Document of The World Bank FOR OFFICIAL USE ONLY Report No: RES23936 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT RESTRUCTURING PAPER ON A PROPOSED RESTRUCTURING OF THE DOMINICAN REPUBLIC PUBLIC EXPENDITURES MANAGEMENT PROJECT (P129428/TF011524) May 25, 2016 Governance Global Practice Latin America and the Caribbean Region This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. Page 1 of 5 DATA SHEET Dominican Republic Dominican Republic Public Expenditures Management (RE) (P129428) LATIN AMERICA AND CARIBBEAN Governance Report No: RES23936 Basic Information Technical Assistance Project ID: P129428 Lending Instrument: Loan Regional Vice President: Jorge Familiar Calderon Original EA Category: Not Required (C) Country Director: Sophie Sirtaine Current EA Category: Not Required (C) Senior Global Practice Deborah L. Wetzel Original Approval Date: 04-Jan-2012 Director: Practice Arturo Herrera Gutierrez Current Closing Date: 13-Jun-2016 Manager/Manager: Team Leader(s): Onur Erdem Borrower: DIGEPRES, Ministry of Economy, Development and Planning Responsible Agency: Restructuring Type Decision Authority: CD Decision Restructuring Level: Level 2 Financing ( as of 17-May-2016 ) Key Dates Approval Effectiveness Original Revised Project TF Status Signing Date Date Date Closing Date Closing Date P129428 TF-11524 Effective 21-Mar-2012 23-Apr-2012 06-Dec-2012 31-Dec-2014 13-Jun-2016 Disbursements (in Millions) % Cancelle Disburse Undisbur Project TF Status Currency Original Revised Disburse d d sed d P129428 TF-11524 Effective USD 1.05 1.05 0.00 0.77 0.31 73 Policy Waivers Does the project depart from the CPF in content or in other significant respects? Yes [ ] No [ X ] Page 2 of 5 Does the project require any policy waiver(s)? Yes [ ] No [ X ] A. Summary of Proposed Changes This Project Paper seeks the approval of the Country Director to extend the closing date of the Dominican Republic Public Expenditures Management Project (P129428/TF011524) to October 13, 2016. The proposed extension will help support the continuation of the activities included in this Recipient Executed Trust Fund (RETF). These activities include the provision of technical assistance to support the implementation of Public Procurement Civic Oversight Commissions and the e-procurement portal for the Public Procurement Directorate, and the institutionalization of the newly introduced national monitoring and evaluation system for the Ministry of Economy, Planning, and Development. Change in Implementing Agency Yes [ ] No [ X ] Change in Project's Development Objectives Yes [ ] No [ X ] Change in Results Framework Yes [ ] No [ X ] Change in Safeguard Policies Triggered Yes [ ] No [ X ] Change of EA category Yes [ ] No [ X ] Other Changes to Safeguards Yes [ ] No [ X ] Change in Legal Covenants Yes [ ] No [ X ] Change in Loan Closing Date(s) Yes [ X ] No [ ] Cancellations Proposed Yes [ ] No [ X ] Change to Financing Plan Yes [ ] No [ X ] Change in Disbursement Arrangements Yes [ ] No [ X ] Reallocation between Disbursement Categories Yes [ ] No [ X ] Change in Disbursement Estimates Yes [ ] No [ X ] Change to Components and Cost Yes [ ] No [ X ] Change in Institutional Arrangements Yes [ ] No [ X ] Change in Financial Management Yes [ ] No [ X ] Change in Procurement Yes [ ] No [ X ] Change in Implementation Schedule Yes [ X ] No [ ] Other Change(s) Yes [ ] No [ X ] B. Project Status The progress in disbursement and technical progress towards the achievement of the PDO is currently rated moderately satisfactory. The RETF has supported technical assistance initiatives that enabled the Ministry of Economy, Planning and Development to develop the conceptual framework for a new National System for Monitoring and Evaluation; the National Treasury to consolidate the Treasury Single Account (TSA) further by completing an inventory of accounts and developing a strategy to incorporate external resources into the TSA; and the Public Procurement Directorate to enhance the implementation of civic oversight commissions in public procurement through regional events, as well as to support the implementation of the e-procurement portal through the elaboration of the regulatory framework for the portal. The current undisbursed balance in the Grant, in the amount of approximately US$ 300,000, is fully committed to Page 3 of 5 continue financing initiatives associated with the implementation of the National System for Monitoring and Evaluation for the Ministry of Economy, Planning and Development and the civic oversight commissions and the e-procurement portal for the Public Procurement Directorate. There are no proposed changes to the PDO or to the Intermediate Results Indicators, and the PDO remains achievable. The extension of the Grant closing date will help complete the implementation of key elements of the new national monitoring and evaluation system, which are the execution of a medium term evaluation of the National Development Strategy 2030, improvements to the IT platform for the monitoring of the multiannual plan for the public sector, and the IT platform for the management of public funds allocated to the non-profit sector. Meanwhile, the activities in support of the Public Procurement Civic Oversight Commissions will continue to be implemented by the Public Procurement Directorate. There is currently no overdue audit report or an audit report that is not satisfactory to the Bank. The Management Letter associated with the audit report corresponding to the 2014-2015 fiscal year was remitted to the Bank on May 20, 2016. C. Proposed Changes Development Objectives/Results Project Development Objectives Original PDO The development objective of this task is to support the Ministry of Finance and other agencies with the Government of the Dominican Republic in their efforts to improve public expenditure management. Specifically, the objectives to be financed are to: (i) design and implement and integrate multiyear planning and budgeting; (ii) design and implement a Treasury Single Account for the central administration; and (iii) improve public sector procurement policies and practices. Change in Project's Development Objectives Financing Change in Loan Closing Date(s) Explanation: This Project Paper seeks the approval of the Country Director to extend the closing date of the Dominican Republic Public Expenditures Management Project (P129428/TF011524) to October 13, 2016. The proposed extension will help support the continuation of the activities included in this Recipient Executed Trust Fund (RETF). These activities include the provision of technical assistance to support the implementation of Public Procurement Civic Oversight Commissions and the e-procurement portal for the Public Procurement Directorate, and the institutionalization of the newly introduced national monitoring and evaluation system for the Ministry of Economy, Planning, and Development. Proposed Original Current Proposed Previous Closing TF Status Application Closing Date Closing Date Closing Date Date(s) Deadline Date TF-11524 Effective 31-Dec-2014 13-Jun-2016 13-Oct-2016 31-Dec-2014 13-Oct-2016 Other Change(s) Page 4 of 5 Change in Implementation Schedule Explanation: Due to the extension, the implementation schedule will also be adjusted to allow for completion of activities through October 13, 2016. Page 5 of 5