Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) Social Protection System Modernization Project (P145171) EUROPE AND CENTRAL ASIA | Croatia | Social Protection & Labor Global Practice | IBRD/IDA | Investment Project Financing | FY 2015 | Seq No: 4 | ARCHIVED on 22-Nov-2016 | ISR25742 | Implementing Agencies: Ministry of Demographics, Family, Youth and Social Policy, Ministry of Labor and Pension System Key Dates Key Project Dates Bank Approval Date:19-Sep-2014 Effectiveness Date:24-Dec-2014 Planned Mid Term Review Date:01-Mar-2017 Actual Mid-Term Review Date:-- Original Closing Date:31-Dec-2018 Revised Closing Date:31-Dec-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document) The project aims to improve the efficiency and effectiveness of Croatia’s social protection system. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Improving efficiency and effectiveness of the social protection system:(Cost $68.00 M) Investments and TA to support improvements in efficiency and effectiveness of the social protection system:(Cost $26.00 M) Project Management Support:(Cost $0.80 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Satisfactory  Moderately Unsatisfactory Overall Implementation Progress (IP)  Moderately Satisfactory  Moderately Unsatisfactory Overall Risk Rating  Moderate  Moderate Implementation Status and Key Decisions 11/22/2016 Page 1 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) The project was approved on September 19, 2014, signed on September 25, 2014 and made effective on December 24, 2014. Two DLIs, establishment of the Central Disability Certification Institute with adequate staffing and methodology adopted (DLI #5) and adoption of the Operational Plan for Deinstitutionalization of Social Welfare Homes (DLI #11), worth Euro 4 million together, have been achieved and associated funds disbursed under the results-based component of the project. Activities have been initiated under all five subcomponents of the project’s investment component, however, a slowdown in the implementation which started in 2015 due to the parliamentary election continued throughout 2016 due to political instability and uncertainties about the future direction of the main project-supported reform (establishment of the one stop shop for administration of social benefits). Overall project process, and options for improving implementation, will be explored during the mid-term review in early 2017. 11/22/2016 Page 2 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  Moderate  Substantial Macroeconomic  --  Moderate  Moderate Sector Strategies and Policies  --  Moderate  Moderate Technical Design of Project or Program  --  Substantial  Substantial Institutional Capacity for Implementation and Sustainability  --  Moderate  Moderate Fiduciary  --  Moderate  Moderate Environment and Social  --  Low  Low Stakeholders  --  Substantial  Substantial Other  --  --  -- Overall  --  Moderate  Moderate Results Project Development Objective Indicators 11/22/2016 Page 3 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) PHINDPDOTBL One Stop Shop: Reduce private costs for social assistance beneficiaries and unemployed by 15% from baseline (of X%,month 2014) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments Due to parliamentary elections there was a delay in the implementation of activities. The Law on Amendments to the Social Welfare Act (Official Gazette no. 52/2016.) established a new deadline for administering GMB in OSS, March 1, 2017. PHINDPDOTBL  Central Disability Certification Institute: Percentage of cases certified by IDCPREPD's full-time certifying officers increased from 0% to 90% (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 77.00 77.00 90.00 Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 PHINDPDOTBL  Reduced Error and Fraud: EFC risk-prone programs have strengthened information systems, and oversight and control procedures (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target EFC risk-prone programs have Piecemeal, partial EFC Piecemeal, partial EFC Piecemeal, partial EFC strengthened actions aimed at a limited actions aimed at a actions aimed at a information Value set of Social Protection limited set of Social limited set of Social systems and Programs Protection Programs Protection Programs oversight and control procedures Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments The Strategy for Combating Error, Fraud and Corruption (EFC) in the field of social protection in the Republic of Croatia (2015-2020) was approved by the Government of Croatia in November 2015. An Action Plan for the Strategy was completed in October 2016, reviewed and approved by the task team. It is expected that the action plan will be formally approved by the Government by December 2016. 11/22/2016 Page 4 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) PHINDPDOTBL  De-institutionalization: Number of vulnerable children and adults moved from institutions to family-type care environments (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 240.00 1015.00 715.00 Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments During 2015, 727 persons have been deinstitutionalized from state-run social welfare institutions for children with developmental disabilities, adults with disabilities, children without adequate parental care and children and young persons with behavioral difficulties, however during the same period, 876 new beneficiaries of accommodation service have been admitted to the same institutions. Net de-institutionalization requirement of 50% has, therefore, not been met. In first six months of 2016, 288 persons with disabilities and children and young persons were de-institutionalized, however during the same period 347 new beneficiarieshave been admitted to the same institutions. Net deinstitutionalization requirement of 50% has, therefore, not been met. PHINDPDOTBL  Fiscal Savings realized (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 0.50 Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments This indicator has not been measured yet. It will be estimated for the purpose of the mid-term review mission, which is planned for early 2017. Overall Comments Intermediate Results Indicators 11/22/2016 Page 5 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) PHINDIRITBL  Direct project beneficiaries (Number, Core) Baseline Actual (Previous) Actual (Current) End Target Value 951690.00 951690.00 951690.00 951690.00 Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments This indicator has not been measured yet. It will be estimated for the purpose of the mid-term review mission, which is planned for early 2017. PHINDIRITBL  Female beneficiaries (Percentage, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 475845.00 475845.00 475845.00 475845.00 PHINDIRITBL  DLIs 1-4: OSS in place (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target GMB, Child Allowance, non- GMB, Child Allowance, GMB, Child Allowance, GMB, Child Allowance, contributory non-contributory non-contributory Mat/Pat non-contributory Mat/Pat Mat/Pat Mat/Pat allowance and allowance and Birth allowance and Birth allowance and Birth Grants, and Value Grants, and Grants, and Birth Grants, Unemployment Unemployment Benefits Unemployment Benefits and Benefits administered administered through administered through Unemployment through different different networks different networks Benefits networks administered through the OSS Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments Transfer of the GMB into the OSS has been postponed to March 2017 through revisions of the Social Welfare Act. The new Government contracted a consulting company to help with analyzing options about where the OSS should be placed. 11/22/2016 Page 6 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) PHINDIRITBL  DLIs 5-6 CDCI operating independently (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target CDCI established and CDCI established and CDCI operating Value No CDCI operating operating independently Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments DLI 5 has been achieved and EUR2 million for the achievement of the DLI has been disbursed in May 2016. PHINDIRITBL  DLIs 7-10 Reduced Error and Fraud (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target EFC risk-prone programs have Piecemeal, partial EFC Piecemeal, partial EFC Piecemeal, partial EFC strengthened actions aimed at a limited actions aimed at a actions aimed at a information Value set of Social Protection limited set of Social limited set of Social systems and Programs Protection Programs Protection Programs oversight and control procedures Date 01-Jan-2014 15-Jan-2016 01-Nov-2016 31-Dec-2018 Comments The Strategy for Combating Error, Fraud and Corruption in Social Protection in the Republic of Croatia (2015-2020) was adopted by the Government in November 2015. An action plan has been completed, reviewed and agreed on by the World Bank task team. It is expected to be approved by the Government by the end of the year which will result in achieving the DLI 7 (EFC Strategy approved and disseminated by the Government, and the Action Plan adopted and disseminated by MLPS and MSPY). PHINDIRITBL  DLIs 11-14: Deinstitutionalization (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 240.00 1015.00 715.00 Date 01-Jan-2014 17-Jun-2015 01-Nov-2016 31-Dec-2018 Comments During 2015, 727 persons have been deinstitutionalized from state-run social welfare institutions for children with developmental disabilities, adults with disabilities, children without adequate parental care and children and young persons with behavioral difficulties, however during the same period, 876 new beneficiaries of accommodation service have been admitted to the same institutions. Net deinstitutionalization requirement of 50% has, therefore, not been met. In the first six months of 2016, 288 persons with disabilities and children and young persons were deinstitutionalized, however during the 11/22/2016 Page 7 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) same period 347 new beneficiaries have been admitted to the same institutions. Net de-institutionalization requirement of 50% has, therefore, not been met. PHINDIRITBL  Activation: Statistically assisted profiling introduced (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Statistically Pilot has been prepared No statistically assisted No statistically assisted assisted Value and will be implemented profiling of unemployed profiling of unemployed profiling in late Q3 FY17. introduced Date 01-Jan-2014 17-Jun-2015 01-Nov-2016 31-Dec-2018 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P145171 IBRD-84260 Effective USD 95.55 95.55 0.00 6.48 87.52 7% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P145171 IBRD-84260 Effective 19-Sep-2014 25-Sep-2014 24-Dec-2014 31-Dec-2018 31-Dec-2018 Cumulative Disbursements 11/22/2016 Page 8 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Social Protection System Modernization Project (P145171) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 11/22/2016 Page 9 of 9 Public Disclosure Copy