Colombia - Youth Development Project

Document of The World Bank Report No: 17904-CO PROJECT APPRAISAL DOCUMENT ONA PROPOSED LOAN IN THE AMOUNT OF US$5.0 MILLION TO COLOMBIA FOR A YOUTH DEVELOPMENT PROJECT July 10, 1998 Colombia, Ecuador and Venezuela Country Management Unit Human Development Sector Management Unit Latin America and the Caribbean Regional Office  CURRENCY EQUIVALENTS (Exchange Rate Effective April 30, 1998) Currency Unit = Peso US$1.00 = 1368 Pesos FISCAL YEAR January - December ABBREVIATIONS AND ACRONYMS CAS Country Assistance Strategy CQ Consultant Qualifications DNP National Department of Planning (Departamento Nacional de Planeaci6n) ERR Economic Rate of Return FES Fundacion de Estudios Sociales IBRD International Bank for Reconstruction and Development ICB International Competitive Bidding ICBF Colombian Institute of Family Welfare IERR Internal Economic Rate of Return LCS Least Cost Selection LIL Learning and Innovation Loan NCB National Competitive Bidding NGO Non Governmental Organization PCU Project Coordinating Unit PHRD Policy and Human Resources Development Fund PPF Project Preparation Facility QBS Quality Based Selection QCBS Quality Cost Based-Selection SENA Servicio Nacional de Aprendizaje SOEs Statement of Expenses SSS Single Source Selection STDs Sexually Transmitted Diseases TA Technical Assistance UNFPA United Nations Fund for PopulationActivities VMJ Vice Ministerio de Juventud Vice President Shahid Javed Burki Country Director Andres Solimano Sector Director Xavier Coll Sector Leader Constance Corbett Task Manager Miriam Schneidman  Colombia Youth Development Project CONTENTS A. Project Development Objective ..................................................................3 1. Project development objective and key performance indicators .............................................. 3 2. Appropriateness for adaptable lending .......................... ........................................ 3 B. Strategic Context ................................................................. 4 1. Sector-related CAS goal supported by the project .................................................................. 4 2. Main issues and Government strategy .......................... ........................................ 4 3. Issues to be addressed by the project ........................ .......................................... 6 C. Project Description Summary ..................................................................7 1. Project components ..................................................................7 2. Key policy and institutional reforms supported by the project .......................... ..................... 8 3. Benefits and target population ................................................................. 9 4. Institutional and implementation arrangements .................................................................. 9 D. Project Rationale ................................................................. 12 1. Project alternatives considered and reasons for rejection ......................................... .............. 12 2. Major related projects financed by the Bank and/or other development agencies .......... ....... 14 3. Lessons learned and reflected in proposed project design ......................................... ............. 15 4. Indications of borrower commitment and ownership ............................................................. 16 5. Value added of Bank support in this project ........................................................ ......... 16 E. Summary Project Analyses ................................................................. 16 1. Economic ................................................................. 16 2. Financial ................................................................. 17 3. Technical ................................................................. 17 4. Institutional ................................................................. 17 5. Social ................................................................. 18 6. Environmental assessment ................................................................. 18 7. Participatory approach ................................................................. 18 F. Sustainability and Risks ................................................................. 20 1. Sustainability ................................................................. 20 2. Critical risks ................................................................. 21  G. Main Loan Conditions ........................ 22 1. Effectiveness conditions ........................ 22 2. Other ........................ 22 H. Readiness for Implementation ........................ 22 I. Compliance with Bank Policies ........................ 23 Annexes ......................... 24 Annex I Project Design Summary .24 Annex 2 Detailed Project Description .30 Annex 3 Estimated Project Costs .34 Annex 4 Cost-Benefit Analysis Summary, or Cost-Effectiveness Analysis Summary 35 Annex 5 Financial Summary .37 Annex 6 Procurement and Disbursement Arrangements. 3 8 Table A Project Costs by Procurement Arrangements .41 Table Al Consultant Selection Arrangements .42 Table B Thresholds for Procurement Methods and Prior Review .43 Table C Allocation of Loan Proceeds .44 Annex 7 Project Processing Budget and Schedule .45 Annex 8 Documents in Project File .46 Annex 9 Selection of Municipalities .51 Annex 10 Implementation Arrangements .54 Annex 11 Implementation/Evaluation Plan .57 Annex 12 Operating Manual for Social Assessment .60 Annex 13 Statement of Loans and Credits .87 Annex 14 Country at a Glance .88  Colombia Youth Development Project Project Appraisal Document Latin America and the Caribbean Regional Office Colombia, Ecuador and Venezuela Country Management Unit (LCC4C) Human Development Department (LCSHD) Date: July 10, 1998 Task Team Leader/Task Manager: Miriam Schneidman Country Manager/Director: Andres Solimano Sector Manager/Director: Xavier Coll Project ID: CO-PE- Sector: Multi Sector Program Objective Category: Poverty Reduction 50576 Lending Instrument: Learning and Innovation Loan Program of Targeted [X] Yes [ ] No Intervention: Project Financing Data [X] Loan [ Credit [ Guarantee [] Other [Specify] For Loans/Credits/Others: Amount (US$m/SDRm): US$5.0 Million Proposed termns: [ Multicurrency [X] Single currency, specify Grace period (years): 3 [ Standard Variable [XI Fixed [ LIBOR-based Years to maturity: 15 Commitment fee: .75% Service charge: N/A Financing plan (US$m): Source Government 2.8 Cofinanciers IBRD 5.0 IDA Other (specify) Total 7.8 Borrower: Government of Colombia Guarantor: Responsible agency(ies): Estimated disbursements (Bank FY/US$M): 1999 2000 2001 Annual 2.2 3.0 2.6 Cumulative 2.2 5.2 7.8 For Guarantees: N/A [] Partial credit [] Partial risk Proposed coverage: Project sponsor: Nature of underlying financing: Terms of  financing: Principal amount (US$) Final maturity Amortization profile Financing available without guarantee?: [ Yes [ No If yes, estimated cost or maturity: Estimated financing cost or maturity with guarantee: Project implementation period: 3 years Expected effectiveness date: 10/15/98 Expected closing date: 12/31/2001  3 A: Project Development Objective 1. Project development objective and key performance indicators (see Annex 1): The project development objective is to test and evaluate alternative multi-sectorial and participatory approaches to developing and delivering services and providing activities for low-income youth. Key output indicators for the 3-year pilot phase include: * A learning network is formned amongst various stakeholders (Government, NGOs, academics) and is actively sharing experiences of pilot interventions and disseminating best practices. * Organizations form inter-institutional networks aimed at creating mechanisms of linkage, referral and collaboration. * Programs adopt a more participatory approach by expanding involvement of youth in design and implementation of interventions.