OFFICIAL DOCUMENTS THE WORLD BANK IBRD * IDA I WORLDBANKGROUP 12/12/2019 Alper KOCK Deputy Director-General Turkish Red Crescent Society (Tirk Kizilay) Dr. Aziz Bey Ek Hizmet Binasi, Mustafa Kemal Mah. 2143. Sokak. No: 16 §ankaya, Ankara, 06530 Re: SPF Grant No.TFOB0894 Support to Refugees Transitioning to Communities Project Letter Areement Dear Deputy Director-General KOUCK: This letter responds to a request for financial assistance made to the International Bank for Reconstruction and Development ("Bank") by the Turkish Red Crescent Society ("Recipient") to assist the Republic of Turkey ("Member Country") in supporting refugees transition from temporary accommodation centers to communities, as confirmed by a letter dated October 16, 2019, to the Bank from Mr. Abdullah Ayaz, Director General of the Republic of Turkey's Ministry of Interior, Directorate General of Migration Management. In response that request, I am pleased to inform you that the Bank, acting as administrator of grant funds provided by various donors ("Donors") under the State and Peace Building Multi-donor Trust Fund, proposes to extend to the Recipient for the benefit of the Member Country, a grant in an amount not to exceed six hundred fifty thousand United States Dollars (US$ 650,000) ("Grant") on the terms and conditions set forth or referred to in this letter agreement ("Agreement"), which includes the attached Annex, to assist in the financing of the project described in the Annex ("Project"). This Grant is funded out of the abovementioned trust fund for which the Bank receives periodic contributions from the Donors. In accordance with Section 3.02 of the Standard Conditions (as defined in the Annex to this Agreement), the Bank's payment obligations in connection with this Agreement are limited to the amount of funds made available to it by the Donors under the abovementioned trust fund, and the Recipient's right to withdraw the Grant proceeds is subject to the availability of such funds. The Recipient represents, by confirming its agreement below, that it is authorized to enter into this Agreement and to carry out the Project in accordance with the terms and conditions set forth or referred to in this Agreement. 1818 H Street NW * Washington, DC 20433 USA -2- Please confirm the Recipient's agreement to the foregoing by having an authorized official of the Recipient sign and date this Agreement, and returning one duly executed copy to the Bank. Upon receipt by the Bank of this countersigned copy, this Agreement shall become effective as of the date of the countersignature ("Effective Date"). Very truly yours, INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By Auguste Kouame Director Turkey Country Unit Europe and Central Asia Region AGREED: TURKISH RED CRESCENT SOCIETY By Authorized Representative Name -ALPL&. goc..L Title LC Date 1 her Enclosures: (1) "International Bank for Reconstruction and Development and International Development Association Standard Conditions for Grant Financing Made by the Bank out of Trust Funds" dated February 25, 2019 (2) Disbursement and Financial Information Letter of the same date as this Agreement, together with the "Disbursement Guidelines for Investment Project Financing", dated February 2017 -3- SPF Grant No.TF0B0894 ANNEX Article I Standard Conditions; Definitions 1.01. Standard Conditions. The Standard Conditions (as defined in Section 1.02 below) constitute an integral part of this Agreement. 1.02. Definitions. Unless the context requires otherwise, the capitalized terms used in this Agreement have the meanings ascribed to them in the Standard Conditions or in this Section: (i) "Anti-Corruption Guidelines" means, for purposes of paragraph 2 of the Appendix to the Standard Conditions, the "Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants", dated October 15, 2006, and revised in January 2011, and as of July 1, 2016. (ii) "Category" means a category set forth in the table in Section 3.01 of this Agreement. (iii) "Directorate General of Migration Management" means the designated Directorate General of the Ministry of Interior in charge of migration management. (iv) "Environmental and Social Commitment Plan" or the acronym "ESCP" means the Recipient's environmental and social commitment plan, acceptable to the Bank, dated December 02, 2019, which sets out a summary of the material measures and actions to address the potential environmental and social risks and impacts of the Project, including the timing of the actions and measures, institutional, staffing, training, monitoring and reporting arrangements, and any instruments to be prepared thereunder; as the ESCP may be revised from time to time, with prior written agreement of the Bank [, and such term includes any annexes or schedules to such plan]. (v) "Environmental and Social Standards" means, collectively: (i) "Environmental and Social Standard 1: Assessment and Management of Environmental and Social Risks and Impacts"; (ii) "Environmental and Social Standard 2: Labor and Working Conditions"; (iii) "Environmental and Social Standard 3: Resource Efficiency and Pollution Prevention and Management"; (iv) "Environmental and Social Standard 4: Community Health and Safety"; (v) "Environmental and Social Standard 5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement"; (vi) "Environmental and Social Standard 6: Biodiversity Conservation and Sustainable Management of Living Natural Resources"; (vii) "Environmental and Social Standard 7: Indigenous Peoples/Sub-Saharan Historically Underserved Traditional Local Communities"; (viii) "Environmental and Social Standard 8: Cultural Heritage"; (ix) "Environmental and Social Standard 9: Financial Intermediaries"; (x) "Environmental and Social Standard 10: Stakeholder Engagement and Information Disclosure"; effective on October 1, 2018, as published by the Bank at https://www.worldbank.org/en/projects-operations/environmental-and-social- framework. (vi) "Operating Costs" means the incremental operating expenses directly incurred on account of the coordination, implementation, and monitoring and evaluation of the -4- Project, including: office equipment; office rental charges; local travel cost; fuel and vehicle maintenance costs; meeting expenses; and communication costs, but excluding salaries of Member Country's civil servants. (vii) "Project Implementing Unit" or "PIU" means the project implementation unit referred to in Section 2.03 (a) of the Annex to this Agreement, or any legal successor thereto acceptable to the Bank. (viii) "Project Implementation Manual" or "PIM" means the manual referred to in Section 2.03 (b) of this Annex to this Agreement, as the same may be amended from time to time with the agreement of the Bank, setting out inter alia: (a) the institutional, operational, and administrative Project responsibilities; (b) disbursement, procurement, and financial management requirements; and (c) the rules and procedures for selection of the refugees and host communities to participate in the Project. (ix) "Procurement Regulations" means, for purposes of paragraph 20 of the Appendix to the Standard Conditions, the "World Bank Procurement Regulations for IPF Borrowers", dated July 2016, revised November 2017 and August 2018.(k) "Standard Conditions" means the "International Bank for Reconstruction and Development and International Development Association Standard Conditions for Grant Financing Made by the Bank out of Trust Funds", dated February 25, 2019, with the modifications set forth in the Appendix. (x) "TACs" means temporary accommodation centers to host refugees in Turkey. (xi) "Standard Conditions" means the "International Bank for Reconstruction and Development and International Development Association Standard Conditions for Grant Financing Made by the Bank out of Trust Funds", dated February 25, 2019. (xii) "Training and Workshops" means reasonable expenditures (excluding costs of consultants' services) incurred for Project-related training and capacity building activities, including: services for the organization of the workshops; training materials and rental of training facilities and equipment; local travel and per diem for participants; tuition fees; directly related travel, accommodation and per diem for trainers; and other training related miscellaneous costs that may include costs for printing of documents, communications, and various supplies needed for the workshops. Article II Project Execution 2.01. Project Objectives andDescription. The objective of the Project is to support the transition of refugees to community living in target provinces in Turkey. The Project consists of the following parts: Component 1: Support to Harmonization of Refugees and Host Communities (a) Information, Counseling, and Referral Services for Harmonization -5- (i) Provision of support for information gathering, screening, and case management of selected refugees for their relocation from TACs to local host communities. (ii) Provision of counseling and information services through the development of a comprehensive harmonization program for the selected refugees for their inclusion in social, cultural, and economic life in Turkey. (iii) Referrals to socio-economic empowerment support service activities for selected refugees. (b) Supporting Social Cohesion Facilitation of peer learning visits, social and cultural events, and sports and recreational activities to promote social cohesion between refugees and host community members. Component 2: Project Management, Monitoring and Evaluation, and Communication Provision of support for: (a) Project management, including overall coordination and supervision of Project implementation, communications, procurement, safeguards, Project audits, and financing of Operating Costs; and (b) Project monitoring, evaluation and reporting. 2.02. Project Execution Generally. The Recipient declares its commitment to the objective of the Project. To this end, the Recipient shall carry out the Project through the Project Implementation Unit in accordance with the provisions of: (a) Article II of the Standard Conditions; (b) the Anti-Corruption Guidelines; and (c) this Article II. 2.03. Institutional and Other Arrangements. (a) Project Implementation Unit (PIU) (i) The Recipient shall, within 30 days of Effective Date of this Agreement, establish and thereafter maintain throughout the Project implementation, a PIU for the purposes of day-to-day Project management, monitoring and supervision with a composition, staff, resources and terms of reference described in the PIM and satisfactory to the Bank. (ii) The Recipient, through the PIU, shall coordinate, as necessary, with the Directorate General of Migration Management, on the implementation of the Project activities. (b) Project Implementation Manual (PIM) (i) The Recipient shall: (a) within 30 days of Effective Date of this Agreement, prepare and adopt the PIM, in form and substance satisfactory the Bank; and (b) implement the Project activities in accordance with the provisions set-forth in the PIM. (ii) not amend, suspend, abrogate, repeal or waive any provision of said PIM without the prior written approval of the Bank, provided, however, that in case of any conflict between the provisions set out in the PIM and the provisions of this Agreement, the provisions of this Agreement shall prevail. 2.04. Environmental and Social Standards. -6- (a) The Recipient shall ensure that the Project is carried out in accordance with the Environmental and Social Standards, in a manner acceptable to the Bank. (b) Without limitation upon paragraph (a) above, the Recipient shall ensure that the Project is implemented in accordance with the Environmental and Social Commitment Plan ("ESCP"), in a manner acceptable to the Bank. To this end, the Recipient shall ensure that: (i) the measures and actions specified in the ESCP are implemented with due diligence and efficiency, and as further specified in the ESCP; (ii) sufficient funds are available to cover the costs of implementing the ESCP; (iii) policies, procedures and qualified staff are maintained to enable it to implement the ESCP, as further specified in the ESCP; and (iv) the ESCP or any provision thereof, is not amended, revised or waived, except as the Bank shall otherwise agree in writing and the Recipient has, thereafter, disclosed the revised ESCP. In case of any inconsistencies between the ESCP and the provisions of this Agreement, the provisions of this Agreement shall prevail. (c) The Recipient shall: (i) take all measures necessary on its part to collect, compile, and furnish to the Bank through regular reports, with the frequency specified in the ESCP, and promptly in a separate report or reports, if so requested by the Bank, information on the status of compliance with the ESCP, all such reports in form and substance acceptable to the Bank, setting out, inter alia: (A) the status of implementation of the ESCP; (B) conditions, if any, which interfere or threaten to interfere with the implementation of the ESCP; and (C) corrective and preventive measures taken or required to be taken to address such conditions; and (ii) promptly notify the Bank of any incident or accident related to or having an impact on the Project which has, or is likely to have, a significant adverse effect on the environment, the affected communities, the public or workers in accordance with the ESCP, the instruments referenced therein and the Environmental and Social Standards. (d) The Recipient shall maintain and publicize the availability of a grievance mechanism, in form and substance satisfactory to the Bank, to hear and determine fairly and in good faith all complaints raised in relation to the Project and take all measures necessary to implement the determinations made by such mechanism in a manner satisfactory to the Bank. 2.05. Project Monitoring, Reporting and Evaluation. The Recipient shall ensure that each Project Report is furnished to the Bank not later than one (1) month after each calendar semester, covering the calendar semester. Article III Withdrawal of Grant Proceeds -7- 3.01. Eligible Expenditures. The Recipient may withdraw the proceeds of the Grant in accordance with the provisions of: (a) Article III of the Standard Conditions; and (b) this Section to finance Eligible Expenditures in the amount allocated and, if applicable, up to the percentage set forth against each Category of the following table: Category Amount of the Grant Percentage of Allocated Expenditures to be (expressed in USD) Financed (inclusive of Taxes) (1) Goods, non-consulting 650,000 100% services, consulting services (including audits), Training and Workshops, and Operating Costs under the Project TOTAL AMOUNT 650,000 3.02. Withdrawal Conditions. Notwithstanding the provisions of Section 3.01 of this Agreement, no withdrawal shall be made for payments made prior to the date of this Agreement 3.03. Withdrawal Period The Closing Date is March 31, 2021. Article IV Additional Remedies 4.01. Additional Events of Suspension. The Additional Events of Suspension referred to in Section 4.02 (k) of the Standard Conditions consists of the following, namely that the legislation and regulations establishing and governing the operations of the Turkish Red Crescent Society have been amended, suspended, abrogated, repealed or waived so as to affect materially and adversely the ability of the Turkish Red Crescent Society to perform any of its obligations under this Agreement. Article V Recipient's Representative; Addresses 5.01. Recipient's Representative. The Recipient's Representative referred to in Section 7.02 of the Standard Conditions is the President. 5.02. Recipient's Address. For purposes of Section 7.01 of the Standard Conditions: (a) the Recipient's Address is: Deputy Director-General Turkish Red Crescent Society (Tilrk Kizilay) Dr. Aziz Bey Ek Hizmet Binasi, Mustafa Kemal Mah. 2143. Sokak. No:16 Qankaya, Ankara, 06530 (b) the Recipient's Electronic Address is: -8- Phone: +90 312 2034700 Fax: +90 312-2034840 5.03. Bank's Address. For purposes of Section 7.01 of the Standard Conditions: (a) the Bank's address is: International Bank for Reconstruction and Development/International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America; and (b) the Bank's Electronic Address is: Telex: Facsimile: 248423 (MCI) or 1-202-477-6391 64145 (MCI)