Somalia - Education Project : Credit 0247 - Credit Agreement - Conformed

CONFORMED COPY CREDIT NUMBER 247 SO Development Credit Agreement (Education Project) BETWEEN SOMALI DEMOCRATIC REPUBLIC AND INTERNATIONAL DEVELOPMENT ASSOCIATION DATED JUNE 3, 1971 CONFORMED COPY CREDIT NUMBER 247 SO Development Credit Agreement (Education Project) BETWEEN SOMALI DEMOCRATIC REPUBLIC AND INTERNATIONAL DEVELOPMENT ASSOCIATION DATED JUNE 3, 1971 A DEVELOPMENT CREDIT AGREEMENT AGREEMENT, dated June 3, 1971, between the SOMALI DEMOCRATIC REPUBLIC (hereinafter called the Borrower) and INTERNATIONAL DEVELOPMENT ASSOCIATION (hereinafter called the Association). ARTICLE I General Conditions; Definitions Section 1.01. The parties to this Agreement accept all the provisions of the General Conditions Applicable to Development Credit Agreements of the Association, dated January 31, 1969, with the same force and effect as if they were fully set forth herein, sub;--t, however, to the deletion of Section 5.01 thereof (said General Conditions Applicable to Development Credit Agreements of the Association, as so modified, being hereinafter called the General Conditions). Section 1.02. Wherever used in this Agreement, unless the context otherwise requires, the several terms defined in the General Conditions have the respective meanings therein set forth, and the following terms have the following meanings: (a) "Project Unit" means the project unit referred to in Section 3.02 (a) of this Agreement; (b) "School Design Unit" means the school design unit referred to in Section 3.02 (b) of this Agreement; and (c) "Guidelines" means the Guidelines for Procurement under World Bank Loans and IDA Credits referred to in Section 2.03 of this Agreement. ARTICLE II The Credit Section 2.01. The Association agrees to lend to the Borrower, on the terms and conditions in the Development Credit Agreement set forth or referred to, an amount in various currencies equivalent to three million three hundred thousand dollars ($3,300,000). 4 Section 2.02. The amount of the Credit may be withdrawn from the Credit Account in accordance with the provisions of Schedule I to this Agreement, as such Schedule shall be amended from time to time, for expenditures made (or, if the Association shall so agree, to be made) in respect of the reasonable cost of goods and services required for Part A and Part B (1) and (3) of the Project described in Schedule 2 to this Agreement and to be financed under the Development Credit Agreement; provided, however, that, except as the Association shall otherwise agree, no withdrawal shall be made on account of expenditures in the territories of any country which is not a member of the Bank (other than Switzerland) or for goods produced in, or services supplied from, such territories. Section 2.03. (a) Except as the Borrower and the Association shall otherwise agree, the goods and services (other than experts' services) to be financed out of the proceeds of the Credit shall be procured on the basis of international competition under procedures consistent with the Guidelines for Procurement under World Bank Loans and IDA Credits, published by the Bank in August 1969, and in accordance with, and subject to, the provisions set forth in Schedule 3 to this Agreement. (b) Before awarding contracts for extension of the educational institutions included in Part A (1) (a) or Part A (1) (d) of the Project, the Borrower shall furnish to the Association evidence satisfactory to the Association showing that such institutions will be adequately provided with technical assistance. Section 2.04. The Closing Date shall be December 31, 1975 or such other date as shall be agreed between the Borrower and the Association. Section 2.05. The Borrower shall pay to the Association a service charge at the rate of three-fourths of one per cent (3/4 of 1%) per annum on the principal amount of the Credit withdrawn and outstanding from time to time. Section 2.06. Service charges shall be payable semi-annually on June I and December 1 in each year. Section 2.07. The Borrower shall repay the principal amount of the Credit in semi-annual installments payable on each June 1 and December 1 commencing June 1, 1981 and ending December 1, 2020, each installment to and including the installment payable on December 1, 1990, to be one-half of one per cent (1/2 of 1%) of such principal amount, and each installment thereafter to be one and one-half per cent (1-1/2%) of such principal amount. Section 2.08. The currency of the United States of America is hereby specified for the purpc-es of Section 4.02 of the General Conditions. 5 ARTICLE III Execution of the Project Section 3.01. The Borrower shall carry out the Project with due diligence and efficiency and in conformity with sound administrative, financial, educational and technical practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the purpo,;e. Section 3.02. For the purposes of carrying out the Project: (a) the Borrower shall: (i) operate within its Ministry of Education a Project Unit with such staff, duties and responsibilities as are specified in Schedule 4 to this Agreement or as may be further agreed between the Borrower and the Association, under the authority of a qualified and experienced Project Director mutually acceptable to the Borrower and the Association, who shall be responsible directly to the Director General of said Ministry; and (ii) provide said Project Unit with a full-time Deputy Project Director and a Project Architect, both to be mutually acceptable to th3 Borrower and the Association, and with all such supporting staff, facilities and other resources as shall be required for its efficient operation; and (b) the Borrower shall: (i) institute and operate within its Ministry of Public Works a School Design Unit under the authority of a qualified and experienced full-time Architect directly responsible, in respect of the Project, to the Project Director, with such staff, duties and responsibilities as are specified in Schedule 5 to this Agreement or as may be further agreed between the Borrower and the Association; and (ii) provide said School Design Unit with all such supporting staff, facilities and other resources as shall be required for its efficient operation. Section 3.03. (a) In order to assist the Project Unit and the School Design Unit, the Borrower shall employ, to the extent specified in paragraph I of Exhibit B to Schedule 2 to this Agreement and upon terms and conditions satisfactory to the Association, qualified and experienced experts mutually acceptable to the Borrower and the Association, who shall be provided with qualified Somali counterparts. (b) Except as the Borrower and the Association shall otherwise agree, in order to assist the Borrower's Ministry of Education and the National Teacher Education Center included in Part A (1) (a) of the Project in teacher training and curriculum development, the Borrower shall employ, to the extent specified in paragraph 2 of Exhibit B to Schedule 2 to this Agreement and upon terms 6 and conditions satisfactory to the Associal ion, qualified and experienced experts mutually acceptable to the Borrower and the Association, who shall be provided with qualified Somali counterparts. Section 3.04. (a) Within six months of the date of the Development Credit Agreement, the Borrower shall select a site satisfactory to the Borrower and the Association, for the extension of the Hodan secondary school referred to in Exhibit A to Schedule 2 to this Agreement. (b) The Borrower shall promptly as needed take all requisite steps for the acquisition and retention of all such lands, interests in land and properties and all such rights, powers and privileges as may be necessary or proper for carrying out the extensions to, and for the operation of, the educational institutions included in the Project, and shall ensure that such lands will be available promptly as needed for such purposes. Section 3.05. In carrying out construction under Part A (1) of the Project, the Borrower shall employ contractors acceptable to the Borrower and the Association upon terms and conditions satisfactory to the Borrower and the Association. Section 3.06. (a) The Borrower undertakes to insure, or make adequate provision for the insurance of, the imported goods to be financed out of the proceeds of the Credit against marine, transit and other hazards incident to the acquisition, transportation and delivery thereof to the place of use or installation, and for such insurance any indemnity shall be payable in a currency freely usable by the Borrower to replace or repair such goods. (b) Except as the Borrower and the Association shall otherwise agree, the Borrower shall cause all goods and services financed out of the proceeds of the Credit to be used exclusively for the Project. Section 3.07. (a) The Borrower shall furnish to the Association, promptly upon their preparation, the plans, specifications, contracts, work schedules and master lists of instructional equipment and furniture required for the Project, and any material modifications or additions thereto, in such detail as the Association shall reasonably request. (b) The Borrower: (i) shall maintain records adequate to record the progress of the Project (including the cost thereof) and to identify the goods and services financed out of the proceeds of the Credit, and to disclose the use thereof in the Project; (ii) shall enable the Association's representatives to inspect the 7 Project, the goods financed out of the proceeds of the Credit and any relevant records and documents; and (iii) shall furnish to the Association all such information as the Association shall reasonably request concerning the Project, the expenditure of the proceeds of the Credit and the goods and services financed out of such proceeds. Section 3.08. Except as the Borrower and the Association shall otherwise agree, the Borrower shall furnish to the Association for its review: (a) the chart and timetable referred to in paragraph I (a) of Schedule 4 to this Agreement; (b) within one year of the date of the Development Credit Agreement, (i) new curricula for secondary education, technical and commercial education and elementary and intermediate teacher training, and (ii) a program for training practical subject teachers in teaching techniques; (c) within two years of said date, a detailed plan of action for the training of skilled workers, the establishment of a Technical Vocational Training Council and the development of training standards, trade tests and a "tracer" system; and (d) within one year of the Effective Date, the Borrower's plan for carrying out Part A (2) of the Project; and shall afford the Association a reasonable opportunity to exchange views with the Borrower on all of such documents. ARTICLE IV Other Covenants Sect;on 4.01. The Borrower shall maintain or cause to be maintained records adequate to reflect in accordance with consistently maintained sound accounting practices the operations and financial condition, in respect of the Project, of the departments or agencies of the Borrower responsible for carrying out the Project or any part thereof. Section 4.02. The Borrower shall: (i) adequately maintain the buildings, furniture and equipment of the educational institutions included in the Project and make all necessary repairs and renewals thereof in accordance with sound technical and administrative practices; and (ii) provide, promptly as needed, the funds, facilities, services and other resources required for such maintenance, repairs and renewals. 8 Section 4.03. The Borrower shall operate the educational institutions and the mobile training units included in the Project so as to promote the educational objectives of the Borrower and shall provide such institutions and mobile training units with qualified teachers and administrators in adequate numbers. ARTICLE V Consultation, Information and Inspection Section 5.01. The Borrower and the Association shall cooperate fully to assure that the purposes of the Credit will be accomplished. To that end, the Borrower and the Association shall from time to time, at the request of either party: (a) exchange views through their representatives with regard to the performance of their respective obligations under the Development Credit Agreement, the administration, operations and financial condition, in respect of the Project, of the departments or agencies of the Borrower responsible for carrying out the Project or any part thereof, and other matters relating to the purposes of the Credit; and (b) furnish to the other all such information as it shall reasonably request with regard to the general status of the Credit. On the part of the Borrower, such information shall include information with respect to financial and economic conditions in the territories of the Borrower and its international balance of payments position. Section 5.02. (a) The Borrower shall furnish or cause to be furnished to the Association all such information as the Association shall reasonably request concerning the operations and financial condition, in respect of the Project, of the departments or agencies of the Borrower responsible for carrying out the Project or any part thereof. (b) The Borrower shall promptly inform the Association of any condition which interferes with, or threatens to interfere with, the accomplishment of the purposes of the Credit, the maintenance of the service thereof or the performance by the Borrower of its other obligations under the Development Credit Agreement. Section 5.03. The Borrower shall afford all reasonable opportunity for accredited representatives of the Association to visit any part of the territories of the Borrower for purposes related to the Credit. 9 ARTICLE VI Taxes and Restrictions Section 6.01. The principal of, and service charges on, the Credit shall be paid without deduction for, and free from, any taxes imposed under the laws of the Borrower or laws in effect in its territories. Section 6.02. The Development Credit Agreement shall be free from any taxes on or in connection with the execution, delivery or registration thereof, imposed under the laws of the Borrower or laws in effect in its territories. Section 6.03. The payment of the principal of, and service charges on, the Credit shall be free from all restrictions, regulations, controls and moratoria of any nature imposed under the laws of the Borrower or laws in effect in its territories. ARTICLE VII Remedies of the Association Section 7.01. If any event specified in Section 7.01 of the General Conditions shall occur and shall continue for the period, if any, therein set forth, then at any subsequent time during the continuance thereof, the Association, at its option, may by notice to the Borrower declare the principal of the Credit then outstanding to be due and payable immediately together with the service charges thereon and upon any such declaration such principal and service charges shall become due and payable immediately, anything to the contrary in the Development Credit Agreement notwithstanding. ARTICLE VIII Effective Date; Termination Section 8.01. The following event is specified as an additional condition to the effectiveness of the Development Credit Agreement within the meaning of Section 10.01 (b) of the General Conditions, namely, that the Borrower has instituted the Project Unit and has appointed its Director, its Deputy Director and its Architect. Section 8.02. The date September 1, 1971 is hereby specified for the purposes of Section 10.04 of the General Conditions. 10 Section 8.03. The obligations of the Borrower under Section 3.07 (b) and under Article IV of this Agreement shall cease and determine on the date on which the Development Credit Agreement shall terminate or on a date twenty-five years after the date of this Agreement, whichever shall be the earlier. ARTICLE IX Representative of the Borrower; Addresses Section 9.01. The Secretary of State for Finance of the Borrower is designated as representative of the Borrower for the purposes of Section 9.03 of the General Conditions. Section 9.02. The following addresses are specified for the purposes of Section 9.01 of the General Conditions: For the Borrower: Ministry of Finance Government of the Somali Democratic Republic Mogadishu Somalia Cable address: MINFIN Mogadishu For the Association: International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Cable address: INDEVAS Washington, D.C. 11 IN WITNESS WHEREOF, the parties hereto, acting through their representatives thereunto duly authorized, have caused this Agreement to be signed in their respective names and to be delivered in the District of Columbia, United States of America, as of the day and year first above written. SOMALI DEMOCRATIC REPUBLIC By /s/ Adbullahi Ahmed Addou Authorized Representative INTERNATIONAL DEVELOPMENT ASSOCIATION By /s/ J. Burke Knapp Vice President 12 SCHEDULE I Withdrawal of the Proceeds of the Credit 1. The table below sets forth the categories of items to be financed out of the proceeds of the Credit, the allocation of amounts of the Credit to each category and the percentage of eligible expenditures so to be financed in each category: Amount of the Credit Allocated % of (Expressed in Expenditures Category Dollar Equivalent) to be Financed I. Civil works and 1,300,000 85% of total ex- locally procured penditures furniture and equipment 1I. Imported furniture 1,060,000 100% of foreign and equipment expenditures III. Technical assistance 590,000 100% of total ex- and Project adminis- penditures tration IV. Unallocated 350,000 TOTAL 3,300,000 2. For the purposes of this Schedule: (a) the term "foreign expenditures" means expenditures for goods produced in, or services supplied from, the territories, and in the currency, of any member of the Bank (other than the Borrower) or of Switzerland; and (b) the term "total expenditures" means the aggregate of foreign expenditures and expenditures in the currency of the Borrower, or for goods produced in, or services supplied from, the territories of the Borrower. 13 3. Notwithstanding the provisions of paragraphs 1 and 6 of this Schedule, no withdrawals shall be made in respect of: (a) expenditures prior to the date of this Agreement; (b) expenditures under contracts awarded over the Association's objection or which shall materially differ, without the Association's concurrence, from the terms and conditions on which bids shall have been invited; and (c) payments for taxes imposed under the laws of the Borrower or laws in effect in its territories on goods or services, or on the importation, manufacture, procurement or supply thereof. To the extent that the amount represented by the percentage set forth in the third column of the table in paragraph I above would exceed the amount payable net of all such taxes, such percentage shall be reduced to ensure that no proceeds of the Credit will be withdrawn on account of payments for such taxes. 4. Notwithstanding the allocation of an amount of the Credit set forth in the second column of the table in paragraph I above: (a) if the estimate of the expenditures under any Category shall decrease, the amount of the Credit then allocated to such Category and no longer required therefor will be reallocated by the Association by increasing correspondingly the unallocated amount of the Credit; (b) if the estimate of the expenditures under any Category shall increase, the percentage set forth in the third column of the table in paragraph I above in respect of such expenditures shall be applied to the amount of such increase, and a corresponding amount will be allocated by the Association, at the request of the Borrower, to such Category from the unallocated amount of the Credit, subject, however, to the requirements for contingencies, as determined by the Association, in respect of any other expenditures. 5. Notwithstanding the percentages set forth in the third column of the table in paragraph 1 above, if the estimate of total expenditures under Category I shall increase and no proceeds of the Credit are available for reallocation to such Category, the Association may, by notice to the Borrower, adjust the percentage then applicable to such expenditures in order that further withdrawals under such Category may continue until all expenditures thereunder shall have been made. 6. Amounts in Category IV which may become no longer required for contingencies, as determined by the Association from time to time, shall be 14 allocated to Category I and if the ratio between the amount of the Credit allocated to this Category and the estimate of payments for goods and services included in such Category exceeds the percentage applicable to such Category, the Association shall, at the request of the Borrower, increase such percentage to the extent necessary to permit full withdrawal of the amount of the Credit or of an amount equal to 90% of the then estimated cost of the Project, whichever is the lower; provided, however, that such adjustment shall in no event result in withdrawals on account of payment for taxes imposed by the Borrower or any of its political subdivisions. 15 SCHEDULE 2 Description of the Project The Project consists of: Part A: (1) Construction, furnishing and equipping of: (a) extension to the National Teacher Education Center; (b) one new secondary school; (c) extensions to ten secondary schools; and (d) extensions to one technical school and to one technical and commercial school. (2) Provision and equipping of eight mobile training units for agricultural education. The specific educational institutions and the mobile training units included in the Project shall be as specified in Exhibit A to this Schedule, subject to modification by further agreement between the Borrower and the Association. Part B: (1) Institution and operation of the Project Unit. (2) Institution and operation of the School Design Unit. (3) Provision of technical assistance as set forth in Exhibit B to this Schedule, subject to modification by further agreement between the Borrower and the Association. The Project is expected to be completed by September 30, 1975, 16 EXHIBIT A TO SCHEDULE 2 Educational Institutions and Mobile Training Units 1. Educational Institutions Student Places Boarding Places Staff Houses Type and Name Addi- Addi- Addi- of Institution Location tional Total tional Total tional Total (a) Teacher Training: National Teacher Education Center Afgoi 400 700 260 560 5 27 (b) Secondary Education: A-2* Amoud Borama 60 400 - 287 - - A-3* Burao Burao 80 340 - - - - A-4 Hargeisa (Boys) Hargeisa 40 360 - - - - A-5** Hargeisa (Girls) Hargeisa - 240 - 37 - - A-6 Hamar Geb-Geb Mogadishu 100 580 - - - - A-7*** Moalim Jama Mogadishu 600 600 - - - - A-8* Hodan Mogadishu 100 570 - - - - A-9* Baidoa Baidoa 40 340 - - - - A-10* Belet Wein Belet Wein 40 360 - - - - A-11* Gardo Gardo 60 300 - 120 - - A-12* Kismayo Kismayo 60 340 - - - - Secondary Education Sub-total 1,180 4,430 - 444 - - (c) Technical and Commercial Education: B-1 Technical and com- mercial school Hargeisa - 340 - - - - B-2 Technical school Mogadishu 110 320 - - - - Technical and Com- mercial Education Sub-total 110 660 - - - - 2. Mobile Trining Units Number Location 2 units Western Region 2 units Lower Juba 2 units Upper Juba 2 units Benadir * Complete re-furnishing ** Furnishing and equipping only * Construction, furnishing and equipping of new school * 17 EXHIBIT B TO SCHEDULE 2 Technical Assistance 1. Project Implementation As advisor to the Project Director: General Education Administrator One for 4 man/years As advisors to the School Design Unit: Architect One for 3 man/years Quantity Surveyor One for 3 man/years TOTAL 10 man/years 2. Educational Development General Educator One for 2 man/years Curriculum Development Expert One for 1 man/year Science Teaching Expert One for 2 man/years Student-Teaching Practices Expert One for 2 man/years TOTAL 7 man/years 18 SCHEDULE 3 Procurement A. Contracts for Civil Works: 1. Contractors slhall be pre-qualified in accordance with paragraph 1.3 of the Guidelines. 2. Before pre-qualification is invited, the Borrower shall inform the Association in detail of the procedure to be followed and shall introduce such modifications in said procedure as the Association shall reasonably request. The list of pre-qualified contractors, together with a statement of their qualifications and of the reasons for the exclusion of any applicant for pre-qualification, shall be furnished by the Borrower to the Association for its comments before the applicants are notified of their pre-qualification or of their exclusion and the Borrower shall make such additions to, or deletions from, the said list as the Association shall reasonably request. 3. Before bids are invited, the Borrower shall furnish to the Association, for its comments, the text of the invitations to bid and the specifications and other bidding documents, together with a description of the advertising procedure to be followed for the bidding, and shall make such modifications in the said documents or procedure as the Association shall reasonably request. 4. The documents referred to in paragraph A3 above shall at least include the following: (a) list of all contracts for civil works to be let in carrying out the Project, indicating the estimated value of each contract and the forecast timetable for award. The contracts shall be grouped in such a way as to encourage international competitive bidding; (b) description of the proposed international advertising coverage to ensure international competitive bidding; (c) drafts of bidding documents, invitations to bid and contracts. The invitations to bid shall, inter alia, specify that the bidder may submit bids in respect of each educational institution included in the Project or of all of them, together with related facilities, or any combination thereof, the bids therefor to be opened simultaneously and the Borrower to have the option of awarding to one contractor one contract in respect of all such institutions and facilities, or separate contracts in respect of several such institutions and facilities to different contractors. 19 5. After bids have been received and evaluated, the Borrower shall, before a final decision on the award is made, inform the Association of the name of the bidder to whom it intends to award the contract and shall furnish to the Association, in sufficient time for its review, a detailed report by the Project Unit on the evaluation and comparison of the bids received, together with the said Project Unit's recommendations for award, and the reasons for the intended award as well as the evidence required in Section 2.03 (b) of this Agreement if not previously submitted. The Association shall promptly inform the Borrower whether it has any objection to the intended award, and shall state the reasons for any such objection it may have. 6. Promptly after a contract has been signed, and before submission to the Association of the first application for withdrawal of funds in respect of such contract, a certified copy thereof shall be sent to the Association. The Borrower shall request the Association's approval for any increase of more than ten per cent (10%) or $25,000 equivalent, whichever is less, in the price of any contract. B. Contracts for Instructional Equipment, Books and Furniture: 1. Before inviting bids, the Borrower shall send to the Association for its approval, the following: (a) lists of all items of instructional equipment and furniture required for the Project showing the specifications and the estimated unit and total price of each item. Items will be indexed, coded and numbered for identification regarding the respective educational institution and the spaces for which they are required. The items to be purchased will be grouped so as to permit such bulk procurement as shall be consistent with sound technical and procurement practices. Insofar as practicable, contracts for such items will be for not less than $ 10,000 equivalent. Amendments to such lists which may be made from time to time shall also be submitted to the Association for approval. Amendments to such lists not resulting in price increases in excess of $1,000 equivalent for any one item or in excess of ten per cent (10%) of the amount allocated to Category II of the table set forth in paragraph 1 of Schedule 1 to the Development Credit Agreement will not require the Association's approval; and (b) draft standard documents for inviting tenders, forms of contracts and description of the method to be used for obtaining bids on an international basis. 2. After bids have been received and evaluated, the Borrower shall, before a final decision on the award is made, inform the Association of the name of the bidder to whom it intends to award the contract and shall furnish to the Association, in sufficient time for its review, a detailed report by the Project Unit 20 on the evaluation and comparison of the bids received, together with the said Project Unit's recommendations for award, and the reasons for the intended award. The Association shall promptly inform the Borrower whether it has any objection to the intended award, and shall state the reasons for any such objection it may have. 3. Promptly after a contract has been signed, and before submission to the Association of the first application for withdrawal of funds in respect of such contract, a certified copy thereof shall be sent to the Association. C. Contracts for the Mobile Training Units: 1. Before inviting bids, the Borrower shall furnish to the Association, for its comments, the text of the invitations to bid and the specifications and other bidding documents, together with a description of the advertising procedure to be followed for the bidding, and shall make such modifications in the said documents or procedure as the Association shall reasonably request. After obtaining the Association's concurrence, the Borrower shall invite bids and the time interval between the invitation to bid and bid submission, referred to in Section 3.1 of the Guidelines, shall be not less than forty-five days. 2. After bids have been received and evaluated, the Borrower shall, before a final decision on the award is made, inform the Association of the name of the bidder to whom it intends to award the contract and shall furnish to the Association, in sufficient time for its review, a detailed report by the Project Unit on the evaluation and comparison of the bids received, together with the said Project Unit's recommendations for award, and the reasons for the intended award. The Association shall promptly inform the Borrower whether it has any objection to the intended award, and shall state the reasons for any such objection it may have. 3. Promptly after a contract has been signed, and before submission to the Association of the first application for withdrawal of funds in respect of such contract, a certified copy thereof shall be sent to the Association. D. Margin of Preference for Local Suppliers: For the purpose of evaluating bids with respect to all contracts for furniture, equipment and the mobile training units, bid prices shall be determined in accordance with the following rules: (a) The term Local Bid means a bid submitted by a manufacturer, established in the territories of the Borrower, for goods manufactured or processed 21 to a substantial extent (as reasonably determined by the Association) in the territories of the Borrower; any other bid shall be deemed to be a Foreign Bid. (b) The bid price under a Local Bid shall be the sum of the following amounts: (i) the ex-factory price of such goods; and (ii) inland freight, insurance and other costs of delivery of such goods to the place of their use or installation. (c) For the purpose of comparing any Foreign Bid with any Local Bid the bid price under a Foreign Bid shall be the sum of the following amounts: (i) the c.i.f. landed price of such goods net of any taxes on their importation; (ii) any such taxes, as generally apply to such goods if imported into the territories of the Borrower by non-exempt importers, or 15% of the amount specified in (i) above, whichever shall be lower; and (iii) inland freight, insurance and other costs of delivery of such goods to the place of their use or installation. 22 SCHEDULE 4 The Project Unit 1. The Project Unit shall be responsible, and have the necessary powers, for the carrying out of the Project, including, inter alia: (a) the preparation of a comprehensive Project chart based on the Critical Path Method or other similar method, setting down the planned timetable of coordinated activities and responsibilities on which the carrying out of all aspects of the Project shall be based; (b) the preparation of briefs for the architects of the School Design Unit relating educational specifications to realistic costing and functional design, and providing information to said Unit; (c) the request for review, and obtaining approval, by the appropriate authorities of the Borrower, of plans, reports, specifications and other material for the carrying out of the Project; (d) the review of architectural drawings to ensure that space provisions and educational specifications are interpreted correctly so as to minimize changes during construction and after acceptance and approval of bids; (e) the preparation of detailed reports on the evaluation and comparison of bids received and the making of recommendations for the award of contracts for which such bids shall have been received; (f) expediting of the award of contracts relating to the Project; (g) the preparation, with the help of appropriate agencies of the Borrower, of lists of all instructional equipment, books and furniture required by the educational institutions included in the Project, together with specifications and the estimated unit price and total cost of each item; (h) ensuring that all instructional equipment, books and furniture meet prescribed specifications; (i) the preparation and administration, in consultation with the appropriate authorities of the Borrower, of the programs and activities of the educational experts to be employed in carrying out Part B of the Project; 23 (i) the liaison, through the Project Director, with the Association and with the appropriate authorities of the Borrower, including the School Design Unit, in matters relating to the carrying out of the Project; (k) the maintenance of records and the furnishing of information under Section 3.07 (b) of this Agreement during the carrying out of the Project; (1) the preparation of applications for withdrawals from the Credit Account; and (m) the evaluation of the progress of the Project and preparation of quarterly progress reports to the Association. 2. The following Project Unit members shall have the following duties and responsibilities: (a) Project Director: over-all guidance, coordination, supervision and execution of the Project; (b) Deputy Project Director: day-to-day functions as described in paragraph (a) above and, in particular, preparation of educational briefs related to design and performance standards for space, structure and environment for the educational institutions included in the Project, coordination of preparation of basic furniture and equipment lists for such institutions, and assistance in ensuring that teachers of general and practical subjects will be available when such institutions are ready for use; (c) Project Architect: preparation of architectural briefs for the School Design Unit, evaluation of design, development of school building standards and of a maintenance scheme for the educational institutions included in the Project; and (d) Procurement Officer: coordination of selection, procurement and installation of furniture and equipment for the Project. 3. In addition to the necessary supporting staff, the Project Unit shall also be provided with an accountant. 24 SCHEDULE 5 The School Design Unit 1. The School Design Unit shall be responsible, and have the necessary powers, for the carrying out of design and supervision of construction required for the Project. 2. The following members of the School Design Unit shall have the following duties and responsibilities: (a) Architect: execution of design for, and supervision of, civil works included in the Project; and (b) Engineer (Part-Time): Project costing, analysis of tenders and assistance to the Architect in the supervision of construction.