The World Bank Report No: ISR9923

Implementation Status & Results SECOND RURAL AND MAIN ROADS PROJECT (P055085)

Operation Name: SECOND RURAL AND MAIN ROADS PROJECT (P055085) Project Stage: Implementation Seq.No: 26 Status: ARCHIVED Archive Date: 05-May-2013 Country: Guatemala Approval FY: 2003

Public Disclosure Authorized Product Line:IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Specific Investment Loan Implementing Agency(ies): Direccion General de Caminos (DGC), Instituto de Fomento Municipal (INFOM) Key Dates Board Approval Date 06-May-2003 Original Closing Date 31-Dec-2007 Planned Mid Term Review Date Last Archived ISR Date 22-Oct-2012 Public Disclosure Copy Effectiveness Date 03-Nov-2004 Revised Closing Date 30-Sep-2013 Actual Mid Term Review Date

Project Development Objectives Project Development Objective (from Project Appraisal Document) The overarching goal of the project is to contribute reducing rural poverty and build social cohesion by improving and maintaining access in rural areas to markets, schools, health centers and other social and economic infrastructure through broadened community participation. By emphasizing beneficiary involvement, the project will assure that local development decisions reflect the needs and priorities of rural communities. Has the Project Development Objective been changed since Board Approval of the Project?

Public Disclosure Authorized Yes No

Component(s)

Component Name Component Cost A.1. RURAL ROADS PROGRAM (INFOM) 17.60 A.2. MAIN, SECONDARY/DEPARTMENTAL ROADS PROGRAM (DGC) 23.20 B.1. SUPPORT FOR DECENTRALIZED RURAL ROAD DEVELOPMENT (INFOM) 3.20 B.2. SUPPORT FOR MAIN, SECONDARY/DEPARTMENTAL ROADS (DGC) 2.20 - PHYSICAL CONTINGENCIES OF WORK 0.00 - PRICE CONTINGENCIES 0.00

Overall Ratings Public Disclosure Authorized Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Unsatisfactory Overall Risk Rating High Public Disclosure Copy

Implementation Status Overview

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The project has made progress towards the achievement of its development objectives but has a few significant issues that are yet to be resolved. The project has had substantial participation of beneficiary communities at all stages of the project. Rural access has been improved through the secondary and rural road improvements done to date, including pedestrian bridges, periodic maintenance works, and regravelling and paving of road sections in the San Marcos and project areas. The project has also been successful in building planning and implementation capacity at the local government level (with support for the municipal associations, technical road units, and maintenance committees). The closing date of the project is September 30, 2013 to enable the satisfactory resolution of a pending resettlement issue in the project. This includes the compensation of affected persons with houses reconstruction, reconstruction of other affected structures including possibilities for alternative compensation in line with Bank policies and guidelines. An update of the Corrective Action Plan (CAP) dated 18th September 2012 has had delays in implementation due to country budgeting issues. As of the time of reporting, it is expected that works have started on site. The completion of the secondary road construction both in Huehuetenango and San Marcos also remain high priorities though these can only be completed fully with national financing since project loan proceeds were exhausted due to changes in the design and cost of these works. The Government remains committed to complying with its obligations to ensure a more satisfactory achievement of the project objectives, and to ensure that the full benefits of the project interventions are realized by the project beneficiaries in the two departments of Huehuetenango and San Marcos.

Public Disclosure Copy Locations Country First Administrative Division Location Planned Actual Guatemala Not Entered Yalambojoch

Guatemala Not Entered Xémal

Guatemala Not Entered Vilil

Guatemala Not Entered Municipio de Todos Santos Cuchumatán

Guatemala Not Entered Todos Santos Cuchumatán

Guatemala Not Entered Tixel

Guatemala Not Entered Municipio de Tectitán

Guatemala Not Entered Tacaná

Guatemala Not Entered Municipio de

Guatemala Not Entered Santiago Chimaltenango

Guatemala Not Entered Municipio de Santa Bárbara

Guatemala Not Entered Municipio de

Guatemala Not Entered Municipio de San Sebastián Huehuetenango Guatemala Not Entered Municipio de

Guatemala Not Entered San Rafael Petzal

Public Disclosure Copy Guatemala Not Entered Municipio de

Guatemala Not Entered San Pedro Necta

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Country First Administrative Division Location Planned Actual Guatemala Not Entered Municipio de San Miguel Acatán

Guatemala Not Entered San Miguel Acatán

Guatemala Not Entered Municipio de San Mateo Ixtatán

Guatemala Departamento de San Marcos Departamento de San Marcos ✔

Guatemala Not Entered Municipio de San Juan Atitán

Guatemala Not Entered Municipio de

Public Disclosure Copy Guatemala Not Entered Municipio de

Guatemala Not Entered Río Ocho

Guatemala Not Entered Quixal

Guatemala Not Entered Departamento del Quiché

Guatemala Not Entered Petatán

Guatemala Not Entered Nueva Esperanza

Guatemala Not Entered Municipio de Nentón

Guatemala Not Entered Municipio de

Guatemala Not Entered Malacatancito

Guatemala Not Entered Lupiná

Guatemala Not Entered La Trinidad

Guatemala Not Entered Municipio de La Libertad

Guatemala Not Entered La Libertad

Guatemala Not Entered Municipio de La Democracia

Guatemala Not Entered La Cumbre

Guatemala Not Entered La Barranca

Guatemala Not Entered Municipio de

Public Disclosure Copy Guatemala Not Entered Municipio de Ixtahuacán

Guatemala Not Entered Ixtahuacán

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Guatemala Not Entered Ical

Guatemala Not Entered Departamento de Huehuetenango

Not Entered Not Entered Departamento de Huehuetenango ✔

Guatemala Not Entered El Boquerón

Guatemala Not Entered Municipio de

Guatemala Not Entered Municipio de

Guatemala Not Entered Finca Chanquejelbé Public Disclosure Copy Guatemala Not Entered Canquintic

Guatemala Not Entered Bujxub

Guatemala Not Entered Buenos Aires

Guatemala Not Entered Departamento de Baja Verapaz

Guatemala Not Entered Departamento de Alta Verapaz

Results

Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Improved rural road network in MAMSOHUE Text Value 1. 400,000 people in ADIMAM 1. 400,000 people from 1. 400,000 people from and HUISTA benefit from improved access ADIMAM continue to benefit ADIMAM will continue to (4260-GU) 2. 500,000 people from improved access 2. benefit from improved access do not benefit from improved 355,000 people benefited 2. 500,000 people in access. under INFOM component and Huehuetenango will be 408,820 people benefited provided with reliable access under DGC component. 3. Travel time reduced up to Beneficiaries are in both 40% Huehuetenango and San Marcos due to project changes 3. Travel timereduced up to 42% Date 01-Jan-2005 15-Mar-2013 30-Sep-2013 Comments Beneficiaries separated by implementing agency (INFOM Public Disclosure Copy and DGC)

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Strengthened institutional capacity to manage Text Value 1. UTAVs and FVR non 1. UTAVs and FVR 1. UTAVs and FVR rural transport infrastructure on sustainable existent 2. Municipalities do operational 2. Municipalities operational 2. Municipalities basis not cofinance works 3. Poor cofinancing works 3. cofinancing works 3. road maintenance 4. No Municipalities maintaining Municipalities maintaining municipal contribution to rural network rehabilitated rural network rehabilitated operations 4. Municipal contributions to 4. Municipal contributions to 5. No national transport and operations of at least Q75,000 operations of at least Q75,000 rural roads participatory per year per year strategy 6. No strengthening 5. National transport and rural 5. National transport and rural of involved institutions roads participatory strategy roads participatory strategy 7. No medium term impact done in 2002. 6. done 6. Strengthening of evaluation done Strengthening of involved involved institutions

Public Disclosure Copy institutions 7. Medium term impact 7. Medium term impact evaluation done evaluation done in May 2008. Date 01-Jan-2005 15-Mar-2013 30-Sep-2013 Comments Cofinancing percentage dropped to 15% from 25%. The mucipalities of Huista and Mamsohue were created under the project. Training and capacity building delivered. Employment generated in rural areas Text Value 1. 180 maintenance 1. 20 micro-enterprises for committees created 2. & 3. routine road maintenance Workers still involved under pilot. 2. 20 communities COMAVIs model as per involved with about 150 municipalities'request. worker posts. 3. Enterpreneural culture for road maintenance activities. Date 15-Mar-2013 30-Sep-2013 Comments

Intermediate Results Indicators Public Disclosure Copy

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Indicator Name Core Unit of Measure Baseline Current End Target Kilometers of Rural Roads Rehabilitated Text Value 0 746km completed including 830 (Revised target 819km) 674km of tertiary roads Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments One core indicator for both secondary and tertiary roads (INFOM 674km, DGC 145km). Of the target 145km of secondary roads, 72 km ofsecondary roads actually completed. The rest will be

Public Disclosure Copy completed with Government financing. Maintenance through ME on a pilot basis - Text Value 0 180 20 ADIMAM (number of ME in operation) Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments ADIMAM officials requested to stay with model of maintenance committees (COMAVIs) where work is voluntary and not paid. 61 COMAVIs set up in San Marcos, and an additional 119 were set up in Huehuetenango for a total of 180 COMAVIs. Project has provided tools and equipment. COMAVIs have also been trained Strengthening local capacity (Creation of Text Value 0 UTAVs fully operational in UTAV and FVR fully UTAVs and FVRs) both mancomunidades operational in each Mancomunidad Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments UTAVs-refers to the technical THe FVRs were redesigned administration units in the to include a Head and a mancomunidades while the Treasurer in each FVRs refers to the regional mancomunidad road funds. Pathways and Pedestrian Bridges Text Value 0 30km of periodic maintenance 300 km pathways and 80 (gravel, stone and pedestrian bridges adoquines); 37 pedestrian

Public Disclosure Copy bridges Date 01-Apr-2003 15-Mar-2013

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Comments See comments under end Local communities asked to target. replace the pathways with the periodic maintenance works. For the bridges, 21 no. could not be contracted due to contractor non-fulflllment of the bid criteria. And costs also increased from original 2003 estimates. Approximately 2000m of spot improvements on Meter(m) Value 0.00 2000.00 2000.00 municipal roads Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments

Public Disclosure Copy Target met under intervened roads which lead to municipal headquarters, and connect communities in the municipalities. Number of kilometers of rural roads maintained Number Value 0.00 380.00 350.00 Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments 380km maintained by COMAVIS in San Marcos. An extra 325km maintained by COMAVIs in Huehuetenango Incorporation of coordination unit in the Text Value Not incorporated Incorporated Incorporated structure of INFOM Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments Coordination unit incorporated into INFOM structure, and in addition to project is also managing a loan with the Japanese financing. INFOM now has strong capacity to implement other projects. Implementation of the Social Management Plan Text Value Not implemented Implemented Implemented Date 01-Apr-2003 15-Mar-2013 30-Sep-2013 Comments INFOM has delivered workshops on social awareness and citizen responsibility for community road infrastructure, capacity building in social, technical

Public Disclosure Copy and financial matters, accompaniment in solving

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arising problems e.g. resettlement, and promotion of road maintenance, and safety.

Data on Financial Performance (as of 18-Mar-2013)

Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P055085 IBRD-71690 Effective 06-May-2003 27-Oct-2004 03-Nov-2004 31-Dec-2007 30-Sep-2013

Disbursements (in Millions) Public Disclosure Copy Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P055085 IBRD-71690 Effective USD 46.70 46.70 0.00 45.74 0.96 98.00

Disbursement Graph

Key Decisions Regarding Implementation A project restructuring to accommodate the triggering of the involuntary resettlement safeguard was approved in October 2011. The government had previously issued a Corrective Action Plan dated April 26, 2011 which identifies all measures taken or to be taken to bring the project into compliance on social safeguards. The Bank agreed to the use of loan

Public Disclosure Copy funds to help finance the costs of some of the outstanding resettlement cases. Given the lack of success with procurement processes launched in December 2011, the Government requested an extension of the closing date to September 30, 2013. This was approved in September 2012. An update of the Corrective Action Plan was agreed during the last to one supervision mission (update dated 18th September 2012). The houses reconstruction is a matter of high priority, and efforts are being made to have this activity completed in

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advance of the revised project closing date. The completion of road sections would be with 100 percent national financing since Bank proceeds have been used up, and the execution will certainly go beyond the revised project closing date of September 30, 2013.

Restructuring History Level two Approved on 23-Mar-2010, Level one Approved on 24-Mar-2010, Level one Approved on 28-Jun-2011, Level one Approved on 23-Aug-2011, Level two Approved on 11- Jan-2012, Level two Approved on 09-Apr-2013

Related Projects There are no related projects. Public Disclosure Copy Public Disclosure Copy

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