OFFICIAL CA., 5601-l DOCUMENTS600t- Ir Supplemental Letter COMMUNITY DEVELOPMENT AND INVESTMENT AGENCY June 12, 2015 International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Re: Credit No. 5601-KG Grant No. D041-KG (Third Village Investment Project) Performance Monitoring Indicators Dear Sirs and Mesdames: This refers to paragraph A. I of Section II to the Schedule to the Project Agreement between the Community Development and Investment Agency (Project Implementing Entity) and the International Development Association (the Association) for the above-mentioned Project. The Project Implementing Entity hereby confirms to the Association that the indicators set out in the attachment to this letter shall serve as a basis for the Project Implementing Entity to monitor and evaluate the progress of the Project and the achievement of the objectives thereof. Very truly yours, COMMUNITY DEVELOPMENT INVESTMENT AGENCY By ,-i Authorized eprese ive Attachment to Supplemental Letter Performance Monitoring Indicators Project Development Objectives (a) Building local capacity for participatory development and (b) improving access to quality community infrastructure services in targeted project areas These results Project Level are at Project Development Objective Indicators Responsibility Cumulative Target Values for Data Data Source/ Collection Indicator Unit of YR5 End Methodoloy Core Baseline YRI YR2 YR3 YR4 [arget Frequency Name - MeasureIare Number of municipal districts (AAs) with Local Minutes of public hearings / AK Development Number 0 0 150 180 220 266 266 Yearly resolution/ ARIS Strategy Workinggroups/MIS developed involving community Number of AAs conducting public Number 0 0 150 180 220 266 266 Yearly MIS/minutes/AK resolution ARIS hearings annually, where -2- information is disclosed to the public on budget formulation and execution in accessible formats cumulative) Number of AAs with access to improved quality infrastructure Number 0 0 8/20 11/45 15/55 19/65 19/65 Yearly MIS ARIS services (disaggregated by non- subsidized and subsidized) Direct project beneficiaries X Number/ 10,000/ 20,000/ 23,000/ 26,000/ 29,000/ 29,000/ (number), of 0 Yearly MIS ARIS whih emle Percentage 30 30 30 30 30 30 Yal I which female (percentage) Beneficiaries that report improved access to Percentage 0 0 0 70/40 70/40 70/40 70/40 Yearly MIS, survey ARIS infrastructure services as a result of -3- project activities (gender disaggregated) Results indicators by components Component 1. Capacity building and empowerment ARIS Percentage of beneficiaries with Knowledge Tests/MIS ARIS increased knowledge of Percentage 0 60 60 60 60 60 60 Yearly local governance topics covered under project trainings Average Minutes of number of meeting/MISM IS/interviews people that participated in Number 0 0 100 100 100 100 100 Yearly public hearings at village level Percentage of beneficiaries Minutes of thtprev meeting/MIS/interviews/survey that perceive Percentage 0 0 70/30 70/30 70/30 70/30 70/30 Yearly ARIS their role has increased in decision- -4- making (disaggregated by gender) Satisfaction Evaluation forms following the rate of exchange visits beneficiaries who attended Percentage 0 0 0 80 80 80 80 Yearly exchange visits (peer to peer learning) Number of AAs that have submitted Proposals submitted/ minutes proposals to Number 0 80 160 240 240 0 240 Yearly of the evaluation committee, ARIS compete for MIS grants cumulative Component 2. Rural Investment Number of sub-projects At MIS/ SP and MP completion Number 0 0 8 16 20 24 least Yearly and acceptance certificates ARIS completed 24 Number of grants for At MIS/ SP and MP completion micro-projects Number 0 0 20 40 50 60 least Yearly and acceptance certificates ARIS implemented 60 (cumulative) Percentage of actually percentage 0 0 0 70 70 70 70 Yearly MIS/ costs confirmation letter ARIS allocated vs. -5- planned funds for O&M Percentage of beneficiaries that feel that community Satisfaction surveys/MIS/ investments percentage 0 0 0 80 80 80 80 Yearly interviews ARIS funded by the project reflected their priority needs Component 3. Project Management Cumulative Target Values Responsibility Data Source/ for Data Indicator Unit of YR5 End MtoooyCleto Core Bascline YRI YR2 YR3 YR4 YR a En Frequency Methodology Collection Name Measure Target Ratio between operating expenditures Number 0 2.9 4.9 7.0 9.1 10.3 10.3 Quarterly MIS, Finance Unit ARIS and total project budget -6- Project Development Objective Indicators (PDO) Indicator Name Description (indicator definition etc.) Number of municipal districts (AAs) This indicator measures "participatory development" part of the PDO. This cumulative indicator will with Local Development Strategy measure whether local development plans have been developed in a participatory manner and whether developed involving community each Development Strategy is at a basic acceptable quality that covers 3-5 year planning that includes a members feasible budget. Number of AAs conducting public This is a PDO indicator to demonstrate that capacity has been built in one of the key participatory local hearings annually, where information is govemance dimensions, participatory budgeting. If local self-govemments are able to hold these disclosed to the public on budget meetings and report to the community how they have managed/executed budget in a given year, and formulation and execution in accessible disclose information in accessible formats, this is an indication that their budgeting capacity has formats improved. The law on financial and economic foundations of the Local Self-Governments (Article 13, item 7) stipulates that the review and approval of the budgets should be done transparently and publicly in open sessions of the local council (ayil kenesh) and in public hearings, and the budgets must be published in mass media. This indicator requires at least one meeting annually (where local self- government bodies discuss with public the budget execution update from the previous year and the budget formulation for the current year. This indicator will measure the second part of the PDO, 'access to improved quality infrastructure Number of municipal districts (ayil services". 'Infrastructure services' refers to successfully constructed/rehabilitated infrastructure + fully aymaks) with access to improved quality functioning facility+ existence of operations and maintenance plan and budget. This indicator will be infrastructure services disaggregated by subsidized and non-subsidized municipalities. This indicator measures individuals actively using the infrastructure services supported by the project, Direct project beneficiaries (number), of or those who participated in trainings or peer-to-peer learning activities funded under the project. which female (percentage) This indicator will rely on a perception survey to measure satisfaction with improved access to Beneficiaries that report improved access infrastructure services. to infrastructure services as a result of project activities (gender disaggregated) -7- Intermediate Results Indicators Indicator Name Description (indicator definition etc.) Component I Percentage of beneficiaries with. incetaedknolge of licial ge ARIS will rely on interviews with beneficiaries and a series of before and after knowledge tests in tpicrsced ndge ploectl t ernn communities to obtain data for the measurement of this indicator. topics covered under project trainings Average number of people that participated in public hearings at village This indicator will ensure that decisions on community priorities were made with the participation of level average 100 people per village. Percentage of beneficiaries that perceive Per ea bneaes t peceive This indicator will be based on a qualitative perception survey. their role has increased in decision- making (disaggregated by gender) Satisfaction rate of beneficiaries who attended exchange visits (peer to peer This indicator will be based on an evaluation form that will be provided to the participants of study learning) tours, which will have a scoring method for measuring satisfaction. Number of municipal districts (AAs) This indicator seeks to measure 'increasing local level capacity for participatory development'. AAs that have submitted proposals to compete would need to use all the knowledge and skills learned in trainings in order to complete and submit for grants proposals. As part of the project proposal ,they need to submit their local development strategies, investment plans, procurement, O&M planning Component 2 indicators Number of sub-projects completed ARIS will use this indicator to measure the number of sub-projects completed, including new or renovated exiting schools, kindergartens, bridges, health clinics, and other physical facilities. Data for this measurement will come from the MIS. Number of grants for micro-projects ARIS will use this indicator to measure the number of small-scale/micro-projects completed, including implemented minor repair works and beautification works. Data for this measurement will come from the MIS. -8- ARIS will analyze MIS/costs confirmation letters to measure the percentage of funds that were allocated for Operations and Maintenance. Calculations: (Actual/Planned)xl00 percent = Percent of Percentage of actually allocated vs. O&M budget spent relative to planned for each sub-project and micro-project, then the total summation planned funds for O&M of percentages for all Bank-financed projects divided by the total number of projects in service during that year (calculated as weighted average). Ratio between operating expenditures ARIS will analyze data supplied by MIS and Finance Unit to quarterly assess what percentage is the and total project budget operating costs of the total project budget. This information will help to gauge overall progress with project's implementation. -9-