INTEGRATED SAFEGUARDS DATA SHEET CONCEPT STAGE Report No.: ISDSCIO49 Date ISDS Prepared/Updated: 11-Mar-2015 Date ISDS Approved/Disclosed: 18-Mar-2015 I. BASIC INFORMATION A. Basic Project Data Country: Madagascar Project ID: P149323 Project Name: Social Safety Net Project (P149323) Task Team Andrea Vermehren Leader(s): Estimated 11-Mar-2015 Estimated 28-May-2015 Appraisal Date: Board Date: Managing Unit: GSPDR Lending Investment Project Financing Instrument: Sector(s): Primary education (20%), Other non-bank financial intermediaries (10%), Health (10%), Other social services (60%) Theme(s): Natural disaster management (15%), Social Safety Nets/Social Assistance & Social Care Services (50%), Social Inclusion (10%), Education for all (15%), Nutrition and food security (10%) Financing (In USD Million) Total Project Cost: 35.00 Total Bank Financing: 35.00 Financing Gap: 0.00 Financing Source Amount BORROWER/RECIPIENT 0.00 International Development Association (IDA) 35.00 Total 35.00 Environmental B - Partial Assessment Category: Is this a No Repeater project? B. Project Objectives The Development Objective of the proposed Project is to improve access to income support and primary education for selected extreme poor and vulnerable groups, and lay the foundation for a social safety net system. C. Project Description The project would be implemented over a 4.5 year period from August 2015 -February 2020 (to allow for an impact evaluation). A Project Preparation Facility is proposed to ensure that first payments for the expansion of the CCT program can be made in September 2015, just prior to the new school year. Four components are included: Component 1: Building a safety net for extreme poor families in selected rural areas 0 This component would provide Conditional Cash Transfers (CCT) of Ar. 20,000 per month (over a three year period) to selected, extremely poor families with children 0-10 years of age, in poor geographic regions of Madagascar. The geographic areas of intervention would be determined based on their poverty status, on the availability of schools, student retention data and demographic criteria. The cash transfers would consist of two elements: Each selected family would receive a base payment of Ar. 10,000 per month to support the family's income. In addition, families with children of primary school age (6-10 years) would receive for each child enrolled and attending school regularly (80% of school days) Ar. 5,000, for up to two children in primary school. Thus, the highest amount possible for any family to receive is Ar. 20,000 per month. In addition, families with primary school children will receive a one-time payment of Ar. 20.000 in September of the first year they enroll their children in primary schools to ensure that they can enroll their children. Payments would be made bi-monthly through financial institutions where possible, to promote financial inclusion. Families would be encouraged to access other services available in the community, for example the community nutrition program implemented by the ONN. Collaboration between the project's implementing agency FID and the Ministry of Education and ONN have already been defined through a Memorandum of Understanding ("Convention") with each agency. FID is presently in the process of preparing a CCT pilot whose first payment is scheduled for September 2014 (just prior to the start of the new school year). The pilot includes the main elements of a safety net including (i) targeting (in collaboration with INSTAT), (ii) enrolment (for information about co-responsibilities of beneficiaries), (iii) payments (through financial sector), (iv) co- responsibility monitoring (through social organizers and "lead mothers"), and (v) reconciliation (adjustment of payments depending on compliance of beneficiary families with co-responsibilities). The pilot is accompanied by a public information campaign that informs key stakeholders about the program as well as the specific roles and responsibilities. The results from the process evaluation of the CCT pilot will inform the roll-out of the CCT program. Questions arise, for example, (i) whether the targeting process is efficient and cost- effective, (ii) which payment modus (through micro-finance institutions or through mobile banking) is better suited for the target group, (iii) whether it is feasible and necessary to monitor school attendance regularly and for all students (or whether spot checks would be sufficient), and (iv) if social accountability mechanisms are effectively working. Results from the evaluation should be available prior to appraisal so that the project design can benefit from them. Component 2: Strengthening of natural disaster resilience of affected poor communities This component would provide a fast response mechanism for natural disasters based on FID's experience in early recovery. It would provide financing for disaster response through Cash for Work activities and selected rehabilitation of infrastr ucture in affected community. FID has been the main government institution providing fast income and reconstruction support to affected communities. Funding of up to US$6 million would be made available for the rehabilitation of bas ic infrastructure (e.g. schools) that would be rebuilt in a cyclone proof way, with designs developed by FID and the Ministry of Education. In addition, quick income earning opportunities would be offered to the poorest members of the affected communities through Cash for Work activities for clean-up and rehabilitation activities, at a daily rate of Ar. 3,000 up to 45 days of work. 75 percent of the project O U cost would be used for cash transfers, 15 percent for materials, and 10 percent for coordination, and organization of the communities and technical supervision of the public works by NGOs. FID will budget a certain amount for disaster response each year. In case that there are only minor disasters during one year, the remaining funds can be used to rehabilitate the back log of damaged community infrastructure that has been accumulated from past disasters. Component 3: Building the institutional capacity for safety net administration, monitoring and evaluation ( This component would provide the financing for the targeting system, establishing a beneficiary registry, rolling out the electronic payment mechanisms for safety net beneficiaries, the strengthening of FID's management information systems to be able to process the program, as well as the general program administration including audits and social accountability mechanisms. It would also include an impact evaluation of the CCT program (component 1), and provide technical assistance to the larger social protection policy development agenda (e.g. development of a common targeting system, promotion of coordination and policy dialogue). Component 4: Building the institutional capacity of the Ministry of Population, Social Protection and Gender for oversight, supervision and evaluation This component would strengthen the capacity of the Ministry of Population and Social Protection to provide oversight and guidance to the CCT program. To this end, the Ministry's capacity to supervise and evaluate the program would be enhanced including through the establishment of a basic Management Information System connected to the FID's CCT system, the contracting of spot checks/operational audits of the CCT program and the design and contracting of the CCT impact evaluation. D. Project location and salient physical characteristics relevant to the safeguard analysis (if known) The project will be implemented nation-wide precisely in selected poor geographic regions of Madagascar. The geographic areas of intervention would be determined based on their poverty status, on the availability of schools, student retention data and demographic criteria. E. Borrowers Institutional Capacity for Safeguard Policies FID has a good track record of complying with social and environmental safeguards. Support for safeguards is provided effectively through the Bank's CO. The entire project has a particular focus on women and youth as they are the direct beneficiaries of the CCT program, and also equally benefit from the CfW modalities. CfW activities will focus on socioeconomic, environmental, climate change related and disaster prevention activities. F. Environmental and Social Safeguards Specialists on the Team Cheikh A. T. Sagna (GSURR) Marie Diop (GSURR) Paul-Jean Feno (GENDR) II. SAFEGUARD POLICIES THAT MIGHT APPLY Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment Yes The policy is triggered because of the project OP/BP 4.01 intended activities foreseen in component 2, which will rehabilitate or rebuilt school infrastructure in a cyclone proof way, with designs developed by FID and the Ministry of Education, as well as rehabilitate the back log of damaged community infrastructure that has been accumulated from past disasters. Because of the site specific nature of the project, and its intended localized impacts, the Borrower will prepare an ESMF, built from similar active projects in Madagascar. Once ready, the ESMF will be consulted upon and cleared by the Bank prior to its public disclosure both in country and at the InfoShop before appraisal. Natural Habitats OP/BP 4.04 No The project is not being implemented in natural habitats and does not affect them. Forests OP/BP 4.36 No The project does not involve forests or forestry and does not affect them. Pest Management OP 4.09 No The project does not involve pest management. Physical Cultural Resources Yes It is unlikely that there are physical cultural resources OP/BP 4.11 in the project area, nevertheless, in the likelihood that such an encounter occurs during project implementation, provision of chance finds approach is been embedded in the ESMF that borrower will apply to adequately mitigate any potential adverse impacts on these physical cultural resources. Indigenous Peoples OP/BP No There are no Indigenous Peoples in the project area. 4.10 Involuntary Resettlement OP/ Yes TThe Policy is triggered due to the foreseen activities BP 4.12 in component 2 (rehabilitation and/or rebuilding of school and other local infrastructures affected by the cyclones), which may result in lanf acquisition leading to involuntary resettlement and/or restrictions of access to resources and livelihoods. Given the unknown footprint of the project, the Borrower will prepare an RPF to set forth the basic principles and prerogatives to be followed once details characteristics of the project sites are known. Like the ESMF, the RPF will be consulted upon and cleared by the Bank prior to its public disclosure both in country and at the InfoShop before appraisal. Safety of Dams OP/BP 4.37 No N/A Projects on International No N/A Waterways OP/BP 7.50 Projects in Disputed Areas OP/ No N/A BP 7.60 III. SAFEGUARD PREPARATION PLAN A. Tentative target date for preparing the PAD Stage ISDS: 05-Jan-2015 B. Time frame for launching and completing the safeguard-related studies that may be needed. The specific studies and their timingi should be specified in the PAD-stage ISDS: To be determined in consultation with the project Social and Environment Specialists, probably in early to mid- December 2014. IV. APPROVALS Task Team Leader(s): Name: Andrea Vermehren Approved By: Safeguards Advisor: Name: Date: Practice Manager/ Name: Date: Manager: 1 Reminder: The Bank's Disclosure Policy requires that safeguard-related documents be disclosed before appraisal (i) at the InfoShop and (ii) in country, at publicly accessible locations and in a form and language that are accessible to potentially affected persons.