OFFICIAL THE WORLD BANK D IBRD * IDA I WolDRANKGRUP DOCUM ENTS ftVEfrj(., 26, 2019 H.E. Siniga Mali Minister of Finance Ministry of Finance Government of the Republic of Serbia Kneza Miloga 20 11000 Belgrade Republic of Serbia Subject: Republic of Serbia - Real Estate Management Project, Loan No. 8486-YF Amendment to the Loan Agreement Excellency: We refer to the Loan Agreement for the above-mentioned Project ("the Loan Agreement") between the Republic of Serbia ("Borrower") and the International Bank for Reconstruction and Development ("Bank"), dated April 17, 2015 (8486-YF). Please note that capitalized terms used in this letter and not defined herein have the meaning ascribed to them in the Loan Agreement. Pursuant to recent discussions, the Bank hereby agrees to amend the Loan Agreement, as follows: 1. Schedule 1 of the Loan Agreement is hereby amended to delete Part 1n (v) of the Project. 2. Section IV.B.2 of Schedule 2 to the Loan Agreement is hereby amended to read in its entirety as follows: "2. The Closing Date is December 31, 2022.". 3. Section I.A.4 of Schedule 2 to the Loan Agreement is hereby amended to read in its entirety as follows: "4. The Borrower shall maintain at all times during Project implementation a Project Council with a composition, terms of reference, and resources satisfactory to the Bank. The Project Council shall be responsible for making major policy decisions concerning Project implementation and for overall Project supervision, as well as approving annual work plans, training plans and reports. The Project Council shall be chaired by a coordinator from the MCTI and shall include representatives of the Borrower's following institutions: Ministry of Public Administration and Local Self Government, Ministry of Finance, Ministry of Justice, Ministry of Economy, Tax Administration, Statistical Office and the Director General of RGA. The PIU director shall act as secretary to the Project Council.". 4. The definition of Operating Costs in Section IV.A.2 of Schedule 2 to the Loan Agreement is hereby amended to read as follows: "Operating Costs" means the reasonable and incremental expenses incurred by RGA, on account of implementation of the Project, for office supplies and other consumables, office rent, internet connection and communications costs, support for information systems, translation costs, utilities, reasonable travel, transportation, per diem, accommodation costs (lodging), and other reasonable expenditures directly associated with the implementation of the Project, as agreed between the 1818 H Street NW - Washington, DC 20433 USA Borrower and the Bank on the basis of semi-annual budgets acceptable to the Bank, excluding salaries of the Borrower's civil service. 5. Paragraph 18 of the Appendix to the Loan Agreement is hereby amended to read in its entirety as follows: "18. Tax Administration" means Serbian Tax Administration, a government body within the Borrower's Ministry of Finance established pursuant to the Borrower's Law on Tax Procedures and Tax Administration, as amended, duly published in the RS Official Gazette No. 80/2002, 84/2002, 23/2003, 70/2003, 55/2004, 61/2005, 85/2005, 62/2006, 63/2006, 61/2007, 20/2009, 72/2009, 53/2010, 101/2011, 2/2012, 93/2012, 47/2013, 108/2013, 68/2014, 105/2014, 91/2015, 112/2015, 15/2016, 108/2016, 30/2018 and 95/2018." With reference to the provisions of Section II.A. of Schedule 2 to the Loan Agreement, the indicators set out in the attachment to this letter shall serve as a basis for the Borrower to monitor and evaluate the progress of the Project and the achievement of the objectives thereof. The indicators set out in the Annex of this letter replace those established in Supplemental Letter No. 2, dated April 17, 2015. Please confirm your agreement with the foregoing amendment by signing and dating this Amendment Letter in the spaces provided below. All other provisions of the Loan Agreement except as amended through this Amendment Letter shall remain in full force and effect. This Amendment Letter shall be executed in two (2) counterparts each of which shall be an original. Upon your confirmation, please return one fully executed original to us. The provisions set forth in this Amendment Letter shall become effective upon receipt by the Bank of one fully executed original of this Amendment Letter. Very truly yours, INTERNATIONAL BANK FOR NSTRUCTION AND DEVELOPMENT Stephen Ndegwa untry Manager for Serbia CONFIRMED AND AGREED: REPUBLIC OF SERBIA By: uthorized Re sentative Name: - Title: /A/U Date: / 0 -2- ANNEX Attachment to Supplemental Letter No.2 IBRD Loan No. 8486-YF (Real Estate Management Project Additional Financing) Performance and Monitoring Indicators Results Framework COUNTRY: Serbia Real Estate Management Project Additional Financing Project Development Objective(s) To improve the efficiency, transparency, accessibility and reliability of Serbia's real property management systems. Project Development Objective Indicators by Objectives/ Outcomes Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 Improve efficiency of Serbia's real property management system Avg no. of days to complete record of purchase/sale of reodo prhs/sl f 48.00 30.00 15.00 7.00 4.00 property In land adm system (Number) Action: This indicator has been Rationale: Revised End target date extended. Avg no. of days to complete record of purchase/sale of 48.00 30.00 15.00 7.00 4.00 property-Urban (Number) Rationale: Action: This Indicator has End target date extended. been Revised Avg no. of days to complete record of purchase/sale of 48.00 30.00 15.00 7.00 4.00 property-Rural (Number) -3- Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 Rationale: Action: This Indicator has End target date extended. been Revised Improve transparency of Serbia's real property management systems Rules, procedures, methodologies and Procedures, Updated procedures, Information widely and easily Limited availability, methodologies and methodologies and Data available on interet accessible and procedures information available on Information available on operate for public to verify Internet. Internet their information (Text) Action: This indicator has been Rationale: Revised End target date extended. Improve accessibility of Serbia's real property management systems Open (structured) data Development of data available to municipalities for None model and specifications Ge a h download Available to all Available re-use (Text) for geoportal Ice municipalties Action: This Indicator has been Rationale: Revised End target date extended. Improve the reliability of Serbia's real property management systems. Increased customer satisfaction with real property management system, Including 66.00 70.00 80.00 as to quality and efficiency. (Percentage) Action: This Indicator has been Rationale: Revised End target date extended. Definition of the Indicator expanded to include satisfoction with RGA's responsiveness to feedbackfrom customers. Increased customer satisfaction with real property management system, including as to -4- Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 quality and efficiency - female (Percentage) Rationale: Action: This Indicator Is This Is new sub-Indicator Introduced aiming at capturing the Impoct of the project activities related to promotion of greater access to property rights New registration for women through Increased satisfaction offemale customers. Intermediate Results Indicators by Components Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 A. Valuation and Property Taxation Property price Index established (Text) Initial system in place. Completed Price index established. Action: This Indicator has been Rationale: Revised End target date extended. Valuers operating in Standards for Valuers operating in accordance with valuation Limited use of standards. standards approved qualifications and approved accordance with valuation standards. (Text) education of valuers standards. Building register (Percentage) 0.00 20.00 70.00 100.00 Action: This Indicator has been Rationale: Revised End target date extended. Mass appraisal system No system Data acquisition Model tested Tested in sample In use in 5 Municipalities developed (Text) municipalities Action: This Indicator has been Rationale: Revised End target date extended. -5- Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 B. E-governance for Enabling Access to Real Estate Information Integrated REC and Registration System is Prototype developed and Core system under C se v d Implemented in 15 System fully implemented operational in all RGA offices No integrated system tested development ore sysem evelpdLCOs in all LCOs (Text) Action: This Indicator has been Rationale: Revised End target date extended. Central archive operational No No No No No Yes (Yes/No) Action: This Indicator has been Rationale: Revised End target date extended System for electronic Issuing of building permit established. No system System developed System tested System piloted System developed, tested (Text) and piloted Number of Institutions providing data through NSDI. 17.00 45.00 (Number) Rationale: Action: This Indicator Is New An Indicator on NSDI was missing from the original project Results Framework and It Is now Introduced through restructuring. Number of properties with data maintained in gender disaggregated manner as share 58.80 80.00 of total number of properties registered (Percentage) Rationale: Action: This Indicator Is New This Indicator Is being Introduced to monitor the Improvement in codastral data to allow reporting In gender disaggregated manner. C. Institutional Development of the Republic Geodetic Authority Corporate strategy and business plan submitted to No No Yes Yes Yes government (Yes/No) -6- Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 Number of stabilized grid 0.00 858.00 1,716.00 1,716.00 points (Number) Rationale: Action: This Indicator has been The three Indicators reated to the National Reference Inftestructure will be tmplaced with one which measures the progress on establishing the leveling Marked for Deletion network In the territory of the Republic of Serbia. This corresponds better with the change In the manner the measurements were conducted which Is through private sector contracts covering defined geographical area. Number of leveled elevations (Number) 0.00 1,526.00 3,052.00 3,915.00 4,202.00 Rationale: Action: This Indicator has been The three Indicators related to the National Reference Infrastructure will be replaced with one which measures the progress on establishing the leveling Marked for Deletion network In the territory of the Republic of Serbia. This corresponds better with the change In the manner the measurements were conducted which is through private sector contracts covering defined geographical area. Number of measured gravimetry points (Number) 0.00 137.00 274.00 274.00 Rationale: Action: This Indicator has been The three Indicators related to the National Reference Infrastructure will be replaced with one which measures the progress on establishing the leveling Marked for Deletion network In the territory of the Republic of Serbia. This corresponds better with the change in the manner the measurements were conducted which Is through private sector contracts covering defined geographical aea. Clearing backlogs in accordance with defined 0.00 25.00 50.00 65.00 80.00 95.00 service standards. (Percentage) Action: This Indicator has been Rationale: Revised End target date extended. Number of beneficiaries from vulnerable groups assisted no mobile service No target. Just to be through mobile services (Text) established yet monitored Action: This Indicator has been Rationale: Revised End target date extended. Number of beneficiaries from 0.00 No target. Just to be vulnerable groups assisted monitored. -7- Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 through mobile services - female (Text) Action: This Indicator has been Rationale: Revised End target date extended. Target land area with use or ownership rights recorded as a 0.00 0.00 1,500.00 4,500.00 9,500.00 11,500.00 result of project (Hectare(Ha)) Rationale: Action: This Indicator has been This Indicator Is dropped. It relates to the activity under Component C- acquiring codestral data In the Vojvodina region In Serbia - which was dropped. The Marked for Deletion cadostral data In Vo]vodina are being Improved through two other proect activitiest establishment of the building registry (Comp A) and data quality Improvement (Component B). Digital utiity iines compieted 0.00 6,800.00 13,000.00 20,000.00 27,000.00 34,000.00 under the project (Kilometers) Area covered by digital maps under the project. 4,661,004.00 5,300,000.00 5,800,000.00 6,400,000.00 6,700,000.00 6,700,000.00 (Hectare(Ha)) RGA's institutional development roadmap submitted to the government. (Yes/No) Rationale: Action: This Indicator Is New This Indicator Is Introduced to monitor progress on Improving RA's Institutional development and transformation to a self-financed agency (fee-based and operating on a cost-recovery basis). Area covered with leveling network established under the 0.00 0.00100.00 project as a share of total country area. (Percentage) Rationale: Action: This Indicator Is New This Indicator replaces the three Indicators related to the National Reference Infrastructure, namely: number of stabilized grid points, number of leveled elevations and number of measured grovlmetry points. -8- Indicator Name Baseline Intermediate Targets End Target 1 2 3 4 D. Project Management and Supporting Activities Number of persons trained 0.00 1,500.00 2,500.00 4,000.00 5,000.00 7,300.00 (Number) Action: This Indicator has been Rationale: Revised End target date extended. Number of persons trained - female (Number) 0.00 400.00 800.00 1,300.00 1,700.00 2,100.00 Rationale: Action: This Indicator has End target date extended. been Revised Level of satisfaction of trainees wihtriin Pecntg)0.00 70.00 80.00 90.00 90.00 90.00 with training (Percentage) Rationale: Action: This Indicator has been The level of trainees' satisfaction with the training has been constantl) high (over O0). The project will continue tracking It as the substantial training yet Revised needs to be delivered on ISREC system as It progresses. End target date extended. Level of satisfaction of trainees with training - 0.00 70.00 80.00 90.00 90.00 90.00 female (Percentage) Rationale: Action: This Indicator has The level of female trainees' satisfaction with the training has been constantly high (over PON). The project will continue tracking It as the substantial been Revised training yet needs to be delivered on ISREC system as it progresses. Properties registered to women as a share of total properties registered. (Percentage) Rationale: This Indicator alms to capture the increase in number of properties registered to women as a result of two actions taken under the project: (1) reduced Action: This Indicator Is New registration fee for registering ajoint ownership for spousal properties; (2) mandatory registration of co-ownership for all properties being subject to transaction during marriage. -9- Monitoring & Evaluation Plan: PDO Indicators Methodology for Data Responsibility for Data Indicator Name Definition/Description Frequency Datasource Cetion Coleon Collection Collection This indicator measures the Improvements in the timeliness of recordation of property purchases or sales, distinguishing between rural Avg no. of days to complete record of or urban, applicable to the Quarterly Republic RgDment PIU, Real Estate Cadastre purchase/sale of property in land adm project. The baseline value is reports Geodetic M e nt (REC) sector in RGA system the average number of days Authority (RGA) required to complete the recordation of purchase/sale of a property in the land administration system in Serbia. Quarterly Republic RGAs Document Avg no. of days to complete record of rerts Geodetic Management System PIU, REC sector in RGA purchase/sale of property-Urban Authority reports Quarterly RGA's Document Avg no. of days to complete record of Management System PIU, REC sector in RGA purchase/sale of property-Rural Reports This Indicator measures availability of rules, RGA, Ministry procedures, methodologies of Construction, Rules, procedures, methodologies and used by RGA, and the Transport and Analysis of the data from information widely and easily accessible and Ministry of Construction Herly Infrastructure thePIU, EC sector in RGA procedures operate for public to verify their Transport and Infrastructure (MCTI), Information for delivering service to the Municipalities, public; and the availability Business and accessibility of the Registry information related to - 10 - services for the public so that those could be checked for accuracy and verified. This indicator measures availability of RGA data at Half-yearly Analysis of the data from Open (structured) data available to Geoportal that can be PIU, REC sector in RGA municipalities for re-use viewed and downloaded (for re-use) or accessible through Geoportal services. This indicator measures the increase in customer's satisfaction with the quality and efficiency of RGA services and RGA's responsiveness to the feedback collected from Increased customer satisfaction with real customers. RGA's Biennially Surveys and Surveys contract property management system, including as responsiveness to customer Questionnairesthrough PIU to quality and efficiency. feedback refers to customers' satisfaction with their involvement in working groups, experience with the e-front desk or Help Desk. A few additional survey questions will measure this from now on. Increased customer satisfaction with real This indicator measures the and Consultant contract increase in female Biennial Suurveysn property management system, including cse ifaci with Questionnaires Surveys throughPI as to quality and efficiency - female Rseris RGA services. Monitoring & Evaluation Plan: Intermediate Results Indicators Methodology for Data Responsibility for Data Indicator Name Definition/Description Frequency Datasource Cetion Coleon Collection Collection Analysis of the data Half-yearly Statistical collected by the Statistical PIU; Mass Valuation Unit Property price index established Self-explanatory reports Office;Office and Sales Price in RGA Registry This Indicator measures the improvement in property valuation through Valuers Valuers operating in accordance with harmonization of national Annual associations; Plu valuation standards. valuation standards with reports Chamber of International standards Commerce which are then used by valuers nationwide. This Indicator measures the area for which the building Quarterly Analysis of the building P RGA Building register registry is established as a reports RGA register data. percentage of the total country territory. This Indicator measures the Half yearly RGA, Mass appraisal system developed progress on establishment of reports Municipalities a mass appraisal system. This Indicator measures Integrated REC and Registration System Is progress on developing and Quarterly PIU, REC and ICT sectors implementing a software for reports RGA in RGA operational in all RGA offices itgae E n Integrated REC and Registration System in RGA. This indicator measures Half yearly progress on establishment of PIUS, RGA Central archive operational rg's n dtalahe reports RGA RGA's central digital archive and archive building. This indicator measures MCTI, Business System for electronic issuing of building progress on development Quarterly Registry (BA), PIU, MCTI, BA, permit established, and implementation of a reports Municipalities Municipalities software in the Business - 12 - Registry to support the system of unified procedures for issuing building permits electronically. This Indicator measures the Number of institutions providing data number of different Half yearly RGA RGA, PIU Institutions providing data reports through the National Spatial Data Infrastructure. This indicator measures the number of properties registered in cadastre with Number of properties with data maintained g Analysis of data in in gender disaggregated manner as share of data recorded and kept In a Annually RGA cadastral database RGA, PIU total number of properties registered gender disaggregated manner as a share of total properties registered in cadastre. This indicator measures RGA's progress on Corporate strategy and business plan developing its corporate submitted to government strategy and business plan aligned with relevant sector and government strategies. Number of stabilized grid points Self-explanatory RGA PIU, RGA reports Number of leveled elevations Self-explanatory Quarterly RGA PIU, RGA reports Number of measured gravimetry points Self-explanatory Quarterly RGA PIU, RGA reports This Indicator measures progress on reducing the backlog in RGA and MCTI. It Half yearly Clearing backlogs In accordance with measures the cases resolved PIU, RGA defined service standards. In accordance with RGA standards as a percentage of the total backlog cases at any given moment. - 13 - This indicator measures the total number of beneficiaries from vulnerable groups benefiting from RGA mobile Half yearly Number of beneficiaries from vulnerable services. Vulnerable groups RGA, RGA, PIU groups assisted through mobile services include people with Municipalities disabilities, elderly, women, and Roma. Total number of female beneficiaries is a sub- Indicator. This Indicator measures the total number of beneficiaries from vulnerable groups Number of beneficiaries from vulnerable benefiting from RGA mobile Half yearly services. Vulnerable groups RGA RGA, PIUJ groups assisted through mobile services - ice pele ith reports femaleInclude people with female disabilities, elderly, women, and Roma. Total number of female beneficiaries is a sub- Indicator. This Indicator measures the area over which use or Target land area with use or ownership ownership rights have been Half yearly RGA PIU, REC sector in RGA rights recorded as a result of project recorded as a result of the reports project. The baseline value Is expected to be zero. This Indicator measures the Digital utility lines completed under the total length of utility lines (in Half yearly RGA RGA, PIU project kilometers) digitized under reports the project. This indicator measures the totalI territo ry( (in million Area covered by digital maps under the hetarstor wic the Half yearly project.hectares) for which the reot y RGA RGA, PIU cadastre maps have been digitized under the project. This indicator measures RGA- RGA's institutional development roadmap Annually RGA RGA, PIU s progress on developing a submitted to the government. spors ndvlpn plan for transformation into - 14 - a fee-based, service oriented agency. This Indicator measures progress on establishing the leveling network in the Area covered with leveling network Republic of Serbia. It established under the project as a share of measures geographical area total country area. In which the levelling network was established and stabilized as percentage of the total country area. This indicator measures the total number of people Half yearly RGA, MCTI PI, RGA, MCTI, Number of persons trained trained under the project. reports Municipalities Municipalities Total number of female trainees is a sub-indicator. This indicator measures the total number of people Half yearly RGA, MCTI PIU, RGA, MCTI, Number of persons trained - female trained under the project. reports Municipalities Municipalities Total number of female trainees is a sub-indicator. This indicator measures the Ths nictr esue te Half yearly PIU, RGA, MCTI and level of satisfaction of people Hlyery Surveys, Pi G,MT n Level of satisfaction of trainees with training tried undrthe poe reports ques Municipalities trained under the project, questionnaires disaggregated by gender. This Indicator measures the Level of satisfaction of trainees with level of satisfaction of people Herly RGA, MCTI, 'unicipaiti, training - female trained under the project, Municipalities disaggregated by gender. This Indicator measure the Properties registered to women as a share share of properties Half-yearly RGA RGA, PIU of total properties registered. registered to women In the total number of properties. - 15 -