Tunisia - Urban Planning And Public Transport Project For The Tunis District : Credit 0432 - Project Agreement - 2 - Conformed

CONFORMED COPY LOAN NUMBER 937 TUN CREDIT NUMBER 432 TUN Project Agreement (Urban Planning and Public Transport Project for the Tunis District) BETWEEN INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT AND INTERNATIONAL DEVELOPMENT ASSOCIATION AND DISTRICT DE TUNIS DATED OCTOBER 5, 1973 CONFOR 4ED COPY LOAN NUMBER 937 TUN CREDIT NUMBER 432 TUN Project Agreement (Urban Planning and Public Transport Project for the Tunis District) BETWEEN INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT AND INTERNATIONAL DEVELOPMENT ASSOCIATION AND DISTRICT DE TUNIS DATED OCTOBER 5, 1973 PROJECT AGREEMENT AGREEMENT, dated October 5, 1973, between INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (hereinafter called the Bank), INTERNATIONAL DEVELOPMENT ASSOCIATION (hereinafter called the Association) and DISTRICT DE TUNIS (hereinafter called the District). WHEREAS by the Loan Agreement of even date herewith between Republic of Tunisia (hereinafter called the Borrower) and the Bank, the Bank has agreed to make available to the Borrower an amount in various currencies equivalent to eleven million dollars ($11,000,000), on the terms and conditions set forth in the Loan Agreement, but only on condition that the District agrees to undertake such obligations toward the Bank as hereinafter set forth; WHEREAS by the Development Credit Agreement of even date herewith between Republic of Tunisia (hereinafter called the Borrower) and the Association, the Association has also agreed to make available to the Borrower an amount in various currencies equivalent to seven million dollars ($7,000,000), on the terms and conditions set forth in the Development Credit Agreement, but only on .~ condition that the District agree to undertake such obligations toward the Association as hereinafter set forth; WHEREAS the District, in consideration inter alia of the foregoing, has agreed to undertake the obligations hereinafter set forth; NOW THEREFORE the parties hereto hereby agree as follows: ARTICLE I Definitions Section 1.01. Wherever used in this Agreement, unless the context shall otherwise require, the several terms defined in the Loan and Development Credit Agreements and in the General Conditions (as defined in the Loan and Development Credit Agreements) have the respective meanings therein set forth. 4 ARTICLE II Execution of the Project Section 2.01. (a) The District shall carry out Part G of the Project with due diligence and efficiency and in conformity with appropriate administrative, financial and urban planning, programming and supervision practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the purpose. (b) The District shall (i) be responsible for overall supervision of the execution of the Project, and (ii) for the purpose of execution of the Project, ensure adequate coordination among the consultant referred to in paragraph (a) of Section 3.03 of the Loan Agreement, the responsible personnel of the Borrower's ministries and other public agencies, the responsible personnel of the Municipality of Tunis, the consultants referred to in paragraphs (c) and (d) of Section 3.01, and paragraph (c) of Section 4.02 of the SNT Project Agreement, the responsible personnel of SNT and the responsible personnel of the District. Section 2.02. In order to assist the District in carrying out Part G of the Project, the District shall employ: (a) the consultants listed in paragraph (a) of Schedule 2 to this Agreement acceptable to the Bank and the Association upon terms and conditions satisfactory to the Bank and the Association; (b) the counterparts to the consultants referred to under paragraph (a) of this Section listed in paragraph (b) of Schedule 2 to this Agreement; and (c) no later than January 1, 1975 the additional personnel listed in paragraph (c) of Schedule 2 to this Agreement. Section 2.03. The District shall (i) furnish to the Bank and the Association promptly upon their preparation, the plans, specifications, reports, and any other documents pertaining to Part G of the Project, and any material modifications thereof or additions thereto, in such detail as the Bank and the Association shall reasonably request, and (ii) maintain records adequate to record the progress of Part G of the Project (including the cost thereof). Section 2.04. The District shall maintain a Technical Coordinating Committee as provided under Section 4.03 of the Loan Agreement. 5 Section 2.05. The District shall, in carrying out Part G of the Project, carry out the work program set forth in Schedule 1 to this Agreement. ARTICLE III Management and Operations of Tunis District Section 3.01. The District shall, at all times, manage its affairs, plan its future expansion and carry on its operations, all in accordance with appropriate administrative, financial, engineering, and urban planning, programming and supervision practices, under the supervision of experienced and competent management (including a Directeur Gendral) assisted by qualified and competent personnel in adequate number. Section 3.02. Except as the Bank and the Association shall otherwise agree, the District shall not undertake or execute, for its own account or for the account of any third party or parties, any new project or development other than Part G of the Project, which might interfere with its obligations under this Agreement. ARTICLE IV Financial Covenant Section 4.01. The District shall maintain records adequate to reflect in accordance with consistently maintained sound accounting practices its operations and financial condition. ARTICLE V Consultation, Information and Inspection Section 5.01. The Bank, the Association and the District shall cooperate fully to assure that the purposes of the Loan and the Credit will be accomplished. To that end, the Bank, the Association and the District shall from time to time, at the request of either party, exchange views through their representatives with regard to the performance of their respective obligations under this Agreement, the administration, operations and financial condition of the District and other matters relating to the purpose of the Loan and the Credit. Section 5.02. The Bank, the Association and the District shall promptly inform each other of any condition which interferes with, or threatens to interfere 6 with, the accomplishment of the purposes of the Loan and the Credit or the performance by either of them of its obligations under this Agreement. Section 5.03. The District shall enable the Bank's and the Association's accredited representatives to inspect all properties and offices of the District and any relevant records and documents. ARTICLE VI Effective Date; Termination; Cancellation and Suspension Section 6.01. This Agreement shall come into force and effect on the date upon which the Loan Agreement becomes effective. Section 6.02. This Agreement and all obligations of the Bank, the Association and the District thereunder shall terminate on the later of the following two dates: (a) the date on which the Loan Agreement shall terminate in accordance with its terms; or (b) the date on which the obligations of the Borrower referred to in Section 6.03 of the Development Credit Agreement shall terminate in accordance with the terms of such Section. Section 6.03. All the provisions of this Agreement shall continue in full force and effect notwithstanding any cancellation or suspension under the Loan Agreement or the Development Credit Agreement. ARTICLE VII Miscellaneous Provisions Section 7.01. Any notice or request required or permitted to be given or made under this Agreement and any agreement between the parties contemplated by this Agreement shall be in writing. Such notice or request shall be deemed to have been duly given or made when it shall be delivered by hand or by mail, telegram, cable, telex or radiogram to the party to which it is required or permitted to be given or made at such party's address hereinafter specified or at such other address as such party shall have designated by notice to the party giving such notice or making such request. The addresses so specified are: 7 For the Bank: International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433 United States of America Cable address: INTBAFRAD Washington, D.C 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. For the District: District de Tunis Tunis, Tunisia Cable address: DISTU Tunis Section 7.02. Any action required or permitted to be taken, and any documents required or permitted to be executed, under this Agreement on behalf of the District may be taken or executed by the Governor-Mayor of Tunis or such other person or persons as the Governor-Mayor of Tunis shall designate in writing. 8 Section 7.03. The District shall furnish to the Bank and the Association sufficient evidence of the authority and the authenticated specimen signature of the person or persons who will, on behalf of the District, take any action or execute any documents required or permitted to be taken or executed by the District pursuant to any of the provisions of this Agreement. Section 7.04. This Agreement may be executed in several counterparts, each of which shall be an original, and all collectively but one instrument. 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 delivered in the District of Columbia, United States of America, as of the day and year first above written. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By /s/ W. Wapenhans Director, Regional Projects Department Europe Middle East and North Africa Regional Office INTERNATIONAL DEVELOPMENT ASSOCIATION By /s/ W. Wapenhans Director, Regional Projects Department Europe Middle East and North Africa Regional Office DISTRICT DE TUNIS By /s/ Slaheddine El Goulli Authorized Representative w 9 SCHEDULE 1 Work Program of the District I. INITIAL PHASE AND PERMANENT RESPONSIBILITIES (a) General Urban Strategy and Planning Studies (i) Preliminary Tasks: - final review and determination of the timetable to carry out the work program of the District establishing the methodological framework to serve as reference for all future studies, whether theoratically or practically oriented - review of existing data and studies, including review and synthesis of the data and results of the studies of the UNDP Tunis-Carthage Project - collection of additional data deemed required, and synthesis of existing and additional data spatial analyses of distribution of existing land uses - analysis of infrastructure networks (water supply, sewerage, telecommunications) and of public services (education, health, street cleaning and lighting, and garbage collection) - compilation and review of socio-economic characteristics of the population - analysis of characteristics, and origin-destination data on transport movements in the District in relation with spatial distribution of residence and employment, by population and job category. (ii) Planning & Design Activities: - analysis of land use in areas considered for future residential or industrial development, classified by type, infrastructure needs and order of priority 10 - synthesis of all sector studies, completed or in process, pertaining to the planning of the overall area of the District - proposals for short term improvements to existing land use and infrastructure, and for changes in patterns of development proposed previously - review of the role of the Tunis port area, its future with regard to development of La Goulette and proposals for future utilization of the port area and adjoining warehouse zones; definition of the detailed land use studies to follow; coordination of those studies with studies pertaining to the South-East and downtown areas of the Municipality of Tunis - proposals on the choice of high priority site (or sites) for future industrial and warehouse developments - synthesis of the above-mentioned analyses and proposals for the purpose of elaboration of an urban development strategy for the District and proposals for suitable infrastructure standards - definition of terms of reference for the Special Policy Studies - definition of terms of reference for the follow up feasibility studies referred to under paragraph III of this Schedule. (b) Coordination and Programming Exercise of the public investment budget following the principles set forth in the District Organization Decree. (i) For 1974 (a posteriori): - identification of items to be subject to further study in the principal sectoral operations in the proposed 1974 budget - analysis of the points of conflict and preparation of additional studies. (ii) For subsequent years: - in view of the studies carried out under (a) above, identification of the principal sectoral operations to be considered for inclusion in the public investment budget for the year - identification of optimal actions; definition of their priority allocation and spatial distribution - study of provisional proposals by ministries and public agencies - adaptation in terms of coordination and optimization of actions; subsequently, adjustment of budget proposals - presentation of an integrated annual investment budget. (c) Supervision - finalization of detailed procedures defining the District's supervisory role - supervision of public and private industrial and residential real estate development undertakings - supervision of the granting of permis de lotir and building permits supervision of the traffic engineering and control studies to be undertaken by the Municipality of Tunis to relieve the immediate and medium term traffic problems; integration of these studies in the transport policy framework to be developed under paragraph 11(c) of this Schedule - supervision of the work to be done by consultants to SNT in recommending changes to the existing fare structure; integration of this work in the policy framework to be developed under paragraph 11(b) of this Schedule - supervision of all studies, including feasibility studies, in process or contemplated, dealing with problems relevant to the development of the District. II. SPECIAL POLICY STUDIES (a) Study of housing problems in the District. This study will include in particular: analysis of population growth 12 census of dwellings; analysis of housing conditions and costs in relation with socio-economic characteristics of the population - review of past public programs and actions by the private sector - definitions of options (improvement, renewal, new site development) - estimates of costs (infrastructure, superstructures, amenities) - identification of economic and financial constraints - suggested short and medium-term programs. This study shall comprise all the elements justifying the programming alternatives proposed to the authorities. (b) Study of Fiscal Problems at the District level: - identification of the impact of the present systems on land use patterns - definition of alternatives and suggestions for improvements. (c) Urban Transport Policy Study: - examination of present pricing and charging policies for public and private transport, within the framework of national policy on the subject - review of the role of the private sector in providing transportation and of the implications of encouraging competition in the transport sector, within the framework of national policy on the subject - proposal of general or specific public transportation measures to be taken to meet to the maximum extent the needs of the customers - recommendations on measures and projects giving priority to public transport, particularly street parking regulations and reserved bus lanes 13 - proposals on public transport tariff structures to encourage public transport patronage and lead to a more rational land use pattern - recommendation of transport development programs based on the above general policy proposals. III. FEASIBILITY STUDIES (a) Sectoral Study on Housing: (i) Study of one or more areas of the Municipality of Tunis Medina: - review of existing studies on socio-economic conditions and on the legal status of land - critical evaluation and completion of existing studies on infrastructure and superstructure - development of necessary cost estimates - financial and economic studies - definition of alternative programs. (ii) Study of spontaneous housing developments: - studies of general socio-economic conditions (will be based on the data obtained by the housing study of the District and the surveys to be carried out) - definition of social and environmental typologies - identification of one or more dynamic zones capable of being adequately supplied with infrastructure and public services to improve living conditions of the resident population - comprehensive study of ways of improving this zone; if reducing its density is recommended, the identification and development of one or more new areas will have to be considered concommitantly. 14 (iii) Study of other sites for low income housing development: - identification of suitable areas for this type of residential development - determination of areas of commercial activity - determination of minimal infrastructure and public services requirements - cost estimates - study of financial and economic factors - program for execution. (iv) Synthesis of the above three elements (renewal, upgrading and new site development) into a three-pronged implementation program consistent with resource constraints. (b) Feasibility study of high priority sites for industrial and warehouse development, to be based on analyses carried out under paragraph I(a) of this Schedule: - study of development alternatives - detailed study - preparation of land use plans and cost estimates, including roads, water, sewerage and electricity - financial and economic study. (c) Redevelopment study of the old port area and adjoining warehouse zone, to be based on preliminary analyses developed in paragraph I(a) of this Schedule: - study of redevelopment/urban renewal in the old port area, its relationship to land use in the adjacent area and in the city center of the Municipality of Tunis - preliminary study of economic and social costs and benefits of redevelopment. 15 SCHEDULE 2 Consultants and permanent personnel to be appointed for the purpose of assisting the District in carrying out Part G of the Project (a) Consultants to be appointed before the Effective Date: Seven experts - Chief Technical Advisor - Economist - Urban Economist/Planner - Housing and Site & Services Expert - Financial/Fiscal Analyst - Civil Engineer (Infrastructure and Public Utilities) - Transportation Planner/Engineer (b) Counterpart personnel to be appointed before the Effective Date: Six professionals - Two Urban Economists - One Physical Planner - One Economist/Financial Analyst - Two Civil Engineers (c) Additional personnel to be appointed no later than January 1, 1975: Eleven professionals - One Urban Economist - Two Physical Planners 16 - Three Economists/Financial Analysts - Two Public Administration Experts - One Civil Engineer - One Sociologist/Demographer - One Attorney.