Document of The World Bank Report No: 55918-PH RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF LAGUNA DE BAY INSTITUTIONAL STRENGTHENING AND COMMUNITY PARTICIPATION PROJECT BOARD APPROVAL DATE: DECEMBER 4, 2003 TO THE REPUBLIC OF THE PHILIPPINES DATE OF RESTRUCTURING : July 20, 2010 ABBREVIATIONS AND ACRONYMS LGU Local Government Unit LISCOP Laguna de Bay Institutional Strengthening and Community Participation Project LLDA Laguna Lake Development Authority NEDA National Economic Development Authority Regional Vice President: James Adams, EAPVP Country Director: Bert Hofman, EACPF Sustainable Development Leader: Mark Woodward, EASPS Task Team Leader: Josefo Tuyor, EASPS 2 Restructuring Status: Draft Restructuring Type: Level two Last modified on date : 07/15/2010 1. Basic Information Project ID & Name P070899: PH LAGUNA DE BAY INSTITUTIONAL STRENGTHENING AND COMMUNITY PARTICIPATION PROJECT Country Philippines Task Team Leader Josefo Tuyor Sector Manager/Director Mark C. Woodward Country Director Bert Hofman Original Board Approval Date 12/04/2003 Original Closing Date: 01/31/2009 Current Closing Date 07/31/2010 Proposed Closing Date [if applicable] 01/31/2011 EA Category B-Partial Assessment Revised EA Category B-Partial Assessment-Partial Assessment EA Completion Date 11/02/2004 Revised EA Completion Date 2. Revised Financing Plan (US$) Source Original Revised BOAG 2.05 2.05 BORR 0.00 0.00 IBRD 5.00 5.00 LOCA 0.40 0.40 NETH 5.00 5.00 Total 12.45 12.45 3. Borrower Organization Department Location 4. Implementing Agency Organization Department Location Laguna Lake Development Philippines Authority 3 5. Disbursement Estimates (US$m) Actual amount disbursed as of 07/15/2010 3.28 Fiscal Year Annual Cumulative 2010 0.00 3.28 Total 3.28 6. Policy Exceptions and Safeguard Policies Does the restructured project require any exceptions to Bank policies? N Does the restructured projects trigger any new safeguard policies? If yes, please select N from the checklist below and update ISDS accordingly before submitting the package. 7a. Project Development Objectives/Outcomes Original/Current Project Development Objectives/Outcomes The overarching objective of the project is to assist the Laguna Lake Development Authority (LLDA), Local Government Units (LGUs) and other stakeholders to improve the environmental quality of the Laguna de Bay watershed through: (1) behavioral changes and activities undertaken by watershed users; and (2) improved planning, regulatory instruments and incentives, and participation in the environmental management of the Laguna de Bay watershed. 7b. Revised Project Development Objectives/Outcomes [if applicable] PDO will remain unchanged. 4 ANNEX 1: Extension of Closing Date ______________________________________________________________________ PHILIPPINES -- LAGUNA DE BAY INSTITUTIONAL STRENGTHENING AND COMMUNITY PARTICIPATION PROJECT P070899 LOAN 7205 Restructuring Paper 1. The closing date for Philippines, LAGUNA DE BAY INSTITUTIONAL STRENGTHENING AND COMMUNITY PARTICIPATION PROJECT ( LOAN 7205), P070899 will be extended from July 31, 2010 to January 31, 2011. 2. The recently completed supervision mission concluded that the implementation progress of the project is satisfactory and that it is on track in meeting its project development objective as measured by the attainment of the five key performance indicators/outcome indicators and 21 of the 26 output indicators. In particular, the project has surpassed the targets of the five KPIs, attained the targets of the 21 outputs indicators (surpassing the targets of the 13), while the three indicators are expected to be fully attained upon the extended project closure. Only two output indicators fall short of the targets and are expected to be not attained at the closure of the project. The overall physical and financial accomplishments of the project to date are estimated at 95% and 77%, respectively. Of the total 33 subprojects from 21 LGUs financed by the project, 27 are fully operational, three (3) substantially completed and three (3) at construction stage. 3. The government requests for a six-month extension of the project to allow the Laguna Lake Development Authority, the project's implementing agency, to secure the confirmation of the Board of the National Economic Development Authority (NEDA Board) for the $10 million Additional Financing to scale up environmental investment by the concerned Local Government Units (LGUs) under the Component 1 of the project. The delivery of the AF has slipped to this FY due to the delay in securing the confirmation of the NEDA Board prior to the negotiations. In addition, the extension will enable the completion of the Antipolo Material Recovery Facility, the Lucban Material Recovery Facility and the Lucban Waste Water Treatment Facility. It will also allow the concerned LGUs who have operational subprojects to further improve the operation and maintenance of their respective subprojects. 4. This will be the 3rd extension of the project. 5