GOVERNANCE TO ENABLE SERVICE DELIVERY IN MALAWI PROJECT PREPARATION ADVANCE (PPA) PROCUREMENT PLAN I. General 1. Project Information Country: Malawi Project Name: Governance to Enable Service Delivery in Malawi Project ID: P164961 2. Project Implementation Agency: National Local Government Finance Committee (NLGFC) 3. Date of the Procurement Plan: February 1, 2019 4. Period Covered by this procurement plan: II. Preamble In accordance with paragraph 5.9 of the “World Bank Procurement Regulations for IPF Borrowers” (July 2016 revised November 2017 and August 2018) (“Procurement Regulations”) the Bank’s Systematic Tracking and Exchanges in Procurement (STEP) system will be used to prepare, clear and update Procurement Plans and conduct all procurement transactions for the Project. This textual part along with the Procurement Plan tables in STEP constitute the Procurement Plan for the Project. The following conditions apply to all procurement activities in the Procurement Plan. The other elements of the Procurement Plan as required under paragraph 4.4 of the Procurement Regulations as set forth in STEP. III. Bank’s Standard Procurement Documents: The Bank’s Standard Procurement Documents shall be used for all contracts subject to international competitive procurement and those contracts as specified in the Procurement Plan tables in STEP. IV. National Procurement Arrangements: In accordance with paragraph 5.3 of the Procurement Regulations, when approaching the national market (as specified in the Procurement Plan tables in STEP), the country’s own procurement procedures may be used. When the Borrower uses its own national open competitive procurement arrangements as set forth in The Public Procurement and Disposal of Assets Act, 2017 and its subsidiary instruments namely: The Public Procurement Regulations, 2004, Desk Instructions (2005), Standard bidding Documents and Circulars for the Public Procurement and Disposal of Assets (PPDA) Authority 1 such arrangements shall be subject to paragraph 5.4 of the Procurement Regulations under the following conditions: o Provision of “set-asides” contracts for small enterprises shall not be applied. o Criteria such as environmental aspect, extent of local content, technology transfer, and managerial, scientific & operational skills development shall not be used in the evaluation of bids unless specifically agreed by the Bank on case to case basis. o Procurement Documents include provisions, intended to adequately mitigate against environmental, social (including sexual exploitation and abuse and gender-based violence), health and safety (“ESHS”) risks and impacts When other national procurement arrangements other than national open competitive procurement arrangements are applied by the Borrower, such arrangements shall be subject to paragraph 5.5 of the Procurement Regulations. In accordance with paragraph 5.4(c) and 5.5 of the Procurement Regulations, the request for bids/request for proposals/request for quotations document shall require that Bidders/Proposers submitting Bids/Proposals/quotations present a signed acceptance at the time of bidding, to be incorporated in any resulting contracts, confirming application of, and compliance with, the Bank’s Anti-Corruption Guidelines, including without limitation the Bank’s right to sanction and the Bank’s inspection and audit rights. The form of the Letter of Acceptance is attached in Appendix 1. V. Prequalification: N/A VI. Leased Assets as specified under paragraph 5.10 of the Procurement Regulations: Not Applicable. VII. Procurement of Second Hand Goods as specified under paragraph 5.11 of the Procurement Regulations: Not Applicable. VIII. Domestic preference as specified under paragraph 5.51 of the Procurement Regulations (Goods and Works). (a) Goods: N/A (b) Works: N/A Domestic preference is not applicable for National Open Competitive Procurement IX. Other Relevant Procurement Information Provide any other relevant procurement information such as procedures for CDD components, Procurement in Situations of Urgent Need of Assistance or Capacity Constraints etc.--NONE 2 X. Procurement Prior Review Thresholds (US$ millions): The overall Project procurement Risk is Substantial. The project being a non-emergency project, there would be generally prior reviews of cases unless specifically indicated in the Procurement Plan as a special measure. Post Review: All contracts not subject to prior review shall be subject to post review. XI. Procurement Prior Review Thresholds Based on Substantial Risk Rating (US$ millions) Type of Procurement Threshold (Million USD) Works (including turnkey, supply & installation of plant and equipment, and 5 PPP) Goods, information technology and non-consulting services 1.5 Consultants: firms 0.5 Consultants: Individuals 0.2 XII. Thresholds for procurement approaches and methods Works Goods, IT and Non-Consulting Shortlist of National Services Consultants Open Open Request for Open Open Request for Consulting Engineering & International National Quotation International National Quotation Services Construction Supervision ≧ < ≦ ≧ < ≦ < ≦ 7 7 0.2 1 1 0.1 0.2 0.3 3 PROCUREMENT PACKAGES WITH METHODS AND TIME SCHEDULES A. GOODS B. CONSULTANCY SERVICES Sr. No Contract Description Est. Cost Review by Market Selection Evaluation Shortlisting Expected date Expected (US$) Bank Approach Method Options (Yes/ No) of proposal date of (Prior/ opening Contract Post) Signature 1 Design of Performance Based Grant, assessment and 270,000.00 Prior Direct CDS Yes Feb 2019 Mar 2019 associated Systems and Procedures for Local Authorities 4 SUMMARY NO CATEGORY OF VALUE (US$) PROCUREMENT A Goods B Works C Consultancy D Non-Consultancy TOTAL 5 Appendix 1 Letter of Acceptance of the World Bank’s Anti-Corruption Guidelines and Sanctions Framework Date: Invitation of Bids/Proposals No.__________ To: ___________________________________________________________________________ We, along with our sub-contractors, sub-consultants, service providers, suppliers, agents (whether declared or not) consultants and personnel, acknowledge and agree to abide by the World Bank’s policy regarding Fraud and Corruption (corrupt, fraudulent, collusive, coercive, and obstructive practices), as set out and defined in the World Bank’s Anti-Corruption Guidelines1 in connection with the procurement and execution of the contract (in case of award), including any amendments thereto. We declare and warrant that we, along our sub-contractors, sub-consultants, service providers, suppliers, agents (whether declared or not), consultants and personnel, , are not subject to, and are not controlled by any entity or individual that is subject to, a temporary suspension, early temporary suspension, or debarment imposed by a member of the World Bank Group, including, inter alia, a cross-debarment imposed by the World Bank Group as agreed with other international financial institutions (including multilateral development banks), or through the application of a World Bank Group finding of non-responsibility on the basis of Fraud and Corruption in connection with World Bank Group corporate procurement. Further, we are not ineligible under the laws or official regulations of [Insert name of Employer as per bidding document] or pursuant to a decision of the United Nations Security Council. We confirm our understanding of the consequences of not complying with the World Bank’s Anti- Corruption Guidelines, which may include the following: a. rejection of our Proposal/Bid for award of contract; b. in the case of award, termination of the contract, without prejudice to any other remedy for breach of contract; and c. sanctions, pursuant to the Bank’s Anti-corruption Guidelines and in accordance with its prevailing sanctions policies and procedures as set forth in the Bank’s Sanctions Framework. This may include a public declaration of ineligibility, either indefinitely or for a stated period of time, (i) to be awarded or otherwise benefit from a Bank-financed contract, financially or 1Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by International Bank for Reconstruction and Development Loans and the International Development Agency Credits and Grants, dated October 15, 2006, and revised in January 2011 and July 2016, as they may be revised from time to time. 6 in any other manner;2 (ii) to be a nominated3 sub-contractor, consultant, manufacturer or supplier, or service provider of an otherwise eligible firm being awarded a Bank-financed contract; and (iii) to receive the proceeds of any loan made by the Bank or otherwise to participate further in the preparation or implementation of any Bank-financed project. We understand that we may be declared ineligible as set out above upon: a. completion of World Bank Group sanctions proceedings according to its prevailing sanctions procedures; b. cross-debarment as agreed with other international financial institutions (including multilateral development banks); c. the application of a World Bank Group finding of non-responsibility on the basis of Fraud and Corruption in connection with World Bank Group corporate procurement; or d. temporary suspension or early temporary suspension in connection with an ongoing World Bank Group sanctions proceeding. For avoidance of doubt, the foregoing effects of ineligibility do not extend to a sanctioned firm’s or individual’s execution of its ongoing Bank-financed contracts (or its ongoing sub-agreements under such contracts) that are not the subject of a material modification, as determined by the Bank. We shall permit, and shall cause our sub-contractors, sub-consultants, agents (whether declared or not), personnel, consultants, service providers or suppliers, to permit the Bank to inspect4 all accounts, records, and other documents relating to the procurement process and/or contract execution (in the case of award), and to have them audited by auditors appointed by the Bank. 2 For the avoidance of doubt, a sanctioned party’s ineligibility to be awarded a contract shall include, without limitation, (i) applying for pre-qualification, expressing interest in a consultancy, and bidding, either directly or as a nominated sub-contractor, nominated consultant, nominated manufacturer or supplier, or nominated service provider, in respect of such contract, and (ii) entering into an addendum or amendment introducing a material modification to any existing contract. 3 A nominated sub-contractor, nominated consultant, nominated manufacturer or supplier, or nominated service provider (different names are used depending on the particular bidding document) is one which has been: (i) included by the bidder in its pre-qualification application or bid because it brings specific and critical experience and know-how that allow the bidder to meet the qualification requirements for the particular bid; or (ii) appointed by the Borrower. 4 Inspections in this context are usually investigative (i.e., forensic) in nature: they involve fact-finding activities undertaken by the Bank or persons appointed by the Bank to address specific matters related to investigations/audits, such as evaluating the veracity of an allegation of possible Fraud and Corruption, through the appropriate mechanisms. Such activity includes but is not limited to accessing and examining a firm's or individual's financial records and information, and making copies thereof as relevant; accessing and examining any other documents, data, and information (whether in hard copy or electronic format) deemed relevant for the investigation/audit, and making copies thereof as relevant; interviewing staff and other relevant individuals; performing physical inspections and site visits; and obtaining third-party verification of information. 7 We agree to preserve all accounts, records, and other documents (whether in hard copy or electronic format) related to the procurement and execution of the contract. Name of the Bidder/Consultant: Name of the person duly authorized to sign the Bid/Proposal on behalf of the Bidder/Consultant: Title of the person signing the Letter: 8 PROCUREMENT Malawi : Malawi Governance to Enable Service Delivery Project PLAN General Information Country: Malawi Bank’s Approval Date of the Original Procurement Plan: 2019-02-21 2019-12-05 Revised Plan Date(s): (comma delineated, leave blank if none) Project ID: P164961 GPN Date: Project Name: Malawi Governance to Enable Service Delivery Project Loan / Credit No: IDA / V2660 Executing Agency(ies): National Local Government Finance Committee WORKS Bid Evaluation Activity Reference No. / Draft Bidding Loan / Credit Market Procurement Prequalification Estimated Actual Amount Process Draft Pre-qualification Prequalification Specific Procurement Bidding Documents Proposal Submission / Report and Description Component Review Type Method Document / Signed Contract Contract Completion No. Approach Process (Y/N) Amount (US$) (US$) Status Documents Evaluation Report Notice / Invitation as Issued Opening / Minutes Recommendation for Justification Award Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual GOODS Bid Evaluation Activity Reference No. / Draft Bidding Loan / Credit Market Procurement Prequalification Estimated Actual Amount Process Draft Pre-qualification Prequalification Specific Procurement Bidding Documents Proposal Submission / Report and Description Component Review Type Method Document / Signed Contract Contract Completion No. Approach Process (Y/N) Amount (US$) (US$) Status Documents Evaluation Report Notice / Invitation as Issued Opening / Minutes Recommendation for Justification Award Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual NON CONSULTING SERVICES Bid Evaluation Activity Reference No. / Draft Bidding Loan / Credit Market Procurement Prequalification Estimated Actual Amount Process Draft Pre-qualification Prequalification Specific Procurement Bidding Documents Proposal Submission / Report and Description Component Review Type Method Document / Signed Contract Contract Completion No. Approach Process (Y/N) Amount (US$) (US$) Status Documents Evaluation Report Notice / Invitation as Issued Opening / Minutes Recommendation for Justification Award Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual CONSULTING FIRMS Activity Reference No. / Combined Evaluation Loan / Credit Market Contract Type Estimated Actual Expression of Interest Short List and Draft Request for Proposals Opening of Technical Evaluation of Description Component Review Type Method Process Status Terms of Reference Report and Draft Signed Contract Contract Completion No. Approach Amount (US$) Amount (US$) Notice Request for Proposals as Issued Proposals / Minutes Technical Proposal Negotiated Contract Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual INDIVIDUAL CONSULTANTS Activity Reference No. / Invitation to Loan / Credit Market Contract Type Estimated Actual Draft Negotiated Description Component Review Type Method Process Status Terms of Reference Identified/Selected Signed Contract Contract Completion No. Approach Amount (US$) Amount (US$) Contract Consultant Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual MW-NLGFC-98182-CS-CDS / Local Government Performance Based Grant Under IDA / V2660 Post Direct Selection Direct 270,000.00 229,147.50 2019-02-08 2019-02-20 2019-04-15 2019-07-14 Design and National Local Implementation Government Finance Committee Support MW-NLGFC-138983-CS-CDS Local Government / Project Coordinator - Pending IDA / V2660 Performance Improvement Post Direct Selection Direct 45,500.00 0.00 2019-11-18 2019-11-20 2019-11-26 2020-06-30 Preparatory phase of GESD Implementation Support Project Page 1