Dominican Republic - Yaque Del Norte Irrigation Project : Credit 0352 - Credit Agreement - Conformed

CONFORMED COPY CREDIT NUMBER 352 DO Development Credit Agreement (Yaque del Norte Irrigation Project) BETWEEN DOMINICAN REPUBLIC AND INTERNATIONAL DEVELOPMENT ASSOCIATION DATED JANUARY 17, 1973 CONFORMED COPY CREDIT NUMBER 352 DO Development Credit Agreement (Yaque del Norte Irrigation Project) BETWEEN DOMINICAN REPUBLIC AND INTERNATIONAL DEVELOPMENT ASSOCIATION DATED JANUARY 17, 1973 DEVELOPMENT CREDIT AGREEMENT AGREEMENT, dated January 17, 1973, between DOMINICAN REPUBLIC (hereinafter called the Borrower) and INTERNATIONAL DEVELOPMENT ASSOCIATION (hereinafter called the Association). WHEREAS (A) The Borrower has decided to construct, in the Yaque del Norte River area, downstream of Santiago de los Caballeros, an irrigation and drainage system designed in correlation to the pattern of land holding which will result from an agrarian reform program; (B) The Borrower has requested the Association to assist in financing the Project described in Schedule 2 to this Agreement by extending the Credit as hereinafter provided; (C) The Borrower intends to contract from the Inter-American Development Bank a loan for the equivalent of not less than thirteen million dollars (hereinafter called the IDB Loan) to assist in financing the said Project on the terms and conditions set forth in an agreement (hereinafter called the IDB Loan Contract) to be entered into between the Borrower and the Inter-American Development Bank; (D) The Association has agreed, on the basis inter alia of the foregoing, to extend the Credit to the Borrower upon the terms and conditions hereinafter set forth; NOW THEREFORE the parties hereto hereby agree as follows: 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, subject, however, to the deletion of Sections 5.01 and 6.02(h) thereof and to the renumbering of Section 6.02(i) into 6.02(h) thereof (said General Conditions Applicable to Development Credit Agreements of the Association, as so modified, being hereinafter called the General Conditions). 4 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 additional terms have the following meanings: (a) "INDRHI" means the Instituto Nacional de Recursos Hidrdulicos, an agency of the Borrower; (b) "Project Coordinator" means the official referred to in sub-paragraph (i) of Section 3.05(b) of this Agreement; (c) "Memorandum" means the agreement to be entered into between the Association and the Inter-American Development Bank, providing, inter alia, in respect of the Project, for coordination between them with regard to disbursements of funds from the Credit and the IDB Loan, and with regard to procurement of goods and services and supervision procedures and exchange of information in respect of the Project, and; (d) "Transfer Agreement" means the agreement to be entered into between the Borrower and INDRHI, pursuant to Section 3.01(b) hereof, as the same may be amended from time to time. 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 thirteen million dollars ($13,COO,000). 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 the Project and to be financed under the Development Credit Agreement; provided, however, that, except as the Association shall otherwise agree: (i) 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; and (ii) no withdrawal shall be made, except for the equivalent of $1,000,000 under Category III and $200,000 under Category II of the allocation of the proceeds 5 of the Credit set forth in Schedule I hereto, until all conditions precedent to the first disbursement under the IDB Loan Contract shall have been fulfilled and the Memorandum shall have been executed and delivered on behalf of the parties thereto. Section 2.03. Except as the Association shall otherwise agree, the goods and services (other than services of consultants) required for the Project and 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 April 1972, and in accordance with, and subject to, the provisions set forth in Schedule 3 to this Agreement. Section 2.04. The Closing Date shall be December 31, 1979 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 May 15 and November 15 in each year. Section 2.07. The Borrower shall repay the principal amount of the Credit in semi-annual installments payable on each May 15 and November 15 commencing May 15, 1983, and ending November 15, 2022, each installment to and including the installment payable on November 15, 1992 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 purposes of Section 4.02 of the General Conditions. ARTICLE III Execution of the Project Section 3.01. (a) The Borrower shall cause INDRHI ,o carry out Part A of the Project, and shall carry out Part B of the Project with due diligence and efficiency and in conformity with appropriate engineering and agrarian practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the purpose. 6 (b) The Borrower shall make the proceeds of the Credit available to INDRH1 under a transfer agreement to be entered into between the Borrower and INDRHI under terms and conditions satisfactory to the Association. (c) The Borrower shall exercise its rights under the Transfer Agreement in such manner as to protect the interests of the Borrower and the Association and to accomplish the purpose of the Credit, and except as the Association shall otherwise agree, the Borrower shall not assign, amend, abrogate or waive the Transfer Agreement or any provision thereof. Section 3.02. The Borrower shall cause INDRHI to employ engineering and agricultural development consultants acceptable to the Association upon terms and conditions satisfactory to the Association in accordance with the provisions of Schedule 4 to this Agreement. Section 3.03. In carrying out construction of civil works under the Project, the Borrower shall cause INDRHI to employ contractors acceptable to the Association upon terms and conditions satisfactory to the Association. Section 3.04. The Borrower shall apply or cause to be applied such operating criteria for the Tavera reservoir and hydroplant as shall be required to provide sufficient flow in the Yaque del Norte River, together with the normal flow of the Bao River as it may be regulated by future development, to meet at all times the Project diversion demands for irrigrtion at the Project headworks. Section 3.05. The Borrower shall, to coordinate activities of agencies of the Borrower responsible for aspects of the Project other than those to be carried out by INDRHI: (a) establish and maintain a Central Policy Committee which shall include high officials of the Secretariat of State for Agriculture, INDRHI, Banco Agri'cola de la Republica Dominicana and the Instituto Agrario Dominicano, to give overall guidance to the execution of such parts of the Project; and (b) establish and maintain a Project Coordinating Committee which shall include field representatives of the agencies of the Borrower referred to in paragraph (a) hereof and the Corporaci6n Doninicana de Electricidad, senior local officials of the Tobacco Department and the Rice Research Center at Juma, to ensure said coordination in the field. Said Committee (i) shall be chaired by the Project Coordinator, who shall report directly to the Central Policy Committee referred to in paragraph (a) hereof; (ii) shall have its headquarters in Santiago de los Caballeros and (iii) shall hold meetings at least quarterly. Appointments to the 7 position of Project Coordinator shall be made by the said Central Policy Committee only after consultation with the Association. Section 3.06. The Borrower shall (i) within one year after the date of this Agreement, present to the Association for consultation a plan for the establishment of a unit under the direction of the Project Coordinator, to provide extension services in the Project area; (ii) promptly thereafter, establish such unit; and (iii) make annual budgetary allocations required to provide such unit with the funds, facilities, staff and other resources necessary to car.y out the unit's purposes. Section 3.07. The Borrower shall: (i) within 18 months after the date of this Agreement, submit to the Association for agreement a detailed plan for land acquisition and settlement of farmers in the area to be irrigated under the Project, to the extent required to carry out the design and layout of Part A (3), (4) and (5) of the Project; and (ii) promptly thereafter, carry out a plan therefor, acceptable to the Association, through the Instituto Agrario Doininicano, in accordance with a timetable to be agreed upon with the Association and simultaneously with the construction of the irrigation and drainage component of the Project so that changes in the farm size and boundaries will be correlated with the layout and construction of said irrigation and drainage systems. Section 3.08. (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 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 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 3.09. (a) The Borrower shall furnish to the Association, promptly upon their preparation, the plans, specifications, reports, contract documents and work and procurement schedules for the Project, and any material modifications thereof 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 fihanced out of the proceeds of the Credit, and to disclose the use thereof in the Project; (ii) shall enable the Association's accredited representatives to 8 examine the 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. ARTICLE IV Other Covenants Section 4.01. (a) The Borrower shall maintain or cause to be maintained records adequate to reflect in accordance with consistently maintained appropriate accounting practices the operations, resources and expenditures, 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 cause INDRHI, in respect of the Project and of the use of the proceeds of the Credit, to: (i) have its accounts, including separate sub-accounts regarding the Project, and financial statements (balance sheets, statements of income and expenses and related statements) for each fiscal year audited, in accordance with sound auditing principles consistently applied, by independent auditors acceptable to the Association; (ii) furnish to the Association as soon as available, but in any case not later than four months after the end of each such year, (A) certified copies of its financial statements for such year as so audited and (B) the report of such audit by said auditors, of such scope and in such detail as the Association shall have reasonably requested; and (iii) furnish to the Association such other information concerning the accounts and financial statements of INDRHI and the audit thereof as the Association shall from time to time reasonably request. Section 4.02. (a) The Borrower shall submit to the Association for comments, within 24 months after the date of this Agreement, a study to determine (i) the level of water charges required for full recovery of operation and maintenance costs and (ii) the proportion of investment costs that could reasonably be recovered through the water charges taking into account planned farm sizes, cropping possibilities, expected taxes, farm income and water consumption, and the need to maintain farmers' incentives. (b) The Borrower shall, on the basis of the study referred to in paragraph (a) hereof, prepare rate schedules and schedules of implementation thereof, regulations for allocation and delivery of water and administrative procedures for the collection of water charges. 9 (c) Except as the Association shall otherwise agree, the Borrower shall cause INDRHI to impcse and collect such annual water charges as shall be necessary to recover the full amount of operation and maintenance costs of the irrigation component of the Project and a reasonable proportion of investment costs, taking into account the partial recovery, if any, of such costs through land acquisitions pursuant to Law No. 5852 of 1962 of the Borrower as amended by Law No. 134 of 1971. Section 4.03. The Borrower shall (i) make available, or cause to be made available, sufficient funds to meet the credit needs of farmers in the Project Area, and (ii) cause that the use of such funds be made available upon the recommendation of, and supervised by, the extension service unit referred to in Section 3.06 hereof. Section 4.04. The Borrower shall take all measures necessary to adjust land and water titles to conform to changes in farm size and ownership and to bring new land under irrigation. 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, resources and expenditures, in respect of the Project, of the departments or agencies of the Borrower responsible for carrying out -any part of the Project, 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 te :ritories of the Borrower, including its balance of payments, and the external debt of the Borrower, of any of its political subdivisions and of any agency of the Borrower or of any such political subdivision. 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 10 concerning the administration, operations, resources and expenditures, in respect of the Project, of the departments or agencies of the Borrower responsible for carrying out any part of the Project. (b) The Borrower and the Association shall promptly inform each other 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 either of them of its 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. 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 or in Section 7.03 of this Agreement 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 11 principal and service charges shall become due and payable immediately, anything to the contrary in the Development Credit Agreement notwithstanding. Section 7.02. For the purpose of Section 6.02 of the General Conditions, the following additional event is specified: the right of the Borrower to utilize the IDB Loan, shall have been suspended or cancelled in whole or in part. Section 7.03. For the purposes of Section 7.01 of the General Conditions, the following additional event is specified: the event specified in Section 7.02 shall occur. ARTICLE VIII Effective Date; Termination Section 8.01. The following events are specified as additional conditions to the effectiveness of the Development Credit Agreement within the meaning of Section 10.01(b) of the General Conditions: (a) The execution and delivery of the Transfer Agreement on behalf of the Borrower and INDRHI, respectively, have been duly authorized or ratified by all necessary corporate and governmental action; (b) the consultants referred in paragraph I of Schedule 4 to this Agreement have been employed; (c) the Central Policy Committee and the Project Coordinating Committee referred to in Section 3.05 (a) and (b), respectively, have been established; (d) the Project Coordinator has been appointed after consultation with the Association; and (e) INDRHI has been given powers to impose and collect annual water fees, at such levels as shall be required to comply with the provisions of Section 4.02(c) hereof. Section 8.02. The following are specified as additional matters, within the meaning of Section 10.02(b) of the General Conditions, to be included in the opinion or opinions to be furnished to the Association: namely, that the Transfer Agreemen% has been duly authorized or ratified by, and executed and delivered on behalf of, the Borrower and INDRHI, respectively, and constitutes a valid and binding obligation of the Borrower and INDRHI in accordance with its terms. 12 Section 8.03. The date April 20, 1973, is hereby specified for the purposes of Section 10.04 of the General Conditions. Section 8.04. The obligations of the Borrower 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 30 years after the date of this Agreement, whichever shall be the earlier. ARTICLE IX Representative of the Borrower; Addresses Section 9.01. The Executive Director of INDRHI 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: Instituto Nacional de Recursos Hidrulicos Centro de los Hroes Santo Domingo Rep6blica Dominicana Cable address: INDRHI Santo Domingo 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. 13 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. DOMINICAN REPUBLIC By /s / Michel Lulo Guitte Authorized Representative INTERNATIONAL DEVELOPMENT ASSOCIATION By /s/ Gerald Alter Regional Vice President Latin America and the Caribbean L| 14 SCHEDULE 1 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 7,900,000 73% of total expenditures II. Equipment 200,000 100% of foreign expenditures III. Consultants' services 2,400,000 100% of foreign expenditures IV. Unallocated 2,500 ^ 0 TOTAL 13,000,000 2. For the purposes of this Schedule: (a) the term "foreign expenditures" means expenditures for good produced in, or services supplied from, the territories, and in the currency, c any country other than the Borrower; and (b) the term "total expenditures" means the aggregate of foreig expenditures and of expenditures for goods produced in, or services supplied fron the territories of the Borrower. 3. Notwithstanding the provisions of paragraph I above, no withdrawals sha be made in respect of: 15 (a) expenditures prior to the date of this Agreement; and (b) payments for taxes imposed directly 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 in respect of any Category 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; and (c) if the Association shall have reasonably determined that the procurement of any item in any Category is inconsistent with the procedures set forth or referred to in Section 2.03 of this Agreement, no expenditures for such item shall be financed out of the proceeds of the Credit and the Association may, without in any way restricting or limiting any other right, power or remedy of the Association under the Development Credit Agreement, by notice to the Borrower, cancel such amount of the Credit as in the Association's reasonable opinion, represents the amount of such expenditures which would otherwise have been eligible for financing out of the proceeds of the Credit. 5. Notwithstanding the percentages set forth in the third column of the table in paragraph I 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. 16 SCHEDULE 2 Description of the Project The Project, the purpose of which is to increase the productivity of the Yaque del Norte River Valley, consists of (i) the rehabilitation and enlargement of the irrigation area downstream of Santiago, to provide efficient and secure irrigation to an area of about 27,500 ha (4,500 ha on the left bank and 23,000 ha on the right bank); (ii) the acquisition of land under the laws of the Borrower and their distribution to poor farmers pursuant to said legislation; (iii) the provision of supporting services for agricultural and livestock production in the area; and (iv) the provision of technical assistance to farmers in the area and to train technical personnel. Part A: 1. construction of headworks on the Yaque del Norte River at Santiago de los Caballeros, consisting of a diversion dam, a sluice structure, a desilting works and intake structure designed for about 40 m3/s; 2. construction of a concrete lined main canal of about 73 kin; 3. construction of a distribution system of concrete canals with a total length of about 300 km; 4. construction of a drainage system of about 500 km, about half of which would consist of reconditioned natural drains; 5. construction of on-farm irrigation and drainage canals and the carrying out of land leveling; 6. installation of a pumping plant to serve about 1,600 ha above the main canal; 7. construction of about 375 km of roads along the main and secondary canals; 8. construction of buildings for operations and maintenance staff; 9. installation of a telecommunication system connecting key operating stations in the Project Area; 10. the procurement of equipment for the Project; 17 Part B: 11. the provision of extension services, technical assistance in the fields of marketing, agricultural credit cooperatives, operation and maintenance of the irrigation area and agrarian reform; 12. provision of agricultural credit to farmers in the area. The Project is expected to be completed by June 30, 1979. 18 SCHEDULE 3 Procurement 1. Scope of Contracts for Civil Works There shall be 4 contracts for civil works: one for the headworks and first sections of the main canal; one for the second section of the main canal, including distribution and on-farm works; one for the third section of the main canal, including the pumping plant, distribution and on-farm works; and one for the pumping plant and related distribution and on-farm works. 2. Large Contracts for Civil Works or Equipment With respect to any contract for civil works or equipment estimated to cost the equivalent of $50,000 or more: (a) Bidders for civil works contracts shall be required to prequalify. The Borrower shall, before qualification is invited, 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 prequalified bidders, together with a statement of their qualifications and of the reasons for the exclusion of any applicant for prequalification, shall be furnished by the Borrower to the Association for its comments before the applicants are notified and the Borrower shall make such additions to or deletions from the said list as the Association shall reasonably request. (b) Before bids are invited, the Borrower shall furnish to the Association, for its approval, the text of the invitations to bid and the plans and specifications and other bidding documents, together with a description of the advertising procedures to be followed for the bidding, and shall make such modifications in the said documents or procedure as the Association shall reasonably request. Any further modification to the bidding documents shall require the Association's concurrence before it is issued to the prospective bidders. (c) 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 on the evaluation and comparison of the bids received, together with the reasons for the intended award. The Association shall, if it determines that the intended award would be inconsistent with the procedures set forth or referred to in Section 2.03 of this Agreement, promptly inform the Borrower and state the reasons for such determination. 19 (d) The terms and conditions of the contract shall not, without the Association's concurrence, materially differ from those on which bids were asked. (e) Two conformed copies of the contract shall be furnished to the Association promptly after its execution and prior to the delivery to the Association of the first application for withdrawal of funds from the Credit Account in respect of any such contract. 3. Other Contracts for Civil Works or Equipment With respect to any other contract for civil works or equipment, the Borrower shall furnish to the Association, promptly after its execution and prior to the delivery to the Association of the first application for withdrawal of funds from the Credit Account in respect of any such contract, two conformed copies of such contract, together with the analysis of bids, recommendations for award and such other information as the Association shall reasonably request. The Association shall, if it determines that the award of the contract is not consistent with the procedures set forth or referred to in Section 2.03 of this Agreement, promptly inform the Borrower and state the reasons for such determination. 20 SCHEDULE 4 Consultants Services 1. Except as the Association shall otherwise agree, the terms of reference of consultants retained to assist INDRHI in carrying out Part A of the Project shall require the consultants to: (a) Review the proposed plan for the Project and perform additional studies as required; (b) perform detailed surveys as required for design and layout of the irrigation and drainage component of the Project, including topographic surveys for land leveling; (c) prepare final designs, specifications, and cost estimates; (d) prepare mass diagrams, quantity estimates and elevations for land leveling; (e) provide layout stakes for the contractors and make final inspections for compliance with specifications; (f) prepare tender documents and contracts and assist in evaluation of bids; (g) supervise construction, perform partial and final inspections, certify work performed; (h) prepare specifications and assist with inspection and acceptance of equipment and materials purchased directly by INDRHI for the Project; (i) prepare progress reports as required; and (j) provide in-service training to local staff employed on the Project. 2. Except as the Association shall otherwise agree, the terms of reference of the consultants retained to assist the Borrower in carrying out Part B of the Project shall require the consultants to: (a) assist in the preparation and timing of a detailed plan for acquisition and redistribution of Project lands; 21 (b) assist in, the implementation of this plan over the Project period, including the settlement of farm families; (c) assist in the coordination and strengthening of the extension services under the Project, to assist the farmers in increasing their productivity; (d) assist the credit and marketing services under the Project, in order to coordinate the channeling of supervised credit to Project farmers; (e) assist, mainly INDRHI, to prepare and implement a water delivery schedule, to prepare an operation and maintenance manual and to determine the level of water charges, and; (f) provide in-service training to local staff employed on the Project. These consultants shall be headed by a senior extension specialist and shall include experts in agronomy, water distribution and irrigation practices, credit, marketing, and agrarian reform.