The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Uttarakhand Public Financial Management Strengthening Project (P166923) SOUTH ASIA | India | Governance Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 1 | ARCHIVED on 31-Jul-2019 | ISR37933 | Implementing Agencies: Finance Department, Government of Uttarakhand, Republic of India Key Dates Key Project Dates Bank Approval Date: 07-Mar-2019 Effectiveness Date: -- Planned Mid Term Review Date: -- Actual Mid-Term Review Date: -- Original Closing Date: 30-Jun-2024 Revised Closing Date: 30-Jun-2024 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The project development objective is to enhance accountability in public finances and increase effectiveness of revenue management systems in Uttarakhand Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component 1: Strengthening the Public Financial Management Functions:(Cost $25.52 M) Component 2: Strengthening Revenue Management Systems:(Cost $6.79 M) Component 3: Strengthening PFM in Urban Local Bodies and State-Owned Enterprises:(Cost $5.30 M) Component 4: Project Management and Monitoring & Evaluation:(Cost $1.79 M) Front end Fees:(Cost $0.08 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO -- Satisfactory Overall Implementation Progress (IP) -- Satisfactory Overall Risk Rating -- Moderate Implementation Status and Key Decisions The project was signed on 25 June 2019 and would become effective shortly. The project has started in a positive note and should keep up the momentum. The project has already constituted PMU and have appointed certain key staff. Other staff would be appointed shortly. IVA consultancy has been awarded and work has started. Consultancies required to meet first year DLI have been awarded and work has started in the field.This is an interim ISR. A mission is planned in the month of September 2019, post project effectiveness and detailed Implementation progress on the project activities will be reported through an ISR. 7/31/2019 Page 1 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Low -- Low Macroeconomic Moderate -- Moderate Sector Strategies and Policies Moderate -- Moderate Technical Design of Project or Program Substantial -- Substantial Institutional Capacity for Implementation and Sustainability Substantial -- Substantial Fiduciary Moderate -- Moderate Environment and Social Low -- Low Stakeholders Moderate -- Moderate Other Low -- Low Overall Moderate -- Moderate Results PDO Indicators by Objectives / Outcomes Enhanced accountability in public finances IN00725175 ►Complete and timely State financial reports made available in public domain (Text, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target (a) Stand- alone applications for treasury (a) Full state accounts and budgeting and submitted to manual systems in Accountant General Works departments. through IFMIS in (b) Employee service paperless form, within records are manual and ten days from close of Value not linked with current -- Not Yet Due the month payroll database and (b) Payroll and there are delays in employee service processing of pension records are integrated data and up to date Date 03-Sep-2018 -- 22-Jul-2019 31-Mar-2024 This indicator measures the implementation of new FMIS and HRMIS leading to enhanced internal Comments: controls, online bill processing, faster payments, online accounting and reporting. This indicator will 7/31/2019 Page 2 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) measure the completeness and timeliness of accounts submission to Accountant General and disclosing financial reports in public domain. IN00725177 ►Improved coverage of internal audit for high risk auditees (Percentage, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target Value 10.00 -- 10.00 60.00 Date 31-Mar-2019 -- 22-Jul-2019 31-Mar-2024 This indicator measures the increase in number of high risk auditees (Category A) actually audited as Comments: compared to the total auditees. Audit will be deemed as completed when the audit report is issued through OAMS within two months from completion of audit. IN00725178 ►Enhanced transparency of key budget and procurement information (Text, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target (a) Budget execution reports and procurement contract awards are not (a) Budget reports and published. procurement contract (b) Absence of Standard awards are published. Bidding Documents. (b) SBD notified and Value -- Not Yet Due (c) Limited citizen operationalized participation in (c) GRM established budgeting. (d) Citizen provide (d) GRM for procurement inputs to budget not established Date 01-Nov-2018 -- 22-Jul-2019 31-Mar-2024 This indicator measures the transparency and availability of key budget and procurement information to Comments: the citizen. IN00725179 ►Improved timeliness in prepartion and publication of AFS of ULBs (Number, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 70.00 Date 01-Nov-2018 -- 22-Jul-2019 31-Mar-2024 This indicator measures the preparation of AFS by ULBs within six months from the close of the FY. The Comments: accounts needs to be prepared as per revised UMAM and through the approved MAS. Increased effectiveness of revenue management systems IN00725176 ►Increased property tax collections of participating ULBs over baseline (Percentage, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 30.00 Date 31-Mar-2019 -- 22-Jul-2019 31-Mar-2024 This indicator measures the increase in the collection of Property Tax in participating ULBs subsequent to Comments: digitization of property registers and GIS maps. The current baseline of property tax is INR 400 Million for 14 participating ULBs. 7/31/2019 Page 3 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Overall Comments PDO Project yet to be effective. Intermediate Results Indicators by Components Strengthening the Public Finance Management Functions IN00725180 ►New generation FMIS with enhanced controls and processes implemented (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Stand- alone applications for treasury and New generation IFMIS Value budgeting and manual -- Not yet Due implemented systems in works departments. Date 11-Sep-2018 -- 22-Jul-2019 31-Mar-2024 This indicator tracks the implementation of the new generation software IFMIS and generation of complete Comments: reports on a timely basis. IN00725183 ►Online HRMIS with integrated service records and payroll implemented (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target (a) Computerized payroll system with manual Payroll and employee interventions service records Value (b) Service records are -- Not yet Due integrated and are up maintained manually and to date not linked to payroll Date 11-Sep-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator tracks the implementation of HRMIS IN00725186 ►Improved cash and debt management practices institutionalised (Text, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target Debt records are maintained manually, (a) Training provided Medium Term Debt to staff Strategy (MTDS) and (b) Debt management Public Debt Statistical software implemented. Value Bulletin not prepared and -- Not Yet Due (c) Debt statistical Debt Sustainability bulletin, MTDS,DSA Analysis (DSA) not and Cash & Borrowing conducted Plan prepared. Date 01-Oct-2018 -- 22-Jul-2019 31-Mar-2024 7/31/2019 Page 4 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) This indicator measures adoption of modern cash and debt management practices and institutional Comments: strengthening IN00725189 ►Improved planning, budgeting and evaluation framework implemented (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target (a) Weak alignment in Improved planning and government goals and budgeting and Value expenditures -- Not yet Due evaluation framework (b) Limited evaluations institutionalised done post budget Date 01-Oct-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator tracks the implementation of new framework for planning, budgeting and evaluation. IN00725191 ►Improved appraisal and monitoring of high value capital projects (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target (a) At least 80% of (a) Appraisal guidelines new high value exist but need projects appraised improvement under the new Value (b) Monitoring system of -- Not yet Due guidelines high value projects (b) FD reviews all high needs improvement value projects using PMD Date 01-Nov-2018 -- 22-Jul-2019 31-Mar-2024 This indicator will review development and operationalization of appraisal guidelines and project Comments: monitoring dashboard IN00725193 ►Audit Directorate strengthened (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target (a) Manuals operationalized, staff trained and two (a) Audit processes are thematic audits manual completed Value (b) High risk Thematic -- Not yet Due (b) Annual report on audit not conducted audit of local bodies placed in state legislature for the year ending March 31, 2022 Date 01-Oct-2018 -- 22-Jul-2019 31-Mar-2024 This indicator tracks the development and implementation of modernized audit manuals and training of Comments: staff IN00725195 Online Audit Management System Implemented (Text, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target 60% of ALL Internal No automated audit Audit reports have management system been issued through Value -- Not yet Due presently used by the OAMS, within two department months from completion of audit IN00725196 7/31/2019 Page 5 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Improved auditee response to Internal Audit reports (Text, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target First response entered in OAMS by auditees First response rate is Value -- Not yet Due for 50% of reports currently not monitored issued audit through OAMS IN00725197 ►Improved coverage of Financial Attest Audit of Local Bodies (Urban and Rural) (Percentage, Custom, DLI) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 80.00 Date 01-Nov-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator measures the audit completion rate for available AFS of local bodies. IN00725198 ►Number of staff trained in targeted PFM areas (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Total 3000 staff Value 900.00 -- Not yet Due trained in the targeted areas Date 01-Oct-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator measures the capacity building of GoUk staff, including female staff, in targeted PFM areas IN00725199 Number of Female staff trained (Text, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target 12 percent of total 25 percent of total Value -- 12 percent trainees trainees IN00725200 ►Grievances responded by project level GRM (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 75.00 Date 23-Nov-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator measures the Grievances received and responded by project. Strengthening Revenue Management Systems IN00725181 ►e-Governance application for excise function implemented (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target New online excise Basic Excise e- management software Value Governance application -- Not yet Due implemented in Excise exists Department 7/31/2019 Page 6 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Date 30-Sep-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator tracks the implementation of the online excise management software in Excise Department IN00725184 ►GIS based Property tax system implemented in participating ULBs (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 14.00 Date 26-Sep-2018 -- 22-Jul-2019 31-Mar-2024 This indicator measures the number of participating ULBs who have implemented GIS property tax maps. Comments: This indicator will be measured cumulatively. IN00725187 House hold survey completed (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 14.00 IN00725190 ULBs have digitized their manual property tax registers (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 14.00 IN00725192 ►Capacity building on GIS in UDD (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target (a) GIS training provided to staff of 20 Dedicated GIS cell not ULBs Value formed and GIS trainings -- Not yet Due (b) GIS cell fully not provided operational and manages GIS for ULBs Date 01-Oct-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator measures number of ULBs trained in GIS and operationalization of GIS cell IN00725194 ►Roadmap for strengthened Revenue systems in GMVN (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target IT application for Manual and revenue systems has Value disaggregated revenue -- Not yet Due gone live and strategic systems business plan operationalised Date 01-Nov-2018 -- 22-Jul-2019 31-Mar-2024 This indicator tracks the development of Strategic Plan for the two selected verticals in GMVN and Comments: subsequent implementation of the computerized revenue systems Strengthening PFM in Urban Local Bodies and State owned enterprises IN00725182 ►ULBs institutionally strengthened (Text, Custom) 7/31/2019 Page 7 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Baseline Actual (Previous) Actual (Current) End Target (a) Manual accounting process followed in the state and no state wide uniform accounting Staff of all ULBs have software implemented been trained in revised (b) Staff not trained on Value -- Not yet Due UMAM and MAS and accrual double entry MAS implemented in accounting system all ULBs accounts Date 29-Sep-2018 -- 22-Jul-2019 31-Mar-2024 Comments: This indicator measures number of ULBs trained in accounting and software IN00725185 ►Double Entry Accrual based computerised accounting system implemented in ULBs (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 92.00 Date 01-Oct-2018 -- 22-Jul-2019 31-Mar-2024 This indicator measures the number of ULBs who have transitioned to Double Entry Accrual based Comments: computerized accounting system. This includes generating final accounts in prescribed format from the IN00725188 software. ULBs opening balance sheet prepared (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 92.00 Disbursement Linked Indicators IN00725201 ►DLI 1 Complete and timely State financial reports made available in public domain (Text, Intermediate Outcome, 5,300,000.00, 13.42%) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 (a) Stand- alone applications for treasury and budgeting and manual systems in Works departments. (b) Employee service records are manual and not Value -- Not Yet Due -- linked with current payroll database and there are delays in processing of pension data Date -- -- 22-Jul-2019 -- IN00725202 7/31/2019 Page 8 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) ►DLI 2 Improved coverage of internal audit for high risk auditees (Percentage, Intermediate Outcome, 3,000,000.00, 7.60%) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 Value 10.00 -- 10.00 -- Date -- -- 22-Jul-2019 -- IN00725203 ►DLI 3 Enhanced transparency of key budget and procurement information (Text, Intermediate Outcome, 2,000,000.00, 5.07%) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 (a) Budget execution reports and procurement contract awards are not published. (b) Absence of Standard Value Bidding Documents. -- Not Yet Due -- (c) Limited citizen participation in budgeting. (d) GRM for procurement not established Date -- -- 22-Jul-2019 -- IN00725204 ►DLI 4 Improved timeliness in prepartion and publication of AFS of ULBs (Number, Intermediate Outcome, 3,200,000.00, 8.11%) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 Value 0.00 -- 0.00 -- Date -- -- 22-Jul-2019 -- IN00725205 ►DLI 5 Increased property tax collections of participating ULBs over baseline (Percentage, Intermediate Outcome, 4,000,000.00, 10.13%) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 Value 0.00 -- 0.00 -- Date -- -- 22-Jul-2019 -- IN00725206 ►DLI 6 Improved coverage of Financial Attest Audit of Local Bodies (Urban and Rural) (Percentage, Intermediate Outcome, 3,500,000.00, 8.87%) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 Value 0.00 -- 0.00 -- Date -- -- 22-Jul-2019 -- IN00725207 ►DLI 7 Improved cash and debt management practices institutionalised (Text, Output, 3,000,000.00, 7.60%) 7/31/2019 Page 9 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Baseline Actual (Previous) Actual (Current) 31-MARCH-2024 Debt records are maintained manually, Medium Term Debt Strategy (MTDS) and Public Debt Statistical Value -- Not Yet Due -- Bulletin not prepared and Debt Sustainability Analysis (DSA) not conducted Date -- -- 22-Jul-2019 -- Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed Not P166923 IBRD-89280 USD 31.58 31.58 0.00 0.00 31.58 0% Effective Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date Not P166923 IBRD-89280 07-Mar-2019 -- -- 30-Jun-2024 30-Jun-2024 Effective Cumulative Disbursements 7/31/2019 Page 10 of 11 The World Bank Implementation Status & Results Report Uttarakhand Public Financial Management Strengthening Project (P166923) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 7/31/2019 Page 11 of 11