Common use of Post Review Clause in Contracts

Post Review. With respect to each contract not governed by paragraph 2 of this part, the procedures set forth in paragraph 4 of Appendix 1 to the Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Board shall: (a) enter into arrangements with each SO and WSUGs, as the case may be, under such terms and conditions, satisfactory to the Association, which shall include, inter alia, that: (i) each SO shall maintain policies separate accounts in respect of each Scheme being carried out by such SO under the Project in accordance with the accounting manual prepared by the Board as part of its Implementation Manuals; (ii) each SO shall furnish to the Board prior to each payment an updated Scheme accounts; and procedures adequate (iii) the Board shall not make any payment to enable it such SO until the accounts referred to monitor in subparagraph (ii) herein have been found satisfactory by the Board; (i) ensure that eligibility criteria for the selection of SOs and evaluate on an ongoing basisSchemes are satisfactory to the Association; (ii) select SOs and Schemes in accordance with such eligibility criteria; and (iii) review, at the end of the Implementation Phase of each Batch, the adequacy of such eligibility criteria and shall, if necessary, revise such criteria in a manner satisfactory to the Association to accomplish the purposes of the Project; and (c) The Board shall implement the IPDP, in accordance with the indicators objectives, policies, procedures, time schedules and other provisions set out forth therein, to ensure that indigenous people in Schedule 6 to this Agreementthe Project area shall benefit fully from the activities financed under the Project. (a) In respect of each Batch, the carrying out of the Project Board shall enter into: (i) a Development Phase agreement with SOs as appropriate; and (ii) an Implementation Phase tripartite agreement with a SO and the achievement of the objectives thereof;WSUC. (b) prepareEach agreement to be entered into pursuant to paragraph (a) above shall be entered in the case of the Development Phase agreement prior to commencement of the Development Phase, under and in case of the Implementation Phase agreement prior to commencement of the Implementation Phase. (c) Each agreement to be entered into pursuant to paragraph (a) above shall be made on terms of reference acceptable and conditions satisfactory to the AdministratorAssociation, including: (i) a clear definition of the role and furnish to the Administrator, commencing December 31, 2003, until completion responsibilities of each party thereto; (ii) in respect of any Scheme for renovation or construction under Part B of the Project, quarterly progress reports communities for whom such Schemes are carried out will be required to contribute, up-front and summary monthly progress statementsthrough the relevant WSUG, acceptable to all skilled and unskilled labor, whether in cash or in kind; and (iii) an under taking by benefiting communities for the Administratorprovision, covering the implementation in cash or in kind of the Project during the preceding period, each such report Operations and statement to include, inter alia, a detailed break-down Maintenance of expenditures incurred their respective Schemes. 3. The Board shall: (i) ensure that any private land needed for water supply and other construction under the Project during has been provided by the preceding period; (c) prepare, under terms owner of reference satisfactory to the Administratorsuch land in a voluntary manner, and furnish to in accordance with a memorandum of understanding, agreed with the AdministratorAssociation, on or about January 31, 2005, a mid-term report integrating between the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project WSUGs and the achievement owner of the objectives thereof during the period following such dateland; and and (dii) review with the Administrator, by March 31, 2006, or not commence such later date as the Administrator shall request, the report referred to works in subparagraph (c) locations where such land is needed until such a memorandum of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterunderstanding has been concluded.

Post Review. With respect to each contract not governed by paragraph 2 1 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientSFD shall: (a) maintain arrangements satisfactory to the Association, through the Palestinian Authority, shall cause PWA to be responsible for the implementation overall coordination and supervision of Project implementation; (b) employ consultants, with qualifications and terms of reference satisfactory to the Project. PWA shall be assisted Association, to assist in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes Project; (c) ensure that Sub-loans under Part B of the Project, including the arrangements for the making of Sub-loans under Part B (i) through financial institutions and under Part B (ii) through non-governmental organizations, shall be made in accordance with the requirements and other details set forth in the Operations Manual; (d) ensure that financial institutions carrying out Part B (i) of the Project are selected in accordance with the criteria set forth in the Operations Manual and are satisfactory to the Association; (e) require that: (i) the goods, works and consultants’ services to be financed out of the Sub-loans under Part B of the Project shall be procured at a reasonable price, account being taken also of other relevant factors such as well time of delivery and efficiency and reliability of the goods and availability of maintenance facilities and spare parts therefor, and, in the case of consultants’ services, of their quality and the competence of the parties rendering them; and (ii) such goods and services shall be used exclusively in the carrying out of Sub-projects; and (f) review with the Association, at such intervals as the preparation of implementation progress reportsAssociation or SFD shall request, the Operations Manual, and, based on such reviews, update the same as may be agreed between the Association and SFD. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, SFD shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this AgreementAssociation, the carrying out of the Project and of each Sub-project, and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January 31, 2005November 30 of each year, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the twelve-month period preceding the date of said report report; and on or about December 31, 2000, a mid-term report, integrating the data and other information contained in the reports prepared pursuant to this subparagraph, on the progress achieved in carrying out the Project and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March 31, 2006, or each such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, and thereafter, take all measures required to ensure the efficient completion carrying out of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient such report and the Administrator, and their Association’s views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. (a) The RecipientBorrower shall prepare and furnish to the Association a Project Implementation Manual in form and substance satisfactory to the Association setting out details of all procedures, through the Palestinian Authorityguidelines, shall cause PWA to be responsible processes, timetables and criteria for the implementation Project, including: (i) criteria for Subloans and Grants; and (ii) a requirement that a lease be granted to a Beneficiary for a period sufficiently long to enable that Beneficiary to carry out the specific Subproject under Part A of the Project. PWA , as specified in the Project Implementation Manual. (b) The Borrower shall be assisted carry out the Project in accordance with the Project Implementation Manual and, except as the Association shall otherwise agree, shall not amend or waive any provision of the Project Implementation Manual if, in the opinion of the Association, such amendment or waiver may materially and adversely affect the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under Project or the Project, as well as achievement of the preparation of implementation progress reportsobjectives thereof. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out forth in Schedule 6 5 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the AdministratorAssociation, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter aliaannually, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March 31, 2006within two months of the submission of the report, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter. 3. No later than eighteen (18) months after the Effective Date, the Borrower shall carry out, jointly with the Association and BNR a midterm review (the Midterm Review) of the progress made in carrying out the Project. The Midterm Review shall cover among other things: (a) an assessment of (A) work programs prepared as of the date of the Midterm Review and the progress made in carrying out the said programs, (B) training provided under the Project, (C) procurement under the Project, (D) the extent to which actions described in the indicators set out in Schedule 5 to this Agreement have been carried out, and (E) plans made or proposed for updating said indicators; and (b) a review of the state of any works carried out under the Project. (a) The Borrower shall establish and thereafter maintain a Project Advisory Committee in a form and with functions, staffing and resources satisfactory to the Association. PAC’s functions shall include the oversight and orientation of Program activities. The membership of PAC shall comprise: (i) the Minister responsible for Agriculture, Animal Resources, and Forestry as Chairman; (ii) representatives of the Ministries responsible for Finance; Planning;

Post Review. (a) With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1(b) With respect to each contract referred to in subparagraph (a) of this paragraph 3, the terms of reference shall be furnished to the Association for its prior review and approval. The Recipient, through the Palestinian Authority, contract shall cause PWA to be responsible awarded only after said approval shall have been given. (a) MOWHC shall have overall responsibility for the implementation of the ProjectProject through RAFU. PWA To this end, MOWHC shall be assisted in continue to maintain RAFU with staffing and terms of reference satisfactory to the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurementAssociation. (b) The Borrower shall: (i) take all measures necessary, disbursementincluding, monitoring and evaluation processes under the Projectif required, as well as the preparation of appropriate legislation, to establish the Road Agency; and (ii) if established thereafter, transfer to the Road Agency, RAFU’s responsibility for Project implementation. (c) MOWHC shall ensure that Project implementation progress reportsshall at all times be carried out in accordance with the PIP and the Financial Management Manual and, except as the Association shall otherwise agree, MOWHC shall not amend or waive any provision of the PIP or the Financial Management Manual so as to materially and adversely affect the implementation of the Project. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out forth in Schedule 6 5 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January 31, 200518 months after the Effective Date, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March 31, 200624 months after the Effective Date, or such later date as the Administrator Association shall request, the report referred to in subparagraph (cb) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through (a) For the Palestinian Authority, shall cause PWA to be responsible for purpose of ensuring the implementation proper coordination and efficient execution of the Project. PWA , the Borrower shall be assisted in continue to maintain the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reportsTraining Fund Executive Committee. 2. (b) The Recipient shallfunctions of said Training Fund Executive Committee shall include, not later inter alia the evaluation of training proposals estimated to cost more than JD2500 submitted to the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the ProjectPIU for funding. 3. The Recipient, through the Palestinian Authority, shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with For the indicators set out in Schedule 6 to this Agreement, purpose of ensuring the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion proper execution of the Project, quarterly progress reports the Borrower shall maintain the PIU with organization, staffing and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish Bank. (b) The Borrower shall require the PIU to: (i) maintain arrangements satisfactory to the AdministratorBank, on or about January 31for the overall coordination and supervision of Project implementation; (ii) employ consultants, 2005with qualifications and terms of reference satisfactory to the Bank, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved assist in the carrying out of the Project; (iii) ensure that Training Fund Subprojects under Part A of the Project during shall be made in accordance with the period preceding requirements and other details set forth in the date Operational Manual; (iv) ensure that institutions carrying out Part A of said report the Project are selected in accordance with the criteria set forth in the Operational Manual; (v) require that: (A) the goods and setting consultants’ services to be financed out of the measures recommended to ensure Training Fund Subprojects under Part A of the efficient Project shall be procured at a reasonable price, account being taken also of other relevant factors such as time of delivery and efficiency and reliability of the goods and availability of maintenance facilities and spare parts therefor, and, in the case of cons ultants’ services, of their quality and the competence of the parties rendering them; and (B) such goods and services shall be used exclusively in the carrying out of the Project Training Fund Subprojects; and the achievement of the objectives thereof during the period following such date; and (dvi) review with the AdministratorBank, by March 31, 2006, or at such later date intervals as the Administrator Bank or PIU shall request, the report referred to in subparagraph Operational Manual, and, based on such reviews, update the same as may be agreed between the Bank and PIU. (c) of this paragraph, and, thereafter, take all measures required to The Borrower shall ensure that the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matter.PIU will:

Post Review. With respect to each contract not governed by paragraph 2 1 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators agreed upon between the Borrower and set out forth in Schedule 6 7 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorBank, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorBank, on or about January 31June 30, 20052000, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorBank, by March 31September 30, 20062000, or such later date as the Administrator Bank shall request, the report referred to in subparagraph (cb) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Bank views on the matter. 2. The Borrower shall promptly carry out the EAP as provided therein. 3. The Borrower shall, prior to commencing the impounding of the Mohale reservoir: (a) submit to the Bank evidence that all affected households in the inundation zone have been: (i) satisfactorily resettled; and (ii) compensated in accordance with the provisions of the EAP; (b) submit an action plan, acceptable to the Bank, for LHDA’s response to any seismicity that may result from the impounding of the reservoir; (c) (i) complete the study referred to under Part E.2 of the Project; and (ii) promptly submit any results and recommendations thereof to the Bank for its review; and (d) design and implement measures for the management of downstream compensation releases from Matsoku, Katse and Mohale Dams, including but not limited to altering the operating regime releases and/or mitigating any adverse downstream impacts identified in the EAP, or as a result of the study referred to under Part E.2 of the Project.

Post Review. With respect to each contract not governed by paragraph 2 1 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well Except as the preparation Borrower shall otherwise agree, the Borrower shall, by March 31, 1999, employ the private operator to operate the water and sewerage systems on the basis of implementation progress reportsa management contract with terms and condition satisfactory to the Bank. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreementagreed upon between the Borrower and the Bank, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorBank, and furnish to the AdministratorBank, commencing December 31, 2003, until completion by October 31 of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter aliayear, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and; (dc) review with the AdministratorBank, by March 31, 2006, or such later date as the Administrator shall requestDecember 31 of each year, the report referred to in subparagraph (cb) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Bank views on the matter. 3. The Borrower shall, until completion of the Project and thereafter as environmentally required: (a) monitor, on a regular basis and in accordance with standards and procedures satisfactory to the Bank, the quality of the water near the sea outfall at Alacati, including the sampling of water for specific parameters, to assess the physical condition of said sea outfall; and (b) if corrective action is required, promptly take all measures necessary in a timely manner to restore the quality of the water to standards acceptable to the Bank.

Post Review. With respect to each contract not governed by paragraph 2 1 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. A. Overall Project Implementation 1. The Recipient, through the Palestinian Authority, Borrower shall cause PWA the PA to be responsible vest the responsibility for implementing Parts A and C (i) of the implementation Project in MOI and Part C (ii), as well as the environmental aspects of the Project, in PENA. PWA MOI shall be assisted in the carrying out of its such responsibilities by PMU. PMU PCU which shall be responsible responsible, inter alia, for the procurement, disbursement, monitoring coordination of the implementation of the Project and evaluation processes under the Project, as well as supervision of the preparation of implementation progress reportsexecution thereof. 2. The Recipient shall, not later than In order to achieve the conclusion objectives of the first contract procured pursuant Project, the Borrower shall cause the PA to: (a) maintain PCU, within MOI, with professional staff in adequate numbers, whose qualifications and experience shall be acceptable to the Administrator, to coordinate, supervise and report to the Administrator on the execution of Parts A and C of the Project and the procurement of goods and services thereunder; (b) employ consultants, in accordance with the provisions of Section I, Part B II of Schedule 3 to this Agreement, hire a construction managerwith qualifications and experience, whose responsibilities shall include under terms of reference and in accordance with time schedules acceptable to the supervision Administrator, to assist in the carrying out of Parts A and quality assurance C of works implemented under the Project; and (c) ensure that training activities under Part C of the Project shall be carried out in accordance with programs, including time-schedules for the implementation thereof, and criteria for the selection of candidates thereunder, agreed between the PA and the Administrator. 3. The RecipientBorrower shall cause the PA to establish, not later than September 30, 1997, and thereafter maintain, arrangements, satisfactory to the Administrator, pursuant to which PIECO shall implement Part B of the Project, such arrangements to include, inter alia, the obligation of PIECO to prepare and furnish to the PCU, for inclusion in the progress reports referred to in paragraph C of this Schedule, all information required to assess the progress in implementing Part B of the Project and the achievement of the objectives thereof. 4. The Borrower, through the Palestinian AuthorityPA, shall: shall cause XXXX to: (a) maintain policies carry out Part C (ii) of the Project with due diligence and procedures efficiency; (b) ensure implementation of all environmental aspects of the Project in accordance with the framework, criteria, requirements and other details set out in the Environmental Manual; and (c) prepare and furnish to the PCU, for inclusion in the progress reports referred to in paragraph C of this Schedule, all information required to assess the progress in implementing Part C (ii) and all environmental aspects of the Project, and the achievement of the objectives thereof. 5. The Borrower shall cause the PA, not later than December 31, 1998, to take all action necessary on its part to (a) transfer to PIFZA all of the responsibilities of MOI referred to under paragraph A.1 of this Schedule; and, thereafter (b) ensure that PIFZA shall carry out its operations and conduct its affairs in accordance with sound administrative, financial, engineering and environmental practices under the supervision of qualified and experienced management assisted by competent staff in adequate numbers. B. Cost Recovery under Part A of the Project The Borrower shall cause the PA to enable it establish and collect, commencing not later than December 31, 2002, charges sufficient to recover from the beneficiaries of the services referred to under Part A of the Project the total amount of the recurrent costs of operating and maintaining the structures, systems and networks required to provide said services, all in accordance with guidelines agreed upon between the PA and the Administrator. C. Progress Reports and Mid-Term Review The Borrower shall cause PA to: (a) monitor and evaluate evaluate, on an ongoing on-going basis, in accordance with indicators agreed with the indicators set out in Schedule 6 to this AgreementAdministrator, the carrying out of the Project and the achievement of the objectives thereof; ; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator: (i) not later than March 31 and September 30 of each year until completion of the Project, on or about January commencing March 31, 20051998, a mid-term report report, integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) above, on the progress achieved in the carrying out of this paragraphthe Project during the period of six (6) months preceding the date of such report, and (ii) not later than December 31, 2000, a mid-term report, integrating the data and other information contained in the reports prepared pursuant to subparagraph (b) (i) above, on the progress achieved in the carrying out of the Project during the period preceding the date of said mid-term report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and and (dc) review with the Administrator, by March 31, 2006, or Administrator each such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraphreport, and, thereafter, take all measures required to ensure the efficient completion implementation of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their ’s views on the matter. 1. For the purposes of this Schedule:

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. (a) The RecipientAuthority shall prepare and furnish to the Association a Project Implementation Manual in form and substance satisfactory to the Association setting out details of all procedures, through guidelines, processes, timetables and criteria for the Palestinian AuthorityProject. (b) The Authority shall carry out the Project in accordance with the Project Implementation Manual and, except as the Association shall otherwise agree, shall cause PWA to be responsible for the implementation not amend or waive any provision of the Project. PWA shall be assisted Project Implementation Manual if, in the opinion of the Association, such amendment or waiver may materially and adversely affect the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under Project or the Project, as well as achievement of the preparation of implementation progress reportsobjectives thereof. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Authority shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out forth in Schedule 6 3 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January 31June 15, 20052002, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March July 31, 20062002, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter. 3. The Authority shall carry out a comprehensive review and evaluation of the appropriate institutional arrangements and management with a view of making it a more effective and efficient institution. To this end, the Authority shall furnish to the Association its restructuring plan, including an organogram, job descriptions, timeframe and procedures for implementation (a) The Authority shall: (i) establish and thereafter maintain a Procurement Unit with functions, staffing and resources satisfactory to the Association; and (ii) employ and assign to the Procurement Unit a Procurement Officer with qualifications and experienced satisfactory to the Association. (b) The Authority shall take all measures necessary to establish the Procurement Unit and assign to the Procurement Unit a Procurement Officer selected in accordance with Section II of Schedule 1 to the Project Agreement by August 1, 2001. (c) Procurement under the Project shall be carried out by the Authority in close collaboration with the Lead Agency responsible for carrying out the various Parts of the Project. The Procurement Unit shall, on behalf of the Authority, consolidate the individual needs and procurement plans of the said Lead Agency into an overall annual procurement plan for the Project. The functions of the said Lead Agency shall include the preparation of lists of requirements and annual procurement plans for works, goods and services to be procured under their respective Project components. (d) The Procurement Unit shall promptly arrange for: (i) the consolidated annual work plans and procurement plans for the Project to be reviewed by the Board of Directors of the Authority; and (ii) the said plans to be sent to the Association for its approval. Progress in achieving the project objectives will be evaluated on the basis of the following key performance indicators: 1. Outcomes from environmental protection and rehabilitation activities implemented within target districts. Impact of activities planned for under the DEAP process and implemented within the District Development Plans will be monitored by DDP progress reports and by NEMA review. 2. Measurable changes in Ugandan’s behavior from environmental awareness campaigns. Measured as statistically significant before and after changes in attitudes and behavior. 3. Increasing level of compliance amongst regulated community. Compliance is measured as conformity to regulation within sectors and progress on mediation strategy for 21 of most polluting industries. Changes will be measured as improvement from baseline figures established at project effectiveness.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientBorrower shall: (a) implement the Project, through in accordance with the Palestinian Authorityprocedures set out in the PIM, and, except as the Association shall cause PWA to be responsible for otherwise agree, the Borrower shall not amend, or waive any provision thereof which, in the opinion of the Association, may materially and adversely affect the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shall:; (ab) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out forth in Schedule 6 to this the Development Credit Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the AdministratorAssociation, and furnish to the Administrator, on or about January 31, 2005Association not later than June 30 of each year during the execution of the Project, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (ac) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and; (d) review with the AdministratorAssociation, by March 31, 2006September 30 of each year throughout the execution of the Project, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter; (i) maintain ST-CPASE and the Steering Committee with functions and responsibilities and with qualified and experienced staff in adequate numbers, all satisfactory to the Association; (ii) maintain at all times as Project Coordinator a national of the Borrower with qualifications and experience satisfactory to the Association; and (iii) maintain at all times as head of ST-CPASE a national of the Borrower with qualifications and experience satisfactory to the Association; (f) (i) carry out the studies referred to under Parts A.4 (b) and C.2 of the Project; (ii) not later than February 28, 1999, submit the results and recommendations of the said studies to the Association for its review and comments; and (iii) promptly thereafter, implement the recommendations of the said studies, taking into account any comments thereon made by the Association. (a) The Borrower shall carry out, jointly with the Association, not later than one year after the Effective Date, a Mid-Term Review of the progress made in carrying out the Project. The said Mid-Term Review shall cover, among other things: (i) progress in meeting the Project’s objectives; and (ii) the performance by the Borrower of its respective obligations under the Project. (b) Not later than one month prior to the Mid-Term Review, the Borrower shall furnish to the Association, for review and comments, a report covering items specified in paragraph (a) above, including an evaluation of the progress achieved in the execution of the Project and recommendations resulting from the studies conducted under the Project. (c) Promptly after completing such review, the Borrower shall carry out the recommendations emanating from the said review, as agreed upon between the Borrower and the Association. 3. The Borrower shall: (a) establish, in the aggregate, 5000 additional primary school teachers’ positions, over and above the number of positions existing on its payroll as of June 30, 1998; (b) recruit qualified teachers to fill the said positions as follows: (i) a first increment of 2,000 teachers shall be recruited not later than September 30, 1998; (ii) a second increment of 1,500 teachers shall be recruited not later than September 30, 1999; and (iii) a third increment of 1,500 teachers shall be recruited by not later than September 30, 2000.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, Borrower shall cause PWA ICAT to be responsible for the implementation implement Part A of the Project. PWA , ITRA to implement Part B, in accordance with the ICAT and ITRA Multi-years Program Agreements, and shall be assisted in implement Parts C and D through the carrying out Rural Credit Monitoring Unit of its responsibilities by PMU. PMU shall be responsible for MAEP and the procurementSecretary General of MAEP, disbursementrespectively, monitoring and evaluation processes all under the Project, as well as the preparation overall supervision of implementation progress reportsCCS. 2. The Recipient Except as the Association shall otherwise agree, the Borrower shall, not later than the conclusion : (i) carry out Parts C and D of the first contract procured pursuant Project, and cause ICAT and ITRA, respectively, to Section I, Part carry out Parts A and B of Schedule 3 the Project, all in accordance with the Project Implementation Plan, and (ii) not permit, the Project Implementation Plan, or any provision thereof, to this Agreementbe waived or abrogated in a manner which, hire a construction managerin the opinion of the Association, whose responsibilities shall include may materially and adversely affect the supervision and quality assurance implementation of works implemented under the Project. 3. The RecipientBorrower shall, through the Palestinian Authority, shalland shall cause ICAT and ITRA to: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with performance indicators satisfactory to the indicators set out in Schedule 6 to this AgreementAssociation, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion Association for its review and comments semiannual progress reports on the status of the implementation of the Project, quarterly progress reports and summary monthly progress statements, acceptable to including regular assessment the Administrator, covering the implementation impact of the Project during the preceding periodon quality of agricultural services, each such report agricultural production and statement to includeproductivity, inter alia, a detailed break-down and farmers standard of expenditures incurred under the Project during the preceding periodliving; (c) preparenot later than October 30 of each year, under terms of reference satisfactory commencing on October 30, 1998, undertake, in conjunction with the Association and ICAT and ITRA, a joint annual review on all matters relating to the Administratorprogress of the Project and, in particular, the progress achieved by the Borrower and furnish ICAT and ITRA during the current fiscal year, having regard to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant indicators referred to in subparagraph (a) of this paragraph; (d) not later than one month prior to each annual review, furnish to the Association: (i) for its approval, a proposed annual work program, including a proposed budget and financing plan, for the forthcoming fiscal year; and (ii) for its review, a report in such detail as the Association shall reasonably request, on the progress achieved in the carrying out of the Project during the period preceding current year; (e) following each annual review, act promptly and diligently in order to take, or assist ICAT and ITRA in taking, any corrective action deemed necessary to remedy any shortcoming identified in the date of said report and setting out the measures recommended to ensure the efficient carrying out implementation of the Project Project, or to implement, or assist ICAT and ITRA in implementing, such measures as may have been agreed upon between the achievement parties in furtherance of the objectives thereof during of the period following such dateProject; and (df) review with promptly after the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafterEffective Date, take all measures required necessary on its part to ensure organize, in conjunction with the efficient completion Association and ICAT and ITRA, a workshop for the launching of the Project implementation which shall cover, inter alia, disbursement and procurement procedures and detailed timetables for the achievement implementation of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterProject.

Post Review. With respect to each contract not governed by paragraph 2 1 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientBorrower shall: (a) maintain or cause to be maintained arrangements, through satisfactory to the Palestinian AuthorityBank, under which MVTE shall cause PWA be responsible for the overall coordination and supervision of Project execution, in accordance with the details set forth in the Implementation Manual; (b) maintain, with resources and terms of reference satisfactory to the Bank; (i) a Project Implementation Unit, within MVTE, to be responsible for the implementation day-to-day coordination and supervision of Project execution, and (ii) a Technical Committee for each Subpart of the ProjectProject to be responsible for ensuring that such Subpart is designed and carried out in conformity with appropriate technical considerations; and (c) prepare and furnish to the Bank, by October 31 of each year, a plan for the carrying out of the activities under the Project during the following twelve months period, including implementation schedules, cost estimates and sources of funds therefor. 2. PWA shall be assisted The Borrower shall: (a) employ consultants and other experts, with qualification and terms of reference satisfactory to the Bank, to assist in the carrying out of its responsibilities by PMU. PMU the Project; (b) maintain arrangements, satisfactory to the Bank, with CDR pursuant to which CDR shall undertake the procurement of goods, works and consultants’ services under the Project on behalf of the Borrower; and (c) (i) ensure that the plan referred to under Part A.1 (c) of the Project shall be responsible prepared and furnished to the Bank for its review and comments, by December 31, 1999, and (ii) after taking into consideration the procurementBank views thereon, disbursement, monitoring finalize and evaluation processes under thereafter implement said plan in accordance with a time schedule agreed with the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the ProjectBank. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, basis in accordance with the indicators set out in Schedule 6 to this Agreementagreed upon between the Borrower and the Bank, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorBank, and furnish to the AdministratorBank, commencing December 31not later than (i) October 31 and April 30 of each year, 2003, until completion of a report on the Project, quarterly progress reports and summary monthly progress statements, acceptable to achieved in the Administrator, covering the implementation of carrying out the Project during and the preceding period, each measures to be undertaken to ensure such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administratorprogress, and furnish to the Administrator, on or about (ii) January 31, 20052001, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorBank (i) by November 30 of each year, the reports referred to in paragraph (b) (i) of this Section for such year and the measures to be undertaken to ensure the efficient carrying out of the Project during the following twelve months period; and (ii) by March 31April 30, 20062001, or such later date as the Administrator Bank shall request, the report referred to in subparagraph paragraph (cb) (ii) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Bank views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Guidelines shall apply. The provisions of this Schedule shall apply for the purposes of Section 3.01 (b) of this Agreement. 1. The RecipientProject shall be carried out by the Borrower with the assistance of the NBM. For this purpose, through the Palestinian Authority, Borrower shall maintain or cause PWA to be maintained within NBM: (a) a separate unit (the Apex Unit), with staff and other resources and terms of reference satisfactory to the Bank, responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project; and (b) arrangements, as well as satisfactory to the preparation Bank, with NBM, pursuant to which NBM shall continue to assist the Borrower in determining the compliance by PFIs with the conditions set forth in Part B of implementation progress reportsthe Annex to this Schedule. 2. The Recipient For the purpose of carrying out the Project, the Borrower shall, not later than through the conclusion Apex Unit: (a) relend to the PFIs the equivalent of the first contract procured pursuant proceeds of the Loan under Subsidiary Financing Agreements entered into or to Section Ibe entered into between the Borrower and each such PFI, Part B of Schedule 3 under terms and conditions which shall have been approved by the Bank, and which shall include, without limitation, those set forth in the Annex to this AgreementSchedule; (b) monitor the overall execution of the Project and the carrying out by the PFIs of obligations under their respective Subsidiary Financing Agreements in accordance with policies and procedures satisfactory to the Bank; and (c) take or cause to be taken all action necessary or appropriate on its part to enable the PFIs to perform in accordance with the provisions of their respective Subsidiary Financing Agreements all the obligations of the PFIs therein set forth, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Projectnot take or permit to be taken any action which would prevent or interfere with such performance. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this AgreementBank, the carrying out of the Project and the achievement of the objectives thereof;. (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, prepare under terms of reference satisfactory to the AdministratorBank, and furnish to the AdministratorBank, on or about January March 31, 20051999, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply.. Part A: Project Management 1. The RecipientBorrower shall assign the general responsibility for Project implementation to SDFRSDF under an Subsidiary Implementation Agreement to be entered into between the Borrower, and GSG and SDFRSDF under terms and conditions which shall have been agreed upon with the Bank and which shall include, inter alia, provisions whereby: (a) the Borrower, acting through the Palestinian AuthorityGSG, shall cause PWA make the proceeds of the Loan available to SDFRSDF in the form of a grant budgetary allocation; (b) SDFRSDF shall be required to implement the Project in accordance with the SDFRSDF Law, the Operational Manual and the provisions of this Loan Agreement; and (c) SDFRSDF shall be required as part of its responsibility for Project implementation: (i) to prepare and furnish to the Bank, by March 31 in each year, for its review and concurrence, an annual work program for the Project; (ii) to maintain the Project financial records and accounts and to arrange for the audit thereof; (iii) to prepare applications for withdrawal of the proceeds of the Loan; (iv) to assist the RecipientBenefsiciaries in the preparation of bidding and contract documents for activities to be responsible for financed under the Grant Agreement; (v) to supervise the implementation of the Project. PWA shall be assisted , including supervising the progress of each Subproject; and (vi) to prepare and furnish to the Borrower and the Bank, starting in June 1999, semi-annual reports on the progress of Project implementation, based on the indicators set forth in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reportsProgram. 2. The Recipient shallBorrower shall ensure the adoption by the Steering Committee, not later than on the conclusion basis of the first contract procured pursuant SDFRSDF’s Law, of an Operational Manual satisfactory to Section I, Part B the Bank to govern SDFRSDF’s activities under the Project. The Operational Manual shall cover such matters as: (a) eligibility criteria for RecipientsBeneficiaries; (b) the principles and procedures to be followed for the approval of Schedule 3 Subprojects; (c) the terms and conditions to this Agreement, hire a construction manager, whose responsibilities shall include be included in the supervision Grant Agreements; (d) the indicators to be utilized by SDFRSDF in monitoring the progress of the Project; and quality assurance (e) the financial management system to be adopted by SDFRSDF to control the use of works implemented under funds made available to it for purposes of the Project. 3. The Recipient, through the Palestinian Authority, shall: (a) maintain policies and procedures adequate Borrower shall cause SDFRSDF to enable it to monitor and evaluate on an ongoing basisensure participation by RecipientsBeneficiaries, in accordance with the indicators principles set out forth in Schedule 6 to this Agreementthe Operational Manual, in the carrying out preparation of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterSubprojects.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. (a) The RecipientBorrower shall prepare and furnish to the Association a Project Implementation Manual in form and substance satisfactory to the Association setting out details of all procedures, through the Palestinian Authorityguidelines, shall cause PWA to be responsible timetables and criteria required for the implementation Project. (b) The Borrower shall carry out the Project in accordance with the Project Implementation Manual and, except as the Association shall otherwise agree, the Borrower shall not amend or waive any provision of the Project. PWA shall be assisted Project Implementation Manual if, in the opinion of the Association, such amendment or waiver may materially and adversely affect the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under Project or the Project, as well as achievement of the preparation of implementation progress reportsobjectives thereof. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out forth in Schedule 6 to this Agreement, : (i) the carrying out by the Borrower of the Project Project; and (ii) the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January 31, 2005March 31 and September 30 of each year, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on on: (i) the progress achieved in the carrying out of the Project Project, during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project Project; and (ii) the achievement of the objectives thereof during the period following such date; and; (dc) review with the Administrator, Association by March 31, 2006May 31 and November 30 of each year, or such later date as the Administrator Association shall request, the report referred to in subparagraph (cb) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter; and (d) The Borrower shall prepare and furnish to the Association no later than January 30th in each year of the Project an action plan (the Action Plan) including an annual work plan and budget and procurement plan in form and substance satisfactory to the Association. (a) The Borrower shall, no later than December 31, 2002, carry out jointly with the Association, a mid-term review of the progress made in carrying out their respective Parts of the Project. The Mid-Term Review shall cover, among other things, the progress made in meeting the objectives of the Project; and (ii) the overall performance of the Borrower of the Project. (b) The Borrower shall carry out, no later than one month after the completion of the Mid-Term Review the recommendations of the Mid-Term Review as agreed with the Association and set out in an action plan for the respective Parts of the Project satisfactory to the Association.

Post Review. With respect to each contract not governed by paragraph 2 1 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. (a) The RecipientRecipient shall appoint the members of the project implementation team (PIT) located in the Planning Unit, through the Palestinian Authorityand comprising a project coordinator, shall cause PWA an engineer, a planner and an accountant, to be responsible for the implementation day-to-day management of the Project. PWA shall be assisted in the carrying out activities of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient(b) Subject to the oversight functions and policy guidance of MMET, through the Palestinian AuthorityPIT shall be responsible for: (i) coordination of procurement and disbursement activities, shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to audits under Article IV of this Agreement, and preparation of annual and quarterly progress reports, and work plans and training programs, under the carrying out Project; and (ii) monitoring of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation evaluation of the Project during impact of the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period;activities thereof. (c) prepareThe Recipient shall ensure that the higher level positions of PIT, under terms of reference satisfactory which are referred to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to in subparagraph (a) of this paragraph, on shall be kept filled at all times by appropriate officials, having qualifications, experience and terms of reference which shall have been communicated to, and deemed acceptable by, the progress achieved in Bank. 2. The Recipient shall: (a) prepare and transmit to the carrying out Bank (i) a Project Implementation Plan, acceptable to the Bank, giving details of all procurement and disbursement arrangements, performance indicators and other administrative, financial and organizational arrangements, as shall have been agreed with the Bank for purposes of the Project during Project, and (ii) a Procedures Manual, acceptable to the period preceding Bank, giving details of procedural arrangements for the date identification, preparation, approval and implementation of said report Subprojects, and setting out submission of requests for financing, including criteria for the measures recommended to ensure the efficient carrying out determination of the Project eligible Beneficiaries and the achievement approval of the objectives thereof during the period following such dateSubgrants, monitoring and evaluation processes, applicable procurement, disbursement and other implementation guidelines, and model forms of Beneficiary Contracts; and (db) review carry out the Project in accordance with procedures set out in the AdministratorProject Implementation Plan and Procedures Manual and, by March 31, 2006, or such later date except as the Administrator Bank shall requestotherwise agree, shall not amend or waive any provision thereof, if such amendment or waiver may, in the opinion of the Bank, materially or adversely affect the implementation of the Project. 3. For purposes of Part A.3 of the Project, the report referred to in subparagraph (c) of this paragraph, and, thereafter, Recipient shall take all measures required steps to ensure the efficient completion of the Project that DNPWLM shall, not later than June 30, 2000, have in place adequate financial management systems and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterdecentralized commercial accounting systems.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, PPWSA shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003maintain, until completion of the Project, quarterly progress reports the PPWSA PMO, headed by a qualified and summary monthly progress statementsexperienced officer, acceptable with such functions, responsibilities and funds, satisfactory to the AdministratorAssociation, covering and with competent staff in adequate numbers, as shall be required for implementation of Part B of the Project, including: (i) engaging the services of contractors and consultants to carry out implementation of Part B of the Project; (ii) approval of payments from the PPWSA Special Account to contractors and consultants for expenditures incurred for carrying out Part B of the Project; and (iii) monitoring and evaluation of impacts under Part B of the Project, including its environmental and social impacts. 2. PPWSA shall: (a) carry out Part B of the Project during in accordance with the preceding periodPPWSA Project Implementation Plan, each such report satisfactory to the Association, which shall include: (i) implementation arrangements; (ii) the procurement procedures set forth in Schedule 1 to this Agreement and statement to includestandard procurement documentation; (iii) reporting requirements, inter aliafinancial management procedures and audit procedures as set forth in Article 4 of this Agreement; (iv) the project performance indicators set forth in a supplemental letter of even date herewith; (v) measures required under Guidelines on Resettlement and Compensation of Land and Other Assets, a detailed break-down the Ethnic Minorities Development Strategy, and the Environmental Assessments; and (vi) procedures for monitoring and reporting of expenditures incurred under the Project during progress of the preceding period;Project; and (cb) prepareshall not amend, under waive or abrogate the provisions of the PPWSA Project Implementation Plan without the prior concurrence of the Association. PPWSA shall: (a) design chart of accounts and install a specialized financial management software for the PPWSA PMO, (b) appoint a project accountant and an assistant accountant with terms of reference satisfactory to the AdministratorAssociation for the PPWSA PMO, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required provide accounting and disbursement training to ensure the efficient completion staff of the Project PPWSA PMO; all in a manner and substance satisfactory to the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterAssociation.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientExcept as the Association shall otherwise agree, through GAMWORKS shall carry out Parts A, B.2 and B.3 of the Palestinian AuthorityProject in accordance with the Framework Agreement, the MOP and the PIP and shall cause PWA to be responsible for not amend the Framework Agreement, the MOP and the PIP or waive any provision thereof which, in the opinion of the Association, will materially or adversely affect the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, GAMWORKS shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this AgreementAssociation, the carrying out of Parts A, B.2 and B.3 of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January 31September 30, 2005in each year, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of Parts A, B.2 and B.3 of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and; (dc) review with the AdministratorAssociation, by March 31, 2006December 31 of each year, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter.; (d) carry out, jointly with the Borrower and the Association, no later than December 31, 2000, a mid-term review of the progress made in carrying out of Parts A, B.2 and B.3 of the Project. The said mid-term review shall cover, among other things: (i) progress in meeting the Project’s objectives; and (ii) performance by GAMWORKS of its obligations under the Project; and (e) implement the recommendations of the review referred to in subparagraph

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientNEA shall, through until the Palestinian Authoritycompletion of the Project, maintain qualified and experienced staff in adequate numbers, and shall cause PWA prepare and submit to be responsible for the Association on a trimestrial basis, a report on the progress of the implementation of Part C of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion NEA shall carry out Part C of the first contract procured pursuant to Section IProject in accordance with procedures set out in the NEA Implementation Plan and in the Policy Framework for Environmental and Social Impact Assessment, and except as the Association shall otherwise agree, shall not amend or waive any provisions thereof, if such amendments or waiver may, in the opinion of the Association, materially or adversely affect the implementation of Part B C of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, NEA shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this AgreementAssociation, the carrying out of Part C of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January December 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of Part C of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of Part C of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March January 31, 2006, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of Part C of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientBorrower shall implement the Project in accordance with the procedures, through guidelines, timetables and criteria set forth in the Palestinian AuthorityPIM and, except as the Association shall cause PWA to be responsible for otherwise agree, the Borrower shall not amend or waive any provision of said PIM if, in the opinion of the Association, such amendment or waiver may materially and adversely affect the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient Borrower shall, not later than for the conclusion purposes of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under carrying out the Project, establish and thereafter maintain: (a) the SC with membership and oversight functions and responsibilities satisfactory to the Association; and (b) the PU, with functions, responsibilities and qualified staff in adequate numbers, all satisfactory to the Association. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out forth in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the AdministratorAssociation, commencing December 31, 2003, until completion by March 31 of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter aliayear, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March 31, 2006May 15 of each year, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, and thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter.

Post Review. With respect to each contract not governed by paragraph 1 and 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. The provisions of this Schedule shall apply for the purposes of Section 3.01 (b) of this Agreement. 1. The Recipient, through the Palestinian Authority, DGH and ONEP shall cause PWA to be responsible have overall responsibility for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMUthis Project. PMU shall For this purpose, the Borrower shall, through DGH and ONEP: (a) prepare, no later than March 31 of each year, in consultation with the Beneficiaries a detailed program for construction and rehabilitation of rural water supply and sanitation systems, including a plan for allocation of budgetary and non-budgetary local resources, to be responsible implemented during the following Fiscal Year and finalized before the September 30 of that year taking into account the observations of the Bank; (b) prior to the start of works in the villages, take all necessary measures for the procurementsetting up of a WUA or any other management mechanism satisfactory to the bank in each village and reach an agreement satisfactory to the Bank on operation and maintenance responsibility with the WUA or said management mechanism; (c) ensure that appropriate training for operation and monitoring is provided to a representative of each WUA or other management mechanism acceptable to the Bank, disbursementprior to the handing over of the rural water supply system to be operated by the said WUA; and (d) Set up an MPT in each of the Priority Provinces, monitoring and evaluation processes under the Projectthat shall consist of three (3) members, as well as the preparation one of implementation progress reportsthem being, when possible, a woman. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shallBorrower Shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, agreed upon between the Borrower and the Bank the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms through the monitoring and evaluation units of reference acceptable to the Administrator, DGH and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepareONEP, under terms of reference satisfactory to the AdministratorBank, and furnish to the AdministratorBank, on or about January 31June 30, 20051999, a mid-mid term review report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. A. Overall Project Implementation and Coordination 1. The RecipientEHCAAN shall establish no later than June 1, through 2004 and thereafter maintain a Steering Committee throughout the Palestinian Authority, shall cause PWA to be responsible for the implementation duration of the Project, with membership and terms of reference satisfactory to the Bank. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible The Steering Committee shall, inter alia, have responsibility for the procurement, disbursement, monitoring Project oversight and evaluation processes under the Project, as well as the preparation of implementation progress reportscoordination. 2. The Recipient shall, not EHCAAN shall appoint the head of the PMU by no later than May 31, 2004 and maintain the conclusion PMU throughout the duration of the first contract procured pursuant Project with organization, staffing and terms of reference at all times satisfactory to Section Ithe Bank. EHCAAN shall cause the PMU to: (a) maintain arrangements satisfactory to the Bank for the overall management, Part B coordination and supervision of Schedule 3 the Project implementation in accordance with the PIP and the Environmental Management Plans; (b) operate the Project financial management system in a manner satisfactory to this Agreement, hire a construction manager, whose responsibilities shall include the supervision Bank; (c) gather data to maintain Project indicators; (d) coordinate the procurement and quality assurance of works implemented under the Projectdisbursement process; and (e) prepare and submit progress reports and financial monitoring reports. 3. The RecipientFor the purpose of carrying out Parts A and B of the Project, through EHCAAN shall by no later than June 30, 2004, enter into appropriate contractual arrangements, satisfactory to the Palestinian Authority, shall: Bank with: (a) maintain policies CAC (the CAC Agreement); and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepareEAC (the EAC Agreement), under respectively. The said agreements shall stipulate, inter alia, that: (a) CAC and EAC shall, on behalf of EHCAAN, implement Parts A and B of the Project, respectively; (b) to this end, CAC and EAC shall: (i) appoint a procurement officer with qualifications, experience and terms of reference acceptable to the AdministratorBank, and furnish to for the Administrator, commencing December 31, 2003, until completion duration of the Project, quarterly to coordinate with the PMU at EHCAAN and to ensure that the procurement of works under Parts A and B of the Project is conducted as per the Bank’s Procurement Guidelines and Schedule 1 to the Project Agreement; (ii) enter into contracts with contractors; (iii) prepare, maintain and submit monthly, quarterly, and annual progress reports to EHCAAN and summary monthly progress statementsthe PMU; (iv) prepare annual financial statements in accordance with International Accounting Standards; (v) have their respective accounts audited on an annual basis by independent auditors in accordance with International Standards on Auditing; (vi) submit annual audit reports to EHCAAN, six months from the end of each Fiscal Year; (vii) appoint a financial officer with qualifications, experience and terms of reference acceptable to the AdministratorBank, covering for the duration of the Project, to coordinate with the PMU at EHCAAN and to ensure that documents, reports and information are promptly provided to EHCAAN and the PMU; (viii) carry out their activities and obligations in accordance with sound administrative, engineering, accounting and environmental standards; (ix) for the duration of the Project, make available to EHCAAN, the auditors of EHCAAN and the Project auditors referred to in Section 4.01. of the Project Agreement all documents, books, and records pertaining to the Project activities; (x) respond to queries, report findings and comments by EHCAAN, auditors of EHCAAN and the Project auditors referred to in Section 4.01. of the Project Agreement; and (xi) implement their respective parts of the Project in accordance with the Environmental Management Plans and the PIP; and (c) EHCAAN shall, on behalf of CAC and EAC, arrange to pay the said contractors respectively. 4. EHCAAN shall: (a) no later than July 1, 2004, establish and thereafter maintain an environmental management unit within CAC; and (b) no later than August 1, 2004, establish and thereafter maintain an environmental management unit within EAC. The said environmental management units shall oversee, monitor and participate in the implementation of the EMPs and provide, as part of the Project during progress reports and mid-term review referred to in paragraph B of this Schedule, noise and air quality monitoring data and appropriate mitigating measures in accordance with the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred EMPs. 5. EHCAAN shall ensure that: (a) no activity shall be undertaken under the Project during involving the preceding period; involuntary acquisition of land or involuntary resettlement of occupants or owners of such land; and (cb) prepare, under terms of reference satisfactory to any such land required for the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out purposes of the Project during shall be acquired on a voluntary basis. 6. EHCAAN shall prepare and submit to the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review Bank, procurement reports in accordance with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterPIP.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, ADF shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this AgreementAssociation, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January August 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation, by March 31September 30, 20062005, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter. 2. Under Part A of the Project, ADF shall: (a) make available to the Beneficiaries grants referred to in the Regulations and Operational Guidelines under agreements to be entered into between ADF and each Beneficiary, under the terms and conditions referred to in the Regulations and Operational Guidelines and which shall have been approved by the Association; and (b) exercise its rights under such agreements in such manner as to protect the interest of the Association and ADF and to accomplish the purposes of the Project, and shall not assign, amend, abrogate or waive any of such agreements, or any provisions thereof. 3. ADF shall: (a) coordinate and monitor the overall execution of the Project and supervise the carrying out by the Beneficiaries of their obligations pursuant to their respective agreements in accordance with policies and procedures satisfactory to the Association; (b) not later than November 30 of each year, prepare and furnish to the Association for review and comment, work plans and budgets for activities under each Part for the next calendar year, which would include, among other things, specific proposals for the use of Xxxxxxxx’s contribution; and (c) by January 31, April 30, July 31 and October 30 of each year, prepare and furnish to the Association for review a report, of such scope and detail as the Association shall reasonably request, on the progress of and the execution of the Project.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1(a) The Borrower shall prepare and furnish to the Association a Project Implementation Plan and a related budget in form and substance satisfactory to the Association. The RecipientProject Implementation Plan shall, through the Palestinian Authorityinter alia, shall cause PWA set out, with respect to be responsible for the implementation Part D of the Project. PWA shall be assisted in : (i) the eligibility criteria and terms and conditions, satisfactory to the Association, for the provision of a Grant to any Beneficiary; and (ii) procedures and guidelines, satisfactory to the Association, applicable to the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under said Part of the Project. (b) The Borrower shall carry out the Project in accordance with the Project Implementation Plan, as well and except as the preparation Association shall otherwise agree, shall not amend or waive any provision of implementation progress reportsthe Project Implementation Plan, if such amendment or waiver may, in the opinion of the Association, materially or adversely affect the carrying out of the Project. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the performance indicators set out forth in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the AdministratorAssociation and other Project Partners, commencing December 31no later than October 30 of each year, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term an annual health sector report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report Report, the status of performance indicators as described in Schedule 6 to this Agreement, and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorAssociation and Project Partners, by March 31, 2006, no later than November 15 of each year or such later date as the Administrator Association shall requestagree, the report referred to in subparagraph paragraph (cb) of this paragraphSection. The review shall cover, andamong other things (i) the progress made in meeting the objectives of the Project; and (ii) the Borrower’s overall performance in the execution of the Project. Thereafter, thereafter, the Borrower shall take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter. 3. The Borrower shall (a) no later than November 15, 2002, or such other date as the Borrower and the Association shall determine, carry out (jointly with the Association and the Project Partners) a midterm review and evaluation of progress made towards the achievement of the Project’s objectives, including an evaluation of the progress achieved in meeting the targets agreed by the Borrower and the Association as necessary for the attainment of said Project objectives; and (b) no later than June 30, 2003, submit to the Association an overall assessment of the results achieved in the execution of the Project and of the Borrower’s readiness to move into the second phase of the Program.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Guidelines shall apply.” The provisions of this Schedule shall apply for the purposes of Section 3.01 (b) of this Agreement. 1. The RecipientProject shall be carried out by the Borrower with the assistance of the NBM. For this purpose, through the Palestinian Authority, Borrower shall maintain or cause PWA to be maintained within NBM: (a) a separate unit (the Apex Unit), with staff and other resources and terms of reference satisfactory to the Bank, responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project; and (b) arrangements, as well as satisfactory to the preparation Bank, with NBM, pursuant to which NBM shall continue to assist the Borrower in determining the compliance by PFIs with the conditions set forth in Part B of implementation progress reportsthe Annex to this Schedule. 2. The Recipient For the purpose of carrying out the Project, the Borrower shall, not later than through the conclusion Apex Unit: (a) relend to the PFIs the equivalent of the first contract procured pursuant proceeds of the Loan under Subsidiary Financing Agreements entered into or to Section Ibe entered into between the Borrower acting through the NBM as its Fiscal Agent and each such PFI, Part B of Schedule 3 under terms and conditions which shall have been approved by the Bank, and which shall include, without limitation, those set forth in the Annex to this AgreementSchedule; (b) monitor the overall execution of the Project and the carrying out by the PFIs of obligations under their respective Subsidiary Financing Agreements in accordance with policies and procedures satisfactory to the Bank; and (c) take or cause to be taken all action necessary or appropriate on its part to enable the PFIs to perform in accordance with the provisions of their respective Subsidiary Financing Agreements all the obligations of the PFIs therein set forth, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Projectnot take or permit to be taken any action which would prevent or interfere with such performance. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this AgreementBank, the carrying out of the Project and the achievement of the objectives thereof;. (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, prepare under terms of reference satisfactory to the AdministratorBank, and furnish to the AdministratorBank, on or about January March 31, 20051999, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Administrator, by March 31, 2006, or such later date as the Administrator shall request, the report referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matter.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through Without limitation to the Palestinian Authority, shall cause PWA to be responsible for the implementation provisions of the Project. PWA shall be assisted in the carrying out Section 5.02 of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies carry out the environmental training program for DGI and procedures adequate DGE described in the MMEMAP in a manner satisfactory to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereofAssociation; (b) prepareprepare specific requirements for environmental impact assessment and mitigation measures, under terms of reference acceptable satisfactory to the AdministratorAssociation, with respect to all civil works to be carried out under the Project, and furnish to include these requirements in the Administratorbidding and contractual documentation regarding the implementation of such civil works; and (c) carry out the public education, commencing December 31consultation and awareness program described in the MMEMAP. 2. The Borrower shall ensure that, 2003at all times during the execution of the Project: (a) the qualifications, until completion experience and performance of the staff within DGI, DRIs, MEEU and FER, in charge directly or indirectly of the implementation of any parts of the Project, quarterly progress reports and summary monthly progress statements, acceptable shall be satisfactory to the AdministratorAssociation; (b) FER, covering CC and the implementation of Steering Committee shall be maintained with functions, composition and staff with qualifications, experience and performance satisfactory to the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding periodAssociation; (c) preparethe relevant Ministries, under terms Agencies and authorities (in particular, MPE and DGE) shall collaborate with DGI and DRIs in compliance with the provisions of reference the EIA and the Project Implementation Plan, in particular, with respect to the appointment of individuals whose qualifications, experience, position and performance are satisfactory to the AdministratorAssociation, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results who shall assist DGI and DRIs in ensuring proper implementation of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such dateProject; and (d) review with the Administratorproceeds of FER shall be used solely for the purposes of defraying the cost of expenditures incurred for road maintenance and rehabilitation operations in the territory of the Borrower. 3. Except as the Association shall otherwise agree, by March 31the Borrower shall: (i) apply criteria, 2006policies, procedures and arrangements set out in the Project Implementation Plan and the Financial Management Procedures Manual; and (ii) not amend or waive, or such later date as the Administrator shall requestpermit to be amended or waived, the report referred to EIA, the Project Implementation Plan and the Financial Management Procedures Manual or any provision thereof, in subparagraph (c) of this paragrapha manner which, and, thereafter, take all measures required to ensure in the efficient completion opinion of the Project Association, may materially and adversely affect the achievement implementation of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterProject.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientBCRG shall: (a) implement the Project, through in accordance with the Palestinian Authorityprocedures set out in the PIM, and, except as the Association shall otherwise agree, shall cause PWA to be responsible for not amend, or waive any provision thereof which, in the opinion of the Association, may materially and adversely affect the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shall:; (ab) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the indicators set out in Schedule 6 to this Agreement, Association the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the AdministratorAssociation, and furnish to the Administrator, on or about January 31, 2005Association by not later than June 30 of each year during the execution of the Project, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (ab) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and; (d) review with the AdministratorAssociation, by March 31, 2006September 30 of each year throughout the execution of the Project, or such later date as the Administrator Association shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association’s views on the matter.; (e) establish MSMU with functions and responsibilities and with qualified and experienced staff in adequate number, all satisfactory to the Association; and (ii) appoint and thereafter maintain at all times as Project Coordinator and Head of MSMU a Guinean professional with qualifications and experience satisfactory to the Association; (f) (i) carry out the study referred to under Part B.2 of the Project;

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. A. Project Management 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, carry out the Project in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out provisions of the Project Implementation Manual, as adopted by the PIU and shall ensure that the achievement provisions of such Project Implementation Manual are not amended without the prior consent of the objectives thereofAssociation; (b) preparemaintain the PIU at least until Project completion, under terms of reference acceptable headed by an individual whose qualifications and experience are satisfactory to the Administrator, Association; and furnish to ensure that the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports PIU has appropriate facilities and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding periodis staffed with sufficient personnel with adequate qualifications; (c) preparecause the PIU, under terms the general supervision of reference satisfactory the Board, to carry out the responsibilities for coordination and management of Project implementation which shall include: (i) the preparation and furnishing to the AdministratorAssociation, for its concurrence, of annual work programs in respect of the Project; (ii) the preparation of procurement and furnish contract documents under the Project; (iii) the maintenance of the Project’s financial records, including in respect of the Special Account and the Project Account; (iv) the supervision of work under the Project, in close coordination with the Board and the Ministry; and (v) the preparation and furnishing to the AdministratorBoard and the Association, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, quarterly reports on the progress achieved in the carrying out status of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such dateimplementation; and (d) review employ a management advisor, financial advisor, procurement specialist and monitoring and evaluation specialist in accordance with the Administratorprovisions of Section II of Schedule 3 to this Agreement no later than May 1, by March 311998. 2. Until Project completion, 2006the Borrower shall maintain the Project Account and make quarterly deposits therein in such amounts as shall be adequate to finance the Borrower’s contribution to the Project in a timely manner. B. Part A of the Project 1. The Borrower shall: (a) assign the responsibility for the carrying out, or review and approval of works included in Part A of the Project to the PIU and shall, for this purpose, cause the PIU to designate not later than April 1, 1998 from among its staff an official with suitable qualifications and experience satisfactory to the Association, to be responsible for the management of said Part; (b) cause the Committee which will be responsible for the selection of activities to be carried out under Part A of the Project, to collaborate effectively with the PIU and cause the PIU to provide technical assistance to the Committee, as needed. C. Part B of the Project 1. In carrying out Part B of the Project, the PIU shall: (i) prepare and furnish to the Bank, for its concurrence, a detailed plan, including the engineering designs, social and environmental analysis and procurement plan, prior to the carrying out of the restoration works in Old Tbilisi; (ii) prepare and furnish to the Association site management plans in such later date scope and detail as the Administrator Association shall requestrequest in respect of the site at Signaghi or any other site included in Part B of the Project; and (iii) thereafter carry out said plans in accordance with the time schedule set forth therein; 2. The PIU shall adopt and implement procedures to ensure active participation of local residents and other stakeholders, such as private vendors, tourism associations, interested investors and municipal bodies, in the report preparation and implementation of the plan referred to in subparagraph paragraph (c1) above. 3. The Borrower shall carry out the resettlement plan referred to in Section 3 (ii) of this paragraphSchedule 1 in accordance with principles and guidelines agreed with the Association and pursuant to a time-bound action plan, andsatisfactory to the Association, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based which shall be prepared on the conclusions basis of said guidelines and agreed recommendations furnished to the Association in accordance with the provisions of the Recipient and the Administrator, and their views on the matterSection 3 (ii) of Schedule 1.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. A. Implementation Responsibilities (1. ) The RecipientPIT, through acting under the Palestinian Authoritydirection of the Project Manager, shall cause PWA to be responsible bear all technical responsibilities for implementing the implementation of the Project. PWA shall be assisted Project as described in the carrying out PIP, including: (a) preparation of its responsibilities by PMU. PMU shall be responsible an annual plan for Project implementation; (b) preparation, with the procurementassistance of consultants, disbursement, monitoring Republika Srpska and evaluation processes the Federation of bidding and contract documents under the Project; (c) the maintenance of the Project financial records and accounts and arranging for the audit thereof; (d) preparation of the quarterly reports on Project progress, referred to in Part B of this Schedule; and (e) supervision of progress of Project implementation. (2) Republika Srpska, acting through the RSCA, shall ensure that the PIT shall be maintained until the completion of the Project under terms of reference and with staff and other measures satisfactory to the Association. (3) Republika Srpska shall ensure: (a) that each annual plan for Project implementation referred to paragraph (1) above shall be prepared after a review between Republika Srpska and the Association of progress in meeting the targets indicated in the PIP, including the targets set forth in the Annex to this Schedule; and (b) that the inclusion of investments and other Project activities in said plan, as well as the preparation of implementation progress reportsprocurement arrangements thereof, shall be made in agreement between Republika Srpska and the Association, taking into account the requirements set forth in the Environmental Management Plan. 2. The Recipient (4) Republika Srpska shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shall: : (a) maintain policies its participation in the RSC; and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms inform the Association of reference acceptable to actions taken at the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering RSC level which may affect the implementation of the Project during Regional Program or of measures included in the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period;PIP. (c5) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to Republika Srpska shall ensure the efficient carrying out of the Project establishment and the achievement of the objectives thereof during the period following such date; and (d) review with the Administratorfunctioning, by March 31, 20062001, or such later date as of mechanisms at all border agencies to provide the Administrator Facilitation Coordinator with current information to be made available to customs users, on waiting times and opening hours at border crossing and customs regulations and procedures of border agencies. (6) Republika Srpska shall requestensure, in coordination with the report referred to in subparagraph (c) of this paragraphPIT, and, thereafter, take all measures required to ensure that the efficient completion contracts under Parts B.1 and B.3 of the Project and are implemented in compliance with the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterbidding documents.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientBorrower shall carry out the Project through SECF in accordance with the procedures set forth in the PIM and, through except as the Palestinian AuthorityAssociation shall otherwise agree, shall cause PWA to be responsible for not amend or waive any provision of said PIM if, in the opinion of the Association, such amendment or waiver may materially or adversely affect the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreementagreed upon between the Borrower and the Association, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorAssociation, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorAssociation, on or about January 31, 2005March 30 and September 30 of each year until the Completion Date, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the Administrator, by March 31, 2006, or such later date as Association within one month of the Administrator shall request, receipt of the report referred to in subparagraph (cb) of this paragraphparagraph by the Association, or at such later date as the Association shall request, said report and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Association views on the matter. (a) Not later than 18 months after the Effective Date or such later date as the Borrower and the Association shall agree upon, the Borrower and the Association shall carry out a mid-term review (hereinafter referred to as the Mid-Term Review). The Borrower shall take all action it considers necessary to ensure the participation of representatives of Beneficiaries in such Mid-Term Review. Such Mid-Term Review shall cover the progress achieved in the implementation of the Project and draw conclusions pertaining to the future expansion of the Project, based on an assessment of the monitoring and evaluation indicators referred to in paragraph 2 of this Schedule. (b) Not later than one month prior to the Mid-Term Review, the Borrower shall furnish to the Association, for review and comment, a report, in such detail as the Association shall reasonably request, on the implementation of the Project. (c) Following such Mid-Term Review, the Borrower shall act promptly and diligently in order to take any corrective action deemed necessary by the Association to remedy any shortcoming noted in the implementation of the Project, as the case may be, or to implement such other measures as may have been agreed upon between the Borrower and the Association in furtherance of the objectives of the Project.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. A. Implementation Responsibilities (1. ) The RecipientPIT, through acting under the Palestinian Authoritydirection of the Project Manager, shall cause PWA bear all technical responsibilities to be responsible for implement the implementation of the Project. PWA shall be assisted Project as described in the carrying out PIP, including: (a) preparation of its responsibilities by PMU. PMU shall be responsible an annual plan for Project implementation; (b) preparation, with the procurementassistance of consultants, disbursement, monitoring the Federation and evaluation processes Republika Srpska of bidding and contract documents under the Project; (c) the maintenance of the Project financial records and accounts and arranging for the audit thereof; (d) preparation of the quarterly reports on Project progress, referred to in Part B of this Schedule; and (e) supervision of progress of Project implementation. (2) The Federation, acting through the FCA, shall ensure that the PIT shall be maintained until the completion of the Project under terms of reference and with staff and other measures satisfactory to the Association. (3) The Federation shall ensure: (a) that each annual plan for Project implementation referred to paragraph (1) above shall be prepared after a review between the Federation and the Association of progress in meeting the targets indicated in the PIP, including the targets set forth in the Annex to this Schedule; and (b) that the inclusion of investments and other Project activities in said plan, as well as the preparation of implementation progress reportsprocurement arrangements thereof, shall be made in agreement between the Federation and the Association, taking into account the requirements set forth in the Environmental Management Plan. 2. (4) The Recipient Federation shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shall: : (a) maintain policies its participation in the RSC; and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set out in Schedule 6 to this Agreement, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms inform the Association of reference acceptable to actions taken at the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering RSC level which may affect the implementation of the Project during Regional Program or of measures included in the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period;PIP. (c5) prepare, under terms of reference satisfactory to the Administrator, and furnish to the Administrator, on or about January 31, 2005, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to The Federation shall ensure the efficient carrying out of the Project establishment and the achievement of the objectives thereof during the period following such date; and (d) review with the Administratorfunctioning, by March 31, 20062001, or such later date as of mechanisms at all border agencies to provide the Administrator Facilitation Coordinator with current information to be made available to customs users, on waiting times and opening hours at border crossing and customs regulations and procedures of border agencies. (6) The Federation shall requestensure, in coordination with the report referred to in subparagraph (c) of this paragraphPIT, and, thereafter, take all measures required to ensure that the efficient completion contracts under Parts A.1 and A.3 of the Project and are implemented in compliance with the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterbidding documents.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The Recipient, through the Palestinian Authority, shall cause PWA to be responsible for the implementation of the Project. PWA shall be assisted in the carrying out of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, Implementation Program8 [1.9 _____________ shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with [indicators satisfactory to the Bank] [the indicators set out forth in Schedule 6 ___ to this AgreementAgreement]10, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorBank, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorBank, on or about January 31, 2005______________________, a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorBank, by March 31, 2006________________________, or such later date as the Administrator Bank shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Bank’s views on the matter.] to the issuance to consultants of any requests for proposals. Such plan shall be updated every six (6) months during the execution of the Project, and each such updating shall be furnished to the Bank for its review and approval. Selection of all consultants’ services shall be undertaken in accordance with such selection plan (as updated from time to time) as shall have been approved by the Bank.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. The RecipientFoundation shall implement the Project in accordance with the Implementation Plan, through the Palestinian AuthorityCommunity Operational Manual, and the Environmental Management Framework agreed with the Association, and except as the Association shall cause PWA to be responsible for otherwise agree, the Foundation shall not amend or waive any provision thereof if, in the opinion of the Association, such amendment or waiver may materially and adversely affect the implementation of the Project. PWA The Foundation shall ensure that throughout project implementation period its chief executive officer shall be assisted by suitably qualified and experienced procurement, financial, and operational specialists and other staff in adequate numbers, whose qualifications and experience are satisfactory and acceptable to the carrying out of its responsibilities Association, to perform project implementation and monitoring functions. The Foundation shall appoint by PMUno later than September 30, 2004, and thereafter maintain during project implementation period, internal auditors, whose qualifications and experience are satisfactory and acceptable to the Association. PMU The Foundation shall be responsible establish by no later than September 30, 2005, and thereafter maintain during the Project implementation period, a satisfactory computerized financial management system for the procurement, disbursement, monitoring and evaluation processes under Project that is acceptable to the Project, as well as the preparation of implementation progress reports. 2Association. The Recipient shall, not later than the conclusion of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction manager, whose responsibilities Foundation shall include the supervision and quality assurance of works implemented under the Project. 3. The Recipient, through the Palestinian Authority, shallensure that: (a) maintain policies Sub-Projects are selected and procedures adequate to enable it to monitor and evaluate on an ongoing basis, appraised in accordance with the indicators set out criteria and procedure specified in Schedule 6 to this Agreement, the carrying out of the Project Implementation Plan and the achievement of the objectives thereofCommunity Operational Manual; (b) prepareSub-Grants are released to Village Organizations and Pradeshiya Sabhas implementing the project in a timely manner in accordance with Sub-Grant Agreements, under terms of reference which are in form and substance acceptable to the Administrator, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period;Association; and (c) preparethe Sub-Grant Agreements shall specify, under terms of reference satisfactory among other things, that: (i) Sub-Grants shall be used exclusively to the Administratorfinance goods, works, and furnish to the Administratorservices required for preparation, on or about January 31approval, 2005, a mid-term report integrating the results and implementation of the monitoring village development plans and evaluation activities performed pursuant to subparagraph (a) of this paragraph, on the progress achieved in accordance with terms and conditions set forth in the carrying out Community Operational Manual; (ii) the amount of the Project during the period preceding the date of said report and setting out the measures recommended each Sub-Grant shall be calculated according to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review a predetermined cost-sharing formula as agreed with the AdministratorAssociation and specified in the Community Operational Manual; and (iii) goods, by March 31works, 2006, or such later date as the Administrator and services shall request, the report be procured in accordance with procedures referred to in subparagraph (c) of this paragraph, and, thereafter, take all measures required to ensure Agreement and set forth in the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient and the Administrator, and their views on the matterCommunity Operational Manual.

Post Review. With respect to each contract not governed by paragraph 2 of this partPart, the procedures set forth in paragraph 4 of Appendix 1 to the Consultant Guidelines shall apply. 1. A. Project Implementation, Management and Coordination The Recipient, through the Palestinian Authority, MEM shall cause PWA to be responsible have overall responsibility for the implementation of the Project. PWA shall be assisted in the carrying out In order to ensure proper management and coordination of its responsibilities by PMU. PMU shall be responsible for the procurement, disbursement, monitoring and evaluation processes under the Project, as well as the preparation of implementation progress reports. 2. The Recipient MEM shall, not later than the conclusion one year after effectiveness of the first contract procured pursuant to Section I, Part B of Schedule 3 to this Agreement, hire a construction managerstaff the PMU with professional personnel in adequate number, whose responsibilities experience and terms of reference shall include be acceptable to the Bank. The PMU shall be headed by a Project Manager. The PMU shall be responsible for, inter alia, the procurement and disbursement processes under the Project and the supervision of its execution. To this end, the Project Manager shall be assisted by a procurement specialist, an accountant and quality assurance experts of, respectively, the mining, hydrocarbon and electricity sectors, on the basis of works implemented qualifications and terms of reference satisfactory to the Bank. The Borrower shall ensure that a financial management specialist in charge of payments for contracts financed under the ProjectProject be appointed within BAD. 3. B. Mid-Term Review The Recipient, through the Palestinian Authority, Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators acceptable to the indicators set out in Schedule 6 to this AgreementBank, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference acceptable satisfactory to the AdministratorBank, and furnish to the Administrator, commencing December 31, 2003, until completion of the Project, quarterly progress reports and summary monthly progress statements, acceptable to the Administrator, covering the implementation of the Project during the preceding period, each such report and statement to include, inter alia, a detailed break-down of expenditures incurred under the Project during the preceding period; (c) prepare, under terms of reference satisfactory to the Administrator, and furnish to the AdministratorBank, on or about January December 31, 2005, 2002 a mid-term report integrating the results of the monitoring and evaluation activities performed pursuant to subparagraph paragraph (a) of this paragraphSection, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (dc) review with the AdministratorBank, by March 31February 28, 2006, 2003 or such later date as the Administrator Bank shall request, the report referred to in subparagraph paragraph (cb) of this paragraphSection, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and agreed recommendations of the Recipient said report and the Administrator, and their Bank’s views on the matter.