The World Bank GY Flood Risk Management (P147250) REPORT NO.: RES39383 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF GY FLOOD RISK MANAGEMENT APPROVED ON JUNE 4, 2014 TO COOPERATIVE REPUBLIC OF GUYANA URBAN, RESILIENCE AND LAND LATIN AMERICA AND CARIBBEAN Regional Vice President: J. Humberto Lopez Country Director: Tahseen Sayed Khan Regional Director: Anna Wellenstein Practice Manager/Manager: Ming Zhang Task Team Leader(s): Hadji Huseynov The World Bank GY Flood Risk Management (P147250) I. BASIC DATA Product Information Project ID Financing Instrument P147250 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 04-Jun-2014 30-Jan-2020 Organizations Borrower Responsible Agency Agriculture Sector Development Unit (ASDU), Ministry of Cooperative Republic of Guyana Agriculture Project Development Objective (PDO) Original PDO The objective of the project is to reduce the risk of flooding in the low-lying areas of the East Demerara. Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-54740 04-Jun-2014 10-Oct-2014 25-Nov-2014 30-Jan-2020 11.89 10.69 0 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES The World Bank GY Flood Risk Management (P147250) Overall Status The project's Implementation Progress (IP) is rated as satisfactory and progress towards achieving of the Project Development Objective (PDO) is kept at Moderately Satisfactory based on the results of latest implementation support mission dated November 13-14, 2019 and the latest ISR issued in November 2019. Most of activities envisaged under the Flood Risk Management Project (FRMP) have been completed and project has largely achieved its development objective as measured by indicators in the results framework. Due to exchange rate fluctuations between Special Drawing Right (SDR) and US dollars, the available credit amount of US $11.89 million has been reduced to ≅ US $10.6 million. This represents a loss of around US $1.2 million or 10% of the total credit amount. Currently, 100% of the credit amount has been committed and disbursed, therefore this shortfall has impacted project activities and some secondary outputs will not be completed (such as preparation of a hydraulic and hydrologic modelling, preparation of the Emergency Preparedness Plan (EPP) and training) under original scope. The Bank is currently processing an Additional Financing (AF) that will cover the financial gap and scale up all project components. Among the key project activities which are still on-going and experience the delays are the reconstruction of 4 Km of the North-Eastern Dam of the Eastern Demerara Water Conservancy (EDWC) and its supervision contract. This is the first time Guyana is adopting an innovative and more resilient technique for rehabilitating the earthen dam, which adds a compaction step of the top of the dam with a 10-ton sheep roller, in addition to continuous soil sampling, significantly increasing the overall quality of the construction. This technique along with the unpredicted excessive rainfall requires more time than originally planned, therefore an extension of the project closing date till July 20, 2020 was requested by the Ministry of Finance in the letter dated November 4, 2019. The extension is also required to complete the handover of works, accomplish the project audit and ensure that AF is processed to cover existing financial gap caused by exchange rate loss. The project's procurement performance continues to be satisfactory while financial management has been rated as moderately satisfactory. The project audit reports considered satisfactory to the Bank and currently there are no outstanding audits reports. The implementation of environmental and social safeguards policies triggered under the project remains satisfactory. The project is compliant with all legal covenants in the Financing Agreement. Proposed restructuring changes The project will be extended by July 20, 2020, which will be the second extension of the project closing date representing the total cumulative extension by 18 months. No other changes are proposed under this restructuring. II. DETAILED CHANGES LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications IDA-54740 Effective 31-Jan-2019 30-Jan-2020 20-Jul-2020 20-Nov-2020 The World Bank GY Flood Risk Management (P147250)