The World Bank Implementation Status & Results Report Strengthening Public Resource Management (P161586) Strengthening Public Resource Management (P161586) EUROPE AND CENTRAL ASIA | Ukraine | Governance Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2017 | Seq No: 3 | ARCHIVED on 09-Jan-2020 | ISR39170 | Implementing Agencies: Ministry of Economic Development and Trade, Ministry of Finance of Ukraine, National Agency of Civil Service Key Dates Key Project Dates Bank Approval Date: 23-Jun-2017 Effectiveness Date: 28-Aug-2017 Original Closing Date: 30-Jun-2019 Revised Closing Date: 31-Jul-2020 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) Improving Transparency and Efficiency in Public Resources Management by: (i) Automating government personnel and payroll information; and (ii) Enhancing MOF's capacity in management of public financial information Has the Project Development Objective been changed since Board Approval of the Project Objective? No Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Implementation Status and Key Decisions The Government of Ukraine has received financing from the World Bank for the implementation of the Strengthening Public Resource Management Project (hereinafter Project), which is funded by European Union’s Program for the Reform of Public Administration and Finances in Ukraine (EURoPAF). Following the signing of the Grant Agreement on June 30, 2017, the Recipient, represented by the Ministry of Economic Development and Trade of Ukraine (MEDT), through the Implementing Agencies - the National Agency of Civil Service Agency (NACS) and the Ministry of Finance (MOF) has finalized and adopted the Project Operational Manual(s) in the form and substance satisfactory to the Bank and the Bank declared the Project effective as of August 28, 2017. Upon Project effectiveness NACS and MOF put in place the Project implementation arrangements as required by the Grant Agreement and national legislation during September-November 2017. Under Part A of the Project “Strengthening Human Resource Management in Public Administration Institutions” implemented by the NACS the following progress has been made up-to-date i) High-level HRMIS Concept was prepared and approved by the Resolution of the Cabinet of Ministers #844-p of December 1, 2017; ii) the NACS completed the bidding procedure for HRMIS supply and implementation at the end of 2018 based on the technical specifications bidding documents developed by the NACS team; iii) Contract for HRMIS Supply and Implementation was signed on February 5, 2019 and became effective on March 7, 2019; iv) project implementation unit staffed with experienced IT and procurement specialists was set up; v) the Contract planning and design stage was completed; vi) HRMIS functionalities on Organizational Structure, Personnel, Staff Orders, Personnel Cabinet, and Public Portal have been developed; tested and put in trial operation in three pilot government institutions (NACS, MoF, and Ministry of Digital Transformation); vi) functional block on Recruitment and Career is under final testing in NACS, and vii) the development of functional block on Payroll and Timesheets is being finalized. The NACS plans to start the trial operation of Recruitment & Career and the Payroll and Timesheet functionalities in three pilot bodies at the beginning of 2020, and deploy the overall HRMIS functionality foreseen under Phase 1 in the central level ministries by the end of April 2020. Currently, the Contract is implemented with 3-month delay and the NACS with 1/9/2020 Page 1 of 4 The World Bank Implementation Status & Results Report Strengthening Public Resource Management (P161586) the Vendor is to develop and adhere to a plan of mitigating measures to address the delay risks. For the purpose of HRMIS implementation and its further stability the NACS has to set-up a well-structured help desk. Further on, the Agency`s own technical capacity and infrastructure are to be further strengthened to be ready for HRMIS maintenance once the system is implemented. The Project Part B on Supporting the implementation of public financial management (PFM) Strategy is implemented with significant delays. Currently, three of the six key project activities were completed, including ICT Audit, procurement of e-views licenses for revenue forecasting, and MoF’s HQ infrastructure upgrade. Following the results of competitive selection, the MoF received cash management capacity building support from September 2019. However, other activities representing about 50 percent of the MoF’s Grant amount have not yet been contracted. These include: consulting services on budget planning module upgrade, consulting services on developing functional requirements to automate cash management process, and trainings for MoF’s specialists. The procurement of services on budget planning module upgrade was launched in October 2018 and is still under way. Considering the time left before the Project Closing Date the Project Steering Committee requested the MoF to present its proposal regarding implementation of remaining activities to take needed timely mitigating measures to avoid non-completion of Project activities. Risks Overall Risk Rating Risk Category Rating at Approval Previous Rating Current Rating Overall -- Substantial Substantial 5. Results Project Development Objective Indicators IN00762666 ►Transparency of State Employment and Payroll (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 50.00 Date 31-May-2017 30-Nov-2018 31-Dec-2019 31-Jul-2020 The target value is the percentage of state entities at the central administration whose personnel and payroll data is available through the HRMIS. The Phase 1 of the HRMIS implementation covered by this Project is to cover the central ministerial level and to Comments: be finalized by end of April 2020. Currently, the HRMIS is at the stage of testing its developed functionalities and launching their trial operation in three pilot bodies. IN00762667 ►ICT Strategy for Key PFM Entities (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 31-May-2017 30-Nov-2018 31-Dec-2019 31-Jul-2020 The MoF has not yet developed the ICT Strategy based on the results of ICT Audit due to the ongoing reorganization of the IT function in the PFM area through merging ICT functions of the MoF, the Treasury, the Comments: STS and the Customs. The MoF shall present its time-bound action plan to have ICT Strategy by the Project Closing Date in July 2020. 1/9/2020 Page 2 of 4 The World Bank Implementation Status & Results Report Strengthening Public Resource Management (P161586) Intermediate Results Indicators IN00762668 ►HRMIS system implementation and testing (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 31-May-2017 30-Nov-2018 31-Dec-2019 31-Jul-2020 Comments: IN00762669 ►ICT Audit of PFM Subsystems (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No Yes Yes Date 31-May-2017 30-Nov-2018 31-Dec-2019 31-Jul-2020 Comments: IN00762670 ►ICT infrastruture in the MoF is upgraded (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 31-May-2017 30-Nov-2018 31-Dec-2019 31-Jul-2020 Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P161586 TF-A5324 Effective USD 3.34 3.34 0.00 1.29 2.10 38% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P161586 TF-A5324 Effective 26-Jun-2017 30-Jun-2017 28-Aug-2017 30-Jun-2019 31-Jul-2020 Cumulative Disbursements 1/9/2020 Page 3 of 4 The World Bank Implementation Status & Results Report Strengthening Public Resource Management (P161586) Restructuring History Level 2 Approved on 08-Aug-2018 Related Project(s) There are no related projects. 1/9/2020 Page 4 of 4