The World Bank Report No: ISR3513 Implementation Status & Results Indonesia URBAN SECTOR DEVELOPMENT AND REFORM PROJECT (P071296) Public Disclosure Copy Operation Name: URBAN SECTOR DEVELOPMENT AND REFORM Project Stage: Implementation Seq.No: 10 Status: ARCHIVED Archive Date: 11-Feb-2011 PROJECT (P071296) Country: Indonesia Approval FY: 2005 Product Line: IBRD/IDA Region: EAST ASIA AND PACIFIC Lending Instrument: Specific Investment Loan Implementing Agency(ies): Ministry of Public Works Key Dates Board Approval Date 07-Jun-2005 Original Closing Date 30-Jun-2011 Planned Mid Term Review Date 15-Apr-2008 Last Archived ISR Date 11-Feb-2011 Effectiveness Date 18-Jan-2006 Revised Closing Date 30-Jun-2012 Actual Mid Term Review Date 16-Mar-2009 Project Development Objectives Project Development Objective (from Project Appraisal Document) The project's principal development objective is to improve urban services in the participating Urban Local Government (ULG). This is the first step toward achieving the Government of Indonesia's (GOI) long-term goal to develop self-reliant cities. To achieve this objective, the project focuses on reforming municipal governance, developing institutional capacity and financing priority urban investments. After Project restructuring in June 2010, the Project development objective is amended as follows: "The Project development objective is to assist the Borrower to strengthen local governance and improve the provision of selected urban services by Participating ULGs and Additional Participating ULGs". Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Urban Reform and Institutional Support Component 9.00 Urban Investment Component 52.12 Public Disclosure Copy Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Implementation Status Overview Ten urban local governments (ULGs) are now participating in the project. For the investments in urban services, most of the ULGs chose to upgrade and rehabilitate public markets. This has helped provide more modern, cleaner, and better functioning facilities for the benefit both of vendors and customers, as well as increasing the revenue generated for the Page 1 of 10 The World Bank Report No: ISR3513 ULGs to maintain and operate the markets. Most physical investment are now completed, although additional steps are still required to make some of the markets fully operational. All of the participating ULGs are continuing to make good progress on most elements of the urban reform and governance agenda, including better public consultation and feedback, more participatory planning mechanisms, and more efficient, accountable, and transparent financial management and procurement practices. Public Disclosure Copy Locations Country First Administrative Division Location Planned Actual Indonesia Not Entered Kotamadya Yogyakarta Indonesia Not Entered Toboli Indonesia Not Entered Propinsi Sulawesi Tengah Indonesia Not Entered Kabupaten Sidenreng-Rapang Indonesia Not Entered Kotamadya Semarang Indonesia Not Entered Kotamadya Parepare Indonesia Not Entered Kota administratip Palu Indonesia Not Entered Palopo Indonesia Not Entered Kabupaten Musibanyuasin Indonesia Not Entered Kabupaten Manokwari Indonesia Not Entered Mangkang Indonesia Not Entered Kota Administratip Cimahi Indonesia Not Entered Kotamadya Blitar Indonesia Not Entered Kemirimuka Indonesia Not Entered Kecamatan Gamping Public Disclosure Copy Indonesia Not Entered Kabupaten Sleman Indonesia Not Entered Desa Umbulharjo Indonesia Not Entered Kecamatan Pangkajene Indonesia Not Entered Kotamadya Depok Indonesia Not Entered Kecamatan Moutong Indonesia Not Entered Lakessi Page 2 of 10 The World Bank Report No: ISR3513 Results Project Development Objective Indicators Public Disclosure Copy Indicator Name Core Unit of Measure Baseline Current End Target Increased revenue, operations and Percentage Value 0.00 0.00 70.00 maintenance expenditures, and satisfaction Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 rates among users and consumers of selected Comments Overall ULG target (70%) is 30 % ULG have increased Target value is the urban services in at least 70% of ULGs with completed subprojects based on achievement of four monthly revenue. At least percentage of participating sub-indicators that each have another 30 % ULGs are ULGs with completed their own targets, and are in preparing the USDRP- investment sub-projects that turn determined by individual financed infrastructure to have achieved the individual baselines and values operation in2012, therefore goalsin each of the four sub- achieved for each subproject. additional revenue will be indicators. At inception of the project, recorded in the next mission. overall baseline is zero as the The PBME for assessing project investments have not users revenue and yet taken place. satisfaction willbe prepared prior project closing. However, 10% ULGs have carried out satisfaction survey to traders and resulted that more than 50% traders satisfy to the facilities provided and the use of infrastructure 70% of ULGs increase their local revenue from Percentage Value 0.00 30.00 70.00 urban services financed by the project by at Sub Type Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 least 10% Breakdown Comments Sub-indicator based on 30 % ULG have increased Percentage of ULGs with individual baselines for each monthly revenue. At least completed subprojects that ULG and subproject. Data are another 30 % ULGs are have met the revenue target. collected through municipal preparing the USDRP- records on revenues from financed infrastructure to each facility or service. operation in2012 Public Disclosure Copy 70% of ULGs increase expenditures for O&M Percentage Value 0.00 0.00 70.00 of infrastructure financed by the project by at Sub Type Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 least 10% Breakdown Comments Sub-indicator based on 30 % ULG have increased Percentage of ULGs with individual baselines for each monthly revenue. At least completed subprojects that ULG and subproject. Data are another 30 % ULGs are have met the O&M collected through municipal preparing the USDRP- expenditure target. records on O&M expenditures financed infrastructure to for each service infrastructure operation in2012 financed by the project. Page 3 of 10 The World Bank Report No: ISR3513 Percentage of ULGs in which at least 50% of Percentage Value 0.00 0.00 70.00 users express increased satisfaction in doing Sub Type Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 business in the improved facility. Breakdown Comments Baseline is zero because the Data will be collected through Percentage of ULGs with Public Disclosure Copy target is based on percentage an impact assessment completed subprojects that of ULGs meeting targets for (PBME) conducted either a have met the user satisfaction user satisfaction in facilities year after each sub-project's target. that were not yet improved infrastructure becomes and in some cases not operational, or at the close of identified. Increased the project. However, 10% satisfaction for individual ULGs have carried out subprojects will not include satisfaction survey to traders and ex-ante baseline but and resulted that more than rather through a survey of 50% traders satisfy to the current users who also were facilities provided and the use users of the unimproved of infrastructure infrastructure. "Users" refers to vendors orother stakeholders that use the facilities improved through project investments to conduct business activities and provide commercial services. Percentage of ULGs in which at least 50% of Percentage Value 0.00 0.00 70.00 consumers express increase satisfaction of Sub Type Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 using the facilities Breakdown Comments Baseline is zero because the Data will be collected through Percentage of ULGs with target is based on percentage an impact assessment completed subprojects that of ULGs meeting targets for (PBME) conducted either a have met the consumer consumer satisfaction in year after each sub-project's satisfaction target. facilities that were not yet infrastructure becomes improved and in some cases operational, or at the close of not identified. Increased the project. However, 10% satisfaction for individual ULGs have carried out Public Disclosure Copy subprojects will not include satisfaction survey to traders and ex-ante baseline but and resulted that more than rather through a survey of 50% traders satisfy to the current consumers who also facilities provided and the use were consumers of the of infrastructure services before they were improved. "Consumers" refers to customers of vendors or recipients of services provided through the facilities. Page 4 of 10 The World Bank Report No: ISR3513 Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Transparency, Participation and Accountability: Percentage Value 0.00 60.00 Public Disclosure Copy ULGs that post semi-annual updates on Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 websites or in printed media for specified Comments At the inception of the project, 80% ULGs published Value: At least 80% of information: summary of Local Budget (APBD) baseline was zero as the summary of local budget of Participating ULGs post the project has not started its the ongoing FY, and 80% information on the summary facilitation and values vary published summary of budget of APBD at six month across ULGs. Information is realization of previous FY intervals collected during the supervisions missions and recorded in the Aide Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project restructuring. Transparency, Participation and Accountability: Percentage Value 0.00 80.00 ULGs that post semi-annual updates on Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 websites or in printed media for specified Comments At the inception of the project, 90% ULGs published Value: At least 80% of information: Mid-term development Plan (RPJMD) baseline was zero as the summary RPJMD on the Participating ULGs post the project has not started its website or printed media information on RPJMD at six facilitation and values vary month intervals across ULGs. Information is collected during the supervisions missions and recorded in the Aide Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project restructuring. Public Disclosure Copy Transparency, Participation and Accountability: Percentage Value 0.00 90.00 ULGs that post semi-annual updates on Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 websites or in printed media for information on Comments At the inception of the project, 100% ULGs published local Value: At least 80% of local development activities/programs baseline was zero as the development activities/ Participating ULGs post the project has not started its programs on the website or information on local facilitation and values vary printed media development activities/ across ULGs. Information is programs at six month collected during the intervals supervisions missions and recorded in the Aide Page 5 of 10 The World Bank Report No: ISR3513 Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project Public Disclosure Copy restructuring. Transparency, Participation and Accountability: Percentage Value 0.00 90.00 ULGs that post semi-annual updates on Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 websites or in printed media for specified Comments At the inception of the project, Value: varies across ULGs, Value: At least 80% of information baseline was zero as the range from 50-100% for six participating ULGs post the project has not started its types of specified information specified information at six facilitation and values vary have been published in months intervals across ULGs. Information is websites or in printed media collected during the (details are shown in the supervisions missions and following six indicators below) recorded in the Aide Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project restructuring. Participating ULGs practicing sound Text Value 0.00 (i) 90%; (ii) 100%; (iii) 70% in At least 60 % of participating Procurement: (i) Min. 75% of the bids be progress ULGs achieve (i) and (ii) and awarded within the bid validity period, and at least 60% of participating publicizedin the public domain, e.g. website, ULGs achieve (iii) local bulletin; (ii) Min 50% of t Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 Comments At the inception of the project, (i) 90% ULGs awarded the baseline was zero as the bids within bid validity period, project has not started its however only 70% of ULGs facilitation and values vary published the bid award in the across ULGs. Information is public domain, e.g. website, collected during the local bulletin supervisions missions and (ii) 100% ULGs have national recorded in the Aide certified tender committee Public Disclosure Copy Memoires with qualitative (iii) At least 70% ULGs are information on the progress. preparing institutions and Indicators were only specified mechanism for giving award in June 2010 during project to best-performers restructuring. Participating ULGs implemented subprojects: Text Value 0.00 (i) 10 ULGs; (ii) 7 ULGs (i) 100% of Participating (i) Participating ULGs sign Sub- project Loan ULGs signed SLAs (ii) At Agreements (SLAs) with Ministry of Finance for least 80% of Participating urban investment subprojects; (ii) Participating ULGs completed construction Page 6 of 10 The World Bank Report No: ISR3513 ULGs complete of urban investment subproject Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 Public Disclosure Copy Comments At the inception of the project, 100 % ULGs have signed baseline was zero as the SLA project has not started its 70 % ULGs have completed facilitation and values vary subproject construction across ULGs. Information is collected during the supervisions missions and recorded in the Aide Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project restructuring. Center of Excellence: (i) Unit Informasi Text Value 0.00 1 Center of Excellence: at least Pembangunan Permukiman dan Bangunan or 1 Province has (i) and (ii) UIP2B functioned as a Provincial Center of Local Economic Development Excellence to support reforms in the ULGs in and City Development the province; (ii) Work Plan for Strategy: At least 60%of Partic ipating ULGs have (i) and at least 50% of Participating ULGs having the LED-focu sed City Development Strategy achieve (ii) Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 Comments At the inception of the project, 1 PIP2B is established. baseline was zero as the Organizational structure and project has not started its budget are available, and facilitation and values vary annual work plan is issued across ULGs. Information is Public Disclosure Copy collected during the supervisions missions and recorded in the Aide Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project restructuring. Page 7 of 10 The World Bank Report No: ISR3513 Participating ULGs practicing sound Financial Text Value 0.00 (i) 100%; (ii) 80%; and (iii) At least 80% of Participating Management: (i) issuance of local regulation 50% ULGs achieve (i) and (ii) (PERDA or Decree or Perbup/Perwal) on Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 Principle of Regional Financial Management; Public Disclosure Copy Comments At the inception of the project, 100 % ULGs have local (ii) Issuance of local regu baseline was zero as the regulation concerning the project has not started its Principle of Regional Finance facilitation and values vary 80% ULGs have local across ULGs. Information is regulation concerning collected during the Policies, Systems, and supervisions missions and Procedures for the recorded in the Aide Preparation and Execution of Memoires with qualitative APBD information on the progress. 50 % ULGs published annual Indicators were only specified audited financial report, in June 2010 during project although 70 % ULGs have restructuring. regulated the publication Participatory planning process: (i) allocation of Text Value 0.00 70 % ULGs has block grant At least 50% of Participating block grants to kecamatan and/or kelurahan mechanism or indicative ULGs achieve (i) OR (ii) from the ULG and/or from at least oneagency budget with Standard Operating Procedure for the use Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 of block grants Comments At the inception of the project, No improvement since baseline was zero as the previous mission in terms project has not started its number of ULGs, but facilitation and values vary improvement in quality of across ULGs. Information is implementation found in at collected during the least 1 ULG supervisions missions and recorded in the Aide Memoires with qualitative information on the progress. Indicators were only specified in June 2010 during project restructuring. Public Disclosure Copy Participating ULGs have public feedback Text Value 0.00 ((i) 70%; (ii) 90%; (iii) 70% At least 80% of participating mechanisms in place including:(i) the use of at ULGs have in place (i), (ii), least one type of media(s) for public complaints and (iii) which is managed by complaint handling unit; Date 18-Jan-2006 30-Dec-2011 30-Jun-2012 (ii) availability Comments At the inception of the project, 70 % ULGs have a systematic baseline was zero as the use of media for managing project has not started its complaints and feedback facilitation and values vary 90 % ULGs have specific unit across ULGs. Information is to manage collected during the Page 8 of 10 The World Bank Report No: ISR3513 supervisions missions and 70 % ULGs haveSOP of recorded in the Aide complaints handling Memoires with qualitative information on the progress. Public Disclosure Copy Indicators were only specified in June 2010 during project restructuring. Data on Financial Performance (as of 10-Jan-2012) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P071296 IBRD-47860 Effective 07-Jun-2005 20-Oct-2005 18-Jan-2006 30-Jun-2012 P071296 IBRD-77600 Effective 06-Jul-2009 06-Jul-2009 06-Jul-2009 30-Jun-2012 P071296 TF-53555 Effective 20-Oct-2005 20-Oct-2005 18-Jan-2006 30-Jun-2012 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P071296 IBRD-47860 Effective USD 45.00 45.00 0.00 0.00 0.00 0.00 P071296 IBRD-77600 Effective USD 45.00 38.44 6.57 29.21 9.23 76.00 P071296 TF-53555 Effective USD 5.00 5.00 0.00 4.06 0.94 81.00 Disbursement Graph Public Disclosure Copy Page 9 of 10 The World Bank Report No: ISR3513 Public Disclosure Copy Key Decisions Regarding Implementation The Bank is planning to carry out another implementation support mission in May 2012. Discussions are under way concerning a possible closing date extension. Restructuring History Level one Approved on 04-Jun-2010, Level two Approved on 13-Apr-2011 Related Projects There are no related projects. Public Disclosure Copy Page 10 of 10