The World Bank Report No: ISR6774 Implementation Status & Results India Karnataka Panchayats Strengthening Project (P078832) Public Disclosure Copy Operation Name: Karnataka Panchayats Strengthening Project (P078832) Project Stage: Implementation Seq.No: 11 Status: ARCHIVED Archive Date: 23-Oct-2011 Country: India Approval FY: 2006 Product Line: IBRD/IDA Region: SOUTH ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Gvernment of Karnataka Key Dates Board Approval Date 29-Jun-2006 Original Closing Date 31-Mar-2012 Planned Mid Term Review Date Last Archived ISR Date 23-Oct-2011 Effectiveness Date 04-Oct-2006 Revised Closing Date 31-Dec-2012 Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the project is to improve the effectiveness of service delivery by Karnataka Gram Panchayats (village governments) particularly with respect to the management of public resources and the delivery of relevant services that the rural people prioritize. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Block grants to Gram Panchayats 93.82 Information Systems for Constituents 1.30 Building Capacity of Panchayats 7.30 Building Capacity of the State 1.65 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Implementation Status Overview This ISR updates the project status with the level 2 restructuring i.e extension of the project closing date as requested by the client. The project had made significant progress :- in documenting of procurement, payments and completion certificates of works.; assets created are of acceptable quality and are put to use by the community and; a modest increase in own source revenues has been reported. In the context of these positive developments the project was extended till December 31st, 2012. The extension was necessary to complete the remaining key activities which include: a) key consultancy studies like the project impact evaluation study; studies on panchayat finance by the Decentralization Analysis Cell; b) Page 1 of 4 The World Bank Report No: ISR6774 the construction of the Taluk Resource Centers and the Satellite Communication facilities; and c) allowing the Gram Panchayats to complete the utilization, accounting and reporting of the block grants financed by the project. The extension will also help in utilizing the balance IDA credit of $24.6 million. Public Disclosure Copy Locations Country First Administrative Division Location Planned Actual India State of Karnataka State of Karnataka Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Rising number of Gram or Ward Sabhas with Text Value 4,305 sabhas agendas relevant to improving service delivery. 747,946 participants Date 05-Oct-2006 26-Sep-2011 25-Oct-2012 Comments Gram and Ward sabhas held: 2006-07 : 4305 2007-08 : 4709 2008-09 : 5602 2009-10 : 5664 2010-11 : 6969 Total amount of revenues generated from own Text Value INR 30.7 crore US$ 16 million sources by all village governments in the Date 05-Oct-2006 26-Sep-2011 25-Oct-2012 project area. Comments 2006-7: Rs. 24.72 crore, 31% collection rate 2007-8: Rs 29.63 crore, 34% collection rate 2008-9: Rs 26.54 crore, 34% collection rate 2009-10: Rs 29.07 crore, 31% collection rate. Public Disclosure Copy 2010-11: Rs.36.34 crore, 30% collection rate. Rising satisfaction of village residents with Text Value NA 60% service delivery by gram panchayats. Date Comments Intermediate Results Indicators Page 2 of 4 The World Bank Report No: ISR6774 Indicator Name Core Unit of Measure Baseline Current End Target Increased block grants to poor Panchayats Text Value 0% 100% equal to IDA disbursements based on formula Date 05-Oct-2006 01-Sep-2011 25-Oct-2012 Public Disclosure Copy Comments GoK statutory grant was Rs 5 lakh per GP at Project Preparation. It's now Rs 6 lakh per GP on budget but Rs 2.4 lakh actual release. IDA block grant release each year: 2006-07: Rs 46.8ores 2007-08: Rs 77.6rores 2008-09: Rs 125crore 2009-10: Rs 120 crore 2010-11: Rs 84 crore GP revenues, expenditurex and procurement Text Value 3% 90% decisions publicly disclosed Date 05-Oct-2006 30-Sep-2011 25-Oct-2012 Comments Out of 1341 Gram Panchayats of the project area, 1273 GPs have regular disclosure practice information. GPs that have implemented the new Financial Number Value 1279.00 Management and Accounting System Date 30-Sep-2011 31-Mar-2012 Comments Nearly all Panchayats have implemented the new double- entry accounting system and PanchaTantra. Data on Financial Performance (as of 27-Mar-2012) Public Disclosure Copy Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P078832 IDA-42110 Effective 29-Jun-2006 24-Jul-2006 04-Oct-2006 31-Mar-2012 31-Dec-2012 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P078832 IDA-42110 Effective XDR 82.20 82.20 0.00 68.85 13.35 84.00 Disbursement Graph Page 3 of 4 The World Bank Report No: ISR6774 Public Disclosure Copy Key Decisions Regarding Implementation The project closing date has been extended by nine months and the project will close on December 31st, 2012. Restructuring History Level two Approved on 26-Mar-2012 Related Projects There are no related projects. Public Disclosure Copy Page 4 of 4