The World Bank Report No: ISR3205 Implementation Status & Results Chile Public Disclosure Copy Ministry of Public Works Institutional Strenghtening TAL (P102931) Operation Name: Ministry of Public Works Institutional Strenghtening TAL Project Stage: Implementation Seq.No: 8 Status: ARCHIVED Last Modified Date: 26-Apr-2011 (P102931) Country: Chile Approval FY: 2007 Product Line: IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Technical Assistance Loan Implementing Agency(ies): Ministry of Public Works Key Dates Board Approval Date 14-Jun-2007 Original Closing Date 31-Jan-2013 Planned Mid Term Review Date 07-Jun-2011 Last Archived ISR Date 24-Nov-2010 Effectiveness Date 27-Feb-2008 Revised Closing Date 31-Jan-2013 Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective is to assist the Government in achieving a sustainable and integrated approach to the planning of infrastructure; levels of service standards for infrastructure as well as model contracts and procedures that promote competition and assign risks appropriately; an integrated project management process; a regulatory framework for all of MOPW#s sectors of responsibility that increases consumer confidence in infrastructure service provision; and the legal and organizational separation of the areas of planning, contracting, execution and regulation of infrastructure provision. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Integrated Planning 4.10 Standards, Contracts and Competition 3.25 Public Disclosure Copy Integrated Project Management 0.75 Regulatory Strengthening 1.40 Organizational Reform 1.90 Audit and additional activities 0.30 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Unsatisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Satisfactory Overall Risk Rating Page 1 of 7 The World Bank Report No: ISR3205 Implementation Status Overview The Modernization Program of the Ministry of Public Works received a strong endorsement from the new administration, which took office in March, 2010. The tools developed and Public Disclosure Copy implemented by the Modernization Program have been tested and fully utilized in the emergency reconstruction projects that followed the earthquake of February 2010. The Ministry of Public Works has undertaken several actions to increase the implementation pace of the Modernization Program, including: (1) providing a stronger institutional support to the Program with its transfer from the Directorate General of Public Works to the Undersecretary of Public Works; (2) launching several new consultancies; (3) ratifying its partnership with the World Bank and proceeding to request additional disbursements. Results Project Development Objective Indicators Indicator Baseline Current End Target Indicator Name Value Value Value Increased return of infrastructure projects due to the new planning 0% methodology Date Date Date 21-Oct-2010 Type Unit of Measure Comment Comment Comment Custom Indicator Text Indicator Baseline Current End Target Indicator Name Value Value Value Greater competition in bidding supported by fair risk-sharing arrangements embedded in contracts and consumer-responsive Date Date Date service targets Type Unit of Measure Comment Comment Comment Custom Indicator Text Indicator Baseline Current End Target Indicator Name Value Value Value Public Disclosure Copy Greater responsiveness to consumer concerns related to levels of service; and greater oversight of performance by public sector service Date Date Date providers as well as concessionaires Type Unit of Measure Comment Comment Comment Custom Indicator Text Page 2 of 7 The World Bank Report No: ISR3205 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value Reduction in variance between values established at contract signature and final values at project execution Date Date Date Type Unit of Measure Comment Comment Comment Custom Indicator Text Indicator Baseline Current End Target Indicator Name Value Value Value Normative and organizational structure that provides clear separation and definition of roles and responsibilities for planning, contracting, Date Date Date works execution and oversight. Type Unit of Measure Comment Comment Comment Custom Indicator Text Intermediate Results Indicators Indicator Baseline Current End Target Indicator Name Value Value Value Share of projects approved based on new integrated planning 0% 25% of projects that initiate a methodology. phase of the project cycle (from Date Date prefeasibility to execution) 29-Jun-2007 26-Apr-2011 adopted/initiated based on new Type Unit of Measure Comment Comment planning methodology Custom Indicator Text A new planning methodology is a Preparation of new methodology Date key feature of the Modernization suffering significant delays. 31-Dec-2012 Program of the Ministry of PUblic Planning directorate developing Comment Public Disclosure Copy Works regional infrastructure plans with service standards (new paradigm) and focus on selected clusters + assessment of road network condition Page 3 of 7 The World Bank Report No: ISR3205 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value Identify, define and adopt service quality standards in a wide set of 0% Service standards defined for 9 works typologies under the responsibility of the MOPW typology of works under the Date Date jurisdiction of MOPW 29-Jun-2007 26-Apr-2011 Date Type Unit of Measure Comment Comment 31-Dec-2013 Custom Indicator Text Identification of service quality attributes relevant, indicators and Comment standards of service in the following 7 types of works (Airport Concession, Concession Road Works; jail concession; Lakeside Connectivity Project, Maritime and Fluvial Isolated Areas, BuildingsMOP, Stormwater; Rural Water). Standards included in performance based road maintenance contracts Indicator Baseline Current End Target Indicator Name Value Value Value Number of concession contracts under the jurisdiction of the MOPW 0 2 7 contracts include, from bidding that incorporate (explicitly) quality standards stage, explicit service standards Date Date 26-Oct-2009 21-Oct-2010 Date Type Unit of Measure Comment Comment 31-Dec-2013 Custom Indicator Text inclusion of quality standards in Comment bidding of Calama and Antofagasta airports Public Disclosure Copy Page 4 of 7 The World Bank Report No: ISR3205 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value More competition in biddings to be reached by (i) improvements in Bidding documents and firms and 80% of contracts signed by MOPW bidders registry (reglamento de obras y consultoria) and (ii) improved consultants registry currently in during the year 2012 using new Date standard bidding documents use by MOPW bidding documents. A third party, 26-Apr-2011 independent of MOPW to conduct Date Type Unit of Measure Comment an assessment of the impact of 31-Dec-2007 new bidding documents and Custom Indicator Text Proposal to change contractors Comment registry elaborated and under improved "registro de contratistas" review by MOPW authorities. No on intensity of competition progress in improved standard Date bidding documents 31-Dec-2013 Comment Indicator Baseline Current End Target Indicator Name Value Value Value Reduction in the variance of the difference between costs forecasted No baseline available Reduction of 15% in the variance when contract is signed and actual cost of works of cost deviations. Measured Date Date against baseline that will include 26-Oct-2009 26-Apr-2011 only projects under integrated Type Unit of Measure Comment Comment project management Custom Indicator Text Consulting firm being hired to No progress Date prepare baseline. Note that more 31-Dec-2013 than 60 projects currently under integrated project management. Comment Indicator Baseline Current End Target Indicator Name Value Value Value Public Disclosure Copy A normative and organizational framework in place that provides for MOPW does not have an internal Following laws approved by clear separation of roles and responsibilities organization law that separates the Date Congress: (i) New organizational roles of planning, implementation structure of MOPW (ii) New and supervision 26-Apr-2011 concessions law (iii) Law that Type Unit of Measure Date Comment creates the Superintendency of Custom Indicator Text Concession law approved as Law Public Works 26-Oct-2009 20410 (January 2010). Law that Date Comment creates the Superintendency in 31-Dec-2013 Congress but not a priority for Pineraadministration Comment Page 5 of 7 The World Bank Report No: ISR3205 Indicator Baseline Current End Target Public Disclosure Copy Indicator Name Value Value Value Reduction of variance of construction time between time envisaged 0.00 15.00 when contract is signed and actual construction time Date Date Date 26-Apr-2011 31-Jan-2013 Type Unit of Measure Comment Comment Comment Custom Indicator Percentage Task to be developed by PMO but % reduction in indicator (variance) no progress has been made. Integrated project management under implementation in all directorates of the MOPW but still no measurement of time or cost savings from this new project management methodology Indicator Baseline Current End Target Indicator Name Value Value Value Regulatory oversight system in place to be used by entity independent No regulatory oversight system by Regulatory oversight system and of planning and execution divisionos of MOPW an independent agency in place mechanisms in place for the Date (currently done in house by MOPW following sectors: aiports personnel) 26-Apr-2011 concessions and inter and urban Type Unit of Measure Date Comment roads concessions. Custom Indicator Text 26-Oct-2009 Significant progress in the Date monitoring of road concessions. 31-Jan-2013 Comment Regulatory oversight system being applied to 20 interurban road Comment concession contracts and 6 urban road concession contracts. Web based system (in the future will be publicly available) in place to Public Disclosure Copy monitor21 road concessions. Information being updated in real time. Quality of services and standards being measured in concessioned airports. Data on Financial Performance (as of 05-Jan-2011) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P102931 IBRD-74580 Effective 14-Jun-2007 30-Nov-2007 27-Feb-2008 31-Jan-2013 Disbursements (in Millions) Page 6 of 7 The World Bank Report No: ISR3205 Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P102931 IBRD-74580 Effective USD 11.70 11.70 0.00 1.22 10.48 10.00 Public Disclosure Copy Disbursement Graph Key Decisions Regarding Implementation Ministry of Public Works to continue increasing the pace of project implementation and to continue requesting additional disbursements from the World Bank's Technical Assistance Loan. Restructuring History There has been no restructuring to date. Public Disclosure Copy Related Projects Page 7 of 7