Lao PDR: Urban Environmental Improvement Project · Lao PDR: Urban Environmental Improvement Project . Prepared by Department of Public Works and Transport in Champasak province and

Resettlement Framework (Draft)

Project No. 43316-012 April 2012

Lao PDR: Urban Environmental Improvement Project

Prepared by Department of Public Works and Transport in Champasak province and Pakse Urban Development Administration Authority for the Asian Development Bank.

This resettlement framework is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. The final resettlement framework will be uploaded upon ADB Board approval of the project.

i

CURRENCY EQUIVALENTS (as of 11 April 2012)

Currency Unit

–

kip (KN)

KN1.00 = $0.000125 $1.00 = KN7,990

ABBREVIATIONS

ADB Asian Development Bank AFD Agence Francaise de Developpement AH Affected Household AIEC Average Incremental Economic Cost AIFC Average Incremental Financial Cost AP Affected Persons ASEAN Association of South East Asian Nations BME Benefit Monitoring and Evaluation BNP Branch Nam Papa BPO Business Promotions Office BTC Belgian Technical Cooperation

CAP Community Actions and Participation CAT Community Action Team CBO Community-based Organisation CDIA Cities Development Initiative for Asia CDM Clean Development Mechanism CEDAW Convention of the Elimination of all forms of Discrimination against

Women CEI Community Environmental Improvements CEO Chief Executive Officer CER Carbon Emission Reduction CIPP Community Information and Participation Program CDP Capacity Development Program CPI Committee for Planning and Investment CPS Country Partnership Strategy CSP Country Strategy and Program CUEI City-wide Urban Environmental Improvements DAFEO District Agriculture and Forestry Extension Office DCTPC Department of Communication, Transport, Post and Construction DGPS Differential Global Positioning System DHUP Department of Housing and Urban Planning DI Ductile Iron

DIP Department of Investment and Planning DLSW Department of Labor and Social Welfare DMS Detailed Measurement survey DN Pipe Nominal Diameter (in mm) DNA Designated National Authority DOE Designated Operational Entity DoS Department of Statistics DPACS Department of Public Administration and Civil Service (of the Prime

Minister’s Office) DPRA Development Project Responsible Agency DPWT Department of Public Works and Transport

ii

DRC District Resettlement Committee DUPH Department of Urban Planning and Housing EA Executing Agency EARF Environmental Assessment and Review Framework EB Executive Board ECC Environmental Compliance Certificate EDL Electricity Du Laos EDS Economic Development Scheme EIA Environmental Impact Assessment EIRR Economic Internal Rate of Return EL Enterprise Law EMP Environmental Management Plan EOCC Economic Opportunity Cost of Capital EPL Environmental Protection Law ESIA Environmental and Social Impact Assessment FIRR Financial Internal Rate of Return FS Feasibility Study GAP Gender Action Plan GDP Gross Domestic Product GHG Greenhouse Gas GIS Geographic Information System GOL Government of Lao PDR The Government Government Government Government Government

Government of Lao PDR GPOBA Global Program of Outputs Based Aid GRID Gender Resource Information and Development Centre GS Galvanized Steel HH Households HRD Human Resource Development ICB International competitive bidding IEC Information, Education and Communication IEE Initial Environmental Examination IEM Independent External Monitoring IMA Independent Monitoring Agent IOL Inventory of losses IPS Improved PNP Sustainability IPSIA Initial Poverty and Social Impact Assessment JICA Japanese International Cooperation Agency KOICA Korean Aid Agency Lao PDR Lao People's Democratic Republic LAR Land Acquisition and Resettlement LACF (P) Land acquisition and compensation framework (plan) LACR Land Acquisition, Compensation and Resettlement Principles LECS Lao Expenditure and Consumption Survey LFNC Lao Front for National Reconstruction LMB Lower Mekong Basin LURC Land Use Rights Certificate LWU Lao Women’s Union M. Muang

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MAF Ministry of Agriculture and Forestry masl mean average sea level M&E Monitoring and Evaluation MDGs Millennium Development Goals MEM Ministry of Energy and Mining MIS Management Information System MOH Ministry of Health MOIC Ministry of Industry and Commerce MPI Ministry of Planning and Investment MPWT Ministry of Public Works and Transport MRC Mekong River Commission MSW Municipal Solid Waste MUEIP Medium-term Urban Environmental Infrastructure Programme Nam Saat The National Center of Environmental Health and Water Supply NBCA Nam Ha National Biodiversity Conservation Area NCB National competitive bidding NCRWSSP Northern and Central Regions Water Supply and Sanitation Sector

Project NDF Nordic Development Fund NGO Non-Government organisation NGPES National Growth and Poverty Elimination Strategy NORAD Norwegian Agency for Development Cooperation NPL Nam Papa Lao NPNL Nam Papa Nakhonluang NPV Nam Papa Vientiane NTU Nephelometric Turbidity Units NWTTI National Waterworks Technical Training Center (Thailand) OHUP Office of Housing and Urban Planning (of DPWT at provincial level) OOE Office of Education OOH Office of Health OPWT Office of Public Works and Transport O&M Operation and Maintenance PA Provincial Authorities PAFO Provincial Agriculture and Forestry Office PCU Project Coordination Unit PDR People’s Democratic Republic PE Polyethylene PIA Project Implementation Assistance PIAC Project Implementation Assistance Consultant PIB Public Information Booklet PIR Poverty Impact Ratio PM Prime Minister PMIU Project Management Implementation Unit PN Pipe Pressure Class PNP Provincial Nam Papa PPIAF Public-Private Infrastructure Advisory Facility PPP Public Private Partnership PPME Project Performance Monitoring and Evaluation PPSC Provincial Project Steering Committee PPTA Project Preparation Technical Assistance

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PRA Participatory Rapid Appraisal PRC Provincial Resettlement Committee the Project Pakse Urban Environmental Improvement Project Water Supply and

Sanitation Sector Project PSA Poverty and Social Analysis PSC Project Steering Committee PSP Private Sector Participation PTI Public Works and Transport Institute PUEIP Pakse Urban Environmental Improvement Project PVC Polyvinyl Chloride PWREO Provincial Water Resources and Environment Office RC Resettlement Committee RCS Replacement Cost Survey RF Resettlement Framework ROW Right of Way RP Resettlement Plan RPA Rapid Poverty Assessment SDC Swiss Agency for Development and Cooperation SES Socio-Economic Survey SGIA Second Generation Imprest Account SIP Sector Investment Plan SME Small-medium Enterprise SOE State Owned Enterprise SSIP Small Scale Independent Provider STEA [Former] Science and Technology Environment Agency STDP Small Towns Development Sector Project STUDP Secondary Towns Urban Development Project SWM Solid Waste Management TA Technical Assistance TOR Terms of Reference TDG Tariff Determination Guidelines UDAA Urban Development Administration Authority UFW Unaccounted-for-water VEI Village Environmental Improvements VIP Ventilated improved latrine VRC Village Resettlement Committee VWC Village Working Committee WACC Weighted Average Cost of Capital WASA Water Supply Authority WATSAN Water and Sanitation Unit WB World Bank WFP World Food Program WREA Water Resources and Environmental Agency (created 23 July 2007) WSARC Water Supply Authority Regulatory Committee WSD Water Supply Division WSIP Water Supply Investment Plan WSP-EAP Water and Sanitation Program for East Asia and the Pacific WSTP Water Supply Tariff Policy WtE Waste to Energy WTTC

Waterworks Technical Training Center (Lao PDR)

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WEIGHTS AND MEASURES

ha Hectare Lpcd Liters per capita per day L/s Liters per second m Meter m2 square meter mg/L Milligrams per Liter mm Millimeter m3/day Cubic meters per day

sqm square meter

NOTES

(i) The fiscal year (FY) of the Government of the Lao People’s Democratic Republic ends on 30 September. FY before a calendar year denotes the year in which the fiscal year ends, e.g., FY2012 ends on 30 September 2012.

(ii) In this report, "$" refers to US dollars unless otherwise stated.

In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

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Pakse Urban Environmental Improvement Project

Land Acquisition And Compensation Framework

Department of Public Works and Transport (DPWT) in Champasack province

and Pakse Urban Development Administration Authority (UDAA)

Updated and Endorsed on 18 March 2012

Prepared with assistance from ADB TA 7567-LAO

vii

Map Pakse Villages ............................................................................................................... x

Note: This does not include the villages in Phonthong, Bachiang and Xanasomboun districts of Greater Pakse Urban Area. ........................................................................................... xi

Abbreviations and Equivalents .............................................................................................. xii

Executive Summary ............................................................................................................... 1

I Background ....................................................................................................................... 4

II Subproject Description ...................................................................................................... 5

III Scope of LAR .................................................................................................................. 7

A. Project Eligibility ...................................................................................................... 7

B. Measures to Minimize Land Acquisition and negative Impacts ................................ 7

C. Land Acquisition and Losses ................................................................................... 8

3.3.1 LAR impacts per sub-project .......................................................................... 8

3.3.2 Land Acquisition ............................................................................................. 8

3.3.3 Loss of Houses or Structures ......................................................................... 8

3.3.4 Loss of Crops and Trees ................................................................................ 8

3.3.5 Disruption of Businesses ................................................................................ 8

D Socio-Economic Profile ........................................................................................... 9

3.4.1 Socio-Economic Profile of Subproject Area .................................................... 9

3.4.2 Vulnerable APs ............................................................................................ 11

3.4.3 Severely Affected APs .................................................................................. 11

IV Policy Framework and Entitlements................................................................................ 11

A. Policy Framework .................................................................................................. 11

B. Project Principles ................................................................................................... 12

C. Eligibility for Compensation and Other Assistance ................................................. 13

D. Voluntary Land Contribution .................................................................................. 14

E. Entitlement Matrix .................................................................................................. 15

V Compensation, Relocation and Rehabilitation Arrangements ......................................... 18

A. Compensation Arrangements ................................................................................ 18

5.1.1 Permanent Land Acquisition ......................................................................... 18

5.1.2 Temporary Land Acquisition ......................................................................... 18

5.1.3 Voluntary Land Contributions ....................................................................... 18

5.1.4 Affected Structures and Houses ................................................................... 18

5.1.5 Disruption of Businesses .............................................................................. 19

5.1.6 Affected Crops and Trees ............................................................................. 19

5.1.7 AP Preferences and Concerns for Compensation and Resettlement ............ 19

B. Relocation Strategies ............................................................................................ 19

C. Rehabilitation Allowances ...................................................................................... 20

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D. Minority Ethnic Group and Gender Arrangements ................................................. 20

E. Due Diligence during the DMS ............................................................................. 21

VI Information Disclosure, Consultation and Grievance Redress ........................................ 23

A. LACP Information Dissemination and Consultations .............................................. 23

B. Information Disclosure ........................................................................................... 24

C. Grievance Redress ................................................................................................ 24

Table 4: PUEIP Grievance Redress Procedures ................................................25

VII Resettlement Costs ......................................................................................................... 25

A. Source of Resettlement Funds .............................................................................. 25

B. Compensation and Allowance Rates ..................................................................... 25

C. Resettlement Costs ............................................................................................... 25

VIII Institutional Arrangements ........................................................................................................................................ 26

IX Monitoring ...................................................................................................................... 27

A. Internal Monitoring for the Subproject .................................................................... 27

B. External Monitoring of AHs .................................................................................... 28

X Implementation Schedule ................................................................................................ 28

A. For Feasibility Study .............................................................................................. 28

B. Resettlement Steps Scheduling from start of Project implementation to Construction 28

Attachment 1: Village Impacts ................................................................................... 30

Attachment 2: Cost Recovery Survey ....................................................................... 31

Attachment 3: IOL .................................................................................................... 32

Attachment 4: Consultations with Stakeholders PUEIP in Pakse............................... 33

Attachment 5: Voluntary Contribution Consent Declaration ........................................ 37

Attachment 6: Declaration for Affected Persons ........................................................ 38

Attachment 7: Form for Consultation with no longer APs ........................................... 39

Attachment 8: Receipt of Compensation Payment for Affected Persons .......................... 40

Attachment 10: PUEIP Public Information Booklet .................................................. 43

Attachment 11a Population of Villages under the Project in Pakse District ............... 52

Attachment 11b Population of Villages under the Project in Phonthong District ........ 53

Attachment 11c Population of Village under the Project in Bachiang and Xanasouboun and Districts .............................................................................................. 54

Attachment 12 Terms of Reference PMIS ................................................................... 55

BACKGROUND AND INTRODUCTION ............................................................................... 56

A. BACKGROUND ..................................................................................................... 56

Part 1: Resettlement .................................................................................................... 57

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Part 2: Independent External Monitor ........................................................................... 57

C. THE CONSULTANT .............................................................................................. 57

TERMS OF REFERENCE ................................................................................................... 58

A. Part 1: Resettlement ............................................................................................. 58

B. Part 2: Independent External Monitor .................................................................... 60

Objectives .................................................................................................................... 60

Tasks ........................................................................................................................... 61

Methodology ................................................................................................................ 61

STAFFING INPUTS ............................................................................................................. 62

Table 1 Resettlement Consultants' Input ...................................................................... 63

Table 2 Independent External Monitor Input ................................................................. 63

IMPLEMENTATION SCHEDULE ......................................................................................... 63

REPORTS ........................................................................................................................... 66

FACILITIES AND EQUIPMENT ........................................................................................... 66

Attachment 13 Outline CEI Process ............................................................................ 67

x

Note: An additional 3 villages in Bachiang district have been included in the Project area (Ban Lomsack, Ban Xaysavang, and Ban Nongnamkhao).

xi

Map Pakse Villages

Note: This does not include the villages in Phonthong, Bachiang and Xanasomboun districts of Greater Pakse Urban Area.

xii

Abbreviations and Equivalents

ADB Asian Development Bank AFD Agence Francaise de Developpement AH Affected Household AIEC Average Incremental Economic Cost AIFC Average Incremental Financial Cost AP Affected Persons ASEAN Association of South East Asian Nations BME Benefit Monitoring and Evaluation BNP Branch Nam Papa BPO Business Promotions Office BTC Belgian Technical Cooperation

CAP Community Actions and Participation CAT Community Action Team CBO Community-based Organisation CDIA Cities Development Initiative for Asia CDM Clean Development Mechanism CEDAW Convention of the Elimination of all forms of Discrimination against

Women CEI Community Environmental Improvements CEO Chief Executive Officer CER Carbon Emission Reduction CIPP Community Information and Participation Program CDP Capacity Development Program CPI Committee for Planning and Investment CPS Country Partnership Strategy CSP Country Strategy and Program CUEI City-wide Urban Environmental Improvements DAFEO District Agriculture and Forestry Extension Office DCTPC Department of Communication, Transport, Post and Construction DGPS Differential Global Positioning System DHUP Department of Housing and Urban Planning DI Ductile Iron

DIP Department of Investment and Planning DLSW Department of Labor and Social Welfare DMS Detailed Measurement survey DN Pipe Nominal Diameter (in mm) DNA Designated National Authority DOE Designated Operational Entity DoS Department of Statistics DPACS Department of Public Administration and Civil Service (of the Prime

Minister’s Office) DPRA Development Project Responsible Agency DPWT Department of Public Works and Transport DRC District Resettlement Committee DUPH Department of Urban Planning and Housing EA Executing Agency EARF Environmental Assessment and Review Framework EB Executive Board ECC Environmental Compliance Certificate

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EDL Electricity Du Laos EDS Economic Development Scheme EIA Environmental Impact Assessment EIRR Economic Internal Rate of Return EL Enterprise Law EMP Environmental Management Plan EOCC Economic Opportunity Cost of Capital EPL Environmental Protection Law ESIA Environmental and Social Impact Assessment FIRR Financial Internal Rate of Return FS Feasibility Study GAP Gender Action Plan GDP Gross Domestic Product GHG Greenhouse Gas GIS Geographic Information System GOL Government of Lao PDR The Government Government Government Government Government

Government of Lao PDR GPOBA Global Program of Outputs Based Aid GRID Gender Resource Information and Development Centre GS Galvanized Steel HH Households HRD Human Resource Development ICB International competitive bidding IEC Information, Education and Communication IEE Initial Environmental Examination IEM Independent External Monitoring IMA Independent Monitoring Agent IOL Inventory of losses IPS Improved PNP Sustainability IPSIA Initial Poverty and Social Impact Assessment JICA Japanese International Cooperation Agency KOICA Korean Aid Agency Lao PDR Lao People's Democratic Republic LAR Land Acquisition and Resettlement LACF (P) Land acquisition and compensation framework (plan) LACR Land Acquisition, Compensation and Resettlement Principles LECS Lao Expenditure and Consumption Survey LFNC Lao Front for National Reconstruction LMB Lower Mekong Basin LURC Land Use Rights Certificate LWU Lao Women’s Union M. Muang MAF Ministry of Agriculture and Forestry masl mean average sea level M&E Monitoring and Evaluation MDGs Millennium Development Goals MEM Ministry of Energy and Mining MIS Management Information System MOH Ministry of Health

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MOIC Ministry of Industry and Commerce MPI Ministry of Planning and Investment MPWT Ministry of Public Works and Transport MRC Mekong River Commission MSW Municipal Solid Waste MUEIP Medium-term Urban Environmental Infrastructure Programme Nam Saat The National Center of Environmental Health and Water Supply NBCA Nam Ha National Biodiversity Conservation Area NCB National competitive bidding NCRWSSP Northern and Central Regions Water Supply and Sanitation Sector

Project NDF Nordic Development Fund NGO Non-Government organization NGPES National Growth and Poverty Elimination Strategy NORAD Norwegian Agency for Development Cooperation NPL Nam Papa Lao NPNL Nam Papa Nakhonluang NPV Nam Papa Vientiane NTU Nephelometric Turbidity Units NWTTI National Waterworks Technical Training Center (Thailand) OHUP Office of Housing and Urban Planning (of DPWT at provincial level) OOE Office of Education OOH Office of Health OPWT Office of Public Works and Transport O&M Operation and Maintenance PA Provincial Authorities PAFO Provincial Agriculture and Forestry Office PCU Project Coordination Unit PDR People’s Democratic Republic PE Polyethylene PIA Project Implementation Assistance PIAC Project Implementation Assistance Consultant PIB Public Information Booklet PIR Poverty Impact Ratio PM Prime Minister PMIU Project Management Implementation Unit PN Pipe Pressure Class PNP Provincial Nam Papa PPIAF Public-Private Infrastructure Advisory Facility PPP Public Private Partnership PPME Project Performance Monitoring and Evaluation PPSC Provincial Project Steering Committee PPTA Project Preparation Technical Assistance PRA Participatory Rapid Appraisal PRC Provincial Resettlement Committee the Project Pakse Urban Environmental Improvement Project Water Supply and

Sanitation Sector Project PSA Poverty and Social Analysis PSC Project Steering Committee PSP Private Sector Participation PTI Public Works and Transport Institute

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PUEIP Pakse Urban Environmental Improvement Project PVC Polyvinyl Chloride PWREO Provincial Water Resources and Environment Office RC Resettlement Committee RCS Replacement Cost Survey RF Resettlement Framework ROW Right of Way RP Resettlement Plan RPA Rapid Poverty Assessment SDC Swiss Agency for Development and Cooperation SES Socio-Economic Survey SGIA Second Generation Imprest Account SIP Sector Investment Plan SME Small-medium Enterprise SOE State Owned Enterprise SSIP Small Scale Independent Provider STEA [Former] Science and Technology Environment Agency STDP Small Towns Development Sector Project STUDP Secondary Towns Urban Development Project SWM Solid Waste Management TA Technical Assistance TOR Terms of Reference TDG Tariff Determination Guidelines UDAA Urban Development Administration Authority UFW Unaccounted-for-water VEI Village Environmental Improvements VIP Ventilated improved latrine VRC Village Resettlement Committee VWC Village Working Committee WACC Weighted Average Cost of Capital WASA Water Supply Authority WATSAN Water and Sanitation Unit WB World Bank WFP World Food Program WREA Water Resources and Environmental Agency (created 23 July 2007) WSARC Water Supply Authority Regulatory Committee WSD Water Supply Division WSIP Water Supply Investment Plan WSP-EAP Water and Sanitation Program for East Asia and the Pacific WSTP Water Supply Tariff Policy WtE Waste to Energy WTTC

Waterworks Technical Training Center (Lao PDR)

UNITS ha Hectare Lpcd Liters per capita per day L/s Liters per second m Meter

xvi

m2 square meter mg/L Milligrams per Liter mm Millimeter m3/day Cubic meters per day

sqm square meter

1

Executive Summary

A. Background

1. The Pakse Urban Environmental Improvement Project (PUEIP) will build on the Government’s policy (from the National Growth and Poverty Eradication Strategy (NGPES), the Government's Sixth National Socio-Economic Development Plan (NSEDP6) for 2006–2010 and the Urban Sector Strategy and Investment Plan for 2008–2020 under preparation) and on the ADB’s current work in the sector (ADB's Country Strategy and Program (CSP) for Lao PDR 2007–2011). Based on the Government’s request, the proposed Project was included in ADB’s CSP during the CSP midterm review conducted in August 2009.

2. The Project's expected impact is the development of Pakse District as a regional economic and tourism center. This will further promote economic ties with the neighboring countries of Cambodia, Thailand, and Viet Nam. The outcome of the Project will be improved urban environment in Pakse. This will be achieved through urban and environmental infrastructure improvement and stronger urban management capacity. The project area will include 42 villages in Pakse District, 3 villages in Bachiang District, and 13 villages in Phontong District on the western side of the Mekong River whereby infrastructural works will focus on Pakse District and some minor works in Phonthong District. . The Project will also include the landfill site in 1 village in Xanasomboun district.

3. The Project was prepared with project preparation technical assistance from ADB (TA 7567-LAO), and pre-feasibility study funded by the City Development Initiative for Asia (CDIA) which was completed in June 2010 (Asian Development Bank TA 6293-REG). The TA aims to develop the Project suitable for ADB financing in terms of technical, financial, economic, institutional, sector policy, legal, and safeguard contexts, in conjunction with the country partnership strategy (CPS), operational experience, and lessons from evaluations of previous ADB-supported projects in the sector.

4. The Ministry of Public Works and Transport will be the executing agency (EA), and the Department of the Public Works and Transport in Champasack province and Pakse Urban Development Administration Authority are the implementing agencies..

5. An urban development strategy and a flood protection and storm water drainage strategy were prepared under the TA. The former strategy aims to guide the overall future urban growth while the latter will support the sustainable development of urban areas by reducing flood risks.

6. A Land Acquisition and Compensation Framework for PUEIP has been prepared by the PPTA for PUEIP in compliance with the PUEIP policies and procedures under the laws and decrees of the Government of Lao (GoL) People’s Democratic Republic (PDR) and Asian Development Bank’s (ADB’s) Safeguard Policy Statement (2009)

B. Planned Civil Works

7. Based on the review of existing conditions of urban infrastructure, a long-list of potential project outputs was developed. From those, based on discussions with the Government, ADB and TA, the following four Project components were decided on: (i) City-wide Urban Environmental Improvements, (ii) Community Urban Environmental Improvements, (iii) Institutional Strengthening and, (iv) Project Management Support.

8. Under the City-wide Urban Environmental Improvements (CUEI) component physical works on drainage improvements and riverbank erosion protection will be carried out in 11 villages in Pakse according to the proposed design1. Under the Community Urban

1 Yai Tha Hai, Kea, Tha Hin Neua, Phonsaath, Phabath, Thaluang, Houay Poune, Sanamxay, Souan Savanh,

Phonsavanh, Phoumouang

2

Environmental Improvements (CEI) component minor civil works will be carried out in a selection of villages in Pakse District, Phonthong District and Bachiang District. An LACP covering LAR impacts under the CUEI component has been prepared and can be used as an example LACP for sub-projects under the Community Urban Environmental Improvements component that have LAR impacts. While the update of the LACP during detailed design will cover any change in project design for Output 1, the LARF covers Output 2 and any unforeseen infrastructure development during project implementation (e.g., new drains or expansion of landfill)

C. Land Acquisition and Resettlement Impacts

9. In the event that LAR impacts of a sub-project are insignificant2, or ADB category B, this sub-project of the Project is judged to be eligible3 for inclusion in the Project. An LACP is required for each sub-project in which civil works are proposed with a scope that is larger than can be covered by voluntary contributions. An LACP is based on an assessment of the land acquisition and resettlement (LAR) impacts as part of preparation for the sub-project.

10. LAR impacts could be expected from the following physical works that will be carried out under the CUEI and CEI component of PUEIP:

(i) Improvements of drainage through: Expansion of landfill to an additional cell (adjacent to the existing landfill)

(ii) Improvements of drainage through: construction of pump stations rehabilitation of outlet channels demarcation and protection of retention ponds installation of flap gates construction of primary drains construction of secondary drains

(iii) Riverbank erosion protection through: installment of revetment with gabions on very steep slope

(iv) Community driven village improvements through: construction of tertiary drains and access roads construction of solid waste transfer areas

11. The impacts of these physical works will be mainly loss of minor strips of land and some trees and crops, chicken pens, latrine pits, fences, verandas over the existing drainage and other small parts of the house. 12. In very few cases there might be the need for relocation but for the civil works under the CUEI this was estimated to be the case for 1 household only. For the CEI component one of the criteria for selection of a sub-project will be that there is no relocation required.

2 Insignificant: less than 200 APs severely affected; severely affected: relocated, 10% or more of productive

assets taken, more than 40% of the surface of the house damaged 3 LAR must be insignificant to meet Project eligibility

3

D. Severely Affected APs

13. Under the CUEI component, (1) is severely affected due to the riverbank erosion protection works. It is uncertain at the moment, whether the existing landfill site will need to be expanded into another cell of about 3.7 hectares. Under the CEI component sub-projects for which relocations are required will not be included and it is highly unlikely that there will be AHs who will be severely affected in another way (10% of assets taken or more than 40% of the house damaged).

E. Policy Framework

14. The LACF (according to Lao PDR's terminology) (Resettlement Framework, RF, in ADB terminology) is developed from the laws and decrees of the Government of Lao (GoL) People’s Democratic Republic (PDR) and Asian Development Bank’s (ADB’s) relevant policies and guidelines. The latest being ADB's new Safeguard Policy Statement (June 2009, approved by ADB’ Board July 2009) and the Lao Government's Decree on Environmental Assessment (EA), February 2010 (112/PM). Provisions and principles adopted in the LACF supplement the provisions of relevant decrees currently in force in Lao PDR wherever a gap exists. The LACP (Resettlement Plan, RP, in ADB terminology) for the CUEI component fully complies with all criteria and contents of the LACF.

F. Information Dissemination and Consultations

15. To date, dissemination and consultation activities have occurred as an integral part of the preparation of the LACP for the CUEI component. In the event that an LACP is required for the landfill expansion and the sub-projects under the CEI component the same process as described below will be followed. APs are notified in advance about land acquisition, compensation and resettlement activities for the subproject, including among others: (i) public meetings, (ii) distribution of PIB, (iii) preparing official lists of eligible APs and their entitlements, (iv) compensation rates and amounts, (v) and, other matters such as the grievance redress mechanism. 16. Further public consultation and participation will be conducted in the form of: (i) on-site informal discussions with affected residents; (ii) key informant interviews; (iii) affected persons survey, with questions relevant to resettlement impacts of physical works and to the calculation of compensation; (iv) focus group discussions, integrating social and resettlement issues; and (v) disclosure of the draft LACP and especially the IOL for comments/reactions. 17. During implementation of PUEIP all AHs will participate in detailed measurements and discussions about the expected impacts because of physical works. They will be given the chance to negotiate and agree to the proposed compensation based on the estimated impacts.

G. Land Acquisition and Resettlement Costs

18. Based on the IOL conducted during the preparation of the sub-projects, the estimated cost of LAR for the sub-project will be determined. This cost includes (i) the base LAR costs; (ii) allowances for severely affected and vulnerable APs; and, (iii) contingencies of 10% reserve fund.

4

H. Institutional Arrangements

19. The Ministry of Public Works and Transport (MPWT) will be the executing agency (EA), responsible for preparation and implementation of the Project. The Champassak Provincial Department of Public Works and Transport (DPWT) and the Pakse Urban Development Administration Authority (UDAA) will be the implementing agencies. A Project Coordination Unit (PCU) will be established in the Department of Housing and Urban Planning in MPWT. The Project Management and Implementation Unit (PMIU), comprising of staff from both DPWT and UDAA, will be housed in UDAA. A Project Steering Committee (PSC) will be established at the Champassak provincial level, with the vice provincial governor as chair and the district chief of Pakse district as vice chair.

20. The PUEIP LACF sets out detailed information on the institutional arrangements for the preparation and implementation of land acquisition, compensation and resettlement for the Project.

21. The PMIU has overall responsibility for activities related to land acquisition and compensation of APs. The scope of these activities includes (i) conducting the AP census, DMS and due diligence following detailed engineering design; (ii) assessing losses, AP entitlements and requirements for compensation and rehabilitation assistance, including updating the Entitlement Matrix as required; (iii) consulting with all APs to inform them about the subproject impacts, their entitlements, compensation rates, rehabilitation assistance and procedures and schedules for implementation of an LACP; (iv) assisting the work of resettlement committees; (v) internal monitoring and regular reporting on land acquisition, compensation and resettlement activities; and, in collaboration with other PMIU staff, (vi) ensuring coordination of land acquisition activities and civil works.

I. Monitoring

22. The sub-projects that have LAR impacts and activities will have internal and external monitoring activities.

23. The scope of internal monitoring to be carried out by the PMIU assesses (i) compliance with the PUEIP resettlement policies and procedures and (ii) the availability and efficient use of personnel, material and financial resources; and, identifies the need for (iii) remedial actions to correct any problems that arise.

24. An Independent External Monitoring is responsible for monitoring; and, to assess whether AHs are able to restore their living conditions, livelihoods and incomes to pre-subproject levels and, if not, to recommend remedial actions to assist AHs.

I Background


26. The Project's expected impact is the development of Pakse District as a regional economic and tourism center. This will further promote economic ties with the neighboring countries of Cambodia, Thailand, and Viet Nam. The outcome of the Project will be improved urban environment in Pakse. This will be achieved through urban and environmental infrastructure improvement and stronger urban management capacity. The

5

project area will include 42 villages in Pakse District, four villages to the east in Bachiang District, and 13 villages of Phontong District on the western side of the Mekong River whereby infrastructural works will focus on Pakse District and some minor works in Phonthong District. The Project will also include the landfill site in 1 village in Xanasomboun district.

27. The ADB-funded project preparatory TA has been developed following the pre-feasibility study funded by the City Development Initiative for Asia (CDIA) which was completed in June 2010 (Asian Development Bank TA 6293-REG). The TA aims to develop the Project suitable for ADB financing in terms of technical, financial, economic, institutional, sector policy, legal, and safeguard contexts, in conjunction with the country partnership strategy (CPS), operational experience, and lessons from evaluations of previous ADB-supported projects in the sector.


29. A PUEIP Land Acquisition and Compensation Framework (LACF) has been prepared by the PPTA for PUEIP in compliance with the PUEIP policies and procedures under the laws and decrees of the Government of Lao (GoL) People’s Democratic Republic (PDR) and Asian Development Bank’s (ADB’s) Safeguard Policy Statement (SPS 2010) along with relevant policies and guidelines.

30. The LACF (i) identifies the legal and policy frameworks of the Lao Government and appropriate ADB guidelines; (ii) sets out procedures and policies on LAR to guide mitigation of impacts during project implementation; (iii) identifies an IOL and (iv) includes an estimated budget for implementing the compensation plan.

31. In the event an LACP is needed for a sub-project4, the LACP is based on an assessment of the land acquisition and resettlement (LAR) impacts as part of preparation for the sub-project.

II Subproject Description

32. Based on the review of existing conditions of urban infrastructure, a long-list of potential project outputs was developed. From those, based on discussions with the Government, ADB and TA, the following four Project components were decided on: (i) City-wide Urban Environmental Improvements, (ii) Community Urban Environmental Improvements, (iii) Institutional Strengthening including Community Awareness Raising and, (iv) Project Management Support. These components include the following sub-projects:

(i) City-wide Urban Environmental Improvements include:

- construction of primary and secondary drains in the main catchment areas, demarcation and protection of retention areas, flap-gates and pumps

- riverbank erosion protection with the installment of revetment with gabions on very steep slopes on the Xedon river

- possible upgrading and expansion of existing landfill site and improvement of collection services

4An LACP is required for each sub-project in which civil works are proposed with a scope that is larger than can be covered by voluntary contributions under the conditions set out in the section on voluntary contributions below.

6

(ii) Community Urban Environmental Improvements:

- focusing mainly road access and drainage, and improved solid waste collection; this includes a fund for community-driven infrastructure upgrading in villages

- household sanitation (iii) Institutional Strengthening including Community Awareness Raising

- Capacity building in urban planning and management - Environmental improvement behavior change

(iv) Project Management Support 33. A more precise description of physical works per sub-project should be given in the LACPs for the different sub-projects detailing location, scope and nature of works. 34. Physical works under the CUEI component will be carried out in 11 villages in Pakse according to the proposed design5 and 1 village in Xanasomboun district (Ban Houaxai, which is the location of the landfill site). 35. Villages eligible for inclusion in the CEI component will be selected according to criteria agreed upon by all stakeholders during the implementation of PUEIP. Initial criteria’s developed by the PPTA are as follows: (i) Village willingness to participate (i.e., 90% or more of the village agrees to

participate) (ii) Proximity to existing or proposed primary or secondary infrastructure network (iii) Linkage with works proposed under Output 1, City-wide Environmental

Improvements (iv) Incidence of poverty (at least 40% of the proposed beneficiaries are poor according

to participatory village wealth ranking) (v) Poor condition of village drainage (vi) Incidence of flooding due to storm-water (vii) Poor condition of village sanitation facilities (viii) Incidence of ad-hoc solid waste disposal in the village (ix) Poor coverage of solid waste collection in the village An IR/IP screening will be conducted for each sub-project during detailed design and

particularly during the selection process for the CEI village component . However, under the CEI component, if verified and confirmed that any of the remaining 10% village households do not agree to participate for exchange of land for the project benefits, they will be triggered by Involuntary resettlement and an LACP will be prepared for the sub project guided by the LACF.

36. Included villages could be all or some of the 46 villages in Pakse District, 13 villages in Phontong District and 4 villages in Bachiang District. The allocated funds per village will be on a per capita basis, ranging from $30 to $35 per capita. The cost sharing is 80% by the project, 10% by the government and 10% by the beneficiaries. 37. Once the villages are selected a process of village consultation and participation will start to determine the nature and scope of sub-projects and who will be the beneficiaries. This participatory process of preparation and decision-making is described in an outline of the CEI process in Attachment 13.

5 Yai Tha Hai, Kea, Tha Hin Neua, Phonsaath, Phabath, Thaluang, Houay Poune, Sanamxay, Souan Savanh, Phoumouang,

Phonsavanh

7

38. Although sub-projects that lead to relocations will not be permitted and villagers could choose to pay part or all their 10% contribution requirement in-kind (meaning in land), there might still be cases where LAR impacts exceed the voluntary contributions in which case the procedure for LAR will have to be started to determine the exact extent of the impacts and agree on a fair compensation plan.

III Scope of LAR

A. Project Eligibility

39. The policy for the PUEIP is that sub-projects are eligible if, in addition to other criteria, the land acquisition and resettlement impacts are not significant6. E.g., the LAR impacts for the sub-projects under the proposed CUEI component are insignificant, or ADB category B, as there is only 1 AHs (3 APs) who are severely affected. For a Category B, a Land Acquisition and Compensation Plan (LACP) has to be prepared.

40. In the Land Acquisition and Resettlement Screening Form it is determined per sub-project if the sub-project is B or C (C meaning no LAR impacts at all and no requirement for a LACP). 40. The purpose of the LACF/LACPs is to ensure that all affected people (APs) will be compensated at replacement cost for their losses, and provided with rehabilitation measures so they are at least as well off as they would have been in the absence of the Project. Public Information Booklets have been distributed during the PPTA phase.

B. Measures to Minimize Land Acquisition and negative Impacts

41. The measures taken to minimize land acquisition required for the sub-projects include: (i) establishment of retention areas will be at public land as much as possible; all proposed retention areas are vacant, low-lying, already prone to flooding and without any existing buildings on them, (ii) the drainage channels are located in the right-of-way of roads as much as possible, (iii) riverbank erosion protection works will be only on the steep slopes where there is no construction, (iv) access to the riverbank slopes during the riverbank erosion works will be through public areas without any temporary disruption to any of the existing residential or commercial structures (e.g., small businesses) on the riverbank, and (v) agricultural activities, mostly growing rice during the wet season and vegetables during the dry season, will be permitted to be continued after protection works are done. The civil works will begin after the harvest of the produce is completed.

42. The riverbank erosion protection works will be designed and constructed to enable the cultivation of riverside gardens and to maintain convenient river access for villagers to boats, cattle, gardens and other facilities at the river’s edge. Villagers will be consulted during the planning, design and construction of the protection works to ensure that sufficient and appropriate access is provided during construction and after construction has been completed. Particular attention will be given to the number of access points and the height and width of concrete steps on the slopes of the protection works.

43. For the CEI component, the land acquisition is minimized as the physical works are minor that include improvements on access roads, tertiary drainage and other infrastructure focusing on improving solid waste management.

6 Significant meaning more than 200 APs severely affected (relocation, loss of 10% productive assets, and where assets are

affected only partially but the remaining assets are rendered un-viable for continued use and relocation might necessary for that reason (the latter from the Guidelines on Resettlement Compensation (WREA, March 2010)

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C. Land Acquisition and Losses

3.3.1 LAR impacts per sub-project

44. LAR impacts will be mainly expected from the physical works under city-wide Urban Environmental Improvements component. The related physical works that will be carried out under this component of PUEIP are (i) rehabilitation and possible expansion of the landfill site; (ii) improvements of drainage, and (iii) riverbank erosion protection. The LAR impacts and compensation measures have been described in the LACP for the CUEI component. The LACP prepared will be updated following detailed design. In case the landfill is expanded and requires additional land to be acquired (approximately 3.7 hectares), a separate LACP will be prepared governed and guided by the principles in this LACF. 45. The impacts of these physical works will be mainly loss of minor strips of land and some trees and crops, chicken pens, latrine pits, fences, verandas over the existing drainage and other small parts of the house. 46. Physical works of the CEI component may involve minor land acquisition and some trees, crops, fences, verandas and other small parts of houses. Improvements may include access roads, tertiary drainage and other infrastructure focusing on improving solid waste management. This will be decided upon during the community environmental participatory activities at the beginning of the implementation of PUEIP. As these improvements are demand-driven, the exact scope and land requirements will not be known until implementation. 47. LAR impacts per village in the sub-project can be given in the form in Attachment 1.

3.3.2 Land Acquisition

48. The extent of land acquisition for the sub-projects can be summarized per sub-project and per type of work (e.g., drainage and small access roads).

49. The different types of land to be acquired for the sub-projects is documented. Land can be private (land title, land certificate, user agreement and paying tax) or government land. The latter can be public or village land. Land types are also distinguished by use (residential, commercial, agricultural (flat) land, garden land (for trees and crops on mountain slopes).

3.3.3 Loss of Houses or Structures

50. The extent of loss of houses or structures for the sub-projects for which an LACP is prepared can be summarized here.

3.3.4 Loss of Crops and Trees

51. The extent of loss of crops and trees for the sub-projects for which an LACP is prepared can be summarized here.

3.3.5 Disruption of Businesses

52. The extent of loss of business or income for the sub-projects for which an LACP is prepared can be summarized here.. The list of all APs per sub-project and their affected assets is in the IOL in Attachment 3.

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D Socio-Economic Profile

53. Socio-economic profiles have been prepared for the Project area and for the APs under the CUEI component, including data on key indicators related to land acquisition and resettlement impacts. The sources of data on socio-economic conditions are the results of the social survey conducted during the preparation for the Project under the CDIA project and during preparation of the subproject Feasibility Study (FS) between February and June 2011. The socio-economic conditions of APs were surveyed during the fieldwork for preparation of the current PPTA. For sub-projects under the CEI component that are categorized as Category B for LAR, a census and basic socio-economic survey of 30% of the APs and 100% of all affected APs has to be conducted.

3.4.1 Socio-Economic Profile of Subproject Area

54. Pakse is the capital of Champasack Province in southern Lao PDR, and the country's third largest town. The district has 42 villages with 12,580 households with a population of 77,331 of whom 40,243 are women. As Lao PDR is a land-locked country, Pakse has been developed as an economic growth center with strong economic ties with the neighboring countries. Pakse is located along National Road 13, the country's main transportation highway, and the Mekong River, and 30 km east of the Lao–Thai border town of Chong Mek and 60 km east of Ubon Ratchatani, Thailand's southeastern regional hub. The construction of the Lao–Nippon Bridge over the Mekong River at Pakse in 2001 provided a new direct road link between Pakse and Thailand. This triggered a significant increase in commercial activities in and around the city. The road connecting Saravan (180 km east of Pakse) to Viet Nam is currently under construction.

55. The villages in Pakse District are grouped into five Kum Bans and one group of 13 large villages in the central urban area. Population figures of the villages under the project are as shown Attachment 11a.

56. Pakse District as a whole is not classified among the 72 poorest districts in Lao PDR. Based on the poverty criteria used by the provincial government7 Pakse district had no poor households in 2009. However, the district authorities recognise that Pakse would not be free of poor households if the Government’s new criteria on poverty line issued of October 2009 would be applied. The Statistics Department has developed questionnaires for collection of household level income and is in the process of conducting data collection and processing.

57. The Geography of Poverty and Inequality in the Lao PDR Report8 supported by SDC reveals that the poverty rate in Pakse ranges from 10 to 30 percent. This analysis was based on the data from the Lao Expenditure and Consumption Survey No.3 (LECS3)9 and the population Census of 2005 and the poverty line set at 116,663 Kip/person/day.

58. Poor households identified by the PUEIP PPTA are based on the Decree No. 285/PM issued on 13 October 2009 relating to poverty and development criteria for 2010-2015. This decree provides a definition as well as criteria to identify poverty and development at the household, village and district levels. Poverty is defined as the lack of basic needs for a daily active healthy life such as lack of food to provide 2,100 kilo calorie per person per day, lack of necessary clothes, no permanent dwelling, cannot afford medical

7 Poor households are households with an income of less than 250,000 and 450,000 Kip/month for the upland and lowland area respectively.

8 The Geography of Poverty and Inequality in Lao PDR, Swiss national Centre of Competence in Research, and International Food Policy Research Centre, 2008

9 Lao Expenditure and Consumption Survey No3, Committee for Planning and Cooperation, Govt of Lao PDR, 2003

10

expenses, cannot afford basic education, and do not have access to the networks of basic infrastructure services. The poverty line is set at 180,000 Kip per person per month for rural areas and 240,000 in urban areas. As Pakse is an urban district this report is based on the poverty line of 240,000 Kip per person per month.

59. The estimation of the poor households by the PPTA is based on the new poverty line mentioned above (Kip 240,000 per person per month) and an average household size of 5 persons. The assumption is that poor households would have more or less the same level of income as their expenditure. Thus poor households are considered to be those households with a monthly expenditure of less than Kip 1,200,000, representing about 35.4 percent of the total number in the sample (662 households). This finding is close to the findings in the Geography of Poverty and Inequality in the Lao PDR showing that the poor households in Pakse are between the range of 10 to 30 percent.

60. The majority of the poorest households (9 percent of the total sample of 662 households) with an expenditure below 450,000 Kip live in the sub-urban villages. However, most of the poor (25.5 percent of the total samples) with the expenditure between 500,000 to 1,200,000 Kip can be found in the urban villages. The average and the better off households with monthly expenditure between 1,200,001 and 4,800,000 or above are concentrated in the urban villages.

61. The data obtained from the district offices of Phonthong and Bachiang during the PPTA revealed almost 4% of the households in the study villages of Phonthong live under the poverty line and there is no poor household in the study village of Bachiang. The household survey amongst potentially affected households in Pakse in 2011 revealed that poor households represent 16% of the sample households and amongst them 50% are amongst the poorest with a monthly household income of less than 100,000 kip per person. They are the landless who moved to the area within the past 5 to 10 years to search for employment in town.

62. Phonthong District is located on the western side of Mekong River opposite Pakse. The district has a border with Thailand. This district is one of the main rice producing districts of Champasack Province. The district has 17 villages with 4,402 households with a population of 25,078 of whom 12,720 are women. Population figures of the villages under the project are as shown in Attachment 11b.

63. Bachiang District is located adjacent to Pakse on the southern side. This district is an important area for agricultural produce, most notably coffee, tea, fruit trees and recently rubber plantations. This district also has some major tourist attractions. The district has 12 villages with 3,420 households with a population of 20,134 of whom 9,751 are women. Population figures of the one village under the project are as shown in Attachment 11c.

64. Mon Khmer population in Pakse district (Pattana and Chatsan villages) do not self-identify as separate ethnic minority population. Bachiang district (Hoa Sea village) and Phonthong district are populated by majority Tai Kadai Lao speaking group, confirming IP categorization “C”.Socio-Economic Survey will collect the information from a smaple of 10% of affected households and 20% of severely affected households, disaggregated by gender and ethnicity. The purpose of the survey is to provide a baseline data on households to assess resettlement impacts and to be sure that the proposed entitlements are appropriate and to be used for resettlement monitoring.

65. Basic data to be collected includes:

Household head: Name, sex, age, livelihood or occupation, income, education and ethnicity:

Household members: number, livelihood or occupation, school age children, school attendance, literacy disaggregated by gender:

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Living conditions:access to water, sanitation and ownership of goods

Access to basic services and facilities.

3.4.2 Vulnerable APs

66. Vulnerable APs10 may be at greater risk due to the impacts of land acquisition and resettlement; as a consequence, they are entitled to additional assistance to help them to restore living and socio-economic conditions if they are severely affected. Below are the different vulnerable groups.

Female--headed households amongst the affected households and the ethnic group they belong to.

The ethnic group to which the affected households belong.

The poverty category that the different vulnerable group belong to and if they are severely affected.

3.4.3 Severely Affected APs

67. Severely affected APs are defined as those that as (i) being physically displaced from housing, or (ii) losing 10% or more of their productive assets (income generating).- (ii) must relocate and rebuild their house and/or shop on new land; and/or, (iii) where assets are affected only partially but the remaining assets are rendered un-viable for continued use and relocation might necessary for that reason. They are entitled to additional assistance to restore incomes and/or relocate.

68. Relocation is not permitted under the CEI component. However, people will be severely affected if they lose 10% or more of their productive assets or more than 40%11 of the surface of their house. The compensation and entitlements for these APs will be governed by the LACF.

IV Policy Framework and Entitlements

A. Policy Framework

69. This LACF (according to Lao PDR's terminology) (Resettlement Framework, RF, in ADB terminology) is developed from the laws and decrees of the Government of Lao (GoL) People’s Democratic Republic (PDR) ADB's Safeguard Policy Statement (2010) and the Lao Government's Decree on Environmental Assessment (EA), February 2010 (112/PM). Provisions and principles adopted in the LACF supplement the provisions of relevant decrees currently in force in Lao PDR wherever a gap exists.

70. More in particular, the PUEIP policy framework and entitlements have been built upon the laws of the Government of Lao PDR, principally the Constitution (1991) and the Land Law (1997, 2003), the Road Law (1999), Decree 192/PM on Compensation and Resettlement (July 2005), the Regulations for Implementing Decree 192/PM issued by the Science Technology and Environment Agency and Technical Guidelines for Compensation and Resettlement of People Affected by Development Projects (November 2005), Advise mandate No 20 by the Secretariats of the Lao Revolutionary Party Committee (dated May 29, 2009) and Asian Development Bank's (ADB) Safeguard Policy Statement (2010).

10 Vulnerable: female headed, ethnic minority, poor and disabled households

11 This is a criteria based on experience in other projects in Laos where civil works could damage a large part of a house without being recognized as 'severely affected'. It was discussed with an ADB Team in June 2009 and agreed upon as addition to the ADB criteria

12

71. The overall aim of the above policies is to avoid or minimize or mitigate the impacts by exploring project alternatives; to enhance or at least restore, the livelihoods of all displaced persons in real terms relative to project levels; and to improve the standards of living of the displaced poor and other vulnerable groups. The policy sets out principles for land acquisition, compensation and resettlement.

72. In 2009, ADB endorsed a new Safeguard Policy Statement (June 2009, approved by ADB’ Board July 2009), and the Lao Government issued a Decree on Environmental Assessment (EA), February 2010 (112/PM). This Decree stipulates that a social management and monitoring plan (SMMP) should be part of the EA. This SMMP should define the main social activities, measures on prevention, minimization and mitigation of social impacts, as well as measures on compensation, resettlement and restoration of living conditions of the people who are (will be) affected by the investment project. In March 2010, an update on Technical Guidelines for Compensation and Resettlement (from Nov 2005) was published. The update was prepared in accordance with the provisions of Decree 192, the Implementing Regulations, and the National Policy No. 561 CPI on Environmental and Social Sustainability of the Hydropower Sector in Lao PDR issued on 7 June 2005. The Guidelines explain in detail the processes and procedures necessary for collection of data, surveys and preparation of various documents in accordance with the provisions of Decree 192 on Resettlement and Compensation.

73. Together, the new ADB Safeguard Policy Statement and the new Guidelines on implementation of Decree 192 confirm and strengthen the agreed upon policy on resettlement for the current Project.

B. Project Principles

74. The main policy principles are to:

Screen the project early on to identify past, present, and future involuntary resettlement impacts and risks. Determine the scope of resettlement planning through a survey and/or census of displaced persons, including a gender analysis, specifically related to resettlement impacts and risks.

Carry out meaningful consultations with affected persons, host communities, and concerned non-government organizations. Inform all displaced persons of their entitlements and resettlement options. Ensure their participation in planning, implementation, and monitoring and evaluation of resettlement programs. Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women and children, and Indigenous Peoples, and those without legal title to land, and ensure their participation in consultations. Establish a grievance redress mechanism to receive and facilitate resolution of the affected persons’ concerns. Support the social and cultural institutions of displaced persons and their host population. Where involuntary resettlement impacts and risks are highly complex and sensitive, compensation and resettlement decisions should be preceded by a social preparation phase.

Improve, or at least restore, the livelihoods of all displaced persons through (i) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation at replacement value for land when the loss of land does not undermine livelihoods, (ii) prompt replacement of assets with access to assets of equal or higher value, (iii) prompt compensation at full replacement cost for assets that cannot be restored, and (iv) additional revenues and services through benefit sharing schemes where possible.

Provide physically and economically displaced persons with needed assistance, including the following: (i) if there is relocation, secured tenure to relocation land, better housing at resettlement sites with comparable access to employment and

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production opportunities, social and economic integration of resettled persons into their host communities, and extension of project benefits to host communities; (ii) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (iii) civic infrastructure and community services, as required.

Improve the standards of living of the displaced poor and other vulnerable groups, including women, to at least national minimum standards. In rural areas, provide them with legal and affordable access to land and resources, and in urban areas, provide them with appropriate income sources and legal and affordable access to adequate housing.

Develop procedures in a transparent, consistent, and equitable manner if land acquisition is through negotiated settlement to ensure that those people who enter into negotiated settlements will maintain an equal or better income and livelihood status.

Ensure that displaced persons without titles to land or any recognizable legal rights to land are eligible for resettlement assistance and compensation for loss of non-land assets.

Prepare a resettlement plan elaborating displaced persons’ entitlements, the income and livelihood restoration strategy, institutional arrangements, monitoring and reporting framework, budget, and time-bound implementation schedule.

Disclose a draft resettlement plan, including documentation of the consultation process in a timely manner, before project appraisal, in an accessible place and a form and language(s) understandable to affected persons and other stakeholders. Disclose the final resettlement plan and its updates to affected persons and other stakeholders.

Conceive and execute involuntary resettlement as part of a development project or program. Include the full costs of resettlement in the presentation of project’s costs and benefits. For a project with significant involuntary resettlement impacts, consider implementing the involuntary resettlement component of the project as a stand-alone operation.

Pay compensation and provide other resettlement entitlements before physical or economic displacement. Implement the resettlement plan under close supervision throughout project implementation.

Monitor and assess resettlement outcomes, their impacts on the standards of living of displaced persons, and whether the objectives of the resettlement plan have been achieved by taking into account the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports.

Mass organisations such as the Lao Women’s Union (LWU) and the Lao Front for National Construction (LFNC) and other community organisations that represent the interests of women, ethnic minorities and poor households will participate as members of the District Resettlement Committee (DRC) involved in the planning and implementation of resettlement activities. Specific methods will be adopted to (i) ensure collection and analysis of data disaggregated by gender and ethnicity, (ii) encourage the participation of women, ethnic minorities and other vulnerable groups and (iii) provide appropriate rehabilitation measures for vulnerable APs as required.

C. Eligibility for Compensation and Other Assistance

75. All APs who are identified in the project-impacted areas on the cut-off date will be entitled to compensation for their affected assets, and rehabilitation measures sufficient to assist them to improve or at least maintain their pre-project living standards, income-earning capacity and production levels. The cut-off date will be the final day of the first census and

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IOL in each sub-project. Those who encroach into the sub-project area after the cut-off date will not be entitled to compensation or any other assistance, unless there has been a change in sub-project design.

D. Voluntary Land Contribution

76. For the PUEIP, voluntary donation will not be applied for any assets except very minor losses of residential land. The following criteria for the voluntary contribution:

APs must have a total land holding of 300 m2 in order to be eligible for donation. If the AP’s residential land area in question is more than 300 m2, the amount of land that can be donated cannot be more than 5% of the total land holding.

77. Voluntary donation according to these criteria resembles the Government’s Decree 192/PM/2005. The procedures for voluntary contributions are designed to facilitate an informed, transparent and accountable process. To ensure this, voluntary contributions shall be acceptable only if the following safeguards are in place:

There is full consultation with local officials, affected land owners, any non-titled affected people and other stakeholders regarding the site selection, land acquisition requirements and the issues surrounding voluntary land contributions.

All APs and other stakeholders are fully informed about the potential impacts of the voluntary donations. They agree that a) the proposed donations are directly linked to benefits they will receive and b) do not severely affect their living conditions, livelihoods and incomes; and, they are satisfied that c) community sanctioned measures are in place to replace any losses that are agreed to through written record by affected people

households who are required to contribute land in order for the project to proceed, must be informed that they also have an option to refuse and instead contribute cash or in-kind.

All voluntary contributions will be well documented and confirmed through a written agreement between the AP and the local authority, and verified by an independent third party such as a designated person, mass organization, non-government organisation or legal authority.. . A sample of the written agreement is included in Attachment 5. Written agreements shall be kept at the PMIU office and a summary provided to ADB as proof that all APs are accounted for, either by a receipt of compensation for their lost assets or by an agreement on voluntary contribution (or both if the total affected assets exceed the allowed voluntary contribution). At any time, ADB may check the written agreements during review missions or request for a copy of the written agreements.

The local authorities have established adequate grievance redress mechanisms for the Project and fully informed APs and other stakeholders of these procedures.

The independent external monitor will interview a sample of households and check written agreements with those households that have voluntarily contributed land. She/he will include her/his findings as part of the IEM report that is provided to the PCU and ADB for no objection prior to civil work awards.

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E. Entitlement Matrix

78. The Entitlement Matrix summarizes the main types of losses and the corresponding nature and scope of entitlements in the following Table 3.

Item Type of loss Application Entitled persons Compensation policy Implementation issues

1a Loss of land Residential land/agricultural land/vacant plot

Owners with legal title (Legal users are those with recognized land use rights such as registered title, land certificate, survey certificate, tax receipts and including unregistered users as per Land Law)

Compensation at replacement value of land for land.

For land lost less than 10% of the total land holding, APs will receive cash compensation at replacement cost.

For land lost more than 10% of the total land holding, APs will be allocated replacement land of similar type, category and productive capacity, located in the same village and with land title or secure tenure; or, if land is not available or the APs chooses, cash compensation at replacement value.

Includes option of compensation to the remaining affected ;and which is no longer viable

Provision of transitional allowance based on three months minimum wage rates

Provision of shifting assistance for households

Provision of notice to harvest All transaction fees, taxes

and other costs associated with allocation of replacement land with title or secure tenure will be paid from Government budget under the Government's contribution to the Project.

If the head of household is married, the title or land certificate will be issued in the names of both spouses.

Vulnerable households to be identified during census. Census and IOL will be updated per detailed design.

1b Loss of land Residential land/agricultural land/vacant plot

Tenants and shareholders

Compensation equal up to 3 months of rental

60 days of notice for agricultural land to harvest seasonal crops. If notice cannot be provided, share of crops will be compensated.

Additional compensation for vulnerable households

Land owners will reimburse the tenants/lease holders land rental deposit or unexpired lease

Vulnerable households to be identified during census

Census and IOL will be updated per detailed design.

1c Loss of land Residential land/agricultural land/vacant plot

Displaced persons without legal titles (encroachers and squatters)

4 60 days advance notice to move from occupied land

5 If they have no other residential land holding, they will be allocated replacement land with leasehold tenure to rebuild their house

6 Vulnerable households to be identified during census

7 Census and IOL will be updated per detailed design.

2a Loss of structure

Residential/commercial structure and any

Owners with legal title (Legal users are those with recognized land use rights such as registered title, land

Cash compensation equivalent to the replacement value of structure (or part of structure)


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other assets

certificate, survey certificate, tax receipts and including unregistered users as per Land Law)

Includes option to be compensated for remaining structure if unviable

Includes right to salvage material from structure

Provision of all taxes, registration costs, and other fees incurred for replacement structure

Transfer and subsistence allowance (up to 3 months)

Additional compensation for vulnerable households

2b Loss of structure

Residential/commercial structure and any other assets

Tenants/leaseholders

Transfer and subsistence allowance

In the case of partially affected structures, tenants may remain with permission of the owner.

Structure owners will reimburse tenants/lease holders rental deposit or unexpired lease


2c Loss of structure

Residential/commercial structure and any other assets

Displaced persons without legal titles (encroachers and squatters)

Cash compensation to equivalent to replacement value of structure (or part of structure) constructed by the displaced person

Includes right to salvage material from structure

Transfer and subsistence allowance

Provision of all taxes, registration costs, and other fees incurred for replacement structure

Additional assistance for vulnerable households



3 Loss of livelihood

Loss of livelihood/source of income

Business owners/lease holders/tenants/employees/agricultural workers/hawkers/vendors

Assistance on loss income based on 3 months lost income or minimum wage rates

Additional assistance for vulnerable households



4 Loss of crops and trees

Standing crops and trees

Owners with legal titles/legalisable titles/tenants and APs regardless of land use rights

Provision of 6 months notice to harvest annual crops. If harvest is not possible, cash comeponsation equivalent to prevailing market prices

Cash compensation for perennial crops and fruit bearing trees based on annual net product market values multiplied by 5 years and will meet the replacement cost in both values and time

Cash compensation

Work schedule to allow harvesting prior to acquisition and avoid harvest season

Market value to be determined


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equivalent at prevailing market price of timber for non fruit trees (based on types, age and diameter at breast height (DBH) of trees)

In the case of sharecropping or concession arrangements, the compensation will be paid to each of the parties in accordance with previous agreements

5i Impacts on vulnerable household

All impacts Vulnerable displaced persons

Land for land option will be a guaranteed option

Additional allowance/repair allowance loss of land or structure

Vulnerable households will have priority in any employment required for the project

A supplementary subsistence allowance equal to 16 kg of rice per household member for one (1) month.

Eligible to participate in income restoration program as provided for subproject.


Land title will go to both husband and wife


6 Temporary loss of land

Land temporarily acquired for the project

Owners with legal titles/legalisable titles/tenants/leaseholders/encroachers/squatters

60 days’ advance notice

Provision of rental value during the duration of temporary acquisition

Restoration of affected land

The cost of restoration and improvement of any such land, as required, will be responsibility of the contractors as part of their contracts.


7 Temporary loss of access

Temporary loss of access to land, structure, utilities, common property resource

Owners with legal titles/legalisable titles/tenants/leaseholders/encroachers/squatters

60 days’ advance notice Provision of temporary

access where possible Restoration/enhanceme

nt of affected land, structure, utilities, common property resource


8 Temporary loss of livelihood

Temporary loss of livelihood/loss

Business owners, tenants, leaseholders, employees,

Provision of 60 days notice regarding construction activities, including duration and

Census and IOL will be updated per detailed

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of income

agricultural workers, hawkers/vendor

type of disruption Contractors actions to

ensure provision of temporary access where possible

Assistance to mobile vendors /hawkers to temporarily shift for continued activity

For construction activities involving unavoidable disruption, compensation for lost income or a transitional allowance for the period of disruption whichever is greater

Restoration of affected land, structure, utilities, common property resources

design.

9 Any unanticipated loss not identified

Unanticipated impacts will be documented and mitigated based on the principles provided as per SPS

V Compensation, Relocation and Rehabilitation Arrangements

A. Compensation Arrangements

79. The following section outlines the compensation arrangements for the different types of losses due to civil works in the sub-projects.

5.1.1 Permanent Land Acquisition

80. The extent of loss is given per sub-project specified in different categories of land.

81. Businesses and houses that permanently loose the use of land because of the proposed civil works, are entitled for compensation for land based on the current market rate for land if they have a legal land title or certificate. If their business is disrupted, they are entitled for lost business income (see further below).

5.1.2 Temporary Land Acquisition

82. The extent of loss is given per sub-project specified in different categories of land.

83. Businesses and houses that temporary loose the use of land because of the proposed civil works, are entitled for compensation The rent for the temporary use of land will be paid to the owner of the land for the number of days. And if business is temporarily disrupted, the AH involved are entitled for lost business income (see further below).

5.1.3 Voluntary Land Contributions

84. Voluntary land contributions for PUEIP sub-projects will only be allowed under the conditions described above.

5.1.4 Affected Structures and Houses

85. The different types of affected structure are described here.

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86. Compensation will be given for all material costs according to prevailing market value and labour costs for rebuilding (additional compensation see below).

87. The extent and different types of fully or partially damaged houses will be described here. Balconies/terraces that have building across the drainage path will need to be dismantled for construction access and then re-build. The contractor will restore the situation as it was before the Project.

88. Structures that will have to be temporarily removed because of civil works are described here. The contractor will restore the situation as it was before the Project.

5.1.5 Disruption of Businesses

89. Businesses that temporary lose the access because of the proposed civil works are not entitled for compensation for land. Most business structures are located close to roads in the possible alignment of drainages and many of those businesses could have entrance areas of dirt or cement floors which would have to be dug up for the drainage. Therefore, the construction could disrupt business activities for a short period for each business depending on the works (drainage works might take 10 days whereas riverbank erosion control might take up to three months). AHs will be required to agree that they will not place any permanent structures or plant trees above the alignment of the drainage. They are entitled to cash compensation for the loss of business activities for the number of days that construction activities disrupt their business activities along with a transitional allowance.

90. The number and type of affected businesses per sub-project will be discussed here.

5.1.6 Affected Crops and Trees

91. Per type of civil works per sub-project, the number of trees will be described here.

92. Per type of civil works per sub-project, the total area lost for crop cultivation will be described here.

93. Cash compensation will be paid at prevailing prices at the time of compensation payment. For fruit giving trees, compensation will be given for 5 years of annual yield whereas trees that do not have fruit yet will be compensated for management, seedling and planting costs which will at least meet the replacement cost both in value and time. In the event that rice would be already have planted and no timely warning has been given that the retention area has to be kept unoccupied, cash compensation will be given equivalent to prevailing market price of glutinous rice times the average yield/crop calculated over the past three (5) years.

5.1.7 AP Preferences and Concerns for Compensation and Resettlement

94. Most APs probably prefer cash compensation for the impacts that the Project's physical works will have on their land, house, structures, businesses, trees and crops.

95. However, the precise impact of all physical works will be determined during the detailed measurement survey (DMS) after the detail design is available . The impacts will be based on the staking of land that will be acquired and based on the estimated duration of works.

B. Relocation Strategies

96. A solution or suitable compensation will have to be found for AHs that must relocate under the CUEI component. For the CEI this will not be applicable as sub-projects with relocations will not be allowed. The options for relocation are as follows.

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(i) The AHs will be given a cash compensation and look for replacement land themselves. Alternatively, relocation may be considered to a site designated by the District Authorities..

97. The PMIU and DRC will also coordinate closely with the IEM to monitor the process and the outcomes, addressing issues such as the extent to which AP needs and preferences are considered, their levels of participation in and satisfaction with decision-making and how they are able to re-establish their businesses at new locations and, as required, recommending further strategies to provide assistance.

C. Rehabilitation Allowances

98. Rehabilitation Allowances are given to severely affected households in four categories (i) transport allowance; (ii) subsistence transition allowance; (iii) repair allowance and if applicable, (iv) vulnerability allowance.

(i) Transport Allowance

APs who have to relocate house/structure/shop to another area, not adjacent to the previous area, will be eligible for a transport allowance. As APs prefer to have compensation in cash and then organise the transport themselves, the Project (from the source designated to pay for LAR impacts) will pay APs an appropriate amount of lumpsum cash allowance to permit them to make their own transport arrangements.

(ii) Transition Subsistence Allowance

A transition subsistence allowance equal to 16 kg of rice per household member per month (roughly half kg/pp/day), for a period of six (6) months is given to severely affected households.

(iii) Repair Allowance

APs who have to rebuild house/structure/shop are allowed to a repair allowance up the minimum daily wage for the number of days it takes to do the repair.

(iv) Vulnerability Allowance

An additional subsistence allowance equal to 16 kg of rice per household member, for one (1) month is given for every factor of vulnerability12.

D. Ethnic Group and Gender Arrangements

99. In Pakse, about 95% of the population is ethnic Lao and other Tai-Kadai groups; the remainder belongs to the Mon-Khmer and Vietnamese/Chinese group. Here it can also be mentioned how many of the AHs are female headed. In order to address the needs of the APs from vulnerable groups, the following measures will be carried out during the planning, implementation and monitoring of the land acquisition, compensation and resettlement activities:

100. The DRC will include representatives of the district offices of the LWU and LFNC. The members of the DRC will also include the chief and/or deputy chief of the villages where assets are affected.

101. The DRC will consult individually with the APs and their families to ensure that everyone understand the PUEIP policies, entitlements and procedures regarding land acquisition, compensation and resettlement; and, to identify the specific needs and concerns

12 See footnote 6

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of male and female APs. Meeting individually with these AHs will also ensure that women in the households understand and feel comfortable to speak up.

102. The DRC will especially consult individually with the AHs who are severely affected.

103. All the new titles for the for new locations or the retitling for the remaining portion of land will be in the name of the woman and the man of the household. The DRC will ensure that all severely affected APs receive the transition subsistence allowance regardless of gender; and, that a female household head receives the additional subsistence allowance to which she is entitled if she is a vulnerable severely affected AP.

104. The compensation payment forms will be signed by both spouses if the land or other affected assets are conjugal property.

105. Relevant information to all temporarily and/or permanently affected by the subproject APs will be disclosed and made available in an accessible place ; and, the DRC and/or VRC will take appropriate steps, as necessary, to encourage women to participate in any public meetings about the subproject.

106. The DRC will collaborate with the CEI contact persons (1 male, 1 female per village participating in CEI) to ensure that women and all ethnic groups are targeted for information about the subproject and land acquisition activities.

107. The DRC will also determine whether there is need to communicate with APs in language(s) other than Lao, in public meetings, individual consultations and/or in written communications However, most of those Vietnamese/Chinese inhabitants are well integrated through marital ties to the ethnic Lao and speak the Lao language.

108. All members of AP households regardless of ethnicity or gender are equally eligible to apply and, depending on their qualifications, be considered for employment by the contractor(s) for civil works for the Project if this applies.

109. In all involved villages, if there is employment associated with the CEI or PUEIP, 30% of new jobs will be reserved for qualified women regardless of their ethnicity.

110. The DRC will assist the PMIU monitor the impacts on women, including their ability to restore living conditions, livelihoods and income levels. The Independent External Monitor (IEM) will include a sample of women APs in his/her reviews and present the findings in his/her report to ADB and the PCU.

111. All databases and monitoring indicators for land acquisition, compensation and resettlement activities will disaggregate data and other information by gender and ethnicity.

112. The PMIU will provide formal and on-the-job training for DRC to raise their awareness of gender and ethnicity issues and to ensure that they understand and comply with the PUEIP policies and procedures for vulnerable APs.

E. Due Diligence during the DMS

113. The DMS conducted following detailed engineering design for the sub-projects will encompass (i) confirmation and updating of the census and IOL results and (ii) update and confirm the resettlement budget and costs (III) conduct a due diligence on compensation and other assistance if awarded to APs ( for instance. in the any another project on riverbank protection and embankment which may replace PUEIP APs) (ii) availability of replacement sites for the APs who have to be relocated.

114. The objective of the due diligence is to confirm compliance with PUEIP policies and resolve or remedy any outstanding issues. Specifically, it will address whether or not there are any changes from the estimations of impacts from the PPTA; and, if so, determine the changes, including:

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(i) Changes in the numbers of AHs and the types and extent of affected assets including cement slabs, verandas, trees and disrupted businesses.

(ii) Details on the type and amounts of compensation and assistance (in cash and/or in kind); and evaluation of whether this assistance meets the PUEIP principle of replacement cost.

(iii) The level of business activities and income relative to information obtained during the IOL and the objective to assist APs to restore income levels.

(iv) Information provided to APs and consultations with them to negotiate and agree acceptable terms of relocation in the event of relocation.

(v) The level of satisfaction and/or concerns and needs of AHs to restore businesses and income levels.

(vi) The replacement cost survey is done in 3 steps:

First the unit cost form for construction materials and land are established. For construction materials OPWT and shops for construction materials are consulted. For land prices the Department of Land and Housing and the Village Heads are consulted. This is done during the first weeks of the resettlement consultants' fielding.

These costs, labour costs, costs of trees and crops in the area are discussed and verified by the DRC members (including mass organizations).

Finally these costs are confirmed (or revised) by the AH who might experience these costs during the IOL data collection.

Detailed Measurement Survey (DMS)

The census and detailed measurement survey (DMS) of lost assets will collect data on the affected assets from 100% of APs following detailed engineering design. The data collected during the DMS will constitute the formal basis for determining AP entitlements and levels of compensation. For each AP, the scope of the data will include: Total and affected areas of land, by type of land assets; Total and affected areas of structures, by type of structure (main or

secondary); Legal status of affected land and structure assets, and duration of tenure

and ownership; Quantity and types of affected crops and trees; Quantity of other losses, e.g., business or other income, jobs or other

productive assets; estimated daily net income from informal shops; Quantity/area of affected common property, community or public assets, by

type; Summary data on households, by ethnicity, gender of head of household,

household size, primary and secondary source of household income viz-a-viz poverty line, income level, whether household is headed by women, elderly, disabled, poor or indigenous peoples;

Identify whether affected land or source of income is primary source of income; and

AP knowledge of the subproject and preferences for compensation and, as required, relocation sites and rehabilitation measures.

Socioeconomic Survey

The socioeconomic survey (SES) will collect information from all APs whose land /income generating assets and/or structures will be severely affected, disaggregated by gender and ethnicity. The purpose of the socioeconomic survey is to provide baseline data on households to assess resettlement impacts, and to be sure proposed entitlements are appropriate, and to be

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used for resettlement monitoring. The scope of data to be collected includes:

Household head: name, sex, age, livelihood or occupation, income, education and ethnicity;

Household members: number, livelihood or occupation, school age children and school attendance, and literacy, disaggregated by gender;

Living conditions: access to water, sanitation and energy for cooking and lighting; ownership of durable goods; and

Access to basic services and facilities. If the impacts on all affected households are all marginal, at least 10% of the total affected households will be surveyed.

Replacement Cost Survey

The replacement cost survey (RCS) will be done in parallel with DMS and SES activities by collecting information from both secondary sources and primary sources (direct interviews with people in the affected area, material suppliers, house contractors), and from both those affected and those not affected. The government rates will be adjusted, as necessary, based on the findings of a RCS. Compensation rates will be continuously updated to ensure that APs receive compensation at replacement cost at the time of compensation payment.

VI Information Disclosure, Consultation and Grievance Redress

115. Disclosure of information and consultations occur during preparation and implementation of the subproject to ensure that APs and other stakeholders have timely information about land acquisition, compensation and resettlement, as well as opportunities to participate in and express their preferences and concerns regarding the resettlement program. The PMIU and DRC with assistance from the village authorities and CEI contact persons organizes meetings and consultation, distributes information and takes other steps to keep APs informed.

A. LACP Information Dissemination and Consultations

116. Consultation will begin at the early stages of project. Dissemination and consultation activities will occur as an integral part of the preparation of the LACP for the CUEI component. APs will be notified in advance about land acquisition, compensation and resettlement activities for the sub-projects, including among others: (i) public meetings, (ii) distribution of PIB which will cover: (i) a brief background of the Project, specifically the civil works to be undertaken and the adverse social impacts; (ii) IOL results, with a statement that detailed information is available at the commune office; (iii) bases used for asset valuations, stating also that detailed information is available at the commune office; (iv) the entitlements due to the affected households; (v) timing of payments and the schedule of displacement; (vi) grievance redress mechanism; and (vii) contact persons and local authorities)., (iii) preparing official lists of eligible APs and their entitlements, (iv) compensation rates and amounts, (v) and, other matters such as the grievance redress mechanism. A full overview of consultations should be compiled in Attachment 4.

117. During the DRC/PMIU meeting before the IOL data collection it is mentioned to the authorities that an official letter announcing the cut-off date to all villages involved is needed. Then the cut-off date is announced in 3 ways: verbally during IOL data collection, by the Head of Village to the villagers after receipt of the letter, in the PIB.

118. Further public consultation and participation will be conducted in the form of: (i) on-site informal discussions with affected residents; (ii) key informant interviews; (iii) affected persons survey, with questions relevant to resettlement impacts of physical works and on the compensation and assistance ; (iv) focus group discussions, integrating social and

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resettlement issues; and (v) disclosure of the draft LACP and especially the IOL for comments/reactions.

119. During implementation of PUEIP all AHs will participate in detailed measurements and discussions on the expected impacts because of physical works. They will be given the chance to negotiate and agree to the proposed compensation based on the estimated impacts.

B. Information Disclosure

120. During the Feasibility Study from February to June 2011 a PIB for the CUEI component has been distributed and discussed with DRC, village chiefs and APs. In compliance with ADB requirements, the PMIU will ensure the public disclosure of the any LACP prepared during implementation after it as endorsed by the DRC and approved by ADB. The full LACP, or a summary, will be made available in Lao in a readily accessible location within the subproject area. The draft LACP will be disclosed on the ADB website before the project appraisal and the final LACP per sub-project based on DMS will be disclosed on the ADB website.

C. Grievance Redress

121. A grievance redress mechanism meant for persons seeking satisfactory resolution to their complaints on resettlement issues and impacts caused by the Project, has been adopted for the Project.

122. Informally, a complainant can contact the PMIU, the Contractor or the responsible sector agency to raise his/her complaints/concerns. If a complaint lodged is not acted on promptly, or if complainant is not satisfied with the resolution undertaken, he/she can avail of the grievance redress mechanism to formally lodge her complaint. This grievance redress mechanism will involve the following steps shown in Table 4 below.

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Table 4: PUEIP Grievance Redress Procedures

Stage 1: In the first instance, APs will address complaints on any aspect of compensation, relocation or unaddressed losses to the village office/head/ unit or other designated village grievance persons. The unit will organise a meeting with the complainants to resolve the issue using its traditional methods of conciliation and negotiation; the meeting will be held in a public place and will be open to other APs and villagers to ensure transparency. The Affected Person (AP) shall immediately be informed by the village office/head whether the grievance is within, or outside, the purview of the mechanism. If it is outside the scope, AP shall be directed to the proper institution and/or proper mechanism for the complaint. If complaint is covered by the mechanism, the complaint will be reviewed, investigated and discussed by the village office/unit and the AP .

Stage 2: If impact/issue will need thorough review and investigation, not later than 5 days from the day discussion meeting is held, it will be escalated to the PMIU(DPWT/UDAA). If, according to the AP, the impact has been resolved satisfactorily,

Stage 3: If within 5 days of lodging the complaint, no understanding or amicable solution can be reached or no response is received from the village arbitration unit and the responsible grievance person or the Contractor or the responsible sector agency, the AP can bring the complaint to the Provincial Resettlement Committee (PRC). The PRC will meet with the AP to discuss the complaint, and provide a decision within 10 days of receiving the appeal. If the AP is not satisfied with the decision of the DRC or in the absence of any response, the AP can appeal to the the Minitsry of Public Works and Transport (MPWT). . The PRC will provide a decision on the appeal within 10 days.

Stage 4: If the AP is still not satisfied with the decision of the PRC/PA, or in the absence of any response within the stipulated time, the AP can submit his/her grievance to. The MPWT will render within 10 days of receiving the appeal.

Stage 5: As a last resort, the AP may submit his/her case to the Court of Law. The complaint will be lodged with the Court of Law; the decision of the Court will be final. However, the grievance mechanism will not impede APs to access the legal process at any point of time. .

123. It is noted that it is highly unlikely that grievance redress process for the Subproject will reach the level wherein APs need to go through the “appeal” stage (Step 5).

VII Resettlement Costs

A. Source of Resettlement Funds

124. All land acquisition, compensation and resettlement costs for the subproject will be financed using provincial counterpart funds. TA to PCU and PMIU to implement resettlement procedures will be under the Project's regular budget.

B. Compensation and Allowance Rates

125. Compensation and allowance rates have been established for the civil works under the CUEI component, at replacement cost which is indicated in the LACP. The indicative rates are based on data collected during the IOL from APs, district officials and other sources. They will be validated and, as required, adjusted during the DMS after the detailed esign is available for each sub-project. The compensation and allowance rates for the sub-projects under the CUEI are indicated as unit costs in Attachment 2.

C. Resettlement Costs

126. Based on the IOL conducted during the preparation of the sub-projects, the estimated cost of LAR for the sub-project will be determined. This cost includes (i) the base LAR costs; (ii) allowances for severely affected and vulnerable APs; and, (iii) contingencies of 10% reserve fund. After IOL and DMS per sub-project the calculations of the amounts will be recorded in Attachment 3. The Government has agreed to allocate a provisional sum

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$300,000 for land and compensation activities associated with Output 2 civil works (community-driven urban environmental improvements).

Source: PUEIP PPTA Team and PMIU

VIII Institutional Arrangements

127. The Ministry of Public Works and Transport (MPWT) will be the executing agency (EA), responsible for preparation and implementation of the Project. A Project Coordination Unit (PCU) will be established in the Department of Housing and Urban Planning in the EA.

128. The Champassak Provincial Department of Public Works and Transport (DPWT) and the Pakse Urban Development Administration Authority (UDAA) will be the implementing agencies. A Project Management and Implementation Unit (PMIU) will be staffed with members from both IAs, and established in the Pakse UDAA. A Project Steering Committee (PSC) will be established at the Champassak provincial level, with the vice provincial governor as chair and the district governor of Pakse district as vice chair.

129. The PUEIP sets out detailed information on the institutional arrangements for the preparation and implementation of land acquisition, compensation and resettlement for the Project.

130. The PMIU has overall responsibility for activities related to land acquisition and compensation of APs. The scope of these activities includes (i) conducting the AP census, DMS and due diligence following detailed engineering design; (ii) assessing losses, AP entitlements and requirements for compensation and rehabilitation assistance, including updating the Entitlement Matrix as required; (iii) consulting with all APs to inform them about the subproject impacts, their entitlements, compensation rates, rehabilitation assistance and procedures and schedules for implementation of the LACP; (iv) assisting the work of resettlement committees; (v) internal monitoring and regular reporting on land acquisition, compensation and resettlement activities; and, in collaboration with other PMIU staff, (vi) ensuring coordination of land acquisition activities and civil works.

131. The PMIU will work in close collaboration with resettlement committees at the provincial and district levels, as well as with village authorities and mass organisation representatives in the core villages. The Resettlement Committees and village authorities will assist the PMIU as follows:

(i) The Provincial Resettlement Committee (PRC) will certify official lists of APs following the DMS, also certify the compensation rates based on updated surveys of replacement costs, review and formally endorse the updated LACP and ensure disbursement of funds from the provincial treasury to cover the costs of compensation and, as required, rehabilitation assistance. The PRC is represented in the DRC with the head of PMIU and Provincial Water Supply Agency. The PRC will act as Grievance officers.

(ii) The DRC will prepare the official list of APs following the DMS and sign compensation documents identifying the entitlements and compensation amounts to be paid to each AP. The village leaders will assist the DRC particularly with the distribution of information to APs and other residents and the organisation of public meetings and/or individual consultations with APs. The village chief and elders will hear and resolve any complaints from APs and other stakeholders. The village representatives of the LWU and/or LFNC will be available to assist to ensure that all APs understand, agree or, if not, have opportunities to express their concerns.

132. The PMIU will (i) review and endorse the updated LACP prior to submitting to MONRE and then to ADB for review and approval, (ii) review internal monitoring reports and

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IEM reports and report regularly to ADB on progress and completion of land acquisition, compensation and resettlement activities; and, (iii) ensure coordination of land acquisition and civil works activities and compliance with conditions for the award of civil works contracts.

133. The PMIU will recruit an IEM at the beginning of the PUEIP. The responsibility of the IEM is to carry out external monitoring of all land acquisition, compensation and resettlement activities, and conduct evaluations to ensure that APs are able to restore livelihoods and living conditions. The IEM will review resettlement process following completion of the resettlement activities for each subproject (or component) and prior to civil work contract award. The IEM report for that specific subproject (or component) will be shared with the PCU and ADB for no objection prior to contract awards of the respective civil works package. For instance, Output 2 is expected to be implemented in 10 phases of 5-6 villages each. The IEM will prepare an IEM report at the end of each phases, prior to the award of civil works contracts.

134. The PMIU will also recruit a Project Management and Implementation Support Consultant (PMIS) to provide technical assistance and guidance to the PMIU and other parties involved in land acquisition, compensation and resettlement activities. The PMIS consultant team will include an international and national resettlement specialist. A TOR for the PMIS can be found in Attachment 12.

IX Monitoring

135. Monitoring of LAR activities will be done internally and externally.

A. Internal Monitoring for the Subproject

136. The scope of internal monitoring to be carried out by the PMIU assesses (i) compliance with the PUEIP resettlement policies and procedures and (ii) the availability and efficient use of personnel, material and financial resources; and, identifies the need for (iii) remedial actions to correct any problems that arise.

137. The PMIU prepares a quarterly progress report on the resettlement activities of the subproject, and submits it to PCU. The report includes information on key monitoring indicators, namely:

(i) Affected people and compensation: the number of APs by category of impact; the status of delivery of compensation and subsistence, moving and other allowances.

(ii) Status of rehabilitation and income restoration activities: The number of APs severely affected by a) loss of productive assets and/or b) displacement; the number of vulnerable APs; the status of relocation of displaced APs; the status of technical and other assistance for income restoration.

(iii) Information disclosure and consultation: number and scope of public meetings and/or consultations with APs; status of notifications to APs; summary of AP needs, preference and concerns raised during meetings and consultations.

(iv) Complaints and grievances: summary of types of complaints received; steps taken to resolve them; outcomes; and, any outstanding issues requiring further management by district or provincial authorities or ADB assistance.

(v) Financial management: the amount of funds allocated for compensation, operations and other activities; the amount of funds disbursed for each.

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(vi) Resettlement schedule: completed activities as per schedule; delays and deviances, including reasons; revised resettlement schedule.

(vii) Coordination of resettlement activities with award of contract for civil works: status of completion of resettlement activities and projected date for award of civil works contracts.

(viii) Implementation problems: problems that have arisen, reasons and proposed strategies to remedy; outstanding issues.

138. Upon receipt of monthly reports, the PCU consults with PMIU to clarify and/or resolve any outstanding issues. On a quarterly basis, the PCU collates the monthly progress reports for the subproject and prepares a Project monitoring report to be submitted to ADB.

B. External Monitoring of AHs

139. The IEM is responsible for monitoring of resettlement activities related to LACP document and implementation; and, to assess whether AHs are able to restore their living conditions, livelihoods and incomes to pre-subproject levels and, if not, to recommend remedial actions to assist AHs. The IEM monitors and reviews the resettlement activities including, among others payment of compensation and allowances, rehabilitation and income restoration activities, public meetings and consultations, and the grievance redress process. The IEM will work closely together with the DRC in all activities.

140. The PMIU and DRC will support the work of the IEM in the following ways: (i) collect all data relevant for compensation from AHs during the DMS, disaggregating by gender as applicable; and, make all DMS data, official AP lists and other relevant data available to the IEM; (ii) assist the IEM, as required, during review and follow-up data collection and consultations with APs; and (iii) facilitate the IEM to participate in, monitor and receive relevant information about resettlement activities. A full TOR for the IEM is in Attachment 12.

X Implementation Schedule

141. The implementation schedule for land acquisition, compensation and resettlement activities for the Project is presented in the following overview.

A. For Feasibility Study

Step 1: PMIU is trained in Resettlement Procedures and data collection for IOL.

Step2: Preparation of a LACP for the sub-projects as part of the Feasibility Study and submitted to ADB for review and approval.

B. Resettlement Steps Scheduling from start of Project implementation to Construction

Step 1: PMIU trained in DMS and compensation procedure

Step 2: PMIU identify new APs (due to changes in scope of works caused by changes in conditions (budgetary, natural, policy, project based)) and measure their losses

Step 3: PMIU visit APs from previous survey who are no longer APs because of changes and explain that they are not APs anymore and let them sign the form (with their spouse)

Step 4: PMIU conduct Detailed Measurement Survey (DMS) to record any losses for compensation and rehabilitation according to the finalized design. At that time the

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data from the cost recovery survey should be updated as well. This should be in the presence of APs, village head, district official, and a member from the Lao Women’s Union or Lao Front for National Construction.

Step 5: Data from the DMS are sent back to PMU where they will be processed. LACP will be updated, finalized, endorsed and sent to ADB.

Step 6: PMIU starts to write the compensation declaration forms for every AP. The final compensation rates will come from final calculations of compensations based on the DMS.

Step 7: Consultant will share the finalized LACP and updated IOL (based on DMS) with the PMIU. Compensation Declaration forms for all APs can now be completed by PMIU with the calculated amounts.

Step 8: PMIU distributes the compensation declaration forms to all APs. APs are also informed they can access the LACP at the PMIU’s office.

Step 9: APs have be provided 14 days to access the LACP, sign and return back the forms or decide to object. Objections should be directed to Village head or the chief in the village first. If that does not solve the problem, the objection should go to PMIU. If that does not solve the problem, it will follow the grievance redress mechanism established for the project.. APs should be exempted from all taxes, administrative and legal fees.

Step 10: PMIU will oversee payments to be done to the APs who returned the compensation declaration forms and APs will sign a receipt upon payment and be given a copy.

Step 11: Payment receipts should be kept in the PMIU and a copy should go to PCU and/or independent monitoring agent.

Step 12: Reports on finalized compensation and replacement works will be sent by PCU to ADB to update on the completion of the resettlement process.

Step 13: PMIU should inform APs to clear the identified areas 2 weeks before construction works start.

142. The land acquisition and resettlement activities for any sub-project, including disclosure of the resettlement and compensation plans to the APs and submittal to ADB for review and concurrence, should be completed prior to ADB's approval to award civil works contracts for that sub-project.

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Attachment 1: Village Impacts

Affected Households

Head of Household Ethnic Erosion

Protection Drainage Access Roads Footpaths

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Attachment 2: Cost Recovery Survey

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Attachment 3: IOL

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Attachment 4: Consultations with Stakeholders PUEIP in Pakse

Date Agency/ Person/ Project

Number of Participants

Type of Participants Discussion/Main Topics/Outcomes

male female

Nov 09 – Feb 10

CDIA Social Team

51 168 Kum Ban Management Committee Pakse, hotel and restaurant owners, market vendors, villagers in 24 focus group meetings in 42 villages

To introduction of CDIA and its activities in the studied area in Pakse and other neighboring districts.

To collect major issues, problems and possible solutions in the studied area in relation to poverty, management of solid waste, flood and drainage.

To inform the Kum Ban committees in community consultation.

Nov 09 – Feb 10

CDIA Social Team

19 0 Kum Ban Management Committee Phonthong, 13 villages




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male female

Nov 09 – Feb 10

CDIA Social Team

4 2 Kum Ban Management Committee Bachiang, 2 villages




Nov 09 – Feb 10

CDIA Social Team

364 298 Individual households in 21 villages

Expenditure survey

Feb 11 PUEIP TA Resettlement, DPWT

131 68 Potential APs: villagers, restaurant owners

Interviews

Collect data of assets loss

Socio-economic data

17 Feb PUEIP TA Resettlement, DPWT

16 9 District Pakse:

DRC and PMIU: DEPT. DISTRICT GOVERNOR, DEP. OPWT (2 PS), UDAA STAFF (2 PS), LAND DEPT. DISTR. STAFF, TOTAL 6 GOVERN. STAFF

11 VILLAGE CHIEFS (1 ♀), VILLAGE LWU (8 ♀): TOTAL 19 FROM VILLAGE AUTHORITIES AND MASS ORGANISATION (INCLUDING 9 ♀)

VILLAGES PRESENT: DON KHOR, THALUANG, THA HIN NEUA, PHONSAAT, KEA, YAI THA HAI (BOUNGOUDOM), HOUAY PHOUNE, KHAMKEUNG, PAKSE, PHABATH, PHONKOUN, LAKMEUANG

Explain reason for resettlement work in relation to project and ADB policy

Potential scope of works

Lao Decree and Regulations

Need to see letter for DRC

Need for cut-off data in writing

Need for Grievance and Redressal

Responsible Persons in DRC

Steps of Resettlement

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male female

18 Feb'11

PUEIP TA Resettlement, DPWT

8 5 District Phonthong:

DRC AND PMIU: DEPT. DISTRICT GOVERNOR, STAFF OPWT (1 PS), UDAA STAFF (1 PS), LAND DEPT. DISTR. STAFF, DISTR.LWU (1 ♀): TOTAL 5 GOVERN. STAFF 5 VILLAGE AUTHORITIES, VILLAGE LWU (3 ♀): TOTAL 8 FROM VILLAGE AUTHORITIES AND MASS ORGANISATION (INCLUDING TOTAL OF 4 ♀) VILLAGES PRESENT: PHOXAY, HOUAY PHEK, KHANYENG, HONG PRAKEO

Explain reason for resettlement work in relation to project and ADB policy

Potential scope of works

Lao Decree and Regulations

Need to see letter for DRC

Need for cut-off data in writing

Need for Grievance and Redressal

Responsible Persons in DRC

Steps of Resettlement

18 Feb '11

PUEIP TA Resettlement, DPWT

14 6 STAFF OPWT (1 PS), UDAA STAFF (1 PS), DISTR.LWU (1 ♀): TOTAL 3 GOVN. STAFF 1 VILLAGE CHIEF, VILLAGE LWU (1 ♀), 15 VILLAGERS (4 ♀): 2 FROM VILLAGE AUTHORITIES AND MASS ORGANISATION (INCLUDING TOTAL OF 1 ♀), 15 VILLAGERS (4 ♀) VILLAGE PHONSAAT

Find out about their living situation before and after the fire

Find out about recycling and waste picking situation

Find out possibilities for giving support to the poor and waste pickers under the PUEI project

Find out possibilities for cooperation with this destitute group as a pilot group in a relocation program

PUEIP TA Resettlement and Engineering

DPWT

To introduce objective of field work

Work with Engineers on civil works outline and map

Site visit

36




male female

PUEIP TA Resettlement and Engineering

DPWT

Village chiefs To inform the village chiefs on data collection.

PUEIP TA Resettlement

DPWT

AHs at all locations of civil works

Checking previous AH data collected Confirming Interviews


DPWT

Village: - Chief village - Village Committees

- AHs

To introduce the objective of data collection

Provide information to public

Collect AHs’ socio-ec. data Interviews


DPWT

Village: - Chief village - Village Committees

- AHs

To introduce the objective of data collection

Provide information to public

Collect AHs’ socio-ec. data Interviews

Date = date the consultation took place

Agency/person = agency/person conducting the consultations

Participants = Ministries, NGOs, affected people, local communities, etc. that participated in the session

Discussion/Main Topics/Outcomes = summarize what was discussed, participants reactions, and key outcomes

37

Attachment 5: Voluntary Contribution Consent Declaration

LAO PEOPLE’S DEMOCRATIC REPUBLIC

Province:

District:

Village:

I, Name:

Age:

with residence located in ……… village,

certify that I have been previously informed by the local authority of my entitlement to compensation for any loss of property (house, land and trees) that might be caused by the construction of water supply system or urban environmental (development) improvements in ………….. district, …………. village. I confirm that I voluntarily accept the land of ………. square meters located in ……….. village to be provided to the local authority. I also confirm that I do not request any compensation for loss of ……….. (land, houses, structures, trees, crops) and would request the local authority to consider this as my contribution to the project.

The proposed donations are directly linked to benefits we will receive and do not severely affect our living conditions, livelihoods and incomes; and, we are satisfied that community sanctioned measures are in place.

Type of Loss Area (sqm)/Unit Unit Rates Total Comment

Land

Houses

Structures

Crops

Trees

Other

Total

Therefore, I prepare and sign this certificate for the proof of my decision.

Date: …………. District

Signature: …………………………… ………………………………….

The owner/user of the land/house/structure/crops/trees Wife/Husband

Witnesses:

1. ……………… 2. ……………………

Certified by the Chief of the Village: ………… The Chief of DRC: ……..

Certified by the third party: ………………….

38

Attachment 6: Declaration for Affected Persons


Province:

District:

Village:

Hereby it is declared that the household headed by

Name:

Age:

with residence located in ……… village,

is affected by the water supply project and has been previously informed by the local authority of their entitlement to compensation for any loss of property (house, land and trees) that might be caused by the construction of water supply system or urban environmental (development) improvements in ………….. district, …………. village. I confirm that I will loose land of ………. square meters located in ……….. village to be provided to the local authority.

Type of Loss

Area (sqm)/Unit Unit Rates Total Comment

Land

Houses

Structures

Crops

Trees

Other

Total

Therefore, I sign this declaration of my entitlement to compensation.


Signature: …………………………… ………………………………….


Witnesses:

1. ……………… 2. ……………………

Certified by the Chief of the Village: ……… The Chief of DRC: ……..

39

Attachment 7: Form for Consultation with no longer APs


Province:

District:

Persons who were APs in the previous design should be told if they are no longer affected after revision of the design. They can sign after the visit by the responsible persons.

No. Name Village Date Visit

Visited by whom

Signature of former AP

Signature of former AP’wife

Certified by the Chief of the Village: …………

The Chief of PMIU …………………….

40

Attachment 8: Receipt of Compensation Payment for Affected Persons


Province: District: Village: Hereby it is declared that the household headed by Name Age: with residence located in ……… village, has received compensation payment according to the previous agreement with the water supply project. It has been previously informed by the local authority of their entitlement to compensation for any loss of property (house, land and trees) that might be caused by the construction of water supply system or urban environmental (development) improvements in ………….. district, …………. village. Foreseen losses by the above mentioned household are summarized in the table below:

Type of Loss Area (sqm)/Unit Unit Rates Total Comment

Land

Houses

Structures

Crops

Trees

Other

Total

Head of household signs below to confirm payment of compensation.


Signature: …………………………… ………………………………….


Witnesses:

1. ……………… 2. ……………………

Certified by the Chief of the Village: ……… The Chief of PMIU …………………….

Attachment 9:

41

Probable Involuntary Resettlement Effects

Yes No

Not

Known Remarks

Involuntary Acquisition of Land

1. Will there be land acquisition?

2. Is the site for land acquisition known?

3. Is the ownership status and current usage of land to be acquired known?

4. Will easement be utilized within an existing Right of Way (ROW)?

5. Will there be loss of shelter and residential land due to land acquisition?

6. Will there be loss of agricultural and other productive assets due to land acquisition?

7. Will there be losses of crops, trees, and fixed assets due to land acquisition?

8. Will there be loss of businesses or enterprises due to land acquisition?

9. Will there be loss of income sources and means of livelihoods due to land acquisition?

Involuntary restrictions on land use or on access to legally designated parks and protected areas

10. Will people lose access to natural resources, communal facilities and services?

11. If land use is changed, will it have an adverse impact on social and economic activities?

12. Will access to land and resources owned communally or by the state be restricted?

Information on Displaced Persons:

42

Any estimate of the likely number of persons that will be displaced by the Project? [ ] No [ ] Yes

If yes, approximately how many?

Are any of them poor, female-heads of households, or vulnerable to poverty risks? [ ] No [ ] Yes

Are any displaced persons from indigenous or ethnic minority groups? [ ] No [ ] Yes

Prepared By: PMIU

Signature:

Name:

Position:

Verified by:

Signature:

Name:

Position:

Date: Date:

43

Attachment 10: PUEIP Public Information Booklet

44


PAKSE URBAN ENVIRONMENTAL IMPROVEMENT PROJECT

PAKSE DISTRICT TOWN

PUBLIC INFORMATION BOOKLET

PREPARED BY:

DEPARTMENT OF PUBLIC WORKS AND TRANSPORT IN CHAMPASACK PROVINCE

PAKSE URBAN DEVELOPMENT ADMINSTRATION AUTHORITY

[DATE]

45

Map Pakse Village13

13 Map to be updated during Project implementation to the specific project area.

1 Thaluang 22 Kengxan2 Phabath 23 Xong Xe3 Phonxay 24 Kok Deua4 Lak Meuang 25 Non Dou5 Pakse 26 Kea6 Thong 27 Phonsaat7 Hong Kha Yorm 28 Keosamphanh8 Sang Nam Man 29 Yai Sok Am Nouai9 Phonkoung 30 Naheak

10 Phonsavanh 31 Houay Nhang Kham11 Tha Hin Neua 32 Photark12 Houay Poune 33 Hea13 Saphanexay 34 Nachiang14 Phon Ngam 35 Phoumouang15 Yai Tha Hai 36 Souan Savanh16 Khankeung 37 Yai Sanamxay17 Kengkeung 38 Kang18 Houay Lau 39 Pattana19 Phonsikhay 40 Chat San20 Dong Kor Long 41 Non Savang21 Done Khor 42 Khonelay

46

QUESTION: WHAT IS THE PAKSE URBAN ENVIRONMENTAL IMPROVEMENT PROJECT

(PUEIP)?

The Government of the Lao PDR is using funds from the Asian Development Bank and other sources for the development of Pakse Town as a regional economic and tourism center.

An urban development strategy, landfill rehabilitation and possible expansion, a riverbank erosion protection for the Xedon and a water drainage strategy were prepared. The first strategy aims to guide the overall future urban growth while the latter will support the sustainable development of urban areas by reducing flood risks.

The Project also has a Community Urban Environmental Improvement component that can help improve the environment in your village. Villagers from selected villages will be invited to participate in the determination and selection of minor civil works, such as tertiary drainages and small access roads and solid waste collection/facilities in their villages.

The Ministry of Public Works and Transport (MPWT) is the Executing Agency for the Project. A Project Coordination Unit (PCU) will be established under the EA. The Department of Public Works and Transport (DPWT) in Champasack province and the Urban Development Administration Authority (UDAA) are the implementing agencies. A project management and implementation unit (PMIU) will be established in UDAA Pakse, comprising of staff from DPWT and UDAA. Village committees will help inform and consult people about the Project.

QUESTION: WHEN WILL THE PROJECT START?

Answer: A Feasibility Study for the sub-projects in Pakse will start ….............. Construction on this sub-project will start the end of 20... The Project will keep you informed about progress and important dates.

One part of the Feasibility Study is preparing the Land Acquisition and Compensation Plan (LACP).

QUESTION: WHAT IS THE MAIN OBJECTIVE OF THE LAND ACQUISITION AND

COMPENSATION PLAN?

Answer: The main objective of the program is to ensure that all people affected by land acquisition (affected people or APs) will be at least as well-off, if not better-off, than they would have been without the Project.

A preliminary census and inventory of losses (IOL) was carried out from February to May 2011 to identify potentially affected people in drainage catchments in Pakse and at the riverbanks of the Xedon where the Project will start river erosion protection works. The affected people will be informed about the results and a new IOL for the sub-project in your village, if your village was selected, will be done in 2012. After the position and alignment of the infrastructure is known and confirmed, a detailed measurement survey

47

(DMS) will be done in the presence of APs, village head, district official, and a member from the Lao Women’s Union or Lao Front for National Construction to record any losses for compensation and rehabilitation. The PMIU and village officials with help from Project consultants to identify who is affected by land acquisition and record affected land, structures and crops or trees.

QUESTION: HOW WILL THE PUEIP AFFECT PEOPLE IN PAKSE ?

Answer: As much as possible, drainage improvement and riverbank erosion protection works will be done on public land and right-of-way of the roads. This will minimize the number of households that will be affected. However, some households may lose small amounts of land or structures and crops or trees. Some shops along the drainages and Xedon river in Pakse may be affected temporary.

QUESTION: WHAT IF MY LAND OR OTHER ASSETS ARE AFFECTED BY THE PROJECT?

Answer: The Project will provide compensation and rehabilitation to eligible APs whose land and other assets are permanently acquired or temporarily affected by the Project. The following summarizes the proposed entitlements for land acquisitions for the Project.

Permanent loss of land. For major impacts (i.e., 10% or more of total productive/ commercial land area lost), full title to replacement land as a priority, or cash compensation at replacement cost at current market value. If more than 10% of a family’s total productive land is lost, a food subsidy will be provided equal to 6 months supply of rice for each affected family.

For marginal losses (i.e., less than 10% of total productive/ commercial land), cash compensation for lost land at replacement cost at current market value.

Temporary loss of land. Cash compensation for loss of net income, damaged assets, crops and trees at current market value and restoration of land to former state.

For common property resources, the affected land will be replaced in areas identified in consultation with affected communities and relevant organizations.

QUESTION: CAN I VOLUNTARILY CONTRIBUTE MY LAND TO THE PROJECT?

Answer: Voluntary contributions of residential land. APs may choose to donate small amounts of residential land without compensation if: (i) the total area of the residential land is at least 300 m2; (ii) the affected land is 5% or less of the total area. The voluntary contribution will be witnessed by an independent third party, e.g., LWU.

48

QUESTION: DO WE NEED TO HAVE A LAND TITLE TO BE COMPENSATED?

Answer: No. If you do not have formal legal rights to land you may still receive compensation and other assistance. APs that have registered title, Land Certificates (Form 01) or any forms of written or verbal agreements to utilize the land are entitled to compensation for the lost land and assets (including crops and trees) and assistance. APs who do not have recognized rights to land will still be compensated for the assets on the land, such as any structures, crops and trees and provided other assistance to help them restore living conditions and income-generating activities.

QUESTION: DOES COMPENSATION APPLY TO MY AFFECTED HOUSES OR STRUCTURES?

Answer: Yes. Houses and any structures such as wells, animal pens, fences etc, that will be affected by the Project shall be compensated at replacement cost so that you are able to have a house or structure of the same size and standard. You will be compensated at full replacement cost for materials, transport of materials and labor without deduction for depreciation or salvageable materials so that you are able to rebuild your structures as the original or even better condition.

For APs who have to rebuild structures on remaining or new land the Project contractor will improve land (e.g., land fill and/or levelling) at no cost to APs to provide adequate building site.

QUESTION: WHAT ABOUT MY CROPS AND TREES?

Answer:

Timely information that annual crops have to be harvested before construction will be given, if possible.

For annual crops that cannot be harvested, cash compensation equivalent to current market prices times the average yield/crop calculated over the past three (3) years.

Fruit-bearing trees will be compensated at 3 years production value at the current market value.

For timber trees, cash compensation equivalent to current market value given the type, age and productive value at the time of compensation.

QUESTION: WHAT IF I LOOSE INCOME BECAUSE OF BUSINESS INTERUPTION?

For temporary business interuptions: A cash allowance equal to the provincial daily wage or the average daily revenues whichever is higher, multiplied by the number of days of business disruption.

49

For relocating businesses: Same as above plus a subsistence allowance for a period of six (6) months equal to 16 kg of milled rice per household member per month.

QUESTION: IF I NEED TO MOVE MY HOUSE OR BUSINESS, OR LOSE MY FARMING LAND, HOW CAN THE PROJECT HELP?

Answer: Apart from the compensation for loss of land and other assets at replacement costs, the Project shall ensure that the standard of living of APs is maintained or improved after the Project. Therefore, in the case of relocation the Project shall provide relocation and subsistence allowance to APs:

Subsistence allowance:

for a period of three (3) months equal to 16 kg of milled rice per household member per month, for relocating APs without any impact on business or main source of income.

for a period of six (6) months equal to 16 kg of milled rice per household member per month, for (i) relocating APs with impact on business or main source of income and (ii) APs losing 10% or more of their productive land.

Transportation Allowance will cover the costs of transporting personal effects and salvaged or new building materials in cash or kind.

Vulnerable APs including designated poor households, minority ethnic groups or female-headed households will receive an additional subsistence allowance for a period of one (1) month equal to 16 kg of milled rice per household. Contractors will make all reasonable efforts to recruit severely affected and/or vulnerable APs as laborers for subproject infrastructural works.

QUESTION: HOW AND WHEN WILL WE BE COMPENSATED?

Answer: All compensation will be paid at replacement cost based on current market prices. A replacement cost survey will determine current market prices for different types of assets. Compensation rates will be established for each type of asset (land, structures, trees, etc.). You will be consulted about the proposed compensation rates before they are made official.

QUESTION: CAN ANYBODY IN OUR COMMUNITY CLAIM COMPENSATION?

Answer: No. APs are eligible for compensation and assistance under the PUEIP if they already own or occupy affected land and other assets before the Project cut-off date. The cut-off date will be the date of the end of the IOL that will be carried out following detailed engineering design. Anyone moving into the Project area after cut-off date will not be eligible for compensation and assistance under the Project.

50

QUESTION: WHAT IF I HAVE BEEN TOLD TO MOVE BUT WAS NOT INCLUDED IN THE DMS?

Answer: APs will be fully informed about the dates for the DMS and asked to be present when the PMIU and village officials come to their house or business. If APs are not in the village or for other reasons cannot be available at the time of the DMS, the PMIU will establish procedures including the types of documents that APs will be required to produce to document their claims to eligibility for compensation under the PUEIP.

QUESTION: HOW WILL WE BE CONSULTED AND INFORMED?

Answer: The PUEIP will provide complete and timely information to APs about the Project, including all activities related to land acquisition. Meetings will be organized in core villages and up-to-date information brochures will be distributed. APs will receive information about the Project, land acquisition impacts, AP rights and entitlements to compensation and assistance, grievance redress mechanisms, opportunities for APs to participate in resettlement activities, the responsibilities of local officials and other agencies and implementation schedule.

The PMIU will also organize meetings and consultations in each village to provide you with opportunities to discuss your preferences, needs and concerns about all aspects of the land acquisition and compensation plan.

Special consultations will be conducted with APs, for example, to arrange temporary relocation of shops to permit the drainage works in the market, or to develop appropriate rehabilitation strategies for other APs that are severely affected or vulnerable. The PMIU and village authorities will keep you informed about these consultations, particularly after the DMS.

QUESTION: WHAT IF WE DISAGREE?

Answer: APs can voice their complaints on any aspect of land acquisition, compensation, resettlement and implementation in verbal or written form and they will be addressed in a timely and satisfactory manner. APs will first address their complaints to their village chief and/or arbitration unit; if they are not satisfied with the outcome, they can appeal to the district and provincial levels and, ultimately, to the courts. APs can ask for help from mass organizations, family members, friends or other people to file their complaints. APs will be exempted from all taxes, administrative and legal fees in the legal process.

QUESTION: DO WE NEED TO MOVE OR CLEAR THE AREA IMMEDIATELY AFTER OUR LAND,

HOUSES OR STRUCTURES HAVE BEEN IDENTIFIED AS AFFECTED?

Answer: No. Clearing the project site will only take place once compensation for affected land or other lost assets has been received by APs. Once the AP acknowledges receipt of payment, the Project will provide a reasonable time for APs to clear the area in order for construction activities to commence. The time will be approximately 90 days to relocate permanent structures, 60 days to relocate temporary houses and structures, and 30 days to relocate shops.

QUESTION: AS A RESIDENT IN THE PROJECT AREA, HOW CAN I HELP?

Answer: We would like you to participate in all consultation meetings and other project related activities to ensure that you are fully informed and consulted. Your active participation during surveys and implementation of the resettlement program helps us to

51

find ways to mitigate impacts, to identify problems and to identify ways of solving these problems.

CONTACT DETAILS:

For further queries and suggestions, please call or see us at:

If you have further queries and suggestions, please call or see us at:

PMIU Office or District Resettlement Committee:

Address: PMIU, Pakse

Phone Number: 031-......

Cut-off date Pakse : 25 May 2011

The PIB will be updated and distributed to all APs. It will include the proposed entitlements, grievance mechanism, along with the institutional arrangements.

52

Attachment 11a Population of Villages under the Project in Pakse District

Source: Pakse District Cabinet, data from 2010, received by PPTA PUIEP March 2011

No. Village HH Poor HH Male Female Total Ethnic

1 Lak Meuang 266 n/a 979 1017 1996 99.5% Tai Kadai, 0.5% Vietnamese2 Phabath 205 14 467 659 1126 100% Tai Kadai3 Thaluang 232 n/a 610 770 1380 99.5% Tai Kadai, 0.5% Vietnamese4 Phonxay 243 n/a 921 890 1811 100% Tai Kadai5 Horng Kha Yorm 259 n/a 1246 744 1990 99.5%% Tai Kadai, 0.5% Vietnamese, Chinese6 Phonkoung 259 n/a 846 904 1750 99% Tai Kadai, 0.5% Vietnamese, 0.5 Chinese7 Thong 189 n/a 546 579 1125 100% Tai Kadai8 Phonsavanh 351 n/a 1196 1076 2272 100% Tai Kadai9 Pakse 278 n/a 755 833 1588 100% Tai Kadai

10 Sang Nam Man 432 n/a 440 997 1437 100% Tai Kadai11 Yai Tha Hai 646 n/a 1911 2061 3972 99% Tai Kadai, 1% Vietnamese12 Yai Sok Am Nouai 443 n/a 1381 1262 2643 100% Tai Kadai13 Yai Sanamxay 396 n/a 1931 2072 4003 100% Tai Kadai

Kum Ban I

14 Saphanexay 448 n/a 1148 1471 2619 100% Tai Kadai15 Phon Ngam 330 n/a 1016 1211 2227 100% Tai Kadai16 Tha Hin Neua 324 n/a 961 925 1886 99.5% Tai Kadai, 0.5% Vietnamese17 Houay Poune 246 n/a 810 973 1783 100% Tai Kadai18 Khankeung 341 n/a 1554 1018 2572 100% Tai Kadai19 Kengkeung 153 n/a 471 537 1008 100% Tai Kadai20 Kok Deua 154 n/a 580 575 1155 100% Tai Kadai

Kum Ban II

21 Done Khor 384 n/a 1181 1254 2435 100% Tai Kadai22 Dong Kor Long 281 n/a 806 947 1753 100% Tai Kadai23 Houay Lau 235 n/a 772 970 1742 100% Tai Kadai24 Phonsikhay 474 n/a 1334 1410 2744 100% Tai Kadai25 Kengxan 119 n/a 471 537 1008 100% Tai Kadai

Kum Ban III

26 Xong Xe 321 n/a 928 984 1912 100% Tai Kadai27 Nachiang 85 n/a 130 159 289 100% Tai Kadai28 Kea 204 n/a 575 584 1159 100% Tai Kadai29 Hea 178 n/a 431 623 1054 100% Tai Kadai30 Photark 79 n/a 186 230 416 100% Tai Kadai31 Phonsaat 245 n/a 740 871 1611 99.5% Tai Kadai, 0.5% Vietnamese

Kum Ban IV

32 Keosamphanh 281 n/a 855 848 1703 99.5% Tai Kadai, 0.5% Vietnamese33 Non Dou 334 n/a 884 941 1825 100% Tai Kadai34 Na Heak 390 1 1025 934 1959 100% Tai Kadai35 Houay Nhang Kham 668 2 1965 2330 4295 100% Tai Kadai

Kum Ban V

36 Non Savang 419 n/a 1100 1123 2223 100% Tai Kadai37 Khonelay 105 2 178 484 662 100% Tai Kadai38 Pattana 256 n/a 608 688 1296 99.9% Tai Kadai, 0.1% Mon Khmer 39 Phoumouang 367 n/a 701 1305 2006 100% Tai Kadai40 Kang 205 n/a 772 1012 1784 100% Tai Kadai41 Chat San 313 n/a 840 883 1723 99.9% Tai Kadai, 0.1% Mon Khmer 42 Souan Savanh 210 n/a 1062 643 1705 100% Tai Kadai

Total District 12,348 19 37,313 40,334 77,647

Central urban villages

53

Attachment 11b Population of Villages under the Project in Phonthong District

Source: Phonthong District Cabinet, data from 2011, received by PPTA PUIEP March 2011

No. Village Households Poor household Male Female Total Ethnic

1 Nonsavanh 495 0 1292 1335 2627 100% Tai Kadai2 Houay Don 97 19 324 363 687 100% Tai Kadai3 Done Lay 107 3 305 303 608 100% Tai Kadai4 Nong Boua/Non Sang 221 4 539 563 1102 100% Tai Kadai5 Tha Louang/ Thong Khou Meuang 176 1 358 563 921 100% Tai Kadai6 Hor Pha Keo 124 6 361 356 717 100% Tai Kadai7 Nong Hoi/Takou 151 27 492 512 1004 100% Tai Kadai8 Phoxay/Nongsa 237 0 623 681 1304 100% Tai Kadai9 Houay Phek 281 13 906 813 1719 100% Tai Kadai

10 Khan Nheng 198 0 581 596 1177 100% Tai Kadai11 Nava 299 0 750 789 1539 100% Tai Kadai12 Sa Lau 134 6 401 399 800 100% Tai Kadai13 Samoliep 270 6 882 901 1783 100% Tai Kadai

Total 2,790 85 7,814 8,174 15,988

54

Attachment 11c Population of Village under the Project in Bachiang and Xanasouboun and Districts

Village Total P Women Houses Households

Ban Iomsack

4,144

2,654

435 467

Ban Xaysavang

1,873

905

335 339

Ban Nongnamkhao

1,669

789

287 311

Source: 2011, Bachiang District Statistic Office & Hoa Sea Kum Ban Authority received by PPTA PUIEP March 2011

Village Total P Women Houses Households

Ban Houaxai

3,945

1,971

776 793

Source: 2011, Xabasouboun District Statistic Office.

No. Village HH Poor HH Male Female Total Ethnic

Kum ban 5

1 Hoa Sea 775 0 2,037 1,917 3,954 100% Tai Kadai

55

Attachment 12 Terms of Reference PMIS


CONSULTING SERVICES RESETTLEMENT

UNDER

PAKSE URBAN ENVIRONMENTAL IMPROVEMENT PROJECT

PUEIP

BACKGROUND INFORMATION

AND TERMS OF REFERENCE

56


BACKGROUND INFORMATION AND TERMS OF REFERENCE

FOR CONSULTING SERVICES FOR

RESETTLEMENT

BACKGROUND AND INTRODUCTION

A. BACKGROUND


2. The Project's expected impact is the development of Greater Pakse Urban Area as a regional economic and tourism center. This will further promote economic ties with the neighboring countries of Cambodia, Thailand, and Viet Nam. The outcome of the Project will be improved urban environment in Pakse. This will be achieved through urban and environmental infrastructure improvement and stronger urban management capacity. The project area will include Pakse District, some villages to the east in Bachiang District, and parts of Phontong District on the western side of the Mekong River whereby infrastructural works will focus on Pakse Town and some minor works in Phonthong District.

3. The Project has been prepared with ADB assistance (TA 7567-LAO), which follows the pre-feasibility study funded by the City Development Initiative for Asia (CDIA) which was completed in June 2010 (Asian Development Bank TA 6293-REG). The TA aims to develop the Project suitable for ADB financing in terms of technical, financial, economic, institutional, sector policy, legal, and safeguard contexts, in conjunction with the country partnership strategy (CPS), operational experience, and lessons from evaluations of previous ADB-supported projects in the sector.


5. A Land Acquisition and Compensation Framework and Plan (LACF and LACP which is the same as Resettlement Framework/Plan (RF/RP)) for Pakse District Town in Champasack Province was prepared based on an assessment of the land acquisition and resettlement (LAR) impacts as part of preparation for the Pakse Urban Environmental Improvement Project (PUEIP) between January 2011 and June 2011 under ADB TA 7567-LAO.

6. LAR impacts are expected from the physical works that will be carried out under the City-wide Urban Environmental Improvements and Community Environmental Improvement components of PUEIP. These works will involve landfill rehabilitation and possible

57

expansion, and drainage rehabilitation and expansion, installment of pumping stations, riverbank erosion protection on the Xedon and minor works on tertiary drainage and access roads. The minor works will be community driven.

B. INTRODUCTION

7. Consultants are to be engaged to assist the project management and implementation unit (PMIU), comprising of staff from Department of Public Works and Transport (DPWT) in Champasack province and Pakse Urban Development Administration Authority (UDAA), to implement the Project resettlement activities for which the Terms of Reference are hereby presented.

8. The consulting services for resettlement activities of the Project have been divided in two parts, namely Project Management and Implementation Resettlement Consultants and Independent External Monitoring Resettlement (individual consultant). The main features of each part are:

Part 1: PMIS Resettlement Consultants

9. This part will involve site inspection to confirm actuality of the Resettlement Plan for PUEIP (prepared May 2011) including an update of the IOL after DMS and of the cost recovery survey. For the demand driven minor works it will prepare LACPs in compliance with the LACF for the works with impacts that exceed the scope of voluntary contributions. Based on the final physical design the Inventory of Losses will be updated resulting in an updated LACP including the final calculation of costs for all proposed civil works. Then the compensation procedure will be started in order to compensate affected families before the start of construction. Consultant will be engaged to ensure that resettlement activities take place according to Lao Law on Resettlement (Decree 192/PM on Compensation and Resettlement (July 2005)), ADB's Safeguard Policy Statement (June 2009, approved by ADB’ Board July 2009) and the Lao Government's Decree on Environmental Assessment (EA), (February 2010 (112/PM)).

Part 2: Independent External Monitor (IEM)

10. This part will include monitoring of the resettlement activities and compensation procedures for all affected areas and households. Consultant will ensure that all affected persons have been included in the LACPs. The Consultant (individual consultant) will monitor that compensation procedures have been followed properly and that mutual agreement about the compensation has been reached between affected persons and PMIU.

C. THE CONSULTANT

11. For Part 1, the Consultants are expected to be recruited by an international and a domestic firm with the appropriate capabilities and experience to execute the services. The lead firm will be solely responsible for the proper performance of the consulting services.

12. The international firm must have at least 15 years of international experience and a proven track record of successful resettlement consultancies in relation with construction works. The domestic firm must have extensive and proven experience in the areas of specialization that are expected to be delegated to such firm. The lead firm will be responsible for nominating personnel and guide the domestic firm in nominating personnel who have sufficient and proven experience in resettlement and compensation procedures.

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13. For Part 2, the PMIU will recruit a individual consultant with proven experience in monitoring resettlement activities and procedures. The recruitment will be in accordance with ADB guidelines and in agreement with the PMIU (through the PCU).

14. The Consultant’s team has been set out in Section III of these Terms of Reference.

TERMS OF REFERENCE

A. Part 1: PMIS Resettlement Consultants

15. This package will consist of services to facilitate resettlement activities according to the Lao Law on Resettlement (Decree 192/PM on Compensation and Resettlement (July 2005)), ADB's Safeguard Policy Statement (June 2009, approved by ADB’ Board July 2009) AND Operations Manual, OM F1 and the Lao Government's Decree on Environmental Assessment (EA), (February 2010 (112/PM)). This involves resettlement activities related to infrastructure and engineering works to be funded under the Project. Infrastructure improvements will include riverbank erosion protection, pumping stations and drainage rehabilitation and expansion. The detailed outline of services required will include, but not be limited to the following:

16. General

(i) In reading through these terms of reference, it is important to note that the responsibility of the international resettlement expert is to support and guide the domestic resettlement expert, PMIU and DRC in ensuring that all work is carried out in accordance with ADB’s LACF/LACP which is in accordance with the ADB’s SPS and Lao Law on Resettlement.

.

17. Detailed Measurement Survey

(i) Guide the domestic resettlement expert, DRC and PMIU in reviewing the Inventory of Losses survey or, in case of the demand driven works, in preparing an IOL and conducting a new census and in updating the replacement costs survey and in checking the Affected Person database for accuracy.

(ii) Provide guidance in Detailed Measurement Survey activities to PMIU and DRC.

(iii) Guide the national resettlement expert, PMIU and DRC to review the approved land acquisition and resettlement plans according to the DMS and assist in updating the resettlement plans for effective implementation, including new compensation rates, and adjusted budget and implementation schedule, as required. All updates shall be made in line with both the Lao PDR and ADB regulations with regards to resettlement.

18. Compensation Procedure and Grievance Redressal

(i) Prepare guidelines on the compensation procedure with a focus on community consultation, entitlement review, compensation assessment, and grievances procedures for the PMIU.

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(ii) Provide guidance to the domestic expert on the above guidelines to ensure that grievances redressal mechanisms are appropriate, and advise if necessary on speedy resolutions.

(iii) In close consultation with the domestic resettlement expert and DRC prepare a framework, guidelines and working schedule for the independent external monitoring agent.

The detailed scope of work of an international Resettlement expert is as below:

Duties: The safeguards expert (resettlement) shall have a minimum of 10 years of experience in resettlement and social development activities. The expert will

(i) oversee the work of the national safeguards expert and will assist various sub-projects, EA and the implementing agencies, and village development committees (MPWT, DPWT, UDAA, PSC) the project management and implementation unit (PMIU) to implement the project

(ii) Assist in consultations and finalization of resettlement plans; (iii) Assist in implementation of resettlement plans; (iv) establishment of resettlement monitoring procedures (including baseline surveys

as required) and assist in setting up procedures for managing and documenting land acquisition, compensation, and resettlement activities under the Project;

(v) assisting with monitoring and liaising with external monitoring consultants and assist in RP monitoring and reporting formats

(vi) provide over sight and guide the provision of inputs into all the safeguard documents;

(vii) Provide guidance, inputs and coordinate with the social development and environment specialist on stakeholder consultations and grievance redress mechanisms and ensure inputs are provided to the team

(viii) Provide orientation and training to the PMIU and other agencies related to sub-project implementation on ADBs SPS and project cycle requirements and safeguard milestones

(ix) Act as main focal point/contact for all resettlement related activities between the project, the IAs, ADB Resident Mission, NGOs, and other consultants. Guide the national specialist to help provide support to ADB review mission teams to ensure that RP implementation is being adequately assessed and reported

(x) Assist in recruitment of project staff , as required to ensure effective RP implementation in the project

(xi) Ensure that grievances redressal mechanisms are appropriate, and advise if necessary on speedy resolution

(xii) Review the approved land acquisition and resettlement plans. (ii) Ensure compliance with ADB SPS (2009) for all sub-projects

Position Social Safeguards Expert (Resettlement)

Type National

Person-months 8

Duties: The social safeguards expert (resettlement) will have a minimum of 8 years experience in resettlement. The expert will

(i) Assist the PMIU to review and update the land acquisition and compensation framework (LACF) and land acquisition and compensation plan (LACP) as per the detailed design. All the impacts will be reassessed case by case at the time

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of census update during the DMS. Assist the PMIU to prepare Prepare a LACP for expansion of the landfill site, if required.

(ii) assist the international social safeguards expert and provide necessary support and capacity building to MPWT, DPWT, UDAA, PSC, for LACP implementation, including orientation and training on the RP activities and implementation mechanisms; and the IA’s responsibilities in ensuring effective LACP implementation.

(iii) assist IA’s with consultations and finalization of resettlement framework and plans based on the detailed design to reflect any change in impacts, mitigation measures, costs and monitoring plans along with including new compensation rates, updated budget and implementation schedules, as required. All updates shall be made in line with the resettlement framework prepared for the Project, which reflects both Lao regulations and ADB Safeguard Policy Statement (2009).

(iv) Assist the PMIU in the verification and conducting a of census, along with the inventory of losses survey, replacement cost survey, and detailed measurement survey activities after DMS

(v) assist PMIU in implementing the updated and approved resettlement plans with a focus on community consultation, entitlement matrix review, compensation assessment, and grievance procedures

(vi) assist the PMIU to establish and implement procedures for ongoing internal resettlement monitoring; identify an Independent External monitor to verify the IA’s information;

(vii) liaising with external monitoring consultants; (viii) Work closely with the local authorities and resettlement committees at all levels

on resettlement related activities and assist PMIU in obtaining local and national clearances and approvals for the RP

(ix) Assist PMIU in the supervision and monitoring of land acquisition and resettlement, in accordance with the approved resettlement plans and ADB's Safeguard Policy Statement (2009)

(x) Establish and implement liaison mechanisms to ensure proper technical and logistical support between the Project to the PMIU, local administrative authorities, resettlement committees and concerned government departments.

(xi) Assist the PMIU in conducting public information campaigns and community participation.

(xii) Assist in updating the public information booklets as necessary (xiii) Ensure compliance with ADB SPS (2009) for all sub-projects

B. Part 2: Independent External Monitor

Objectives

19. An independent external monitoring agent (IEM) will be engaged by the PMIU to monitor LAR activities in relation with the physical works under PUEIP. The IEM will prepare and submit one progress report after completion of resettlement activities for each component and/or phase under Output 2 of the project. A copy of the IEM report will be submitted to PCU and ADB for no objection prior to the award of civil works contract. In addition, the IEM will prepare a final resettlement evaluation report (before project

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completion). The IEM will work in close cooperation with PMIU and DRC. The objective for the involvement of an independent monitor is:

(i) To provide an independent source of evaluation during the implementation process of resettlement and compensation. The IEM will offer, if needed, external support and technical expertise to AP compensation committees and implementing agencies;

(ii) Ascertain whether the resettlement entitlements were appropriate for meeting the objectives, and whether the objectives were suited to AP conditions;

(iii) To contribute advice to APs, PCU, PMIU and DRC to solve both anticipated and unanticipated problems that may arise as the activities defined in the updated LACPs are carried out.

(iv) For CEI component,), the IEM will monitor and review the process of voluntary contributions

Tasks

20. The independent external monitor will monitor specific issues such as the following:

(i) Payment of compensation and allowances as per approved LACP. Identify whether APs are covered under the LACP and if they are all eligible for compensation, resettlement and rehabilitation assistance, irrespective of tenure status, social or economic standing, and any such factors that may discriminate against achieving the project objectives.

(ii) Timing of disbursement of payment and documentation DMS and payments.

(iii) Coordination of resettlement activities with construction schedule.

(iv) Public consultation and awareness of resettlement policies.

(v) Process and level of voluntary contribution by households.

(vi) Replacement houses and structures.

(vii) Level of satisfaction of APs with the provisions and implementation of the LACP.

(viii) Grievance redress mechanism.

(ix) Capacity of APs to restore/re-establish livelihoods and living standards.

(x) Special attention will be given to severely affected APs and vulnerable APs.

(xi) Trends in living standards. Throughout the LACP implementation process, the IEM will observe and conduct spot checks to monitor the progress APs are making to restore living standards. Special attention will be paid to any differences based on gender and ethnicity. Any potential problems in the restoration of living standards will be reported.

(xii) Resettlement impacts caused during construction activities.

(xiii) Rehabilitation of public affected structures

Methodology

21. The methods for external monitoring activities include:

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(i) Review of IOL data base to be able to establish a baseline for monitoring and evaluating project benefits. Together with APs the IEM will check on a random basis the DMS process from identification to agreement on DMS results.

(ii) Participatory rapid appraisals (PRA). Consultation with APs and various stakeholders such as resettlement committee, PMU, community leaders, APs, direct field observations, and in-depth case studies of good practices of resolving problems identified.

(iii) Resettlement audit. The IEM will carry out random checks of payments disbursed to APs during monitoring, including households that made voluntary contributions. The IEM will submit a resettlement audit report upon completion of compensation payment to APs.

STAFFING INPUTS

22. One international staff will be included at the start for strategic inputs based on field inspection, project documents especially the LACP/RP for the Project.

23. One domestic staff will be recruited for assistance to the EA in implementation and for monitoring.

24. One Independent External Monitor will be recruited by PCU/PMIU.

25. The required inputs of the resettlement consultants team are set out in the tables below taking into account the following:

(i) It is assumed that checking the initial designs for the works under the City-wide Environmental Improvements and possible revisions in design and bidding documents are expected to commence shortly after commencement of the Project and to be completed within 6 months. The main civil works contracts could then start 3 months after that. The community driven activities will start with village selection and preparation so that design work will start after 1 year of the start of the Project. The first civil works under this component are expected to start 4 months after that.

(iii) This means that resettlement activities should start around 8 months after Project commencement (to allow 2 months for starting up activities of the Project) so that the inputs are after completion of actual designs and before awarding contracts for physical works.

(iv) The IEM should be recruited early in order to provide him/her sufficient time to complete his/her IEM report of the first component (or phase). The report will be submitted to ADB and the PCU for no objection to satisfactory completion of resettlement activities prior to contract awards. A similar report will be required at the end of each component, and at the end of each phase of resettlement activities under Output 2.

(v) The IEM should start together with the domestic resettlement expert one month before physical works are starting or during DMS. A second input should be towards the end of construction. A third input would be before the start of the smaller works under the community driven program and a fourth towards the completion of those works.

See also table 1 and 2 of consultants’ input below.

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Table 1 Resettlement Consultants' Input

Expert Person

Months

Resettlement Expert International in 3 inputs 3

Resettlement Expert Domestic in 3 inputs 8

Total person months for Part 1: 11

Table 2 Independent External Monitor Input

Expert Person

Months

Independent Resettlement Monitoring Expert in 4 inputs 4

Total person months for Part 2: 4

IMPLEMENTATION SCHEDULE

The implementation schedule is as outlined below. The PMIU shall review the implementation schedule at the start of the project to ensure accuracy of the timing with civil works schedules.

26. Checking the initial designs, possible revisions in design and bidding documents are expected to commence shortly after commencement of the Project and to be completed within 6 months (with an allowance of 2 months start-up time). The main civil works contracts could then start 3 months after that. The resettlement activities can start after 8 months of project commencement and can be completed in a period of 2 months for the main works. Therefore, the international consultant should start after 8 months of Project commencement for the DMS and verification of data of the LACP. The first input will be 1 month to verify the work to be done and prepare and plan the work of the domestic consultant. The second input of 1 month will be after the domestic consultant has trained the DRC/PMIU in DMS and compensation procedures. During this input a start can be made with planning and training for LAR activities and IOL data collection under the community driven component. The third input of 2 months will review all data collection after DMS for the minor works and prepare the compensation plans.

27. The domestic consultant should start his/her first input of one month one week after the first input of the international consultant to allow some overlap for briefings and time for planning the work to be done. Then the domestic consultant will train and assist the PMIU/DRC in collecting data for DMS and on the compensation procedure. The domestic consultant will work for two months after all data for DMS are collected for verification and processing of all data and translation of any information of relevance to the DRC and APs. At that time a start can be made with preparing the communities that are selected to participate in the Community Environmental Improvements for data collection for the IOL. The consultant should return for 3 months for DMS for the minor works and updating the cost recovery survey. This would be 14 months after start of the Project.

28. The monitoring work can be carried out at 4 stages in the Project. The first stage is when the Independent External Monitor could start is at the same time as the second site inspection by the domestic resettlement consultant (after 10 months of Project

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commencement). The second site inspection by the IEM could take place after the physical works are substantially completed to monitor unforeseen impacts that occurred during construction (change from design in actual construction, loss of crops including rice when construction is continuing in cultivation seasons) and work with PMIU on compensation afterwards. A third input would be before the start of the smaller works under the community driven program which will be 16 months after the start of the Project. A fourth input would be towards the completion of those works in the last year of the Project.

See also a schedule of consultants’ inputs below.

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Tentative Schedule of Resettlement Consultants

Position

1st Yr 2nd Year 3d Year Total Man-

Month

6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8

International Consultants

Resettlement

3

Domestic Consultants

Resettlement*

8

Independent External Monitoring Agent

4

Proposed Assignment period

** first input 1 month, second 2 months, third 3 months

8.0 16.5 52.0 17.0 11.5

8.0 16.5 11.5

8.0

16.5 11.5

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REPORTS

29. The Consultant will prepare the following reports. The timing, format and content of each report is to be reviewed with the PMIU and acceptable to ADB The format and content of each report is to be acceptable to the PMIU. For each report an electronic copy along with a hard copy will be submitted. For all reports an executive summary will be included.

30. Progress reports of changes in IOL and progress of compensation procedures will be provided by the PMIU during the implementation of the resettlement activities. These reports will be consolidated by the PCU and any key issues will be reported to ADB in project progress reports.

31. A final evaluation report will be produced immediately after completion of physical works in a manner satisfactory to PMIU/PCU and ADB. This final evaluation will give a summary of all resettlement activities under the Project, problems encountered and the way of solving those problems. Finally, it should give recommendations for improvements in the resettlement process.

FACILITIES AND EQUIPMENT

32. The consultant is required to allow in his/her proposal for the provision of temporary facilities and equipment as listed below to cover the entire duration of services, as may be required.

(i) Office accommodation, residential accommodation for field-staff, furnishings, maintenance and facilities.

(ii) Vehicles, drivers, fuel and vehicle maintenance.

(iii) Equipment, including photocopier, consumables and unskilled labour needed for surveys and quality control.

(iv) Printing equipment and supplies.

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Attachment 13 Outline CEI Process14

INTRODUCE AND REFINE CEI CONCEPT

1. PMIU conducts an orientation workshop for villagers and local authorities to review CEI design and confirm specific implementation elements. Ensure participation by both women and men with special attention in poor and vulnerable households. Explain the CEI program and the proposed activities including the expected contribution by the villagers (to be discussed and determined at a later date when the designs are ready).

2. Village chiefs prepare a proposal for participation.

3. Review the village selection criteria. Develop a long-list based on village chief proposals.

4. Conduct second village meeting. Undertake needs and prioritization in separate women and men groups and different wealth groups and then bring together for finalization.

5. Finalize meeting procedure and prepare methodology instructions/checklist for all future village meetings

VILLAGE PLANNING AND DESIGN

6. Preliminary information gathering surveys by PMIU staff (with help from PMIS consultants, OPWT staff and interns) are undertaken.

7. Stakeholder meetings to (i) inform villagers and agree on the criteria for selection for sub-projects

8. The PMIU prepares a proposal for Output 2 and submits it to PCU and ADB for no objection.

9. After no objection, the PMIU undertakes detailed survey and design, in ongoing close co-operation with the VDC.

10. PMIU (with PMIS consultants) prepares a feasibility study for each village. Includes village infrastructure priorities, including identification of poor households eligible for sanitation grants; necessary technical, social, economic and safeguards due diligence; and proposed O&M arrangements. Cost estimates and ADB safeguard checklists are completed and attached. In case there are resettlement, environment and indigenous peoples impacts, appropriate plans in accordance with ADB Safeguard Policy Statement and Government regulations are prepared.

11. PMIU holds stakeholder meetings with villagers and local government representatives are held to: (i) agree on the details of the designs, and (ii) agree on a 10% contribution by the village towards the construction costs.

12. Prepare an appraisal report for each phase of villages, confirming that (i) improvements in each village are in accordance with the village-determined selection criteria; and (ii) improvements comply with ADB safeguard categorizations for the project.

13. Submit feasibility studies and appraisal report for each phase to ADB and PCU for no objection. VILLAGE AGREEMENTS AND CONTRIBUTIONS

14. After receiving ADB’s no objection, PMIU proceeds to facilitate agreements on 10% community (or village) contribution; and 10% local government contribution (district government).

15. Verify and confirm all infrastructure costs, or make necessary adjustments. 16. PMIU prepares bidding documents to include village infrastructure improvements for 5-6 villages and

households sanitation improvements. One NCB contract will be prepared for each phase. 17. If required, carry out DMS for IOL, confirm compensation rates, and compensate affected households

for their loss. Hold consultation meetings and ensure disclosure of documents. 18. Conduct individual meetings with the different households to discuss contribution methods, and assist

household heads and spouses in signing Payment Schedule for Contributions Contract. 19. Start compensation procedure for affected households in case there are LAR impacts. 20. Request the independent external monitor for resettlement to prepare its report for the PCU and ADB

no objection (prior to contract awards). 21. PMIU (with PMIS consultants) evaluate bids and prepare evaluation report for ADB’s no objection.

14 Will be reviewed and updated again at project start.

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CONSTRUCTION

22. PMIU signs contract with winning contractor. 23. Disclosure of winning contract to villagers (including bid price, scope of work, start/end date of contract,

etc.). This can be displayed on a notice board in a public meeting place. 24. During this time, talk with the village chiefs, CEI coordinators, and mass organizations (e.g., LWU) and

update them with recent information, so that they and the villagers know what activities are taking place within the Project.

25. VDCs will monitor construction, with support from the PMIU, OPWT and PMIS consultants:

monitoring of progress and contractor operations monitoring materials quantities and usage set up complaints box related to the construction in participating villages regular meetings with VDC and CEI coordinators reporting progress and constraints undertake joint inspection work and certify payment of contractors claim for payment joint inspection and approval by VDC and DPWT/UDAA operating a joint bank account for payment of labor-based activities and procurement of local materials administration of incoming funds accounting of the funds

26. Upon completion of the works and joint-inspection (PMIU, PMIS consultants and VDC), final payment to the contractors will be made.

OPERATION AND MAINTENANCE

27. The VDC will determine the O&M arrangements for village infrastructure improvements and arrangements with Pakse UDAA. The proposed arrangements shall be in the feasibility study.

About 40% of all CEI employment opportunities will be reserved for women interested in the job. Female villagers are invited for necessary follow-up training Introduction of regular discussion groups with female and male CEI coordinators to exchange

experiences of their work – separate meetings for men and women if considered necessary. 28. VDC and CEI coordinators will monitor the quality of construction for the first of liability and will report

any defects to PMIU for follow-up with the contractor. Repeat process for Phase 2….Phase 10.

29. Inspection

VDC, CEI coordinators and PMIU monitor and at the end of the first complete wet season following completion of the intervention, DPWT, UDAA, and VDC representatives will undertake a joint walk through inspection

30. Final payment

Once the inspectors, in consultation with the Project are satisfied that the work is operational and sustainable and that all construction faults have been rectified, final payment to the contractors will be certified by the VDC and endorsed by the Village Chief.

Documents

Lao PDR: Urban Environmental Improvement Project · Lao PDR: Urban Environmental Improvement Project . Prepared by Department of Public Works and Transport in Champasak province and