North Karnataka Urban Sector Investment Program

Resettlement Planning Document

The draft resettlement framework is a document of the borrower. The views expressed herein do not necessarily represent those of ADB’s Board of Directors, Management, or staff, and may be preliminary in nature.

Draft Resettlement Framework Document Stage: Revised Project Number: 38254-01 November 2009

IND: North Karnataka Urban Sector Investment Program

Prepared by Karnataka Urban Infrastructure Development and Finance Corporation (KUIDFC).

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Currency Equivalent

Currency Unit - Indian Rupee/s (Re/Rs) Re. 1.00 = US$ 0.022 US$ 1.00 = Rs. 45

Abbreviations

ADB : Asian Development Bank APs : Affected Persons BPL : Below Poverty Line CC : City Corporation CDP : Comprehensive Development Plan CMC : City Municipal Council DC : Deputy Commissioner DLVC : District Level Valuation Committee DMA : Directorate of Municipal Administration EA : Executing Agency GoI : Government of India GoK : Government of Karnataka GRC : Grievances Redressal Committee HH : Household IEE : Initial Environmental Examination KMRIP : Karnataka Municipal Reforms Investment Program KUIDFC : Karnataka Urban Infrastructure Development and Finance Corporation KUWSDB : Karnataka Urban Water Supply and Drainage Board LA : Land Acquisition LAA : Land Acquisition Act LA : Land Acquisition Lpcd : Litres Per Capita per Day M/m. : Meter NGO : Non-Government Organization NKUSIP : North Karnataka Urban Sector Investment Program NOC : No Objection Certificate O&M : Operations and Maintenance IPMU : Investment Program Management Unit PWD : Public Works Department RoW : Right of Way Ro : Resettlement Officer RP : Resettlement Plan SA : Social Assessment STP : Sewage Treatment Plant TMC : Town Municipal Council ULB : Urban Local Body

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Contents

Definitions .............................................................................................................................................. 1

I. Overview ......................................................................................................................................... 3

A. Scope of Land Acquisition - NKUSIP Towns ........................................................................ 3 B. Resettlement Framework ........................................................................................................ 4

II. Policy and Legal Framework ...................................................................................................... 4

A. Union Government’s Policy .................................................................................................... 4 B. ADB’s Involuntary Resettlement Policy ................................................................................. 5 C. Comparison of Borrower’s Policy with NKUSIP RF ............................................................. 6

III. Resettlement Framework Principles and Entitlements ............................................................. 11

IV. Resettlement Plan (RP) Preparation .......................................................................................... 20

A. Surveys .................................................................................................................................. 20 B. Formulation of Resettlement Plan ......................................................................................... 20 C. Gender Impacts and Mitigation Measures ............................................................................ 21

V. Consultation and Disclosure ..................................................................................................... 22

A. Consultation .......................................................................................................................... 22 B. Disclosure ............................................................................................................................. 23

VI. Complaints and Grievance ........................................................................................................ 27

VII. Compensation and Rehabilitation ............................................................................................. 29

A. Compensation ....................................................................................................................... 29 B. Income Restoration and Rehabilitation ................................................................................. 30 C. Budget for Income Restoration ............................................................................................. 34

VIII. Institutional Arrangements and Responsibilities .................................................................. 34

IX. Budgeting and Fund Flow Mechanisms .................................................................................... 43

X. Implementation Schedule .......................................................................................................... 44

XI. Monitoring and Evaluation ....................................................................................................... 46

A. Internal Monitoring ............................................................................................................... 47 B. External Impact Evaluation ................................................................................................... 47

Annex A – Land Acquisition Requirements for Sewage Treatment Sites .............................................. 1

Annex B – Gender Action Plan .............................................................................................................. 2

Annex C – Census and Baseline Socio-Economic Survey Guidelines ................................................... 6

A. Cut-Off Date ........................................................................................................................... 6 B. Census Requirement and Contents ......................................................................................... 6 C. Census Procedures .................................................................................................................. 7 D. Database Management ............................................................................................................ 7

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Annex D – Consultation and Dissemination ........................................................................................... 9

A. Consultation ............................................................................................................................ 9 B. Information Dissemination Campaign .................................................................................... 9

Annex E – Outline TOR for NGO ........................................................................................................ 10

A. Background of the Investment Program ............................................................................... 10 B. Scope of Work ...................................................................................................................... 10 C. Tasks ..................................................................................................................................... 11 D. Methodology ......................................................................................................................... 12 E. Reporting ................................................................................................................................... 13 F. Time Schedule .......................................................................................................................... 13 G. Key Personnel ....................................................................................................................... 13

Annex F – Minimum Wages in Karnataka ........................................................................................... 14

Annex G – ToR for Monitoring agency ................................................................................................ 18

A. Background ........................................................................................................................... 18 B. Scope of Work ...................................................................................................................... 19 D. Methodology ......................................................................................................................... 19 E. Reporting ................................................................................................................................... 20 F. Time Schedule .......................................................................................................................... 21 G. Key Personnel ....................................................................................................................... 21

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List of Tables

Table 1: Comparison between the LAA, NPRR and NKUSIP RF ........................................................ 8 Table 2: Entitlement Matrix ................................................................................................................. 12 Table 3: Summary of Consultations and Disclosure Activities ........................................................... 25 Table 4: Estimated Budget for Training and Related Activities ……………………………………34 Table 5: Institutional Roles and Responsibilities ……………………………………………………39 Table 6: Summary of Land Acquisition and ResettlementCosts ……………………………………..43

Figures Figure 1: Grievance Redressal Process ................................................................................................ 28 Figure 2: Resettlement Implementation Arrangements ...................................................................... 38

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DEFINITIONS

• Affected Persons (APs) are persons who have economic interests or residence within the Investment Program impact area and who may be adversely affected directly by the Investment Program. Affected Persons include those displaced, those losing commercial or residential structures in whole or part, those losing agricultural land or homesteads in whole or part, and those losing income sources as a result of project action, or having losses as described in the Entitlement Matrix. APs include both titled and non-titled persons experiencing resettlement impacts due to the Investment Program.

• Assistance refers to the support provided to APs in the form of ex-gratia payments,

loans, asset services, training and skills development, etc. in order to improve the standard of living and reduce the negative impacts of the Investment Program.

• Below Poverty Line (BPL) households are household whose monthly income is less

than a designated sum as determined by the Government of Karnataka (Rs. 24,000 per annum), will be considered Below Poverty Line.

• Vulnerable Households, for Investment Program compensation entitlement

purposes, are households headed by women, disabled persons, indigenous persons, and BPL households.

• Compensation refers to the amount paid under the Land Acquisition Act, 1894

(amended 1984), for private property, structures and other assets acquired for the Investment Program. In this context, compensation refers to payments made by the Government when title of a property is transferred from a private entity to the government.

• Cut-off Date. The date of notification under Section 4 (1), of Land Acquisition Act

will be considered as cut-off date for APs who have legal title to the land/property, proposed for acquisition. In the case of Squatters, Encroachers and unauthorized occupants the date of census/socio-economic survey conducted by the Implementation Agency will be considered as the cut-off date for entitlements under the Investment Program.

• Deputy Commissioner is the Administrative head of a District. • Encroachers are persons who have extended their building, agricultural lands,

business premises or work places into government lands.

• Poverty Line is based on the poverty indicators identified by Government of Karnataka (Rs. 24,000 per annum).

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• Private Property Owners are those who have legal title to land, structure and other

assets. • Replacement Value of the acquired assets and property is the amount required for

the Affected Household to replace/reconstruct the lost assets through purchase in the open market.

• Requisitioning Authority shall mean any company, a body corporate, an institution,

or any other organization for whom land is to be acquired by the appropriate Government Agency, and includes the appropriate Government Agency if the acquisition of land is for such Government Agency either for its own use or for subsequent allotment of such land in public interest to a body corporate, institution, or any other organization or to any company under lease, license or through any other system of transfer of land to such company, as the case may be.

• Squatters are those who have illegally occupied lands for residential, business and or

other purposes.

• Tenants and Sharecroppers are those persons having bonafide written or unwritten tenancy agreements, with a private property owner having clear property titles, to occupy a structure or land for agricultural use, residence and business.

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I. OVERVIEW 1. The North Karnataka Urban Sector Investment Program (NKUSIP) will finance investment in the sectors of (i) water supply; (ii) sewerage and sanitation; (iii) urban drainage; (iv) urban roads; (v) poverty alleviation; (vi) non-municipal infrastructure inclusive of development/conservation of lakes, expansion of fire services, development of tourism facilities; (vii) institutional development; and (viii) investment program assistance.1 2. The overall development goal of the NKUSIP is to facilitate economic growth in the towns of North Karnataka and bring about urban development through equitable distribution of urban basic services to the citizens that are environmentally sound and operationally sustainable. The development purpose is designed to assist Urban Local Bodies (ULBs) to “promote good urban management, and develop and expand urban infrastructure to increase economic opportunities and to reduce vulnerability to environmental degradation and urban poverty”.

A. Scope of Land Acquisition - NKUSIP Towns 3. NKUSIP is expected to have minimal impacts on land acquisition and replacement. Sub-projects involving rehabilitation of existing facilities will be accommodated within the facilities premises and will not involve land acquisition and resettlement. Sub-projects involving construction of water supply systems, sewage treatment plants, solid waste management, and non-municipal infrastructure are proposed on Government land wherever possible. Only temporary land acquisition and resettlement impacts on hawkers and vendors are anticipated during laying of water and sewer pipelines or improvements to drainage in a few towns. The overall impacts are to be further minimized through careful Investment Program siting and alignment at the detailed design and implementation stage of the Investment Program. 4. Lack of title / customary rights recognized under law will not be a bar to entitlement. Hence, non-titled encroachers and squatters as well as indigenous or other groups with customary rights over land or resources, if present in the Investment Program area, will be eligible for compensation (refer Entitlement Matrix for special provisions for non-titled persons). However, people moving into the Investment Program area after the cut-off date are not entitled to compensation or other assistance (refer Annex C, Section A, Item 1 for a definition of cut-off date). 5. Based on the three sample sub-projects, which represent the 25 Investment Program towns,2 significant3 resettlement issues are not anticipated. However, in some ULBs, adequate

1 Covering the construction of the KUIDFC building in vacant government land. 2 Three sub-project towns of Raichur, Hospet and Haveri representing the 25 project towns in terms of geographic

location, civic body status, population and ULB area, in addition to the criteria of having all sub-project components, were selected as sample Project towns. The total number of affected households ranges between 4-14 in the three representative towns. No temporary land acquisition is envisaged in the three towns. However, the proposed Entitlement Matrix provides safeguards for temporary land acquisition, should there be an occurrence of the same in the remaining towns.

3 According to ADB’s Operational Manual Operational Procedures (OP), Involuntary Resettlement (para 19,20,21, page 5; Oct 2003) projects are assigned an involuntary resettlement category depending on the significance of the probable involuntary resettlement impacts. The categories include (a) Involuntary Resettlement Category A (Significant): means 200 or more people will experience major impacts, which are defined as (i) being physically

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land for water treatment plants, sewage treatment plants has not been identified yet. Issues in land acquisition and resettlement in such cases are therefore unknown at this stage and will be addressed at detailed design stage consistent with this Resettlement Framework. 6. The total estimated land requirement for sub-project components, such as treatment facilities for water, sewage and solid waste, in 25 sub-project towns is 267.78 Ha. Of this, 50.66 Ha is under municipal corporation/council’s (ULB) possession while the remaining land has to be acquired from private landowners. Approximately 78.47 Ha of land required has not yet been identified yet. Annex A provides town-wise details on estimated land acquisition requirements for each sub-project component.

B. Resettlement Framework 7. The NKUSIP Draft Resettlement Framework has been prepared for use by all ULBs falling within the Investment Program’s purview. It outlines the objectives, policy principles and procedures for acquisition of land, if any, compensation and other assistance measures for Affected Persons (APs), if any.

II. POLICY AND LEGAL FRAMEWORK 8. The Resettlement Framework proposed for NKUSIP was formulated on the basis of (i) the National Policy on Resettlement and Rehabilitation for Investment Program Affected Persons, issued by the Ministry of Rural Development, 2003; (ii) The Land Acquisition Act, 1894 (amended in 1984), which addresses land acquisition and resettlement issues and GoK’s Land Acquisition Guidelines and (iii) the Asian Development Bank’s Involuntary Resettlement Policy. These policies are reviewed and summarized below.

A. Union Government’s Policy

(i) National Policy on Resettlement and Rehabilitation for Project Affected Persons (NPRR), (Ministry of Rural Development), 2003. The National Policy on Resettlement and Rehabilitation stipulates the minimum facilities to be ensured for persons displaced due to acquisition of land for public purposes. The objectives of the Policy are:

• To minimize displacement and to identify non-displacing or least displacing

alternatives; • To plan the resettlement and rehabilitation of Affected Persons (APs), including

special needs of tribal and vulnerable sections; • To provide improved standard of living to APs; and

displaced from housing, or (ii) losing 10% or more of their productive assets (income generating). Category A projects require a full resettlement plan. Some of these projects may require a resettlement framework prior to the full resettlement plan; (b) Involuntary resettlement Category B (Not Significant): Category B projects include involuntary resettlement impacts that are not deemed significant and require a short resettlement plan. Some of these projects may require a resettlement framework prior to the short resettlement plan; and (c) Involuntary Resettlement Category C: No involuntary resettlement effects are foreseen in Category C projects. They require neither a resettlement plan nor a resettlement framework.

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• To facilitate harmonious relationship between the requiring body and APs This policy is applicable for projects where over 500 families are displaced.

(ii) Land Acquisition Act, 1894 (LAA). The Act provides a framework for facilitating

land acquisition within the Country. This Act enables the State to acquire private lands for public purposes. The Act ensures that no person is deprived of land except under the Act and entitles Affected Persons to a hearing before acquisition. The main elements of the Act are given below: • Land identified for the purpose of a project is placed under Section 4 of the

LAA. This constitutes notification. Objections must be made within 50 days to the DC (highest administrative officer of the concerned District).

• The land is then placed under Section 6 of the LAA. This is a declaration that the Government intends to acquire the land. The DC is directed to take steps for the acquisition, and the land is placed under Section 9. Interested parties are then invited to state their interest in the land and the price. Under Section 11, the DC shall make an award within one year of the date of publication of the declarations. Otherwise, the acquisition proceedings shall lapse.

• In case of disagreement on the price awarded, within 6 weeks of the award the parties (under Section 18) can request the DC to refer the matter to the Courts to make a final ruling on the amount of compensation;

• Once the land has been placed under Section 4, no further sales or transfers are allowed. However, since the time lag between Sections 4 and the others following it is about three years, land transfers are not uncommon.

• Compensation for land and improvements (such as houses, wells, trees, etc.) is paid in cash by the project authorities to the State government, which in turn compensates landowners.

• The price to be paid for the acquisition of agricultural land is based on sale prices recorded in the District Registrar's office averaged over the three years preceding notification under Section 4. The compensation is paid after the area is acquired, actual payment by the State taking about two or three years. An additional 30 percent is added to the award as well as an escalation of 12 percent per year from the date of notification to the final placement under Section 9. For delayed payments, after placement under Section 9, an additional 9 percent per annum is paid for the first year and 15 percent for subsequent years.

B. ADB’s Involuntary Resettlement Policy 9. The three important elements of the involuntary resettlement policy are (i) compensation to replace lost assets, livelihood, and income; (ii) assistance for relocation, including provision of relocation sites with appropriate facilities and services; and (iii) assistance for rehabilitation to achieve at least the same level of well-being with the project as without it. Some or all of these elements may be present in a project involving involuntary resettlement. 10. For any operation requiring involuntary resettlement, resettlement planning is an integral part of project designs, to be dealt with, from the earliest stages of the project cycle, taking into account the following basic principles:

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(i) Involuntary resettlement should be avoided whenever feasible. (ii) Where population displacement is unavoidable, it should be minimized by providing

viable livelihood options. (iii) If individuals or a community must lose all or part of their land, means of

livelihood, or social support systems, so that a project might proceed, they will be compensated and assisted through replacement of land, housing, infrastructure, resources, income sources, and services, in cash or kind, so that their economic and social circumstances will be at least restored to the pre-project level. All compensation is based on the principle of replacement cost.

(iv) Each involuntary resettlement is conceived and executed as part of a development

project or program: The APs need to be provided with sufficient resources to re-establish their livelihoods and homes with time-bound action in co-ordination with civil works.

(v) The affected people are to be fully informed and closely consulted. Affected people

are to be identified and recorded as early as possible in order to establish their eligibility through a population record or census that serves as an eligibility cutoff date, preferably at the project identification stage, to prevent a subsequent influx of encroachers or others who wish to take advantage of such benefits

(vi) Institutions of the affected people, and, where relevant, of their hosts, are to be

protected and supported. Affected people are to be assisted to integrate economically and socially into host communities so that adverse impacts on the host communities are minimized and social harmony is promoted.

(vii) The absence of a formal title to land is not a bar to ADB policy entitlements. (viii) Affected people are to be identified and recorded as early as possible in order to

establish their eligibility through a population record or census that serves as an eligibility cutoff date, preferably at the project identification stage, to prevent a subsequent influx of encroachers or others who wish to take advantage of such benefits.

(ix) Particular attention must be paid to the needs of the poorest affected people, and

vulnerable groups that may be at high risk of impoverishment. This may include those without legal title to land or other assets, households headed by females, the elderly or disabled and other vulnerable groups, particularly indigenous peoples. Appropriate assistance must be provided to help them improve their socio-economic status.

(x) The full resettlement costs are to be included in the presentation of project costs and

benefits.

C. Comparison of Borrower’s Policy with NKUSIP RF

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11. The National Policy on Resettlement and Rehabilitation (NPRR) represents a significant milestone in the development of a systematic approach to address resettlement issues in India. LAA, 1894 however gives directives for acquisition of land in public interest and provides benefits only to titleholders. Table 1 presents features of LAA and NPRR vis-a-vis NKUSIP RF, which is consistent with ADB’s IR Policy.

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Table 1: Comparison between the LAA, NPRR and NKUSIP RF Sr. No.

ADB IR Policy Requirements LAA NPRR Remarks Compliance of proposed RF with ADB’s IR Policy

1 Involuntary resettlement should be avoided where feasible

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LAA is applicable wherever private land is to be acquired by Government for a public purpose.

This is addressed in the RF Principles and Entitlements item (i). This is addressed during selection of sites for sub-project components in all 25 towns. The sites having minimum negative impacts were selected.

2 Where population displacement is unavoidable, it should be minimized by exploring all viable project options r a

- This is addressed in the RF Principles and Entitlements item (ii). This is undertaken in finalizing sites. Economical engineering options involving minimum land acquisition were selected.

3 People unavoidably displaced should be compensated and assisted, so that their economic and social future would be generally as favorable as it would have been in the absence of the Investment Program

r r

Broad categories of APs and compensation for each are predefined in the NPRR. NPRR indicates provisions for better living standard for APs, however it does not provide scope for dealing with finer issues of resettlement because of predefined categories and compensation packages. Compensating APs without having formal title to land is also not clearly mentioned. Under NPRR “project affected family” means a family/person whose place of residence or other properties or source of livelihood are substantially affected by the process of acquisition of land for the project and who has been residing continuously for a period of not less then three years preceding the date of declaration of the affected zone or practicing any trade, occupation or vocation continuously for a period of not less than three years in the affected zone, preceding the date of declaration of the affected zone. NPRR extends benefits based on the

This is addressed in the RF Principles and Entitlements item (iii). The Entitlement Matrix in this RF provides for compensation for all APs, irrespective of a formal title. The Entitlement Matrix provides for various categories of APs.

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Sr. No.


above mentioned definition. According to the NPRR, RP should be prepared only when it involves resettlement of more than 500 families (roughly about 2,500 persons) in plain areas and 250 families (roughly about 1,250 people) in hilly areas, Desert Development Program (DDP) blocks, areas mentioned in Schedule V and Schedule VI of the Constitution of India. The NPRR’s concept of replacement cost is not clearly defined. However, the NPRR does consider various compensation packages to substitute the losses of APs.

According to the ADB’s IR policy a full RP is required when 200 or more people will experience major impacts. A Short RP is required when resettlement is insignificant (less than 200 people will experience major impacts). This categorization is used in the RF, used in preparing sample RPs and will be used during finalization of RPs for all subprojects. Under NKUSIP, APs will be compensated with the replacement cost of the land/property

4 People affected should be informed fully and consulted on resettlement and compensation options

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LAA recognizes only titleholders, who are to be notified prior to acquisition.

This is addressed in the RF Principles and Entitlements item (v).

5 Existing social and cultural institutions of resettlers and their hosts should be supported and used to the greatest extent possible, and resettlers should be integrated economically and socially into host communities

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This is addressed in the RF Principles and Entitlements item (vi).

6 The absence of a formal legal title to land by some affected groups should not be a bar to compensation; particular attention should be paid to households headed by women and other vulnerable groups, such as indigenous peoples and ethnic

r r

LAA provides compensation to only those affected people having legal title to the land. Under NPRR, AP gets compensation only if he is occupying the land/property, proposed for acquisition for more than three years.

This is addressed in the RF Principles and Entitlements item (vii and ix). The Entitlement Matrix has special provisions for vulnerable APs in all loss categories. An IPDF has been developed to address the impacts on indigenous people.

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Sr. No.


minorities, and appropriate assistance provided to help them improve their status

7 As far as possible, involuntary resettlement should be conceived and executed as a part of the Investment Program

r a

LAA does not provide for resettlement. However, it specifies the time limit for acquisition, though the project / program for which it is conceived need not necessarily be time-bound.

This is addressed in the RF Principles and Entitlements item (iv). and Section IV on Resettlement Plan Preparation.

8 The full costs of resettlement and compensation should be included in the presentation of project costs and benefits

r a

-

This is addressed in the RF Principles and Entitlements item (x). This is addressed in the NKUSIP Investment Program Cost, where a provision is made for resettlement costs.

9 Costs of resettlement and compensation may be considered for inclusion in Bank loan financing for the Investment Program

r a

-

For NKUSIP the cost of resettlement and compensation is covered by Government counterpart financing.

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III. RESETTLEMENT FRAMEWORK PRINCIPLES AND ENTITLEMENTS 12. The NKUSIP Resettlement Framework (RF) adopts the following resettlement principles:

(i) Resettlement impacts of each sub-project will be avoided or minimized, exploring all viable alternative sub-project designs;

(ii) Where the resettlement impacts are unavoidable, time-bound Resettlement Plans

shall be prepared and APs shall be assisted in improving or at least regaining their standard of living;

(iii) AP participation will be ensured in the planning and implementing sub-project, and

resettlement information will be disclosed to all of them; (iv) Vulnerable groups including households headed by women, the elderly or disabled,

and indigenous groups and those without legal title to land and property will be given special assistance to help them improve their socio-economic status;

(v) All lost assets acquired or affected will be compensated; compensation is based on

the principle of replacement cost; (vi) The APs need to be provided with sufficient resources to re-establish their

livelihoods and homes with time bound action in co-ordination with civil works; (vii) APs are to be assisted to integrate economically and socially into host communities

so that adverse impacts on the host communities are minimized and social harmony is promoted; and

(viii) The absence of formal title to land is not a bar to policy entitlements.

13. Sub-projects to which the Framework will be applied would broadly have three types of resettlement impacts that will require mitigation measures. The types of impacts are (i) loss of assets, including land and houses; (ii) loss of livelihood or income opportunities; and (iii) collective impacts on groups, such as loss of common property resources and loss of access or limited access to such resources. 14. Displacement under the sub-project will be limited to the area required for the sub-project. Within this area, there cannot be any structures or other hindrances. Every effort should be made during sub-project design and preparation to minimize acquisition of land and other assets and to reduce negative socio-economic impacts. The structures/assets falling outside this are would as far as possible be left undisturbed. 15. Entitlements. The Entitlement Matrix provides guidance for compensation, resettlement, and rehabilitation assistance planning. The Entitlement Matrix lists various types of losses, identification/eligibility and entitlements and provides basic parameters for preparation of compensation and resettlement benefits.

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Table 2: Entitlement Matrix4 Sl

No. Type of

Loss Application Definition of

Entitled Person

Compensation Policy Implementation Issues Responsible Agency

1 Loss of private land

Homestead land, agricultural land, or vacant plot

Owner(s) with legal title

1. Replacement/market value of land or land-for-land where feasible (including compensation for non-viable residual portions).

2. Subsistence allowance5 based on three months minimum wage rates.

3. Free transport facility or shifting assistance6; 4. Provision of all fees, taxes, and other charges

(registration, etc.) incurred for replacement land.

5. Additional compensation for vulnerable7 households (Item 7).

If land-for-land is offered, ownership will be in the name of original landowner(s).8

Charges will be limited to those for land purchased within a year of compensation payment and for land of equivalent size.

Vulnerable households will be identified during the census conducted as a part of the RP.

DLVC9 will determine replacement value. ULB will confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, determine shifting assistance, verify all charges, and identify vulnerable households.

4 Entitlement Matrix defines following terms as Subsistence Allowance: Subsistence allowance may be described as a transitional allowance which will be offered to all those APs whose livelihood is getting affected due to sub-project

and which AP may utilize/consume till he/she finds another source of livelihood. The subsistence allowance will be decided based on minimum wage rates (refer Annex F on Minimum Wages in Karnataka) and will be paid for a maximum period of three months within which AP can look for another source of livelihood. In case of vulnerable households, the subsistence allowance for three months will be supplemented by livelihoods related skill training.

Shifting Assistance: Shifting Assistance will be provided to APs to move from place proposed for acquisition to new place decided by AP. The shifting assistance will be decided depending upon the quantum of material/assets to be shifted and the distance. ULB may provide free transport facility for this.

5 Subsistence allowance is a transitional allowance for APs provided for utilization/consumption until an alternate source of livelihood is obtained. 6 Shifting assistance will be a one time payment decided based on the amount of material/assets to be shifted and the distance. Alternatively the ULB may provide free transport facilities. 7 Vulnerable household comprise female-headed household, disabled-headed household, indigenous person-headed households and Below Poverty Line households. 8 Joint ownership in the name of husband and wife will be offered in case of non-female-headed households. 9 The District Level Valuation Committee (DLVC) chaired by the Deputy Commissioner will be responsible for determining the Replacement Value of land and structures. Other members

of the DLVC shall comprise the Land Acquisition Officer of the Investment Program Management Unit (IPMU), the ULB’s Resettlement Officer, representative of the Affected Persons, and the implementing NGO.

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Sl No.

Type of Loss

Application Definition of Entitled Person


1-a Loss of private land


Tenants and leaseholders

1. Subsistence allowance based on three months of land rental.

2. Additional compensation for vulnerable households (Item 7).

• Land owners will reimburse tenants and leaseholders land rental deposit or unexpired lease.

• Vulnerable households will be identified during the census conducted as a part of the RP.

ULB will confirm land rental and ensure tenants and leaseholders receive reimbursement for land rental deposit or unexpired lease. ULB will identify vulnerable households.

1-b Loss of private land


Share cropper 1. Notice to harvest standing seasonal crops. 2. If notice for harvest cannot be given,

compensation for share of crops will be provided (Item 6).


Harvesting prior to acquisition will be accommodated to the extent possible.

Work schedule will avoid harvest season.


ULB will ensure provision of notice. DLVC will request relevant Departments (Item 6) to undertake crop valuation. ULB will identify vulnerable households.

1-c Loss of private land


Encroachers

1. 60 days advance notice to shift from encroached land.


o Vulnerable households will be identified during the census conducted as a part of the RP.

ULB will ensure provision of notice. ULB will identify vulnerable households.

1-d Loss of private land


Squatters

1. 60 days advance notice to shift from occupied land.


o Vulnerable households will be identified during the census conducted as a part of the RP.


2 Loss of Government

Homestead land,

Fixed-term leaseholder

1. Subsistence allowance based on three months of land rental.

Vulnerable households will be identified during the census conducted as a part of the

ULB will confirm land rental.

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Sl No.

Type of Loss



land agricultural land, or vacant plot

2. Reimbursement of unexpired lease. 3. Additional compensation for vulnerable

households (Item 7).

RP ULB will identify vulnerable households.

2-a Loss of Government land


Encroachers and squatters

1. 60 days advance notice to shift from encroached land.


Vulnerable households will be identified during the census conducted as a part of the RP


3 Loss of residential structure

Residential structure and other assets10

Owner(s) of residential structures with legal title

1. Replacement value of structure and other assets (or part of structure and other assets if remainder is viable).

2. Free transport facility or shifting assistance. 3. All fees, taxes and other charges

(registration, etc.) incurred for replacement structure.

4. Rights to salvage material from structure and other assets.

5. Subsistence allowance based on three months minimum wage rates.



DLVC will determine replacement value based on the BSR.11

ULB will determine shifting assistance, verify all charges, confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, and identify vulnerable households.

3-a Loss of residential structure

Residential structure and other assets

Tenants and leaseholders

1. Replacement value of structure and other assets (or part of structure and other assets if remainder is viable) constructed by the AP.


(registration, etc.) incurred for replacement


Structure owners will reimburse tenants and leaseholders rental deposit or unexpired lease.

DLVC will determine replacement value based on the BSR. ULB will determine shifting assistance,

10 Other assets includes but is not limited to walls and fences, sheds, and wells. 11 Basic Schedule of Rates are rates for civil works determined by the Public Works Department, Government of Karnataka and revised on an annual basis.

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Sl No.

Type of Loss



structure. 4. Rights to salvage material from structure and

other assets constructed by the AP. 5. Subsistence allowance based on three months

minimum wage rates. 6. Additional compensation for vulnerable


verify all charges, confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, identify vulnerable households, and ensure tenants and leaseholders receive reimbursement for rental deposit or unexpired lease.

3-b Loss of

residential structure

Residential structure and other assets





4. Rights to salvage material from structure and other assets constructed by the AP.




DLVC will determine replacement value based on the BSR.

ULB will determine shifting assistance, verify all charges, confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, and identify vulnerable households.

4 Loss of commercial structure

Commercial structure and other assets

Owner(s) of commercial structure with legal title

1. Replacement value of structure and other assets (or part of structure and other assets if remainder is viable).





ULB will determine shifting assistance, verify all charges,

16

Sl No.

Type of Loss



4. Rights to salvage material from structure and other assets.



confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, and identify vulnerable households.

4-a Loss of commercial structure


Tenants and Leaseholders




4. Rights to salvage material from structure and other assets constructed by the AP.

5. Subsistence allowance for three months based on minimum wage rates.



DLVC will determine replacement value based on the BSR. ULB will determine shifting assistance, verify all charges, confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, identify vulnerable households, and ensure tenants and leaseholders receive reimbursement for rental deposit or unexpired lease.

4-b Loss of commercial structure






4. Rights to salvage material from structure and



ULB will determine shifting assistance, verify all charges, confirm minimum wage

17

Sl No.

Type of Loss



other assets constructed by the AP. 5. Subsistence allowance based on three months

minimum wage rates. 6. Additional compensation for vulnerable


rates during detailed socio-economic surveys conducted as part of the RP, and identify vulnerable households.

5 Loss of Livelihood

Livelihood Business owner, tenant, leaseholder, or employee/ agricultural worker

1. Assistance for lost income based on three months minimum wage rates.



ULB will confirm minimum wage rates during detailed socio-economic surveys conducted as part of the RP, and through NGOs will determine assistance for loss of business, and will identify vulnerable households.

6 Loss of trees and crops

Standing trees and crop

Owner/ farmer with legal title, tenants, leaseholders, sharecroppers, encroachers or squatters

1. Notice to harvest standing seasonal crops. 2. If notice cannot be provided, compensation

for standing crop (or share of crop for sharecroppers) at market value.

3. Compensation for perennial crops and fruit bearing trees at annual net product market value multiplied by remaining productive years.

4. Compensation for non-fruit trees at market value of timber.

5. Subsistence allowance for one cropping cycle in case of seasonal crops.

Harvesting prior to acquisition will be accommodated to the extent possible

Work schedules will avoid harvest season.

Market value of trees/crops has to be determined.

ULB will ensure provision of notice. DLVC will request the Departments of Agriculture, Forest, and Horticulture to undertake valuation of standing crops, perennial crops and trees. DLVC will finalize compensation rates in consultation with APs.

7 Impacts on All impacts Vulnerable 1. Land. Further to Item 1, in case of loss of Vulnerable households will be identified ULB will identify

18

Sl No.

Type of Loss



Vulnerable APs12

APs private land, land-for-land compensation if feasible/available.

2. Residential Structure. Further to Item 3, in case of loss of residential structure, subsistence allowance for three months based on minimum wage rates, and skill training for vulnerable households.

3. Commercial Structure. Further to Item 4, in case of loss of commercial structure, subsistence allowance based on three months minimum wage rates, and skill training for vulnerable households including assistance up to a maximum limit of Rs.30,000 for purchase of income generating assets.

4. Livelihood. Vulnerable households will be prioritized in Investment Program employment. Skills training and subsistence allowance based on three months minimum wage rates to augment current livelihood. Assistance up to a maximum limit of Rs.30,000 for purchase of income generating assets.13

during the census conducted as a part of the RP.

If land-for-land is offered, ownership in the name of original landowner(s).

vulnerable households, confirm minimum wages, and through NGOs will determine assistance for loss of business.

8 Temporary loss of land

Land temporarily required for project activities

Owner(s) with legal title, tenants, leaseholders, sharecroppers, employee/agr

1. 60 days advance notice 2. Provision of land and structure rental value

during the duration of temporary acquisition 3. Compensate any lost income during

temporary acquisition based on minimum wage rates.

- DLVC will determine rental value and duration of lost income though survey and consultation with APs. ULB will confirm

12 Vulnerable household comprise female-headed household, disabled-headed household, indigenous person-headed households and Below Poverty Line households. 13 NGO will assist the ULB in beneficiary identification, purchasing income generating assets etc. Examples of income generating assets are tools for carpenters or mechanics, sewing

machines for tailors etc., which would be AP-specific.

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Sl No.

Type of Loss



icultural workers, encroachers or squatters.

minimum wage.

9 Temporary disruption of livelihood

Commercial and agricultural activities

Owners, tenants, leaseholders, sharecroppers, employee/agricultural workers, hawkers or vendors.

1. Provision of alternative sites for hawkers and vendors for continued economic activity will be part of Investment Program design where possible.

2. In case alternative sites cannot be provided, allowance based on minimum wage rate will be provided.

3. Free transport facility or shifting assistance. 4. Compensation for agricultural losses (Item

6).

During construction, the ULB will identify alternative temporary sites for vendors and hawkers to continue economic activity.

ULB and IPMU will ensure civil works will be phased to minimize disruption

ULB will identify alternative sites for economic activity, and will confirm minimum wage.

10 Loss and temporary impacts on common resources

Loss or disruption to common resources

Community or local body

1. Replacement or restoration of affected community facilities such as public water pumps, sanitation and drainage facilities, schools, hospitals, temples and shrines, and cultural resources.

2. Enhancement of community resources.

- ULB, IIPMU and Contractor.

11 Any other loss not identified

- - 1. Unanticipated involuntary impacts shall be documented and mitigated based on the principles provided in the ADB IR Policy.

- ULB

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IV. RESETTLEMENT PLAN (RP) PREPARATION

A. Surveys 16. For proper rehabilitation of APs, socioeconomic surveys will be undertaken in each sub-project. The socioeconomic surveys will be based on preliminary technical designs of the sub-project (which may include any or a combination of the following: water supply, sanitation and sewerage, drainage, solid waste management and road improvement) identified. The socioeconomic surveys will help in determining the magnitude of displacement, prospective losses, better targeting of vulnerable groups, ascertaining actual costs of resettlement, preparing and implementing a rehabilitation program. The methodology for conducting socioeconomic surveys and database management (to be used for Resettlement Plan preparation) is indicated in Annex C. The socioeconomic surveys shall comprise:

(i) Census. The purpose of the census is to register and document the status of the potentially affected population14 within the Investment Program area. The census shall cover 100 percent of the Affected Persons. The census will provide a demographic overview of the population, and will cover people’s assets and main sources of livelihood.

(ii) Baseline Socio-economic Sample Survey. The purpose of the baseline socio-

economic sample survey is for establishing monitoring and evaluation parameters and is used as a benchmark for monitoring the socio-economic status of APs. The survey shall cover 10 percent APs and 20 percent Significantly Affected Persons15. The survey will collect the gender disaggregated data to address gender issues in resettlement. The survey shall carry out the following (i) preparation of accurate maps of the sub-project area and update the same; and (ii) analysis of social structures and income resources of the population.

B. Formulation of Resettlement Plan 17. The Resettlement Plan (RP) will be prepared based on the results of the census and from information drawn from the baseline socio-economic sample survey; the database on APs should be complete before RP preparation. The RP preparation will be governed by the involuntary resettlement impacts identified during the census, and shall be based on the following criteria:

• If involuntary resettlement impacts are found to be “significant,”16 a full RP will be 14 The identification of encroachers and squatters, in case they do not possess ration cards, would be sought from voters’

list, or from any other legal documents or information from the community. In the absence of any supporting legal documents, findings of the census shall be relied upon.

15 A significant loss is defined in ADB OM Section F2/OP as being physically displaced from housing and losing 10 percent or more of their productive assets (income-generating).

16 According to ADB’s Operational Manual Operational Procedures (OP), Involuntary Resettlement (para 19,20,21, page 5; Oct 2003) Investment Programs are assigned an involuntary resettlement category depending on the significance of the probable involuntary resettlement impacts. The categories include (a) Involuntary Resettlement Category A (Significant): means 200 or more people will experience major impacts, which are defined as (i) being physically displaced from housing, or (ii) losing 10% or more of their productive assets (income generating). Category A

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prepared for the sub-project in consultation with APs. The EA and ADB will approve its final version before the award of contracts; and

• If involuntary resettlement impacts are not significant, a short RP will be prepared for

the sub-project in consultation with APs. Initial three RPs will be sent to ADB for approval, while IPMU of EA will be authorized to approve the remaining RPs.

18. The RP will be prepared by the ULB with assistance from the project management unit (IIPMU) through Investment Program consultants (PC), if necessary, and in consultation with APs, local representatives, and NGOs. The PC’s team should include an expert resettlement specialist familiar with ADB policy and procedures for preparation of the RP (IPMU will finance PC payments and the selection and appointment of the PC will be based on ADB guidelines). 19. The RP shall be brought to the notice of the APs and host communities, with the help of a local NGO (appointed by the IPMU for Community Development and Participation activities), representative for their suggestions. The RP will be prepared in the local language (Kannada), if not, translated and notified to the public, by posters and/or resettlement booklets. The completed RP will include the census of AP, and their entitlements to restore losses, institutional mechanisms and schedules, budgets, assessment of feasible income restoration mechanisms, avenues for grievance redressal, and participatory results monitoring mechanism. The RP should be broadly structured in the following manner:

• Scope of Land Acquisition and Resettlement • Socio-economic information • Objectives, Policy Framework, and Entitlements • Gender Impact and Mitigative Measures • Information Dissemination, Consultation, Participatory Approaches and Disclosure

Requirements • Grievance Redress Mechanisms • Relocation of Housing and Settlement • Compensation, Relocation, and Income Restoration • Institutional Framework • Resettlement Budget and Financing • Implementation Schedule • Monitoring and Evaluation Procedures

C. Gender Impacts and Mitigation Measures 20. The RP will formulate the measures to ensure that socio-economic conditions, needs and priorities of women are identified and the process of land acquisition and resettlement does not disadvantage women. Gender disaggregated data will be collected during detailed surveys and separate women focus group discussions will be conducted to address specific women related issues under the sub-project. Any direct negative impact of the sub-project on woman-headed

Investment Programs require a full resettlement plan. Some of these Investment Programs may require a resettlement framework prior to the full resettlement plan; (b) Involuntary resettlement Category B (Not Significant): Category B Investment Programs include involuntary resettlement impacts that are not deemed significant and require a short resettlement plan. Some of these Investment Programs may require a resettlement framework prior to the short resettlement plan; and (c) Involuntary Resettlement Category C: No involuntary resettlement effects are foreseen in Category C Investment Programs. They require neither a resettlement plan nor a resettlement framework.

22

Household will be taken up on a case-to-case basis and rehabilitation of these Households will be treated as priority under the sub-project. During disbursement for rehabilitation assistance and compensation, priority will be given to woman-headed households. Joint ownership in the name of husband and wife will be offered in case of non-women headed households. The RP preparation and implementation mechanisms will ensure that gender impacts are adequately dealt with and mitigated (Refer Annex B).

V. CONSULTATION AND DISCLOSURE 21. Stakeholders are those who have a direct interest in project development, and who will be involved in the consultative process. For consultation and participation primary and secondary stakeholders will be identified.17 The following will be the major key stakeholders who will participate in consultations at various stages. Consultative process in preparation of RP will ensure stakeholders participation in planning, management, monitoring and evaluation.

(i) All Affected Persons (APs) and Households, Beneficiaries of the Investment Program, including representatives of Vulnerable Households;

(ii) Host population at planned resettlement site(s); (iii) Elected representatives, Community leaders of APs, representatives of CBOs; (iv) Investment Program Proponents (Designated staff of respective ULB); (v) Designated staff of Investment Program Management Unit (IPMU) of Executing

Agency (EA); (vi) Designated staff of Investment Program Consultants (PC) appointed by IPMU; (vii) DC / officials from DC’s office and local Revenue officials; (viii) Representatives of local NGOs; and (ix) Representatives of various government departments as invitees, if required

A. Consultation 22. The consultation process established for the sub-project will employ a range of formal and informal consultative methods including in-depth interviews with key informants, focus group discussions, meetings, and workshops. The consultation program would be conducted at several levels with (i) heads of households/members likely to be impacted; (ii) local voluntary organizations, community based organizations (CBOs)/non-governmental organizations (NGOs), Government agencies and Departments; (iii) major project stakeholders, such as women, tribal and ethnic communities; and (iv) State-level stakeholders. 23. Each RP will be prepared and implemented in close consultation with the stakeholders and will involve focus group discussion (FGD) and meetings, particularly with affected households. Census of households and individuals located within the project will be undertaken to register and document the status of potentially affected population within the project impact area. It will provide a demographic overview of the population served by the Resettlement Plan (RP) and profiles of household assets and main sources of livelihood. It will cover 100% of the

17 Primary stakeholders include Affected Persons, the Investment Program beneficiaries, the host populations at any

planned resettlement sites, and the Implementing Agency. Secondary stakeholders are other individuals or groups with interest in the Investment Program, and may include local or national government, policy makers, advocacy groups, elected officials, and NGOs.

23

potentially affected population within the project impact area. Guidelines and procedures for conducting the Census and managing the database are provided in Annex C. In addition, baseline socio-economic surveys will be conducted to take stock of resettlement impacts on APs. Consultations with APs during RP preparation will ensure that views of APs on compensation and rehabilitation measures are fully incorporated while consultations conducted during RP implementation will identify help required by APs during rehabilitation. 24. The effectiveness of resettlement and rehabilitation process is directly related to the degree of continuing involvement of those affected by the sub-project. The IPMU/ULB will ensure that APs and other stakeholders are informed and consulted about the sub-project, its impact, their entitlements and options, and allowed to participate actively in the development process. This will be done particularly in the case of vulnerable individuals and groups, who will be encouraged to choose options that entail the lowest risk. This exercise will be conducted throughout the sub-project life – during preparation, implementation, and monitoring of sub-project results and impacts. 25. Implementing NGOs will ensure that any views of the Affected Persons, particularly Vulnerable Persons, related to the resettlement process are looked into and addressed. The implementing NGO will ensure that groups and individuals consulted are informed about the outcome of the decision-making process, and confirm how their views were incorporated. Since resettlement and rehabilitation is a continuous process and a baseline data/information is available, the implementing NGO will update the baseline information as and when required.

B. Disclosure 26. Information will be disseminated to APs at various stages. In Investment Program initiation phase, the ULB will be responsible for issue of public notice to acquire particular land/property for sub-project component along with Investment Program information/details. The notice will be published in local newspapers, twice with week’s interval. The ULB staff along with local revenue officials/officials from DC’s office will also conduct meetings with APs in addition to the public notification to ensure that the information is given to all APs. 27. The Framework will be made available in local language(s) during public meetings at the EA, IA, ULB and implementing NGO offices. This will enable stakeholders to provide inputs on the resettlement process, prior to award of civil work contract. The summary of the RP will be disclosed on the Executing Agency/Karnataka Urban Infrastructure Development and Finance Corporation (KUIDFC) website and the consultation will continue throughout the sub-project implementation period. The consultation and dissemination process is detailed in Annex D. 28. An intensive information dissemination campaign for APs will be conducted by the ULB with assistance of the implementing NGO18 (Annex E for NGO Terms of Reference), at the outset of RP implementation. All the comments me by the APs will be documented in the Investment Program record and summarized in sub-project monitoring reports. Copies of the ADB Policy on Involuntary Resettlement and the RP will be made available, in both English and Kannada, at the ULB office for reference and study by the public.

18 Implementing NGOs (one per Investment Program town) are proposed to be engaged for five years out of the eight year

Investment Program period.

24

29. Comprehensive planning is required to assure that local government, NGOs, host population and project staff interacts regularly and purposefully in all stages of the project. AP involvement increases the probability of successful resettlement and rehabilitation. An intensive information dissemination campaign for APs should be conducted at the outset of RP implementation. The RP requires information disclosure at different stages and the Investment Program will need to have a continuous process of documenting people’s views. It will ensure that groups and individuals consulted are informed about the outcome of the decision-making process, also indicate how their views have been incorporated. The overall goal of the consultation program is to disseminate Investment Program information and to incorporate APs views in the Resettlement Plan. This campaign will be designed by the ULB and Investment Program Consultant and executed by the implementing NGO.`All the comments made by the APs will have to be documented in the Investment Program record and summarized in project monitoring reports.

25

Table 3: Summary of Consultations and Disclosure Activities Investment Program Phase

Activities Details Responsible Agency

Investment Program Initiation Phase

Mapping of the Investment Program Area

Investment Program area to be mapped, clearly showing survey nos of titleholders of land/property proposed for acquisition.

ULB in co-ordination with DC’s office and other local bodies (panchayats etc.)

Stakeholder Identification Cross-section of stakeholders to be identified in order to facilitate their participation in the project.

ULB along with officials from DC’s office.

Investment Program information dissemination; Disclosure of proposed land acquisition and project/Sub-project details

Leaflets containing information on project to be prepared. Public Notice will mention the names and survey no.s of titleholders of land/property proposed for acquisition along with project/Sub-project details. Notice will be issued in local newspapers. Web disclosure on EA’s website also proposed

ULB will approach Deputy Commissioner with required details and will be involved in information dissemination. ULB may seek the assistance of CAAP Consultants for leaflet preparation. Notice will be issued from the DC’s Office. EA to post notice on its website.

Stakeholder meetings Meetings at community / household level with titleholders of affected land/property and their family members during project scoping.

ULB, implementing NGO, and officials from DC’s office /local revenue officials will facilitate meetings to disclose the information to each AP.

RP Preparation Phase

Socioeconomic surveys Resettlement Framework will be made available in DC and ULB office, to be translated in local language

ULB/IPMU will ensure the availability of RF.

Formulating compensation measures and rehabilitation measures

Conducting discussions/ meetings/ workshops with all APs and other stakeholders

ULB/IPMU and implementing NGO will conduct all required discussions/ meetings/ workshops and will invite all secondary stakeholders19. PC will provide required necessary information about

19 Stakeholders are individuals or groups with interest in the Investment Program, such as local or national government, policy makers, advocacy groups, elected officials, and NGOs.

26

Investment Program Phase

Activities Details Responsible Agency

the Investment Program, its impacts on APs drawn from SOCIOECONOMIC surveys. PC will incorporate all suggestions/views given by APs and other stakeholders.

Disclosure of final entitlements and rehabilitation packages

Web Disclosure of the RP on the EA’s website. Circulating copies of RPs to all stakeholders including APs, translating summary RP in local language before conducting final disclosure meeting. Conducting public meetings for RP approval by APs

PC appointed by IPMU will undertake all activities related to circulation of RP. ULB/IPMU will arrange public meeting of all stakeholders with APs for RP approval. PC/implementing NGO will document all the comments and suggestions made by APs and will send it to IPMU along with RP.

RP Implementation Stage

Disclosing Final RP approved by ADB to all important stakeholders

Summary of Final RP, approved by ADB, to be updated / disclosed on the EA’s website Ensuring the availability of copy of approved RP and ADB IR policy at ULB and DC office

EA ULB/IPMU

Consultations with APs during rehabilitation activities

Meetings/Discussions will be arranged with APs Households to identify help required by APs during rehabilitation

Implementing NGO along with ULB will arrange required meetings/discussions Designated staff from IPMU will participate in the same while the Apex NGO appointed by IPMU will monitor consultation activities

27

VI. COMPLAINTS AND GRIEVANCE 30. Complaints and grievance procedures will be outlined in each RP. A Grievance Redressal Committee is proposed to be formed at the district-level20 to ensure that grievances are addressed in a timely manner, facilitating project implementation on schedule. GRC will have as its members representatives from APs, both titled and non-titled (ensuring representation of Vulnerable Households), a local government/ULB representative, Investment Program Officials – Deputy Investment Program Director and NKUSIP, and an NGO/ CBO representative). The Grievance Redressal Committee (GRC) will redress grievances at the local-level in a consultative manner and with the participation of the Affected Households, or their representatives and other members.21 The grievance redressal process is shown below in Figure 1 below. The first level of screening of grievances shall be undertaken by the implementing NGO and RO. Only major grievances shall be placed before the GRC. The GRC will determine the merit of each grievance and attempt to resolve the same within a month from the date of lodging of complaints, failing which the grievance shall be addressed to the Deputy Commissioner. The GRC shall forward grievances of serious nature immediately on receipt of complaint to the Deputy Commissioner. The DC will hear appeals against the decisions of GRC. The decision of DC is final and cannot be contested in any other forum except in the Courts of Law. The function of the Grievance Redressal Committee shall be:

(i) To support APs (particularly non-titled and vulnerable APs) on problems related to the eligibility for entitlements and assistance provided;

(ii) To record grievances from APs and to categorize, prioritize and solve them within

an appropriate time; (iii) To inform DC of serious and unresolved cases within an appropriate time frame;

and (iv) To inform the aggrieved parties the progress regarding their grievances and

decisions of IPMU.

31. All costs incurred in resolving the complaints will be borne by the ULB. In view of the fact that the GRC is at the district level, expenses incurred by members in attending the meetings will be covered by the Investment Program. The GRCs will continue to function during the life of the Investment Program.

20 The 25 NKUSIP towns fall under thirteen districts, hence thirteen GRCs are proposed to be formed. 21 GRC meetings will be convened as necessary to address complaints as they arise. The time and date of GRC meetings

will be announced to APs by the implementing NGO and RO a week in advance. To further ensure GRC accessibility to APs, the implementing NGO and RO will inform APs on grievance redressal procedures, the functions of the GRC, and how to access the GRC.

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Figure 1: Grievance Redressal Process

Affected Persons

Implementing NGO and RO

Deputy Commissioner

Grievance Addressed

GRC

Grievance Addressed

COURT

Not

Minor Grievances

Major Grievances

Not

Grievance Addressed

Not

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VII. COMPENSATION AND REHABILITATION

A. Compensation 32. Land acquisition and resettlement impacts of the Investment Program shall be compensated in accordance with NPRR and LAA and ADB IR Policy. Compensation for loss of land or assets shall be determined on the basis of Replacement Value. The procedure for determining replacement value is given below. 33. Replacement Value for Land. For determining the Replacement Value of the land, a District Level Valuation Committee (DLVC) will be constituted. The DLVC shall comprise:

• Deputy Commissioner; • Concerned Land Acquisition Officer ; • Accounts Officer of the Collectorate; • Resettlement Officer; • Officer nominated by the IPMU; • AP representatives; and • NGO/CBO representative

34. The DLVC will take recourse to systems of assessment described below:

(i) Taking into account the average of market value of land, prescribed by the Central Valuation Committee22 (CVC) under Karnataka Stamp Act and Karnataka Stamp Rules, 2003.

(ii) Taking into account such prescribed rates or the average of the actual transaction

rates of similar lands for last 2-3 years (This also refers to the actual transaction rates/compensation paid for similar lands, acquired by agencies such as housing boards and/or under recent ADB or World Bank Projects, if any).

(ii) For determining classification/current use of land, official records as they are on the

cut-off date shall be taken into consideration, and the record of Rights, Tenancy and Crops (RTC) shall be reviewed for confirmation of Affected Households; a land market survey23 will be carried out by the DLVC to ascertain prevailing market values of land. The prevailing market values, influenced by various factors such as location of land and connectivity, type of soil, crops grown, available irrigation and other facilities, etc. shall be ascertained on the basis of the survey.

Final Entitlements. The Replacement Value to be fixed by the District Level Valuation

Committee shall be the amount, which shall be the highest among all assessments

22 Central Valuation Committee constituted as per Section 45-B of Karnataka Stamp Act, 1957 and Rules made there

under to estimate the value of properties to curb under valuation of the properties. The Committee will publish valuation in all places for the information of public, after estimation of the value of properties.

23 If the remaining land after acquisition becomes unviable, the AP will have the right to seek acquisition of the entire holding/property.

30

described above.

35. Replacement Value for Immovable Property. For valuation of immovable properties, the following shall govern:

(i) Houses and Buildings. The value of the houses, buildings and other immovable

properties of the APs shall be determined for the purpose of payment of compensation at the relevant Basic Schedule of Rates (BSR)24 published by GoK.

(ii) Trees. Compensation for trees will also be based on their market value in case of

timber bearing trees and Replacement Value in case of fruit bearing trees as per the rates decided by the ULB in consultation with Department of Agriculture, Forest, Horticulture, Sericulture, etc. as the case may be.

36. Other Assets. Compensation for the assets attached with land such as (wells, irrigation units, etc.) will be based on Replacement Value. DLVC shall estimate this through detailed market surveys. Affected Persons will be given right to take all movable assets attached with land, such as irrigation pump sets. 37. Compensation Payment and Title. Compensation shall be paid and resettlement of APs will be completed before taking possession of the land/properties and prior to the start of civil works. The APs shall hand over to the Government, land and properties acquired free from all encumbrances such as mortgage, debt, etc. However, in case of any loans, on such acquired land and properties given to the AP by any Government agency, remains unadjusted as per the information furnished by the AP or by the lending agency, then such amounts shall be deducted out of total compensation. The acquired land and properties shall vest in the ULB/Competent Authority paying compensation for such lands/properties. If the Competent Authority fails to pay decided compensation to APs within a year after the date of notification, additional amount by way of interest (12 percent) shall apply on final compensation payable to each AP, unless and except in cases where the AP has approached the judiciary for grievance redressal.

B. Income Restoration and Rehabilitation 38. Income restoration schemes will be designed in consultation with APs. Income restoration schemes will be tailored to the needs, capabilities and preferences of APs, and the absorptive capacity of the local economy. Updated RPs will provide details on the income restoration scheme specific to each subproject after detailed design and the identification of APs and their characteristics through the census, socio-economic survey, and consultations. The Strategy for Income Restoration will be prepared prior to land acquisition. 39. The Investment Program will provide APs with (i) subsistence/transitional allowance, and (ii) shifting assistance to restore the APs income in the very short-term. Beyond the very short-term, the Investment Program will restore the APs source of income prior to land acquisition, and/or increase existing sources of income. For rural and agriculture-dependent APs, livelihood restoration will first be based on replacement land to restore the APs source of income prior to land acquisition, and second improve agricultural productivity through providing access to

24 Unlike land rates, the BSR is revised and published every year and is adopted by Government Agencies to

determine the cost of civil works.

31

improved seed varieties, providing fertilizers, poulty and livestock vaccination, herd improvement, etc. 40. Longer term options depend on the characteristics of APs (age, educational attainment, access to work opportunities), and realistic employment or income earning opportunities. These will be derived from the detailed socio-economic survey information, census, and consultations conducted as a part of RP. The experience of NGOs in Karnataka show that particularly in rural areas, APs benefit most from agriculture-related skills training and the provision of small agricultural enterprises. The skills-training to be provided will focus on upgrading current skills, or providing skills related to current sources of income. This can be supplemented by the provision of income generating assets related to the skills training. It will be ensured by the implementing NGO that employment opportunities for skills being developed are available in the community prior to providing the skills training. The time frame shall be decided based on the training to be provided, which shall also be outlined in the RP. Implementing NGO will be responsible for assessing appropriate income restoration strategies, providing the required training, and providing market information for APs to benefit from the income restoration strategies. The implementing NGO will examine potential collaboration with SHGs, CBOs, local institutions etc. The RP budget shall reflect the cost of income restoration. The implementing NGO will also assess the benefits of AP access to Government schemes. If found beneficial, the EA will assist the implementing NGO in ensuring that APs will have access to such Government programs. Karnataka-based NGOs such as MYRADA have found such linkages advantageous. MYRADA has linked APs resettlement with skill training programs of the Industrial Training Institutes of Government of Karnataka and with dairying/poultry/agricultural extension programs of the Department of Agriculture, GoK. It should be noted that Government schemes will not substitute but instead supplement the income restoration strategy of the Investment Program. 41. Additional income restoration assistance will be provided to vulnerable households (defined as female/disabled headed household or IP/BPL households) consistent with the RF’s entitlement matrix. Vulnerable households will be prioritized in project employment. An additional subsistence allowance based on three months minimum wage rates to augment current livelihood. Assistance up to a maximum limit of Rs.30,000 will be provided for the purchase of income generating assets. The implementing NGO will assist the ULB in beneficiary identification and, purchasing income generating assets. Examples of income generating assets are tools for carpenters or mechanics, and sewing machines for tailors, which would be AP-specific. One member of each affected, vulnerable household who has the capacity and willingness to acquire a new set of skills would be eligible for skills training. The idea is to ensure that vulnerable households are not unfairly disadvantaged as a result of project intervention. A Detailed Training Plan will be prepared during design stage, once the vulnerable population affected by each sub-project component is identified and training needs assessment conducted. 42. Past efforts in skill training in Karnataka under ADB-funded KUIDP I and KUDCEMP have been referred, prior to formulation of recommendations on training. A list of potential training resources and institutions is also suggested, which may be drawn upon. 43. The EA/KUIDFC has demonstrated the capacity to conduct skill training programs for the poor and vulnerable in the two previous ADB-funded urban projects in Karnataka through local/city-level NGOs.

32

44. Objective. The objective of skill training would be to provide increased access to marketable skills and other support services e.g. micro-enterprise and/or agri-business development and micro-finance to the project-affected vulnerable population. 45. Key Steps and Institutional Responsibilities. Key steps to be undertaken in livelihood skill training of vulnerable households and responsibilities of agencies involved would be as follows:

(i) Identification of affected, vulnerable households through the Census Surveys of affected population, a responsibility of the ULB.

(ii) Identification of potential trainees and training needs assessment for vulnerable

households, which would require a detailed survey and assessment of the literacy / educational level and / or skill sets available with one member nominated by the household for skill training. The needs assessment would also document income from various sources, assets, resources and coping strategies currently used by the household. The strategy would aim at improving / maximizing returns from the present occupation of the principal earning member or taking up a new / supplementary occupation aimed at achieving the right mix of activities in order to enable the household to improve / maintain its living standards. Training needs assessment would be undertaken by the local NGO in each town. Baseline details collected for individual households need to be carefully preserved in order to enable a post-training impact assessment.

(iii) Identification of Local Trainers / Resource Persons or Training Institutes by the

NGOs appointed in each town. This would depend on the type of skill training required (as identified through the needs assessment survey). Parallely, it would be important to identify micro-credit opportunities in the area as well.

(iv) Livelihood Skill Training as well as training in budgeting / accounting, micro-

enterprise development training as well as micro-finance / revolving fund management training would be coordinated by the local NGO. Training to suit the aptitude of identified trainees would be imparted. It is recommended that as far as possible, basic skill training sessions are held close to the place of residence of the trainee so that commuting costs are low. Should local educational institutes be involved, especially in technical skill training requiring the use / demonstration of instruments / equipment, sessions may be conducted in the said institutes. Alternately, equipment may be hired for the purpose of training. Micro-enterprise development / micro-finance training may be conducted at local institutes / other venues as well. Visits to successful SHGs within the project town may be arranged to promote cross-learning. A time frame of a maximum of three months is envisaged per town for training.

(v) Internal monitoring of training and submission of progress reports by local NGOs

and independent monitoring of training by the Apex NGO.

(vi) Special assistance for Purchase of Equipment / Material: Each affected, vulnerable household is eligible for this support. Purchase shall be undertaken by the ULB, seeking the help of the local NGO, if required. Under this special assistance, implements / equipment like carpentry/plumbing tools etc. as well as

33

raw material for a trade (enough to service the trade for a minimum of two months, subject to a maximum of Rs. 30,000 per beneficiary) may be purchased. This is expected to support livelihood sustainability and ensure the usefulness of training.

(vii) Post-training Impact Assessment is proposed to be conducted by an independent

agency, a year after project implementation. The apex NGO would monitor this activity. The household asset base and socio-economic status would be compared with the pre-project scenario. Some of the indicators that may be assessed are: • Percentage of trainees reporting that training has had a positive impact on their

livelihood/household coping strategy • Percentage increase in household incomes, diversification of asset base,

presence of consumer durables before and after training • Number of SHGs formed and capital generated; percentage membership from

vulnerable households • Number of micro-enterprises developed and their volume of business • Percentage women beneficiaries

Further indicators may be developed and / or the above indicators modified during detailed

design stage. 46. Suitable trainers / local resources would be identified by the local NGO, seeking the assistance of local / regional training institutes or the apex NGO, if required. The following institutes / entities may be consulted by the local NGO:

• Industrial Training Institutes • All India Institute for Local Self Government (AIILSG), Belgaum • Institute for Social and Economic Change, Bangalore • Existing Self Help Groups in project towns (which may have set up micro-

enterprises) • Apex NGO / large NGOs with a presence in North Karnataka who are involved

in micro-finance, e.g.: (i) Development Alternatives, Bangalore (ii) Action Aid, Bangalore (iii) MYRADA, Bangalore

47. A maximum of 375 person-months of training is envisaged. The number of person-months would vary, depending on the actual number of identified vulnerable households impacted by resettlement under NKUSIP. Trainers would have to be selected on the basis of their experience and skill sets in relevant fields. 48. Training would be organized by the local NGO during non-working hours (evenings or weekly holidays) in order to avoid loss of income by vulnerable households. Types of skill training programs suggested are:

(i) Skill development programs, which may include but not be limited to tailoring, carpentry, plumbing, masonry, gardening, security / courier services, computer literacy / data entry, telephone / motor repairs, driving, housekeeping, cooking and food preservation, preparation of mixtures of spices etc.;

34

(ii) Business / Micro-finance training: Budgeting and accounting, business planning,

marketing of products, micro-enterprise development, micro-financing; (iii) Refresher courses / skill upgradation courses for various vocations already being

practiced.

C. Budget for Income Restoration 49. An estimated Rs. 17.5 million (roughly US $ 390,000) is required for training and special assistance for purchase of equipment, raw material and goods for vulnerable households adversely impacted by the Investment Program.

Table 4: Estimated Budget for Training & Related Activities Item Amount in

Rs. Training Needs Assessment Surveys 500,000Training Expenses (trainers, equipment hire, venue, miscellaneous expenses) 7,500,000Purchase of Equipment / Raw Material / Goods 7,500,000Seed Money for Income Generation activities 1,500,000Training Impact Assessment Survey 500,000Total 17,500,000Note: Training expenses are based on assumptions regarding the maximum number of person-months of trainer inputs.

VIII. INSTITUTIONAL ARRANGEMENTS AND RESPONSIBILITIES 50. Karnataka Urban Infrastructure Development & Finance Corporation (KUIDFC) is the nodal executing agency (EA) responsible for implementing NKUSIP. KUIDFC is a fully owned GoK company incorporated under the Companies Act, 1956. It is already handling projects funded by multilateral financial institutions (MFIs) and is fully aware of MFI’s financial management, accounting, reporting and disbursement policies and procedures. KUIDFC has recently completed ADB funded Karnataka Urban Infrastructure Development Project (KUIDP) and implementing Karnataka Urban Development for Coastal Environmental Project (KUDCEMP) based on similar principles as of NKUSIP. The Investment Program ULBs and other government departments also have knowledge of ADB’s and other MFI’s working procedures to undertake and implement Investment Program such as NKUSIP. EA along with IAs will ensure that the agencies involved/appointed for RP preparation and implementation have thorough understanding of the subject and knowledge of ADB’s policies/guidelines. The EA, KUIDFC, has demonstrated the capacity to implement social safeguard policies in its earlier ADB-funded projects. KUIDFC has a Social and Community Development Officer, who is a qualified sociologist. KUIDFC was extensively involved in coordinating and monitoring community development activities and resettlement implementation across project towns in the previous ADB projects. 51. The Implementing Agencies (IAs) will be: Investment Program ULBs; Karnataka Urban Slum Clearance Board; Directorate of Municipal Administration; Department of Information,

35

Tourism and Youth Services; Karnataka State Fire and Emergency Services; Lake Development Authority; the Karnataka Urban Water Supply & Drainage Board; and KUIDFC itself. 52. The responsibilities of the Implementation Agency (IA) shall include:

(i) Carrying out detailed surveys, investigations and engineering designs of sub-project components;

(ii) Tendering, evaluating bids and awarding works, contract administration, supervision and quality control;

(iii) Measuring works carried out by the contractors and certifying payments; (iv) Conducting public awareness campaigns and participation programs; (v) Carrying out environmental and social assessments, and implementing

Environmental Management Plans and Resettlement Plans; and (vi) Preparing monthly physical and financial progress reports.

53. The ULB will prepare the RP with assistance from the IPMU in the form of Investment Program Consultants. Subsequently, the implementing NGOs will assist the ULB in implementing the RP. The requirement and functions of each agency/organization and individual in the land acquisition and resettlement process is summarized below:

(i) Investment Program Management Unit. Investment Program implementation activities will be monitored by KUIDFC through a separate Investment Program Management Unit (IPMU) located at Dharwad and under the direct control of Karnataka Urban Infrastructure Development and Finance Corporation (KUIDFC). The Managing Director/KUIDFC will head the IPMU and he/she will be assisted by a Joint Managing Director (at KUIDFC, Bangalore) and an Executive Director (at Dharwad) to oversee the Investment Program progress. A team of senior technical, administrative and financial officials recruited from the market will assist the Executive Director in controlling and monitoring Investment Program implementation activities. The Executive Director, operating from IPMU, Dharwad, will make all Investment Program decisions; only interactions with GoK, GoI and ADB shall be conducted through the KUIDFC office at Bangalore.

(ii) Apex NGO. An Apex NGO will be appointed to monitor and evaluate (i)

community development and poverty alleviation works; (ii) implementation of Resettlement Plan by local-NGOs; and (iii) implementation of Indigenous People’s Development Plan by local-NGOs. The Apex NGO will be responsible to the IPMU at Dharwad. The Apex NGO is involved in transfer of knowledge and skills to smaller NGOs and monitoring of their work. The model allows outsourcing of activities from government departments, promotes transparency and brings in good expertise, without placing a burden on the State exchequer post-implementation. Selection of the Apex NGO will be subject to selection from a shortlist of organizations available with GoK. Interviews with Karnataka-based NGOs show that suitably experienced and resourced potential Apex NGOs, during Investment Program implementation, non Karnataka-based NGOs will also be considered.

(iii) Community Awareness and Participation Program (CAPP). In order to ensure

awareness of citizens on the Investment Program and its benefits and the costs incurred by ULBs in providing basic services and the need to support ULB reforms,

36

an Information, Education and Communication (IEC) strategy is proposed at the town-level. This will target all citizens and will focus on women members of households. For this purpose, an NGO may be appointed for Community Awareness and Participation Program (CAPP), acting as Public Awareness Consultants, who will prepare and implement a communications strategy. Women’s NGOs like Inner Wheel Club and Lioness’ Clubs are prospective organizations who may be involved in these activities.

(iv) Special Land Acquisition Officer. The IPMU will ensure that the land acquisition

and rehabilitation processes followed under the Investment Program comply with ADB’s IR Policy. A Special Land Acquisition Officer (Revenue Department) at the IPMU will monitor the process. Regular/monthly progress reports on the process will be made available to IPMU and all due diligence carried out in this regard will be reported to the ADB for its review.

(v) Divisional Offices. KUIDFC will establish Divisional Offices (DOs) at two

locations (preferably in Bellary and Gulbarga) within the Investment Program area to oversee Investment Program implementation. Deputy Project Directors (DPD) will head the Divisional Office (with one DD stationed at Dharwad to manage Investment Program towns within the region covered by the Dharwad Office). The DOs will be responsible for Investment Program planning, preparation of sub-project plans and estimates, coordination, technical guidance and supervision, financial control, training, and overall sub-project monitoring.

(vi) Land Acquisition Officers. Given the geographic spread and the need for overseeing

LA and Resettlement in the Investment Program towns, provision is made for a Land Acquisition Officer at the Divisional Offices of the Investment Program. The Land Acquisition Officer will provide support in coordinating between various Central/State Line Departments during Investment Program implementation; the LA Officer will also be present in the DLVC.

(vii) Resettlement Officers. Currently, the ULBs do not have in-house staff to undertake

resettlement activities. Hence, under NKUSIP provision is made for recruiting/deputing staff to the ULBs to undertake land acquisition and resettlement activities. The Resettlement Officer at the ULB will be responsible for LA and Resettlement activities under the Investment Program. The Resettlement Officer will ensure effective internal coordination and maximize the transfer of skills.

(viii) Implementing NGOs. Each ULB will engage the services of an NGO25 with

experience in social/gender development and with a track record in resettlement and rehabilitation for RP implementation. During Investment Program preparation, consultations with NGOs were undertaken reflecting that an adequate number of Karnataka-based NGOs had suitable experience in resettlement. Interviews also reflect that based on NGO resources, an optimal arrangement would by for an NGO to handle up to 5 ULBs under a single contract.

54. Land acquisition and resettlement under the Investment Program shall be in accordance with the LAA and the Entitlement Matrix (EM). Effective Resettlement Plan preparation and 25 NGO appointed for CDP will undertake RP implementation

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implementation is through coordination between the District Authorities, Requisitioning Authority (ULB) and the IPMU. The activities and responsibilities are summarized in Table .

(i) District-level Activities. The following activities will be undertaken to ensure

transfer of land/houses/buildings under the Resettlement Framework:

• Due Diligence. The Resettlement Officer at the ULB will verify title deeds, non-encumbrance certificate, basic tax receipt, possession certificate and other relevant records of each parcel of land to be acquired. An Advocate specially authorized by the Deputy Commissioner will scrutinize the title deeds and other documents relating to ownership and possession and give necessary recommendation to the RO.

• Compensation. The approved package of assistance will be provided to the list

of non-titled and titled APs.

• Possession and Land Use. The designated officer/Commissioner of the concerned ULB with the assistance of the Resettlement Officer will assume possession of the land. The designated officer of the concerned ULB will take steps to effect necessary changes in the classification of land through the Taluk Tahasildar.26

(ii) Requisitioning Authority Activities. The ULB would have the responsibility to

ensure that RPs are prepared and approved prior to award of contracts for the Investment Program, and for monitoring any changes to Investment Program design, which may require re-evaluation of the need for and adequacy of the RP. The ULB will hire experienced NGOs / agency for assisting in preparation as well as implementation of the RP (the NGO appointed for CDP activities will conduct resettlement activities). The ULB will also designate the Resettlement Officer (RO) to supervise and conduct internal monitoring of the implementation work. The RO will be adequately supported by the DLVC in terms of all valuations, due diligence carried out on Affected Persons’ properties and Empowered Committee decision on acquisition.

Figure 2 depicts the proposed resettlement implementation arrangements. NGO

activities would include AP counseling, encouraging productive utilization of compensation and rehabilitation grants, facilitation of APs’ access to financial assistance under various subsidy-related development programs, and increasing the social acceptability and effectiveness of training programs organized for the benefit of APs. NGO services will be required over 12 months and provided for in the resettlement and rehabilitation component of the Investment Program budget. The Terms of Reference for NGOs is given in Annex E.

26 The Taluk Tahsildar is an employee of the Revenue Department.

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Figure 2: Resettlement Implementation Arrangements

Local NGO

Local NGO

Project Management

Unit

Project Management

Unit

Apex NGO, CAPP

Resettlement Officers at each ULB

DO,BellaryDO,

BellaryDO,

GulbargaDO,

Gulbarga

Land Acquisition Officer


Local NGO

Local NGO

Local NGO

Local NGO

Local NGO

Local NGO

Special Land Acquisition Officer

Local NGO

Local NGO

Project Management

Unit

Project Management

Unit

Apex NGO, CAPP

Resettlement Officers at each ULB

DO,BellaryDO,

BellaryDO,

GulbargaDO,

Gulbarga



Local NGO

Local NGO

Local NGO

Local NGO

Local NGO

Local NGO

Special Land Acquisition Officer

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Table 5: Institutional Roles and Responsibilities Sr. No.

Activities Urban Local Body (ULB) Responsibility Responsible Agency

Investment Program Initiation Stage 1. Finalization of sites/alignments for sub-

project components ULB will identify and finalize sites/ alignments for sub-project components ULB will ensure the minimum LA and resettlement impacts while finalizing the sites.

IPMU will appoint Investment Program consultants (PC) for design and implementation of sub-project components PC appointed by IPMU will provide technical help to ULB in finalizing sites/alignments

2 Orientation and training of resettlement teams

ULB will ensure attendance of DLVC members, resettlement staff and other ULB staff, and implementing NGOs will attend.

Apex NGO and IPMU (Special Land Acquisition Officer) will provide orientation and training.

3 Disclosure of proposed land acquisition and Project/Sub-Project details by issuing Public Notice Meetings at community/ household level with APs of land/property Formation of DLVC

ULB will approach DC with details of names of Affected Persons, survey nos of Affected Persons and Investment Program details. DC will issue the notice in local newspapers. ULB and implementing NGO along with District officials /local revenue officials will facilitate meetings to disclose the information to all APs. ULB and DC will set up DLVC

ULB and DC ULB and implementing NGO IPMU will designate Deputy Investment Program Director as DLVC member

RP Preparation Stage 4 Conducting Census of all APs ULB will monitor the Census Survey conducted by PC

PC appointed by IPMU will conduct Census of all APs. Based on Census Survey results, IPMU will recommend Short/Full RP

5 Conducting socioeconomic survey of APs, and survey and inventory of losses including FGDs/ meetings/workshops

ULB will monitor the socioeconomic surveys, and survey and inventory of losses/ FGDs/ meetings/ workshops conducted by PC ULB will made available the copies of RF to all APs, if required will translate it into local language(s)

PC and implementing NGO appointed by IPMU will conduct socioeconomic surveys, survey and inventory of losses, and FGDs/ meetings / workshops Designated staff of IPMU will participate in few of the meetings /discussions / workshops to monitor the progress Cooperation and active participation of APs is anticipated

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Sr. No.


in surveys and in FGDs/ meetings/ conducted during surveys

6 Computation of Replacement Values of land/properties proposed for acquisition and for associated assets, if any; and identification (and purchase) of replacement land (where applicable)

DLVC set up by ULB and DC will estimate all losses based on socioeconomic database; ULB will identify and purchase replacement land where applicable

PC will provide the required information to DLVC from socioeconomic surveys

7 Categorization of APs for finalizing entitlements

- PC will categorize all APs as per associated losses, drawn from Census and socioeconomic surveys and will finalize the entitlements based on values computed by DLVC.

8 Formulating compensation and rehabilitation measures Conducting discussions/ meetings/ workshops with all APs and other stakeholders for this

ULB and implementing NGO will conduct all required discussions/ meetings/ workshops and will invite all secondary stakeholders. ULB will ensure the availability of draft RF to all stakeholders

IPMU will help ULB in arranging required consultations. PC will provide required necessary information about the Investment Program, its impacts on APs drawn from socioeconomic surveys. PC and implementing NGO will incorporate all suggestions/views given by APs and other stakeholders Cooperation and active participation of APs is anticipated in all consultations to formulate compensation and rehabilitation measures

9 Fixing compensation for land/property with titleholders

Based on values computed by DLVC, DC will negotiate land/property values with titleholders ULB officials will be present during negotiations

10 Finalizing entitlements and rehabilitation packages

- PC will finalize the entitlements and rehabilitation packages based on item 5, 6, 7 and 8.

11 Disclosure of final entitlements and rehabilitation packages

ULB will circulate the copies of RP to all stakeholders ULB will invite representatives of local NGOs/CBOs, community leaders, elected members and other

Representatives of IPMU will participate in disclosure meetings. PC will provide final entitlements and rehabilitation

41

Sr. No.


government officials for disclosure meetings

packages of each AP PC will document all the comments and suggestions made by APs and will send it to IPMU along with RP. APs will approve the final entitlements and rehabilitation packages

12 Approval of RP - IPMU after scrutiny in compliance with ADB policy will send the initial 3 RPs (including RP budget) to ADB. EA will authorize IPMU to approve the remaining RPs prepared under NKUSIP. ADB will approve initial 3 RPs for implementation

13 Payment to titleholder Taking possession of land Issuance of modified/replacement land titles (where applicable)

Cheque will be issued in the name of titleholder After the money gets deposited in each titleholders account, land will be acquired. Modified title deed/replacement land titles will be issued by the ULB

District Administration

RP Implementation Stage 14 Implementation of proposed rehabilitation

measures

ULB will appoint NGO for RP implementation and will appoint Resettlement Officer (RO) to monitor implementation work

Special Land Acquisition Officer at the IPMU will monitor RP implementation periodically along with the Apex NGO appointed by IPMU.

15 Consultations with APs during rehabilitation activities

Implementing NGO along with RO will arrange meetings/discussions with APs, Households to identify help required by APs during rehabilitation

Designated staff from IPMU will participate in the same while Apex NGO appointed by IPMU will monitor the consultation activities. APs provide feedback on implementation

16 Grievances Redressal GRC set up as a sub-committee under the DPSC will address and solve the issues of APs faced in RP implementation. If not solved by GRC, DC will resolve the same, before

APs can approach GRC, DC, court to resolve any issues faced during rehabilitation

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Sr. No.


APs approach court. 17 Monitoring and Evaluation ULB will perform internal monitoring External agency will do monitoring and evaluation

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IX. BUDGETING AND FUND FLOW MECHANISMS 55. The cost of all compensation and resettlement works will be an integral part of the overall Investment Program cost, which will be borne by the sub-project. The ULB will take due care to document all costs towards compensation and resettlement works. As far as possible, land required under the sub-project and immovable assets thereupon will be transferred to the concerned. Table presents the estimated resettlement costs for NKUSIP towns.

Table 6: Summary of Land Acquisition and Resettlement Costs Item Base Costs (Rs. million)

Land Acquisition 179.48Resettlement Costs 11.22Income Generation Activities (Training & Asset purchase) 17.50NGO Costs for Resettlement Implementation 18.00Apex NGO Cost for M&E 2.50Contingencies 12.77Total LA and Resettlement Cost 241.47

56. Most of the land identified for acquisition in the Investment Program towns is under agricultural use. Ownership is either government or private, which implies a cost for acquisition. It may be noted that government land does not automatically imply a transfer – all identified government land under NKUSIP will have to be paid for by the Investment Program. Cost of crops and trees is factored in as well. Acquisition is proposed in the non/post harvest season so that losses are minimized. Impacts on contract labourers and share croppers would also be minimized through this. All affected persons are to be compensated and/or resettled in accordance with the RP before commencement of civil works. 57. The sub-project funds will rest with the Requisitioning Authority (RA) and based on the valuation by the DLVC, the RA will deposit the required funds with the Deputy Commissioner, who shall make payments to the APs.

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X. IMPLEMENTATION SCHEDULE 58. The implementation process will cover (i) identification of cut-off date and notification; (ii) verification of properties of APs and estimation of their type and level of losses and distribution of identity cards; (iii) preparation of APs for relocation through consultation, however, the process of consultation will continue throughout the Investment Program; and (iv) relocation and resettlement of the APs. 59. All eligible affected households will be issued identity cards, giving details of the type of losses and type of entitlements. This card will be verified by IPMU, NGO and the AP and signed by each of them. Each AP will be given a copy. The IPMU will issue identity cards to all AP as early as possible in order to avoid opportunistic Squatters and Encroachers taking possession of land. 60. During implementation, the NGO will submit monthly progress reports on the RP implementation to the IPMU through the ULB. The ULB supported by the RO will conduct regular internal monitoring of resettlement implementation and prepare quarterly progress reports for submission to IPMU, which will be further submitted to ADB. The reports will contain progress made in RP implementation with particular attention to compliance with the principles and Entitlement Matrix set out in the Resettlement Framework. The report will also document consultation activities conducted, provide summary of issues or problems identified and actions taken to resolve the issues, and provide summary of grievances or complaints lodged by households and actions taken to redress such complaints. 61. The Resettlement Officer, ULB officials and the implementing NGO staff will undergo an orientation and training in resettlement management provided by the Apex NGO and the IPMU through its Special Land Acquisition Officer and resettlement staff. The training activities will focus on issues concerning (i) principles and procedures of land acquisition; (ii) public consultation and participation; (iii) entitlements and compensation disbursement mechanisms; (iv) Grievance Redressal; and (v) monitoring of resettlement operation. The orientation and training will be financed by the IPMU and will occur prior to commencement of RP preparation, at the beginning of RP implementation and once during the course of RP implementation. The ULB will further ensure resettlement budgets are delivered on time to the implementing NGOs for timely RP implementation. 62. Timing of Resettlement. The resettlement process must be completed before the start of civil works. APs will get sufficient notice to vacate their property before civil works begin. A sample implementation schedule for resettlement and rehabilitation to be completed in one year is indicated in Figure 3: Sample Implementation Schedule.

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Figure 3: Resettlement Implementation Schedule

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XI. MONITORING AND EVALUATION 63. Monitoring involves periodic checking to ascertain whether activities are progressing according to RP. Monitoring will cover physical and financial components and provides a feedback to keep the program on schedule. By contrast, evaluation is essentially a summing up, the end of the project assessment of whether those activities have actually achieved the intended aims. 64. RP implementation will be closely monitored to provide IPMU with an effective basis for assessing resettlement progress and identifying potential difficulties and problems. For monitoring and evaluation (M&E), IPMU will appoint an independent agency/Apex NGO to undertake external monitoring for the entire sub-project (this agency will provide an independent view of the Investment Program progress and should not be confused with the NGO appointed by the ULB to oversee resettlement implementation). The independent agency/Apex NGO will monitor the sub-project on a half-yearly basis and submit its reports directly to the IPMU. The IPMU will submit all M&E reports to the ADB for review. Annex F presents the TOR for the Monitoring Agency. 65. In RP implantation, the M&E system will perform the following key tasks:

(i) Administrative monitoring to ensure that implementation is on schedule and that problems are dealt with on a timely basis;

(ii) Socio-economic monitoring during and after the relocation process, if involved,

utilizing the baseline established by the AP socio-economic survey undertaken during project preparation to ensure that people are settled and recovering; and

(iii) Impact evaluation to determine that recovery has indeed taken place and in time,

succeeded.

66. The indicators for achieving the objectives under the resettlement and rehabilitation program are of three kinds:

(i) Process indicators, indicating project inputs, expenditure, staff deployment, etc.; (ii) Output indicators, indicating results in terms of numbers of affected people

compensated and resettled, training held, credit disbursed, etc.; and (iii) Impact indicators, related to the long-term effects of the project on people’s lives.

67. Monitoring will also cover the physical progress of project provided resettlement sites, if any resettlement sites are established. It will also cover the relocation of people to new sites as well as the allocation of replacement assets. The implementing NGO will submit quarterly reports to IPMU.

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A. Internal Monitoring 68. Internal monitoring will track indicators such as the number of families affected, resettled, assistance extended, infrastructure facilities provided, financial aspects, such as compensation paid, grant extended etc. 69. ULB officials will carry out internal monitoring. Job charts will be given to the Resettlement Officer. The job charts will indicate the targets to be achieved during the month. Monthly progress report shall be prepared and submitted to IPMU, reporting actual achievements against the targets fixed in their respective job charts and reasons for shortfalls, if any. 70. The IPMU will have the responsibility for management and maintenance of AP database, documenting results of AP census, asset verification information, and socio-economic survey data, which will be used as the baseline for assessing impacts of RP implementation.

B. External Impact Evaluation 71. An external agency will be appointed to evaluate the resettlement program at mid term and at the end of the project. The agency will submit evaluation on the following indicators:

(i) Restoration of income levels; (ii) Changes and shifts in occupation pattern; (iii) Changes in type of housing of APs; and (iv) Assessing APs access to amenities, such as water, electricity, transportation etc. (v) Performance of NGO, ULB, and IPMU in resettlement implementation.

Resettlement Framework ANNEXES

JULY 2005

1

ANNEX A – LAND ACQUISITION REQUIREMENTS FOR SEWAGE TREATMENT SITES Project Towns Location of Sewage Treatment Plants Ownership for

Land A Estimated

Land Government

Land Identified,

Not Acquired Land (A)

To be Identified

and Acquired (B)

Land Cost (for

A+B)

Contingencies

Ha Ha Ha Ha Rs. Mn Rs. Mn Hubli-Dharwad Hubli: Gabbur Village 30.00 12.20 - - - - Dharwad: Not yet identified - - - 17.80 11.10 0.80 Belgaum Along NH 4 at Bellary Nala Partly CMC/

private - - 62.00 - 49.77

3.55 Gulbarga No Project - - - - - Davangere No Project - - - - - - - Bellary No Project - - - - - -Bijapur Mahalbagayath Village Private 27.00 21.50 5.50 - 2.36 0.16 Raichur Raichur Kasaba (6 Ha), Hosur Village (8 Ha) Private 14.00 - 14.00 - 3.46 0.25 Bidar Within Town Limits Private 14.00 5.50 8.50 - 8.40 0.60 Hospet Belagodu Village Private 12.38 - 12.38 - 16.64 1.35 Gadag-Betageri Near Chikoppa Village, KUWSDB Proposal - - - - - - Gangawati Within town limits, KUWSDB Proposal - - - - - - Ranebennur Within town limits Private 17.00 4.05 12.95 - 8.08 0.57 Rabkavi-Banhatti Asangi Village Forest Dept. 6.00 - 6.00 - 3.71 0.26 Gokak Lolsur Village Private 16.00 - 2.00 14.00 12.84 0.85 Haveri Sidhadevpur Village Partly Govt (4.11

Ha), partly private 13.00 13.00 - 8.09 0.58

Yadgir Within town limits, near Rly Track Private 16.00 - 13.00 3.00 7.90 0.55 Jamkhandi On Maigur Road ULB 5.00 6.50 - - - - Koppal On Koppal Gadag Road Private 9.00 - 5.00 4.00 3.33 0.25 Chamarajanagar Kudlur Village 2/ Private 10.00 - 10.00 - 6.24 0.45 Badami Within town limits, KUWSDB Proposal - - - - - - Basavakalyan Within town limits Private 14.00 - 5.00 9.00 9.08 0.65 Nippani Near APMC & nallla - 14.60 14.60 - 8.03 0.55Sindhunur Udbal Road (15.05 Ha) Gangawati Road

(1.60 Ha) Private 21.40 - 16.65 4.75 9.25

0.65 Ilkal Tondihal Village Private 12.40 0.91 1.57 9.92 2.89 0.20 Shahabad To be Identified Private 16.00 - - 16.00 8.00 0.50 Total 267.78 50.66 202.15 78.47 179.48 12.77 Note: In the water supply sector the estimated land required is 49.97 Ha for the construction of water treatment plants in the towns of Bidar, Sindhanur and Shahbad. Only Sindhanur ULB has identified land (78.70

Ha), which is under private ownership and costs Rs. 15.47 mn. The remaining 31.75 Ha of land required for Bidar (21 Ha) and Shahabad (10.75 Ha) towns have not been identified yet; the approximate cost of LA and resettlement for Bidar and Shahbad is Rs. 15.56 mn and Rs. 5.91 mn, respectively. The total LA and resettlement cost involved under water supply sector is Rs. 36.94 mn. No Objection Certificate (NOC) is issued by the State Pollution Control Board indicating acceptance of land for sub-project facility.

2

ANNEX B – GENDER ACTION PLAN Area of Focus Objective Activities Task Target Group Indicator Verification Action by

Project Design a) To integrate gender perspective in Project design and to empower women by giving them opportunities to participate in the Project from the very beginning

Proactively seek women from disadvantaged families as target beneficiaries, ensuring one-third representation in Neighbourhood Groups Formation of NHGs, Ward-level Committees (WLCs) and City Level Community Development Societies (CDS) with women members Participatory planning at project sites

Train Community Infrastructure Volunteers (CIVs), Community Savings Volunteers (CSVs), and Community Development Officers Conduct participatory planning exercises in prioritized slums organized by CIVs and local NGOs Identify infrastructure priorities of neighbourhood groups Formulate neighbourhood level, ward level and city level plans incorporating community inputs

Women living in slums in Project towns ULB Councillors and Staff Karnataka Slum Clearance Board Employees

Gender Specialists involved from start of Project design NHGs formed by 2007 Percentage representation of disadvantaged HHs Regularity of meetings held Reports include record of participatory planning and women’s participation Views influence design outcomes Schemes respond to women’s needs / priorities

Project Design Reports Progress Reports Project Monitoring Reports Random checks by Apex NGO in slums / attending weekly/monthly meetings to gauge level of participation Assessment and training conducted at community level Feedback from women beneficiaries

Local NGOs and Apex NGO Social and Community Development Experts, IPMU, Dharwad, and DOs at GulbaraA and Bellary, and Investment Program Consultants (PCs)

b) To ensure women’s awareness on project benefits

Conduct pre-project awareness campaigns on project benefits and need to support ULB reforms

Prepare and implement communications strategy using gender sensitive language

Town residents, targeting women

20% of women interviewed in Project towns at the end of pre-project awareness campaign are aware of Project and its benefits Percentage households paying connection charges at design stage

CAPP Consultant’s Reports Local NGO (Survey) Reports Progress Reports Review Reports

CAPP Consultants Apex NGO Local NGOs

c) To integrate gender within ULB’s/

Provide gender sensitization training for all regional level

Prepare training materials for gender sensitization workshops

KSCB employees

Workshops conducted Number of employees

Workshop Reports Feedback Forms

DMA, identified training institute (e.g. ATI /ASCI)

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Area of Focus Objective Activities Task Target Group Indicator Verification Action by

KSCB’s areas of work, with specific focus on Project design

KSCB employees and ULB staff

trained Feedback from employees on usefulness of training programs

Review Reports

and Social and Community Development Experts (Apex NGOs and IPMUs)

d) Empowerment of women from poor families in Project towns

Initiation of thrift and credit activities

Identification of CSVs Formulation of rules and regulations by SHGs Training of women on accounting procedures, management etc. Skill training and micro-enterprise development/management training Creation of revolving fund

Women living in slums in Project towns

SHGs formed by 2007 Size of revolving fund created Micro-enterprises created and managed independently by women

Feedback from women beneficiaries

Local NGOs, NHGs / SHGs

e) To ensure that needs of women headed households, widows, elderly and single women are addressed in Resettlement Plans

Collection of gender disaggregated data during socio-economic surveys for Resettlement Plan preparation

Designing questionnaire to ensure coverage of issues like women’s access to resources, household division of labour, women’s contribution to family income, decision-making on finance and resources; expressed needs and preferences of women related to compensation and resettlement options. Using female enumerators or trained, gender sensitive enumerators.

Woman headed households, women members of Project Affected Households

Gender disaggregated data analysis undertaken to arrive at compensation and assistance packages in RP RP takes note of compensation and resettlement options selected by women RP addresses concerns of woman headed households, widows, elderly and single women

Resettlement Plan(s)

PC/NGO involved in RP preparation Social and Community Development Experts-(IPMU and Apex NGO)

Project Implementation

a) To mainstream gender

Conduct gender awareness

Prepare materials for gender awareness workshop

IPMU, ULB staff and PCs.

Workshops for all target groups

Workshop reports

Social and Community

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and Monitoring perspective in Project implementation

workshops with all Investment Program consultants, IPMU staff and ULB staff

Review reports Development Experts (IPMU, ULB and PCs)

b) To ensure women’s full awareness and involvement in Project implementation and benefits

Conduct project awareness, hygiene education and water and waste management campaigns with specific targeting of women

Prepare and implement communications strategy defining message, target audience and media, using gender sensitive language

Women living in Project towns, including those living in slums

40% of women interviewed in Project towns at the end of second year of Project implementation and women are aware of Project and its benefits

CAPP Consultant’s Reports Local NGO Reports Progress Reports (IPMU and Apex NGO) Project Monitoring Reports

CAPP Consultants, Social and Community Development Experts (IPMU, PCs, Apex NGO and local NGOs).

c) To ensure women gain benefits from construction process

Contractors required to engage sizeable female labor and ensure equal wages between male and female labour for equal work

Preparation of contract documents Orientation of Contractors

Contractors Percentage of women employed by contractors (to total workers) Women employed at equal wages for equal work

Contract invoicing Project Monitoring Report

Construction supervision expert, PC Municipal Engineer

d) To ensure that Project benefits positively impact women and that benefits are equitable

Establish a system of monitoring and evaluation which can track / report impact of the Project on women

Develop gender disaggregated indicators (qualitative and quantitative, e.g., health benefits, reduced burden on women and employment opportunities) Develop systems for measurement, analysis and reporting of benefits Develop mechanisms to include women in monitoring and evaluation

IPMU and ULB staff

Progress Reports Reviews and impact assessments are able to report gender impact of project

Community Monitoring Reports (NHGs, CDS) Progress Reports (IPMU and Apex NGO) Project Monitoring Reports

IPMU Social and community development experts (IPMU and Apex NGO)

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e) To ensure that resettlement implementation addresses women’s concerns

Monitoring resettlement implementation

Develop mechanisms to include project affected women in monitoring of resettlement implementation Develop indicators to track resettlement impact on women

Woman headed households, women members of Project Affected Households

Percentage of compensation packages and resettlement options addressing women implemented

Resettlement Monitoring and Evaluation Reports

NGO/agency involved in RP implementation Social and community development experts (IPMU and Apex NGO)

Institutional Development

a) To promote gender awareness in institutional development program

Incorporate gender perspective in all aspects of institutional development program

Review institutional development program Incorporate gender aspects in all training programs for State and ULB officials

Elected Officials, State and Municipal Officers Target training group as per program

Changes made in institutional development program, training curricula etc.

Institutional reform measures are gender sensitive Each training program contains a gender perspective

DMA, identified training institute (e.g. ATI /ASCI) and Social and Community Development Experts (IPMU and PCs)

b) Monitor usefulness of Gender Action Plan

Tracking use of Gender Action Plan

Review impact of Gender Action Plan

Project stakeholders

Gender Action Plan used and reported upon at regular intervals Increased number of gender mainstreaming training activities planned and completed Increased number of projects reflecting community needs by using a participatory and gender focused approach Strengthened capacity of stakeholder agencies to promote, design and implement projects that support gender equality

Review Reports Progress Reports

Social and Community Development Experts (IPMU and PCs)

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ANNEX C – CENSUS AND BASELINE SOCIO-ECONOMIC SURVEY GUIDELINES

A. Cut-Off Date 1. The cut-off date for those who have legal title is the date of Notification under Section 4 (1) of Land Acquisition Act. The date of census is the cut-off date for those who do not have legal standing for eligibility of assistance under the project. People moving into the project area after this cut-off date will not be entitled to support. Persons, who were not enumerated during the census but can show documentation or evidence that he/she is rightfully an Affected Person, will be included. The ULB is responsible for such verification. Only those APs within the project affected area will be considered eligible for support under the sub-project.

B. Census Requirement and Contents 2. Census of households and individuals located within the project has to be undertaken to register and document the status of potentially affected population within the project impact area. It will provide a demographic overview of the population served by the Resettlement Plan (RP) and profiles of household assets and main sources of livelihood. It will cover 100% of the potentially affected population within the project impact area.

• Resource Base. The resource base including land, water, and forest, etc., with an assessment of its development and ecological potential in the pre-project conditions. During the conduct of the census, legal boundaries of affected properties and the right of way (ROW) are to be verified. Structures, trees and other assets are to be recorded.

• Economy Base. The economy base of the affected people including the modes and

magnitude of production, consumption pattern, related economic institutions and allocation of carious productive resources.

• Household Census. Household census covering immovable property owned by the

APs and other resources in their possession/use. These surveys would be carried out in association with local and host communities as well as with the local representatives.

• Social Structures. The social structure, norms, customs, cultural centers, traditions,

patterns of leadership and institutions of social network. • Affected Persons. The census will prima-facie identify Tenants, Sharecroppers,

Encroachers and agricultural day labourers. During such census, those APs are dependant on the existing infrastructure link for their livelihood, shall also be identified and listed along with their identified income. Besides this, the census will also identify APs who are the ST and SC populations in accordance with the ST and SC lists of GoK, and the vulnerable APs such as the old, handicapped, infirm, orphans and destitute.

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C. Census Procedures 3. The following procedure is to be adopted in carrying out the census:

(i) Preliminary screening to provide minimum information on social impacts; (ii) Verification of legal boundaries of project area, to document existing structures,

land plots, and others physical assets. This involves:

• Identification of suitable resettlement sites, in close proximity to the affected area if required;

• All encroachments, private land holdings and others assets in the project area is to be documented;

• Assets, structures, land holdings, trees, etc. to be recorded; and • All information is to be computerized; photography/video recordings to be used

to document existing structures. (iii) The baseline socio-economic survey shall cover information on the various

categories of losses and other adverse impacts likely under the project; (iv) The census shall identify potentially affected populations with special attention to

vulnerable groups; and (v) Assessment on the value of various assets to be made.

D. Database Management (i) Data Sources. As a pre-requisite for conducting the primary household surveys, relevant

information is to be collected from secondary sources. These include:

• Revenue records maintained at the ULB, with regard to land particulars for facilitating acquisition of properties and resettlement of oustees;

• Census records for demographic information; • Development agencies to get information on various developmental programs

for specific sections of population like those living below poverty line, Scheduled Tribes, Scheduled Castes, etc.; and

• Local organizations including NGOs in order to involve them and integrate their activities in the economic development programs of the displaced population.

(ii) Data Collection. Household level contacts and interviews with each affected family for

completing the household socio-economic profile. Each of the households surveyed and the structure/land likely to be affected by the project has to be numbered, documented and photographed. Public consultation exercises in different project areas to be conducted with the involvement of Affected Persons. In these exercises, women among the Affected Persons are to be involved to elicit their views and opinions on the overall planning of resettlement activities. Discussions with a cross-section of affected population will help

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towards understanding the problems and preferences of the APs.

(iii) Data Analysis. The analysis would cover the following: population, population density, age, sex ratio, literacy rates/education, gender issues, tribal issues, religious groups, income, occupation and poverty line.

(iv) Data Update. Since there is generally a time gap between the census and land acquisition

procedure, which will take at least one year, it implies that actual physical relocation of APs may be delayed by a year. Therefore, it is suggested that NGOs responsible for implementation of RP along with ULB, should conduct a rapid appraisal to continuously update information.

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ANNEX D – CONSULTATION AND DISSEMINATION 1. Comprehensive planning is required to assure that local government, NGOs, host population and project staff interacts regularly and purposefully in all stages of the project. AP involvement increases the probability of successful resettlement and rehabilitation. The RP requires information disclosure at different stages and the project will need to have a continuous process of documenting people’s views. It will ensure that groups and individuals consulted are informed about the outcome of the decision-making process, also indicate how their views have been incorporated.

A. Consultation 2. The overall goal of the consultation program is to disseminate project information and to incorporate APs views in the Resettlement Plan. The specific aims of the consultations are to:

(i) Improve project design and lead to fewer conflicts and delays in implementation; (ii) Facilitate development of appropriate and acceptable entitlement options; (iii) Increase long-term project sustainability and ownership; (iv) Reduce problems of institutional coordination; (v) Make the RESETTLEMENT process transparent; and (vi) Increase effectiveness of sustainability of income restoration strategies, and improve

coping mechanisms.

B. Information Dissemination Campaign 3. An intensive information dissemination campaign for APs should be conducted at the outset of RP implementation. This campaign will be designed by the ULB and Investment Program Consultant and executed by the implementing NGO. The objectives of the campaign are:

(i) To help counter rumours and prevent distress; (ii) To assist in preparation for relocation to new sites; and (iii) Ensure all questions of the APs are answered to the best ability; print and audio-

visual materials will be of secondary use in such areas. 4. All the comments made by the APs will be documented in the project record and summarized in project monitoring reports.

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ANNEX E – OUTLINE TOR FOR NGO

A. Background of the Investment Program 1. The North Karnataka Urban Infrastructure Development Investment Program (NKUSIP) will finance investment in the sectors of (i) water supply; (ii) sewerage and sanitation; (iii) urban drainage; (iv) solid waste management; (v) roads and transportation; (vi) poverty alleviation; (vii) social infrastructure inclusive of development/conservation of lakes, expansion of fire services, development of tourism and sports facilities. The overall development goal of the NKUSIP is to facilitate economic growth in the towns of North Karnataka and bring about urban development through equitable distribution of urban basic services to the citizens that are environmentally sound and operationally sustainable. The development purpose is designed to assist Urban Local Bodies (ULBs) to “promote good urban management, and develop and expand urban infrastructure to increase economic opportunities and to reduce vulnerability to environmental degradation and urban poverty”. 2. The ULB will be the Implementing Agency for the Investment Program and will be responsible for preparing social analysis and resettlement plans for all sub-projects, and in accordance with this framework. The ULB would prepare a Resettlement Plan (RP) and submit the same to Investment Program Management Unit (IPMU) for review and approval prior to commencement of Investment Program component implementation.

B. Scope of Work 3. The objectives of the NGO appointed for the implementation of the Resettlement Plan is:

(i) To provide the ULB with grass-root skills and capacity for field activity in the

implementation of the Resettlement Plan; (ii) Identify through survey, Investment Program beneficiaries and distribute

identification cards to Investment Program beneficiaries and the Affected Persons, and educate them regarding their entitlements and obligations under the Resettlement Plan;

(iii) Ensure that Affected Persons obtain their full entitlements under the Resettlement

Plan. Where options are available, the NGO shall provide advice to Affected Persons on the relative benefits of each option and link the Affected Persons to the respective employment and housing program;

(iv) Assist the Affected Persons in the redressal of grievances through the system

implemented as part of the Resettlement Plan; and (v) Monitor and evaluate the implementation of the RP on the Affected Persons.

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C. Tasks 4. The NGO will work as a link between the ULB, the APs’ representatives and the affected APs. The NGO will be responsible for assisting the APs during the resettlement and rehabilitation process and shall ensure that all of the provisions of ADB’s IR Policy and the RP with regard to the well being of the APs, are implemented appropriately and effectively. The NGO will:

(i) Develop rapport between the APs and the project authorities. This will be achieved

through regular meeting with both the ULB representatives and the APs. Meetings with the ULB will be held at least fortnightly and meetings with APs will be held at least monthly. All meetings and decisions taken are to be documented.

(ii) Assist ULB to undertake public information campaign in Kannada, at the

commencement of the Investment Program to inform the affected communities of:

• The need for shifting of Squatters and Encroachers; and • The need for LA; • The IR Policy, Resettlement Framework and entitlement packages; • The likely consequences of the Investment Program on the communities/persons

economic livelihood.

(iii) Identify and verify Investment Program beneficiaries through survey and distribute identity cards to beneficiaries only.

(iv) Assist APs in getting the compensation for their land and properties acquired for the

Investment Program. (v) Ensure benefits due to the APs under the RF and RP are provided to the APs. The

NGO will determine the entitlements of each AP and compare it to the offer being made by the Investment Program. If there is a discrepancy, between the two, the NGO will be responsible for assisting the AP in coming to some agreement with the ULB and, if necessary, pursuing the matter through the grievance redressal mechanism.

(vi) Assist APs identify suitable land for relocation, wherever necessary. Where suitable

government land is not available, the NGO will assist the AP to locate a landowner willing to sell his land and will assist in the negotiation of the purchase price.

(vii) Assist Investment Program authorities in making arrangements for the smooth

relocation of the APs and their business. This will involve close consultation with the APs to ensure that the arrangements are acceptable to them.

(viii) Ensure proper utilization by the APs of various grants available under the

resettlement package. The NGO will be responsible for advising the APs on how best to use any cash that may be provided under the RP.

(ix) Assist APs in getting benefits from various government development programs

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particularly for house construction. There are a number of government housing and training programs for livelihood programs that can be used by APs. The NGOs will investigate the availability of places in these programs and shall inform the APs of the opportunities that exist and their relative merits. The NGO will co-ordinate the training programs for sustainable livelihood and assist in developing the required skills for livelihood rehabilitation. The NGO shall coordinate with other government departments and other NGOs working in the area to ensure that all the options available to the AP are known and can be communicated to them.

(x) Assist APs in the redressal of their grievances. The NGO shall make APs aware of

the grievance mechanism set out in the RP and shall assist APs who have grievances to pursue a suitable remedy.

(xi) Develop micro level plans for resettlement and rehabilitation in consultation with

the APs and the ULB where relevant. A plan shall be prepared and agreed for each AP and will include:

• List of options open to and the choices made by the AP. The NGOs will explain

to the APs the options available for their resettlement and assist them in making their choices;

• List of benefits due to the AP; • Arrangements for shifting: • Involvement of AP in existing Government Development Programs; • Update information available on APs and collect information on APs coming in

the project due to any changes. ULB will be monitoring the implementation of the RP and will require data from the NGO to monitor input, output and impact indicators; and

• Any other responsibility as may be assigned for the welfare of the affected Households.

(xii) Assist in the identification of sites for the relocation of cultural properties and

community assets. This is to be done in consultation with the affected community and the ULB.

D. Methodology 5. In order to carry out the above tasks, employees of NGOs are to be stationed in the sub-project area. Besides contacting APs on an individual basis to regularly update the baseline information, group meetings will be conducted by the NGOs on a regular basis. The frequency of such meetings will depend on the requirements of the APs but should occur at least once a month, to allow the APs to remain up to date on project developments. NGOs will encourage participation of individual APs in such meetings by discussing their problems regarding LA, resettlement and other aspects relating to their socio-economic lives. Such participation will make it easier to find a solution acceptable to all involved.

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E. Reporting 6. The NGO shall submit an inception report-detailing plan of action, manpower deployment, time schedule, and detailed methodology within 30 days of the commencement of the assignment. The NGO should also submit quarterly progress reports on the activities carried out and proposed activities for the coming month. The quarterly progress reports will include data on indicators as required by the ULB.

(i) Updated data on APs and data on additional APs coming due to changes will be

submitted within two months of the commencement of the assignment; (ii) Data on APs for monitoring of impact indicators will be submitted to the ULB as

required; (iii) Micro level plans for each AP on the project will be submitted to the ULB for

information within 3 months of the commencement of the services. Where changes occur during the project requiring changes to the micro level plans, the NGO will update the relevant plans and resubmit them to the ULB; and

(iv) On completion of the assignment the NGO shall submit a final report summarizing

the actions taken during the sub-project implementation, the methodology and manpower used to carry out the work, and a summary of assistance given to each AP under the sub-project.

F. Time Schedule 7. It is estimated that the NGO services will be required for sixty months for participating in the implementation of RP. However, this may be rescheduled based on the exact nature of the activity, with greater inputs in the initial three years and reduced inputs in the subsequent two years of NGO involvement.

G. Key Personnel 8. A Team Leader, a Gender Specialist and a Social Development Specialist will be required to carry-out the activities. The key professionals should have combined professional experience in the areas of socio-economic surveys, resettlement and rehabilitation, participation, community development and training for economic rehabilitation activities. The staffing requirements may be reviewed based on field requirement.

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ANNEX F – MINIMUM WAGES IN KARNATAKA

Minimum wages in Karnataka are defined by the Minimum Wages Act, 1948 (a Central Act that applies to the entire country and allows states to fix wage rates / variable Daily Allowance based on the Consumer Price Index of the previous calendar year), and the following Minimum Wages Rules:

1. The Minimum Wages Rules, 1949 (Central Rules, 1950) – applies to whole of India.

2. The Minimum Wages (Central Advisory Board) Rules, 1949.

3. The Karnataka Minimum Wages Rules, 1958 - applies to the whole State of Karnataka.

The Act provides for fixing minimum rates of wages in certain employments, which are included in the schedule. So far, 72 employments have been added to the schedule under the Act, of which minimum wage rates have been fixed for 65 of 72 employments in Karnataka applicable from 1-04-05 to 31-03-06. The remaining are under the process of being revised. Karnataka State annual average Consumer Price Index for Industrial Workers for the calendar year 2004 is 2703, enhancing 102 points from last year (2003).

The Act also provides for filing of claims for non-payment or less payment of minimum wages notified by the Government of Karnataka before the concerned jurisdictional Labour Officer.

Minimum wages are fixed in Karnataka on the advice of the State Level Minimum Wages Advisory Board. This Advisory Board consists of the members of both employers and employees and other experts. The Commissioner of Labour is the Chairperson of the Karnataka State Minimum Wages Advisory Board. The Karnataka State Minimum Wages Advisory Board constituted vide Government Notification No. KAE 104 LMW 2002 dated 22-02-03 has expired and a fresh proposal has been sent to Government for its reconstitution.

Every employer is expected to pay the minimum wages for the scheduled employments under this Act. The Act provides for fixing of hours of work, overtime and wages for overtime.

Minimum wage rates are applicable to the following scheduled employments. Serial numbers 66 through 72 are currently under revision (for 2005-06).

Table A: List of Scheduled Employments

S.No. Description

1(a) Employment in Agriculture: Agricultural works

1(b) Employment in Agriculture: Soil Conservation

2 Aerated Water Manufacturing Industry

3 Agarabathi Industry

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S.No. Description

4 Automobile Engineering (including servicing & repairing works)

5 Bakeries

6 (a) Tobacco Industry: Beedi Making

6 (b) Tobacco Industry: Tobacco Processing

7 Biscuit Manufacturing Industry

8 Brass Copper and Aluminium Utensils manufacturing industry

9 Bricks Industry

10 (a) Wood Work including: Carpentry industry and Saw Mill Industry

10 (b) Wood Work including: Match Works (match Box) Industry

10 (c) Wood Work including: Plywood Industry

10 (d) Wood Work including : Timber Depot

10 (e) Wood Work including : Veneer Industry

11 Cardamom malais and cardamom Garden

12 Cashew Industry

13 Ceramics, Stoneware and Potters Works

14 (a) Plantation Labour: Chincona, Rubber, Tea or coffee Plantations

14 (b) Plantation Labour: Chincona, Rubber, Tea or Coffee Plantations (Non-staff)

15 Chemical Industry

16 Clubs

17 Coffee Curing Works

18 Confectionery Industry

19 Cotton Ginning & Pressing Manufacturing

20 Construction or Maintenance of Roads or Building Operations

21 Domestic workers

22 (a) Electronics & Electroplating: Electronics

22 (b) Electronics & Electroplating: Electroplating

23 Engineering Industry

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S.No. Description

24 Film Industry

25 Fishing, Fish curing, Fish peeling and frog legs exporting

26 Food processing, packing of food products (including coffee, tea and spices)

27 Forestry & Timbering Industry

28 Foundry (with or without machine shafts)

29 Glass & Glassware Industry

30 Granite Stones and Marbles Industry

31 Handloom & Powerloom (Cotton) Industry

32 Hospitals & Nursing Homes

33 Hostels

34 Hotel Industry

35 Ice factory & Cold Storage

36 Khandasari Sugar Factory

37 Laundry Industry

38 Manufacture of Liquor (Breweries), Distilleries including Bottling of Liquors

39 Manufacture of Ayurvedic & Allopathy medicine

40 Metal Rolling and Re-rolling (Ferrous) Industry

41 Metal Rolling and Re-rolling (Non-ferrous) Industry

42 Mini-Cement Plant Industry

43 Mosaic Tiles, Flooring Tiles or Glazing Tiles Manufacturing Industry

44 Oil Mills

45 Petrol and Diesel Oil Pumps Industry

46 Plastic, Poly plastic, Rubber and PVC Pipes Manufacturing Industry

47 Printing Industry

48 Private Finance Corporations & Chit Funds

49 Procurement, Processing and Distribution of Milk

50 Public Motor Transport

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S.No. Description

51 Rice Flour or Dhal Mills

52 Rubber Products (including Foam and Coir Rubberised Products) Industry

53 Sales Representatives in Medicine Professionals Consumer Items and Service

54 "Security Agency" (industries where office staff appointed by such agency including security guards)

55 (a) Sericulture

55 (b) Sericulture

56 Shops & Commercial Establishments

57 Spinning Mills Industry

58 Spun Pipes, Concrete Pipes, Sanitary Fittings, PCC, RCS Poles and RCC Pipes manufacturing Industry

59 Steel Almirahs, Tables, Chairs and other Steel furniture Industry

60 Stone Breaking & Stone Crushing Industry

61 Tanneries and Leather Manufacturing

62 Tailoring Industry

63 Textile (Silk) Industry

64 Tile Industry

65 Toddy Tapping

66 Arecanut (Supari)

67 Co-operative Societies

68 Pulp papers, paper, card board, straw board including news print

70 Safai Karmachari

71 Employment not covered in any of the Scheduled Employments

72 Employment in Urban Local Bodies

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ANNEX G – TOR FOR MONITORING AGENCY

A. Background 1. The North Karnataka Urban Infrastructure Development Investment Program (NKUSIP) will finance investment in the sectors of (i) water supply; (ii) sewerage and sanitation; (iii) urban drainage; (iv) solid waste management; (v) roads and transportation; (vi) poverty alleviation; (vii) non-municipal infrastructure inclusive of development/conservation of lakes, expansion of fire services, development of tourism and sports facilities. The overall development goal of the NKUSIP is to facilitate economic growth in the towns of North Karnataka and bring about urban development through equitable distribution of urban basic services to the citizens that are environmentally sound and operationally sustainable. The development purpose is designed to assist Urban Local Bodies (ULBs) to “promote good urban management, and develop and expand urban infrastructure to increase economic opportunities and to reduce vulnerability to environmental degradation and urban poverty”. 2. The ULB will be the Implementing Agency for the Investment Program and will be responsible for preparing social analysis and resettlement plans for all sub-projects, and in accordance with this framework. The ULB would prepare a Resettlement Plan (RP) and submit the same to Investment Program Management Unit (IPMU) for review and approval prior to commencement of Investment Program component implementation. 3. M&E is expected to aid timely and effective implementation of RPs and assess their impact. Participatory evaluation is now a recognized form of M&E. Participation is both a process and an abstract concept. While we can attribute quantitative dimensions to some of the activities involved, these are inadequate in explaining the nature, quality, extent and the impact of participation. Thus, the M&E has to look at not only quantitative results but, more importantly, at processes that are qualitative. An independent agency/Apex NGO is sought to be appointed to monitor RP implementation by ULBs and town-level NGOs on a half-yearly basis and submit its reports to the IPMU. The M&E Reports are expected to have a judicious mix of quantitative and qualitative analysis. 4. Monitoring will cover the physical progress of resettlement and related activities like skill training and progress of works on resettlement sites, if any such are established. It will also cover allocation of replacement assets. The RP implementing NGO will submit quarterly reports to the apex NGO and the IPMU. The apex NGO is expected to monitor the extent of people’s participation and its outcome and effect; as well as the extent of women’s involvement and gender issues addressed in resettlement. In brief, the monitoring agency/apex NGO will track the inputs, outputs and impacts / response of the APs.

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B. Scope of Work 5. The M&E Agency / Apex NGO is expected to perform the following key tasks:

(i) Administrative monitoring to ensure that implementation is on schedule and that

problems are dealt with on a timely basis; (ii) Socio-economic monitoring during and after the relocation process, if involved,

utilizing the baseline established by the AP socio-economic survey undertaken during Investment Program preparation to ensure that people are settled and recovering; and

(iii) Impact evaluation to determine that recovery has indeed taken place and in time,

succeeded. 6. The Apex NGO’s primary responsibility is to independently assess the physical progress of RP implementation, socio-economic impact of RP implementation on APs, levels of service available before and after RP implementation, levels of social interaction, impacts on lives and livelihoods, level and quality of involvement of APs in RP implementation and decision-making, perception of APs on RP implementation, and documentation of learning for similar programs in future. The Apex NGO is also expected to prepare the guidelines / format for monitoring by the implementing NGOs and train them in preparing such reports with indicators. 7. Three types of indicators are expected to be defined by the Apex NGO for achieving the objectives under the resettlement and rehabilitation program:

(i) Process indicators, indicating Investment Program inputs, expenditure, staff deployment, etc.;

(ii) Output indicators, indicating results in terms of numbers of affected people

compensated and resettled, training held, credit disbursed, etc.; and (iii) Impact indicators, related to the long-term effects of the Investment Program on

people’s lives. Impact indicators would include qualitative indicators as well.

C. Methodology 8. The Apex NGO is expected to define the monitoring and evaluation parameters it will use, including selection of indicators pertaining to sustainability, social inclusion, community participation, etc. Social and economic surveys /independent evaluations of RP implementation outcomes and effects, could help get advance warning of beneficiary perceptions and response and corrective actions required, if any. Most of these would be Qualitative Indicators, which will be of great use in assessing beneficiary response, satisfaction, and extent of participation. The approach to developing the indicators will involve the following steps:

(i) Defining RP objectives and activities through Log-frame Analysis

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(ii) Developing a list of questions for each objective, output and activity. This requires a

definition of who should collect information, where and how often. (iii) Identifying the indicators – this shall be done in a participatory manner with the

ULB, IPMU, implementing NGO and other relevant stakeholders. 9. The Apex NGO will also define a management structure for field data collection and

processing by implementing NGOs and train the implementing NGOs in managing and maintaining this data. This would involve: • Developing reporting formats for data; and • Developing a system of quality control and data verification (for data provided by

implementing NGOs). 10. The Apex NGO is also expected to develop a system of feedback to each ULB and implementing NGO. 11. In order to carry out the above tasks, employees of the Apex NGO are expected to make a minimum of one visit to every town in a quarter. Besides ULB and local NGO, at least 25 percent of APs shall be contacted on an individual basis every month to follow-up on progress. Local/implementing NGOs will facilitate participation of individual APs in such meetings. A combination of stakeholder consultations, independent surveys and data/reports provided by implementing NGOs would be used by the Apex NGO.

D. Reporting 12. The Apex NGO shall submit an inception report detailing its plan of action, manpower deployment, time schedule, detailed methodology including indicators to be monitored, within 30 days of the commencement of the assignment. The Apex NGO should also submit half yearly progress reports detailing their assessment of the activities carried out and point out course correction required, if any and any other required feedback. The progress reports will include data on indicators and comparison of activity schedules (proposed versus actual progress). Any grievances of APs left unaddressed in a timely fashion will be brought to the notice of concerned authorities. On completion of RP implementation, the Apex NGO shall submit a final report summarizing the actions taken during resettlement implementation, the methodology and manpower used to carry out the work, and a summary of learning and achievements. 13. The Apex NGO shall set up its own reporting systems for various stages of RP implementation, with the approval of IPMU. Key deliverables include:

• Inception Report with methodology and Plan for M&E; • Verification and validation of quarterly reports submitted by implementing NGOs; • Half-yearly City level progress reports with an independent assessment of status of RP

implementation and its impact; and Half-yearly Consolidated Report for all towns; and • Final consolidated M&E Report for NKUSIP RP Implementation.

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E. Time Schedule 14. It is estimated that the Apex NGO’s services will be required for the entire duration of the Investment Program; however, for monitoring and evaluation of the RP, its services will be required throughout for the period of RP implementation and one month post RP implementation.

F. Key Personnel 15. A Team Leader (Monitoring & Evaluation Specialist), a Statistician and a Social Development cum Gender Specialist will be required to carry-out the activities. The key professionals should have combined professional experience in the areas of monitoring and evaluation, impact assessment, socio-economic surveys, resettlement and rehabilitation, participation, community development and training for economic rehabilitation activities.

North Karnataka Urban Sector Investment Program

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