special attention will be paid to the layout of construction site and selection of construction scheme, and prevent the unnecessary land acquisition and house demolition. The following measures shall be adopted:

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1) Before demolition and relocation, organize the relevant persons to conduct the on-spot survey. Try to remove less or do not remove the houses which is unnecessary to remove or can be partly removed in practical. 2) Before the demolition of the buildings due to the temporary land occupation by the project, report to the unit of owner by PMO to empty it. Or set up the temporary housing to be used in resettlement within the unit area. After the project completion, rebuild new buildings and return to the original owner or unit. 3) For the loss of residential structures caused by the demolition and relocation, adequate compensate will be provided according to the replacement value, and all unfavorably impact on resettlers will be minimized in the process. 4) The resettlement area shall be located at the place close to the original residential areas so as to keep the existing social relationship for the affected people, on the other hand, it will also reduce the commuting for the affected people. 5) Notify the affected enterprises in advance, and arrange the site for relocation, provide adequate compensation, shorten the interruption period, and coordinate LPMO to provide proper rehabilitation for affected employees. 6) During relocation and resettlement, the concerned local functional departments shall vigorously support the resettlers and affected enterprises, provide the convenience for them and carry on the resettlement work smoothly, and reduce the loss and relief the burden on resettlers. 7) Strengthen the mechanism of public participation. Before the project construction, clarify the project commencement time and project construction planning progress by putting Notice in the project affected area and the resettlement area, disclose the compensation policies for land acquisition and resettlement, accept monitoring from the relocatee and host population in resettlement area; In project construction period, give priority to use the local materials. For benefiting the affected persons from the project construction, use the local transportation and labor if the technical conditions allowed. 8) Reduce the dust emission and strengthen health management for construction workers. The construction unit shall carefully plan the routing for transport earthwork and stonework. Measures shall be adopted to guarantee that the soils and stones won’t be sprinkled along the way from the truck full of loading, and thus affect the environment tidiness. In construction period, a large number of labors will come to the worksite to undertake all kinds of works and services. In order to guarantee the public security and orders in work site and the health of various groups in construction area, the project construction unit shall supervise and urge the builders to obey the regulations of local environment

16 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

sanitation department, toughen the management on the healthy protection for builder group, timely clear the domestic waste on construction site, keep the construction area tidy, and prevent the occurrence and transmission of infectious diseases. 2.2 Investigation on Project Impacts 2.2.1 Investigation Contents From March to April in 2006, Hunan Province Hydraulic and Hydropower Design Institute, together with the Fenghuang County Water Resources Bureau and the government at each level, formed a joint investigation team. The team conducted the comprehensive survey on the project impacts according to the coverage determined in engineering design and the 1:2000 geologic type topogRPhic map in hand. The contents of investigation included the land acquisition, the land acquisition affected population, houses to be removed and relocated, and supplementary facilities, scattered trees, small businesses of industry and commerce, enterprises and institutions, and agricultural sideline production facilities and special facilities, etc. 2.2.2 Investigation Method 1) Investigation in Land Acquisition: From March to April in 2006, the investigators clearly found out on-spot the ownerships of various lands according to the 1/2000 topogRPhic map in hand. The area of cultivated land, garden plot, woods, and various lands were measured and calculated in the unit of villager’s group. 2) DemogRPhic Census: In the investigation in the land acquisition and relocation, affected people was classified into three kinds, affected by land acquisition without relocation, affected by demolition and relocation without land acquisition, and affected by both land acquisition and relocation. The actual affected populations were further divided according to the non-agricultural population and agricultural population, with comprehensive investigation in the unit of households on the nationality, age structure, education background, and employment status. They were checked out on site according to the household register card, and register the results of survey in detailed lists for each family. 3) Investigation in Houses and Auxiliary Facilities: The comprehensive survey on house structures was conducted, the area of houses was measured and the quantities of supplementary facilities were investigated household by household, and then registered them in detailed lists. 4) Investigation in Scattered Trees: The scattered trees were counted on spot in the project-land-acquisition affected area to classify the fruit

17 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

trees and other trees and separately register according to the tree types. 5) Investigation in Small Shoppers The small shoppers were investigated and registered in the way of household by household. The investigating and statistical contents include the business items in operation, coverage of business area, number of employees, annual turnover, and operating profit, etc. 6) Investigation in Enterprises and Institutions: The following contents were surveyed and checked: names of affected enterprises in the land to be expropriated, location, department in charge, month and year of foundation, the coverage of factory area, land area for production, area of buildings, number of staff, fixed net assets, annual output volume of major products, annual output value, annual profit turnover, lump sum of tax, and lump of wages per month, etc. 7) Investigation in Special Facilities: The investigator checked the quantities on site, registered in detailed lists by item according to the 1:2000 topogRPhic map of geologic type and the data supplied by department in charge. All the survey results of physical indices were reviewed and confirmed by householder and local government of each level and department in charge.

2.3 Investigation Results on Project Impacts According to survey, the land acquisition and relocation for this project involves 1 villager’s group in 1 village (or residential committee) in Fenghuang County. And 0.338 mu of land, (all of which is collectively-owned land), will be permanently occupied. No population and other subprojects will be affected.

3. Natural and Socio-Economic Conditions of the Project-Affected Areas

3.1 Natural Conditions of the Project-Affected Areas 1) TopogRPhical and Geological Conditions Tuojiang Town of Fenghuang County locates on the middle reaches of Tuojiang River and the south of Wuling Mountain Range. The hydrological station was built in the urban area with a coverage of 524km2. Tuojiang River is originated from the Laer Mountain terrace, the upper reach is called Wuchao River, which is called

18 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Tuojiang River after converged with Longtang River. Tuojiang River flows through Changtangang, Tuojiang and Hexi Town, and then flows into Wushui River after converging with Donghe River. Tuojiang River is the primary tributary of Wushui River, locates in Fenghuang County, is originated from Yuping Mountain and Ergutang of Laer Mountain, flows through the middle part of the county from west to east, ranging from Laer Mountain, Machong, Duli, Fenghuang City, Guanzhuang, Mujiangping, Maoerkou (12 towns or townships) Jiefang Rock, and then converges into Wushui River at Xiaohe Dam of Jishou City. It has over 40 rivers converging into, with catchment area of 732km2. The valley is wider on the upper reach and narrower on the lower reach, higher in the north-west and lower in the south-east. The watershed elevation is 990m (Huanghai) at the upper reach and 400～600m (Huanghai) at the middle and lower reaches, where it is an area of high mountains and towering ridges, winding valleys, a lot of dissolves and hidden rivers, the rivers are in a shape of narrow and long “V”, with large longitudinal sections and 131km length. The runoff generation is mainly the accumulated runoff, and the floods mainly rainstorms and mountainous floods. The waterway is narrow in river surface, steep at two banks and deep in river valley over Changtangang, whilst turns open below Changtangang till Mianzhai Village. The seismic intensity of the project area is classified as below 6 degrees, so the earthquake may be ignored in the construction. 2) Hydrologic and Meteorological Conditions This area belongs to the middle sub tropical humid climate. It has mild temperature, distinct four seasons and sufficient rainfall. The mean annual air temperature is 15.9℃, the min. ambient temperature is 12.2℃ and the max. ambient temperature is 40.2℃. The mean annual rainfall is 1365mm, and the max. daily rainfall is 220.7mm. The max. wind speed is 20.7m/s, and the mean wind speed is 1.3m/s. According to the hydrological data supplied by Xiangxi Autonomous Prefecture Hydrological Bureau, the Fenghuang Hydrological Station was built in the urban area with actual max. flood peak flow of 896m3/s (burst out in 1974). The flood generally frequently burst out between May and August, featured with large peak flow, sudden uprising, rising and dropping abruptly, thus seriously endangering the people’s lives and properties. 3) Mineral Resources The mineral resources discovered are classified as 15 groups and 27 kinds, mainly gold, cadmium, coal, manganese and vanadium, especially the nonmental mineral resources are extremely abundant, the nonmental discovered in the county are up to 12 kinds. 4) Tourist Resources

19 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Fenghuang County is situated in the Xiangxi Tujia and Miao Minorities Autonomous Prefecture, where it is the home town of the Shen Congwen, a contemporary writer. In 2001, it was awarded as the title of National Historical Cultural Famous City. It is always the inhabiting area for Miao and Tujia minorities. Fenghuang County is a place of interests, including national geological park, the comprehensive geological relic landscape consisting of karst gorge, peaks, water-eroded caves and waterfall as well as the Xiangxi side wall---Chinese southern Great Wall. In addition, there are 4 provincial landscapes, viz. Huangsi Ancient Bridge built in Chuigong time of Tang Dynasty, Qiliang Cave, the second cave of Huaxia, Chaoyang Palace, an ancient architecture with flying rocks and pendentive as well as the Shencongwen Former residence. Furthermore, it has 2 nature reserves, viz. the national Nanhuashan Forest Park and the provincial Liangtouyang nature reserve. The county seat of primitive simplicity and elegance, the ancient city towers of east and north gates as well as the stilted wooden house at the bank of Tuojiang River compose a beautiful picture roll and so it was named after “the most beautiful city of China” and “picture township”.

3.2 Socio-Economic Conditions in the Affected Areas of Project Fenghuang County is situated in the northwest of Hunan Province with a covering area of 1795km2, a population of 0.3741 million (including 0.172 million males and 0.1721 million females), of which, the urban population is 0.04 million, the agricultural population is 0.3341 million, the population density is 209 persons per square meter and the natural growth rate of the population is 8.9‰. The national economy in 2005 led a quick growth. For the whole year, the GDP of RMB 1208 million yuan was completed, including RMB 274 million yuan for the growth of the primary industry, RMB 313 million yuan for the growth of the secondary industry and RMB 621 million yuan for the growth of the tertiary industry. The GDP per capita was RMB 3229 yuan with a growth of RMB 580. The structure of the primary, secondary and tertiary industries was 22.68:25.91:51.41, compared with last year, the primary industry dropped by 1.41 percent points, the secondary industry rose by 0.41 percent point and the tertiary industry rose by 0.5 percent point. 1) Agriculture and Agricultural Economy: for the whole year, the total output of agriculture, forestry, animal husbanry, sideline and fishery was RMB 446.62 million yuan. The grain yield was 0.0957 million tons; the yield of oil materials was 0.0117 million tons; the number of pigs for sale was 0.1057 million; that of goats for sale was 0.0178 million; the output of aquatic products was 0.0024 million tons. The grain crops had a cultivated area of 0.02690 million hectares. For the whole year, the cultivated

20 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

area of tobacco leaves were 1.91 thousand hectares with yield totaling 2.8 million tons; and the live pigs bred were 0.2335 million. 2) Traffic and postal communication: the transported passengers hit 89.9 million for 2004, the passengers transport turnover was 207.55 million person · kilometer; the transported goods hit 1.19 million tons and the goods transport turnover was 75.31 million ton · kilometer. The postal service kept a stable development, and the telecommunication and mobile communication network led a further consolidation. In 2004, the postal services mounted RMB 59.71 million yuan, and by the end of the year, the whole county possessed 24023 users for fixed phones, including 14050 urban users and 9973 rural users; the users for mobile phones were 22600, and those for Internet were 5774. 3) Commerce, tourism and foreign trade: For the whole year, the social consumables had retail amount of RMB 646.41 million yuan, increasing by 13.5%. The domestic and foreign tourists of 1.89 million were welcomed to complete tourist revenue of RMB 290 million yuan. 4) Culture, Education and Public Health: in 2004, the whole county occupied 344 various schools with in-school middle and elementary students of 63935 and enrollment rate of 98.3%. The enrollment rate for the elementary graduates and junior middle graduates is respectively 90.6% and 26.9%. The making of the teachers led an obvious rising, the eligibility rate of the special teachers in elementary schools was 98.2%, that of the special teachers in junior middle schools was 98.8%, and that of the special teachers in senior middle schools was 86%. The whole county possessed 1 broadcasting TV station and 1 CATV station with broadcasting coverage rate of 100% and TV coverage rate of 85.5%. In addition, an initial emergency system for outburst public health accidents was established. In 2004, the whole county possessed 44 public health medical centers with 580 beds, 15 beds every 0.01 million persons, and 798 medical technicians. 5) Population, People’s livelihood and Social Insurance: The family planning rate for 2004 was 8.14%, and the natural growth rate of population was 8.9‰. By the end of the year, the total population of the whole county hit 0.3741 million, including 0.2769 million minorities, accounting for 74.02%, of which, Miao minority was 0.2021 million and Tujia minority was 0.0701 million. The net income per capita for farmers was RMB 1590 yuan, increasing by RMB 236 yuan or 17.43%, whilst the disposable income per capita for urban residents was RMB 5345 yuan with a growth rate of 11.08%. The saving deposits of the urban and rural residents mounted 739 million yuan, increasing by 13.0%.

21 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

3.3 Socio-Economic Conditions of Townships (Sub-districts) and Villages in the Affected Areas of the Project The land requisition will have certain influences on 1 town and 1 administrative village.. From March to April of 2006, under the unified arrangement of the provincial PMO, Fenghuang County PMO organized County Resettlement Office and the other relevant local department as well as resettlement design unit to carry out the detailed investigation on various aspects of basic socio-economic conditions and production as well as livelihood of project-affected development zone and village (Residential Committee). 1) Socio-Economic Conditions in the Affected Towns (Sub-district) According to the investigation, in the affected Tuojiang Town, there are 13 villages and residential committees with a population of 11137 in 2950 households, including an agricultural population of 9803 in 2352 households, accounting for 88.02% of the total rural population. The Tuojiang Town has a cultivated land area of 8842.82mu (including 6235.41mu paddy fields), and cultivated land per capita was 0.94mu; in 2004, the gross incomes of the agricultural was RMB19.5506 million yuan. For the details, see Table 3.3-1. 2) Basic Conditions in the Affected Village (residential committee) The affected administrative village has a population of 795, including an agricultural population of 785. The current cultivated land area is 475.9 mu, including 375.9 mu for paddy fields and 100 mu for dry farmland. The average per capita farmland is 0.6 mu among agricultural population.

22 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

The Socio-Economic Conditions of the Affected Towns and Townships (Sub-districts) by Fenghuang County Urban Flood Control Project

Table 3.3-1 Indices Unit Total Tuojiang Town

I Basic conditions (I) Residential committee 13 13 1. Villages with electricity 13 13 2. Villages with postal communication 13 13 3. Villages with telephone 11 11 4. Villages with highways 13 13 (Ⅱ) Households in villages household 2950 2950 1. Non-agricultural households household 2352 2352 2. Agricultural households household 598 598 (Ⅲ) Population in Villages person 11137 11137 1. Non-agricultural population person 1334 1334 2. Agricultural population person 9803 9803 (Ⅳ) Labor forces in villages person 6593 6593 II Agricultural production conditions (I) Cultivated area mu 8842.82 8842.82 1.Paddy field mu 6235.41 6235.41 2.Dry farmland mu 2607.41 2607.41 (II) Yield of grain mu 2293.91 2293.91 (III) Per capita plantation area of agricultural mu/person population 0.94 0.94 III Economic conditions of countryside (I) Agricultural income 104 yuan 1. Total agricultural income 104 yuan 1955.06 1955.06 2. Net agricultural income 104 yuan 1030 1030 (II) Income per capita Yuan 982 982

23 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

The Basic Conditions of the Affected Villages (Residential Committees) by Fenghuang County Urban Flood Control Project Table 3.3-2 Income Underprivileged Population (person) Plantation area (mu) Plantation National Minority Town and Village of per Group area of township (Residential Market capita Remark Agricultural Non-agricultural Paddy Dry per capita Population Percentage Population Percentage (Sub-district) Committee) Total Total vegetable (yuan population population field farmland (mu) (person) (%) (person) (%) plot /year) Tuojiang 8798 5702 3096 5492 3431 1872 189 0.62 1379 4980 56.6 637 7.24 Miao and Jinping 1263 1263 1480 862 525 93 1.17 1200 714 56.53 44 3.48 Tujia Minorities Miao and Hongqiao 780 780 1355 665 690 1.74 650 683 87.56 50 6.41 Tujia Minorities Miao and Dutian 1371 1343 28 981 637 263 81 0.72 1500 626 45.66 40 2.92 Tujia Minorities Miao and Mianzhai 795 785 10 475.9 375.9 100 0.6 850 386 48.55 72 9.06 Tujia Minorities Miao and Tuqiao 929 929 787 588 184 15 0.85 1200 526 56.62 100 10.76 Tujia Minorities Miao and Dazhong 617 602 15 413 303 110 0.67 1000 368 59.64 60 9.72 Tujia Minorities Miao and Nanhua 1322 1322 650 736 55.67 151 11.42 Tujia Minorities Miao and Shawan 1721 1721 1250 941 54.68 120 6.97 Tujia Minorities Miao and Guanzhuang 867 867 636 466 170 0.73 780 586 67.59 152 17.53 Tujia Minorities

24 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

3.4 Social and Economic Effects for Resettlement to the Affected Population The project implementation will not impose any influence on aspects of social and economic life with only occupying 0.338 mu of land.

4. Legal Framework and Policy

4.1Main Chinese Laws & Regulations and Policies for Resettlement 4.1.1 Policy Bases 4.1.1.1 National Laws and Regulations: 1) Land Administration Law of the People’s Republic of China. (The 8th Chairman Decree of PRC, issued on August 29,1998, starting implementation since January 1,1999) 2) Implementation Regulations for the Land Administration Law of the PRC. (The 256th State Council Decree of the PRC, issued on December 27,1998, starting since January 1,1999) 3) Urban Houses Demolition Administration Regulations of the PRC. (The 305th State Council Decree of the PRC, issued on June 13,2001, starting since November 1,2001) 4) Provisional Regulations on Cultivated Land Acquisition Tax of the PRC. (The GF [1987] NO.27 issued by the State Council: A Notice about Issuing by the State Council) 5) A Decision by the State Council about Deepening Reformation and Strictly Enforcing Land Administration (The GF [2004] NO.28 issued by the State Council on October 21,2004) 6) A Directive about Perfecting the Compensation Resettlement System for Land Requisition (The GTZF [2004] NO.238 issued on November 3,2004) 7) Land Acquisition and Resettlement Regulation for Large and Medium Water Resources and Hydro Project (The 471st State Council Decree of the PRC, issued on July 7, 2006) 4.1.1.2 Laws and Regulations of Hunan Province 1) Methods of Hunan Province for Implementing the Land Administration Law of the PRC. (Passed in the 14th Meeting of the 9th People’s Congress Standing Committee of Hunan Province on March 31,2000) 2) Methods of Hunan Province for Implementing the Urban Houses Demolition Administration Regulations of the PRC. (The 157th Decree issued by People’s Government of Hunan Province on July 12,2002, starting since September 1,2002) 3) Implementing Methods of the Cultivated Land Acquisition Tax of Hunan Province (Amendment)

25 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

(Issued by the Hunan Province People’s Government on October 4,1987, and amended as the decision about amending Implementing Methods of the Cultivated Land Acquisition Tax of Hunan Province by Hunan Province People’s Government in May 4,1998) 4) A Notice about Improving “Basket Project”(XZF[1993]NO.25, issued by the Hunan Province People’s Government on November 6,1993) 5) A Notice by Hunan Provincial Commodity Price Bureau and Finance Department about Reissuing Administration Institutional Charging Items and Standards of Hunan Province National Land Resource System. (XJF [2003] NO.42) 6) Hunan Provincial Methods regarding Collection, Usage and Management of Rehabilitation Fee for Forest Vegetation (XCZ[2003]No.10) 7) A Notice by General Office of Hunan Provincial People’s Government about Issuing Land Requisition Annual Output Standards (XZF [2005] No. 47) 4.1.2 Relevant Laws and Regulations 4.1.2.1 National Laws and Regulations 1. Selected Provisions of Land Administration Law of the PRC Article 2: The State may, on the necessity of public interest, requisition land collectively owned in accordance with law. The State practises the system of paid-for use for state-owned land in accordance with law. However, appropriation of state-owned land use right by the State within the scope prescribed by law is excluded. Article 10: Peasants' collectively-owned land that belongs to peasants' collective ownership of a village according to law shall be managed and administered by the village collective economic organization or villagers' committee; the land that belongs separately to more than two rural collective economic organizations and owned collectively by peasants shall be managed and administered by the respective rural collective economic organizations or villagers' teams; the land that belongs to township(town) peasants' collective ownership shall be managed and administered by the township(town) rural collective economic organization. Article 14: Land collectively owned by peasants shall be contracted for management by members of the respective collective economic organization for cultivation, forestry, animal husbandry and fishery production. The duration of land contracting and management shall be 30 years. The contract issuing party and the contractor should conclude a contract agreeing on the rights and obligations of both parties. Peasants who contract management of the land have the obligation to protect and utilize the land pursuant

26 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report to the agreement in the contract. Peasants' right to contract land for management is protected by law. Within the duration of land contracting and management, in the event of appropriate adjustment of land contracted among individual contractors, it must have the consent of over two thirds of the members of the villagers' conference or over two thirds of the villagers' representatives, and be submitted to the competent department of agriculture administration of township/town People’s Government and People’s Government at the county level for approval. Article 31: The State protects cultivated land and strictly controls turning cultivated land into non-cultivated land. The State practises the system of compensation for the occupation and use of land. For the occupation and use of cultivated land for non-agricultural construction with approval, the unit that occupies and uses cultivated land shall be responsible for the reclamation of cultivated land equivalent to the quantity and quality of cultivated land occupied and used in accordance with the principle of "quantity of reclaimed land being equivalent to that occupied". Where there are no conditions for reclamation or the reclaimed land does not conform to requirements, cultivated land reclamation fee should be paid as prescribed by the provinces, autonomous regions and municipalities directly under the Central Government, the special-purpose fund shall be used for the reclamation of new cultivated land. Article 46: For land requisitioned by the State, local People’s Government at or above the county level shall, upon approval pursuant to legal procedures, make an announcement and organize its implementation. Owners and persons of the right to use of the requisitioned land should, within the specified time period of the announcement, bring the ownership certificates to the competent departments of the local People’s Governments to enter into registration for compensation for land requisition. Article 47: For requisition of land, compensation shall be given in accordance with the original use of the requisitioned land. Compensation fee for the cultivated land requisitioned includes land compensation fee, subsidies for resettlement as well as compensation fee for ground appendixes and young crops. Land compensation fee for the cultivated land requisitioned shall be 6-10 times of the average annual output value in the three years prior to requisition. Subsidies for resettlement for the cultivated land requisitioned shall be calculated on the basis of the agricultural population that requires resettlement. The agricultural population that requires resettlement shall be calculated on the basis of the amount of cultivated land requisitioned divided by the average occupancy of cultivated land of the unit requisitioned. The rate of subsidies for resettlement

27 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report per head of the agricultural population that requires resettlement shall be 4-6 times of the average annual output value in the three years prior to requisition of the said cultivated land. However, the maximum subsidies for resettlement for cultivated land requisitioned per hectare shall not exceed 15 times of the average annual output value in the three years prior to the requisition. The rate of land compensation fee and subsidies for resettlement for the requisition of other lands shall be fixed by the provinces, autonomous regions and municipalities directly under the Central Government, taking the rate of land compensation fee and subsidies for resettlement for the requisition of cultivated land as reference. Rate of compensation for ground appendixes and young crops on the requisitioned land shall be fixed by the provinces, autonomous regions and municipalities directly under the Central Government. For requisition of suburban vegetable plots of municipalities, the land use unit should, pursuant to relevant provisions of the State, pay to the new vegetable plot development and construction fund. Additional subsidies for resettlement may be provided for those peasants who require resettlement and cannot maintain their original living standards on the basis of land compensation fee and subsidies for resettlement the payment of which is effected pursuant to the provisions of the Second ParagRPh of this Article subject to the approval of People’s Governments of the provinces, autonomous regions and municipalities directly under the Central Government. However, the total of land compensation fee and subsidies for resettlement shall not exceed 30 times of the average annual output value in the three years prior to requisition of the land. The State Council may, in accordance with the level of social & economy development, increase the rate of land compensation fee and subsidies for resettlement under extraordinary circumstances. Article 48: Upon determination of the scheme for compensation and resettlement for land requisition, the local People’s Government concerned should make an announcement and seek the views of the rural collective economic organization and peasants of the requisitioned land. Article 49: The rural collective economic organization of the requisitioned land should publish the revenue and expenditure of the compensation fee of the requisitioned land for the members of the respective collective economic organization and accept supervision. It is forbidden to embezzle or divert the land compensation fees and other related expenses. Article 50: Local People’s Governments at all levels should provide support for rural collective economic organizations and peasants of the requisitioned land for development, management and establishment of enterprises.

28 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Article 54: Use of state-owned land for a construction project should be obtained in the form of onerous use such as transfer. However, the following use of land for construction may be obtained in the form of appropriation subject to the approval of the People’s Government at or above the county level in accordance with law: (1) Land use by state organs and land use for military purposes; (2) Land use for urban infrastructure and land use for non-profit undertakings; (3) Land use for such infrastructure as energy, communications and water conservancy to which the state renders key support; (4) Other land uses prescribed by laws and administrative regulations. Article 57: Construction of a construction project and geological survey that need to temporarily use state-owned land or land collectively owned by peasants, it should be subject to the approval of the competent department of land administration of the People’s Government above the county level. Among which, for temporary use of land within an urban planning zone, consent of the competent department of urban planning should be sought first prior to submission for approval. The land user should conclude a contract for the temporary use of the land with the competent department of land administration concerned or the rural collective economic organization and villagers' committee in accordance with the ownership of the land, and effect the payment of compensation fee for the temporary use of the land. User of temporary use of the land should use the land according to the use agreed on in the contract for the temporary use of the land and shall not construct permanent constructions thereon. The duration of temporary use of land shall generally not exceed 2 years. Article 62: One household of villagers in a rural area can only possess one housing plot, the area of which shall not exceed the standards prescribed by the provinces, autonomous regions and municipalities directly under the Central Government. Construction of villagers' residences in the rural areas should conform to the overall planning for township/town land utilization, and the best possible use of original house sites and idle land in the village. 2. Selected Provisions Urban Houses Demolition Administration Regulations of the PRC Article 22: The relocater should provide compensation to the relocatee in accordance with these Regulations. For the relocation of the peccancy building and the temporary building over approval term, the relocater shall not provide compensation. But for the relocation of the temporary building within the approval term, the relocation should provide proper compensation. Article 23: The ways of relocation compensation can be money compensation or property rights

29 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

transposition of house. The relocatee can choose the way of relocation compensation. Article 24: The amount of money compensation should be considered according to the position, use and building area of the removed house and shall be confirmed with evaluating price in the realty mart. Article 25: For the way of property rights transposition of house, the relocater and the relocatee should calculate the compensation amount of removed house and the house price for transposition to balance the price difference of the property rights transposition according to the Article 24 of this Regulation. The relocation of auxiliaries of non-public welfare houses shall not be solved with property rights transposition, but with money compensation by the relocater. Article 28: The relocater should provide houses that accord with quality & safety standards of the State for resettlement. Article 31: The relocater should pay relocation subsidies for the relocatee or the tenant. During the transition term, in case of that the relocatee or the tenant settles for himself/herself, the relocater should pay subsidies for temporary resettlement; in case of that the relocatee or the tenant uses the revolving house, the relocation shall not pay subsidies for temporary resettlement. 3. Selected Provisions of Provisional Regulations on Cultivated Land Acquisition Tax of the PRC Article 2: The cultivated land called in this Regulation refers to the land for planting crops or the land that had been used for planting crops within the 3 years prior to acquisition. Article 3: All the units or individuals that acquire cultivated land for house building or for other non-agricultural construction, are the taxpayers of cultivated land acquisition tax (hereinafter called taxpayer), and should pay cultivated land acquisition tax according to this Regulations. Article 4: The cultivated land acquisition tax shall be calculated according to the actual area of acquired land by taxpayer and shall be assessed upon as the specified amount in one time. Article 5: The amount of cultivated land acquisition tax is controlled as follows: (1) Take county as one unit (same hereinafter). For the area where the average occupancy of cultivated

land is under 1mu (including 1mu), the tax rate is 2-10 yuan/㎡.

(2) For the area where the average occupancy of cultivated land is 1-2mu (including 2mu), the tax rate is 1.6-8.0 yuan/m2. (3) For the area where the average occupancy of cultivated land is 2-3mu (including 3mu), the tax rate is 1.3-6.5 yuan/m2. (4) For the area where the average occupancy of cultivated land is over 3mu, the tax rate is1-5 yuan/m2. Article 9: The cultivated land acquisition tax should be assessed upon by the finance organ. After

30 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

approving the cultivated land acquisition of unit and individual, the land administration department should give notice to the finance organ of same level in time. The unit or individual that is approved to requisition or acquire the cultivated land should declare tax-paying to the finance organ with the approval documents by the land administration department above county level. The land administration department shall assign land acquisition according to the tax-paying receipt or the approvable documents of requisition. 4. Selected Provisions of the Decision by the State Council about Deepening Reformation and Strictly Enforcing Land Administration (3) Strictly enforcing compensation system for land acquisition: The approved cultivated land acquired for the non-agricultural construction shall be compensated by the construction unit with the cultivated land of same quantity and quality. And the quantity and quality of cultivated land for supplement shall be converted according to its degree to prevent “more acquisition but fewer compensation, and compensation with bad cultivated land for cultivate land of high quality”. The construction unit --- which cannot compensate by itself ---- shall pay the cultivate land reclamation fee according to the provisions of each province, autonomous regions and municipalities directly under the Central Government. The cultivated land reclamation fee shall be administrated with special account, and cannot be reduced or remitted or peculated. The cultivate land supplement fee for construction project invested by the government must be list into the project general calculation. (13) Properly resettling the farmers affected by land requisition: The local People’s Government above county level shall work out specific methods to ensure the further living of farmers affected by land requisition. The farmers affected by land requisition can take the usufruct of legally approved land for construction to buy a share of some projects with steady profit. For the inside of urban planning area, the local People’s Government shall list the farmers who will lose cultivated land because of land requisition, into urban employment system and set up system of social security; for the outside of urban planning area, during the process of land requisition, the local People’s Government shall, in its administration area, leave some cultivated land or arrange job for the farmers affected by land requisition; for the farmers, who will lose their cultivated land and basic conditions of production and living, the local People’s Government shall resettle them in other area. The department for labourer and social security shall, together with relevant departments, make a directive about employment training and social security as soon as possible. (14) Perfecting land requisition procedure: During the process of land requisition, the farmers’ ownership of collectively-owned land and the farmers’ rights for land contracting and management shall be protected. Before report and approval, the farmers affected by land requisition shall be informed about the use,

31 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

position, compensation standards, resettlement approaches of land to be requisitioned; and the investigation results about the present situation of land to be requisitioned must be confirmed by the rural collective economic organizations and the farmers affected by land requisition; and if necessary, the department of land and resources shall, according to relevant provisions, organize public hearing. The relevant data knew and confirmed by the affected farmers by land requisition shall be necessary materials about approval for land requisition. The coordination and judgement system for compensation resettlement dispute shall be established and perfected as soon as possible to protect legal rights of the affected farmers by land requisition and the land user. Except the special cases, all the approved items for land requisition shall be publicized. (15) Strengthening the supervision on implementation process of land requisition: Land can not be requisitioned by force, if the compensation resettlement for land requisition was not fulfilled. The People’s Governments of province, autonomous regions and municipalities directly under the Central Government, according to the principle ---- which states that the compensation fee for land requisition is used mainly for the affected farmers, shall work out the assignment methods of compensation fee for land requisition inside the rural collective economic organization. The rural collective economic organizations shall publicize the expenses and receipts, assignment of compensation fee for land requisition to its members and take its members’ supervision. 5. Selected Provisions of the Directive about Perfecting the System of Compensation Resettlement for Land Requisition (4) Assignment of land compensation fee: The land compensation fee shall be reasonably assigned, according to the principle ---- which states that the compensation fee for land requisition is used mainly for the affected farmers, inside the rural collective economic organization. The detailed assignment methods shall be work out by provincial People’s Government. The land compensation fee for rural collective ---- whose land is totally requisitioned and whose economic organization is disbanded at the same time, shall fully used for the production and living resettlement of the affected farmers by land requisition. (5) Resettlement of agricultural production: For the requisition of collectively-owned land outside the urban planning area, these kinds of land, such as rural collective non-planed land, contracted land handed back by contracting farmers, land for contracting transfer and land newly-added during land development and arrangement shall be used firstly as the necessary cultivated land for the affected farmers by land requisition in order to ensure their continuous agricultural productions. (6) Resettlement by new employment: The land requisition unit or the local People’s Government shall try

32 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

its best to provide the affected farmers with free labor skill training and arrange them with proper jobs. Under the same conditions, the land requisition unit shall employ the affected farmers first. During the requisition of collectively-owned land in the urban planning area, the local People’s Government shall list the farmers who will lose cultivated land because of land requisition, into urban employment system, and set up system of social security. (9) Information of land requisition: Before reporting for approval, the local department of land and resources shall in written form inform the farmers and rural collective economic organization affected by land requisition, about the use, position, compensation standards, and resettlement ways of land to be requisitioned. All the attachments or young crops ----which are newly planted or built after informing by the farmers or rural collective economic organization affected by land requisition, shall not be compensated in requisition. (10) Confirming of land requisition investigation results: The local department of land and resources shall investigate the ownership, kind, area of the land to be requisitioned and the ownership, kind, area of land attachments. And the investigation results shall be confirmed together with the farmers and rural collective economic organization affected by land requisition, and the property owner of land attachments. (11) Organizing of public hearing for land requisition: Before reporting for approval, the local department of land and resources shall inform the farmers and rural collective economic organization affected by land requisition that they have the rights to apply for public hearing of the compensation standard and resettlement approach of the land to be requisition. If there is party applying for hearing, the hearing shall be organized according to relevant procedures and requirements of the Provisions for Public Hearing of Land Resources. (12) Publicizing of approval items for land requisition: For the land legally approved for requisition, the ministry of land and resources and its provincial department shall publicize the approval items by media, except for the special cases referring to state secrets. The county (city) land and resources department shall publicize, according to the provisions of the proclaiming methods for land requisition, the approval items in the village or group affected by land requisition. (13) Payment of compensation resettlement fee for land requisition: After the compensation resettlement plan is approved by city, county People’s Government, the compensation resettlement fee shall be paid for the rural collective economic organization within the legally stated period. 4.1.2.2 Laws and Regulations of Hunan Province 1. Methods of Hunan Province for Implementing the Land Administration Law of the PRC

33 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Article 10: Where there are no conditions for reclamation or the reclaimed land does not conform to the requirements, the cultivated land reclamation fee should be paid to the land administration department of provincial People’s Government as the following standards when applying for turning agricultural land into other use. After approval for acquisition of the basal farmland, the reclamation fee shall be 10-12 times of the average annual yield within the three years prior to acquisition. Among which of acquisition the vegetable land, the reclamation fee shall be 10-12 times of the average annual yield of adjacent paddy field within the three years prior to acquisition. After approval for acquisition of the other cultivated land except for the basal farmland, the reclamation fee shall be 6-10 times of the average annual yield within the three years prior to acquisition. The construction unit should list the cultivated land reclamation fee as construction cost into the general investment of the construction project. The land administration department of provincial People’s Government should save the cultivated land reclamation fee with special account according to the regulations of provincial People’s Government, organize reclamation as the planning and allocate enough reclamation fee to the unit that is responsible for the reclamation of cultivated land. Article 18: Land compensation fee for the acquired land shall be paid in accordance with following standards. (1) The compensation fee for cultivated land (including paddy field, dry farmland and vegetable land), fishpond and lotus pond, shall be 6-10 times of the average annual yield of the land in the 3 years prior to acquisition. (2) The compensation fee for fruit garden, tea garden and economic forestland, shall be 50%-100% of the compensation standard of the adjacent paddy field, and the compensation fee for other forestland shall be 30%-50% of the compensation standard of the adjacent paddy field. (3) The compensation fee for grazing land shall be 30% of the compensation standard of the adjacent paddy field. (4) The compensation fee for the land used for public facilities or public enterprise of township /town /village and the rural housing plot of villagers, shall be equal to the compensation standard of the adjacent paddy field. (5) The compensation fee for fields on the hill, wasteland and other unused land, shall be 20% of the compensation standard of the adjacent paddy field. Article 19: Resettlement subsidies for the acquisition land shall be paid in accordance with the Article 47 of

34 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

the Land Administration Law. Resettlement subsidies for the acquisition of fishpond, lotus pond, fruit garden, tea garden and economic forest land shall be paid in accordance with the regulations for requisition of cultivated land. Resettlement subsidies for other forestland and grazing land shall be paid in accordance with 50% of the standard of the adjacent paddy field. For the requisition of the land used for public facilities or public enterprise of township/town/village, the housing plot of villagers, and the land used for water conservancy, such as pond, channel, and dam, if it is necessary to rebuild, the resettlement subsidies shall be paid in accordance with the standards of rebuilding land; if unnecessary, the resettlement subsidies shall be paid appropriately. Resettlement subsidies shall not be paid for the requisition of barren hill or wasteland. Article 20: The compensation fee for the ground appendixes and young crops on the requisition land shall be paid in accordance with the following regulations. (1) The compensation for the young crops whose growing period is under 1 year, shall be paid according to the output value of one season, for the young crops whose growing period is over 1 year shall be paid according to the output value of 1 year. The compensation fee for the young crops shall also be paid with the actual loss according to the growing period. (2) The compensation for the forest trees that can be transplanted shall be paid transplanting fee together with actual loss. The forest trees that can’t be transplanted shall be evaluated and purchased, and the compensation for the forest trees that are lopped by the owner shall be paid with the actual loss. (3) Houses as well as other building and structures on the requisitioned land can be removed as compensation or purchased with equivalent price, or be compensated with equivalent houses, other buildings and structures. Article 32: One household of villagers in a rural area can only possess one housing plot, the area of which shall conform to the overall planning for land using of township/town. The cultivated land area of every household shall not exceed 130m2, the waste hill & land area shall not exceed 210 m2, and the other land area shall not exceed 180 m2. 2. Methods of Hunan Province for Implementing Urban Houses Demolition Administration Regulations (2002) Article 7: For rights, area, structure, use, etc of the removed house, it shall take the house ownership certificate as standards. For the item that is not given clear indication on the ownership certificate, it shall take the record of property right or other effective documents as standards. For the item that has been changed to other use, it shall take the approval documents by planning administration department and

35 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report other relevant departments. Article 16: In the case of exchanging the property rights of removed houses, it is necessary for the relocater to provide resettlement houses that have legal procedure and accord with the quality & safety standards of the State and achieve resettlement only one time. For the transitional resettlement due to special conditions, it is necessary to arrange revolving houses according to Article 20 of this Method after the agreement with relocatee and houses demolition administration department. During the transition period, the design of replacement houses can be changed when relocater reaches an agreement with relocatee. Article 17: The relocatee or the tenant of public house who possesses too small house area (calculated including his other houses in same urban planning area) and is treated with the lowest living protection shall be arranged with replacement housing to ensure the lowest living level. Article 18: In the case of exchanging the property rights of removed houses, the relocater should transact registration procedure of houses’ property rights for the relocatee in time. The departments and units for control of household, education, and medical treatment, should transact relevant procedures for the relocatee in time, such as household transferring, school transferring and medical treatment, in accordance with the resettlement certificate of house relocation that provided by relocatee. Article 19: For the relocation of houses for production and management, the relocater should pay the relocation subsidies for the relocatee or the tenant. For the equipment that can’t be removed or renewed to use, the relocater should pay relevant compensation. The amount of compensation fee and subsidies for relocation shall be confirmed in accordance with the actual expense for teardown, conveyance and installation of the production equipment or with the actual value of the disused production equipment. For the relocation of domicile, the relocater should pay the relocation subsidies for the relocatee or the tenant. In the case of resettlement of only one time, the relocater shall pay the relocation subsidies in one time; in the case of transitional resettlement, the relocater shall pay the relocation subsidies according to the relocation times, and the relocation subsidies shall be confirmed according to the actual requirement. In the case of that the relocater takes charge of relocation, the relocater shall not pay the relocation subsidies. Article 20: During the period of transitional resettlement, the relocater should pay the temporary resettlement subsidies for the relocatee or the tenant that arranges revolving for himself/herself. The amount of the temporary resettlement subsidies shall be confirmed in accordance with the rent for using the similar house with the removed house.

36 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

For the relocatee or the tenant that can’t arrange house for himself/herself, the relocater should arrange revolving house with the similar area to the removed house, but it is unnecessary for the relocater to pay the temporary resettlement subsidies. 3. Methods for Implementing Cultivated Land Acquisition Tax of Hunan Province (Amendment) Article 2: In the case of acquisition of the following land owned by the State and the collectivity for house building or non-agricultural construction, the unit or individual that acquires land should pay cultivated land acquisition tax in accordance with this Method. (1)The paddy field and the dry farmland for planting crops, including cultivated land, newly cultivated land, rotation land and the land that had been used for planting crops in the 3 years prior to acquisition. (2)The land that is used mainly for planting crops and accidentaly for planting mulberry, tea tree, fruit tree and other forest trees, and the shoaly land that is used through reclaiming around. (3)Fishpond, lotus pond, vegetable land, garden plot (including seed plot, flower plot, drug plot, tea garden, fruit garden, mulberry garden and garden for planting other economic forest trees). Article 3: The amount of cultivated land acquisition tax shall be calculated in accordance with the actual acquisition area of above land by the taxpayer and specified amount standard of acquisition tax, and shall be assessed upon in only one time. Article 4: It shall take the average occupancy per head of cultivated land as its main bases of the amount standard of cultivated land acquisition tax, and the amount standard shall be determined according to the natural conditions and the economic development of each area. With the unit of county (including county-level city, same hereinafter), the average occupancy per head of cultivated land shall be calculated in accordance with the gross of population and cultivated land that are counted by local statistical department. The specific amount standards of acquisition tax are regulated as follows. (1)Take the county as the unit (same hereinafter). For the area where the average occupancy per head of cultivated land is under 0.5mu (including 0.5mu), the amount standard of acquisition tax is 6-10 yuan/m2. (2) For the area where the average occupancy per head of cultivated land is 0.5-1.0mu (including 1.0 mu), the amount standard of acquisition tax is 4-8 yuan/m2. (3) For the area where the average occupancy per head of cultivated land is over 1.0mu, the amount standard of acquisition tax is 3-7 yuan/m2. (4) For the acquisition of special vegetable land and fishpond for house building or other non-agricultural construction, the amount standard of acquisition tax is 10 yuan/m2. 4. A Notice about Improving “Basket Project”

37 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

The planning department shall list the productive resources, which are used for the regulation of new vegetable land development fund, as the planning standards: for Changsha City, it is 20,000 yuan/mu; for the other cities under the Hunan Province, it is 15,000 yuan/mu; for the cities on planning list, it is 10,000 yuan/mu; for the cities under some area of Hunan Province, it is 7,000 yuan/mu; for county towns, it is 5,000 yuan/mu. 5. A Notice by Hunan Provincial Commodity Price Bureau and Finance Department about Reissuing Administration Institutional Charging Items and Standards of Hunan Province National Land Resource System The degree area of Fenghuang County is the fourth class. The detailed standards for reclamation fee of cultivated land are listed as follows. 1) Paddy Field: 8000 yuan/mu; 2) Dry Farmland: 5000 yuan/mu. 6. A Notice by General Office of Hunan Provincial People’s Government about Issuing Land Requisition Annual Output Standards (XZF [2005] No. 47) The land requisition annual output standards in Xiangxi Autonomous Prefecture: 1) Paddy Field of Class I: 1650 yuan/mu; Paddy Field of Class II: 1400 yuan/mu; 2) Dry Farmland: 1050 yuan/mu 3) Special Vegetable Plot of Class I: 2600 yuan/mu; Special Vegetable Plot of Class II: 2300 yuan/mu; The adjustment factor for Fenghuang County is 0.9.

4.2 Relevant Articles of the ADB 4.2.1 Policy Bases 1) Reluctant Resettlement Policy of the ADB (issued in November, 1995) and Resettlement Handbook of the ADB ---Doable Practice Direction (issued in 1998) 2) Policy about national minorities of the ADB 3) Policy about poor supporting of the ADB 4.2.2 Relevant Policies and Regulations The Resettlement Policy of the ADB includes the principles as follows. 1) Involuntary resettlement should be avoided where feasible. 2) Where population displacement is unavoidable, it should be minimized by exploring all viable project options.

38 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

3) People unavoidably displaced should be compensated and assisted, so that their economic and social future would be generally as favorable as it would have been in the absence of the project. 4) People affected should be informed fully and consulted on resettlement and compensation options. 5) Existing social and cultural institutions of resettlers and their hosts should be supported and used to the greatest extent possible, and resettlers should be integrated economically and socially into host communities. 6) The absence of a formal legal title to land by some affected groups should not be a bar to compensation; particular attention should be paid to households headed by women and other vulnerable groups, such as indigenous peoples and ethnic minorities, and appropriate assistance provided to help them improve their status. 7) As far as possible, involuntary resettlement should be conceived and executed as a part of the project. 8) ADB policy requirements pay special emphasis on extreme poor families, women headed families, and other vulnerable social groups. These vulnerable groups should be provided special assistance so that their current status could be improved. 4.3 Compensation Standards for Project 4.3.1 Compensation Qualification All the owners and users of the buildings and land in the area of project land acquisition demolition shall get reasonable compensation or help. County Demolition Office will issue Houses Demolition Proclamation and publicizes the relocaters, relocated areas and demolition time limit, etc. within 3 days after issuing Houses Demolition and Relocation License; and notifies the relative departments in written form to stop processing the following procedures within the relocated areas in relocation time limit. (1) Release the procedures of business license using demolished house as business place. (2) The procedures of trade, exchange, division, donation, transfer and mortgage, etc. of the demolished house, excepting the effective judgements and procedures executed for adjudication issued by People’s Court or arbitration institutions. (3) Examination and approval procedures of new-building, expansion, rebuilding and character changing of houses or auxiliaries. In this project, the cut-off date regulated by the government is considered as the date of finally determining that it is in accordance with the compensation conditions. People affected by the project include those who will lose land and house because of the project construction. The compensation or rehabilitation will be

39 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

processed according to their loss type and quantity, and whether the loss is within the final construction drawing finished within the time limit regulated by the government; or will be treated as being temporarily affected in the construction period. After the cut-off date, the cultivated land, built houses or resettlement of the affected people in the project affected area will not meet the compensation or subsidy conditions. 4.3.2 Principles of Compensation Rehabilitation 1) The RP should be based on the social and economic survey and the statistics of the physical indices surveyed in the affected project area. It should also conform to the current national and local land acquisition laws and policies and policy of involuntary resettlement established by ADB. 2) The engineering design should be optimized in order to protect the land and minimize the impact by the land acquisition and resettlement. To minimize the number of involuntary relocatees, the project should avoid the areas with high population density and multi-storied buildings as much as possible. Better construction methods and other measures should be taken to reduce the disturbance to people. 3) All the compensations and resettlements for the involuntary relocatees should be a part of the project. In order to benefit the relocatee, sufficient funds should be available to them. 4) It should be ensured that all the affected persons’ loss caused by the project would be compensated before the remove. Reasonable resettlement and effective rehabilitation should be conducted and provide assistance for their temporary difficulties during transfer. 5) It should be ensure that, after the resettlement, the living conditions, productivity and income level of all affected persons could come back to or exceed the level without the project. 6) There is no deduction for depreciation or any kind of discount for house and other asset compensation, which should be based on replacement values. Compensation can be made in cash or in kinds (such as exchange of property rights). No matter by what means, the compensation should be enough to buy a house with similar structure and condition of the same size in the same area. The project sponsor has the responsibility to recommend affordable houses to the relocatees, and help them deal with the transactions (including some preferential benefits). 7) All the persons and buildings that are negatively affected by the project should be compensated. The compensation and help should not be canceled because of the incompleteness of residence register, lease and operation register. 8) No compensation or relocation could be given to the people who enters the project area and occupies any land or house beyond the deadline as stipulated. Anyone who refuses to sign the compensation for relocation contract or refuses to remove after the contract was signed will be treated according to relevant

40 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

judicial programs or laws. 9) Relocatees’ loss will be compensated during the moving and transfer process. The recommended host area should be provided with elementary basic infrastructure and service facilities. 10) Non-residential units’ loss caused by remove and suspension of business will be compensated. Reconstruction within the affected areas and relocation in outside area should conform to the planning requirements, as well as the second- remove should be avoided in the coming days. 11) Vulnerable group should be treated reasonably. The project sponsor should help them with choosing and moving their houses. 12) The owners of the infrastructure should be compensated. The compensation should be used for the reconstruction of affected infrastructure and rehabilitation of the function. 13) Land acquisition and the loss caused by land acquisition should be compensated reasonably. Compensation for land acquisition will be paid to the collective organization to develop the collective economy, improve the public facilities and provide rehabilitation to affected villagers. The resettlement subsidies will be paid to the resettlement sponsors or the resettled individuals to pay the insurance fee. 14) All the fees for land acquisition should be paid within three months after the compensation and resettlement program get approved. It should also be no later than the day the land is put into construction use. 15) Generally, the temporarily land acquisition should not be longer than two years. The user should restore the conditions of the occupied cultivated land within one year after its occupation. When the collective land is occupied, a temporary land acquisition contract should be signed between the temporary land occupier and the collective economic organization or the residential committee and compensation for temporary land acquisition should be paid. The temporary land acquisition compensation should cover the loss to the former owner and user of the land (including the agriculture taxes). The standard of compensation should be increased and the former user of the land should be resettled appropriately if the use purpose or property right of the land changes when it was returned. If the temporarily land acquisition exceeds two years, the acquisition procedure should be handled again. 16) In order to insure the living standards and income levels will not decrease, all the labor forces affected by the land acquisition and resettlement should be provided with employment opportunity. Rehabilitation by allocating replacement land is encouraged, supplemented by development of second and tertiary industries. The villagers can choose to find a job by oneself. 17) Encourage the relocatee to participate in the preparation of resettlement planning and the process of

41 Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

resettlement; let the relocatee know the compensation and resettlement policies and standards. It should widely collect opinions of the affected persons during survey, and incorporate them in the RP report. 18) Seriously consider the complaints made by the affected person and help them with their difficulties and inconvenience in land acquisition and relocation reasonably and practically. The problems or dissatisfactions with the compensation standards should be resolved mainly through negotiation. If negotiation does not work, arbitration even a country appeal could be carried out. Any compulsive actions by the resettlement sponsor should conform to relevant laws. 19) Relative organizations should cooperate together to intensify the resettlement organizations at all levels and train all the staff that will go to duties. 20) In the process of the project, the County PMO is responsible for monitoring the interior implement of the project, hiring an independent organization to do the exterior monitoring and submitting the monitoring report to ADB periodically. Resettlement Assessment will be carried out after the project. 21) Any important changes made in the implement of resettlement (such as decreasing the compensation standards, changing the location or scale of the land acquisition for the project, new sub-project, changing any sub-project into a domestic invested one) should be reported to ADB in advance. If necessary, the resettlement planning can be revised or other resettlement can be prepared. 22) If other non-ADB project demolition occurs ahead or simultaneously in the ADB project area, the ADB project can take the advantage of other project under the condition that all the compensation and resettlement standards accord to the resettlement planning. 4.3.3 Compensation Reference and Standard for Land Acquisition Only 0.338 mu of collectively-owned land (all of which is dry farmland) needed to be permanently occupied. According to the implementation status, the unit price of compensation is RMB 33,488 yuan per mu.

4.4 Table of Entitlement Matrix According to the on-spot investigation conducted by Fenghuang County PMO and resettlement design unit, main impacts on land acquisition and demolition have been confirmed on the basis of natural loss, and entitlement matrix table can be used as the basis of paying the compensation. For details, see Table 4.4-1.

42

Table 4.4-1 Table of Relocatee Rights and Interests of Fenghuang County Urban Flood Control Project

Affected Responsible Compensation Standard (yuan/Unit) Affected Objective Policy of Land Acquisition and Resettlement Type Agency Compensation Item Standard (Fluctuant amplitude)

1. For the project construction land acquisition, the village shall obtain the land compensation cost and resettlement subsidy paid by the land acquisition unit; and relocatee will obtain young crop cost and ground adhesion matter compensation cost an so on; What’s more, If the land adjustment or the land reclamation is carried out inside the villager’s group to make the affected farmers by land acquisition obtain land or other means of production, the land compensation fee and the resettlement subsidies should be controlled for utilization by the villager’s group collective. On the contrary, if there is no possibility to carry out land adjustment or land tidying or development, and the relocatee has not got any production materials, the village group shall pay not less than 75% of the land compensation fee and resettlement subsidy to them. 2. Land compensation fee and resettlement subsidy shall be used in the livelihood rehabilitation of relocatee in the project construction, such as construction of farmland water conservancy facility, rebuilding of rural infrastructure and adjustment of agriculture structure and so on. County PMO, 3. The compensation standard for cultivated land acquisition is calculated based on the average output value per mu of the previous three years before Permanent Collectively-owned County Land land and the land acquisition. Compensation of cultivated land acquisition and multiple Dry farmland 33,488 yuan/mu land acquisition Resources of resettlement subsidy shall be in accordance with the quantity of per capita Burea cultivated land area before the land acquisition in project area, and shall be determined according to Land Administration Law of the PRC and Methods of Hunan Province for Implementing the Land Administration Law of PRC. Requisition of garden land, villagers’ housing plot and other unused land shall be compensated properly with reference to the stipulation of cultivated land acquisition. 4. The land compensation fee shall be paid to the village collective unit or land contractor before the land acquisition. 5. Land redistribution shall be carried out in slack season. And for all the farmers lost the land because of the project, they will acquire new land through land redistribution. 6. The exotic workers who rent cultivated land in the project area will obtain the young crops compensation for land acquisition. During the implementation of the resettlement in the project, if the exotic workers are willing to stay at this locality for earning a living, the project executive agency should help them rent the near land for cultivation.

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

5. Resettlement and Rehabilitation Measures

5.1 Resettlement and Rehabilitation Objectives Make proper compensation and appropriate resettlement in order to insure the productivity, income level and living conditions of the affected people could be restored or improved.

5.2 Resettlement Population Calculation According to the investigation, 50 households with 238 people (including 6 households with 29 people to be affected by temporary land acquisition) are affected by the project land acquisition, of which 183 agriculture populations need economic rehabilitation and 461 persons in 139 households need new houses. According to the time schedule of the project construction, the resettlement implementation will be commenced in the year of 2007, which is close to the investigation basic year, so the resettlement plan is prepared based on the population to be relocated as actually investigated, not take the nature increase of population into account. 5.2.1 Economic Rehabilitation Populations The project is in the linear distribution along Ceshui River, most of the affected populations only lose a partial land in land acquisition. According to the spot-investigation, the permanent land acquisition for embankment construction will be 132.2 mu and affect 209 persons in 44 households. The average land loss per capita is 0.63 mu. In terms of number of people who need economic rehabilitation, which refers those who would lose all their farmland holding, it is calculated by dividing amount of acquired farmland in each affected village group by the per capita farmland holding in that village group. The calculation formula is as follow: K= L/P Where: K stands for the number of people who need economic rehabilitation in every Villager's Group. L stands for the area of occupied cultivated land due to the project in every Villager's Group; P stands for the existing per capita cultivated land in every Villager's Group; According to the above formula, in the project affected range, 17 Villager's Groups in 7 villages with 183 agricultural populations need economic rehabilitation. The calculation of economic rehabilitation population in every Villager's Group in the project affected area is shown in details in Table 5.2-1. 5.2.2 Resettlement Population of House Demolition and Relocation According to on site investigation, 10 Villager's Groups in 3 administrative villages will be affected

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

bydemolition, 461 persons in 139 houses shall be relocated, and the houses to be dismantled will be 16,014.1 m2. All the affected persons need resettlement by building houses. The statistics of resettlement population of house demolition and reconstruction in the project area is shown in details in Table 5.2-2. 5.2.3 Affected Population Due to the Temporary Land Acquisition The area of temporary acquisition lands in this project totals 93 mu, including dry lands of 25.95 mu and shrubberies of 67.05 mu, and actually affect 29 persons in 6 households in 4 Villager's Groups of 2 administrative villages. During the period of temporary land occupancy, the affected villagers will get the compensation by years. After construction period, the measures of affected land recovery, planting measures and the temporary pile stock yard for the cultivated soil will be cooperated into the water & soil conservation design. The temporarily acquisitioned land will be reclaimed by use of the reclaimed cost and leveled, then returned to the affected farmers.

5.3 General Scheme for Resettlement During the project design, the design unit fully considered the destructive effect of land acquisition on local production and livelihood system, continuously optimized project design, and taken engineering measures to minimize the scope of land acquisition and demolition, therefore, the project construction will not create great unfavorable impact on the original production and livelihood system in each village. By holding discussion meeting in the subdistrict and resettler village (residential committees) affected by the land acquisition to widely collect their opinions, and considering the actual situation in project impact area, the general scheme for resettlement was established as follows: 1) The affected resettlers will be relocated in their original communities, for it can keep their original production type, livelihood and social relation, and facilitate the recovery and improvement of their production and income standards after land acquisition and demolition.

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

2) To lessen the project impact on resetter's production and livelihood, each resettler will be given RMB 200 yuan as temporary house subsidy, and the house owners can convey building materials from their old houses. Such compensation is lump sum payment covering three months period. 3) After obtaining the compensation for young crops and ground attachments, the affected farmers will be resettled within their Villager's Groups. As the main body of economic rehabilitation, the agricultural production will be developed based on the development of green house vegetable or partial adjustment of cultivated land in the existing groups, and assisted by other production developing measures, such as improvement of water resources facilities, adjustment of agricultural crop structure, improvement of low-yield farmland and change of dry farmland to paddy field, so as to exploit the potential of existing land and ensure the food production capacity of resettlement people. The land compensation fee and the resettlement subsidies should be controlled and put into utilization by the Villager's Group collective, or directly paid to the farmers participating in farmland adjustment. Meanwhile considering the resources in the project impact area, the direct cash compensation will be conducted in some Villager's Groups. The land compensation fee should be controlled and put into utilization by the Villager's Group collective, and the resettlement subsidies should be directly paid to the farmers affected by the land acquisition. The affected farmers will be engaged in non-agricultural activities to make income by using this compensation, so as to recover or improve their production and living standards.

5.4 Environmental Capacity Analysis The environmental capacity of resettlement area is refers to the number of resettlers that an area can support and absorb with normal economic and ecological sustainability. The scope of this investigation on resettlement's environmental capacity is based on the rehabilitation scheme that is proposed in Resettlement Plan. As majority of the farmland in project areas have been in possession of others, the agricultural populations who finally need rehabilitation by land have to share original land resources with residents in the host areas, and are guaranteed to get mutual benefit with local residents. To achieve this objective, a series of measures should be taken to increase agricultural income, such as increase investment on agriculture, improve fertility of field, change variety of crops, transform low-yield fields and change dry farm lands into paddy fields. The analysis on the change of land holding among affected villages and groups (see Table 5.2.1) indicates: the current cultivated land per capita in 17 affected Villager's Groups in 7 villages is 0.72 mu, which will be reduced to 0.63 mu after land acquisition, decreased by 0.09 mu per capita or 12.5%.

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

Among the 17 groups in 7 villages affected by land acquisition, those with the residual cultivated land per capita over 0.5 mu per capita amount to 14 groups. Among them, the Hongqi Group in Litou Village and the Yuanxi Group in Yuanxiao Village have most residual cultivated land, averaging 0.83 mu per capita. Among these affected groups, a large number of farmlands are in low yield because of low investment, lack of management, poor soil fertility, simple crop, and incomplete irrigation facilities. Therefore by fully utilizing potential of existing farmland, it is feasible to improve the level of production and the unit yield and achieve the objective of rehabilitation. The ameliorative measures, including increasing investment on low yield field, improving soil fertility, adjusting farming system, replanting improved crops variety, building farmland water resource facilities, and reinforcing field management, shall be adopted to fully exploit the potential of cultivated lands, improve the production level and yield per unit area, and consequently reach the resettlement target value. However there are 3 groups (in 2 villages) among 17 affected groups (in 7 affected villages) with their farmland per capita below 0.5 mu after land acquisition. Among them, the Litou Group in Litou Village has the largest reduction of 20.6% and the least residual cultivated lands, whose residual cultivated land is 0.43 mu per person. Since those agricultural populations who need agricultural resettlement have to share the limited land resources with residents in the resettlement area, it is hard to guarantee mutual benefit for both resettlers and local residents due to the limited bearing capacity of land, though such measures as improvement of low-yield field, change of dry land to paddy field, and improvement of output value per unit area of cultivated land. Therefore other related measures should be carried out to provide economic rehabilitation such as development of green house vegetable or secondary and tertiary industries so as to increase their income and improve their poverty situation.

5.5 Resettlement Plan 5.5.1 Plan for Livelihood Rehabilitation 5.5.1.1 Choice of Rehabilitation Method In May 2006, the resettlement design unit carried out the on-site investigation, optimization and demonstration in collaboration with Shuangfeng County PMO and the local governments at various levels. According to the practical situations of project-affected area and resettlers' opinions, the mode of scattered resettlement in their existing village has been adopted for the resettlers' relocation in this project. A contract should be signed between the resettlers and the project sponsor or the land acquisition implementation agency. Based on the resettler' opinions, the resettlers have the rights to choose different resettlement scheme and

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

resettlement locations.

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

5.5.1.2 Principle and Procedure for Selecting Resettlement Sites 1) Principles The aim of rehabilitation of housing condition is to provide the relocated households with safe, convenient and graceful living environment. (The new residential areas should have good terrain and geological conditions and reliable drinking water source. (She location of new residential areas should be compatible with the economic rehabilitation plan. (She location of new residential areas should be convenient for production, living and management. @ave land, especially the cultivated land, as much as possible. (fake the future population increase into account and leave rooms for further development. (fhe distribution of houses in the residential areas should be based on the terrain conditions and take the lighting, ventilation, sanitation and greening conditions into account. (Jhe design of houses should meet the requirements of the relocatees and their financial abilities. 2) Procedure Based on the above principles, after on-site investigation and analyzing the terrain, geological, traffic, power and water source conditions, the location of new residential area is selected after negotiation with representative of resettler and local government, taking the resettler' living and production conditions into account. 5.5.1.3 Planning of Demolition and Housing A total of 461 persons in 139 households in Hetang Residential Committee, Wenxing Residential Committee and Litou Village affected by project construction need the concentrated resettlement by property rights transposition and the scattered resettlement in their existing villages by moving back. (1) Concentrated Resettlement by Property Rights Transposition According to investigation of resettlers' will, 445 resettlers in 134 households in Hetang Residential Committee and Wenxing Residential Committee would like to choose transposition of property rights and concentrated resettlement, they ask for the resettlement houses that occupy the same area as the former one under the uniform arrangement of the government. According to the principle of "unified planning, unified design, unified distribution, unified management and unified construction" in Shuangfeng County Urban Planning, the Project Executive agency and Implementation agency of land acquisition and house demolition will cooperate with local government to decide and develop new centered resettlement sites, build the flat-type residents for resettlers' selections. According to the spot-investigation by Municipal PMO and Resettlement Design Unit, and consultation results of local

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

governments at every level, some relevant units and resettlement representatives, the specific compensation resettlement of transposition of property rights of this project are shown in the following: a. The new resettlement site by transposition of property rights under this project is initially set at the section of urban area circling urban boundary in Hongqi Village, which is about 1 km away from the project impact area and determined as the concentrated settlement site for resettlers due to urban construction. The conditions of transportation, geology, terrain and water resource are all good; b. The flat type of new resident are varied: two rooms with a reception room (65 m2), two rooms with two reception rooms (80 m2), three rooms with two reception rooms (95 m2), and four rooms with two reception rooms (120 m2), equipped with kitchen and washroom; c. The standard for new houses is uniform door and window installation, uniform decoration of external walls, as well as cement ground, putty inner wall, and sufficient water and power supply; d. If the compensation building area of transposition of property rights is the same as the building area of the demolition house, the calculation of price difference won't be conducted: if the compensation building area is smaller than the former building area, the compensation for short part will be calculated at the price of commercial housing (RMB 500 yuan/m2); if the compensation building area is larger than the former building area (the over area is smaller than the 15% of the former building area), the compensation will be calculated at the price of replacement value (RMB 348 yuan/m2), and if the compensation building area is larger than the former building area (the over area is larger than the 15% of the former building area), the compensation will be calculated at the price of commercial housing (RMB 500 yuan/m2); e. The new houses after property rights exchanging could only be sold in the market after the completion of commercial housing sales by the developer. (2) Move-back and Resettle Locally According to the relocatees' wishes and the practical situations, 16 persons in 5 households in Litou Village will be move-backed and resettled locally in the village which they formerly belong to. According to the principle of unified planning, unified land acquisition and separate construction', they will be compensated with fees that is enough to build a house similar to the existing one and they are responsible to build their new house on the land arranged by the village. The land area used for rebuilding the house is 180 m2 per household according to the existing national Land Administration Law, Implementation Methods for Land Administration in Hunan Province and Compensation Methods for Land Acquisition and Demolition in Loudi City. According to the standard of using the land, the standard of resettlement compensation and local custom, this project

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

designed 4 types of house for the resettlers as examples. To rebuild their houses, the resettlers can choose one type of the house example or design their house by themselves according to their wishes and economic situations. The details of house examples are shown in Figure 2.

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

More details about demolition and housing in the project area will be shown in Table 5.5-1. 5.5.1.4 Infrastructures There is no special planning since the resettlement by means of move-back and resettle locally can rely on existing infrastructures and social service systems. For affected local infrastructure facilities, in addition to provide compensation and restore them to original conditions and functions, the local governments could also, according to the local economic situation and the principle of 'Convenient for production and easy to live', reasonably improve the facilities in the resettlement areas by providing additional funding or increasing the investment, making overall arrangement and constructing at the same time. The sub-district and village will be responsible to construct infrastructures in the resettlement location and the investments will be covered by the compensation for infrastructures. 5.5.1.5 Assistance in Resettlement The land acquisition and resettlement implementation agency will be responsible for assisting resettlers at every aspect during the entire process of the resettlement: 1) Understand and try to satisfy the resettlers' needs before the resettlement. 2) Help the resettlers dealing with their troubles such as arranging the vehicles and assisting the remove during the process of resettlement. 3) Try to realize the resettlers' comfort and discomfort and try to solve their difficulties in time after the resettlement.

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Fenghuang County Urban Flood Control Project Resettlement Plan and Due Diligence Report

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5.6 Economic Rehabilitation Planning for Resettlers 5.6.2.1 Economic Rehabilitation Objective for Resettlers The reconstruction and rehabilitation of production and livelihood is the key standard to judge the feasibility of resettlement. In order to ensure that the livelihood of resettlers will not decrease, the rehabilitation and improvement of resettlers' current net income per capita as the objective of resettlement planning. During March 2006, with the assistance of city PMO and government at each level, the resettlement design unit Shuangfeng County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute investigated the affected farmers on their household properties, income and expenditure conditions, and listed the information household by household. According to the analysis on the income and expenses of agricultural family, in 2005, the annual net income in project area was RMB 2,786 yuan. In project area, during 2003~2005, the mean annual growth rate in rural area is 4.3%. The resettlement implantation plan of the project will be launched in 2007, and the net income standard for villager resettlers is RMB 2,911 yuan in 2007. In order to guarantee that the resettlers will reach or exceed their former living standard after relocation, the net income per capita must reach or exceed RMB 2,911 yuan. 5.6.2.2 Economic Rehabilitation Standard According to the agricultural means of production status and local agricultural production level in project area, the input and output level analysis has been conducted for the economic rehabilitation project for resettlers in project area. The economic rehabilitation strategy was established. For those village groups with sufficient land holdings after land acquisition (14 village groups out of 17 with per capita land holding being 0.5 mu or more after land acquisition), land readjustment will be carried out, which will ensure adequate landholding will be available for all affected persons. Following land readjustment, for those village groups with sufficient land holding and market conditions for vegetable greenhouse development, greenhouse vegetable will be developed for economic rehabilitation, which is based on rehabilitation of one person by developing each greenhouse with 0.25 mu of land area, and as for the development of secondary and tertiary industries, the investment standard will be based on the degree of land loss among affected people and the similar project in the district, averaging about RMB 10,000 per person.

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5.6.2.3 Economic Rehabilitation Planning for Resettler During April 2006, the resettlement design unit and the municipal PMO, together with the relevant department, conducted the on site survey on the project affected land, water surface, and other natural resources. In the course of resettlement planning and project impact investigation, the consultation meeting with the project affected town (township), village cadre, and some resettler representatives have been held, and the economic rehabilitation schemes for resettlers was discussed. Through the analysis on the geographic position, land resources ownership, income structure of local residents, and based on the extensive consultation with the resettlers, the overall economic rehabilitation scheme was developed as follows: in-group adjust cultivated land for 84.02 mu, and resettle 123 persons; develop the greenhouse vegetable of 11.25 mu, and resettle 45 persons; and settle 15 persons by the secondary and tertiary industries. See Table 5.5-2 for details of resettlement economic rehabilitation in groups.

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1) Adjust Cultivated Land in Groups According to survey, 17 Villager's Groups affected by project in project area would like to choose the economic rehabilitation mode of re-allocate the cultivated land in the group. The land resources in these villages and groups are usually abundant. The cultivated land per capita after land acquisition is between 0.5 mu per person ~ 0.83 mu per person. The affected villagers are accustomed to make a living on the farmland, and lack other skills of making a living; they would like to keep their traditional production mode and means of living. In the overall project planning, there are 84.02 mu cultivated land will be adjusted within the Villager's Group for 123 resettlers. After adjustment of cultivated land, the cultivated land per person in this group will be less. In order to keep resettlers' living level developing as other villagers', it is necessary to develop fully the latent capacity of the remaining cultivated land, to insist the principle which is called that "exchanging quality for quantity", and to enhance the yield and output value of the remaining cultivated land, as the cultivated land in the project scope are mainly located at side banks along the river presently, they are often inundated by flood, the actual yield is considerably low, and the flood standards will be improved after project implementation. In this project, together with the implementation of agricultural structure adjustment item, some agricultural technicians shall be hired to strengthen the agricultural technique training of rural resettlers and to guide them to fulfil the measures of "improving low yield land, changing dry farmland into paddy field", rightly to enhance the elemental area output value and the cultivated land capacity, so as to fully and well rehabilitate the resettlers in this village with cultivated land adjustment in this villager' s group.

2) Development of Greenhouse Vegetable In the project affected scope, there are 5 Villager's Groups with less cultivated land acquisition and without families that will lose all the lands. According to the selection of most resettlers, in these groups the affected families shall be rehabilitated with cash compensation but not cultivated land adjustment. The affected families will use the compensation fee to develop green house vegetable, which can meet the urban residents' requirement of Shuangfeng County and also well solve the resettlers's production to increase their income. In the entire project planning, there are 11.25 mu lands for developing the counter season and nuisance free green house vegetables, and 45 resettlers will be resettled.

3) Development of Secondary and Tertiary Industries According to the investigation, the Daizhou Group in Hongqi Village is situated at the junction of urban and suburb areas. Currently, many persons with high initiations are engaged in secondary and tertiary industries. Concerning this advantage and provided with technical training and guidance, 15 persons will be resettled by development of secondary and tertiary industries.

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As the resettlement scheme of the project area is determined in terms of the opinions of most resettlers, maybe individual resettlers will disagree with the resettlement scheme of their village and group, and other modes shall be adopted, the PMO will try best to coordinate and settle the problems. If the resettlers have their own approaches for revenues, namely, they have fixed operation sites in other places, applicable operation skills and production equipment, or relatively steady income resources, as well as they accept cash compensation and they want to find jobs by themselves, after the EA verifies if they completely meet the self-employed conditions, and they sign the resettlement agreement, receive the notarial certificate and go through other procedures during the project implementation process, the resettlement subsidies will be directly paid to the self-employed persons. For the groups and villages need cash compensation, if individual resettlers want to undertake agricultural production, the EA will help them obtain land, and continue agricultural production.

4) Total Investment for Economic Rehabilitation Based on the above analysis and culculation, the total investment for economic rehabilitation in project area is calculated to be RMB 2.2439 million yuan. For details, please see Table 5.5-3. Estimate of Investment for Economic Rehabilitation Table 5.5-3 Item Unit Unit price Qty. Investment Remarks (yuan) (10000 yuan)

Total 224.39 1. Paddy field adjustment 189.19 In-group adjustment mu 22517 84.02 189.19 For 123 relocatees 2. Development of greenhouse vegetable mu 17954 11.25 20.2 For 45 relocatees 3. Development of secondary and tertiary industries person 10000 15 15 For 15 relocatees

5.6.2.4 Balance between Land Compensation Fee and Economic Rehabilitation Investment According to the relative resettlement articles: "The land compensation and resettlement subsidies, is used by the institutions with land acquired, for production rehabilitation and development, and arranging the employment for the surplus labor forces caused by the land acquisition, livelihood subsidies for people incapable for work. It can also be contracted to the county (city) and be unitedly allocated by the county (city) for land development, production and livelihood resettlement for resettlers. But these special funds must be used for the specific purpose. The funds shall not be privately shared or used for other purposes." In case that the land compensation and resettlement subsidies

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can not meet the requirements of production and resettlement, the resettlement subsidies can be increased according to the situation. Therefore, the land compensation fee and resettlement subsidies, as the only fund

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resource of the resettlers' production and resettlement, must be equal to or a little more than the total investment of economic rehabilitation. According to the economic rehabilitation plan, the required economic rehabilitation population in this project is 183. The investment for production development project is RMB 2.2439 million yuan in total. The permanent land acquisition compensation fee in the project area is RMB 2.9245 million yuan in total, a little more than required investment for other economic rehabilitation. This indicates that the land compensation standard is considerably suitable, and can meet the fund requirement of economic rehabilitation. The fund margins can be unitedly used for continuous development by each village group, such as launching village-owned enterprises, land resources development and used as fund investment for other projects as improving low-yield farmland and converting dry farmland to paddy fields, etc., to ensure that the livelihood level of the resettlers reaches or exceeds their previous standard. 5.6.2.5 Rehabilitation Measures for Resettlers' Economic Income The project implementation agency will offer help and support to the resettlers as much as possible during the whole course of resettler livelihood recovery in this project. They include 1) Distribute resettlement subsidy and help resettlers to become self-employed. Any labor output project in the municipal area will give priority to the affected persons. 2) Strengthen the training of production skills for resettlers and invite experienced specialists to train the resettlers to develop cultivation industry and livestock breeding industry. 3) Give first priority to the resettlers when hire labour for the project construction. The project construction will afford some employment chances including land levelling and landscape works. Though some project tasks will be temporary, the income of these employees, according to income survey of the same work type in Shuangfeng County, will be RMB 800~1200 yuan/month. So the local resettlers will be given short-term incomes which will be useful to enhancing living level of affected people and restoring their income and livelihoods. 5.6.3 Resettlement Villages Planning The resettlement planning is different from village to village because of the different impact caused by project construction and difference in land requisition, resources structure, and infrastructural facilities conditions. In consideration of that the resettlement plan shall be carried out for the resettlement villages with economic rehabilitation tasks, the resettlement planning of each affacted village (excluding the impact of temporary land occupation) are elaborated as follows:

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5.6.3.1 Hongqi Village of Yongfeng Town 1) Current State Hongqi Village is an administrative village subordinated to Yongfeng Town of Shuangfeng County located in the east bank of Ceshui River, northeast of Shuangfeng County. The village borders on Dingyuan Village of Yongfeng Town in the east, Chengbei Residential Committee of Yongfeng Town in the west, Chengguan Village of Yongfeng Town in the south and Maoping Village of Yongfeng Town in the north. Because the No. 320 national highway passes through the village and there are village-grade highways between villages, the communication is very convenient. The whole village, with the total land area being 427.5 mu, is composed of 8 Villager's Groups and has 1,173 persons in 360 households. The cultivated land area is 251 mu, among which 179 mu of paddy field and 50 mu of dry farmland, and the per capita cultivated land area is 0.82 mu. In addition, there is 22 mu of green- house vegetable land. The net income of per capita by the end of 2005 is RMB 3,577 yuan. 32 households with the proportion of 8% in Hongqi Village engage in the second and third industries. The proportion of labor force in the village is 48%, 8% of which are working outside mainly in the county, engaging in the industries such as communication, transportation, service, construction, etc. 2) Impact by Land Requisition and Demolition The land acquisition of the project will affect 14 persons in 3 households, of which, house demolition is not included in; the cultivated land requisitioned is 9.5 mu, covering 2 village's groups, of which 1.4 mu of paddy field, 6.7 mu of dry farmland and 1.4 mu of commercial vegetable land. The cultivated land per capita after land requisition is 0.79 mu, 0.03 mu less than that before the land requisition (0.82 mu/person). The cultivated area after land acquisition is 3.78% decreased. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Hongqi Village, see the table 5.5-4.

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Cultivated Land of Each Villager's Group in Hongqi Village Table 5.5-4

Existing cultivated land area (mu) Occupied ruled cultivated land conditions Reducing proportion Per capita Per capita of per Current cultivated cultivated capita Groups agricultural Subtotal Paddy Dry Commercial land before Subtotal Paddy Dry Commercial land after cultivated population field farmland vegetable land field farmland vegetable land land before (person) land acquisition land acquisition and (mu/person) (mu/person) after land acquisition (%) 8 306 251 179 50 22 0.82 9.5 1.4 6.7 1.4 0.79 3.78 Daizhou 36 32 18 5 9 0.89 5.6 0.9 4.7 0.73 17.5 Zhoushan 40 30 17 6 7 0.75 3.9 0.5 2 1.4 0.65 13 g Taqiao 39 26 20 4 2 0.67 Shitang 36 30 22 7 1 0.83 Xiongjia 34 24 19 5 0.71 Yeya 37 31 23 6 2 0.84 Shilu 41 36 28 8 0.88 Guanghui 43 42 32 9 1 0.98

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3) Resettlement Measures Based on the extensive consultation with resettlers and the actual condition of Hongqi Village, through discussion, the committee of the village made a decision that the resettlers of the village would be resettled in accordance with the following measures: ------Economic rehabilitation measure: Because Hongqi Village is rich in land resource, the affected people in the 2 Villager's Groups, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the groups. According to the number of persons in the several groups who need economic rehabilitation, a total of 7.63 mu of cultivated land will be adjusted and distributed to 11 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee and resettlement subsidy, according to relevant state policies, will be fully paid to the affected village group. The village group will use the compensation to improve irrigation conditions and increase yield. It is planned to build 750 meters of irrigation canals in Daizhou and Zhoushang Groups in Hongqi Village with a total investment being RMB 70,000 yuan. And it is planned to resettle 11 persons by adjusting cultivated land in groups. 5.6.3.2 Hengtang Village of Yongfeng Town 1) Current State Hengtang Village is an administrative village subordinated to Yongfeng Town of Shuangfeng County located in the east bank of Ceshui River, northeast of Shuangfeng County. The village borders on Yangshu Village of Yongfeng Town in the east, Chengbei Residential Committee of Yongfeng Town in the west, Dingyuan Village of Yongfeng Town in the south and Maoping Village of Yongfeng Town in the north. Because the No. 320 national highway passes through the village and there are village-grade highways between villages, the communication is very convenient. The whole village, with the total land area being 1,279.3 mu, is composed of 11 Villager's Groups and has 1,156 persons in 229 households. The cultivated land area is 648 mu, among which 489 mu of paddy field and 104 mu of dry farmland, and the per capita cultivated land area is 0.56 mu. In addition, there is 48 mu of green house vegetable land. The net income of per capita by the end of 2005 is RMB 3,042 yuan. The proportion of labor force in Hengtang Village is 70%, 37% of which are working outside mainly in the county, engaging in the industries such as communication, transportation, service, construction, etc. 2) Impact by Land Requisition and Demolition The land acquisition of the project will affect 19 persons of 4 households, of which, house demolition is not included in; the cultivated land requisitioned is 15.1 mu, covering 2 village's groups, of which 3 mu of paddy field, 9.4 mu of dry farmland and 2.7 mu of commercial vegetable land. The cultivated land per capita after land requisition is 0.55 mu, 0.01

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mu less than that before the land requisition (0.56 mu/person). The decrease proportion of cultivated area after land acquisition is 2.33%. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Hengtang Village, see the table 5.5-5.

Cultivated Land of Each Villager's Group in Hengtang Village Table 5.5-5 Groups Existing cultivated land area (mu) Current Per capita Occupied ruled cultivated land conditions Per capita Reducing agricultural cultivated land cultivated land proportion of Subtotal Subtotal population Paddy Dry Commercial before Paddy Dry Commercial after per capita (person) field farmla vegetable land field farmland vegetable land cultivated land nd land acquisition land acquisition before and (mu/person) (mu/person) after land acquisition (%)

11 1156 648 489 104 55 0.56 15.1 3 9.4 2.7 0.55 2.33 81 69 42 12 15 0.85 6.3 1.3 3.9 1.1 0.77 9.13 9th Group

h

u u G 2 to 82 72 46 9 17 0.88 8.8 1.7 5.5 1.6 0.77 12.22

p

r

99 52 39 13 0.53

2

1

G

p

r

2nd 112 553 44 11 0.49

Group 103 56 47 9 0.54 3rd Group

h

u ^ 2 G 2 ^ u 128 69 48 12 9 0.54

p

r

h 109 54 49 5 0.5

u 2 G 2 u

p

r

th 127 68 53 7 8 0.54 7 Group 117 60 43 11 6 0.51 8th Group

th 101 50 41 9 0.5 10 Group th 97 43 37 6 0.44 11 Group

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3) Resettlement Measures Based on the extensive consultation with resettlers and the actual condition of Hengtang Village, through discussion, the committee of the village made a decision that the resettlers of the village would be resettled in accordance with the following measures: ------Economic rehabilitation measure: Because Hengtang Village is rich in land resource, the affected people in the 2 Villager's Groups, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the groups. According to the number of persons in the several groups who need economic rehabilitation, a total of 13.9 mu of cultivated land will be adjusted and distributed to 17 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee and resettlement subsidy, according to relevant state policies, will be fully paid to the affected village group. The village group will use the compensation to improve irrigation conditions and increase yield. It is planned to build 1000 meters of irrigation canals and one irrigation station with a capacity of 20 kW in the 5th and 9th Groups in Hengtang Village with a total investment being RMB 180,000 yuan. And it is planned to resettle 17 persons by adjusting cultivated land in groups. 5.6.3.3 Maoping Village of Yongfeng Town 1) Current State Maoping Village is an administrative village subordinated to Yongfeng Town of Shuangfeng County located in the east bank of Ceshui River, north of Shuangfeng County with the distance of 2.0 km from the county. The village borders on Yangshu Village of Yongfeng Town in the east, Litou Village of Yongfeng Town in the west, Hengtang Village of Yongfeng Town in the south and Hejia Village of Yongfeng Town in the north. The whole village, with the total land area being 2,264 mu, is composed of 11 Villager's Groups and has 1,455 persons in 372 households. The cultivated land area is 1,248 mu, among which 917 mu of paddy field, 211 mu of dry farmland and 120 mu of commercial vegetable land, and the per capita cultivated land area is 0.86 mu. In addition, there is 120 mu of green house vegetable land. The net income of per capita by the end of 2005 is RMB 2,730 yuan. The proportion of labor force in Maoping Village is 56%, 38% of which are working outside mainly in the county, engaging in the industries such as communication, transportation, service, construction, etc. 2) Impact by Land Requisition and Demolition The land acquisition of the project will affect 63 persons of 13 households, of which, house demolition is not included in; the cultivated land requisitioned is 35.7 mu, covering 6 village's groups, of which 23.9 mu of paddy field, 8.8 mu of dry farmland and 3 mu of commercial vegetable land. The cultivated land per capita after land requisition is 0.84 mu, 0.02

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mu less than that before the land requisition (0.86 mu/person). The decrease proportion of cultivated area after land acquisition is 2.86%, and the cultivated land per capita of most people is still over 0.5 mu/person. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Maoping Village, see the table 5.5-6.

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e 5.5-6 Groups Existing cultivated land area (mu) Current Per capita Occupied ruled cultivated land conditions Per capita Reducing agricultural cultivated land cultivated land proportion of Subtotal Subtotal population Paddy Dry Commercial before Paddy Dry Commercial after per capita (person) field farmland vegetable land field farmland vegetable land cultivated land land acquisition land acquisition before and (mu/person) (mu/person) after land acquisition (%)

11 1445 1248 917 211 120 0.86 35.7 23.9 8.8 3 0.84 2.86 117 78 50 15 13 0.67 1 1 0.66 1.28 1st Group

98 62 45 9 8 0.63 7.6 3.4 3 1.2 0.56 12.26 7th Group

95 65 45 13 7 0.68 7.5 4.2 2.3 1 0.61 11.54 8th Group

106 59 40 11 8 0.56 8.6 6.3 1.5 0.8 0.48 14.58 gth Group

112 83 55 16 12 0.74 9.2 7.2 2 0.66 11.08 10th Group 124 90 60 14 16 0.73 1.8 1.8 0.71 2 11th Group 147 137 97 33 7 0.93

Si e G e Si

d

p

u

r

164 177 132 32 13 1.08 3rd Group 177 185 152 10 23 1.05

^ e ^

h

G

p

u

r

h

u to e G e to u 156 162 128 27 7 1.04

p

r

149 150 113 31 6 1.01 6th Group

3) Resettlement Measures Based on the extensive consultation with resettlers and the actual condition of Maoping Village, through discussion, the committee of the village made a decision that the resettlers of the village would be resettled in accordance with the following measures:

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Economic rehabilitation Cultivated Land of Each Villager's Group in Maoping Village Tab measure: Because Maoping Village is rich in land resource, the affected people in the five groups among the 6 affected Villager's Groups, such as 1st, 7th, 8th, 10th and 11th Villager's Groups, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the 5 groups. According to the number of persons in the several groups who need economic rehabilitation, a total of 23.34 mu of cultivated land will be adjusted and distributed to 38 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee, according to relevant state policies, will be fully paid to the village and shared by all village members. As for the 9th group, the cultivated land per capita after land acquisition is only 0.48 mu, so the adjustment within the group cannot be carried out. According to the relevant national policies and measures, the affected farmers will be paid not less than 75% of the land compensation fee and resettlement subsidy, and no more land readjustment. Based on the actual conditions that the Maoping Village is relatively near the county, and the farmers are quite enthusiastic in taking up the second and third industries, it is planned to develop the second and third industries such as service industry, in which 15 resettlers will be distributed. 5.6.3.4 Litou Village of Yongfeng Town 1) Current State Litou Village is an administrative village subordinated to Yongfeng Town of Shuangfeng County located in the west bank of Ceshui River, north of Shuangfeng County with the distance of 0.5km from the county. The village borders on Maoping Village of Yongfeng Town in the east, Jingwan Village of Yongfeng Town in the west, Chengzhong Residential Committee of Yongfeng Town in the south and Hejia Village of Yongfeng Town in the north. The whole village, with the total land area being 825.2 mu, is composed of 10 Villager's Groups and has 970 persons in 281 households. The cultivated land area is 490 mu, among which 328 mu of paddy field and 134 mu of dry farmland, and the per capita cultivated land area is 0.52 mu. In addition, there is 28 mu of green house vegetable land. The net income of per capita by the end of 2005 is RMB 3,156 yuan. The proportion of labor force in Litou Village is 67%, 20% of which are working outside mainly in the county, engaging in the industries such as communication, transportation, service, construction, etc. 2) Impact by Land Requisition and Demolition The land acquisition of the project will affect 51 persons of 11 households, thereinto, 16 persons in 5 households will be affected by the demolision; the cultivated land requisitioned is 25.9 mu, covering 3 village's groups, of which 16.3 mu of paddy field, 7.5 mu of dry farmland and 2.1 mu of commercial vegetable land. The cultivated land per capita after land

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requisition is 0.49 mu, 0.03 mu less than that before the land requisition (0.52 mu/person). The decrease proportion of cultivated area after land acquisition is 5.29%. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Litou Village, see the table 5.5-7.

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Cultivated Land of Each Villager's Group in Litou Village Table 5.5-7 Existing cultivated land area (mu) Occupied ruled cultivated land conditions Reducing proportion Per capita Per capita of per Current cultivated cultivated capita Groups Subtotal Subtotal agricultural Paddy Drt Commercial land Paddy Dry Commercial land after cultivated population field farmland vegetable before field farmland vegetable land land before (person) land land land acquisition and

(mu/persoacquisitio (mu/perso n) n) after land n acquisition (%) 10 940 490 328 134 28 0.52 25.9 16.3 7.5 2.1 0.49 5.29 Hongqi 43 37 15 16 6 0.86 1.3 1 0.3 0.83 3.51 Lijia 106 57 30 18 9 0.54 11.4 7 3.9 0.5 0.43 20 Litou 118 64 34 20 10 0.54 13.2 8.3 3.6 1.3 0.43 20.63 Xinwu 1 121 49 37 12 0.4 Xinwu 2 137 64 53 11 0.47 Xinwu 3 120 55 46 9 0.46 Gongwu 86 46 33 13 0.53 Xujia 81 34 27 7 0.42 Shangwa 47 37 22 15 0.79 n Fengjia 81 47 31 13 3 0.58

3) Resettlement Measures Based on the extensive consultation with resettlers and the actual condition of Litou Village, through discussion, the committee of the village made a decision that the resettlers of the village would be resettled in accordance with the following measures: ------Economic rehabilitation measure: After land acquisition of the project, the affected people in Hongqi group, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the group. According to the number of persons in the group who need economic rehabilitation, a total of 1.66 mu of cultivated land will be adjusted and distributed to 2 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee, according to relevant state policies, will be fully paid to the village and shared by all village members. The surplus cultivated land per capita in Lijia and Litou groups after land acquisition is only 0.43 mu, so the adjustment within the groups cannot be carried out. In consideration of that most villagers have high positivity to plant vegetables and want to use the land acquisition compensation to improve agricultural structure, it is planned to develop 11.25 mu of green house vegetables land,

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which will be distributed to 45 resettlers. The villagers hope that the Villager's Committee can organize skill training and guiding study class for them, as well as provide assistance for development of green house vegetable. ------Demolition and reconstruction of houses: According to the voluntary choice of relocatees, the Villager's Committee decided to resettle 5 affected households with 16 persons by means of scattered and moving-back resettlement in existing groups, and will unifiedly arrange new housing plot with the standard of 180 m2 /household, which is mainly the dry farmland. The reconstruction of houses, according to relocatees' desires, will be carried out by means of self-demolition and self-reconstruction. This project will provide compensation for their loss according to relevant policies, necessary subsistence subsidy, such as conveying fee, and expenditure of attached infrastructures of new housing plot. Moreover during the house construction, the project implementation agency and Villager's Committee will also provide necessary assistance for the affected persons. 5.6.3.5 Jingwan Village of Yongfeng Town 1) Current State Jingwan Village is an administrative village subordinated to Yongfeng Town of Shuangfeng County located in the south bank of Mishui River, north of Shuangfeng County with the distance of 1.0 km from the county. The village borders on Litou Village of Yongfeng Town in the east, Taoshu Village of Yongfeng Town in the west, Shaotang Village of Yongfeng Town in the south and Yuanxiao Village of Yongfeng Town in the north. The whole village, with the total land area being 2,408.6 mu, is composed of 16 Villager's Groups and has 1,137 persons in 295 households. The cultivated land area is 1,046 mu, among which 727 mu of paddy field and 300 mu of dry farmland, and the per capita cultivated land area is 0.92 mu. In addition, there is 19 mu of green house vegetable land. The net income of per capita by the end of 2005 is RMB 28,801 yuan. The proportion of labor force in Jingwan Village is 60%, 16% of which are working outside mainly in the province, engaging in the industries such as communication, transportation, service, construction, etc. 2) Impact by Land Requisition and Demolition The land acquisition of the project will affect 4 persons of 1 household, of which, house demolition is not included in; the cultivated land requisitioned is 2.4 mu, covering 1 village's group, of which 1.4 mu of dry farmland and 1 mu of commercial vegetable land. The cultivated land per capita after land requisition is 0.92 mu, almost not less than that before the land requisition (0.92 mu/person). The decrease proportion of cultivated area after land acquisition is 0.23%. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Jingwan Village, see the table 5.5-8.

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Cultivated Land of Each Villager's Group in Jingwan Village Table 5.5-8 Existing cultivated land area (mu) Per capita Occupied ruled cultivated land conditions Per capita Reducing cultivated land cultivated land proportion Groups Subtotal Subtotal Current Paddy Dry Commercial before Paddy Dry Commercia after perof capita agricultural field farmland vegetable land acquisition field farmland l vegetable land cultivated population land (mu/person) land acquisition land before (person) (mu/person)) and after land acquisition (%) 16 1137 1046 727 300 19 0.92 2.4 0 1.4 1 0.92 0.23

Yangjia 89 67 40 20 7 0.75 2.4 1.4 1 0.73 3.58

Xinfu 92 61 42 14 5 0.66

Dawa 77 75 51 24 0.97

Jingtang 72 100 67 33 1.39

Dongfeng 59 48 32 16 0.81

Pendjia 98 67 46 21 0.68

Risheng 54 42 28 14 0.78

Dongxin 52 49 30 16 3 0.94

Liaojia 61 56 37 19 0.92

Liaochuan 53 62 41 21 1.17

Liaoxi 78 79 62 13 4 1.01

Ma'an 56 77 49 28 1.38

Heizeng 62 48 32 16 0.77

Shashan 95 83 71 12 0.87

Shihui 64 61 42 19 0.95

Changchong 75 71 57 14 0.95

3) Resettlement Measures Based on the extensive consultation with resettlers and the actual condition of Jingwan Village, through discussion, the committee of the village made a decision that the resettlers of the village would be resettled in accordance with the following measures: ------Economic rehabilitation measure: Because Jingwan Village is rich in land resource, the affected people in the 1 Villager's Group, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the group. According to the

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number of persons in the group who need economic rehabilitation, a total of 2.19 mu of cultivated land will be adjusted and distributed to 3 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee, according to relevant state policies, will be fully paid to the village and shared by all village members. 5.6.3.6 Yuanxiao Village of Yongfeng Town 1) Current State Yuanxiao Village is an administrative village subordinated to Yongfeng Town of Shuangfeng County located in the south bank of Mishui River, north of Shuangfeng County with the distance of 2.0 km from the county. The village borders on Hejia Village of Yongfeng Town in the east, Mashan Village of Yongfeng Town in the west, Jingwan Village of Yongfeng Town in the south and Yanwan Village of Yongfeng Town in the north. The whole village, with the total land area being 2,367.7 mu, is composed of 13 Villager's Groups and has 903 persons in 255 households. The cultivated land area is 1,015 mu, among which 826 mu of paddy field and 193 mu of dry farmland, and the per capita cultivated land area is 1.17 mu. In addition, there is 26 mu of green house vegetable land. The net income of per capita by the end of 2005 is RMB 2,601 yuan. The proportion of labor force in Yuanxiao Village is 67%, 15% of which are working outside mainly in the province, engaging in the industries such as communication, transportation, service, construction, etc. 2) Impact by Land Requisition and Demolition The land acquisition of the project will affect 39 persons of 8 households, of which, house demolition is not included in; the cultivated land requisitioned is 32.4 mu, covering 2 village's groups, of which 27.7 mu of paddy field, 2.3 mu of dry farmland and 2.4 mu of commercial vegetable land. The cultivated land per capita after land requisition is 1.13 mu, 0.04 mu less than that before the land requisition (1.17 mu/person). The decrease proportion of cultivated area after land acquisition is 3.19%. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Yuanxiao Village, see the table 5.5-9.

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Cultivated Land of Each Villager's Group in Yuanxiao Village Table 5.5-9 Existing cultivated land area (mu) Per capita Per capita Hunan Province Hydro and Power Design Institute Occupied ruled cultivated land conditions Reducing proportion of per capita Groups Subtotal Subtotal Current Paddy Dyr Commercial cultivated land Paddy Dry Commercial cultivated cultivated land agricultural field farmland vegetable before field farmland vegetable land after before and population land land land land after (person) acquisition acquisition land (mu/person) (mu/person) acquisition (%)

13 868 1015 826 193 26 1.17 32.4 27.7 2.3 2.4 1.13 3.19

Yuanxi 81 86 64 14 8 1.06 18.6 16.2 1.3 1.1 0.83 21.63 Chayuan 74 66 45 12 9 0.89 13.8 11.5 1 1.3 0.71 20.91

Yangliu 1 68 77 65 9 3 1.13

Yangliu 2 72 101 80 19 2 1.4

Songjia 61 70 63 7 1.15

Longshan 97 98 83 14 1 1.01

Luojia 53 77 65 10 2 1.45

Zhushan 59 56 48 8 0.95

Zhangmu 61 76 57 18 1 1.25

Xianfeng 53 51 64 17 0.96

Qianyuan 72 97 78 19 1.35

Daxie 1 56 75 53 22 1.34

Daxie 2 61 85 61 24 1.39

3) Resettlement Measures Based on the extensive consultation with resettlers and the actual condition of Yuanxiao Village, through discussion, the committee of the village made a decision that the resettlers of the village would be resettled in accordance with the following measures: ------Economic rehabilitation measure: Because Yuanxiao Village is rich in land resource, the affected people in the 2 Villager's Groups, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the groups. According to the number of persons in the several groups who need economic rehabilitation, a total of 26.3 mu of cultivated land will be adjusted and distributed to 34 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee and resettlement subsidy, according to relevant state policies, will be fully paid to the affected village group. The village group will use the compensation to improve irrigation conditions and increase yield. It is planned to build 1500 meters of irrigation canals and one irrigation station with a capacity of 30 kW in east bank of Ceshui River, southeast of Shuangfeng County. The village borders on Yanjia Village of Yongfeng Town in the east, Yixin Village of Yongfeng Town in the west, Zhenyang Village of Yongfeng Town in the south and Chengguan

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Village of Yongfeng Town in the north. The whole village, with total land area being 696.5 mu, is composed of 7 Hunan Province Hydro and Power Design Institute Villager's Groups and has 980 persons in 432 households. The cultivated land area is 210 mu, among which 146 mu of paddy field and 44 mu of dry farmland, and the per capita cultivated land area is 1.0 mu. In addition, there is 20 mu of green house vegetable land. The net income of per capita by the end of 2005 is RMB 3,703 yuan. 63 households with the proportion of 15% in Jingping Village engage in the second and third industries. The proportion of labor force in the village is 67%, 19% of which are working outside mainly in the county, engaging in the industries such as communication, transportation, service, construction, etc. 1) Impact by Land Requisition and Demolition The land acquisition of the project will affect 19 persons of 4 households, of which, house demolition is not included in; the cultivated land requisitioned is 11.2 mu, covering 1 village's group, of which 8.1 mu of paddy field, 8.1 mu of dry farmland and 3.1 mu of commercial vegetable land. The cultivated land per capita after land requisition is 0.94 mu, 0.06 mu less than that before the land requisition (1.0 mu/person). The decrease proportion of cultivated area after land acquisition is 5.33%. Therefore, the project has small effect on the livelihood and production to local farmers. For the details of the cultivated land acquisition in Jingping Village, see the table 5.5-10. Cultivated Land of Each Villager's Group in Jingping Village Table 5.5-10 Existing cultivated land area (mu) Occupied ruled cultivated land conditions Reducing proportion Per capita Per capita of per Current cultivated cultivated capita Groups Subtotal Subtotal agricultural Paddy Dry Commercial land Paddy Dry Commercial land after cultivated population field farmla vegetable before field farmland vegetable land land before (person) nd land land land acquisition and after

acquisition(mu/perso (mu/person n) ) land acquisition (%) 7 211 210 146 44 20 1 11.2 0 8.1 3.1 0.94 5.33

st 149 92 55 20 17 0.62 11.2 8.1 3.1 0.54 12.17 1 Group

2nd 8 16 12 2 2 2

Group rd 7 13 9 3 1 1.86 3 Group

11 21 16 5 1.91 4th Group

12 23 19 4 1.92 5th Group

14 26 20 6 1.86 6th Group

OJ O OJ 10 19 15 4 1.9

1

G

r

t

h

u p

77

3) Resettlement Measures Hunan Province Hydro and Power Design Institute Economic rehabilitation measure: Because Jingping Village is rich in land resource, the affected people in the 1 Villager's Group, having surplus farmland over 0.5 mu per person after land acquisition and having the desires of going on farming, will be resettled by the method of partial cultivated land readjustment within the group. According to the number of persons in the group who need economic rehabilitation, a total of 9.72 mu of cultivated land will be adjusted and distributed to 18 resettlers, for providing rehabilitation for the affected persons. The land resettlement fee and resettlement subsidy, according to relevant state policies, will be fully paid to the affected village group. The village group will use the compensation to improve irrigation conditions and increase yield. It is planned to build 1000 meters of irrigation canals in the 1st Group in Jingping Village with a total investment being RMB 95,000 yuan. And it is planned to resettle 18 persons by adjusting cultivated land in groups.

5.6 Planning of Relocation and Reconstruction Special Facilities 5.6.1 Transport Facilities The project land acquisition will affect 0.32 km mechanical farm road. According to the project design, the reconstruction of mechanical farm road, if the existing road crosses the embankment, will be built with up-embankment road to settle transport problem on the both sides of the embankment; while the existing road extends along the embankment, the reconstruction will be in parallel and by moving back in existing locations. 5.6.2 Transformer Facilities The land acquisition will affect 10 kV high-voltage lines of 1.75 km and 380 V low-voltage lines of 3.05 km. According to the project design, the reconstruction of electric line, if the existing lines crosses the embankment, will be carried out by building more higher pole and line and crossing over the embankment; while it affects tendence of electric lines along the embankment, it will be relocated by changing its route and moving back in existing location. The reconstruction of electric facility will be designed and in charged by Shuangfeng County electric department. 5.6.3 Water Resource Facilities The land acquisition due to project construction will affect the electric pumping stations of 4.9 kW. According to the project design, the effected electric pumping stations will be reconstructed in adjacent places and by rebuilding the corresponding pipelines. 5.6.4 Telecommunication Line The land acquisition of the project construction will affect HYA3-0.5 postlines of 2.7 km. The reconstruction of postlines will be carried out by building pole and line much higher and crossing over the embankment, if the existing postlines cross the embankment; while it affects tendence of postlines along the embankment, it will be relocated by changing its route and moving back in existing location. The reconstruction of post facility will be designed and in charged by Shuangfeng County post and telecommunication department.

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5.7 Vulnerable Groups Resettlement and Rehabilitation During the course of resettlement process, appropriate department of the project will specially pay attention to the Hunan Province Hydro and Power Design Institute resettlement of vulnerable group. To those affected vulnerable group mainly including elderly living alone, women headed households, and extremely poor families, in addition to standard compensation provided by the project, the project would provide additional financial or physical assistance so that their rehabilitation and restoration of income and livelihood could be completed as soon as possible. 1) The project will afford special allowance for the families under the poverty line to help them construct houses and keep their living level. The detailed measures include the house building subsidy of RMB 3,000 yuan/household for poor households, and subsistence subsidy of RMB 600 yuan/person to help them overcome the difficulties during the demolition. 2) After implementation of the project, the affected households could apply for loan, and local village collectivities could provide guarantees for such application. 3) During the course of implementation of the project, local village collectives will help those vulnerable families with selecting new housing site, rebuilding new houses, and transferring to new houses construction. They include those elderly living alone, disabled, and women headed households. For the 5 affected households with 11 persons, the allowance standard will be determined by the real situation and their needs. Allowance for the vulnerable group will be calculated by 1% of the total cost of occupied land compensation and resettlement for the project, which will be used to provide support compensation of house and accessorial facility and used for the cost of providing all kinds of assistance or life support to the vulnerable group affected by the project

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6. Institution and Responsibilities Hunan Province Hydro and Power Design Institute

6.1 Resettlement Engaging in the Resettlement Planning The investigation of demolition and resettlement planning of the project are completed jointly by the resettlement consultation unit organized by Key Project Management Office of Hunan Province Water Resources Department and related resettlement design units. Fenghuang County People’s Government and Water Resource Bureau assigned their staff to join in the work of investigation and planning. Township (town, sub-district), village (residential committee) and group affected by the project arranged the leaders and the masses to join in the investigation and planning.

6.2 Institutions and Responsibilities of Resettlement Implementation Management 6.2.1 Institutions Special resettlement Offices shall be set up in Hunan Provincial Project Office and Fenghuang County PMO in order to manage the resettlement implementation work. There are about 1 to 8 persons in Project Resettlement Office. Because of the high sociality of the resettlement work, the Project Management Office at all levels should be formed by the persons from government, land administration, planning department and agricultural department. A person with rich management work experience will be the leader of the project resettlement office (PRO). There will be 1 to 2 main leaders in the townships (towns, Sub-Districts) and villages (residential committee) affected by the Project. One government leader and Land Administration Station leader will take charge of it in town, township and Sub-District, and village head or director will take charge of it in village and residential committee. See Fig. 6.2-1 for the Frame of Project Resettlement Institutions. 6.2.2 Responsibilities 1) Project Resettlement Leading Group of Hunan Province Leaders from Hunan Provincial People’s Government, Hunan Plan Committee, Hunan Water Resources Department and Provincial Loans Project Execution Office who are in charge of the project will be appointed to constitute the “Project Resettlement Leading Group of Hunan Province”. And its main responsibility is to strengthen the leadership in the project, and to coordinate and to organize the relation of resettlement institutions at all levels. 2) ADB Loans Project Office of Hunan Province The main responsibilities of ADB Loans Project Office of Hunan Province are to organize the work of project Resettlement and the planning, to take charge of the policy compilation of resettlement activities

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of the project, and to organize and coordinate the relation of resettlement institutions at all levels. Provincial Project Management Office will be set up under Provincial ADB Loans Project Office to deal Hunan Province Hydro and Power Design Institute with everyday affairs. 3) Resettlement Management Office of Hunan Province Resettlement Management Office of Hunan Province is constituted by Loans Project Execution Office, and its main responsibilities are to strengthen the leadership in the course of project implementation in Hunan Province, and to coordinate the working relation among the cities in Hunan Province and guarantee the construction of main body of project and the smoothness of land acquisition resettlement. 4) Project Resettlement Leading Group of Fenghuang County Project Resettlement Leading Group of Fenghuang County is managed by leaders of Fenghuang County People’s Government in charge of the project directly, and its main responsibilities are to strengthen the leadership during the course of project implementation in the county, to coordinate the working relation of towns (townships or Sub-District), and to guarantee the smoothness of the construction of main body project, land acquisition resettlement. County PMO shall be set up under the leading group to deal with everyday affairs. 5) Fenghuang County ADB Loans Project Office The main responsibilities of Fenghuang County ADB Loans Project Office are to strengthen the leadership of the project, take charge of policy compilation of resettlement activities, and to organize and coordinate the relations of resettlement institutions at all levels. County Resettlement Implementation Management Office will be set up under it to deal with daily affairs.

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ADB Loans Project Hunan Province Hydro and Power Design Institute Management Office of Hunan

Province

Project Resettlement Leading Group of Hunan Province

Project Resettlement Management Office of Hunan

Province

Fenghuang County ADB Loans Project Office

Independent Project Resettlement Resettlement Design Monitoring and Leading Group of Unit Evaluation Fenghuang County Institution

Fenghuang County Project Resettlement Implementation Management Office

Township (town, Sub-District) Resettlement Implementation Management Office

Village Committee or Residential Committee and Village’s group

Resettlement Household

Fig. 6.2-1 Frame of Project Resettlement Institution

6) Fenghuang County Project Resettlement Implementation Management Office The main responsibilities of it are to fulfill management, planning, implementation, coordination and supervision and monitoring of the resettlement: ① Work out the land acquisition of the project, demolition and resettlement policy;

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② Entrust the design unit to determine the range affected by the project, to investigate the physical index of the impact of the land acquisition and demolition, and to preserve the data; Hunan Province Hydro and Power Design Institute ③ Apply for the land using and planning, and license on land using and construction; ④ Be in charge of service training of main resettlement leader of Land Acquisition, Demolition, and Resettlement Office; ⑤ Organize and coordinate the compilation and execution of Resettlement Planning Report; ⑥ Be responsible for management and allocation of funds, and supervision the using of funds; ⑦ Guide, coordinate and supervise the resettlement implementation and progress ; ⑧ Preside over and check the internal monitoring activities, and be in charge of compilation of the report on land acquisition, demolition and resettlement; ⑨ Determine the external monitoring institution and assist with the external monitoring activities. 7) Town (township, Sub-District) Resettlement Implementation Management Office It is led by Town (township, Sub-District) leader in charge of this project and composed of the main leaders of Land Administration Station, Police Office, Civil Administration Station and villages. The main responsibilities are as follows: ①Take part in the project investigation and assist in the compilation of Resettlement Action Plan; ②Organize the masses to join in and publicize the resettlement policies; ③Implement, check, monitor and record all of the resettlement activities in the township or town; ④Go through the demolition and rebuilding procedures for resettler’s houses; ⑤Be responsible for the payment and management of land compensation funds; ⑥Supervise the land acquisition, demolition of houses and attachment, and the rebuilding and demolition of buildings; ⑦Report the conditions of the land acquisition, demolition and resettlement to County Land Bureau and Resettlement Management Office; ⑧Coordinate and deal with the contravention and problems in work. 8) Village Committee or Residential Committee and Villager’s Group Resettlement Group of Village Committee or Residential Committee and Villager’s Group is composed of main leaders of Village Committee and Villager’s Group, and its main responsibilities are as follows: ①Take part in the investigation of social economy and the project impact; ②Organize the masses to negotiate and to publicize the land acquisition and demolition policies; ③Select the resettlement site, and allocate housing plot for the demolition household; ④Carry out land reclamation, adjustment and allocation, and organize the resettlement activities such as production development; ⑤Be responsible for the funds management and allocation;

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⑥Report the opinions and advice of resettlers to the higher authorities; ⑦Report the progress of resettlement implementation; Hunan Province Hydro and Power Design Institute ⑧Provide help for the households with difficulties in demolition. 9) Responsibilities of Design Unit During the planning design stage, survey the physical index of demolition, environmental capacity, developable and available resources exactly, to assist the government in the project area to work out the resettlement scheme, to compile the budgetary estimate of compensation and investigation for demolition and the report on demolition and resettlement planning, and to work out the related drawings. In the implementation period, provide design document, technology regulations, drawings and notice for the County PMO in time, report the design technical explanation to project Offices at all levels by phase, assist each settlement Office with the settlement demolition and settlement production arrangement and improve settlement arrangement planning schedule according to the actual conditions. 10) Responsibilities of Independent Institution for External Monitoring and Evaluation Qualified monitoring evaluation institution shall be hired to be the resettlement monitoring unit by the County PMO, and its main duties are: ①As an independent institution for monitoring and evaluation, its main responsibilities are to observe each aspect of the resettlement plan and its implementation, to monitor and evaluate the resettlement work, the implementation result and the social adaptability of the resettlers, and provide resettlement monitoring and evaluation report to the ADB through the PRO. ②Provide technical consultation for Project Resettlement Office in the aspects of investigation and process of the data.

6.3 Supervision Institutions Fenghuang County Project Rettlement Office within LPMO is the supervision institution, and it shall preside and check the internal monitoring, compile project land acquisition resettlement progress report, report resettlement implementation progress, problem and advice for the Provincial Project Office regularly to maintain the good function of resettlement institution at all levels in the course of project implementation, coordinate work of all aspects and master the resettlement implementation conditions. At the same time, County PMO shall hire qualified and independent external monitoring unit to take the charge of the project land-cover demolition and compensatory monitoring evaluation work of resettlement. Independent monitoring unit shall provide technology consultation for internal monitoring and management, provide overall resettlement implementation information for County PMO and report

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resettlement progress, problem and disposal advice for County PMO. Hunan Province Hydro and Power Design Institute 6.4 Resettlement Management System The implementation of the resettlement program for Fenghuang Subproject will be the responsibility of the Fenghuang County Resettlement Management Office, which includes arranging bidding process for both construction of special facilities and infrastructure projects. In addition, the resettlement management office will employ a qualified external monitoring and evaluation agency to carry out independent resettlement monitoring and evaluation. What’s more, computers shall be used to manage the information and keep all archives of resettlement and materials in the course of implementation in PMO at all levels.

6.5 Personnel and Facilities of Resettlement Institution 6.5.1 Personnel Arrangement In order to maintain the resettlement work to be carried out smoothly, special personnel shall be arranged for resettlement management institution at all levels to form a smooth information transmission channel. Personnel of resettlement institution consist of administrators and professional technical staff who own certain profession level and management qualification and land acquisition demolition working experience. See table 6.5-1 for details of related institution personnel conditions. Table on the Personnel of Resettlement Implementation and Management of Urban Flood Control Project of Fenghuang County Table 6.5-1 Unit: Person Finance Technical Political Rear-service Institution Name Total Administrator Staff Staff Worker Staff County Resettlement Implementation 8 2 2 2 1 1 Management Institution Town Resettlement Implementation 5 2 2 1 Management Institution Total 13 4 2 4 1 2 6.5.2 Facilities The facilities equipped with the institution mainly refer to the resource arrangement of resettlement implementation institutions such as office buildings for resettlement institution at all levels, transportation tools, office facilities and communication facilities (see Table 6.5-2 for details). Total amount of facilities management as planned for resettlement institution is 316.6 thousand yuan, and the funds are open-fee of resettlement implementation institution of general budgetary estimate of resettlement investment.

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Table on Facilities Arrangement of Resettlement Implementation Institution of Urban Flood Control of Fenghuang County Hunan Province Hydro and Power Design Institute Table 6.5-2 Amount Investment Price County Township Item Type Unit (RMB Remarks (Yuan) Total Resettlement Resettlement Y’0000) Office Office 200 yuan/House, 1. Office Piece 9600 3 2 1 2.88 hire for 4 years 2.Transportation Liebao Piece 171800 1 1 17.18 Tools CFA-6400A 2.Transportation 11.6 Tools Lenovo 3.1Computer Yangtian Set 8499 3 2 1 2.55 M6000 3.2Printer HP8000 Set 8260 2 1 1 1.65 Panasonic Set 3.3Duplicatr 13600 1 1 1.36 FP-7818 3.4Digital SONY Set 4880 2 1 1 0.98 Camera DSC-V1 Gree Set 3.5Airconditionor 4000 3 2 1 1.2 505TlyType 3.6Table and Set 1000 13 8 5 1.3 chair 3.7Scanner HP4670C Set 3000 2 1 1 0.6 Liguang Set 3.8Fax 1680 2 1 1 0.34 8500 Siemens Set 3.9Telephone 128 3 2 1 0.04 8000 Type 3.10 Notebook Toshiba Set 15800 1 1 1.58 PC PA100 4. Total 31.66 Investment

6.6 Training Plan To guarantee the work of project implementation can be carried out smoothly, the resettlers should be trained and the training plan should be formulated. Resettlement training plan contains of two aspects: training plan for resettlement administrator and production skills to be mastered by the resettlers. 6.6.1 Resettlement Administrator Training Plan Plan and establish county-level, township-level and village-level resettlement institution personnel training and human resource development system. Resettlement administrator training work can be carried out by inviting leader or expert to give the lecture, starting technology training class in each units, visiting and studying in resettlement project, training the administrators on the spot. Training content contains:

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1) Resettlement principle and policy; 2) Resettlement planning management training; Hunan Province Hydro and Power Design Institute 3) Resettlement implementation planning design; 4) Resettlement implementation progress management; 5) Resettlement finance management; 6) Resettlement project quality control; 7) Management information system; 8) Resettlement monitoring evaluation; 9) Resettlement monitoring evaluation; 6.6.2 Production Skills Training for Resettlers Resettlement production skill training plan mainly is aimed to train the resettlement household in the aspect of knowledge and practical technology. The training mode of integrating long-term training, short-term training and key technology training together shall be adopted, and also some young person with certain quality shall be sent to study in Hunan Agricultural University and Hunan Agricultural Science Academy in order to provide a number of technical backbones for the project area; Regarding the provincial and county training center as the carrier, we shall hold all kind of practical technology training in order to make a number of resettlement master one to two kinds of practical technology and lead other resettlement households to rich life by science. 1) Training for resettlement backbone: It is planned that we will recommend and sent some resettler’s children or resettlement backbone who is qualified and is active to receive long-term training and education in Hunan Agricultural University in order to make them the pioneers of resettlement development. 2) Training on planning technology: carry out the training on big-shed vegetable production technology, high quality cross hybrid rice, two-low RPe technology promotion by inviting agricultural science experts to have class fixedly and demonstrate on the spot. 3) Training on aquaculture technology: carry out the training on poultry feeding skill and livestock aquaculture skill by inviting agricultural science experts to have class fixedly and demonstrate on the spot. 6.6.3 Investment on Resettlement Training and Planning A total of six resettlement training workshops will be carried out with 33 persons participating at cost of RMB 22,800 yuan. Among them, three workshops will be targeted to resettlers with 21 participants at cost of RMB 10,000 yuan; and three workshops will be for resettlement staff with 12 participants at cost of RMB 12,800 yuan. The training cost is included in the total resettlement cost. See Table 6.6-1 for details.

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6.7 Measures for Institution Consummating Hunan Province Hydro and Power Design Institute 1) Make the responsibility and obligation range of resettlement institution clear and definite, and strengthen the supervision and management; 2) Enrich the forces of resettlement institution at all levels, and especially strengthen the profession technology forces. All of the personnel must own certain profession level and management ability, and strengthen the skills in computer, testing equipment and transportation tools; 3) Select the working personnel strictly, and strengthen the service skill training and carry out the training for administrator and technical staff in order to improve the service ability and management level; 4) Arrange women leaders with proper quantity and make them play a role in resettlement; 5) Establish database and strengthen the information feedback to guarantee the smoothness of information both from the higher to the lower and from lower to the higher, and important problems shall be solved by resettlement leading group. 6) Strengthen the report system and internal monitoring, and solve the problem in time. 7) Establish external monitoring evaluation mechanism and pre-alarm system.

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Resettlement Implementation Training Plan Table

Table 6.6-1 Amount of Amount Training Funds Item Training Place Training Mode Lecturer Training Object Person Training Content of period arrangement (person) Periods (day) (104yuan) 1.Training for 12 3 1.28 Administrator 1.Resettlement Principle and Policy; 2. Resettlement Project Planning Management; Hunan Hunan 3.Resettlement Finance County PMO Provincial Lecture by Expert PMO 1 Management; 1 5 0.5 Administrator PMO Expert 4.Management Information System; 5. Resettlement Implementation Management, etc. 1.Administrator of Town Fenghuang and Township 1 Provincial County Class PMO The Same with Above 1 3 0.78 PMO Expert PMO 2.Administrator of 8 Village Domestic Domestic Resettlement Main Service Similar Investment 2 Implementation and 1 10 1.50 Personnel of PMO Project and Study Monitoring Management 2. Resettlement Production Skill 21 3 1 Training 1.Production technology management; Hunan Refresher course Teachers of Resettlement backbone 2.Agricultural technology Agricultural and entrusting Agricultural and resettlement 1 1 Half a year 0.5 management; University education University children 3. Agricultural production multi-operation Administrator of County Representative of each Township 1.Planting technology Resettlement town, 20(13 (Sub-district) Class training 2 7 0.5 Office and township and female) PMO 2. Aquaculture training agricultural village Technology expert 3. Total 33 6 2.28

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7. Public Participation and Harmonization with Residents in Resettlement Area

7.1 Public Participation Strategies According to relative relocation resettlement policies and code of nation, province and county, in order to maintain lawful rights and interests of resettlers and removed units to be removed and reduce complaints and dispute, work out the policies and implementation detailed rules of removing and allocation of project, compile resettlement plan, do well the implementation and organization work aiming at the rebuilding character of the project. In order to accomplish appropriate resettlement, a great deal of efforts has been made on increase participation and consultation by the resettlers during stages of preparation and implementation of the RP.

7.2 Approaches and Measures of Public Participation 7.2.1 Participation Approaches Before launching investigation work, compile general work outline, listen and accept local government’s opinion for the investigation content, approaches and requirement, etc. Local government dispatches staff to take part in investigation group and work together. In the period of investigation at large, invite principle and representatives of township, village and group to participate in investigation work, and propagate to them the project necessity, project effect, project influence, compensation principle and resettlement schedule, and deliberate over the possible direction of the resettlement together. In the phase of resettlement planning, the work staffs of resettlement deliberate with all levels of leaders of county, township (town, Sub-District), listen to and accept opinions, requirements, and existent problems, choose resettlement area. When investigating on the spot, local mass and concerned leaders shall participate in choosing resettlement location. It is proved that the consultative work has active significance to choosing resettlement location of long term potential and establishing scheme which is easy to be accepted by resettlers. 7.2.2 Participation and Consultation Measures Public participation and consultation mainly adopts two ways of small group discussion and spot check of resettlers’ opinion. Illustrate project building purpose, content and importance to the resettler

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representatives and discuss the matters concerned the resettlement planning together through these manners. Through investigation, a great deal of efforts shall be made on public participation and consultation opinions by design units. On the basis of no prejudice to the collectivity planning principle, house-building scheme for resettlement and production resettlement modes should be consistent with mass opinions so that programming is in reason and resettlers are satisfied. In the stage of resettlement implementation, still adopt the ways of colloquia and spot check of resettlers’ opinions, collect resettlers’ information, investigate resettlers’ desire, and perfect resettlement plan ulteriorly. To ensure that the resettlers and local government in the affected area understand the detailed information of the resettlement plan and the resettlement and compensation plan of the project, propaganda to the resettlers the laws and regulations on national resettlement through public participation (colloquia) or local media (such as TV) from the start to the implementation of resettlement plan, so resettlers will know exactly practicality index quantities, the computation method of compensation standard and methods, resettlement measures, appropriation and usage of the resettlement compensation and assistance fund, the rights and compensation method of the resettlers, etc. At the same time, similar information should also be disclosed to the residents in the resettlement area to make them know more about land acquisition information, land compensation standard, fund usage and resettlement information. Disclose resettlement work to gain the support and confidence from both groups to ensure the success of resettlement work.

7.3 Public Participation in the Process of Resettlement Planning In the stages of preparation and compilation of Resettlement Plan, all levels of local government and resettlers should take part in the following item of work: 1) From March to April 2006, the investigation on physical indices of relocation and demolition by land acquisition in the project was conducted by Fenghuang County Project Resettlement Office, resettlement design units, Villagers’ groups and resettler representatives. In the process of resettlement planning, project resettlement office and resettlement design units go deep into every village and Villager’s group, adopt the form of holding colloquia participated by cadres of village group and resettlers representatives or discuss with resettlers randomly, further solicit their opinions and suggestions on resettlement (including their choice of resettlement location, production rehabilitation measures, house tearing down and building and compensation policies for land acquisition. For details, see 7.3-1. 2) Fenghuang County resettlement office and design office successively organize and hold consultation

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meeting participated by all levels of local cadres and all classes of influencing people. Consultation the all classes of existing policies on resettlement of country, province and city. Accept and consult widely their opinions on how to decrease project impact, how to resettle the demolition resettlements for land acquisition and compensation standard for all level of affected people. For details, see 7.3-2.

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Table7.3-1 Questionnaire of Public Attitudes toward the Project Time Location Participant Participant Discussion Content Final Results Number The officials of each Project introduction, Support project building, Each resettlement resettlement village, design 50 (28 2006.5 affected area and tentative agree with resettlement plan village unit, resettlement female) resettlement scheme tentatively. representatives Planning committee, town County and town Project introduction, Support project building, government, design units, 30 (16 2007.11 government affected area and tentative agree with resettlement plan planning, country and resettlers female) meeting room resettlement scheme in principle. representatives Solicit project opinions on Defining every item of County County government, design 42 ( 23 compensation, compensation standards, 2008.3 government units, planning, country, female) resettlement plan and land resettlement policies and land meeting room resettlers representative acquisition acquisition policies.

Table7.3-2 Policies Disclosure

Purpose Content Who and with whom When Where 1. Project influence all kinds of Survey group Administrative management quantities of index in kind and land consists of County organ of project area, township Project impact in acquisition of project. project Office and 2006.5 government, village committee, social-economy survey 2. Project influence socio-economy the affected domestic and condition in the area affected by Resettlement design non-domestic the project units 1. Accept the opinions and suggestions of every relative party Tentative consultation for the of project scheme, demolition and County government, compensation policies and resettlement work. County project Office 2008.3 Within the project scope demolition scheme in the 2. Resettlers representative and affected people preparation of resettlement plan participate in demolition and resettlement work. 1. Hold consultation meeting, concentrate on introducing conditions and go on accepting Further consultation of County project, opinions and suggestions. compensation policies and demolition Office and 2008. 2. Hold mobilization demolition Demolition Location rehabilitation plan in revising demolition household 7 work meeting, propaganda resettlement plan representative resettlement plan, compensation standards and answer the relocatee’s question.

3) In the process of resettlement plan, the project publicizes relative resettlement information to the residents in resettlement area, through holding the discussions with village officials and resettlers representatives or talk with resettlers randomly. Then they can know more about the land acquisition, land compensation standards, fund usage and resettlement information.

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Table 7.3-3 Information Disclosure

Disclosure Document Disclosure Way Disclosure Date Location Situation introduction of the project (including land 1） Hold the meeting Oct. 2006 Project area acquisition) 2） Bulletin column 1) Resettlement Information Booklet Aug. 2007 Introduction of the project of land acquisition and removal Project area 2) Hold the meeting Nov. 2008 Disclose the bulletin of resettlement plan Bulletin column Mar. 2009 Project area 1． Bulletin column Disclose the report of resettlement plan Aug. 2009 Project area 2． Published in the newspaper 1． County Project Office Submission Jul. 2010 County PMO 2． Website

4) From March to April 2006, staff of the resettlement planning team conducted survey of willingness among affected households with the assistance and corporation of relevant department of project. The results are listed: ①Know about the project: 97.7% of resettlers know about, 2.3% of resettlers don’t know. ②Know about the channel: 90.3% of resettlers know through investigators, 9.7% of resettlers through villagers in neighboring village ③Supporting attitude: All resettlers support the project. ④Influencing degree: 72.1% of resettlers think the project has great influence on them; 15.9% of resettlers think the project has limited influence on them; 4.8% of resettlers think the project has little influence on them; 7.2% of resettlers think the project has no effect on them. ⑤Demolition and resettlement: 100% of resettlers choose currency compensation for their compensation method and would love to buy houses by themselves to live in. ⑥Production resettlement: 82.5% of resettlers require cash compensation, 24.5% of resettlers require the adjustment of ground.

7.4 Public Participation and Plan in Implementation of Resettlement Plan Resettlers should be encouraged to participate in the whole process of implementation of resettlement planning of the project. 7.4.1 Participation in the Usage and Management of Land Compensation Fee Land compensation fee should be owned by collectivity of villages and groups, any unit and individual should not withhold and appropriate. After the compensation funds have been given to collectivity of villages and groups, it should be planned as a whole in order to ensure special funds for special purposes.

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The funds cannot be used until the usage is talked over and agreed in every group of villagers meeting and be supervised by villager representative. 7.4.2 Participation in Project Construction The project construction more or less affect local. In order to ensure the affected people can benefit from the project, mass are encouraged to participate in the project construction and provide convenience in materials and labor services.

7.5 Women Participation From the start of the project, a great effort has been made on the function of women by the implementation institution of the project and local government. Concern women and families where women are the householder and bring women into play in the process of implementation of resettlement plan. In the affected area, women’s rights, interests and status should be the same as that of men. Women play an important role in economic development activities and housework. Especially in the country, most women stay at home, more men go into the city to find jobs. So besides family responsibility women play an important role in tilling and non-farm work. So in the area affected by the project, women will pay more attention to the project than women, they not only take part in every stage of work of resettlement but also give fineness rein to the direction and method of resettlement. In the period of surveying the project at large, all Women Directors of resettlement villages are invited to participate in surveying work group to propaganda and communicate with affected women; In the small colloquia of resettlers, more than 50% is female, besides they support the project actively, they showed that they pay closer attention to the correctness of surveyed index in kind, rationality of compensation standard and whether the compensation fee can reach in time etc. In the resettlement planning stage, resettlement design unit actively invite female resettlers representatives to discuss together, accept their opinions, requirements and existing problems on production resettlement and resettlement of demolition and houses building. The consultation work has positive significance in releasing women from the worry of living source and traditional production pattern and achieving equal proceeds in the production. Meantime, arrange for at least one-woman cadre in all levels of setup of the project; encourage women to participate in the implementation of the resettlement planning. A great deal of effort will be made on the women’s demolition activities, especially the livelihood rehabilitation by resettlement implementation setup and local government in the process of implementation of the project. Give priority to women and provide

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more opportunities in the project construction.

7.6 Harmonization with the Residents in Resettlement Area The resettlement demolition of the project is mainly to buy houses by themselves, resettlers can choose place to buy house where they can adapt the new living environment. Of course, it doesn’t mean that there is no estrangement and conflict between the resettlers and former residents. In order to establish good relationship between them, the following work should be done: (1) Before removal, resettlers and residents in the resettlement area should take part in the resettlement planning. If you want to get cooperation, participation and feedback opinions of resettlement area and resettlers, introduce to them their rights and schemes they can choose. They can have their own choice from a number of resettlement schemes. They can consult with them directly or define through formal or informal leaders and representatives. In most conditions, do some system arrangement such as project official holds regular meetings with local groups so that resettlers and residents in the resettlement area can show their opinions in the whole period of planning and implementation of the project. Must make effort to see that vulnerable populations express their opinions adequately. (2) Try to decrease the impact on the residents in resettlement area. There may be conflict between resettlers and residents in the resettlement area if resettlers need more land, water sources, wood land and society services, or society and houses facilities provided for resettlers succeed the level of residents in resettlement area. So in order to avoid such conflict, the livelihood condition and society service of the residents in resettlement area should be improved, at least avoid deterioration. Try to provide for two groups the perfect education, water supply and medical service and create better social atmosphere for their permeation.

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8. Appeal Procedure

8.1 Possible Complaint and Problems Solving Methods Resettlement Plan makes overall plan for resettlement scheme from the angle of the affected area of the whole project. In the implementation process, resettlers’ complaint may appear because of the change of actual situation and deviation of operation. According to resettlement experiences got from the constructing and constructed projects, the resettlers’ complaint may be the several following kinds: 1) Index Problem Because of the error in the process of surveying, statistics and computation, the occupied and removed index in kind may be missed out, without entry and wrongly entered to affect resettlers benefits. When such problems happen, the affected people through village committee can report to Fenghuang County resettlement Office in oral or written form. After processed by Fenghuang County resettlement Office, the problems should be submitted to County project Office and supervision unit. Under the leadership of County project Office, organize professional personnel to verify on the spot, sign and issue disposal opinions, ratify and register the missed out item, wrongly entered or missed out index in kind and compensate according to the standard. 2) Compensation Standard A number of resettlers might have concerns on the compensation could not meet rehabilitation needs due to lack clear understanding about national resettlement policies and compensation. Prior to implementation of resettlement project, the design personnel should cooperate with all levels of government and resettlement office, do the technical explanation, explain national resettlement policies and computation process of compensation standard in order to make resettlers understand that compensation standard is compiled according to the national laws and regulations document, which can ensure resettlers move out, live comfortably, develop so as to release their misgiving. 3) Funds In the construction process, due to slow allocation of resettlement funds, houses building, and economic rehabilitation might be affected. Such questions require managers of implementation of resettlement control funds, schedule and quality to ensure resettlement funds can be used effectively as designated. The resettlement fund allocation should be in accordance with the schedule every month and resettlement

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project proceed according to the schedule.

8.2 Appeal Channel and Procedure Resettlers enjoy rights and obligations, which are endowed by constitution and law. The exiting laws and codes of our nation can guarantee resettlers lawful rights are not violated. Appeal until getting it, if the lawful rights and interests are violated. (1) Appeal Channel —— Complaint Office (including resettlement) is set in county, city and province of the resettlements and can investigate and deal with general appeal question of resettlement; —— Establish all levels of local resettlement management setup according to the law, every lever has the authority to supervise the lower level from province, city to county and can accept appeal case in the way of resettlement; —— Self-governed resettlement monitoring setup works according to relative regulations of nation, is responsible for maintaining resettler’s lawful rights and interests. The appeal problems of the violation of the rights of resettlers can also be accepted and reflected; —— The violation laws and discipline case relating to resettlement appeal can be accepted in the law departments such as administrative supervision, auditing, discipline inspection, judiciary and prosecutorial department. For the resettlement appeal system of the whole project, see figure 8.2-1 (2) Appeal Procedure If any resettler does not agree with resettlement plan, he/she can reflect to village committee (residential committee), which could consult with local resettlement office directly, or appeal to superior resettlement office in oral form or written form. After superior resettlement Office accept the appeal, keep records and consult with village committee and local resettlement office within 10 days. If the contradiction and dispute can not be solved, in accordance with appeal channel, village committee can appeal to administrative setups step by step such as project office, resettlement management setup, resettlement monitoring setup, complaint office, administrative supervision, disciplinary inspection and procuratorial department etc.) According to Administrative Procedure Law of People’s Republic of China . If resettlers are still not satisfactory, appeal to people’s court directly. Resettlement Office is responsible for keeping records of all appeal problems and solving process and keeps in the archives.

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Law department of Project Management Office of county, city and Hunan province province

Discipline departments of Office of implementation and county, city and management of project

province resettlement of Hunan province

People’s letters and Office of implementation and Resettlement visits handling Office management of project monitoring and of county, city and resettlement of Fenghuang evaluation setup province County

Office of implementation and management of project resettlement of Sub-District, town and township

Village committee or villagers group

Affected household

Figure 8.2-1 Appeal System Figure of Project Resettlement

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9. Environment Protection and Management

9.1 The Necessity of Environment Protection The environment evaluation of main body of resettlement investment project shall include the impact of resettlement on the environment. The planning of resettlement shall be conducted with environment evaluation. It is necessary to demarcate the line of resettlement area and calculate the increment of population density in unit area. In agricultural project, if the number of the resettlers is larger than the original number of this resettlement area, the aggravating environment problems will come along, such as deforestation, excessive depasturing, the water and soil loss and the pollution of the hygienic conditions etc. Therefore, appropriate eased measures (including the training of resettlers) shall be included in the resettlement planning, besides other resettlement places can also be chosen. And the urban resettlers will cause the relevant problems related to the population density (such as communication capacity, drinking-water source, hygienic system and medical & healthy treatment etc.). Constructive environmental management methods can supply both good opportunities and benefits to the resettlers and the residents in the resettlement area. If the resettlement causes an unacceptable consequence, we must find another resettlement site or add the resettlement points.

9.2 Liquidation of Relocation All kinds of rubbish, which are produced during the demolition of the various buildings and their attachments within the project range shall all be spoiled in the place designated by the Fenghuang County Environmental Hygiene Administration. The houses and their attachments within the project range shall be demolished; their walls shall be torn down and leveled. And the interior pollution source within the project range shall be removed and disinfected. The existing wastewater of the industrial enterprises within the project range shall be drained off according to the stipulations. Poisonous waste slag shall be delivered to the appointed place and buried. And the warehouse used for storing the chemical materials shall be treated by poison elimination and neutralisation, so that the soil can meet the hygiene standard.

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9.3 The Environment Management of the Resettlement Area The environment protection shall be fully considered during the planning and construction of resettlement area, we shall try our best to make the surroundings beautiful and comfortable. (1) Level the land of the cutting faces when excavating the new soil, and set up drainage ditches on the cutting faces when necessary to reduce the water scouring to the cutting faces; the waste area shall be forested as soon as possible so as to avoid the water and soil loss; houses and public facilities shall be constructed with the least damage to the forestry vegetation; and trees shall be planted on both sides along the roads. (2) Do a good job of the new houses cleaning: Renovate the environment and spray pesticide before the resettlers move in, and clean the weed and wastewater container or other things both in front and back of the house after settling in. (3) Choose a healthy and clean water source: set up a solid reservoir if it is required to take the spring as the water source, such pollution source as toilet, filter pit, manure pit, livestock barn, waste pit, rubbish pit and waste slag pit etc. are not allowed to be set up in the area 20~30m around the water source.

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10. Monitoring and Evaluation

10.1 Internal Monitoring 10.1.1 Internal Monitoring Agency Organization In this project, the Fenghuang County PMO is authorized as internal monitoring agency, this agency shall be appointed a special leader to be responsible for the relevant problems of resettlement. The leader shall be experienced in resettlement and authorized to coordinate with the relevant departments involved with the resettlement. And the agency shall be appointed the sufficient personnel, and the personnel shall be qualified for experiences of resettlement work and social problems, so as to carry out the right responsibilities. 10.1.2 The Objective of Internal Monitoring The objective of internal monitoring is to maintain the good function of resettlement agencies at all levels during the project implementation process, and coordinate and cooperate with each unit in order to grasp the situation of resettlement implementation timely. 10.1.3 The Content of Internal Monitoring 1) The relocation, allocation of housing locations and housing reconstructions; 2) The implementation schedule and quality of development project of resettlers’ production; 3) The investigation, coordination and proposals for the main problems existing in resettlement and implementation agencies during the implementation process; 4) The family income rehabilitation after resettlers’ relocation; 5) The rehabilitation of vulnerable group; 6) The payment and usage of the resettlement compensation and the situation of fund in place; 7) Resettlers’ participations and consultation during the implementation period; 8) The resettlers’ training and effects; 9) Agencies, training, working timetable and efficiency of the local RO. 10.1.4 The Responsibilities of Internal Monitoring 1) Cooperate with resettlement implementation agencies, departments in charge and external monitoring units. 2) Work out the corresponding tables according to the monitoring contents, and ask the implementation units to fill in and submit the tables to the department in charge and County PMO;

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3) The monitoring personnel shall check and investigate on the spot once a month, and they shall participate in the completion acceptance of the resettlement project once a month. 4) Supervise the implementation of the annual work plan, fund utilization; the annual fund shall be audited by the provincial department in charge of resettlement; 5) Submit the working schedule report to County PMO in July every year; 6) Report the implementation situation to Provincial PMO semiannually, and coordinate with the departments in charge according to their requirements at any time.

10.2 External Monitoring 10.2.1 Independent Monitoring & Evaluation Agency For this project, the qualified monitoring unit shall be invited to undertake resettlement monitoring and evaluation. The independent monitoring unit shall provide the comprehensive information on implementation of resettlement to the PMO, including implementation progress, the existing problems and suggestions to the PMO. As a independent monitoring & evaluation agency, Changsha Xinghuan Water & Electricity Engineering Technology Development Co., Ltd. is composed by a high quality group of people with 38 professionals in various fields, such as resettlement planning, resettlement monitoring & evaluation, resettlement supervising, and so on. They are all experienced in providing resettlement planning and resettlement monitoring and evaluation. The company has been involved in resettlement monitoring and evaluation for a number of the World Bank funded projects, such as Hunan Urban Development Project—Changzhutan (Changsha, Zhuzhou and Xiangtan) Flood Control and Sight Road Project; Changjiang River Embankment Reinforcement Project, and Jiangya Multipurpose Project. The Fenghuang County PMO proposes Changsha Xinghuan Company as the resettlement monitoring & evaluation agency in this project. Changsha Xinghuan Company will establish Fenghuang subproject monitoring unit to work closely with Fenghuang Resettlement Management Office on resettlement monitoring and evaluation. They will carry out independent monitoring and evaluation by providing the technical assistance to LPMO and conducting detailed survey among affected people. It is proposed to form Fenghuang subproject monitoring & evaluation unit with staff (including a chief inspector and 8 working personnel) who are experienced in resettlement planning and resettlement monitoring & evaluation, etc. For details of the relevant personnel assignments, see Table 10.2-1.

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The Personnel Table Of Resettlement Monitoring & Evaluation Table 10.2-1 Majority and No. Name Title/ Position Qualification Working Years Engaged in resettlement for so long time that is full of experience in the aspects of resettlement planning and design, resettlement implementation, monitoring & evaluation and Project Chief supervision. Managed and participated in resettlement Inspector planning and design, resettlement implementation Chief Engineer consultation, monitoring & evaluation and supervision work of Senior Engineer Engaged in many large- and medium- scale hydraulic and hydropower Registered 1 Qin Lin resettlement for projects. As a chief director to do the resettlement M & E work Consultation 24 years of Changzhutan Flood Control and Sight Road Project which is Engineer WB loans Hunan urban development project, the Zaoshi Registered Reservoir project, the resettlement supervision and Monitoring Supervising & Evaluation wok of Hongjiadu power station project, Engineer resettlement supervision work of Jiangya Reservoir project and environment supervision work of Changjiang River embankment consolidation work project. Engaged in resettlement for so long time that is full of experience in the aspects of resettlement planning and design, monitoring & evaluation and supervision. Managed and participated in resettlement planning and design, monitoring & evaluation and supervision work of many large- and medium- Senior Engineer Engaged in scale hydraulic and hydropower projects. As a chief director to He Registered 2 resettlement for do the resettlement supervision work of Xiangjiang River Tiesheng Consultation 15 years Dayuandu Navigation Hydraulic & Power Pivotal Project; and Engineer participated in the resettlement M & E work of Changzhutan Flood Control and Sight Road Project which is WB loans Hunan urban development project and Zaoshi Reservoir project, the resettlement supervision and M & E work of Hongjiadu power station project which is national key project. Engaged in resettlement for so long time that is full of experience in the aspects of resettlement planning and design, monitoring & evaluation and supervision. Managed and participated in resettlement planning and design, monitoring & Senior Engineer Engaged in evaluation and supervision work of many large- and medium- Ouyang Registered 3 resettlement for scale hydraulic and hydropower projects. As a chief director to Xiongbiao Supervising 13 years do the resettlement supervision work of WB loans project of Engineer Changjiang River embankment consolidation work; and participated in the resettlement supervision work of WB loans of Jiangya Reservoir project, the resettlement M & E work of Zaoshi Reservoir project.

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The Personnel Table Of Resettlement Monitoring & Evaluation Table 10.2-1 Majority and No. Name Title/ Position Qualification Working Years Engaged in resettlement for so long time that is full of experience in the aspects of resettlement planning and design Engaged in Zhao monitoring & evaluation and supervision. Managed and 4 Senior Engineer resettlement for Weihua participated in resettlement planning and design, monitoring & 13 years evaluation and supervision work of many large- and medium- scale hydraulic and hydropower projects. Engaged in resettlement for so long time that is full of experience in the aspects of resettlement planning and design, Engaged in Fan monitoring & evaluation and supervision. Participated in 5 Engineer resettlement for Jianyang resettlement planning and design, monitoring & evaluation and 25 years supervision work of many large- and medium- scale hydraulic and hydropower projects Engaged in resettlement. Participated in resettlement planning Engaged in and design, monitoring & evaluation and supervision work of 6 Ren Yu Engineer resettlement for many large- and medium- scale hydraulic and hydropower 8 years projects. Engaged in resettlement for so long time that is full of experience in the aspects of resettlement planning and design Engaged in monitoring & evaluation and supervision. Participated in 7 Li Jianwu Engineer resettlement for resettlement planning and design, monitoring & evaluation and 12 years supervision work of many large- and medium- scale hydraulic and hydropower projects. Engaged in Engaged in resettlement. Participated in resettlement Tang 8 Assistant Engineer resettlement for monitoring & evaluation and supervision work of many large- Chongliang 5 years and medium- scale hydraulic and hydropower projects. Engaged in Engaged in resettlement. Participated in resettlement planning 9 Tao Ziran Assistant Engineer resettlement for and design, and monitoring & evaluation of many large- and 5 years medium- scale hydraulic and hydropower projects.

10.2.2 The Objective of Independent Monitoring & Evaluation The Monitoring & Evaluation of resettlement is an efficient management method in resettlement project management, and the objective of independent monitoring & evaluation is to judge if the objective of the resettlement is achieved by means of providing the evaluation of the resettlement works and checking all the implementation works with an eye of long term. The independent monitoring & evaluation agency shall trace the resettlement activities, and give evaluation and proposes to the whole process of resettlement and the recovery of the resettlers’ living standards, and provide alarm system to engineering management

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department, and supply the report channels for resettlers’ suggestions, so as to ensure the planning and implementation of resettlement in conformity with the laws, regulations and rules issued by PRC, and to ensure the whole project to achieve the objective as expected. 10.2.3 The Contents of Independent Monitoring & Evaluation The independent monitoring units shall conduct the monitoring and evaluation to the implementation effects of rural resettlers’ relocation, the demolition and construction of special facilities and infrastructural facilities, and utilization effects of resettlement fund. 1) Monitoring & Evaluation of resettlement implementation schedule is as follows: ①The schedule of land acquisition and the finalized situation of land for new resettlement area; ②The schedule of the housing demolition and reconstruction; ③The schedule of resettlers’ relocation; ④The schedule of employment allocation for the labors; ⑤The construction schedule of public infrastructural facilities and special works. 2) Monitoring & Evaluation of the payment and utilization of resettlement fund is as follows: ①The situation of the fund being in place; ②The fund input and its utilization; ③The evaluation of social and economic effects about the fund input. 3) Monitoring & Evaluation of resettlement production resettlement is as follows: ①The planning objective of resettlement production resettlement; ②The basic production situation before and after removal (including the employment situation); ③The comparisons of main technical and economic evaluation indices before and after removal. If the evaluation fulfills the planning objective degree, the experience and lessons shall be summarized. 4) Monitoring & Evaluation of resettlers’ livelihood relocation is as follows: ①The planning objective of resettlement livelihood relocation; ②The housing condition and residential environment before and after removal; ③The economic income and expenditure as well as composition before and after removal; ④The comparisons of main livelihood evaluation indices before and after removal, evaluate the resettlers’ livelihood quality, and summarize the experience and lessons. 10.2.4 The Methods of Independent Monitoring& Evaluation The monitoring and evaluation activities are conducted on the basis of the investigation data provided by agencies in charge of investigation design and relocation implementation. The evaluation is conducted on

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the basis of all-around understanding and adopted the combined methods of spot-checking and quick evaluation. Choose a typical model (resettlement household/ village), set up the corresponding evaluation index system according to the different affected objects, and invite the experienced resettlement expert to determine the weighting of each index by the way of “back-to-back”, and take the latest livelihood quality research at home and abroad as reference, manage the indices by dimension treatment, analyze and calculate the investigation achievements, and contrastively evaluate the calculation achievements. 1) Evaluation of Livelihood Standard The independent monitoring agency shall propose and conduct the investigation on basic living standard before implementation of resettlement, and set up a control group according to the random samples of APs. The investigation on living standard shall be repeated annually (it shall be conducted twice at least after implementation completion) so as to measure the change of APs’ living standards. This activity is one of the methods of determining the changes of APs’ living standards. The investigation table of living standard consists of every index used to measure production level and living standard, reflects the changes of production and livelihood by the developing changes of the same index before and after removal. Whether the design of the index will reflect the change of production and living standard of the resettlers truly will be showed in the base investigation. And the design of the index will be improved according to the actual conditions, so as to ensure the acquired information to fully and truly reflect the quantity and quality of resettlers’ production and living standard. 2) Public Consultation The independent monitoring & evaluation unit will participate in the public consultations held by village and township (town) at the fixed time, and evaluate the effects of Aps’ participation and the cooperative degree of APs during the implementation course of resettlement planning by monitoring these consultation meetings. At the same time, the independent monitoring agency will consult with APs to acquire the knowledge, preferences and hopes of their livelihood, and report these findings to the Project RO. These activities shall be conducted over and over again during the period of resettlement implementation and after implementation. 3) Complaints The independent monitoring agency shall visit the affected places at the fixed time, and adopt the way of holding talks with local RO and APs to ask about and understand the complaints. Moreover, the independent monitoring agency shall monitor the efficiency of disposal of the complaints continuously. As for the possible changes, the independent monitoring agency shall propose the suggestions if necessary to

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make the process of resettlement more effective. 4) Other Responsibilities The independent monitoring agency shall propose the suggestions to the project RO during the period of preparation for RP plan and implementation; meanwhile, it is also responsible for the monitoring of the following indicative items: (1) The payment and amount of the compensation; (2) The preparation and sufficiency of the relocation sites; (3) The housing reconstruction; (4) The APs’ removal; (5) Training; (6) The support to the vulnerable group; (7) The recovery and reconstruction of infrastructural facilities and special facilities; (8) The deployment and recovery of production; (9) The compensation of property loss; (10) The compensation of working time loss; (11) The transition allowance; (12) The compensation of repurchase fee of property loss; (13) The timetable of the above-mentioned activities (it can be used at any time); (14) The setup of resettlement network; (15) The utilization of collective land compensation fee and the resettlers’ incomes; (16) The situation of labor employment and incremental incomes. 10.2.5 The Period, Frequency and Standard of Monitoring & Evaluation 1) The period of monitoring: The working time of independent monitoring unit includes the engineering construction period and the two years after the completion of the project. 2) The frequency of monitoring: The frequency shall be reported at least twice a year at peak period and once in other years according to the schedule of resettlement implementation and arrangement of implementation intensity. And it shall supply consultation for County PMO. 3) The standard of monitoring：The investigation and sampling standard of IME: 5% of APs in land acquisition and relocation; 20% of affected village in land acquisition and relocation; 20% of enterprises and public institutions in land acquisition and relocation. 4) The time of monitoring report: Submit the monitoring report to the higher level twice at peak period (in

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July and December every year), and in other years submit it once in July.

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10.2.6 The Procedure of Independent Monitoring & Evaluation

Establish a project, and clarify the objectives, content and requirements of monitoring and evaluation;

Work out detailed general outline of monitoring and evaluation;

The works in early Study the technical line and working methods of monitoring and evaluation; days

Work out the investigation outline and tables;

Design typical resettlement trail investigation plan for monitoring system.

Give an all-around investigation for the socioeconomic materials of resettlement households and their villagers

Give all-around investigation for the schedule of the resettlers’ relocation and the situation of the fund in place;

Monitoring System

Collect the information on typical resettlement households at the fixed time;

Check the random samples.

Conduct the inside liquidation, analysis, calculation, evaluation, and make a conclusion;

Evaluation System

Compile monitoring and evaluation report and submit the report to the County PMO and ADB.

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10.3 The Evaluation of Resettlement After the completion of the project, on the basis of monitoring and evaluation, conduct an evaluation for the resettlement by means of after-project evaluation theories and methods. The content mainly includes the evaluation of successful experience and the useful lessons in the aspects of housing demolitions, enterprises and institutions, and land acquisition etc. And the evaluation will provide the referenced experience for the future resettlement. After resettlement, the evaluation unit shall undertake preparation of the evaluation outline, setup of the evaluation index system, the analysis and investigation on social economy, compilation of The Evaluation Report after the Resettlement Implementation of Fenghuang County Urban Flood Control Project, and then submit the report to Provincial PMO and ADB.

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11. Resettlement cost

11.1Compilation Reference and Principle 11.1.1 Main References 1) Land Administration Law of the People’s Republic of China (1999); 2) Methods of Hunan Province for Implementing the Land Administration Law of the People’s Republic of China (2000); 3) Houses Demolition Administration Regulations of the PRC, starting implementation since November 1, 2001; 4) Methods of Hunan Province for Implementing the Urban Houses Demolition Administration Regulations, starting implementation since September 1, 2002 5) Provisional Regulations on Cultivated Land Occupancy Tax of the PRC; 6) Methods of Hunan Province for Implementing the Cultivated Land Occupancy Tax (Revision); 7) A Notice by Hunan Provincial Commodity Price Bureau and Financial Department about Reissuing Administration Institutional Charging Items and Standards of Hunan Province National Land Resource System (XJF[2003] No.42); 8) A Notice on Hunan Provincial Land Acquisition Annual Output Value Standard Issued by Hunan Provincial People’s Government General Office (XZF [2005] No.47) 9) Hunan Provincial Implementation Methods for Expropriation, Utilization and Administration of Forest Vegetation Recovery Fee (XCZ [2003] No.10 Document) 10) Regulations about Land Acquisition and Resettlement for Hydraulic and Hydropower Project (SD290--2003); 11) Relative procedures and specifications of each professional department; 12) Investigation on tangible materials index affected by the project and achievements of resettlement planning. 11.1.2 Compilation Principle 1) For the following items such as production resettlement, demolition relocation, demolition and reconstruction for the special facilities which are planned and designed with reference to the relevant national policies, regulations and standards, calculate the investment according to the design program and the corresponding works quantities (or physical materials amount).

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2) Standards for land compensation fee shall be determined according to the practical unit price of compensation.

11.2 Resettlement Funds According to the actual implementation of this project, the investment for resettlement has been completed RMB 1,3540 yuan.

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12. Resettlement Progress Arrangement

The compensation fees of land occupation of this project have been paid timely, never deducted or delayed.

12.1 Progress Plan 12.1.1 Resettlement Implementation Progress Plan According to the Feasibility Study Report on Hunan Province Fenghuang County Urban Flood-control Project Utilizing Loans from Asian Development Bank, which is compiled by the Hunan Province Xiangxi Autonomous Prefecture Hydraulic and Hydropower Design Institute, The total construction period of the project shall be 4 years. Each October is determined to be a construction preparatory period, during which the temporary facilities and the roads used for construction should be completed. The construction period for the mainbody works is from November in the beginning year to the end of April in the following year, lasting for 5 months. In the first year, the embankment of County Cigarette Factory section, Jinjiayuan section and Timber Company section should be finished, whose aggregate length reaches 2626 meter; In the second year, the embankment of Shawan section, Mianzhai section and Slaughtering & Meat Processing Plant section should be accomplished, which hits 2458 meter in total; In the third year, the 2850-meter riverway dredging for Tuqiao Brook and the reconstruction for 26 bridges should be completed. In the last year, the 1300-meter riverway dredging for Xiaoxikeng and the construction for the 2250-meter flood diverging canals should be completed. 12.1.2 Resettlement Implementation Schedules The payment of the resettlement compensation was finished in 2008.

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Appendix 1: Resettlement Information Booklet

1. Project Background The areas in Hunan Province, which are brought into this urban flood control project, are limited to the cities above county grade in hilly sections with relatively serious flood disaster. All the cities are considered as the areas with developed economy, dense population and centralized wealth. If the cities are submerged, the loss will be great, and the economic development will be supportless. At present, the urban flood control standard in the project area is low. Flood disaster happens in successive years, seriously restricts the urban economic development and affects the live and property safety of urban people. For Fenghuang County, as the sub-project city of the urban flood control project under ADB loans, its flood and waterlogging control capacity can be absolutely improved through the project implementation. The flood control standard will be enhanced from the current 2-year occurrence to 20-year occurrence; and the waterlogging control will be enhanced from the current 2-year occurrence to 10-year occurrence. That can greatly reduce the urban flood control burden of Fenghuang County and benefit the normal social development. The land acquisition and relocation range has been adjusted greatly along with the implementation of the project. 2. Project Affected Area and Quantity According to the investigation, land acquisition and relocation of the project affect only 1 villager’s group of 1 village (residential committee) in Tuojiang Town, Fenghuang County, with permanent land occupation of only 0.338 mu 3. Resettlement Plan The project resettlement plan is organized and guided by Key Project Office of Water Resources Department of Hunan Province and the local People’s Governments of various grades; and is compiled by the technical assistance professionals according to particular affection investigation, on the basis of sufficiently soliciting the villagers’ opinions. To execute the principle of “Resettlement for Development”, adopt the rehabilitation strategy of: “basing on the land and agriculture” for the resettlement plan. Through re-adjusting and developing the big-shed vegetable and stockbreeding, the resettlement plan offers the production basis for short-term livelihood ensurence and long-term developing potential, which will combine the resettlement, rehabilitation and the regional economic development brought by this project, and make the resettlers’ livelihood reach or surpass the living level before resettlement.

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4. Policy Bases and Objectives of Resettlement Plan 4.1 Policy Bases 1) Land Administration Law of the People’s Republic of China (NO.8 Decree by Chairman of the PRC issued on August 29, 1998, starting implementation since January 1, 1999) 2) Implementation Regulations for the Land Administration Law of the People’s Republic of China (NO. 256 Decree by the State Council of the PRC issued on December 27, 1998, starting implementation since January 1, 1999) 3) Houses Demolition Administration Regulations of the PRC (NO. 305 Decree by the State Council of the PRC issued on June 13, 2001, starting implementation since November 1, 2001) 4) A Decision by the State Council about Deepening Reformation and Strictly Enforcing Land Administration (The GF [2004] NO.28 issued by the State Council on October 21,2004) 5) Land Acquisition and Resettlement Regulation for Large and Medium Water Resources and Hydro Project (The 471st State Council Decree of the PRC, issued on July 7, 2006) 6) A Directive about Perfecting the Compensation Resettlement System for Land Requisition (The GTZF [2004] NO.238 issued on November 3,2004) 7) Methods of Hunan Province for Implementing the Land Administration Law of the People’s Republic of China (approved by 14th congress of the Standing Committee of 9th People's Congress Council of Hunan Province on March 31, 2000) 8) Methods of Hunan Province for Implementing the Urban Houses Demolition Administration Regulations(NO. 157 Decree by the People’s Government of Hunan Province issued on July 12, 2002, starting implementation since September 1, 2002) 9) Notice by General Office of Hunan Provincial Pepple’s Government on Issuance of Standard for Annual Production Output of Acquired Land in Hunan Province (XZBF No.[2005]47) 10) Resettlement Policy by ADB: Resettlement Handbook—Feasible Practice Guide 4.2 Policy Objectives 1) Avoid or reduce to the minimum the tangible material quantity of land acquisition relocation and resettlement by adopting measures of engineering, technique and economy, etc.; when the land acquisition is unavoidable, effective measures shall be adopted to best reduce the affection caused by the land acquisition relocation to the production and livelihood of local residents; 2) In the preparation period of this project, process the social economic investigation and compile corresponding resettlement plan; 3) Resettlement shall be on the basis of relocation tangible material indexes and compensation standards, to aim at improving or at least recovering the original living level of the resettlers; 4) Resettlement shall be on the basis of relocation tangible material indexes and compensation standards,

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to aim at improving or at least recovering the original living level of the resettlers; 5) Encourage the affected personnel to participate in the resettlement plan; 6) The resettlers shall be considered in priority to be resettled in the original community; 7) The resettlers and original residents in the resettlement area will get benefit from the project. 4.3 Compensation Standards 4.3.1 Rural Houses and Attachments 1. All involved houses shall be compensated according to replacement value, with no depreciation deducted.The material consumption of house construction is determined by the relevant quota from Quota Manual of Architecture and Construction. Based on budgetary price of present building materials in Fenghuang County, the price of materials is determined through analysis. Compensation for attachments in this project is determined by similar project. 2. Resettlement institution shall help the rural relocatees to move into the new house, and each person shall get the compensation for infrastructures, including water drinking and lighting, etc. Such compensation should be based on topogRPhical condition and followed the relevant provincial regulations. 3. The moving allowance for the relocates should include moving expense, living subsidy, transfer allowance for temporary housing, and secondary moving expense. The actual expense will be based on distance of moving and length of transfer period. 4. Effective measures shall be employed by the resettlement institution in the course of implementation to help the vulnerable (the old, the handicapped, the weak and woman-headed households. 4.3.2 Non-Residential Structures 4.3.2.1 Non-Residential Structures 1. All the non-residential houses are compensated according to the mode of cash resettlement in principle. The compensation standard for construction section shall be executed with reference to the replacement values of the urban residential houses, and no depreciation will be deducted. 2. Moving allowance for eneterprises and institutions should be based on the area of non-residential structures which are to be moved. 3. Equipment Compensation for affected enterprises include compensation for dismantling, reinstallation and adjustment of affected equipments. 4. The enterprises or institutions that will be affected with their nornmal operation will be provided with compensation for the loss of their production during interruption. The compensation for production interruption should not be more than 6 months. 4.3.2.2 Small Individual Shops

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1. All the affected booths are non-special ones mainly used for private inhabitation. The houses used for business operation are compensated as the replacement value of urban residential houses according to the relevant regulations in Compensation Methods for Land Acquisition and Demolition in Xiangxi Autonomous Prefecture, and no depreciation is deducted. 2. Compensation fee for closing down business (including compensatory wages for employees) will be paid to affected individuals engaged in small-scale business during the course of building and relocation. And cost of closing down business is calculated according to the area of houses used for business operation. The time of stopping business shall be not more than 3 months in principle. 4.3.3 Scattered Trees The Project should provide compensation for removed trees or compensation for relocating trees. 4.3.4 Land Acquisition and Occupation 4.3.4.1 State-Owned Land 1. The paid transfers of land ownership are adopted to industrial land within project range. Its compensation standard shall be executed according to the detailed methods of the similar project in Fenghuang County. 2. Urban residential land acquisition in project area shall be compensated according to the mode of cash resettlement. Among them, the section of land is compensated as estimated land price. 3. In the project, for the land acquisition of other stated-owned land such as urban unused land or flood land, the volunteer transfer is adopted to obtaining owner ship of state-owned land. 4.3.4.2 Collectively Owned Rural Land 1. For the project construction land acquisition, the village shall obtain the land compensation cost and resettlement subsidy paid by the land acquisition unit; and relocatee will obtain young crop cost and ground adhesion matter compensation cost an so on; What’s more, If the land readjustment or the land reclamation is carried out inside the villager’s group to make the affected farmers by land acquisition obtain land or other means of production, the land compensation fee and the resettlement subsidies should be controlled for utilization by the villager’s group collective. On the contrary, if there is no possibility to carry out land readjustment or land tidying or development, and the relocatee has not got any production materials, the village group shall pay the resettlement subsidy and no less than 75% of land compensation to them, and the remaining land compensation shall be managed and used by the village group collective. 2. The average annual output value (AAOV) for the acquired farmland will follow A Notice by General Office of Hunan Provincial People’s Government about Issuing Land Requisition Annual Output Standards (XZF [2005] No. 47); and compensation multiples will follow relevant national laws and provincial regulations such as Land Administration Law of the People’s Republic of China，

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Methods of Hunan Province for Implementing the Land Administration Law of the People’s Republic of China, and Land Acquisition and Resettlement Regulation for Large and Medium Water Resources and Hydro Project. The land compensation will be set at 10 times of AAOV of this cultivated land, and resettlement subsidy will be set at 6 times of AAOV of this cultivated land. For acquired fruit garden, residential plot, and other rural lands, they will follow relevant regulations on cultivated land for adequate compensation. 4.3.4.3 Temporary Land Occupation 1. The compensation fee for temporary land includes young crops cost, land loss compensation cost and reclamation cost. Time limit of the temporary land is set at two years. If the temporarily land acquisition exceeds two years, the acquisition procedure should be handled again. 2. The compensation fee for land loss is mainly used for compensating total amount of output or income of landowner from the original land. And the compensation fee for land loss shall be determined according to the annual output value and occupation time. 3. After the construction, the land occupied shall be rehabilitated and returned to the village affected by the project. Temporarily-occupied dry farmland shall be reclaimed and the reclamation cost be determined in accordance with actual cost. 4.3.5 Special Facilities All the special facilities affected by the project shall be rehabilitated and rebuilt according to the actual conditions affected by the project, original standard, scale and function. The PMO shall plan the investment according to the rehabilitation plan, and supply proper compensation funds for the each department in charge of special facility to organize the implementation. 4.4 Payment of Compensation Fee 1) The relocation compensation for land acquisition and other costs will be paid to the affected collectivities and individuals by the project Office through the county resettlement Office; 2) Compensation for houses will be paid before the resettlers start building; in case of paying in terms, the final expense shall be paid before the building completion; 3) The compensation for land and other facilities shall be paid to the relevant communities and individuals before land acquisition. 4.5 Rehabilitation Strategy For the land acquisition affection, the economic rehabilitation will be processed on the basis of the rehabilitation schemes in the village area such as land adjustment, or the compensation fee can be directly paid to the affected individuals for development of big-shed vegetable and animal husbandry. For the relocated families, they will get resettlement of centralized property right exchange with cash compensation.

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5. Responsible Institution for Resettlement To ensure the successful and effective implementation of the resettlement plan, institution net-work will be set in government of various grades to benefit for being responsible for planning, coordinating, implementing and monitoring the resettlement activities. The institutions set or involved in the land acquisition and relocation of this project are: 1) Provincial Project Resettlement Leading Group 2) Provincial Project Resettlement Office 3) County Project Resettlement Leading Group 4) County Project Resettlement Office 5) Township (Sub-District) Resettlement Office 6) Village Committee or Residential Committee 7) External Individual M&E Institution 6. Appeal Disposal The resettlement plan is considered for the affected area of the overall project and generally planned for the resettlement scheme. In the implementation, it may arouse the resettlers’ complaints because of the changing of the actual situation and the deviations in operation. To effectively resolve these problems for successfully implementing the project construction and land acquisition, the open and effective appeal channel has been established. 1) Appeal Channel ①Offices for citizens’ complaint letter and visit (including resettlement), which can receive, investigate and process the common appeal problems of resettlers’ appealing to higher authorities for help, are established in the county (city), city and province of the resettlers. ②The resettlement management institutions which are set up according to the laws, have the grade-to-grade authority, from the province, city to county, to supervise the subordinate for whether processing the resettlement according to the laws; can process the appeal affairs of the resettlement. ③Independent Resettlement M&E Institution supervises the resettlement implementation according to the relative national regulations and is responsible for protecting the legal right and benefit of the resettlers; and can process and reflect to the relevant department the appeal problems of right injuria for the resettlers; ④Jural departments of administration supervision, audit, disciplinary inspection, judicial administration, inspection are established in various grades of State, province, city and county. They can process the cases about irregularity and principle violation appealed by the resettlers. 2) Appeal Procedures If the resettlers are not satisfied with the resettlement, they can reflect to the village (residential)

122 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

committee, who can consult directly with the local resettlement Office for solvation, or can appeal to the superior resettlement Office in oral or written form. After receiving the appeal, the superior resettlement Office will take that on record, research and resolve the problem with the village committee and local resettlement Office within 10 days. In case of encountering with confliction and dispute which cannot be resolved by consultation, the villager committee can appeal to the administration institutions (such as the project Office, resettlement administration institutions, resettlement monitoring institutions, Office for citizens’ complaint letter and visit, administration inspection and disciplinary inspection, etc.) with domination authority grade by grade in appeal channel according to Administration Appeal Law of the PRC. In case of refusing to accept as final, the committee can appeal to People’s Court directly. The resettlement Office shall be responsible for keeping all the appeal problems and resolving courses on the file.

123 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

To List of Project Characteristics 2.7 Jishou No. Item Unit Index Remarks Attached Drawing II: Land Acquisition Scope Schematic Diagram of km 2 1 Planned Urban Area (short term/long term) 7.2/13.5 0+000 375 2 # 2 Built Urban Area km 7.2 1 473.4 10,000 The 1000-meter 3 Planned Total Population persons 5.7/8 embankment of Urban Flood Control Project of Fenghuang County 10,000 County Cigarette 4 Existing Total Population persons 5.7 Factory section Dixi 2 Scale 1:10000 5 Protection Area km 7.2 Present Status 374.7 # 0+185松6 10,000 2 425.5 Remarks: 6 Protection Population persons 5.7 Present Status 359.1 松7 485.2 1. In this drawing, the Yellow Sea High Elevation System of 85 is adopted with the 7 Flood Control Standard % 5 20-year-occurance 400 474.5 unit of m. 8 Waterlogging Control Standard % 10 0-year-occurance

沥6(8) 2.3 2. Progress arrangement: In the first year, the embankment of County 9 Total Length of Embankment km 5.084

0+379 10 Newly Built Sluice piece 5 # Camellia oleifera Cigarette Factory section, Jinjiayuan section and Timber Company 3 Newly Built Drainage Canal piece/km 2/0.54 Cigarette Factory 391.7 松7 桔 11 Diping section should be finished, whose aggregate length reaches 2626 桔 400 Newly Built Electrical Drainage Station seat/KW 3/1224 363.3 440.2 meter; In the second year, the embankment of Shawan section, 12 13 Main Works Quantities

桔 1112-meter embankment 3 Zhujialong Mianzhai section and Slaughtering & Meat Processing Plant section Earthwork Excavation 10,000m 22.97 Substation of Jinjiayuan section 3 Dayanchang should be accomplished, which hits 2458 meter in total; In the third Earth Filling 10,000m 1.19 3 M7.5 Stone Masonry 10,000m 21.19 1+909 year, the 2850-meter riverway dredging for Tuqiao Brook and the

311.5 1+799 488.7 Concrete and Reinforced Concrete 10,000m 3 1.145

油 # # reconstruction for 26 bridges should be completed. In the last year, 315.3 0+759 8 mu 9 455.5 14 Permanent Land Acquisition 13 # Tuojiang Power Station 1.9 4 Fenghuang Hydropower Station the 1300-meter riverway dredging for Xiaoxikeng and the construction 3 1+544 15 Demolished House 10,000m 0.92 Craftwork Factory 2.1 Tuojiang 2.5 for the 2250-meter flood diverging canals should be completed. Relocatee person 294 1+000 2+005 四 Xiaoxikeng River Training Works 16 7 # # # 石 10 450 17 Total Construction Period year 4 5 10,000

1+291 North 18 Resettlement Investment yuan 771.86 10,000

# 451.5 319.5 313.5 19 Dynamic Total Investment yuan 8195 6 Jinjiayuan 417.0 405.3 Timber Road Liping 387.5 The 514-meter Water Plant embankment of 440.7 304.5 # 2+155 407.0 414.7 354.5 11 Timber Company 松7 Guxiang Villa Company 375 2+403 The 334-meter 411.6 333.0 embankment Forestry Bureau # 358.0 Tuotian 0+000 2.0 2+423 of Shawan section 12 Fenghuang County Agricultural Bureau 1.5 Fenghuang # 462.0 398.3 松7 1+300 # 瓦 Financial Bureau 13 沥6(8) 牲 438.0 396.0 29 Substation 310.7 427.2 Mianzhai To Mujiangping 405.5 瓦 459.0 Mirror Plant 松6 Nanhua Communist Party school 2+668 427.3 1.6 # 360.6 Agricultural Bank 2.0 412.6 14 杂10 307.2 Juyuan 0+374 Stream 栗 Road 2+828 一中 Gravel 4(6) People`s Procuratorate # 瓦 The 15Tuojiang 5+325 # 275 People's Armed 28 Pinggao Road 2+985 Shawan 449.2 Mianzhai # Forces Department 316.0 325 301.6 Government 瓦 Pingchun Hospital Old 16River Guest House 3+087 The 334-meter 2.5 Bagulou Yuanzipai Road # 3+294 embankment County Government County # of Shawan section 505.3 Pingli 17 5+124 Public Security Bureau 18 松6 County Councile The 1300-meter 27# drainage canal of 2.0 Xinhua Mianzhai section ICBC # 3+421 375 Xintianlong Square 19 Bookstore Old Cigarette Factory 松7 455.5 1.7 310.3 Jianshe Road Station 3+525 Baoziwan 4+830 Tanjia Oil House373.0 Agricultural Machinery Bureau Post # The 1484-meter 2.0 Office 松7 embankment of 26 464.9 20 Mianzhai section 油 2.8 # 沥6(8) Tuqiaolong 350 372.0 363.0 Cement 杂15 m

3+736 2850-meter river # 沥6(8) 牲 regalation Plant 21 322.5

2.3 The 104-meter built 304.0 376.4 of Tuqiaolong Stream 414.1 4+562

380.5 People Hospital embankment 3+956 Wangshang'ao 4+385 # Tengjiafen 松8 #

2.5 368.0 4+190 桔 25

Camellia oleifera 22 #

# 498.1

404.1 24 Meat Processing Plant 23 417.5 385.5 茶8 瓦 石 Doufuwan 2.0 水 Suburb County Wenchang Middle School 326.5 483.0 Dutian 407.5 1300-meter river Wenchangge Primary School 桔 油茶 2.5 434.0 regalation 395.1 338.0 359.7 of Xiaoxikeng Stream 松9 牲 2.5 Xiaowan 2.7 534.5 403.4 392.0 1.5 6 2.8 The 640-meter 531.0 2.7 embankment of 沥6(8) To Huaihua 花6 428.0 485.5 Meat Processing Plant section 松8 517.8 松6 527.7 Legend 364.1 瓦 385.8 2.5 Tengziping枯 361.0 380.6 Nanhua 556.0 4 2 Hunan Province Hydro and Power Design Institute Legend 1.7 1.6 Approved by Initial Design 沥6(8) 456.5 Urban Flood Control Project of 瓦 1.2 Original riverbank or bank slope 345.1 Checked by Fenghuang County Hunan Province Resettlement Part 554.0 Buildings To Tongren Danzhongqiu 灰 Lime 340.0 Inspected by 396.4 瓦 Mountain Highway Newly built embankment 2.0 Proofed by 319.0 Project Layout Plan Designed by Qiaolong 398.0 灰 牲 Street 561.0 牲 Xiaoxi River regulation Plotted by CAD 抽 渣 549.0 357.0 松8 Drainage canal Barrage Issuing Unit Ministry of Construction Scale Date 2007.07 Lengfeng'ao Design Certificate GSDS Certificate Grade A No.180105-sj Drawing No.

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Attached Drawing 3

上

上

First Floor Plan Second Floor Plan

Facade Elevation Drawing Right Side Elevation Plan

Typical House Structure for Rural Resident Drawing 1

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Attached Drawing 3

Left Side Elevation Plan

上

First Floor Plan Facade Elevation Drawing

Typical House Structure for Rural Resident Drawing 2

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Attached Drawing 3

Facade Elevation Drawing

上

First Floor Plan Left Side Elevation Plan

Typical House Structure for Rural Resident Drawing 3

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Attached Drawing 3

Elevation Drawing Left Side Elevation Drawing

Plan Roof Plan

Typical House Structure for Rural Resident Drawing 4

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Appendix 2: Due Diligence Report of Urban Flood Control Project of Fenghuang County

1. Background

1.1. Background of Due Diligence Report (DDR)

During the last ADB's mission conducted in December 2011, it was learned that part of land acquisition and house demolition of Urban Flood Control Project of Fenghuang County (UFCPFC) were carried out in 2005/06 in anticipation of ADB funding before ADB’s approval of the respective RP and with financing under a different domestic project. Based on the safeguard policy requirements of ADB, a DDR was required by the mission to account for this. 1.2. Progress of original RP (2006) and its main impacts

UFCPFC is one of the 35 sub-projects of Hunan Flood Management Sector Project financed by ADB. Hunan Flood Management Sector Project was included into the national strategic development plan in 2003, and officially started on January 18, 2007. Due to the preparation work of each city or county is different; the implementation time of each subproject is not the same.

In order to apply the loan for this project, the preparation work began in 2004 and the 1st version resettlement plan was submitted and approved by ADB in 2006. According to this plan, UFCPFC will involve 8 administrative villages (rural area) or neighborhood committees (urban area) of Tuojian Township; will acquisition 13 mu land in different category (see Table 1-1 for more details, including 2.2 mu state owned land, 2.3 mu rural housing site land, collective land 8.5 mu (paddy land 6.6mu, dry land 1.5mu, vegetable land 0.4mu); will displace 64 households (HHs) with 338 persons (see Table 1-2 for details); will demolish 8055 m2; will affect 5 enterprises with 3133 employees; and will affect 6 shops.

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Table 0-1 Land Acquisition Induced by UFCPFC

Group Rural Cultivated Land(mu) Urban Construction Land（mu） Township County Village Under Total (town) Sub- Paddy Vegetable Residential Other village Dry land subtotal total land land land land

Fenghuang 1 8 7 13 8.5 6.6 1.5 0.4 4.5 4.5

Tuojiang 8 7 13 8.5 6.6 1.5 0.4 4.5 4.5

Jingping 3.3 1.2 0.9 0.2 0.1 2.1 2.1

1 2 0.8 0.5 0.2 0.1 1.2 1.2

9 1.3 0.4 0.4 0.9 0.9

Hongqiao 0.8 0.8 0.7 0.1

1 0.8 0.8 0.7 0.1

Dutian 2.2 2 1.5 0.3 0.2 0.2 0.2

1 2.2 2 1.5 0.3 0.2 0.2 0.2

Mianzhai 1.6 1.6 1.3 0.2 0.1

2 1.6 1.6 1.3 0.2 0.1

Tuqiao 1.2 1.2 0.8 0.4

2 1.2 1.2 0.8 0.4

Dazhong 1.7 1.7 1.4 0.3

2 1.7 1.7 1.4 0.3

Nanhua 1.3 1.3 1.3 Community Shawan 0.9 0.9 0.9 Community

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Table 0-2 Affected persons induced by UFCPFC

Both having Land Need to be Employees Only having land Only having house Total acquisition and displaced to other of acquisition demolition Village house demolition place Laborers individual Impact category Township /neighborhood to be industry committee resettled1 and HHs persons HHs persons HHs persons HHs persons HHs persons commerce industry

1.Permanent land acquisition 1 8 72 376 8 38 58 311 6 27 53 294 15 12

(1) Residential House demolition 1 8 72 376 8 38 58 311 6 27 53 294 15 12

Tuojiang 8 72 376 8 38 58 311 6 27 53 294 15 12

Jingping 37 215 34 201 3 14 35 206 3 4

Hongqiao 1 5 1 5 1

Dutian 3 13 3 13 3 13 4

Mianzhai 3 14 3 14 3

Tuqiao 1 6 1 6 1

Dazhong 3 13 3 13 3

Nanhua Community 15 59 15 59 7 28 1

Shawan community 9 51 9 51 1 8 7

(2)non-residential 1 house demolition 5 9

1 This is a calculated figure. The formula is: Laborers to be resettled=acquisitioned cultivated land area(mu)/local average cultivated land area(mu/ per capita) before land acquisition. 131 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

Both having Land Need to be Employees Only having land Only having house Total acquisition and displaced to other of acquisition demolition Village house demolition place Laborers individual Impact category Township /neighborhood to be industry committee resettled1 and HHs persons HHs persons HHs persons HHs persons HHs persons commerce industry

Enterprises 5 9

2. temporary land 3 occupation 4 16

Nanhua community 1 4

Shawang community 1 5

Mianzhai 2 7

Total 81 401 8 38 58 311 6 27 53 294 15 12

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1.3. Main contents of updated RP (2010 version)

UFCPFC was formally started in July 2008. During the implementation period, Fenghuang Water Resource Bureau, the executing agency (EA) of UFCPFC, adjusted the construction plan according to the Fenghuang Ancient City Protection and Conservation Regulation. Under this situation, local EA also updated the RP in 2010 which has been approved by ADB.

According to this plan, these projects will only acquisition 0.338 mu of land and there is no other impact any more. 1.4. Investigation method and report producing process

Commissioned by the ADB, a resettlement expert went to Fenghuang County in August 2011 to investigate the resettlement activities that occurred in 2005-2006. The survey methods include questionnaires, interviews, and site inspection.

The contents of questionnaires cover the surveys of project progress, project policies and project changes and their reasons, and the situations of APs and the resettlement situations for them.

The departments interviewed include Water Resource Bureau of Fenghuang County, Land Bureau of Fenghuang County, Construction Bureau of Fenghuang County, Jingping Village, Tuqiaolong Village, Shawang community, and Fuyuan community.

The range of site survey includes all sites implemented and that mentioned in the RP of 2006 version.

After finishing the site survey and information collection, the resettlement expert submitted the due diligence report in both English and Chinese in December 2011.

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2. Project Progress

The project was prepared starting February 2004 and construction formally commenced in July 2008. The total loan is $ 3,666,000. 2.1. Engineering Progress

The engineering progress of this project is showed in table 2-1. Table 0-1 The planned vs Actual Implementation Progress of the Project Planned Actual implementation component The reasons for timing change implementation time time

Flood bank construction（new Jul. 18, 2008 to 至 Dec. Due to the rainy weather condition of Jul. 2008 to Jan. 2011 construction, 5.084Km in length） 20, 2011 that time

Flood bank engineering of Mianzhai Jul. 18, 2008 to Aug. Jul. 2008 to Jan. 2011 Section 20, 2009

Flood bank engineering of Meat May 2011 to May 2011 to Dec.2011 Processing Factory Aug.2011

Flood bank engineering of May 2011 to Sep May 2011 to Dec 2011 Qingmingwang section 2011

Renovating Tuiqiao River way Jul 2008 to Jan 2011 May 2010 to Oct 2010 （2.85Km)

Renovating Xiaoxikang River way Jul 2008 to Jan 2011 Pending （1.3Km)

Shawan Flood diversion channels July 2008 to Jan 2011 Pending 0.95Km

Mianzhai Flood diversion channels Jul 18, 2008 to Aug 20 Jul 2008 to Jan 2011 Only construct 200 m of the total 1.3Km 2009

Reconstruction of Tuqiao crossing Jul 18, 2008 to Dec 20, Jul 2008 to Jan 2011 bridge 2011

Reconstruction of Tuqiaoxi crossing Jul 18, 2008 to Dec 20, Jul 2008 to Aug 2011 bridge 2011

As shown in Table 2-1, this project was started since July 2008 and most components have been constructed as scheduled. But due to reimbursement and other reasons, the construction of renovating Xiaoxikang River way and Shawan Flood diversion channels cannot be constructed up to now.

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2.2. Resettlement Progress

According to the updated RP (2010 version), the land acquisition pre-approval work has conducted in 2005 (Guotu, 3rd, 2005). The land acquisition notice of it was released in Dec. 2008.

Up to now, 0.338 mu of land (all of rural collective cultivated land) have been acquisitioned. The compensation for it is 17,304.92 yuan, with the compensation rate at 51,198 yuan/mu and which is higher than that in the RP (22,509 yuan/mu).

Up to July 2012, the accumulated reimbursement and resettlement progress of the project is shown in Table 2-2.

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Table 0-2 Accumulated reimbursement and resettlement progress Resettlement situations related with the construction Construction Involved component Temporary cost Land land Attachment Year and Implementation Project Implementation Compensation Reimbursement acquisition occupation and special construction duration site Agency(IA) agreement (yuan) content area（mu） area (mu) and facilities compensation Tixi section to Tishi, Jul-Aug, 1746114.00 Jingjiayuan Jul-Aug, 2008 Shucai 0 N/A N/A N/A N/A 2008 Section village engineering Jinping village, Tixi section Water Hongqiao to Resource village, Sep, 2008 1504136.00 Jingjiayuan 2008/9/1 0.338 mu Bureau of Signed 41,400 N/A Shawang Section Fenghuang village, engineering County Mianzhai village Jinping Tixi section village, to Hongqiao Oct, 2008 391888 Jingjiayuan 2008/10/1 0 N/A N/A N/A N/A village, Section Shawang engineering village, Tixi section Jinping to village, Nov, 2008 1105802.00 Jingjiayuan 2008/11/1 0 N/A N/A N/A N/A Mianzhai Section village engineering Shucai Tixi section village, to Hongqiao Dec, 2008 2310131.00 Jingjiayuan Dec, 2008-Jan 2009 0 N/A N/A N/A N/A village, Section Shawan engineering village Tixi section Jinping Jan-Apr, to Village, 2218615.00 Jan-Apr, 2009 0 N/A N/A N/A N/A 2009 Jingjiayuan Mianzhai Section village

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Resettlement situations related with the construction Construction Involved component Temporary cost Land land Attachment Year and Implementation Project Implementation Compensation Reimbursement acquisition occupation and special construction duration site Agency(IA) agreement (yuan) content area（mu） area (mu) and facilities compensation engineering Tixi section to May-Aug, Mianzhai 2091678.00 Jingjiayuan May-Aug, 2009 0 N/A N/A N/A N/A 2009 village Section engineering Tixi section Tixi to village, 2009-2010 1171339.00 Jingjiayuan Sep 2009-May 2010 0 N/A N/A N/A N/A Shuchai Section village engineering Improvement engineering Nanhua 2010 7265551.88 2010.5.21-2010.12.20 0 N/A N/A N/A N/A of Tuqiao community Section Total 19805254.88 0.338 17304.92

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3. Impact Changes, Implementation Situation and the Reason for It

3.1. Impact Changes

According to the introduction, there are 0.338mu of land that has been requisitioned since the beginning of the project. The requisitioned land belongs to the Jinping Village. The land acquisition notice was issued in Dec 2008. The compensation, 41.4 thousand yuan has paid to the village.

Up to July 2011, the changes and the reasons for the resettlement impact of the project are shown in Table 3-1. Table 0-3 Changes and the reasons for the resettlement impact of the project

Actual Town Planned acquisition area acquisitioned Reasons for impacts Construction Section Village (Township) （mu） area reducing （mu） Has changed the Jinping 3.3 0 construction plan, constructed the bank Nanhua community 1.3 0 inward, no land acquisition anymore Has changed the construction plan, no longer Hongqiao 0.8 0 Flood bank construct in straight line, engineering of Meat adjusted the bank line Processing Factory Using domestic fund, and has adjusted the land use plan. This component only occupied 0.5 mu Dutian 2.2 0 state-owned unused land and increasing the height as the non-cash compensation. Please see annex 4. Flood bank Tuojiang engineering of Mianzhai Changed construction plan, Mianzhai 1.6 0.338 Section&Mianzhai less land acquisition Flood diversion channels 1.3Km It’s an public improvement Reconstruction of Tuqiao 1.2 0 work, so no need to Tuqiao crossing bridge acquisition land. Renovating Tuiqiao It’s an public improvement Tuqiao work, so no need to River way（2.85Km) acquisition land. The pipeline was Renovating Xiaoxikang constructed under the state Dazhong 1.7 0 Riverway（1.3Km) owned ground. No compensation for it. Shawan Flood Changed construction plan, diversion channels Shawang community 0.9 0 no land acquisition anymore 0.95Km Total 8 13.0 0.338

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3.2. The Reasons for Impact Changes

The main reason for the project impact changes is the issue of Protection Regulation of Fenghuang County which was entitled as Historical and Cultural City within Xiangxi Tujia and Miao Autonomous Prefecture. Since the original project scope is within the protection area, the original construction plan has to be changed according the updated regulation (2007). And according to the regulation, the old houses along the rivers can’t be demolished so as to keep their original architectural and cultural characters. And this resulted in the river bank line having to be constructed inward to the river. The adjustment plan is as follows.

1. Land acquisition: the inward construction manner will be adopted during the project construction. After the adjustment, only 0.338 mu of land needed to be acquisitioned, accounting 3% of the original plan (2006 version).

2. No demolition: no house demolition during this project implementation.

3. Enterprises: no enterprises will be affected during this project implementation.

During the field survey, it’s found the construction progress of this project is quite well. And this project involves some compensation to the green crops (about 40,000 yuan). As this part is not in the due diligence report range, the report will not include details. The independent external monitoring report will reflect this content and submit them to ADB. 3.3. Clarification on the Fenghuang DDR issue mentioned in ADB’s AIDE MEMOIRE (28 November-7 December 2011)

A special project administration mission from the Asian Development Bank (ADB) visited the People’s Republic of China from 28 November to 7 December 2011 to review the Hunan Flood Management Sector Project. In the AIDE MEMOIRE, it was mentioned “With regard to Fenghuang County, the mission requested the PPMO to prepare a DDR to account for land acquisition and house demolition at civil works sites funded by ADB, which were carried out in 2005/06 in anticipation of ADB funding before ADB’s approval of the respective RP and with financing under a different domestic project.”

After interview, the component mentioned which was constructed in 2005-2006 is Fuyuan Community.

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According to the instruction, during the 2005-2006 when the RP has been submitted to ADB but haven’t been approved, Fuyuan Real Estate Company acquisitioned 6.6 mu land along the plotted line of flood bank to develop Fuyuan Community, which belonged to old Fenghuang Meat Processing Factory, Fenghuang Timber Mill and Fenghuang Winery Factory. These 3 enterprises were bankrupted enterprises. The employees of which were resettled by the county government before land acquisition. Besides, the land acquisition affected 6 households. They were compensated by Fuyuan Real Estate Company at the market compensation rate and then resettled by themselves.

According to the original RP, 1.3 mu land will be acquisitioned by this project. But as this community was completed in 2006 and this project was started 2008 when Fuyuan community has been finished, it is impossible to acquisition any land or demolish any house for this project any more. So, local PMO had to change the construction plan, construct the flood bank inward to the river.

As described, Fuyuan Community is a commercial project of which the land acquisition has no relationship with this project. And this project didn’t use any land of it (or cause any house demolition within it). So, it is need not to do more interviews for the resettlement of Fuyuan District.

The misunderstanding of this issue was caused by wrong translation and the introducer didn’t familiar with the project situation.

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4. Conclusions and suggestion

4.1. Conclusions

4.1.1. The resettlement impacts has decreased greatly

Due to the issue of Fenghuang Ancient City Protection and Conservation Regulation and other reason, the original plan had to be changed accordingly. After adjustment, the resettlement impacts of this project have been greatly decreased. The land acquisition area decreased from original 13 mu to 0.338mu. After construction plan adjustment, this project does not involve any house demolition and will not affect any enterprises. 4.1.2. The resettlement progress accords with the project progress

According to field interview, the resettlement progress can accord with the project progress. 4.1.3. Some non-cash compensation manner has been used in this project

At the Dutian Section, it’s found 0.5 mu unutilized land were occupied. After discussion, local PMO heightened the flood bank as compensation and under this situation, there was no need to compensate by cash. The AP is happy with this manner because the construction cost for heighten the flood bank, about 22,000 yuan is more than the cash compensation for the land acquisition, 11,254.5 yuan. 4.1.4. It’s no need to do additional interviews for the resettlement of Fuyuan coummnity

After identification, Fuyuan Community is a commercial project of which the land acquisition has no relationship with this project. And this project didn’t use any land of it (or cause any house demolition within it). So, there is need not to do more interviews for the resettlement of Fuyuan community.

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4.2. Suggestions

4.2.1. Local project management personnel are not familiar with ADB policy. It’s suggested some special trainings should be conducted for them.

4.2.2. There are too many changes for the local project management personnel. Since project started, the concrete person in charge of this subproject has changed 2 persons. The new staff didn’t familiar with the project situations before 2011. It’s suggested the concrete person in charge of the subproject should as stably as possible so as to implement the following works.

4.2.3. It’s also found related resettlement documents cannot be effectively stored in local PMO. The archives administration works should be strengthen in further.

Annex Picture 1－Tuqian section (improve the channel on the old one, no need to acqusition land)

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Annex Picture 2 Tuqian Section, the pipeline was constructed under the state-owned land. The pipeline has been covered by new road

Annex Picture 3 Xiaoxikan Section, the pipeline has been covered under the ground

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Annex Picture 4 Dutian section, occupied 0.5 mu unused land, so the PMO heightened the bank as compensation for the affected persons

Annex Picture 5 Dutian Section, the sewage treatment plant construct the wall by themselves, no need to construct flood banks in this section

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Annex Picture 6 Dutian Section, the new meat processing factory constructed this wall by themselves, so no need to construct flood banks in this section

Annex Picture 7 the engineering situation of Dutian Section

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Annex Picture 8 Part of Shawan pipelines were constructed on under the stated owned land, so no need for land acquisition

Annex Picture 9 Hongqian and Shawan Flood Diversion Channels

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Annex Picture 10 Mianzhai Section

Annex Picture 11 Mianzhai Section

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Annex Picture 12 Fuyuan Community

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Appendix 3: Original design maps and schematics and the actually implemented design

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156 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

157 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

158 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

159 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

160 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

161 Fenghuang County Urban Flood Control Project Resettlement Plan Hunan Province Hydro and Power Design Institute

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