INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE Report No.: ISDSA7382 Public Disclosure Copy Date ISDS Prepared/Updated: 15-Jan-2014 Date ISDS Approved/Disclosed: 19-Feb-2014 I. BASIC INFORMATION 1. Basic Project Data Country: Senegal Project ID: P133597 Project Name: Senegal Safety Net operation (P133597) Task Team Aline Coudouel Leader: Estimated 16-Dec-2013 Estimated 29-Apr-2014 Appraisal Date: Board Date: Managing Unit: AFTSW Lending Investment Project Financing Instrument: Sector(s): Other social services (100%) Theme(s): Social safety nets (80%), Nutrition and food security (20%) Is this project processed under OP 8.50 (Emergency Recovery) or OP No 8.00 (Rapid Response to Crises and Emergencies)? Financing (In USD Million) Total Project Cost: 30.30 Total Bank Financing: 30.00 Public Disclosure Copy Financing Gap: 0.00 Financing Source Amount BORROWER/RECIPIENT 0.00 International Development Association (IDA) 30.00 Rapid Social Response Program 0.30 Total 30.30 Environmental C - Not Required Category: Is this a No Repeater project? 2. Project Development Objective(s) The development objectives of the proposed Project are to support the establishment of building blocks for the social safety net system and to provide targeted cash transfers to poor and vulnerable households. 3. Project Description Page 1 of 8 To meet the development objectives, the proposed Project has two components: (1) Support the establishment of building blocks for the social safety net system and (2) Provision of targeted cash transfers to poor and vulnerable households. Public Disclosure Copy Component 1: Support to the establishment of building blocks for the Social Safety Net System [US $7.1million] The objective of this component is to support the Government in the institutionalization of the social safety net system (SSNS), as part of a national social protection framework. This component will support the development of basic operational tools and administrative systems that form the backbone of a social safety net system, and the strengthening of the institutional capacity of the Délégation Générale à la Protection Sociale et la Solidarité Nationale (DGPSN) and sectoral actors of the social safety net system. Sub-component 1.1: Basic Operational Tools and Systems [US$3.7million] This sub-component will support the design of core tools and administrative systems that form the backbone of an efficient social safety net system. Such tools would be used by multiple programs and provide the basis for greater coordination and reduced overlap or duplication. In particular, the component will finance activities for the development and implementation of: (a) The development and implementation of a unique registry of vulnerable households, building on processes and tools put in place in 2013 for the selection of beneficiaries of the Programme National de Bourses de Sécurité Familiale (PNBSF). The registry is expected to progressively include all poor households in Senegal (beyond the initial effort to identify beneficiaries for the PNBSF) and be used by multiple programs (including programs that focus on the disabled, the elderly poor, or vulnerable children, and programs that provide free pregnancy-related health care, subsidies for health insurance, food vouchers, or scholarship for vulnerable households). The Public Disclosure Copy methodology adopted combines geographic targeting, community targeting, and the verification of households’ vulnerability with a proxy-means test. This Project will finance the definition and operationalization of the instruments required for the implementation of the unique registry and targeting methodology (questionnaires, computer platform, control mechanisms, routines for the automatic calculation of the proxy-means test, etc.). The questionnaire used to collect information on potentially eligible households has been elaborated with all potential sectoral users, to ensure its relevance for the targeting of their programs. Furthermore, this sub-component will finance the expansion of the unique registry coverage. (b) The development of the Management Information System (MIS) for the social safety net system. The objective is not to build a unique central MIS that would cover all the programs; rather, the purpose is to develop a series of modules that all social safety net programs can adapt and use autonomously. This will result in significant savings for the programs, and, more importantly, the inter-operability of the different programs’ modules will foster greater coordination of activities, improved program planning, and better use of synergies between interventions. The modules will include, among others: registry, program registration, payment, monitoring of compliance with conditionalities, grievances, and the preparation of monitoring reports. (c) The development and management of a grievance system to respond to complaints and ensure a high level of social accountability. As grievances can include a broad range of items, different mechanisms will be put in place for individuals to file their grievances (forms to complain at local level, email address, national hotline for telephone or text messages, postal address), and Page 2 of 8 protocols will be put in place to address them. (d) The development of procedures that social safety net programs can use for regular monitoring and evaluation. As a result, the programs would benefit from an established generic Public Disclosure Copy methodology, which they would adapt for regular monitoring of their activities. Adopting standard procedures will also allow the DGPSN and Steering Committee to monitor and evaluate the overall system and its programs, by using reporting tools, indicators, frequency and formats that are consistent and comparable. (e) The development of a model of intervention for broad information and education campaigns (IEC) around social safety net programs. This model would provide a common platform for interaction with communities and households at the local level, which would promote greater synergies between different programs, limit duplication at the local level, and avoid the creation of parallel structures at the local level. (f) The elaboration of operational manuals for the different tools of the Social Safety Net System, to ensure the institutionalization of capacity, the sustainability of procedures, operational transparency, and a continuous learning. Sub-component 1.2: Developing institutional capacity [US$3.4million] This component will focus on the institutional strengthening of the DGPSN, in order to ensure it can play its role in defining the strategy, planning interventions, coordinating activities, and ensuring results are monitored and lessons learned on what interventions are most effective. It also focuses on building the capacity of the various institutions from the different sectors who contribute to the objectives of the social safety net system. Finally, it will also support Project management. More specifically, the Project will focus on: (a) Strengthening the capacity of the DGPSN, responsible for the strategy, planning, and coordination of interventions under the social safety net system. This sub-component will fund, among others, experts to strengthen the DGPSN’s capacity in areas, such as monitoring and evaluation, information systems, targeting, program design, or family accompaniment. The sub- Public Disclosure Copy component will also finance regional coordinators responsible for the coordination of social protection interventions at the local level. It will support the financing of experts on a decreasing basis, in order to ensure that experts put in place systems and procedures, train DGPSN staff in the use of these, and leave the DGPSN staff to implement the activities on a regular and sustainable basis. (b) Strengthening the capacity of the Social Safety Net System’s sectoral actors, so they can play their role in the system’s implementation. These activities will be organized under the leadership of the Comité de Pilotage des Filets Sociaux (Social Safety Net Steering Committee), in coordination with the capacity building plans of each sectoral actor, in order to take advantage of potential synergies and ensure greater efficiency. In particular, activities will include training activities for the different sectoral actors (health, education, nutrition, civil registration, employment, agriculture, justice, environment, etc.), Non-Governmental Organizations (NGOs), civil society, and local communities. The sub-component will also support analysis that sectoral actors would need design or redesign their interventions and set up mechanisms for regular M&E. (c) Supporting a series of analytical activities led by the DGPSN to analyze existing programs, monitor ongoing interventions, evaluate targeting mechanisms, assess alternative payment systems, design new interventions, etc. This component could also support the assessment of the capacity of the institutions and programs involved in the overall social safety net strategy, including specific recommendations for improvement and the design and implementation of institutional strengthening plans. Page 3 of 8 (d) Strengthening the DGPSN capacity to implement the Project. The DGPSN is responsible for Project implementation, which includes activities implemented by both the DGPSN itself and sectoral and local actors. This sub-component will finance the experts required to strengthen the Public Disclosure Copy DGPSN’s capacity to implement the Project, with a view to fill existing gaps. Experts could include, among others, a Project coordinator and his/her technical team, as well as a team in charge of procurement, financial management and administration, and support to the Direction de l’Investissement in the Ministry of Finance. As was the case for the strengthening of the DGPSN’s capacity to play its role of coordination of the Social Safety Net System, experts will be financed on a decreasing basis, to promote sustainability. Component 2 – Provision of targeted cash transfers to poor and vulnerable households [US $22.9million] The second component will support the expansion and strengthening of the Programme National de Bourses de Securité Familiale (PNBSF), the conditional cash transfer program officially launched in October 2013 targeting the most vulnerable households. The PNBSF’s objectives are to reduce extreme poverty and to promote the development of the human capital of poor and vulnerable households, by providing them with regular cash transfers, conditional on investments in the human capital of its members (education, health and nutrition) and by providing measures of accompaniment to these families to promote behavioral changes. The program is national, and aims at reaching the poorest households nationally, irrespective of their place of residence, on the basis of the unique registry. Component 2 will finance monetary transfers to PNBSF beneficiary households; accompaniment measures put in place by the DGPSN, sectoral actors and local institutions; and selected program management costs. Sub-Component 2.1: Monetary transfers to beneficiary households [US$15.1million] This sub-component will support the expansion of the PNBSF in terms of the number of its beneficiaries, and in terms of its objectives. In terms of the number of beneficiary households, the Public Disclosure Copy program has paid transfers to about 50,000 beneficiary households selected according to the national targeting methodology in 2013. An additional 50,000 households will be added every year, to reach a total of 250,000 beneficiary households by 2017 (this corresponds to the bottom half of the estimated 534,000 poor households in Senegal, including the 162,000 households estimated to live in extreme poverty in 2011). The program started in all regions of the country simultaneously, and roll-out will progressively include households in each locality starting from the poorest households (as identified by communities). The sub-component will finance 10 percent of these households starting in 2014 (10,000 households in 2014, 15,000 in 2015, 20,000 in 2016, and 25,000 in 2017 and 2018). PNBSF beneficiaries are poor and vulnerable households identified by the national targeting process (combining geographic targeting, community targeting and the application of a proxy-means test). In terms of objectives, the PNBSF has focused in 2013 on poor and vulnerable households with children aged 6-12, with the payment of an education transfer, conditional upon children’s attendance in primary school. This sub-component will support the broadening of the PNBSF by financing three types of transfers: (a) Direct cash transfer to poor households with children aged 0-5 years. The transfers would aim at promoting the welfare of poor households and their investments in the health of their children through the use of preventive health services (immunization, growth monitoring, nutrition, etc.). The conditionality will reflect these preventive services, and will be defined in 2014, together with the Page 4 of 8 mechanisms that will be put in place by sectoral institutions to verify compliance. (b) Direct cash transfer to poor households with children aged 6-12 years. These transfers would aim at promoting the welfare of poor households and their investments in the human capital of their Public Disclosure Copy school-age children. In this program, transfers are conditional on regular primary school attendance (this includes both formal schools as well as informal schools that have been certified by the Ministry of Education), with a view to promote primary school completion. Initially, this transfer will use the parameters of the PNBSF as it was implemented in 2013. However, the age group might be revised to include children aged 6 to 16, as Senegal recently defined elementary education as including both primary and lower secondary education over a period of 10 years. (c) Cash transfer to poor households with members aged 60 or more. These transfers would aim at promoting the welfare of poor households, in order to support their elderly members, without conditionality. The most recent household survey suggests that many households among the poorest and most vulnerable in Senegal have a combination of children under the age of 5, children aged 6 to 12 or elderly over the age of 60 (43 percent of households have members in two categories, 42 percent in all three catego ries). Therefore, the implementation of the three types of transfers would result in overlap in beneficiary households. In 2014, the PNBSF will define the value of each type of transfer, establishing both a minimum and a maximum ceiling to avoid negative incentives, and defining the rules for combining different transfers. In 2013, the education transfer amounted to FCFA25,000 each quarter (about US$50). Overall, depending on the formula retained, the PNBSF is estimated to cost between 0.4 and 0.8 percent of GDP once it is paying transfers to its full target of 250,000 households. Once registered in the PNBSF, beneficiary households will receive transfers for a period of three years. After this, their eligibility will be reevaluated using the targeting mechanisms of the unique registry. Furthermore, the accompaniment measures financed by sub-component 2.2 will be used to ensure suspension of payment of transfers in case of death of the elderly member. Public Disclosure Copy In 2013, the Post office was selected to put in place the payment of the transfers for the first year of implementation of the PNBSF. During the implementation of the Project, other options will be reviewed (through analysis financed under sub-component 1.2.) with a view to identify the mechanisms that are most effective and least costly. The Project plans to finance the transaction fees associated with the transfers it will finance, within the context of a contract that satisfies the procurement norms of the World Bank. Sub-component 2.2: Accompanying measures implemented by the DGPSN, sectoral actors, and local institutions [US$4.8million] International experience suggests that family accompaniment is a key element to promote household behavioral changes, the key objective of the PNBSF. Therefore, in addition to general information campaigns organized by the DGPSN, the relevant sectoral actors will be responsible for the implementation of counseling and additional support measures to help households meet program conditionalities and invest in their human capital by promoting behavioral changes. The unique registry can also provide sectoral institutions with a diagnostic of supply constraints, and help them better design their investment plans; and the PNBSF can provide them with an entry point to reach a population that is often hard to reach. The sub-component will finance information, education and communication (IEC) campaigns, and Page 5 of 8 additional measures to promote the use of preventive health care, good practice in terms of hygiene and nutrition, investments in early childhood and education, registration in the civil registry, and participation in subsidized health insurance mechanisms, among others. Furthermore, this sub- Public Disclosure Copy component will finance activities to strengthen the capacity of sectoral institutions to use their management information systems to verify compliance with the PNBSF conditionalities. These activities will be closely coordinated with the ongoing investments of the World Bank in the sectors of health and nutrition (P129472) and education (P133333). Sub-component 2.3: PNBSF management [US$3.0million] This sub-component will provide support to the DGPSN for the implementation of the PNBSF. In particular, this sub-component will finance : (i) management costs at local and central levels; (ii) equipment and expenditures directly linked to the daily management of the PNBSF (office supplies, material, communications, transportation, maintenance and insurance costs, refurbishing and maintenance costs for equipment, supervision costs, etc. at central and local levels); (iii) the training of PNBSF personnel on different aspects of social safety nets; and (iv) participation in learning events where the team can share experiences with other countries (south-south forum, study tours, meetings of the regional Community of Practice, etc.). Furthermore, this sub-component will support the systematic monitoring and evaluation of the PNBSF. Monitoring and evaluation are critical to the success of the program, as they allow learning from experience and continuously improving program design and implementation. The monitoring and evaluation activities financed by this sub-component will be closely coordinated with the broader monitoring and evaluation activities led by the Social Safety Net System Coordination Unit as part of its role of coordinator of the social safety net system. Among essential monitoring and evaluation activities, this sub-component will finance: the implementation of the PNBSF Management Information System, the regular monitoring of its indicators, a process evaluation in 2014 (a first process evaluation is planned for the first quarter of Public Disclosure Copy 2014), spot checks (beneficiary surveys and qualitative evaluations), and an evaluation of the impacts of the PNBSF on households and local economies. 4. Project location and salient physical characteristics relevant to the safeguard analysis (if known) The Project will support a program with national coverage. There are not characteristics particularly relevant to safeguard analysis. 5. Environmental and Social Safeguards Specialists Paivi Koskinen-Lewis (AFTCS) 6. Safeguard Policies Triggered? Explanation (Optional) Environmental Assessment OP/ No BP 4.01 Natural Habitats OP/BP 4.04 No Forests OP/BP 4.36 No Page 6 of 8 Pest Management OP 4.09 No Public Disclosure Copy Physical Cultural Resources OP/ No BP 4.11 Indigenous Peoples OP/BP 4.10 No Involuntary Resettlement OP/BP No 4.12 Safety of Dams OP/BP 4.37 No Projects on International No Waterways OP/BP 7.50 Projects in Disputed Areas OP/BP No 7.60 II. Key Safeguard Policy Issues and Their Management A. Summary of Key Safeguard Issues 1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts: The project does not trigger any safeguard policies since the activities do not cause any adverse environmental or social impacts. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: -- 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse Public Disclosure Copy impacts. -- 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described. -- 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. -- B. Disclosure Requirements If the project triggers the Pest Management and/or Physical Cultural Resources policies, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/ Audit/or EMP. If in-country disclosure of any of the above documents is not expected, please explain why: -- C. Compliance Monitoring Indicators at the Corporate Level OP 7.60 - Projects in Disputed Areas Page 7 of 8 Has the memo conveying all pertinent information on the Yes [ ] No [ ] NA [ ] international aspects of the project, including the procedures to Public Disclosure Copy be followed, and the recommendations for dealing with the issue, been prepared Does the PAD/MOP include the standard disclaimer referred to Yes [ ] No [ ] NA [ ] in the OP? The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the Yes [ ] No [ ] NA [ ] World Bank's Infoshop? Have relevant documents been disclosed in-country in a public Yes [ ] No [ ] NA [ ] place in a form and language that are understandable and accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional Yes [ ] No [ ] NA [ ] responsibilities been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included Yes [ ] No [ ] NA [ ] in the project cost? Does the Monitoring and Evaluation system of the project Yes [ ] No [ ] NA [ ] include the monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed Yes [ ] No [ ] NA [ ] with the borrower and the same been adequately reflected in the project legal documents? Public Disclosure Copy III. APPROVALS Task Team Leader: Name: Aline Coudouel Approved By Regional Safeguards Name: Johanna van Tilburg (RSA) Date: 19-Feb-2014 Advisor: Sector Manager: Name: Stefano Paternostro (SM) Date: 19-Feb-2014 Page 8 of 8