1. BACKGROUND
& FFP STRATEGIC FRAMEWORK 1
A. Natural Disasters
1
B. Complex Emergencies
2
C. Post-Emergency Transitions
2
2. RAPID ONSET
EMERGENCIES: INITIAL PROPOSALS 3
3. OPERATIONAL
PLAN FOR FOLLOW-ON EMERGENCY FOOD AID PROGRAMMING
5
A. Recurrent Natural Disasters
5
B. Complex Emergencies
5
C. Post-Emergency Transitions
6
A. Intervention Strategy
8
B. Linkages
8
C. Operations
8
A. Milestones
8
B. Monitoring System
9
C. Evaluation Criteria
9
A. Commodities
9
B. Transportation Resources
10
C. Cash Budgets
11
D. Budget Narrative
13
E. Budget Format
13
F. Comprehensive Budget Summary
15
A. Project Objectives
16
B. Monitoring/Evaluation
16
C. Resourcing
16
4. PROPOSAL
SUBMITTAL / PROCESSING 16
A. Payment of Ocean and Inland
Freight 19
B. Payment of ITSH & 202(e)
20
5. PROJECT
REPORTING & MONITORING / EVALUATION
20
A. Project Reporting
20
B. Project Impact
20
C. Commodity Delivery
20
D. Budget Analysis
20
6. MONITORING
AND EVALUATION 20
7. PROJECT
CLOSEOUT / FOLLOW-ON ACTIVITIES 21
8. PROPOSALS FOR
TRANSITIONAL ACTIVITIES 21
Annex B: Linking
Relief and Development: Principles and Operating
Guidelines 24
1. BACKGROUND & FFP STRATEGIC
FRAMEWORK
As the primary conduit of humanitarian assistance for the U.S.
Agency for International Development (USAID), the Bureau of
Humanitarian Response (BHR) is charged with the overall
responsibility for the U.S. Government's response to humanitarian
crises, both natural and complex. The Office of Food For Peace
(FFP) has the mandate to manage all Title II food assistance that
is channeled to foreign countries, in accordance with Title II of
Public Law 480, The Agricultural Trade Development and Assistance
Act (1954), as amended.
Food aid is the largest and most visible component of USAID's
humanitarian assistance effort. Furthermore, it has the
potential
to be utilized within a transitional context, from humanitarian
response to sustainable development, as longer term food security
activities build on interventions begun during a relief response.
By meeting the critical food needs of vulnerable groups when a
natural, man-made or civil disaster strikes, USAID can, in
partnership with other emergency interventions, minimize the
human
and economic loss, accelerate the return to normalcy during a
transition period, and increase the chances for sustainable long
term development.
In an initiative aimed at maximizing the impact of its resources,
the Office of Food For Peace (FFP) has developed a Strategic
Plan.
"Strategic Objective 1" (SO1) of the FFP Strategic Plan
guides FFP
decisions regarding emergency response.
1.1 FFP Strategic Objective
1
FFP recognizes three principal scenarios applicable for emergency
food assistance:
A. Natural
Disasters - potentially recurrent; due to
causal
factors such as drought, floods, and cyclones; affecting
households
in specific localities. Example: "El Nino"-Southern Africa;
Variant rainfall-Horn of Africa, Sudan
B. Complex
Emergencies - arising from prolonged civil
strife
(and often exacerbated by climatic events); characterized by
insecurity, failure/inability of governmental structure to
effectively address crisis, and large-scale refugee movements,
internal displacement, and increased vulnerability among
children,
the elderly, and the infirm. Example: Bosnia, Liberia,
Rwanda.
C.
Post-Emergency Transitions - situations
characterized by a
cessation in civil conflict and refugee/internal-displaced
resettlement; food aid utilized to facilitate resettlement,
reintegration of ex-combatants, and rehabilitation of food
production capacity. Example: Mozambique, Angola.
FFP's most important emergency response mission is to ensure that
critical food needs of people affected by natural disasters and
complex emergencies are effectively met. Natural disasters,
protracted refugee operations and complex civil emergencies
almost
always lead to food insecurity for the affected population. Due
to
war or a natural catastrophe, coping mechanisms are typically
strained and resources exhausted, creating a situation warranting
external intervention to offset the inability of the affected
population to meet their basic needs. The lengthy nature of the
majority of crises further compounds people's ability to adapt
because of insecurity, leading in some cases to constant
movement,
which in turn affects their ability to plant food crops or gain
employment.
Within the context of these scenarios, FFP favors approaches
that:
(1) Identify
indigenous capacities and responsibilities
(2) Emphasize
strategic coordination
(3) Reinforce
development objectives and
(4) Nurture
efforts in mitigating disasters, natural and
man-made.
There are two main implementing entities for Title II food aid
emergency programs; private voluntary organizations (PVOs) and
the
UN World Food Program (In certain circumstances, Title II food
resources are also channeled through the relevant governmental
bodies in countries experiencing food insecurity). Together,
they
provide the most capable response mechanisms for the provision of
food aid to populations affected by war or natural disaster.
While
WFP remains the principal recipient of US Title II commodities in
an emergency context, PVOs often serve as implementing partners
for
WFP. PVOs which desire to implement Title II programs are
required
to sign an agreement with FFP, indicating a willingness to comply
with USAID Regulation 11 and Handbook 9. Developed principally
for
the PVO partner, these guidelines serve as a tool to explain the
emergency grant proposal and implementation process.
In addition to the provision of food commodities (and funding for
associated Ocean and Inland Transport costs) for emergency
initiatives, FFP also makes grants to PVOs and WFP in order to
insure that commodities reach the targeted beneficiaries
including
funds for Internal Transport, Storage, and Handling (ITSH) costs
and Section 202(e) grants to support program costs incurred in
the
implementation of Title II emergency food programs. Guidance on
this funding is also provided herein.
2. RAPID ONSET EMERGENCIES: INITIAL
PROPOSALS
The following highlights the principal steps involved in the
evolution of an emergency Title II program.
2.1 Emergency Declaration / Needs
Determination
A. Many Private Voluntary Organizations
(PVOs) respond to
emergency situations requiring relief. PVOs usually take the
initiative in assessing emergency food needs and submitting food
aid requests to the Office of Food for Peace (FFP) and non-food
requirements to USAID's Office of Foreign Disaster Assistance
(OFDA). In such instances, emergency proposals should be jointly
submitted to both offices.
B. If a food aid response is merited,
the basic process to
get to that determination is most often as follows:
2.2 Emergency Declaration
The issuance of an UN emergency appeal or a disaster declaration
by
the U.S. Embassy are the two primary "triggering
mechanisms" used
by FFP as a basis for considering requests for emergency food
assistance. Though infrequent, an emergency request from the
International Committee for the Red Cross (ICRC), International
Federation of the Red Cross/ Red Crescent Societies (IFRC) or
similar international organizations may also initiate a broader
U.S. response in the form of food grants to PVOs.
2.3 Food Needs Determination
All FFP emergency food aid requests must demonstrate the need for
food as an appropriate response to the emergency. Frequently, an
in-country needs assessment is carried out on a joint basis
involving several different agencies, including WFP and PVOs.
Note
that national or regional needs assessment data is also available
to PVOs, USAID Missions and FFP/Washington through several
sources
including the Famine Early Warning System (FEWS) which is
supported
by the USAID Africa Bureau. The Food and Agriculture Organization
of the United Nations (FAO) produces bi-monthly reports by
country
on foodcrops and shortages as well as reports generated by the
Global International Early Warning System (GIEWS). These
documents
are helpful in preparing for a slow onset emergency, such as a
drought.
2.4 Proposal Development
A PVO considering a response should contact the USAID Mission and
their PVO headquarters to alert them that a response is being
contemplated.
2.5 Initial Food Aid Request
A. The format of an initial PVO
emergency food aid proposal
is flexible. A PVO may choose to follow the format established
by
BHR/OFDA for emergency funding, with the inclusion of the
critical
information required for food aid justification. For rapid,
urgent
response, the proposing entity should address the following
issues
in a brief proposal submission.
(1) Nature of
the emergency (attach available needs
assessments)
(2) Proposed
response - What and why
(3)
Beneficiaries - Who & where
(4) Ration sizes
- What & why
(5) Program
Duration - exit criteria
(6)
Implementation - How
(7) Monitoring -
How & what indicators
(8) Cost
Estimate
(9) Timeframe -
When commodities needed
(10)
Duplication - Substantiate distinction
vis-à-vis
other programs
B. Rapid onset emergencies require quick
mobilization and
FFP will not normally expect an extensive initial food need
assessment in order to make a timely and effective response. For
these reasons, in response to a critical, rapid onset emergency,
FFP will act with a minimum of informational background in
authorizing food commodities essential to insuring an expedient
response from PVO partners.
3. OPERATIONAL PLAN FOR
FOLLOW-ON EMERGENCY FOOD AID PROGRAMMING
A. Once an initial needs assessment and
emergency response is
in motion, a more detailed Operational Plan should serve as the
basis for any further Title II emergency requests. The rationale
for a more complete plan is that the initial emergency response
is
addressing many initial uncertainties and is giving the
Cooperating
Sponsor time to better define targets and plan its program
interventions and exit strategy. A follow-on emergency response
should be more specific than the initial request. Its
Operational
Plan should include the following elements, as applicable:
3.1 Executive Summary
A summary of the nature of the emergency and the proposed
intervention should be attached to the front of the Operational
Plan (See Annex C for suggested format).
3.2 Program Goals, Strategic Objectives,
& Indicators
The Operational Plan should describe the overall program goal and
the specific objective(s) being addressed by the project.
Likewise, criteria/fulfillment of indicators - or an explanation
if
not viable - should be provided for measuring progress toward
reaching these objectives. Each program should be designed to
achieve measurable objectives within a specified period of time.
A
discussion of the starting assumptions and risks inherent to the
situation at hand should also be provided as appropriate.
As appropriate, the program should be developed within the
general
theme of the FFP emergency response Strategic Objective. Where
possible, the Principles of Linking Relief and Development
described in Annex B should be applied. Identification of the
nature of the emergency serves as a useful reference point in the
formulation of the scope of the intervention:
A. Recurrent
Natural Disasters
In such cases, the emergency proposal should consider prevention
and mitigation activities that will reduce the impact of the
emergency and further preventive mechanisms (ie., introduction of
drought-resistant crops, improved agricultural techniques).
B. Complex
Emergencies
Given the fluidity and insecurity inherent to such scenarios, it
is
expected that the capacity of the PVO to monitor progress and
appropriately target food commodities is severely constrained.
However, it is expected that the PVO will endeavor to conduct
frequent, timely needs and baseline assessments and narrow the
scope of distribution accordingly. In addition to an emphasis
upon
targeting, implementing PVOs are encouraged to allocate food into
initiatives aimed at facilitating rehabilitation.
C.
Post-Emergency Transitions
Acknowledging the complexity and protracted process of
rehabilitation in the wake of many emergencies, cooperating
sponsors are asked to address resettlement, demobilization, and
rehabilitation whenever possible. Factors to consider
include:
1.
Capacity-Building - in the decision-making process
and delivery of food aid;
2. Livelihood
Considerations - sustaining livelihoods in
emergency situations;
3. Impact
Indicators - measuring impact vis-à-vis
established benchmarks.
4. In a
transitional context, the FFP Office expects
more rigorous measurement standards from cooperating sponsors
through the use of baseline and intermediate evaluation
measurements of chosen impact indicators and acceptable sampling
design. Also, annual monitoring indicators, based on output
records showing trends in rehabilitation activities, should be
collected and reported.
5. Pursuant to
the objective, four Intermediate Results
(IRs) and general indicators for each have been developed. The
proposal/operational plan should indicate which of the
intermediate results it will influence. (See Annex A).
Bureau of Humanitarian Response
Emergency Assistance Proposal Complementarity
Cross Requirements
Proposal Elements OFDA FFP
Executive (Project) Summary X X
Project Description
Nature of Emergency X X
Food Needs Determination N/A X
Intervention Strategy/Description X X
Target Population / Areas X X
Ration Level and Composition X X
Disincentive Analysis N/A X
(reference Belllmon Amendment)
Quantity of Commodity Requested X X
Commodity Pipeline Analysis N/A X
Commodity Swaps/Replacement N/A X
Distribution Plan X X
Record Keeping Requirements X X
Storage X X
Complementary Program Inputs X X
(including food aid)
Monitoring /Evaluation/Reporting
Audits X X
Reporting Requirements X X
Resources
Budget X X
Capital Purchases X X
Funding Pipeline Analysis X X
Call Forwards (food commodities) N/A X
Monetization Plan (asappropriate) N/A X
ITSH Budget / Pipeline Analysis N/A X
Section 202(e) Funding N/A X
Project Organization/Management X X
Restrictions
(Ref. to regulation compliance) X X
3.3 Project Description
All Operational Plans should address the following issues:
A. Intervention
Strategy - justification of commodities in
addressing problem, including sufficient information
concerning:
(1) Target
Population - nutrition data; rationale for
selection of geographical area; total number targeted &
percentage of total affected population.
(2) Ration
composition - rationale for size and
composition, degree of effectiveness (dilution, sharing and
acceptance).
(3)
Disincentives - the plan of distribution and the
target group of recipients to establish that proposed food
distribution or monetization would not create a disincentive to
domestic food production and marketing (Bellmon
Certification).
B.
Linkages - with other emergency activities
(eg.,
vulnerable feeding programs, water and sanitation) as well as
transitional or rehabilitation activities (eg., health,
agricultural recovery and extension).
C.
Operations - brief description of the
actual operations
systems necessary to implement the program objectives.
(1)
Distribution Plan/Commodity Accounting - describe
methodology for supervision and accounting for the distribution
of Title II food commodities.
(2)
Logistics - describe logistical arrangements,
demonstrating the adequacy & availability in recipient
country of
port facilities, transportation, and storage facilities necessary
to prevent spoilage or waste while commodities are en route to
beneficiaries (further affirmation necessary at time of
exportation of the commodity from the United States).
(3)
Monetization - if program component, identify:
- how it helps the targeted response
- buyers / sales process
- sales price (see Monetization Guidelines)
- internal controls
- use of proceeds (plus interest)
- management /
accounting capacity
- disincentive analysis
3.4 Monitoring and Evaluation
A.
Milestones: Provide timeframe for start-up
period, as
well as benchmarks for achievement of PVO-stated objectives.
B. Monitoring
System: Outline action plan for impact
data
collection or provide justification for lack therein.
C. Evaluation
Criteria: Describe quantifiable indicators
to be utilized in analysis of field data.
3.5 Resources Request
Resource requests should be provided in narrative as well as
tabular (or budget) format:
A.
Commodities - All requests should indicate
the type of
commodities and quantities (rounded to nearest 10 metric tons,
MTs) that are required for the implementation of the program and
the projected monthly usage. Emergency projects that are
continuing and which may require FFP approval in several tranches
should always show the balance of each commodity on hand (the
commodity pipeline) as well as the additional amounts being
requested in the proposal. Commodities received from other
donors/sources should also be reflected in the pipeline analysis.
Should the PVO require commodities immediately, the PVO and the
FFP office may jointly identify commodities available for
transfer or loan before approval for borrowing, transferring or
exchanging of commodities.
(1)
Diversion - Emergency or other urgent needs may
call for the diversion of Title II commodities from one Title II
program to another either prior to loading or on board ship. FFP
will seek concurrence from all parties involved when requests are
received to divert commodities.
(2)
Borrowing and Exchanging Commodities - AFTER the
date of program approval by FFP, but before authorized
commodities arrive at the distribution point, the Cooperating
Sponsor may, with prior approval of USAID Mission or the
Diplomatic Post, borrow the same or similar commodities from
available sources to meet program requirements provided:
(a) Borrowed commodities that are
used in
accordance with the terms of an Operations
Plan or Transfer Authorization will be
replaced with commodities transferred by FFP,
as mutually agreed upon by nd the Cooperating
Sponsor a ID Mission or the Diplomatic Post;
(b) Packaged commodities that are
borrowed are
appropriately identified as having been
provided by the people of the U.S.;
(c) Suitable publicity is given to
the exchange
of commodities and containers are marked, to
the extent practicable, with the USAID
emblem. [Regulation 11, Section 211.5(n)];
and
(d) The amount of
borrowed/exchanged commodities
does not exceed the approved emergency
program level.
(3)
Transfers - AFTER program approval by FFP but
before distribution, the PVO may, with prior approval of USAID
Mission or the Diplomatic Post, transfer commodities between
approved Title II programs to meet emergency disaster
requirements or to improve efficiency of operation (ie., offset
temporary shortages due to delays in ocean transportation, or
expedite use of stocks in danger of deterioration). The
following conditions apply to transfers of Title II
commodities:
(a) Commodity transfers shall be
made at no cost
to the U.S. Government (USG);
(b) FFP shall be advised promptly
of the details
of the transfer;
(c) Commodities will not be
replaced by the USG
unless authorized in writing by FFP;
(d) Related transportation costs
may be approved
by FFP; and
(e) The amount of
borrowed/exchanged commodities
cannot not exceed the approved emergency
program level.
B.
Transportation Resources
BHR/FFP has established separate accounts for the reimbursement
of each CS's authorized Title II ocean and inland freight
charges.
(1) Ocean
Freight Accounts - are established
automatically to cover approved programs. To the extent
practical, ocean freight accounts will be established using
estimates obtained from USAID/OP/TRANS. Cooperating Sponsors
should advise FFP/POD in writing of actual ocean freight contract
terms (contract quantity, freight rate in $/MT, etc.) within five
working days of the finalization of any Title II ocean freight
contract.
(2) Inland
Freight Accounts - apply to landlocked
countries. Each proposal submitted by a Cooperating Sponsor must
include a written estimate of inland freight costs per metric ton
for the delivery of the commodities to the approved inland
delivery points (limited to four). Any changes to approved
inland destination points must be approved by BHR/FFP/ER. If
changes to inland destination points are approved by the ER
Division, Cooperating Sponsors should provide estimates of the
amended inland transport costs prior to calling forward
commodities for the new destination. Copies of the actual inland
freight contracts (in English) should be provided to FFP/POD.
(3) Both
Ocean and Inland Freight Accounts -
Cooperating Sponsors are responsible for monitoring funds
utilization to ensure that sufficient resources are available to
cover any ocean or inland freight contract actions. If
sufficient funds are not available to cover an anticipated
contract action, no contract should be finalized. If a
Cooperating Sponsor requires additional funding from USAID, a
written request for the additional funds must be submitted to
FFP/POD. FFP/POD will advise the Cooperating Sponsor in writing
of any additional funding allocations.
C. Cash
Budgets
In developing proposal funding requests, PVOs should be mindful
of the parameters applicable to each funding source. Title II
emergency programs have distinct funding.
(1) ITSH
Funds (FFP resource) - Section 406(b)(6) of
P.L. 480 authorizes the funding of emergency programs to
cover
Internal Transport, Storage and Handling (ITSH) costs.
(a) A Pipeline Analysis is
necessary if: (i) the
PVO is requesting a program extension; or
(ii) if Title II program funding was provided
to the PVO in the previous fiscal year for
food programs in that country.
(b) The pipeline should provide a
report of
unliquidated ITSH balances available in prior
year PA/PRs to apply towards costs outlined
in the current proposal; and provide a
timeframe and expected utilization of funds.
(See Project Amendments, below). (Please see
Annex D, for ITSH Guidelines).
(2) Section
202(e) Grants (FFP resource) - Section
202(e) of P.L. 480 states that of the funds made available
in
each fiscal year under Title II to eligible organizations, not
less than $10 million and not more than $28 million shall be
made
available to assist such organizations and cooperatives in
establishing new Title II programs, and in meeting specific
administrative, management, personnel, land internal
transportation and distribution costs for carrying out Title II
programs in foreign countries.
(a) In order to receive Section
202(e) funds, a
PVO or cooperative must include a request for
such funds within the project proposal. Such
requests shall include a specific explanation
of: (i) the program costs to be offset by
such funds; (ii) the reason why such funds
are needed in carrying out the particular
assistance program; and (iii) the degree to
which such funds will improve provision of
food assistance.
(b) Eligible uses for Section
202(e) funding are,
respectively: (i) Indirect program costs if
other sources of funding have been considered
and sought and are found inadequate for
program operation; (an emergency program may
use ITSH); (ii) Improvement and strengthening
of program administration and management
oversight and monitoring; and efforts to
improve efficiency through evaluation (eg.,
training in monitoring and evaluation).
(c) Section 202(e) funding will not
be approved
for the following types of activities:
(i) Costs of projects that are not supported
by other Title II resources; nor
(ii) feasibility studies to explore possible
new activities.
(d) Review Criteria - A Section
202(e) grant
request will be evaluated by: (i) how it
helps achieve the program strategic
objectives; and (ii) the relationship of the
requested funding relative to overall size of
the Title II program.
(3)
Monetization (FFP resource) - An alternative to
ITSH and 202(e) funding is the monetization of Title II
commodities, where the generation of proceeds from local sale
would be more cost-effective than the utilization of foreign
currency through ITSH or 202(e) grants. As described further in
the ITSH Guidelines (Annex D), and the FFP Monetization
Guidelines, monetization is justified when a PVO can substantiate
that such directly meets "...the food needs of targeted
vulnerable groups, stabilizes food prices in the immediate
village or camp, or reduces the costs of transportation and
distribution..." of Title II commodities programmed for
such
groups or communities (ITSH Guidelines, section 3.2(a)).
D. Budget
Narrative - A comprehensive narrative
should
correspond to the overall proposal budget, providing a detailed
description of each major cost line item and a justification for
the requested levels. The narrative should reference the
proposed funding source, including US Government as well as other
donor/funding sources.
E. Budget
Format (See Annex E for Proposal Budget
Format) -
The budget should show the cost build-up for each line item; eg.,
the quantity of units requested, the number of months required,
cost per unit per month, and the total cost per line item.
Suggested categories for the budget and the corresponding
narrative detail are as follows:
(1)
Personnel
(a) International / Expatriate
Staff: Narrative
should include a description of the positions
to be funded, staff location assignments, and
the percentage workload directly related to
food distribution management /oversight.
(b) National Staff: Narrative
should include
description of positions and justification of
staffing levels.
(2) Fringe
Benefits
(a) International / Expatriate
Staff: Indicate
type of benefits provided by line item.
(b) National Staff: Indicate type
of benefits
provided by line item. Narrative should
include a description of benefits provided to
staff.
(3)
Travel
(a) International / Expatriate
Staff: Indicate
travel by position. Narrative should include
a description of both in-country and
international travel required by position.
(b) National Staff: Narrative
should include a
description of in-country travel required.
(c) International Travel Plan:
Specify the
following: (i) number of trips, (ii) number
of individuals per trip, (iii) destination
country(s), and (iv) estimated date of
departure. USAID provisions state that
international travel is allowable if each
trip has received prior budget approval. In
order for BHR/FFP to provide such approval,
the above information is required.
(4)
Equipment - Itemize all planned equipment
purchases where the estimated value of individual items is
anticipated to be greater than $5,000.
(5) Other
(a) Office: Description of costs
associated with
the food aid program's office expenditures
such as rent, utilities, office equipment,
supplies, etc.
(b) Vehicles/Maintenance/Fuel:
Indicate intended
use of vehicles in line-item budget (i.e.
program monitoring, distributions, etc.).
Narrative should include a justification of
the quantity of vehicles requested and if
they are to be leased or purchased.
(c) Miscellaneous: Narrative
should include a
detailed description of miscellaneous items
requested for funding
(6)
Transport/Distribution
(a) Port: Includes line items such
as port entry
fees, clearing and handling, etc.
(b) Transport: Includes line items
such as truck
leases, maintenance and fuel, as well as
estimated costs from one point to the next.
(c) Vehicle Procurement Plan (if
applicable) -
Provide justification for the procurement of
motor vehicles during the life of activity.
(i) Include
: (1) number of vehicles and the
fiscal year during which the purchase is
planned; (2) make and model of vehicles;
(3) planned uses of vehicles; and
(4) estimate cost of the vehicles.
(ii) Also,
provide a history of vehicle
procurement. Include: (1) size and
condition of current fleet; (2) age of
each vehicle; (3) use of vehicles by
activity; and (4) plans for maintenance
and replacement. If non-U.S.
manufactured vehicles are being
requested, provide a justification why
U.S. vehicles cannot be used for the
proposed activities.
(7)
Warehouse/Storage - Includes line items such as
warehouse/storage rent, clearing and handling, fumigation,
pallets, storage tents, and other necessary equipment.
F. Comprehensive
Budget Summary
(1) A summary of
the total program budget by funding
source/donor must be provided. This summary should include the
host government's contribution, and the total contribution of the
managing PVO. Details should include uses of funds committed by
host government, cooperating sponsor, other USG/USAID support
(OFDA, Bureaus inputs), and other donor funding for the proposed
program, with specific budgetary information on how these funds
are to be used (e.g. complementary inputs, transport,
administration).
(2) If the PVO
has established a Negotiated Indirect
Cost Rate Agreement (NICRA) with USAID, a copy of the letter
authorizing the rate should be attached to the Operational
Plan.
(a) Publicity - advise how the
requirements for
public recognition, container markings, and
the use of funds as set forth in Regulation
11, sections 211.5(h), (i) and (k) and in
211.6 (a) and (b), will be met, or why this
requirement does not apply.
(b) Statutory Lobbying Restrictions
- PVOs are
reminded that statutory lobbying restrictions
and reporting requirements apply to all
Title II donations to Cooperating Sponsors
(CSs), as stated in P.L. 480 and USAID
Regulation 11. CSs are required to submit a
Certification Regarding Lobbying Form to
certify compliance with these requirements,
as well as a Disclosure Form to Report
Lobbying as applicable. These completed
forms must accompany all Operational Plans
submitted to BHR/FFP.
NOTE: The Operational Plan is not intended to be a
thick,
difficult document to prepare. However, while allowing greater
latitude according to urgency, it is expected that proposals in
the case of a "slow onset emergency" or a continued tranching of
commodities for an emergency program will reflect greater breadth
and depth of content (as Operational Plans) than in the case of
"rapid onset emergencies".
3.6 Amendments to Project
Agreements
When conditions justify changes in the following, an amendment to
the project agreement is necessary:
A. Project
Objectives - eg., expanded activities to
incorporate displaced or returnee populations; resettlement or
reintegration
B.
Monitoring/Evaluation - eg., curtailment of
monitoring
activities due to insecurity
C.
Resourcing - eg., additional ITSH funds
needed to cover
increased transport costs
In the event that the security, nutritional status, or climatic
factors warrant a re-orientation of the Project Objectives, the
PVO should contact FFP with the following prior to engaging in
new activities or utilizing FFP resources:
(1) brief report
on project activities, achievements
and expenditures to date (current fiscal year);
(2) description
of the disaster / new or additional
need;
(3)
justification for the proposed amendment to the
project agreement (as specified in the Transfer Authorization,
described further under Proposal Approval).
4. PROPOSAL SUBMITTAL /
PROCESSING
A. Emergency proposals are forwarded by
the PVO's
headquarters and submitted simultaneously to the USAID Mission,
USAID Representative or REDSO office, and FFP/Washington. In
many cases involving emergencies, a PVO will submit the same
Proposal to OFDA for non-food aid relief activities. PVOs are
requested to submit proposals/Operational Plans in hard copy (1)
as well as in Word Perfect 5.2.
B. FFP/Washington notifies the PVO
headquarters of receipt
within two business days.
4.1 Proposal Review
A. FFP/ER will review and respond to the
proposal within
21 days of receipt. If the proposal lacks essential
information
which cannot be clarified via phone, fax, or E-mail, the PVO will
receive a letter explaining that no further action will be taken
by FFP. Technical issues of particular import in the review of
emergency proposals include the following (see sections that
follow and Annex D for further discussion):
(1)
Commodities Borrowed, Transferred, Exchanged or
Diverted
(2)
Internal Transport, Storage and Handling (ITSH)
Funding
(3)
Monetization and Section 202(e) Funding
(4)
Transition Activities
(5)
Commodity and Financial Pipeline
(6)
Prior Performance
B. An interagency review is held in
which legal and
operational input is solicited from USAID regional and/or central
bureaus and, potentially, the State Dept. PRM (if refugee
related). Consultation with the relevant Regional Team Leader
within OFDA is customary in the case of a joint proposal.
Concurrence from the relevant USAID Mission is also required for
further FFP consideration. The PVO may also be invited to attend
the review and to participate as necessary.
4.2 Proposal Decision / Grant
Documentation
A. The PVO is notified by the Emergency
Relief Division of
FFP regarding the status of the proposal. If approved, the
notification letter is accompanied by two signed originals (one
of which must be signed and returned to FFP/ER) of the Transfer
Authorization (TA), which represents the terms of agreement
between the PVO and FFP (Annex F). The TA not only states the
amount of food and funding that have been approved, but also
defines the program and the associated responsibilities of the
Cooperating Sponsor. This document outlines the maximum cost
rates approved for the ocean and inland transport of these
commodities, and serves as the basis for future reimbursement
(against actual costs) of approved expenditures.
B. When approved and dually signed, this
document
authorizes the procurement and transportation of U.S.
agricultural commodities. In addition to the signed TA, the PVO
must submit a call forward request to activate the procurement
process.
C. Should funds also be authorized to
cover costs
associated with Internal Transport, Storage and Handling (ITSH),
the PVO will later receive a copy of the Procurement
Authorization and Purchase Requisition (PAPR) which forms the
basis for a letter of credit (or increase in the existing letter
of credit, if applicable).
D. Upon the authorization of 202(e)
funding, the
cooperating sponsor receives a separate grant agreement document
from FFP, notifying them of approval and expediting the advance
of funding in the same fashion as ITSH funding.
4.3 Purchase of Commodities
A. Call Forwards for emergency programs
are sent by the PVO
to FFP/Program Operations Division (POD). They are subsequently
transmitted to USDA no later than the 4th working day of each
month, except for in extreme emergency situations when FFP
requests immediate procurement and shipping. Delivery and
distribution plans should allow for a procurement and shipping
cycle of five months (ie., commodities available at port of
call).
B. Upon receipt and review of the Call
Forward, the
procuring authority, USDA/Kansas City Commodity Office (KCCO),
sends invitations to bid to suppliers (usually once a month) for
specific commodities required by USAID. Based upon an evaluation
of the bids, contracts are awarded using Title II funds.
Typically, commodities are available for port loading 90 days
subsequent to call forward. In instances of extreme emergency,
FFP may authorize an expedited procurement and transport of
commodities in less than the standard timeframe.
(1) Advance
approval by FFP is mandatory when:
(a) replacement of commodities
borrowed,
transferred or exchanged is required;
(b) reason for transfer or exchange
is that
commodities are in excess of project needs;
(c) expenditure of U.S. funds is required; or
(d) commodities are to be
transferred from one
country to another.
(2) When
commodities are to replace non-Title II
commodities:
(a) relative value of the
commodities borrowed or
exchanged is established by qualified
independent appraisal (if possible) and must
be mutually agreed upon by the Mission, FFP,
and the PVO;
(b) replacement arrangements must
provide for
delivery to the project of commodities equal
in value to those provided by the U.S.;
(c) prices established must be fair
to both
parties and should be based on the most
favorable value at the place of exchange;
and,
(d) non-U.S. packaged commodities
borrowed or
exchanged are to be appropriately identified
as having been made available by the people
of the U.S.
4.4 Shipping of Commodities
A. For bulk commodities, the
USAID/Operations/Transport
(OP/TRANS) office works directly with KCCO and the PVO shipping
agent in arranging for shipment. Bids are sent to OP/TRANS for
review to ensure that the specifications comply with USAID
standards. Bid documents are forwarded to OP/TRANS for review
including assurance that a sufficient number U.S. flag carriers
are contracted with to meet the legislative requirement that 75%
of the Title II program shipments are moved by U.S. carriers.
B. For processed commodities, PVO
shipping agents are
notified directly by USDA of specific shipment requirements. A
list of preestablished shipping costs by commodity type and
country of destination is available to USDA and the PVO shipping
agents from the U.S. Maritime Commission. The shipping agents
are still required to notify OP/TRANS of proposed carriers, cost,
shipping dates, scheduled delivery dates, and discharge points to
enable OP/TRANS to assure compliance with the legislative
requirement that 75% of Title II program shipments are moved on
U.S. flag vessels. The PVO shipping agents are responsible for
the actual contracting. (See USAID/OP/TRANS Guidance for detailed
discussion).
4.5 Commodity Receipt & Project
Implementation
A. Payment of
Ocean and Inland Freight: Upon delivery of
the commodities to foreign port, a discharge survey report is
prepared by an independent survey firm under contract with USDA,
as agreed upon by the PVO. The shipping agent is notified
ofdelivery and the results of the survey in order to expedite
potential claims for ocean losses. Subsequently, the PVO submits
a copy of Standard Form 1034 to USAID/Financial Management (FFP
approval necessary) for payment of transport expenses.
B. Payment of
ITSH & 202(e): The PVO submits a
Financial
Status Report (SF 269) to report expenditures against the letter
line of credit incurred for ITSH and 202(e). This form is sent
to USAID/ Financial Management (FFP approval necessary).
5. PROJECT REPORTING & MONITORING /
EVALUATION
A. Project
Reporting - Project Reports should be
submitted
to FFP/ER on a semi-annual basis unless other established in the
Transfer Authorization), and should describe the following:
B. Project
Impact - Accomplishments vis-a-vis the
project
objectives citing performance indicators established in the
proposal/Operations Plan.
C. Commodity
Delivery - aggregate figures of total
tonnage
received, distributed, lost and otherwise disposed of (per
Reg. 11) per commodity per target population (activity).
Though
being reevaluated, the following forms provide a general format
for reporting:
(1) Recipient
Status Report (RSR)
(2) Commodity
Status Report (CSR)
(3) Commodity
Loss Status Report (CLSR)
D. Budget
Analysis - expenditures vis-a-vis approved
budget
should be provided for the period for each funding component of
the FFP approved project, including monetization, ITSH funds, and
Section 202(e) grants.
6. MONITORING AND EVALUATION
Monitoring is undertaken at two levels: a) by the PVO - with
continuous calibration of needs and on-site monitoring of food
aid delivery and distribution; and b) by FFP - with regular
review of reports, and the monitoring of commodity delivery and
other performance indicators. Information provided in reports
will be verified through supervisory site visits by FFP or
designated USAID staff.
A. Programs will be evaluated on the
basis of stated
objectives agreed to with FFP, as part of the yearly program
performance review and USAID R4 process. This review will
encompass the following:
(1) factors
affecting program performance and summary
of data on progress toward achieving the FFP/Emergency Relief
Strategic Objective (SO), including data on Intermediate Results
(IRs);
(2) expected
results for the next year (in the event
that the program is extended beyond one year);
(3)
special concerns/issues; and
(4) proposed
change or refinements to the program
objectives, if necessary.
7. PROJECT CLOSEOUT / FOLLOW-ON
ACTIVITIES
A. Emergency food aid projects managed
by a PVO that will
continue to operate other Title II programs require formal
approval to utilize commodities in follow-on activities and/or
transfer to another project or program. Proposals for projects
continuing on an emergency capacity should be submitted to FFP in
the manner described in these Guidelines.
B. Upon completion of emergency
operations, remaining
commodities, Section 202(e) and local currency and other assets
can be reprogrammed with the approval of the Office of Food for
Peace, for other eligible P.L. 480 activities sponsored by the
same PVO or another PVO registered with USAID. Subsequent to
approval, PVO requests for reprogramming may be incorporated into
a new or existing Development Activity Proposal (DAP), or
Transition Activity Proposal (TAP), where applicable (See section
on Transition Activities). A report on accomplishments against
emergency program objectives is required, as summarized in the
section on Project Reporting.
C. In situations where there is no
continuing PVO food aid
program authorized, a formal closeout is required. Specific
closeout guidelines are contained in Section 211.11 of Regulation
11 and in Contract Information Bulletin 90-12. A review of these
regulations is currently underway, and our cooperating sponsors
will be fully informed of any subsequent revisions.
8. PROPOSALS FOR TRANSITIONAL
ACTIVITIES
Transitional food aid activities are those which are changing
from relief into rehabilitation support or development food aid
interventions. Transitional activities take place within a
country or region recently emerging from long-term, civil strife
commonly referred to as a complex emergency. The primary goal of
transitional activities is to exit from emergency programs and
provide a basis upon which sustainable development can be built.
In a complex emergency, once a peace process is in place and
security is established, Food for Peace views the country as
potentially transitional; the country is in a position to move
from purely relief interventions toward developmental activities;
through resettlement, demobilization, and rehabilitation.
(See Annex G for Transitional Activity Guidance)
Annex A - BHR/FFP/ER Strategic
Framework
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Strategic Objective 1:
Critical food needs of targeted groups met.
Indicators:
1. Percent of the
target population reached by food aid
2. Change in
nutritional status of target groups
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IR1
Improved targeting of food
aid to the most vulnerable
populations
Indicators:
1. Percent of programs
that have instituted a
continuous process of needs
assessment and
recaliberation of targeting.
2. Percent of programs
that have incorporated
special needs of different
targeted groups (e.g.,
pregnant & lactating
women, children under 6,
handicapped, resettled &
demobilized groups).
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IR2
Food aid delivered to target
groups on schedule
Indicators:
1. Percent of programs
experiencing Title II pipeline
shortages.
2. Percent of proposals
reviewed and cooperating
sponsors (CS)* notified of
decision within 21 calendar
days of receipt.
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IR3
Improved planning to
transition relief activities to
development
Indicators:
1. Percent of programs that
have developed resettlement
or rehabilitation plans to link
relief to development.
2. Percent of programs that
have paid specific attention
to avoid the negative impacts
of food aid in program
design and implementation
(do no harm).
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IR4
Strengthened capabilities of
CS and host country
entities to manage
emergency food aid
programs
Indicators:
1. Percent of ISG** grants
supporting emergency
planning and evaluation.
2. Percent of programs
collaborating with local
institutions for activity
results.
3. Percent of cooperating
sponsors able to meet
reporting requirements.
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* Cooperating sponsors (CS): PVOs, NGOs, WFP, and other
organizations who implement USAID food aid programs. **ISG:
Institutional Strengthening Grants (FFP)
Annex B: Linking Relief and
Development: Principles and Operating
Guidelines
Excerpted from a document prepared by the Inter-Agency
Team on
Rapid Transitions from Relief to Development
The President's Greater Horn of Africa Initiative (GHAI)
May 1996
Definitions:
The Foreign Assistance Act of 1961, as amended, was used to
define general parameters of
relief and development programs. Relief activities seek
to alleviate human suffering caused by
natural and human-caused disasters. Development
activities seek to alleviate the worst physical
manifestations of poverty; promote conditions conducive to self
sustaining economic growth
with equitable distribution of benefits; encourage development
processes in which individual
civil and economic rights are respected and enhanced; and
integrate developing countries into
an open and equitable international economic system. These
definitions are meant to provide
context but are illustrative only.
I. Local Responsibility: Countries have primary
responsibility for their transition from relief
to development.
Operating Guidelines
a. Each country shall set its own
standards, priorities and goals for moving from relief
to development.
b. Design and implementation of
development and relief programs shall embrace a
participatory approach, including a wide range of actors in a
country such as
government entities, nongovernmental organizations, private
businesses and local
community members, including women and disaster survivors.
II.International Responsibility: International partners have
responsibility for assuring the
positive impact of their programs through effective strategic
coordination that upholds
Principles I, III and IV.
Operating Guidelines
a. Strategic coordination through
integrated planning shall maximize the comparative
advantages of each and the combined advantages of all partners.
Partners can include
relief, development, political and military entities.
b.This strategic coordination shall take
place within a government and between
governments and other partners _ from program planning through
implementation _
to assure effective linkage between relief and development
programs.
c. International aid shall:
. support and
supplement, not displace, indigenous attempts to recover from
relief
and provide for development;
. neither raise
false expectations nor establish goals that are beyond the
capability
of the affected country to meet; and
. be based on
respect for the local cultures.
III. Relief for Development: Relief
programs shall reinforce development objectives.
Operating Guidelines - Relief
programs shall:
a. assess existing indigenous capacities
for responding to the disaster (conduct a
capacities assessment);
b. conduct a needs assessment in relation
to local capacities;
c. provide assistance in a way that
supports existing capacities _ including those of local
and national institutions and networks _ when identified needs
surpass indigenous
capacities to respond;
d. set standards of service that are
sustainable for local populations; and
e. sustain livelihoods while saving
lives.
IV. Development for Disaster
Prevention: Programs shall be designed to help prevent
disasters (natural and human-caused) or mitigate their effects so
that the
developmental progress of countries is not undermined.
Operating Guidelines - Programs shall:
a. identify the vulnerabilities (natural
and human) of countries and groups within
countries;
b.address root causes of disaster
vulnerabilities, recognizing the possibility that a society
may regress; and
c.incorporate disaster preparedness into
development objectives.
Annex C - Suggested Format
for Executive Summary
(To be attached to body of Proposal/Operational Plan)
Organization:
Date:
Mailing Address:
Contact Person:
Telephone:
Fax:
Internet Address:
Country & Region:
Region:
Disaster (type):
Total Pop'n Affected:
Mortality rate due to malnutrition of targeted
population:
Rates of malnutrition among targeted population:
Describe, in one paragraph, the intervention and
its justification.
Project Area:
Period of Project:
Total Tonnage Requested by Commodity:
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Commodity
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Amount (metric tons)
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Budgetary Request:
Dollar Amount Requested from FFP for ITSH
reimbursement... $
Dollar Amount Requested from FFP for 202(e)
funding... +
$
Dollar Amount Requested from Monetization...
+ $
Dollar Amount Requested from Non-FFP Sources (identify)
+
$
Dollar Amount of In-Kind
Contributions... &
nbsp; +
$
Total Dollar Amount of
Project...
= $
Complete the following for each objective:
Objective #: (State)
Activities necessary to achieve this objective (complete
table below).
(Describe activity type in first column - general/targeted family
distribution, FFW, therapeutic, etc.)
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Activity
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Duration
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# Beneficiaries
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Daily ration level
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Annex D - ITSH
Guidelines
GUIDELINES FOR INTERNAL TRANSPORTATION,
STORAGE, AND
HANDLING
(ITSH) OF P.L. 480 TITLE II EMERGENCY PROGRAMS
ITSH GUIDELINES
Internal Transport Storage and Handling (ITSH), refers to
specific types of direct and indirect
costs that USAID may finance in the effort to effectively
deliver, distribute, and monitor Title
II commodities donated to satisfy urgent and extraordinary relief
requirements.
The following guidelines outline the costs that USAID considers
eligible for ITSH support
utilizing Title II resources. These guidelines are the basis for
future ITSH donations and
replace guidelines issued in 1985.
1. Legislation/Policy
1.1 Section 406(b)(6) of P.L. 480, as amended, defines costs
that may be incurred by the
Commodity Credit Corporation with respect to commodities it makes
available under Title II
and Title III, as follows: "in the case of commodities for
urgent and extraordinary relief
requirements (including prepositioned commodities) the
transportation costs incurred in moving
the commodities from designated points of entry or ports of entry
abroad to storage and
distribution sites and associated storage and distribution
costs". This reference is controlling
in determining the eligibility of costs financed utilizing ITSH
under this designated term.
1.2 USAID Handbook 9, Section 7E1.b., provides supplemental
guidance and states: "An
annual dollar ITSH budget (sic) is established to help defray the
internal logistical costs of
emergency programs. If other sources of support have been
examined and are limited, a
request for ITSH funds may be made with the emergency project
proposal. This fund is
limited and justification for such funding must be strong."
Please note that this reference to
an annual budget refers to the budget prepared by the Cooperating
Sponsor in support of a
Cooperating Sponsor's proposed emergency food aid program. Food
For Peace does not
establish a separate Title II ITSH budget.
1.3 The above references are intended to establish that
(1) ITSH is only available for "urgent
and extraordinary relief requirements", (2) ITSH is not
designed to fund all Cooperating
Sponsor costs, and (3) amounts provided under ITSH are limited
(as each dollar spent on
ITSH reduces the amount of funding available for the procurement
of U.S. agricultural
commodities and related shipping).
1.4 Food For Peace policy is to consider the funding of ITSH
requests as a contribution to
offset a reasonable estimate of the major costs likely to be
incurred in moving Title II
emergency commodities to targeted vulnerable groups, including
the proper managementoversight and monitoring of the use of the
commodities.
2. Uses of ITSH
2.1 ITSH may be requested to offset costs associated with
in-country transport, distribution,
storage and management of Title II commodities requested for
urgent and extraordinary relief.
2.1.a. ITSH may be requested and used for land transportation
costs-- rail, truck and barge--
associated with the delivery of emergency Title II commodities to
beneficiaries. Land transport
costs may be broadly defined as the sum of those reasonable
transportation costs associated
with the movement of commodities. Trucking expenses generally
include lease or rental of
trucks, maintenance, fuel, drivers, and loading and unloading
charges. Rail expenses generally
include the fees and charges paid to transport, load and unload
the commodities. Barging costs
include stevedoring.
Food For Peace does not generally favor requests for ITSH to
cover air transport when
alternative delivery sources are available. This policy derives
from the small quantities which
are usually delivered by air at a high cost relative to the cost
of the commodities themselves.
If reimbursement for air transport is requested by the
Cooperating Sponsor, the Cooperating
Sponsor should provide Food For Peace with the detailed rationale
for the request and a
comparison of air transport with land transport costs.
2.1.b. ITSH may be requested for those categories of costs
associated with keeping Title II
commodities fit for human consumption and the prevention of loss
or misuse of the
commodities. These costs may include, among others, vermin
control and fumigation,
repacking, tarpaulins, warehouse labor and guards, and warehouse
administration. The cost
of renting or leasing storage, and the costs of erecting
temporary storage are also eligible for
ITSH reimbursement.
2.1.c. ITSH may be requested to cover normal and reasonable
direct distribution and
monitoring expenses of personnel associated with the emergency
effort such as the costs of
registering vulnerable groups, the costs of facilitating
commodity distribution to the
beneficiaries, and the costs associated with monitoring both the
utilization of the commodities
and their impact on the nutrition and food security levels of the
beneficiaries. These costs may
include normal and reasonable expenses associated with placement
of international personnel
at emergency sites, including reasonable direct support costs for
the monitors.
2.1.d. ITSH may also be utilized to reimburse Cooperating
Sponsors for their indirect in-country costs associated with
proper stewardship of emergency Title II commodities so that
losses are minimized and more of the commodity reaches the target
beneficiaries. Indirect
costs may include a portion of the in-country cost of overall
program oversight and supervision,
program accounting, and reporting related to and allocable to
emergency Title II commodities.
While it is preferable for Cooperating Sponsors to consider
requesting 202(e) funds for thispurpose, Food For Peace will not
arbitrarily deny a request for the use of ITSH for allocable
costs of emergency programs.
2.1.e. ITSH does not cover institution-building program costs
including training as part of an
institution-building program. Food For Peace does not provide
ITSH for offshore headquarters
expenses, nor management expenses associated with non-emergency
programs under the
direction of the Cooperating Sponsor.
2.2. Capital Costs. Given that emergency operations are
generally transitory in nature, and
refugee assistance operations involve other donors responding to
general appeals, the use of
ITSH for capital expenditures is generally discouraged by Food
For Peace unless these
expenditures preserve commodities. Other sources of funds, such
as private donations, other
governmental resources or even appeals for the financing of
capital equipment with 202(e)
should be considered as alternatives to ITSH.
2.2.a. Capital costs normally supported with ITSH include items
such as the cost of temporary
storage facilities, pallets and similar depreciable assets
designed to preserve the commodities
in usable condition.
2.2.b. Capital costs such as vehicles and computers are not
normally funded with ITSH.
However, if the Cooperating Sponsor can demonstrate a financial
advantage for the use of
ITSH to offset capital costs associated with transportation or
distribution of Title II
commodities, e.g., the program will last long enough to justify
costs of construction of storage
facilities or the purchase of vehicles (including a plan for
disposal of those items), Food For
Peace will consider those requests on a case-by-case basis.
2.3. If the Cooperating Sponsor is handling a variety of
emergency materials which include
Title II commodities, or if the Cooperating Sponsor is receiving
food commodities from a
variety of donors or sources, ITSH will only be provided for the
costs associated with approved
Title II commodities.
2.4. ITSH for "Transitional" emergency programs. In
programs where countries are attempting
a transition from emergency to rehabilitation, and from
rehabilitation to development, ITSH
is available only in connection with commodities provided for
urgent and extraordinary relief
purposes. ITSH can be applied to a transitional program, with the
levels of ITSH dependent
on the program components. For example, during the first year of
a transition from direct
distribution, the entire program may qualify for ITSH. If a
transitioning program has a small
emergency, or relief, component, that component may request ITSH
funds while the remainder
of the program may not qualify for ITSH.
Note: A "Transitional" program is difficult to define.
For purposes of these guidelines, a
"Transitional" program is one where there are
sufficient political and security improvements
to move from the direct distribution of urgently required
commodities to vulnerable groups,
yet there is insufficient stability for a normal planning
horizon.
3. Choosing Between the Use of ITSH, Monetization, or Section
202(e) Funds for Emergency
Response Expenses.
3.1. Monetization of Title II emergency commodities or the use
of Section 202(e) funds may
be preferred alternatives to a request for ITSH support or may
supplement an ITSH request.
Decisions between requests for monetization of emergency
commodities, use of Section 202(e)
funds, or the provision of ITSH funds for funding required to
respond to elements of an
emergency situation will be made by Food For Peace on a
case-by-case basis in consultation
with the Cooperating Sponsor. The general principles guiding
these decisions will be which
combination of funding minimizes the cost to the U.S. taxpayer,
yet allows for an effective and
efficient response to urgent and extraordinary relief needs.
3.1.a. Use of Section 202(e) funds. As amended by the 1996 Farm
Bill, the Fair Agriculture
Improvement and Reform Act of 1996, P.L. 480 allows for a
substantial increase in 202(e)
funding for eligible organizations, from $13.5 million to $28
million. Food For Peace believes
the use of Section 202(e) funds to cover offshore emergency
support should be considered by
Cooperating Sponsors. As well, the use of Section 202(e) funds
for indirect in-country
emergency program support may be considered by the Cooperating
Sponsor.
3.2. Monetization. Food For Peace believes that monetization of
a small portion of
commodities, above and beyond that needed to feed targeted
vulnerable groups, should be
considered by a Cooperating Sponsor if monetization is a more
cost-effective approach than
the use of foreign exchange provided through ITSH or 202(e).
3.2.a. In a food deficit country, monetization that helps meet
the food needs of targeted
vulnerable groups, stabilizes food prices in the immediate
village or camp, or reduces the costs
of transportation and distribution, may complement or supersede
requests for ITSH. Similarly,
the need for ITSH could be reduced by monetization of small
amounts of emergency
commodities for the local procurement of seeds and tools to
assist resettlement or reintegration
or otherwise enable beneficiaries to end their dependence on
donated food. Cooperating
Sponsors should be cognizant that all monetization requests will
need to include a Bellmon
analysis aimed at analyzing the impact of monetization on the
local markets and normal trade
relationships.
4. Internal FFP Operational Guidelines for ITSH
4.1. The Office of Food For Peace will expeditiously respond to
requests for ITSH funding
that are reasonable, allowable, and allocable to the provision of
Title II emergency food aid.
ITSH is normally requested as part of an emergency program
proposal. Food For Peace will
utilize its best efforts to notify a Cooperating Sponsor of the
results of intra-agency proposal
review within three weeks of proposal receipt.
4.1.a. Direct costs: Food For Peace is responsible for reviewing
all requests from Cooperating
Sponsors for ITSH support in conjunction with the proposal
submitted by the CooperatingSponsor for urgent and extraordinary
food aid relief. This review includes an evaluation of the
ITSH budget. In addition, the country/program review will
consider whether alternative
resources are available to the cooperating sponsor to defray
specific elements of the ITSH
request.
4.1.b. Pro rata indirect costs: If in-country overheads are
included in the ITSH submission and
stated only as a percentage of direct in-country costs, Food For
Peace will consult with
M/OP/PS/OCC prior to approving any general prorations for
in-country indirect costs
requested for funding.
4.2. Funding recommendation: After completion of the ITSH
review, Food For Peace will
establish a recommended level of ITSH funding to be furnished
using Title II resources. Any
recommended partial funding of an ITSH request level will be
explained to the Cooperating
Sponsor prior to program approval so that the Cooperating Sponsor
can decide if the program
is still viable as originally presented given the partial
funding.
4.3. Food For Peace will provide ITSH through the issuance of a
letter of credit. Adjustments
to individual activity ITSH levels will be considered as FFP
reviews the Cooperating Sponsor's
pipeline and operational expense reports for the particular
activity on a regular basis, and when
the Cooperating Sponsor requests additional commitments from Food
For Peace.
4.4. Food For Peace will utilize its best efforts with
Cooperating Sponsors to ensure that
approved financing for the allowable costs associated with the
internal transportation, handling
and distribution of emergency Title II commodities is
provided in an efficient and expeditious
manner.
4.5. Upon approval of the Cooperating Sponsor's emergency
program, FFP will prepare a
Transfer Authorization (TA) containing all relevant programmatic
details including the
program description, ocean and inland freight estimates, ITSH,
and the terms of the transfer
of commodities and cash. The TA will be forwarded to the
Cooperating Sponsor together with
a cover letter summarizing the agreement. The Cooperating
Sponsor will sign and return the
TA to FFP if in agreement with the terms therein.
5. Cooperating Sponsor Responsibilities
5.1. All Cooperating Sponsor requests for ITSH resources should
be accompanied by a
detailed budget that includes a line-item accounting of the funds
requested. Food For Peace
will accept program budgets which follow the normal practice and
methodology of each
Cooperating Sponsor. However, components of the budget seeking
ITSH support should
include those categories developed in Section 2 of these
Guidelines, e.g., transportation costs,
storage and warehousing costs, and program oversight and
management costs such as
monitoring, program evaluation, and any major "other"
expense.
5.2. The ITSH budget should be prepared or presented in
conjunction with the CooperatingSponsor's total costs of the
subject program and the division or allocation of the costs among
all requested contributions, e.g., other USAID funding, Host
Country, Cooperating Sponsor,
European Community, etc. The budget may be considered incomplete
and the approval of
ITSH delayed until a full budget is submitted for all activities
being considered by the
Cooperating Sponsor.
5.3. The Cooperating Sponsor is responsible for preparing and
submitting to Food For Peace
a regular financial accounting of ITSH utilization for each
activity under each PA/PR. ITSH
utilization reports should be submitted on a January-March,
April-June, July-September and
October-December usage basis. Reporting for partial periods will
be completed for the first
and last periods of a program. To facilitate this process, it
will be up to the Cooperating
Sponsor to maintain up-to-date records regarding ITSH costs
incurred and to liquidate ITSH
advances expeditiously in order to justify new obligations of
ITSH funds.
Please direct any questions you may have regarding these
guidelines to the Office of Food For
Peace, Emergency Response Division, Fax number 703-351-0164.
Annex E - Proposal Budget
(Under HTML construction. Will be completed when draft is finalized.)
Annex F - Transfer Authorization
UNITED STATES
AGENCY FOR INTERNATIONAL DEVELOPMENT
WASHINGTON, D.C. 20523
T R A N S F E R A U T H O R I Z A T I O N
|
PROGRAM CLASSIFICATION:
FY Year International
Emergency Food Response
PROJECT IDENTIFICATION:
Country, PVO
|
A.I.D. T.A.: 168-XXX-000-9999
PROGRAM APPROVAL DATE:Date
|
|
EXECUTIVE VICE PRESIDENT
COMMODITY CREDIT
CORPORATION
U.S.DEPARTMENT OF AGRICULTURE
WASHINGTON, D.C. 20250
|
PROGRAM TITLE: Title
|
In accordance with the provisions of Title II, P.L. 480 (as
amended), the Commodity Credit
Corporation (CCC) is hereby authorized to transfer and deliver
commodities listed below to
PVO for use in its emergency feeding program in
Country. The program is more fully described
in the proposal dated proposal date, which is incorporated
as part of this Transfer
Authorization (TA).
The QuantityMTs in commodities provided herein are valued
at approximately Dollar Amount,
inclusive of ocean, inland and internal transportation, storage
and handling (ITSH) costs. This
Transfer Authorization authorizes the immediate procurement of
commodities valued at Dollar
Amount, inclusive of ocean, inland and ITSH.
The commodities are provided pursuant to the following
instructions:
1. Quantity (Metric Tons) Authorized Herein:
|
Commodity
|
Previous
Total
|
Increase
|
Decrease
|
Total Tons
to Date
|
|
Wheat Flour
|
-0-
|
11,420
|
|
11,420
|
|
Pulses
|
-0-
|
1,630
|
|
1,630
|
|
Rice
|
-0-
|
1,630
|
|
1,630
|
|
Vegoil
|
-0-
|
1,630
|
|
1,630
|
|
TOTAL
|
-0-
|
16,310
|
|
16,310
|
2. Commodities Authorized for Procurement in FY 1996:
|
Commodity
|
Metric Tons
|
Estimated Costs ($)
|
|
Wheat Flour
|
6,750
|
2,126,300
|
|
Pulses
|
1,000
|
550,000
|
|
Rice
|
1,000
|
365,000
|
|
Vegoil
|
1,000
|
880,000
|
|
TOTAL
|
9,750
|
3,921,300
|
3. Estimated U.S. Government Ocean and Internal Freight and
Internal Transportation,
Storage and Handling Costs (ITSH) for 9,750 MTS in Commodities
Authorized Herein:*
|
FY 96
|
|
Estimated Costs
(U.S. DOLS)
|
|
Ocean
|
|
1,218,800
|
|
Inland
|
|
741,000
|
|
ITSH
|
|
969,700
|
|
TOTAL
|
|
2,929,500
|
The total value of this TA (commodities and transportation costs)
in U.S. dollars is: $6,850,800
including $3,921,300 in commodity value; $1,218,800 in ocean
freight, $741,000 in inland costsand $969,700 in ITSH at a rate
of $99.46/MT.
All actual ocean and inland transportation expenditures under
this program are to be charged
to the FY 1995 Purchase Authorization with PVO. An
individual Purchase Authorization for
this TA will not be issued.
The Office of Food for Peace will fund ITSH costs incurred by
PVO in the distribution of the
commodities provided herein, not to exceed the amount stated
above, through existing
Purchase Authorization and Purchase Requisition(s) (PA/PRs) with
PVO. Estimated ITSH
costs are being provided as follows:
Office Rental: $ 64,400.00
Storage/Warehouse: $ 753,700.00
Direct Distribution: $ 317,900.00
Personnel: $ 418,200.00
Other
*: $ 68,000.00
Total:
$1,622,200.00
* This line item includes costs associated with indirect support
as drawn from the PVO
proposal.
As the above figures are estimates, PVO is authorized to
change line items within the
suggested ITSH budget by up to 10 percent. Any necessary changes
beyond the 10 percent,
require prior written authorization from FFP.
4. Commodity Specifications: Commodities authorized
herein will be called forward byPVO
in early July and August. Commodity specifications are as
follows:
Wheat Flour: 50 kg bags (sack, woven, polypropylene). Standard
USDA specifications.
Pulses: Lentils or Kidney Beans, 50 kg bags (sack, woven
polypropylene). Standard USDA
specifications.
Rice: 50 kg bags (sack, woven, polypropylene). Standard USDA
specifications.
Vegetable Oil: 4-liter tins refined vegetable oil. Standard
USDA specifications.
5. Shipping Instructions:
a) Delivery Schedule: Call Forward Schedule to be provided
by PVO to FFP. Bills of lading,
notification party and consignees will be listed on calls
forward.
b) Transportation: The USG will be responsible for all
arrangements and costs incurred in
the procurement, inspection, and delivery of the commodities
authorized herein F.A.S. or
F.O.B. vessel at designated U.S. ports. PVO will be
responsible for arranging ocean, inland and
internal transportation required for this project (NOTE:
unless otherwise agreed to).
6. Program Objectives, Uses of
Commodity and Conditions of Transfer:
Program Objectives: To ensure provision of targeted food
assistance to elderly pensioners in
the cantons of Program Area for a period of # of
mths.
Uses of Commodity: The commodities donated herein will support
the direct distribution of
food assistance to the vulnerable population of elderly
pensioners totalling about 136,000
people in the three regions noted above. The objective of the
program is to ensure adequate
food security to this extremely vulnerable portion of the
population.
Conditions of Transfer:
o PVO is solely responsible for the
appropriate utilization of these commodities, for
monitoring their use and for reporting on this program.
o PVO shall provide reports to the Office
of Food for Peace, Bureau for Humanitarian
Response, USAID, and to the USAID/Sarajevo Mission, on a
semiannual basis. Such
reports shall describe the activities which are supported by the
food aid provided herein,
including locations of distributions, and number and type of
beneficiaries, and state the
impact of this food aid within the PVO relief program.
o PVO shall provide an accounting of the
ITSH costs supported by this TA and shall
revise its estimates, based on a review of actual costs, at least
once every six months for
the period of the grant. PVO will furnish to the USG such other
reports and
information as the USG may reasonably request concerning the
implementation of the
program.
o PVO certifies that (1) there is adequate
storage available in the region at the time of
the arrival of these commodities; and (2) the provision of these
commodities will not
result in a disincentive for local production and marketing.
FOR THE GOVERNMENT OF THE UNITED STATES OF AMERICA
Director Date
Office of Food for Peace
Bureau for Humanitarian Response
U.S. Agency for International Development
Request and Acceptance: The assistance described in this
Transfer Authorization is hereby
requested and the terms and conditions of this Agreement and of
A.I.D. Regulation 11, dated
May 7, 1992, incorporated herein by reference, except as
otherwise specifically provided herein,
are hereby accepted.
FOR The PVO
Signature Date
Name:
Title:
ANNEX G - TRANSITIONAL ACTIVITY PROPOSAL GUIDANCE
1. Transitional Activity Proposals (TAP)
The following should be used as a guide when submitting a
Transitional Activity Proposal for consideration by FFP.
2. Transition Activity Program Guidance
A cooperating sponsor is eligible to submit a TAP for a
transition
country regardless whether they have previously participated in
relief activities within the country or not.
A. Submission Dates - as
countries emerge from a complex
disaster (which by their very nature are fluid), the cooperating
sponsor will determine submission dates in accordance with each
situation. FFP/ER will strive to coordinate submissions for
Transitional Activity Proposals as close as possible to the DAP
guidance to ensure SO#2 team input regards any possible follow-on
DAP.
B. Duration - due to the
changing conditions in which
transitional activities take place, the activities should be
planned over a two-year timeframe. Activities will be funded for
twelve months and reviewed prior to funding for a second
twelve-month period. The second twelve-month period may be
reviewed and
funded under FFP / SO#2 direction.
C. TAP Funding Division - FFP
Emergency Division (SO#1) will
lead TAP reviews and make funding decisions during the first year
of the TAP. If a second year of funding is justified and the
conditions continue to improve for sustainable development, the
FFP
Development Division (SO#2) will lead a joint review of the
proposal, in coordination with relevant State and USAID offices.
Mission comments will be incorporated into the review process if
a
USAID mission is present.
(1) If the
country or region regresses back into an
emergency situation as articulated through an ambassadorial
declaration or UN appeal, the Emergency Division may lead FFP's
response for a second year of emergency or transitional
activities.
(2) Transitional
activities may or may not lead into a
DAP. Future follow-on DAPs will be evaluated in accordance with
world-wide need and FFP resource availability as stated in the
DAP
guidance.
D. 202(e) Funding - Transitional
activities are eligible for
consideration of 202(e) funds regardless of the timeframe of the
submission of the TAP.
E. Internal Transport Storage and
Handling (ITSH) - is
available within a Transitional activity proposal. ITSH should
be
viewed as a declining funding source as a country progresses
along
the relief and development continuum, with ITSH available only
for
emergency Title II commodities. Other areas of funding should be
explored as a Transitional activity matures such as mission
funding, other donors, private resources and monetization.
F. Reporting Requirements (R4) -
All reporting requirements
follow the re-engineering guidance which are undertaken in close
coordination with the USAID mission. Emergency and Transitional
activities may take place within countries that do not have a
USAID
presence. Under the latter, ER program reporting requirements
prevail.
G. USAID Mission Presence -
where a USAID mission exists,
Transitional activities must strive for integration within the
mission's strategic plan. Transitional activities must
articulate
how the activity will maximize the impact of food aid upon the
country's food security.
H. Review Process - due to the
emergency component of
transitional activities, TAPs will be reviewed during the first
year in accordance with the emergency proposal guidelines and
will
be under a four-week review time constraint.
I. Monetization - will be
subject to FFP Monetization
Guidelines, including a full market analysis. Any TAP including
monetization as a component must present letters of support from
the appropriate host government line ministries demonstrating
acceptance of a monetization program in concept.
J. Activity Description - the
TAP should include an exit
strategy from emergency activities and a contingency plan should
the regional/national emergency situation deteriorate. A
transitional activity should maintain emergency capacity to
minimize risk of uncertainty while maximizing upon opportunities
to
undertake development.
K. Complementarity - a
transition activity presents an
opportunity to set a base upon which sustainable development
activities can be built. As such, a transitional activity must
delineate how host country governments or other entities will
take
over activities and/or provide follow-on resources for vulnerable
groups which require longer-term assistance beyond the program
end
date.
L. Financial Plan -
identification of financial resources
should be delineated in the TAP. The financial plan should
detail
the types of resources such as in-kind, dollar and local currency
funding as well as other donor and host country contributions.
Sources of resources such as USAID/Regional Bureaus, OFDA and OTI
should also include timeframe expectations.
M. Pipeline Analysis - a
pipeline analysis should be provided
for ITSH and 202(e) funding as well as commodity pipeline for any
transitional activity that is a follow-on from an FFP emergency
program.
N. Commodity-related Issues -
the cooperating sponsor must
delineate any relevant third-party arrangements for
commodities/handling such as with the World Food Programme or
other
cooperating sponsors (Tripartite Agreements).
O. Funding Priorities - it is
important to identify
"critical" transitional activity components when
estimating 75% of
request level funding.
P. Appendices - a timeline of
transitional activities under a
best case scenario must be included. A description of
significant
projected events (i.e., quartering of troops completion date,
national elections, etc.) should also be included if
available.
Q. Transitional Activity
Indicators - The following
indicators serve as useful (though illustrative) benchmarks for
measuring the impact of transitional activities:
(1) caseload
transfer/reduction - from number of relief
beneficiaries to number of development activity beneficiaries
over
time.
(2) targeting -
reduction of direct food distribution
beneficiaries.
(3) resettlement
- number of families (beneficiaries)
resettled to home areas.
(4)
rehabilitation
(a) number of families
(beneficiaries) engaged in
rehabilitation activities.
(b) number of FFW infrastructure
projects
completed.
(c) roads - number of kilometers
completed under
FFW activities.
(d) number of FFW/CFW projects
generated/completed.
(e) amount of host government
engagement in
provision/planning of social safety net
(institutional feeding).
(5) agricultural
activity - number of families with
first harvest.
(6) funding -
transition from ITSH to alternative
funding sources.
3. The following are illustrative indicators of potential
"transitional countries":
A. Cease Fire / Treaty
Observance
(1)
number of cease fire violations over time.
(2)
remining occurrences - number of new land mines laid
to previously declared cleared areas.
B. Security
(1)
number of incidence of banditry to convoys over
time.
(2)
amount of vehicle traffic (and type) along roadways.
C. Reintegration
(1)
number of persons (according to gender) allowed to
cross lines.
(2)
reintegration into civil society of former
combatants
D. Economic Activity
(1)
trading volume in rural markets.
(2)
commodity prices in rural markets.
E. Agricultural Activity
(1)
number of hectares planted by resettled, returning
farmers.
(2)
number of former combatants engaged in farming.
Consensus from both State and AID will be sought as verification
of
the peace process and security condition. Those countries
receiving
USAID Office of Transition Initiative (OTI) resources will be
automatically considered in a transitional stage.
As the need for emergency food aid programs decline in response
to
the affected-populations' ability to return to their homes of
origin, assistance must also change to reflect the new
conditions.
Communities returning to their land after years of absence face
food insecurity once they leave camps or other areas in which
donor
food assistance has been provided. Very often these populations
have no means of support until crops can be planted and harvested
and therefore, face serious food insecurity. Donor assistance
must
address this transitional phase where persons and communities
require food assistance until agricultural rehabilitation, and
social and physical rural infrastructure can be revitalized.
Such
transitional activities provide the basis for development to take
hold, and for food security to be addressed.
The various aspects of transitional activities encompass both
relief and development interventions. In the initial stage,
transitional activities shall be undertaken utilizing the FFP /
Strategic Objective #1 Intermediate Results (IRs) as a guideline
and may be follow-on activities from an emergency program. As
national or regional emergency situations improve and the initial
conditions for development present themselves, relief
requirements
will "ratchet down" and FFP / Strategic Objective #2 activities
may
follow-on as warranted at the time of consideration.
