Philippines - Fourth Education Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No. 6348 PROJECT PERFORMANCE AUDIT REPORT PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) Julv 1.7, 1986 Operations Evaluation Department This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  FOR OMCLAL USE ONLY THE WtORLD SANK Washinlton. D.C. 20433 U.S.A. Ofice ai Dwvct.C.lMai Optafuism EvahMatrn July 17, 1986 MEMORANDUM TO THE EXECUTIVE DIRECTORS AND THE PRESIDENT SUBJECT: Project Performance Audit Report: Philippines Fourth Education Project (Loan 1374-PH) Attached, for inform.ation, is a coov of a reDort entitled "?roject Performance Audit Report on the Philippines Fourth EducatiDn ?roject (Loan 1374-PH)" prepared by thle Operations Evaluation nepartment. '7 This document has a restricted distribution and may be used by recipients only in the performance of th1eir official duties. Its contents may not otherwise be disclosed without World Bank authorization. .  Fox OFFICUIL USE ONLY ABBREVIATIONS BHE - lureau of Higher Education EDPITAF - Educational Development Projects Implementation Task Force FTZ-RD - Farmers Training Center for Rural Development MECS - Ministry of Education and Culture and Sports NTC - National Training Center OED - Operations Evaluation Department, The World Bank PTC-RD - Philippine Training Centers for Rural Development RTC-RD - Regional Training Center for Rural Development TPAE - Technical Panel for Agricultural Education LTPCVM - 'Iniversity of the Philippines, College of Veterinary Medicine UPLB-CA - University of the Philippines, College of Agriculture UPLB-CF - University of the Philippines, College of Forestry UPLB-IAS - Uni'.ersity of the Philippines, Institute of Animal Science VISCA - Visayas State College of Agriculture FISCAL YEAR January 1 - December 31 COUNTRY EXCHANGE RATES /a Name of Currency (abbreviation) - Peso (P) Year US$-P P=US$ Appraisal Year Average (1976) -- 7.40 0.135 Intervening Years Average (1977-82) - 7.80 0.129 Completion year (1983) -- 14.00 0.071 /a aource: International Financial Statistics, Vol. XXXVII, No. 12, Dec. 1985. This document has a restricted distribution and may be used by recipients only in the performar e of their official duties. Its contents may not otherwise be discloed without World Bank authorization  PROJECT PERFORMP'CE AUDIT REPORT PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) TABLE OF CONTENTS Page No. Preface ................. ..... i Basic Data Sheet i Evaluation Summary ........................... , v PROJECT PERFORMANCE AUDIT MEMORANDUM I. PROJECT BACKGROUND ... ......*...................... 1 Agricultural Education and its Role in Agricultural Development ........................... . 1 Project Objectives and Scope ...........................I 1 Project Cost and Financing Plan ................. .......... 3 Implementation Plan , ., 3 II. PROJECT IMPLEMENTATION AND OUTCOME ....................... 4 Project Management 4 Implementa Oti Process .................... . * *.* * 4 Project Outcome ............. . . . . ... . .. . . . * 6 Total Project Cost 1W III. FINDINGS AND ISSUES .......10 Overview ...,,,10 Findings and lessons . . . . o o . . . .. . . . . . . . . . . * . . . . .11 I ssue s Ari s ing . . .. ... ..#060004000 0 13 ATTACHMENT I: Table 1 - Estimated Project Expenditure by Year 16 PROJECT COMPLETION REPORT I. Completion Report Prepared by the Government 19 A. Introduction and Background 19 B. Project Implementation .................... ..... 21 C. Outcomes by Project Cotaponent , 24 D. Project Costs a . a 31 E. Conclusions and Recommendations fron Project Experience 33 II. Bank Observations 34  TABLE OF CONTENTS (Cont'd) ANNEXES 1. Civil Works Table 1: Status of Incomplete Buildings Table 2: Approximate Gross Aiea in Square Meters 2. Equipment and Furniture Allocation by Project Institutions 3. Fellowships: Participants, Man-morths and Costs 4. Expert Se3vices Table 1: Posts, Man-months and Costs Table 2: Fields of Specialization 5. UPLB - College of Fisheries Table 1: Enrollment by Course/Degree Table 2: Graduates by Course/Degree Table 3: Academic Staff Profile 6. UPLB - Institute of Animal Science Table 1: Enrollment by Course/Degree Table 2: Graduates by Course/Degree Table 3: Teaching and Research Staff Profile 7. UPLB - College of Veterinary Medicine Table 1: Enrollment by Course/Degree Table 2: Graduates by Course/Degree Table 3: Academic Staff Profile 8. UPLB Graduate Enrollment, Faculty Profile and Ratio of Faculty with Doctoral Degree to Graduate Students 9. Visayas State College of Agriculture Table I: Enrollment by Course/Degree Table 2: GraduaLes by Course/Degree Table 3: Academic Staff Profile 10. Project Costs by Project Institution and Component i;. Disbursement Schedule CHART 1: Organization of the TPAE Secretariat  PROJECT PERFORMANCE AUDIT REPORT PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) PREFACE This is a performance audit of the Fourth Education Project in the Philippines, for which Loan 1374-PH in the amount of US$25.0 million was approved in March 1977. The loan became effective in June 1977, and the Closing Date was extended once to December 31, 1983. The last disbursement was made on .ugust 2, 1984 and an undisbursed Lalance of about T'S$133,000 was cancelled. The eudit report consists of a Project Performance Audit Memorandum (PPAM) prepared by the Operations Evaluation Department (OED) and a Project Completion Report (PCR) dated July 17, 1985. The PCR consists of two chapters: Chapter I was prepared by the Government with Unesco assistance, and Chapter II by the East Asia and Pacific Region Education Projects Division. The PPAM is based on a review of material in Bank files, including the Staff Appraisal Report No. 1207c-PH of Februai) 10, 1977; the President's Report No. P-1997-PH of February 16, 1977; the records of the Board discus- sion of this project on March I, 1977; the Loan Agreement dated March 25, 1977; correspondence with the Borrower concerning this project, including the quarterly progress reports; Bank reports on preceding and subsequent education projects in the Philippines; the PCR, and discussion with Borrower and Bank staff associated with this project. Selected project institutions were visited by an OED mission to tne Philippines in December 1985. The PCR provides much useful inf rmation which the PPAM supplements with other 4nformation from Bank records .id with comments on various aspects of project implementat!on experience. There is, however, a wide divergence between the total actual project cost reported by the PCR and that estimated by the PPAM. The Operations Evaluation Department gratefully acknowledges the cordial cooperation accorded the OED mission by the Ministry of Education, Culture and Sports. Following customary OED procedures, copies of the draft PCR were sent to the Government for comment in April 1986. No comments have been received.  - ii - PROJECT PE2RO11WNCE AUDIT BASIC DATA SHEET PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) KEY PROJECT DATA Appraisal Actual or Item ExDectation Current Estimate Total Project Cost (US$ million) 45.3 48.5/a Overrun (X) 7% Loan Amount (USS million) 25.0 ,5.0 Disbursed 24.9 Cancelled 0.1 Repaid ) 6.44 6.43 Outstanding ) as of 02/28/86 18.56 18.44 Date Physical Components Completed 06/79 12/83 --in Months Since Loan Signature 27 79 Proportion Completed by Above Date (X) 40 90 Proportion of Time Overrun (2) 192 Date of Overall Proj'tet Completion 09/81 12/83 --in Months Since Loan Signature 54 79 Proportion Completed by Above Date (X) 60 90 Proportion of Time Overrun (X) 46 Institutional Performance Satisfactory CUMULATIVE ESTIMATED AND ACTUAL DISBURSEMENT (USS million) FY 77 78 79 80 81 82 83 84 85 Appraisal Estimate 0.4 2.6 15.1 22.4 24.6 25.0 (25.0) (25.0) (25.u) Actual - 1.2 5.6 9.9 16.2 18.6 19.7 24.1 24.9 Actual as x of Estimate 46 37 44 66 74 79 96 99.6 OTHER PROJECT DATA Original Actual or Item Plan Revisions Est. Actual First Mention in Files 06/23/75 Government's Application /b 10/75 Negotiations 05/76 12/76 01/17/77 Board Approval 07/76 01/77 03/01/77 Date of Loan Agreement 03/25/77 Effectiveness Date 05/24/74 06/09/77 Closing Date 12/31/81 12/31/83 12/31/83/C Borrower Republic of the Philippines Executing Agency Ministry of Education, Culture and Sports Follow-on Project Name Fisheries Training Project Loan Number 1786-PH Loan (USS million) 38.0 Loan Agreement Date 04/08/81 /a See PPAR, paras. 23, 31-32. T Based on a UNESCO preparation mission in March 1975 and a Bank pre-appralsal mission in June-July 1975. _c The final disbursement was on August 2, 1984.  - iii -~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ MISSION DATA Sent Month/ No. of No. of Staff Date of Item by Year Daye Persons Days * Report Identification Bank 12/74 7 2 14 01/--/75 Preparation UNESCO 03/75 28 6 168 06/--/75 Preappraisal Bank 06/75 33 4 132 09/--/75 Appraisal Bank 01/76 31 8 296 02/10/77 Total 99 610 Supervision I Bank 06/77 6 1 6 06/30/77 Supervision II 09/77 3 1 3 10/17/77 Supervision III 12/77 2 1 2 01/31/78 Supervision IV FAO 05/78 5 1 5 06/30/78 Supervision V Bank 07/78 1 1 1 07/18/78 Supervision VI 09/79 5 2 10 10/01/79 Supervision VII 04/80 2 1 2 04/28/80 Supervision VIII FAO 11/80 8 1 8 03/11/81 Supervision IX FAO/UNESCO 06/80 8 2 16 07/15/81 Supervision X Bank 11/81 2 3 6 01/08/82 Supervision XI 07/82 3 2 6 08/20/82 Supervision XII 06/83 3 1 3 06/22/83 Supervision XIII 11/83 3 1 3 11/28/83 Completion UNESCO 02/84 14 1 14 06/30/84 Total 65 85 STAFF INPUT (Staff Weeks) FY 75 76 77 78 79 80 81 82 83 84 85 Preparation 3.4 20.3 0.2 Appraisal 135.2 22.3 Negotiation 9.6 Supervision 4.6 5.4 2.3 4.6 7.5 3.4 5.7 4.2 4.3 Total 3.4 155.5 36.7 5.4 2.3 4.6 7.5 3.4 5.7 4.2 4.3 * Number of Staff-days attributable to this project.  - iv - ALLOCATION OF LOAN PROCEEDS (US$ Million) Original Revised Actual Category Allocation Allocation Disbursements 1. (a) Civil Works and Furniture 6.000 7.630 6.146 (b) Related Professional Services 0.600 0.770 0.725 2. Equi'ment and Materials 8.000 10.000 11.502 3. Technical Assistance and FellowshipL 5.000 6.600 6.494 4. Unallocated 5.400 (Total Disbursed) (24.867) 5. Cancelled 0.133 /a Total 25.000 25.000 25.000 /a The final disbursement was made on August 2, 1984 and the undisbursed balance of US$132,776.37 was cancelled on August 3, 1984.  PRCJECT PERFORMANCE AUDIT REPORT PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) EVALUATION SUMMARY Introduction Th.Ls project was identified in 1975 and appraised in 1976. The total project cost, including contingencies, was estimated at US$45.3 million and the foreign exchange at US$25 million, represet, ing about 55% of tne total cost. To meet the project's foreign exchange cost, a loan of US$25 million equivalent was approved, and the Loan Agreement was signed in March 1977. T1e loan became effective in June 1977. Of the loan amount, US$24.9 million was disbursed and about US$133,000 was cancelled on August 2, 1984 when the loan account was closed. The actual project cost estimated by this audit was about $48.5 million, 7% above the appraisal estimate; it differs greatly from the PCR statement of US$26.4 million (PPAM, paras. 31-32). Objective The project's main objecti-es were to increase the supply of well- qualified agricultural manpower and to improve the quality of agr4cultural education and training. To achieve these objectives, the project provided buildings, furniture, equipment and technical assistance, as appropriate for each component: (a) to establish the Technical Panel for Agricultural Education (TPAE), the Vlsayas State College of Agriculture (VISCA) and the Philippine Training Centers for Rural Development (PTC-RD); (b) to strengthen the University of the Philippines at Los Banos (UPLB), more specifically its College of Forestry (UPLB-CF), Institute of Animal Science (UPLB-IAS), and College of Veterinary Medicine (UPLB-CVM); and (c) to carry out studies, including the monitoring and evaluation of the project. Implementation Experience The project has achieved a substantial part of its sbjectives. Its implemdntation, however, was adversely affected by the unexpected price inflation of 1979-80 and the subsequent devaluation of the peso. The hard- ship was compounded by changes in project management just as Inflation hit the project. Spiralling prices of building materials aaLd labor and the absence of price escalation clauses in the original building contracts led eventually to the cancellation of these contracts. Renegotiated contracts were ineffectual. Consequently most of the physical facilities at UPLB were unfinished at project completion, but construction at VISCA and for the  - vi - PTC-RD wao successfully completed. The project originally was expected to be completed by September 30, 1981, or 54 months after loan signing. Instead, the project was nominally completed in December 1983, even though several important buildings were not completed. The time overrun was 25 months or 46%. Taking physical components aloae, however, the time overrun was 1922. Results The results were mixed. The output of graduates from the project institutions progressively increased but not to the extent expected at appraisal. Most (about 802) of a sample of graduates surveyed were found to be employei after a job search of three or four months. Staff development through the fellowship program was one of the most successful activities: it exceeded the appraisal plan by nearly 50%, having trained 277 instead of 187 staff at only a 17% cost increase over the appraisal estimate. The PTC-RD established a network of regional training centers and farmer training centers. As a result of their training programs, farm production increased significantly, according to a survey. The Technical Panel for Agricultural Education, despite budgetary and administrative constraints, formulated minimum educational standards for 17 undergraduate and 26 postgraduate courses and d, ieloped an accreditation system for agricultural education, as well as a plan for a national system of agricultural education, out the Panel could not control the enrollment expansion of agricultural educational institutions because it was not empF,wered to do so. The outstanding project achievement is the establishment of VISCA as a regional center of excellence, second only t. UPLB. Sustainability The qustainability of UPLB and VISCA is beyond question as they are well-established centers of excellence in agricultural education. The future of the College of Forestry, the Institute of Animal Science, and the College of Veterinary Medicine at UPLB, however, will depend on the demand for skills in those areas of specialization, but the fluctuationis in student enrollments for these colleges can be accommodated within the larger framework of the University. Regarding extensio' work and farmer training, the PTC-RD appears well-established, but its efficiency will depend on increases in Government budgetary support, even though its effectiveness has been demonstrated by increases in farm production following training provided by the PTC-RD system. The TPAE faces the possibility of dissolution after December 31, 1986, when the Government will be released from the Loan Agreement covenant to maintain it. Considering the important groundwork the TPAE has achieved and its usefulness as a consultative and advisory body to the Bureau of Higher Education, the Government is likely to continue to maintain the Panel beyond 1986.  - vii - Main Findings and Lessons in addition to the PCR's recommendations from project experience (PCR, paras. 5.01-'.08; 6.01-6.09), the audit finds that the project has succeeded in substantially achieving its two major objectives of increasing the output of agricultural manpower and improving the quality of agricultural education through the improvement of academic staff qualifica'tions and the establishment of VISCA as a regional center of excellence. Although thie total octual output of graduates was about two-thirds of what was projected, the shortfall was probably a more accurate reflection of the market demand for trained agricultural manpower and a blessing in disguise in view of the unamployment rate in the agricultural sector. Other main findings and lessons are summarized as follows: (a) Changes in project management during the life of the projeOL had an adverse effect on project implementation. Such changes shoul(i be avoided but, if unavoidable, adequate measures should be taken to ensure that the changes would not adversely affect project implementation (PPAM, para. 25; PCR, paras. 5.03, 6.05). (b) Most of the staf' of project instituti ris were dissatisfied witn much of the equipment they received because it was inappropriate or it could not be used. To avoid the mismatch between the equipment and its purpose, end-users should be involved in preparing equip- ment lists and in inspecting and testing equipment on delivery; the availability of spare parts and followup service should be taken into account when equipment is procured; and extra care should be taken to ensure that the appropriate space is provided for the equipment (PPAM, para. 26). (c) The absence of a price escalation clause in civil werks contrac.s, ineftective financial planning, and complicated budgetary procedures resulted in the non-completion of important buildings at UPL3. In the light of this experience, (i) care should be taKen to harmonize the project implementation schedule with the Government's budgetary procedures to ensure a close link between the hudget cycle and the construction season; and (ii) an adequate price escalation clause should be built into civil works contracts (PPAM, para. 27). (d) There appears to be a wide discrepancy be.ween the total actual pruject cost reported by the PCR and that recorded by the (overn- nteiut's quarterly progress reports. As the actual project cost and the reasons for cost overruns or underruns are important to the financial planning and budgetary provisions for future projects, scrupulous attention should be given to the accounting of project implementation funds, following the relevant guidelines in the Bank's Operational Manual. It is also suggested that the Internal Audit Department undertakes a special audit of this project (PPAM, paras. 31-32).  PROJECT PERFORMANCE AUDIT MEMORANDUM PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) I. PROJECT BACKGROUND 1. The Fourth Education Project had its origins in the 1969 Presidential Commission to Survey Philippine Education whose report in 1970 recommended, among other things, the rationalization and improvement of agricultural education and training. Originally conceived as a component of the Third Education Project (Loan 1224T-PH),1/ agricultural education and training was deemed sufficiently important to be a self-standing project which the Bank preappraised in January 1976 and appraised in November 1976. Following negotiations in Washington in January 1977, the project was presented to the Board on March 1, 1977 and the Loan Agreement was signed on March 25, 1977. The loan became effective on June 9, 1977. Agricultural Education and its Role in Agricultural Development 2. In the early 1970s agriculture predominated the Philippines economy. It accounted for about 25% of GNP, over 50% of total employment, and about 75Z of export earnings. Government investment programs, therefore, emphasized the increased production of staple and commercial crops, livestock and fisheries, and forest resources and the improvement in extension and ^ther services to farmers. The prevailing agricultural education system, however, could not respond effectively to the country's needs. It produced graduatts who generally were poorly trained and ill-prepared for productive employment. The ineffective agricultural education and training system could be traced to a number of weaknesses, among which were a shortage of well-trained teaching staff, inappropriate curricula, and inadequate teaching and research facilities while student enrollments were increasing rapidly (from 4,000 in 1964 to 31,000 in 1974) in newly established but generally poorly endowed agricultural institutions. At the same time, poorly trained extension workers led to inadequate farmer extension services. This was the background to the development of the project which took over two years to prepare and appraise. Project Objectives and Scope 3. The project's main objective was to increase the supply of well- qualified agricultural manpower to implement important agricultural develop- ment programs in crops, forestry and livestock (SAR Report No. 1207c-PH, February 10, 1977, para. 9). The PCR, however, credits the project with an additional "main" objective, that of quality improvement in agricultural 1/ An OED audit of this project is being processed.  - 2 - education and training (PCR, para. 1.08). While not explicit in the staff appraisal report, quality improvement was implied in the project scope. Be that as it may, the project was designed to support the Government's agricul- tural education development strategy by (a) establishing and strengthening three new institutions: the Technical Panel for Agricultural Education (TPAE), the Visayas State College of Agriculture (VISCA), and a network of rural training and development headed by the Philippine Training Centers for Rural Development (PTC-RD); and (b) improving the quality of academic staff and strengthening teaching and research facilities in the University of the Philippines at Los Banos (UPLB), specifically the College of Forestry (CF), the Institute of Animal Science (IAS), and the College of Veterinary Medicine (PCR, para. 1.08). Civil works, furniture, equipment and technical assis- tance were provided for the above project components. 4. As the trend in the 1970s was to provide backup support to agricul- tural projects through agricultural education and training programs, it is useful to set Loan 1374 in a wider background. Thus, in several respects this project was a logical development from the First Education Project (Development Program of the University of the Philippines College of Agriculture, UPCA), Loan 393-PH, October 1964, and the Second Education Project, Credit 349-PH, January 1973. The major obj%ctives of the First Education Project were to provide high quality agricultural education and research and to increase the supply of higher level agricultural manpower for government service, teaching and public and private research institutions.2/ The Bank's impact evaluation, carried out nine years after project comple- tion, pointed out that the First Education Project was the Bank's first loan in the education sector for higher education, and its aim was to achieve a multiplier effect through the creation of a national center of excellence in UPCA. While the project, on the whole, was successful, e., _ ecially UPCA's extension staff development funded by the Ford and the Rockefeller founda- tions, the development plan's weakness was tniat it did not adequately prov.de for the University of the Philippines' continued development through the establishment of a permanent institutionalized capability for long-term planning and related programming.3/ 5. The Second Education Project had two of its six major objectives dealing with agricultural education and training: (a) training of young farmers, and (b) training of professional agricultural personnel and improve- ment of extension services. For a variety of reasons, the project was not successful in achieving the objective of training young farmers4/ but was 2/ The Development Program of University of the Philippines College of Agriculture (Loan 393-PH); OED Report No. 820 dated July 30, 1975, para. 6.01. 3/ Impact Evaluation Report - Philippines: First Education Project (Loan 393-PH); OED Report No. 4472 dated May 6, 1983, pp. iii-iv. 4/ East Asia and Pacific Regional Office Project Department, "Philippines Second Education Project, Credit 349-PH, Project Completion Report," May 19, 1982, paras. 5.07 and 5.09.  - 3 - successful in objective (b) above which involved the expansion and strengthening of the Regional Agricultural Colleges (RACs) of the Central Luzon State Universlty (CLSU) and the Central Mindanao University (CMU) to develop them into regional centers for agriculcural training and research. 6. The Philippines First and Second Education Projects had similar counterparts in the Bangladesh First Education Project (Credit 407-BD, June 1973) and the Agticultural and Rural Training Project (Credit 621-BD, March 1976). The main objective of Credit 407-BD was to strengthen the Bangladesh Agricultural University at Mymensingh in teaching, research and extension, and Credit 621-BD sought to increase agricultural production through more effective extension, cooperative and credit services to farmers.5/ These contemporaneous projects illustrate the importance the Borrowers and the Bank placed on agricultural education in developing the appropriate skilled man- power as part of the strategy to increase agricultural production. Project Cost and Financing Plan 7. The total project cost, including contingencies, was estimated at P339.5 million or US$45.3 million equivalent. The foreign exchange was estimated at P187.5 million or US$25.0 million, representing about 55Z of the total cost. To meet all the foreign exchange cost, the Bank provided a loan of US$25.0 million equivalent, repayable over 20 years, including a grace period of four and a half years, at the interest rate of 8.52 per annum. The Government would finance the balance of US$20.3 million equivalent. The project, when it was fully operational in 1981, was expected to generate additional annual recurrent expenditure of about P30.0 million in January 1977 prices. Implementation Plan 8. The existing project unit, the Educational Development Projects Implementation Task Force (EDPITAF) in the then Ministry of Education and Culture, would be responsible for the administration, procurement, financial control and liaison with the Bank in all aspects of the project. The only aspect of the project not controlled by EDPITAF would be the teaching programs of the Philippine Training Centers for Rural Development (PTC-RD) which would be the responsibility of a National Governing Board Secretariat, an agency of the Department of Agriculture. Within EDPITAF coordinating committees would ensure that the procurement of civil works, furniture and equipment would be economically implemented and harmonized with the education programs. 5/ OED, "Project Performance Audit Reprt - Bangladesh First Education Project (Credit 407-BD) and Agricultural and Rural Training Project (Credit 621-BD)," February 21, 1986 (d:aft).  - 4 - II. PROJECT IMPLEMENTATION AND OJTTCOME Project Management 9. EDPITAF had overall respon3ibility for project implementation and liaison with the Bank. Frequent organizational changes and high staff turnover, however, adversely affected EDPITAF's ability to address implementation problems effectively. The separate project implementation units (sub-PIUs), established in 1977 in UPLB and VISCA, often could not work as planned because major decisions on construction and procurement had to be referred to EDPITAF. As part of a scheme to decentraliie decision-making, both UPLB and VISCA in August 1980 took over full responsibility for implementing all project activities for their own institutions. From 1982 project maintenance and operating budgets, which until then had been provided through EDPITAF, were paid to the project institutions through their regular appropriations. EDPITAF itself underwent a number of changes, as indicated by its name change to Foreign-Assisted Projects Office (1982), to Project Development and Implementation Management Office (1984), and in 1985 back to it original EDPITAF. The confusion resulting from these changes caused the Bandk to draw the Government's attention to the need for a clear delineation of responsibilities for project implementation (PCR, paras. 2.01-2.03). Implementation Process 10. To ensure a rapid start-up and to avoid possible cost overruns due to initial implementation delays, the Bank had encouraged the Government to have ready for negotiations architectural sketch plans for all project institutions and a master plan for VISCA. In addition, UPLB had advancel preparation for a 200-manyear fellowship program which, together with the architectural planning, had retroactive financing of expenditures incurred after September 1, 1976. 11. Civil Works Construction. Overall construction was expected to take about 23 months, from July 1977 to June 1979, as all project sites had been acquired and surveyed, and schematic designs approved by the Bank. Tendering by ICB had no major problems, although no foreign firm partici- pated. Contract awards, however, experienced an average four-month delay after bidding because of tardiness in contract preparation and internal approval which often required clearance from the President's Office (PCR, para. 2.04). Total civil works contracts, according to the PCR, amounted to P128.0 million, about 30% less than the appraisal estimate of P183.0 million, but the amount covered only contracts made between December 1977 and April 1979, when the last contract (for the Farmers' Training Center in Sab-a, Leyte), was awarded (PCR, para. 2.04). From late 1979 to project completion in December 1983, the project's construction program faced serious problems due mainly to a rapid price escalation from late 1979 in construction materials and labor. The Government's inability to make construction cost adjustments to the original contracts and the shortage of funds led to a suspension of construction in 1980. Temporary remedial help by the authorities proved futile. Five contracts (four in UPLB, one in VISCA) were cancelled. Construction work in VISCA was taken over by its Physical Plant  Office, using force account, and UPLB's contracts were retendered as smaller packages. To complete the project buildings, the Budget Ministry granted an additional P50.0 million (PCR, paras. 2.05-2.06). The Closing Date was extended from December 1981 to December 1983 to accommodate the project's extended construction period. By December 1983, according to the PCR (para. 2.07 and Annex 1, Table 1), all project buildings were fully completed and operational, except those at UPLB which were expected to be completed by November 1984 (the College of Forestry and the College of Veterinary Medicine) and February 1985 (t' Institute of Animal Science). The audit mission, however, found that a.i the project buildings in UPLB were still incomplete in December 1985. Indeed, the buildings for the Institute of Animal Science were overgrown with wvee,`4, It was estimated that UPLB needed at least another P48.0 million Li complete the physical facilities as originally planned. At VISCA, the mission found that seven of the eight laboratories were not operational because of incomplete furniture and equip- ment. Total gross area constructed, according to the PCR, was about 94,600 square meters, 37% more than planned. The actual usable area in the audit mission's estimate, however, may be about 20% less, in view of the incomplete facilities referred to above. 12. Furniture and Equipment Procurement. As a consequence of building construction delay, the procurement of furniture and equipment was delayed by about 60 months overall. The audit mission learned that, while the furniture was not entirely satisfactory, it was generally usable. The academic staff, on the whole, was less satisfied with the equipment provided by the project (PPAM, para. 26). Some equipment was not what they wanted; some was damaged by prolonged storage in rented warehouses without air conditioning; and some did not work because of missing parts or improper installation. The problem of a misfit between equipment and end-users was caused generally by departmental heads preparing equipment lists without consulting the staff members who had to use the equipment. In other cases affecting the Farmer Training Centers (FTCs), the central authorities ordered equipment without consulting the FTCs. The PCR points out that, at project completion, the value of equipment delivered was P82.0 million, representing 86% of total equipment cost, and the value of furniture delivered was P15.6 million, roughly estimated at 84% of total furniture contracts awarded (PCR, para. 2.12). 13. Technical Assistance. The project provided 180 man-months of expert services and 4,056 man-months of fellowships at a total estimated cost of US$4.9 million. In overall project outcome, technical assistance was the most successful and, for long-term institution building, one of the most important achievements. The number of persons trained was increased by 48X, from the appraisal plan of 187 to actual implementation of 277. This was achieved at only 17% increase in total fellowship cost, partly through the conversion of 38 of the original 180 man-months of expert services into fellowships, and partly through the adoption of less costly academic staff training schemes (PCR, paras. 2.13-2.14). Implementation of the fellowship program was delayed by (a) the inability of the institutions to release too many staff simultaneously for overseas training without a corresponding  number of new appropriately qualified people to take their place; (b) difficulty of some staff in gaining admission to foreign universities; and (c) government restrictions on overseas travel (PCR, para. 2.15). The fellowship program suffered a loss of about 20 fellows (72 of the total) who were not expected to return to the Philippines upon completion of their studies. The net result, nevertheless, was impressive: among the 277 fellows were 138 who gained a doctoral degree and 29 a master's degree, while 31 were on post-doctoral and 79 on non-degree studies. VISCA and UPLB have been the main beneficiaries of the fellowship program. 14. The use of expert services deviated somewhat from appraisal plans, but generally to good effect. The saving of 38 man-months of expert services originally allocated to UPCVM, amounting to about US$200,000, helped to support additional fellowships. Similarly, two man-years' specialist services for EDPITAF were used to fund additional fellowships for UELB and EDPITAF staff as well as preparation of the Sixth and Seventh Education Projects. A notable fact is that VISCA used six local experts (mainly from UPLB) where none had been planned. Thus, the overall cost of expert services was about one-third (US$257,000) of the appraisal estimate (US$825,000). The involvement of foreign experts helped to establish links with international organizations and the universities from which they came, and the collabor- ation between VISCA and UPLB was mutually beneficial, especially to UPLB and its status as a national center of excellence (PCR, paras. 2.17-2.19; Annex 4, Table 1). Project Outcome 15. Technical Panel for Agricultural Education (TPAE). The establish- ment of the TPAE (January 1971) ana the appointment of a ten-member panel (March 1977) were conditions of project p^esentation to the Board which were met by the Government after some initial resistance from the National Economic Development Authority (NEDA) mainly because NEDA did not want yet another "autonomous" para-statal body created at the behest of an external funding agency. The Bank, however, regarded the TPAE, which eventually included representatives of the principal ministries responsible for agricul- tural and rural development, as the key to unlock the problem of quality improvement in agricultural education. Thus, a compromise solution was to establish the TPAE as an agency of the Bureau of Higher Education (BHE). The actual function of the TPAE as a consultative and advisory body of the BHE, however, fell short of the Bank's expectation that the Panel would have effective control over the system of agricultural education by setting minimum standards and pruning the sprawling growth of agricultural education institutions. Despite budgetary and administrative handicaps, the TPAE has achieved the following: (a) formulation of a master plan for agricultural education known as the National Agricultural Education System (NAES); (b) formulation of minimum educati:nal standards for 17 undergraduate and 26 postgraduate courses; (c) development of a national agricultural education accreditation system; and (d) publication of a quarterly journal, The Medium,  - 7 - with over 800 local and international subscribers.6/ Accepted in principle by the BHE, the NAES, however, has not been fully implemented (PCR, paras. 3.01-3.04). 16. The University of the Philippines at Los Banos (UPLB). Under this component, the project sought to improve the quality of teaching and the output or graduates in the College of Forestry (CF), the Institute (originally Department) of Animal Science (IAS), and the College of Veterinary Medicine (CVM). As the PCR gives a fairly detailed account of the project's assistance to these institutions (PCR, paras. 3.06-3.21), this audit will merely highlight some of the more significant project outcomes. 17. Student Enrollment and Graduate Output. In the CF and IAS enroll- ments fell short of the appraisal expectation because of lack of interest in forestry and the presumed availability of other courses in animal science in local institutions (PCR, paras. 3.06, 3.12). The decision not to introduce the planned two-year technician course at the IAS contributed to the low enrollment. At the CVM, however, enrollments during the period 1976-1981 surpassed appraisal expectations, but since then the CVM has deliberately reduced enrollments because of limited fac4lities at the Diliman (Manila) campus (PCR, para. 3.18). In the output of graduates, the project succeeded in progressively increasing the supply of trained agricultural manpower, as shown by figures for the period 1975/76 - 1983/84 (PCR, Annex 5, Table 2; Annex 6, Table 2; Annex 7, Table 2; and Annex 9, Table 2). The combined actual output from UPLB and VISCA, however, was about 67% of the projected output. Between the two institutions, UPLB had a lower performance mainly because the planned two-year technician course in Animal Science was not implemented. Thus, UPLB's total actual output of 2,425 graduates was about 60% of the total projected output of 4,100. Within UPLB there was consider- able variation in graduate output among the project colleges. In the CF, it was about 80% of the appraisal projections of about 880. In the AIS, the output was only 36% of the appraisal target of 1,850 (PCR, paras. 3.08, 3.14). In the CVM the output of graduates in the doctoral program was more or less on target, but the output in the master's program was only 13% of expectation. At VISCA, the total actual output was 1,870 (about 83%) of the total projected output of 2,260. The combined shortfall in graduate output from UPLB and VISCA was a blessing in disguise in view of the growing unemployment in the agricultural sector. It also suggests that the project institutions were right in adjusting enrollments in response to employment opportunities for their graduates. In curric;lum improvement, the project's achievement was mixed. In the CF, the curriculum for the B.S. degree in Forest Product Engineering, first offered in 1974, was revised in 1978 to include Wood Science Technology and Management courses, but the planned introduction of the Forest Product Technology degree and technician programs had to be deferred because of the delayed completion of the Wood Science building (PCR, para. 3.09). In the IAS, the two-year Animal Technician course to be run jointly with the CVM was not introduced because of slackened 6/ Samuel T. Mancebo, Lessons from the TPAE, UPLB college of Agriculture, November 7, 1cJ5. Professor Mancebo has been TPAE's Executive Secretary since 1979.  - 8 - demand for graduates and lack of experienced staff to run the course. Instead, a one-year animal production program, leading to the Diploma in Agriculture, was introduced (PCR, para. 3.13). In the CVM, the curriculum was revised to increase the err?hasis on animal production, but the more important change needed is to shift the focus from domestic pets to farm animals. As in the other institutions, the CVM's teaching programs have fallen short of the appraisal expectation because of incomplete physical facilities. 18. Staff Development. The main emphasis cf the project in staff development was in strengthening UPLB's capability in teaching, research and extension. For this, the project provided 180 man-years for dcctoral fellow- ships and 20 man-years for post-doctoral fellowships. The project produced 81 Pn.D.s and 18 M.S. degrees, besides financing post-doctoral studies for 29 staff and non-degree programs for 15 staff (PCR, paras. 3.22-3.23: Annex 3). 19. The Visayas State College of Agriculture (VISCA). The project's objective was to develop VISCA into a regional center of excellence. Starting as an agricultural high school in 1924, VISCA evolved slowly into a college in 1960. But it was not until the early 1970s that VISCA's present form began to emerge, and Loan 1374 provided the catalyst for its establish- ment as the strongest agricultural college next to UPLB. Enrollment increased from about 600 in 1975 to nearly 1,600 in 1983, the majority of students coming from the Visayas region. Graduates increased over four-fold between 1975 and 1983. Education and training programs now include two post- graduate, eight undergraduate and two technician courses. The number of academic staff increased from 125 in 1975 to about 200 in 1985, most of whom were recruited from UPLB, thus confirming UPLB's role as a "multiplier" institution. VISCA's 14 academic departments, six special research centers, a social laboratory, a radio station, a publications office and a regional training center have been active in a wide range of research and extension activities (PCR, paras. 3.24-3.32; Annex 9),7/ 20. The Philippine Training Centers for Rural Development (PTC-RD). To assist the Government to develop a national system of inservice training for field extension workers and farmer leaders, the project supported the establishmenit of a National Training Center (NTC, located at UPLB), five Regional rraining Centers (TRCs, each hosted by a strategically located agricultural college or university),8/ and six pilot Farmer Training Centers (FTCs, located in strategic government stations to serve major food produc- tion areas). Together these centers comprise the PTC-RD network regulated by the National Governing Board (NGB) which is responsible for policies and 7/ Visayas State College of Agriculture, Facts and Figures, August, 1985; F. A. Bernardo and E. N. Bernardo, VISCA: History and Analysis of Institution Building (no date). 8/ UPLB (which shares the facilities with the NTC), Isabela State University at Cabagan (Northern Luzon), Mountain State Agricultural College (Northern Luzon), VISCA (Eastern Visayas), and the University of Southern Mindanao at Kabacan.  - 9 - guidelines, budgeting and performance evaluation. Members of the NGB include the UPLB Chancellor and the Ministers of the Ministries of Agriculture; Agrarian Reform; Local Government and Community Development; Natural Resources; and Education, Culture and Sports. All the centers were constructed and equipped before the price escalation of 1979, and they are fully staffed and in operation although in varying capacities because of inadequate budgetary support for training programs. 21. The coordination and routine management of the system are the responsibility of the National Coordinating Office which operates as a secretariat. The NTC's role, besides developing curricula and extension methods and materials, and providing technical assistance, is to train trainers for the RTCs. The RTCs, in turn, were expected to train by 1981 a total of 18,000 extension workers from the Ministries of Agricultare (responsible for agricultural extension, plant industry, animal industry, and soils), Natural Resources, Agrarian Reform, and Local Government aiid Community Development. The extension workers would then train, over a five year period, 45,000 farmer leaders each of whom, in turn, would train an average of 10 farmers in his village so that eventually 450,000 farmers would be reached indirectly in the concurrent five year period. In actual performance the PTC-RD network trained about 22,500 extension workers and I ,000 farmer leaders, despite a shortage of funds for training programs C 'R, para. 3.38). A survey of a sample of extension workers and farmers t ained in 1982 showed that the training apparently was linked to signiticant eases in farm production (PCR, para. 3.39).9/ 22. Sustainability. As established institutions of higher educatiun, UPLB (a national center of excellence) and VISCA (a regional center o.9f excellence) raise no question about their sustainability, especially wiheni thk- Government is directly responsible for their operating cost and thetr continuing development. The viability of individual departments, however, may fluctuate according to the demand for skilled manpower, as evidenced by the student enrollments in UPLB's College of Forestry and Institute of Animal Science, but these fluctuations can normally be accommodated wichiin the larger framework of the university. The PTC-RD being newer, less established as an institution, needs constant monitoring of its functions anid responsi- bilities which, when proven to be vital to increasing agricultural prodLic- tion, should have the necessary budgetary support at the right time. !inking all the above together is the TPAE whose existence the Governmenit pledged to maintain until December 31, 1986 (Section 3.02 (a) of the Loan Agreement, 9/ EDPITAF, "A Tracer Study of Graduates/Trainees under the Fo Lrtht LBRD Education Project (Study Findings)," Vol. I, January 1984. The Geavral objectives of the study were to "document, review, and evaluate the training programs conducted by the PTC-RD in terms of their impact. on the productivity of the trainees." The study showed that after-tra:i-IJg agricultural production improved as follows: rice and vegetahbes .'2/; corn - 46%; swine - 86%; poultry - 15%; cattle - 30%; goats - 9X; m d ducks - 36%.  - 10 - dited March 25, 1977) buc beyond which, if the TPAE is disbanded, the ground- work laid by the Panel for maintaining quality in agricultural education and training will be wasted. It is therefore vital for the Government through the BHE to maintain the TPAE beyond 1986. Total Project Cost 23. The total actual project cost, according to the PCR, was P369.1 million, exceeding the appraisal estimate of P339.5 million by 8.7% but, in US dollars equivalent, the actual cost was US$26.4 million (stated only in the key project data table, not in the text) which, compared with the appraisal estimate of US$45.3 million, was "about 422 below appraisal estimate due to the devaluation of the peso" (PCR, para. 4.01). Apparently the US$26.4 million was the result of dividing P369.1 million by 14, the exchange value of the peso against the US dollar in 1984, the completion year of the project. The audit's analysis of the Government's quarterly progress reports shows that, as of December 31, 1983, the estimated total project cost was about US$48.5, which exceeded the appraisal estimate by about 7%, a figure which the audit considers more credible (Attachment I). A comparison of the total project cost as appraised, as presented by the PCR, and as estimated by this audit is presented in the table below. TOTAL PROJECT COST % Overrun/ X Overrun/ Appraisal PCR Underrun Audit Underrun Cost in pesos (million) 339.5 369.1 + 8.7 434.9 +28.1 Cost in US$ (million) 45.3 26.4 -41.7 48.5 + 7.1 The question of project cost is discussed further under paras. 31-32 of this report. III. FINDINGS AND ISSUES Overview 24. The project's objectives of increasing the supply of well-qualified agricultural manpower and improving the quality of agricultural education and training have been uet but not to the extent expected at appraisal. As a result of the large fellowship program, UPLB and VISCA have collectively increased the number of staff with a doctoral or a master's degree (PPAM, para. 13). This will eventually contribute to the quality of education in these institutions. Student graduate output in the main disciplines in agricultural education has also increased but at lower rates than planned, partly in response to a fluctuating market demand and partly as a consequence of the failure to complete some of the physical facilities at UPLB. The unanticipated rapid ptrce escalation in 1979-1980 delayed the construction of buildings at UPL.B, seriously affecting the introduction of new courses and improvement of teaching and research in the College of Forestry, Institute of Animal Science and College of Veterinary Medicine. On the other hand, VISCA  - II - seemed to have weathered the price escalation storm reasonably well and has emerged as a strong regional center of excellence. A tracer study carried out under the guidance of EDPITAF showed that the majority (80) of graduates were employed after a three or four-month job search, and that farm productivity increased significantly after training provided by the PTC-RD. The TPAE, despite staff and budget constraints, did produce guidelines for maintaining minimum academic standards and regulating the hitherto unbridled expansion of agricultural education institutions. To be sure, many problems remain unsolved and new issues have arisen. The following pages will discuss some of these issues as well as the project's main findings. Findings and Lessons 25. Project Management. The transfer of project management responsi- bility from EDPITAF to the sub-PIUs of UPLB and VISCA (in 1980) was made apparently without adequate preparation. The confusion over implementation responsibility during a period when building contracts had to be renegotiated adversely affected the outcome of the project's civil works program (1TPAM, paras. 27-28 below and PCR, para. 6.05). The non-completion of importallt facilities for the College of Forestry, College of Veterinary Medic.ne and the Institute of Animal Science curtailed their educational programs and ultimately the output of i,raduates in these specializations. The ostensible reason for the transfer of responsibilities was that EDPITAF was to be dissolved in 1982 when the original ten-year mandate for its establishment in 1972 was due to expire. Tuas, EDPITAF became PDIMO (Project Development and Implementation Management Office) but in late 1985 reverted to its original acronym. In any case, the transfer of responsibility did not appear to have benefited UPLB, judging from the unfinished buildings, but VISCA was able to use force account to complete substantially its civil works. The reorganizai- tion of EDPITAF was symptomatic of the Governmert's attempt to rearrange its internal review system, which is discussed further under paragraphs 27-28. The project experience suggests that, major changes in project management during the life of the project should be avoided but, if unavoidahle, adequate measures should be taken to ensure that the changes would not adversely aft ct project implementation. 26. L pment Procurement. Most of the staff interviewed by the audit mission in th project institutions visited were dissatisfied with much of the equipment they had or were expected Lo use. They declared that ei.her they did not get the equipment specified or they had not been corFAUlted before the equipment was ordered. In some cases the equipment could not be used because it was inappropriate or because parts were missing (or even because there was no instructional manual; or, when there was one, iL was in a language they could not read). A general complalnt was about poor follow- up service and the lack of spare parts. Some of these problems were due to staff turnover and the deterioration of equipment cauted by prolonged storage under adverse conditions necessitated by the delayed completion of buildings where the equipment on arrival should have been installed. Other problzms stemmed from a mismatch of the equipment and the building housing it. The project experience suggests that: (a) end-users should be consulted when  - 12 - equipment lists are being prepared; (b) the procurement of equipment should take into account the availability of spare parts and followup service; (c) end-users should be involved in the inspection and testing of equipment on delivery; and (d) where large, heavy or delicate equipment is involved, extra care should be taken to ensure that the space provided Liatches the equipment. 27. Financial Planning and Budgetary Procedures. The insufficiency of Government counterpart funds to meet the unexpected price escalation in 1979-80 was the consequence of the prevailing procedures for financial and budgetary planning and approval. When contractors requested an adjustment of contract prices to offset rising costs due to spiraling priczs of construc- tion materials and labor, the matter had to be reviewed by the President's Office because price adjustments, among other things, were not built into the original contracts. The consequent delay and the slow release of funds from the Budget Ministry eventually contributed to the contractors' abandonment of the construction work. Aware that these problems affected all sectors of the economy, the Government in early 1980 revised the regulations and procedures governing civil works procurement.10/ As the policy change affected Bank projects across all seccors, it may be useful to highlight three salient points of the 1980 revised regulations: (a) henceforth there would be a common policy and a standard set of rules and procedures for all civil works procurement undertaken by the Government regardlqss of the agency involved; (b) the Sovernment would include a price escalation clause in all future contracts where inflation or Government price controls were expected to affect the final cost of the work; (c) the limits of delegated authority to Ministers to approve contracts were raised from P2.0 million to P10.0 million for LCB contracts and to P40.0 million for ICB contracts which required concurrence from a foreign financing institution. 28. The Bank's experience in the Philippines suggerts that closer attention should be given to the Government's budgetary procedures when a project implementation schedule is being prepared. It is essential to ensure a close link between the budget cycle and the construction season to secure adequate funds for implementing agencies by late December or early January. This would enable civil works construction to start early in the construction season. The Government in 1978-79 had revised certain budget procedures to improve financial discipline among line agencies to encourage them to esti- mate their financial requirements more accurately. The revised procedures were also designed to support better planning of financial requirements for foreign-assisted and domestic projects, but at the same time allow for sufficient flexibility to facilitate effective project implementation. Cost overrun problems were to be solved by the provision of a standard price escalation tied to economic indices instead of a case-by-case review of contracts as in the past. This procedure was being linked to the budgetary process to ensure that adequate funds were available to cover construction 10/ Presidential Decree 1594, "Implementing Rules and Regulations concerning Government Infrastructure Contracts," dated February 25, 1980.  - 13 - cost increases resulting from inflation. These measures, however, did not seem to have helped the project in the renegotiated contracts for the civil works at UPLB. By late 1983, when all construction was supposed to have been completed, contractors were hit by abrupt price increases of materials due to the devaluation of the peso (the exchange rate fell to P14.0 to the US$). Although a price escalation was built into the renegotiated contracts, in practice no additional funds were made available for the project. Any subsequent increased cost of construction was to be recovered from the reduction or simplification of construction equivalent to a maximum of 12% of the remaining construction work. In this project the application of such price escalation led to the abandonment of the remaining construction. Issues Arising 29. UPLB-CVM and UPLB-IAS. The audit concurs with the PCR that two issues which require resolution are: (a) the proposed technician course in animal science, which was to be run jointly by the UPLB-CVM and the UPLB-LAS, and (b) the relocation of the CVM from the Diliman campus to Los Banos (PCR, para. 5.07). If the technician course is to be dropped, the question that arises is what alternative use will be made of the physical facilities pro- vided by the project. Furthermore, what measures will be taken, and by whom, to monitor the national supply of technicians in animal science? Part of the original argument for relocating the CVM was that being close to the IAS would facilitate cocrlination if not integration in teaching. But staff reluctance to move from metropolitan Manila to the relative isolation of Los Banos was cited as the main reason for the CVM's non-transfer to Los Banos. The current proposed solution is to have two branches of the CVM: the one in Diliman should specialize in domestic pets and the other in Los Banos in farm animals. 30. TPAE. The PCR appears to convey two viewpoints on the role of the TPAE. The Government viewpoint is that the bank at appraisal was unrealistic in expecting the TPAE to serve as a means of ridding the system of substand- ard agricultural educational institutions and controlling enrollment expan- sion. The Bank viewpoint is that the inability of the TPAE to consolidate and control the agricultural education system remains the must important out- standing issue. Ihe Bank continues to pursue this issue through the ongoing Fishery Training Project (Loan 1786-PH) by seeking clarification of the TPAE's role in controlling the spread of fishery schools and maintaining standards (PCR, paras. 6.02-6.03). As a consultative and advisory body to the BHE, the TPAE has no constitutional powers to enforce the minimum stand- ards it has established for agricultural programs. The Bank, nevertheless, expected, or perhaps hoped, that the TPAE's minimum standards and accredita- tion of agricultt'ral educational institutions might serve as the basis of the Government's budgetary allocations which would reduce or deny financial assistance to substandard institutions and thus control their expansion or even eliminate them.11/ Ironically, the Bank realized only towards the end II/ Impact Evaluation Report--Philippines: First Education Project (Loan 393-PH), OED Report No. 4472 dated May 6, 1983 (para. 8.08).  - 14 - of the project that such minimum standards could not be enforced (PCR, para. 6.02).14/ In the present case, however, the basic issue is not the TPAE as such, but what alternative strategy to adopt to achieve the ultimate objec- tive of high quality agricultural education. In this audit's view, the TPAE has laid the foundation for changing the system of agricultural education. It has established its credibility as an impartial, competent professional body. Its existence, however, is not guaranteed beyond December 31, 1986, when the Government will be released from its pledge to maintain the TPAE. To ensure that the achievements of the TPAE and the investments made under this project towards quality improvement are not dissipated, the Government should maintain the TPAE as an integral part of the BHE. 3!. Project Co,ts. There appears to be a wide discrepancy between the total actual project cost reported by thke PCR and that reported by the Government's quarterly progress report (QPR) for the last quarter of 1983. The audit's reconstruction of the project's cumulative cost, using the QPRs from 1977 to 1983, arrived at a total rather different from that given in the PCR (see Attachment 1). It should be stressed that the reconstruction of project costs year by year was merely a heuristic exercise to see whether the PCR's general conclusion about project costs was valid. 32. The PCR's total project cost is P369.1 million compared with the audit's estimate of P434.9 million, a difference of P65.8 million. The prob]em seems to stem from the method used to convert one currency into another. To compute the total actual cost ir local currency or US dollars equivalent--and both currencies should be given to facilitate comrarison with the appraisal estimates which are always in the local currency and the US dollars equivalent--the Bank's preferred m-thod is to apply the exchange rate prevailing in each year against expenditures in that year (OMS 3.58, Annex, ,July 1978, para. 19). It is important that the statement of final total actual project cost should be as accurate as possible. To ensure account- ability for project implementation funds, the Bank requires each project to have an adequate accounting and internal control system for recording and reporting project-related financial transactions from the time project expenditures commence. There are no exceptions to this requirement, accord- ing to Central Projects Note 3.05, IIIA, para. 3.02 which, however, is dated June 1982. No audit report from the Government was submitted for this proj- ect because it was approved at a time when auditing requirements did not apply to education projects. It should be added that the audit does not doubt that EDPITAF had a satisfactory accounting system which is demonstrated by the detailed reporting in the quarterly progress reports. What needs emphasis here is that the basic information on actual project costs serves as the reference point for an overall evaluation of the adequacy of the Bank's 12/ An interesting parallel is the case of Bangladesh where, under the Agricultural and Rural Training Project (Credit 621-BD) the high-level inter-ministerial National Cormittee on Rural Training (NCRT) especially established under the project, was unable to fulfill the Bank's expecta- tion that the NCRT would be able to integrate rural training policies through a comprehensive plan to strengthen the rural training system.  - 15 - financial support and the sufficiency of the Government's financial provision for the project. This matter is particularly relevant to this project where UPLB's teachLng prograuA in forestry, animal science and veterinary medicine were adversely affected by an insufficiency of funds. Without further belaboring the point, it is sufficient to conclude here with the recom- mendation that (a) PCRs should follow Bank guidelines in preparing cost estimates; \.) Government and project auditors should review available cost estimates; and (c) the Bank's internal audit department should undertake a special audit of this project.13/ 13/ A similar suggestion was made in the audit of the Burundi Fisheries Project. See PPAR, Burundi--Fisheries Development Project (Credit 626-BU), OED Report No. 5683 dated June 3, 1985 (paras. 55-57).  - 16 - ATTACHMENT I PROJECT PERFORMANCE AUDIT REPORT PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) Table 1: Estimated Project Expenditure by Year Year US$ (million) Peso (million) Average Annual Exchange Rate (Peso/US$) 1977 2.05 15.17 7.4 1978 19.19 142.01 7.4 1979 2.13 15.76 7.4 1980 7.86 59.74 7.6 1981 3.25 26.65 8.2 1982 4.19 38.55 9.2 1983 9.79 1?7.06 14.0 Total 48.46 634.94 8.9752 Table 2: Estimated Project Costs by Category of Expenditure US$ (million) Peso (Million) Civil Works 25.14 225.64 Professional Services 1.39 12.47 Furniture 2.42 21.72 Equipment 11.94 107.17 Technical Assistance 7.57 67.94 Total 48.46 434.94 The above estimated project expenditures and costs are recon- structed from figures in the quarterly progress reports (QPR) which were sent by the Government to the Bank. The QPR figures were all in US dollars equivalent. In Table 1, the expenditures in US dollars equivalent incurred each year were converted to Pesos using the average annual market exchange rate for the particular year. In Table 2 the cost by category of expanditure in US dollars equivalent is taken from the QPR for the period ending December 31, 1983, and the conversion to Pesos is based on the average exchange rate of P8.9752 for the period 1977-1983. The reconstruction of i:he above estimated project expenditures and costs is merely a heuristic exetcise to try and arrive at a more accurate estimate of the total actual project cost in Pesos and in US dollars equivalent. The cost should be verified by the Government. It should be stressed that the total project expenditures through ecemnber 31, 1983 still left a ,iumber of buildings in UPLB unfinished, unfur- niished and without equipment. Similarly, a number laboratories in VISCA were not furnished and equipped at the time of "project completion." Therefore, a much more accurate total project cost should include the cost of completing the construction, furnishing and equipping of all the unfinished project hubl dings.  - 17 - PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) PROJECT COMPLETION REPORT June 17, 1985 Projects Department East Asia & Pacific Regional Office  i I.I I- I 'I , r 'l  - 19 - PHILIPPINES AGRICULTURE EDUCATION PROJECT I. COMPLETION REPORT PREPARED BY THE COVERNMENT A. INTRODUCTION AND BACKGROUND The Setting 1.01 The Four-Year Development Plan (FY74-77) of the Republic of the Philippines was aimed at raising the GNP growth rate to about 7% per year in real terms cnd to increase the employment rate to over 4% per year. 1.02 At the time of project formulation the agricultural education system generally lacked quality and relevance due to rapid proliferation of institu- tions which were substandard, overcrowded and underequipped. The rapid growth, accompanied by financial constraints and the inadequate number of well trained teaching staff, had led to low quality instruction. As a result, graduates at all levels were poorly trained and had difficulty in qualifying for employment in their respective fields. Most in-service training programs were ad hoc. 1.03 The substantial increase in enrollment at the higher level of agricultural education over the decade (1964-1974) from 4,000 to 31,000 and the proliferation of agricultural institutions warranted the rationalization and improvement of the system. To respond more adequately to development needs, the agricultural education system needed: (a) consolidation to allow better allocation of resources to improve the quality of selected institutions; (b) improved quality of technician training; and (c) creation of a system of non-formal education. 1.04 The Bank began to support agricultural education in 1964 (Loan 393- PH) when it assisted in financing a development program at the Los Bafios College of Agriculture (UPLB-CA), with the objective of establishing UPLB as a national center of excellence in agricultural education. Under the Sccond Education Project (Credit 349-PH) two Regional Agricultural Colleges were supported together with agricultural high schools. Project Formulation 1.05 Based on the findings and policy,7ecommcndations of the Presidential Commission to Survey Philippine Education,- reforms needed in the 1/ The commission by virtue of an Executive Order was created to assess the Philippine Educational System. The assessment was completed in eight months and the reconnendation were embodied in the report "Education for National Development."  - 20 - Philippines' educational system were identified including the rationalization and improvement of the agricultural education subsystem. In September 1972, the Educational Development Projects Implementating Task Force (EDPITAF) was established by Presidential Decree 6-A to undertake the implementation of development projects financed by external loans. 1.06 In April/May 1974 a UNESCO Pro]ect Identification Mission recom- mended support for rural development, including the development of the Visayas Agricultural College and support for the University of the Philippines' College of Fisheries and College of Veterinary Medicine. Following an IBRD Reconnaissance Mission in December 1974, a UNESCO Project Preparation Mission assisted in preparing a loan request of a Third Education Project which was submitted to IBRD in March 1975. The loan request covered: (1) basic education development; and (2) rural development, including Visayas College of Agriculture, support to UP College of Forestry and College of Veterinary Medicine, a system of fisheries education and the development of multi-purpose training centers for agriculture and rural development. 1.07 The agricultural education component was processed as a separate loan which was pre-appraised by a World Bank mission in January/February 1976 and appraised in November 1976. Negotiations were held in Washington in January 1977, the loan signed in March 1977 and the project became effective in June 1977. Project Description 1.08 The main objectives of the Project were to improve the quality of agricultural education and training and to increase the supply of qualified agricultural manpower. The project aimed to implement the Government's agri- cultural education development strategy by: (i) creating the Technical Panel for Agricultural Education (TPAE); (ii) strengthening the staff of the Univer- sity of the Philippines at Los Baiios (UPLB); (iii) upgrading the UPLB-College of Forestry (UPLB-CF), UPLB-Department of Animal Science (UPLB-DAS), and the UP-College of Veterinary Medicine (UPCVM); (iv) establishing and strengthening the Visayas State College of Agriculture (ViSCA); and (v) creating the Philip- pine Training Centers for Rural Development (PTC-RD). The project provided civil works, furniture, equipment and technical assistance for the above inscitutions. 1.09 The benefits determined at appraisal are summarized as follows: (i) the UPLB would be strengthened as a strong national center of excellence and as a major source of competent manpower and technical advice; (ii) the proposed network of training centers for rural development (Regional Training Centers and Farmer Training Centers) would assist the Government investment program in increasing production in crops and livestock; and (iii) the proposed Visayas State College of Agriculture (ViSCA) would provide the Visqyas region with a strong center for applied research, extension, manpower production, and assistance to related institutions within the region (Visayas).  - 21 - B. PROJECT IMPLEMENTATION Overall Project Management 2.01 In accordance with the Loan Agreement, EDPITAF was responsible for project implementation, including overall project administration, procurement, financial control and liaison with the Bank. A Rural Development Sector (RDS) of EDPITAF was set up to coordinate project implementation but was disbanded in 1979 and its functions and staff were absorbed by another EDPITAF unit, which was subsequently disbanded in 1980. These frequent organizational changes and high staff turnover led to EDPITAF's inability to effectively address implementation problems including tnose in civil works. 2.02 In 1977, EDPITAF drew up Memoranda of Agreement with UPLB and ViSCA to establish separate project implementation units (sub-PIUs) at each institution. Both sub-PIUs operated effectively under the overall supervision of EDPITAF. However, implementation of civil works was often not carried out as planned because the major decisions on building construction and procure- ment were made centrally at EDPITAF. In August 1980, EDPITAF entered into another Memoranda of Agreement with UPLB and ViSCA entrusting them with full management responsibilities including construction and procurement. Project maintenance and operating budgets which were provided by EDPITAF until 1982, were channeled through the regular appropriations of the project institutions. 2.03 The decentralization was coupled with a series of reorganizations of EDPITAF into the Foreign-Assisted Projects Office (1982), then later into the present Project Development and Implementation Management Office (1984). The effect of the frequent changes led Bank supervision missions to express concern over the lack of delineation of clear responsibilities for managing project implementation. Civil Works 2.04 The Project allocated about P 183 million (including contingencies) for new buildings for the project institutions to be built in 48 selected sites. Construction was originally planned to start in July 1977 and be completed in June 1979, an overall construction period of 23 months. All the required project sites were acquired and surveyed as planned and schematic designs of buildings were prepared and approved by the Bank. Tendering proceeded without major problems, in accord with the Bank's International Competitive Bidding although no foreign firm responded. Contract awards were, however, delayed by an average of four months after bidding due to delays in contract preparation and internal approval. the first contract was awarded in Deceniber 1977, while the last in April 1979.- The total costs of contracts amounted to P 128.00 million which was much less than rhe appraisal estimate 2/ The Farmers Training Center in Leyte was the last to be bid and awarded because the project site was relocated from the town of Alang-ALang to Sab-a.  - 22 - of P 183.00 million. Construction of the first buildings began at ViSCA and the PTC-RD in March 1978, eight months behind the appraisal schedule. 2.05 Progress of construction was hampered from late 1979 due to rapid price escalation of construction materials and labor, forcing contractors to seek cost adjustments. However, the absence of a provision for cost adjust- ments in the original civil work contracts and shortage of funds caused construction to stop in 1980. It was at this crucial stage that EDPITAF entrusted UPLB and ViSCA with respnsibilities for civil works and this resulted in a management gap at a time when close project supervision was most needed. 2.06 Remedial actions taken by the project institutions to help contrac- tors included the opening of letter of credit for procurement of construction materials and shorter intervals between progress payments, but these proved futile. Five contracts (one in ViSCA and four in UPLB) were subsequently terminated. ViSCA's contract was taken over by the college's Physical Plant Office and construction was done by force account, while the UPLB contracts were retendered as smaller contract packages. An additional P 50 million were granted by the Budget Ministry for the completion of the project buildings. 2.07 The Bank extended the project closing date by two ycars when it became apparent that Project buildings at UPLB and ViSCA could not be comple- ted within the stipulated period. Delays in construction hindered the intro- duction of planned courses. By the extendeo closing date of December 31, 1983, all project buildings except those at UPLB were fully completed and operational (Annex 1, Table 1). 2.08 Generally, the buildings were well-de:igned although overall aesthetic quality, particularly at UPLB, suffered as designs and finishes were simplified due to limited funds and cost increases. In one case, the operating theaters in the Animal Disease and Diagnostic Laboratory, the design was oversimplified. 2.09 The gross area constructed was approximately 37Z larger than the appraisal plan, i.e., total area constructed was increased from 68,820 to 94,580 square meters (Annex 1, Table 2). The deLision to increase building size at the expense of quality of finishes is likely to result in higher maintenatnce costs. Overall, the actual building cost of about P 188 million is only about 3% more than the appraisal estimate of P 183 million. Actual loan disbursement on civil works amounted to P 49.5 million or roughly 23Z of the total cost. Professional fees amounted to P 10.5 million or only about 5% of the construction cost, compared with an appraisal estimate of 8%. Some of the savings were the result of using EDPITAF's architects to design the PTC-RD Training Centers. Equipment and Furniture Procurement 2.10 Project cost estimates included about P 87.0 million and P 11.6 mil- lion (including contingencies) worth of equipment and furniture respective- ly. The first equipment and furniture package was to be procured by the last quarter of 1977.  - 23 - 2.11 The first equipment package was awarded as planned in October 1977. The first furniture package was, however, delayed by about 23 months in order to coincide with the completion of buildings. The total cost of equipment procured under the project amounted to P 95 million, 9% higher than the appraisal estimate, including contingencies (Annex 2). Furniture pro- cured, on the other hand totalled P 18.5 million, 60% more than original estimate (Annex 2). 2.12 The value of equipment delivered by the end of the project reached P 82.0 million, representing 86% of the total equipment cost. Furniture deliveries are estimated at P 15.6 million or roughly 84% of the total furniture awarded. Actual loan drawdown of furniture and equipment combined amounted to US$11.0 million, 10% higher than the revised allocation. The increase was obtained from savings on consultant services. Also, delay in the construction of buildings necessitated the renting of a warehouse, adding to the costs, and the prolonged storage of sensitive instruments caused their physical deterioration. Fellowship Program 2.13 The implementation of the fellowship program, which started in September 1976 under retroactive financing from the loan was successful. The considerable program expansion (481 in terms of participants and 39% in man- months) was achieved at only 17% increase in total costs. The expansion was possible largely due to the: (a) adoption by ViSCA of a less costly Ph.D. scheme whereby grantees spend one year of study at a foreign university and two years including thesis writing at a local university, instead of the more expensive appraisal plan of three years of study abroad; and (b) conversion of some of the experts services allocation into degree fellowships. On average it took 4-12 months longer than expected for MSc and Ph.D. fellows to obtain their degrees. 2.14 Actual average costs per man-year of doctoral (US$8,860.00) and master degree (USS9,400) fellowships were lower than the appraisal estimates of US$12,000 and US$10,000, respectively. The actual lower costs however, may have been achieved at the inconvenience of the grantees in view of their complaints of insufficient subsistence and other allowances. The post doctoral fellowship allocation per man-year was increased from US$15,000 to US$18,000 in April 1980 in order to attract candidates. Average actual cost per man-year, however, amounted to US$19,570. In order to overcome delays in stipend remittances, a revolving account was set up for fellowship funds. 2.15 Other problems which contributed to the delay in completion of the fellowship program included the following: (a) inability of the institutions to release many staff for fellowships at the same time due to lack of appropriately-qualified substitutes; (b) difficulty of obtaining travel authorities and cleatances due to Govwnment restrictions; (c) difficulties experienced by some fellows in getting admission to foreign universities; and (d) the loss of about 20 fellcws who are unlikely to return upon completion of their degrees. (Fellowship participants are contracted to fulfill three years of service for every year of study abroad.)  - 24 - 2.16 The fellowship program was successful in upgrading the qualifi- cations of staff of the project institutions: e.g. at UPLB the number of PhD holders increased from 163 to 235 and MS holders from 185 to 313 as a direct result of the program. Its successful implementation was due to the existence at EDPITAF of a working system for fellowship placement and administration including a Fellowship Coordinating Committee and to special arrangements such as the revolving fund. Specialist Services 2.17 Actual employment of experts' services deviated considerably from appraisal plans (Annex 4, Table 1). ViSCA effectively used foreign experts - including post-doctoral fellows in combination with local consultants, mostly from UPLB. It employed 7 foreign specialists for 84 man-months, compared with the appraisal estimate of 5 for 48 man-months. The UPCVM employed only 3 short-term foreign consultants for about 12 man-months in total instead of 7 for 54 months as planned at appraisal. About US$200,000 of UPCVM experts' services allocation was transferred to support additional fellowships. 2.18 The funds for two man-years of specialists' services originally intended to assist EDPITAF to carry out feasibility studies for future education development projects was used for initial activities of the Sixth and Seventh Education Projects and for additional fellowships for UPLB and EDPITAF. 2.19 Foreign experts assessed their consultancy experiences as generally satisfactory except for inadequate preparation of work programs by the project institutions and unsatisfactory living conditions at ViSCA. Project institu- tions were generally satisfied with the experts' performance. Apart from their direct contributions in teaching and research, their presence facili- tated the establishment of linkages with international organizations and universities. The performance of local experts at ViSCA was satisfactory and the consultancy arrangements enhanced collaboration between ViSCA and UPLB. The Bank's Role 2.20 The Bank sent 13 supervision missions during the project period. The majority of the missions were short in duration, allowing only a few institutions or sites to be visited. Agricultural educators were included in only four visits during the six and a half years of project period. There was also a gap in supervision between July 1978 when the first delays in civil works were noted, and September 1979 by which time the delays in construction had become serious. C. OUTCOMES BY PROJECT COMPONENT Technical Panel for Agricultural Education (TPAE) 3.01 Organization. In accordance with Section 3.02 of the Loan Agreement, TPAE was created under the Bureau of Higher Education (BHE) in January, 1977 by virtue of Department of Education and Culture (now a Ministry) Order No. 3. The order also created a Secretariat for the Panel headed by an Executive Secretary. The appointments of the 10 Panel members were confirmed and the Executive Secretary appointed in January 1978. The  - 25 - Panel included representatives from the Ministry of Agriculture, the Ministry of Natural Resources, the Ministry of Agrarian Reform and the Ministry of Local Government and Community Development, among others. 3.02 In May 1979, the Secretariat moved from EDPITAF, in Manila, to UPLB to enable closer coordination with the Vice-Chairman of the Panel who was based in UPLB and who directly supervised the Secretariat, as well as the Panel's Policy and Technical Advisory Group, The move facilitated the independence of the TPAE from EDPITAF and gave it wider access to the pool. of UPLB experts in various fields of agriculture. 3.03 Section 3.02(b) of the Loan Agreement called for an adequately staffed Secretariat, however due to budgetary constraints, the Panel could not employ full-time specialists to coordinate the work in the five main disci- pline areas under the TPAE technical committees. The low salaries and insecurity of tenure discouraged highly experienced people from staffing the Secretariat (Chart 1). 3.04 Rationalizing Agricultural Education. Despite budgetary and organizational constraints, the Panel made some progress toward rationalizing agricultural education through (i) the formulation of a national plan for agricultural education in the Philippines; (ii) the establishment of minimum standards and (iii) the initiation of a system for school evaluation. The plan was approved in principle but not fully implemented. To date, TPAE has formulated minimum standards for 43 agricultural programs and approved by MECS. Of the 276 institutions currently offering agricultural programs in the country, the Panel has evaluated about 203 and of about 400 agricultural programs being offered, the Panel has evaluated about 170. 3.05 The project placed considerable importance on the Panel's role in controlling enrollment growth and eliminating substandard institutions through the accreditation scheme. Expectations of the Panel's controlling role were however optimistic in light of its function as an advisory body to the BHE. Furthermore, the Bank Appraisal Report did not define in detail the Panel's operational activities and timetable of implementation as it did with the other project components. Although the Bank recognized the crucial role of the Panel (Bank Appraisal Report paras. 2.23 and 5.03), it was allocated only 2 man-years of fellowships for the Secretariat and its operation was financed almost entirely from local counterpart funds. University of the Philippines at Loa Razios - College of Forestry (UPLB-CF) (Annex 5) 3.06 Admission and Enrollment. To ensure adequate intake of students, the UPLB-CF established on a series of forestry career orientati^n courses for junior high school students from different regions of the country. When these proved ineffective, recruitment teams visited schools to conduct orienration seminars. In spite of these efforts there has been a shortfall in enrollments into degree courses although targets for post-graduate enrollmernts have been satisfactorily met. Enrollments are also inflated by repeaters as only 10-15% of degree students complete their degree courses on schedule.  - 26 - 3.07 At the non-degree level, enrollments have risen but are still well below target. Furthermore, this forest ranger course has become a "pre- entrance" university course rather than a source of technican manpower. Tracer studies and college records show that about 80% of the successful studo , from this course go on to degree programs. 3.08 Graduates. Actual output at all levels from SY75/76 to SY8O/81 totalled 714, which is only 81% of the appraisal projections of 883. About 85% of graduates have passed the professional examination set by the Board of Examiners for Foresters and employers have high regard for UPLB-CF graduates. 3.09 Curricular Changes. It was planned that the College would develop two new programs in Forest Product Engineering (FPE) and Forest Product Technology (FPT). The Bachelor of Science in FPE was first offered in 1974 and the curriculum was revised in 1978 to include several Wood Science Technology and Management courses, but the Forest Product Technology degree and technician programs have not been offered due to the delayed completion of the Wood Science building. 3.10 Staff Development. The project provided 48 man-years of fellowships to train 15 staff, compared with appraisal estimates of 34 man-years for 13 staff. The current staff of 72 is 20% below the appraisal target consistent with the limited enrollment growth and curricular expansion. However, the staff profile shows a considerable upgrading, with 83% of the staff holding graduate degrees compared to 61% at apprdisal. University of the Philippines at Los Banos-Institute of Animal Science (UPLB- IAS) (Annex 6) 3.11 Institutional Development. The Department of Animal Science became the Institute of Animal Science in recognition of its leadership in the field of animal science research. 3.12 Admission and Enrollment. The planned increase in total enrollment from 200 to 610 was not achieved: actual enrollment in 1983/84 was only 238, less than in half that expected. The shortfall was due partly to the (i) failure to introduce the planned 2-year animal technician course; (ii) the growth of regional agricultural colleges which have attracted prospective students who otherwise would have applied to UPLB; and (iii) restrictions oil intake at graduate level due to limited facilities and funds. The expected expansicn of the Institute's teaching of students from other facilities was also :lot realized because these courses too failed to expand. 3.13 Curricular Changes. The planned two-year Animal Technician Course to be run jointly with UPCVM has not been introduced because of a lack of employment opportunities for graduates. Also the staff do not have the exporience required to run a technician course. A one-year graduate program in animal production leading to the Diploma in Agriculture was introduced in rusponse to the need of the Ministry of Agriculture to train their technical personnel in up-to-date animal production skills. 3.14 Graduates. The actual total output of 669 from SY1975/76 to SY1983/84 was far below the appraisal projection of 1,850. There were only 9 post graduate degrees awarded in 1983/84 compared with a projection of 66 at  - 27 - appraisal. Studies of Animal Science graduates indicate that about 50% are employed by the Government, 40% in the private sector and the rest self employed. 3.15 Staff Development. The planned expansion of IAS teaching staff from 34 to 36 and research staff from 38 to 84, was not required because of the failure to expar.d courses and enrollments as planned. However, the staff profile showed considerable upgrading from 20 M.S. and 19 Ph.D in 1975/76 to 31 M.S. and 41 Ph.D. in 1982/83. Staff turnover is a problem and a number have left for employment outside UPLB where salaries are higher. University of the Philippines - College of Veterinary Medicine (UPCVM) (Annex 7) 3.16 Organization and Management. The College is headed by a part-time Dean assisted by an Associate Dean who has day-to-day administrative responsi- bility. Since 1979 the Bank has expressed concern over the lack of a full- time Dean whose undivided attention was thought to be critical for the devel- opment and relocation of the College from Diliman to UPLB campus.-' The College, however, believed that a Dean who holds another key position in the animal industry has the advantage of wider national perspective. 3.17 Relocation and Integration at UPLB. The UPCVM was planued to be transferred in stages from Diliman to the UPLB campus, commencing in 1979, in order to integrate its work with other academic departments. However, the delayed completion of the CVM buildings at UPLB has hindered relocation. Purthermore staff have resisted the move from Manila. The UPCVM has been put partially under the supervision and administration of the UPLB Chancellor as an interim arrangement until the college moves, which is now expected to occur during the period June 1985 through June 1987. i, seems likely however that part uf the College will remain at Diliman for the next few years. 3.18 Enrollment. Actual growth in enrnllment from SY1975-76 to SY1980-81 surpassed appraisal projections, but since then there has been a decline due to UPCVM's deliberate reduction in admissions because of inadequate space and facilities at the Diliman campus. In addition, the proliferation of veterin- ary schools in the country has not only reduced the number of applicant /to the College but has also resulted in some unemployment among graduates.-/ 3/ Since the start of the Project, the College Dean has concurrently served as the Director of the Bureau of Animal Industry, Executive Director of Livestock Development Council, Deputy Minister of Agriculture Chairman of the National Meat Inspection Commission and seven other positions. The Dean was later appointed Minister of Agriculture. 4/ TPAE study on The Assessment of the State of Veterinary Educational Institution in the Philippines reveals that the number of veterinary schools has expanded to ten within the last seven years from four during project appraisal.  - 28 - 3.19 Curricular Changes. The DVM curriculum has been revised to increase the emphasis on animal production by approximately doubling the number of units of these courses from 12 to 20 of the total 155. However, reorienting the College's thrust towards animal production will require more than these curricular changes. A more fundamental change in program thrust from domestic pets to farm animals will have to be vigorously pursued. Also, parallel changes in staff training, course orientation, clinical practice and research will have to be undertaken. 3.20 The planned increase in the number of graduate level programs has not been achieved due to the delays in completion of facitities and in comple- tion of the overseas training of staff. 3.21 Staff Development. The number of staff increased by 14 and the staffing profile improved from one PhD and 11 MS in 1975-76 to 4 PhD and 21 MS in SY 1983/84. Staff Development at UPLB (Annex 8) 3.22 The project was designed to strengthen UPLB's staff capability in teaching, research and extension thiroagh overseas and local fellowships. The large number of overseas fellowships of UPLB (roughly 236 doctoral and 12 postdoctoral man-years) was implemented with satisfactory results. Seventy- three of the 110 fellows have obtained their degrees and are currently back at their posts in UPLB. In addition to the degree fellowships, study tours were provide, for 9 administrative staff in university administration. Fourteen PhD fellowships holders have not returned for reasons such as marriage abroad, postdoctoral grants from other sources. 3.23 In addition to the overseas fellowships, the Government agreed to train in the Philippines 70 staff of UPLB at the PhD level and abou; 150 at the MS level. Actually 175 staff were upgraded to MS level and 43 to PhD during the period 1975 to 1983. The combined overseas and local fellowship program resulted in an improved staff profile and increased the number of PhD holders from 163 in SY75/76 to 235 in SY82/83 and MS from 185 to 313. PhD holders increased from 30% to 32%, and Masters degree holders from 34% to 42% of the total teaching staff. Visayas State College of Agriculture (ViSCA) (Annex 9) 3.24 ViSCA starced as a provincial agricultural school and has grown into a college of 14 academic departments and 6 special centers. It is the center of excellence in the Visayas region ar.d the strongest agricultural college outside UP at Los Banos. 3.25 Admission and Enrollment. The number of freshmen applicants seeking admission to ViSCA increased (from 616 to 1,575) between 1975 and 5983. The majority (about 70%) of the applicants were from Eastern Visayas.- An 5/ 4pplicants at ViSCA are no longer required to qusalify in an admission test. Instead their high school averages and ratings in the National College Entrance Examination serve as basis for admission, provided they fall within the standards set by ViSCA.  - 29 - average of 72% of applicants were admitted annually from 1975 to 1983. Degree level enrollment expanded from 847 students in SY 1975-76 to 1,444 in 1983-84, compared with the planned 1,500. MS level courses were started in SY 1979-80 and enrollments rose to 86 in SY 1983-84. 3.26 Graduates. ViSCA's total output increased from 53 in SY75-76 to 229 in SY83-84, about 28% below the appraisal target. 3.27 Curricular Development. The expansion of ViSCA's programs in response to the demand exceeded plans at appraisal. In SY75-76, ViSCA offered only 6 undergraduate and one technician courses as compared to the current program of 2 graduate, 8 undergraduate and 2 technician courses. The Bank expressed concern over the introduction of new programs and specializations not originally planned. However, the diversification of ViSCA's courses arises mainly from the different combination of subject rather than from divisions into narrow specializations. 3.28 Staff Development. Staff development has proceeded satisfactorily. The staff has grown from 125 in SY75-76 to the present 192. Staff qcalifications have improved from 8 PhD and 33 MS holders in SY75-76 to the 32 PhD and 76 MS holders in SY83-84. ViSCA trained 96 and 5 faculty members in MS and PhD courses, respectively in local institutions compared with appraisal targets of 70 and 25. 3.29 Research and Extension. With support from the Government through the Philippine Council for Agricultural Resources and Research Department, ViSCA has made considerable progress with four special research centers - the Visayas Coordinated Agricultural Research Program, the Philippine Root Crop Research and Training Center, the Regional Coconut Research Center, and the Center for Social Research in Small Farmer Development. 3.30 Extension activities have been expanded through the social laboratory, radio station, publications office and the regional training center for rural development. The social laboratory covers six harangays adjacent to ViSCA and 620 farm households have oeen helped through non-formal training in crop production, and cottage industries ani assisted to form cooperatives and other programs to increase their income. The laboratory serves to train students majoring in extension work. The print shop included in the project is only just becoming operational. 3.31 The ViSCA radio station designed to transmit over a 500 km radius became operational in August 1982, and was normally on the air for 16 hours, 7 days a week with about 50% of time devoted to agricultural and related top- ics. The radio station is not operating due to break down of the trans- mitter. Other operational problems included: (i) lack of funds for acquisi- tion of spare parts and hiring additional personnel; (ii) defective installation of facilities; and (iii) inadequate power. 3.32 The Regional Training Center for Rural Development at ViSCA which is a component of the PTC-RD network complemented the extension programs of ViSCA by conducting training courses for extension workers and farmers in the Eastern and Central Visayas.  - 30 - The Philippine Training Centers for Rural Development (PTC-RD) 3.33 Institutional Support and Development. Presidential Decree (PD) 1145 issuedMay 1977 formally created the PTC-RD network composed of a National Training Center (NTC), five Regional Training Centers (RTCs), and six Farmer Training Centers (FTCs). All the centers have been constructed, equipped and are in operation. The decree also created the National Governing Board to establish policies and guidelines, ensure adequate funding, review budgets and evaluate performance. The board inclug /s the Chancellor of UPLB, and the Ministers of the five relevant Ministries.- Because of difficulties in convening the board it has delegated pcwer to the Executive Committee, and to the Executive Director of the National Coordinating Office which serves as the Board's Secretariat. 3.34 Budgetary support for the PTC-RD was initially provided from alloca- tions of the five zooperating Ministries, however, because of delays in re- leases of budget allocation a direct budget appropriation for PTC-RD was instituted in 1980. Budgetary support however- has been inadequate to support training operations to full capacity of the centers. 3.35 Staffing and Management. All the centers are now fully staffed. The average number of 35 staff per RTC and 25 per FTC is slightly higher than the planned staffing of 30 for RTCs and 21 for FTCs. Staff turnover because of low salaries is a problem. Two centers have retained the original technical staff they started with in 1978, but one other center has completely changed its staff. The full-time staff are predominantly social science graduates who organize training programs, while part-time specialists provide the training. 3.36 Training Programs and Operations. The original emphasis on social sciences has been changed and there is now a balance between social and production technology courses. Courses include the Package of Applicable Technology, Technical Services Delivery and Program Implementation Manage- ment. At appraisal, distinct functions were planned for the two types of centers, i.e., RTCs to train extension workers and FTCs the farmer leaders. However the RTCs and FTCs now perform similar functions. The agency officials and the farmer leaders within each locality are trained as integrated groups who can later collaborate in the implementation of the plans prepared during training. 3.37 Training Output. The training centers were planned to train about 13,650 individuals a year including 100 subject specialists and 50 field supervisors at NTC, 900 extension workers at each RTC, and 1,500 farm leaders at each FTC. As planned the course lengths varied as follows: field supervisor course - six weeks; specialists course - 20 weeks; extension workers course - four weeks; and farmer leaders course - one week. 6/ The Ministry of Agriculture, Ministry of Agrarian Reform, Ministry of Local Government and Community Development, Ministry of Natural Resources and Ministry of Education, Culture and Sports.  - 31 - 3.38 The first center was completed in late 1978, while most were completed in late 1979. The NTC was the last center to be completed in December 1983. Prior to the completion of the buildings, training at a reduced level was conducted in rented facilities. By 1982, the training output was closer to the target. but because operating budgets were insuffi- cient to support full capacity training the duration was reduced to an average of one week per trainee, i.e. shorter than the appraisal plan. 3.39 A survey of 150 extension workers and 150 farmer leaders who were trained in 1982 showed increases in farm production after training. According to the sample of extension workers, production of rice per harvest in their service area increased by 22%, corn 46%, and livestock an average of 50%. Farmer leaders reported similar increases. The study estimated the internal rate of return of such training at 50%. Industrial Policy Study 3.40 In line with the Governments' effort to improve research capabil- ities in economic policy areas, the project provided 2 man-years of expert services to the Philippine Center for Economic Development. A cor.sultant in the field of Industrial Policy Studies at the UP School of Economics assisted the Center in research on the relationship of industrial policies to industrial performance and growth. Monitoring and Evaluation 3.41 A monitoring and evaluation system for the Project was established in compliance with Section 3.08 of the Loan Agreement by EDPITAF's Project Monitoring and Evaluation Division. Regular progress reports were submitted to the Bank. Towards the end of the project, a tracer study of UPLB and ViSCA graduates and PTC-RD trainees was commissioned. The study, which surveyed a sample of graduates of UP's Animal Science, Forestry and Veterinary Medicine Colleges and ViSCA in 1980/81 and 1981/82, showed that about 80% found work after 3-4 months of job search. Of those who found jobs, 85% were employed in work related to their fields of study. D. PROJECT COSTS Actual Costs (Annex 10) 4.01 At appraisal the project cost was estimated at about P 339.5 million (US$45.3 million equivalent) consisting of P 152.0 million (45%) local counterpart funds and P 187.5 equivalent foreign exchange from the loan (Annex 5.1-A). The actual cost of P 369.1 million exceeded appraisal estimates by 8.7%. In US dollars, however, the actual cost is about 42% below appraisal estimate due to the devaluation of the peso.  - 32 - Table 4.1. TOTAL PROJECT COSTS (in million pesos) Category Appraisal Actual % Difference Civil works 183.5 188.3 +3 Professional services 12.2 10.4 -15 Equipment 87.0 95.1 +9 Furniture 11.6 18.5 +59 Expert services 7.7 1.9 -75 Followships 37.7 54.9 +46 Total 339.7 369.1 +8.7 Disbursements (Annex 11) 4.02 The actual rate of disbursement was below the appraisal target. The Project suffered from a shortage of funds both for counterpart funds and for prefinancing of loan financed items. The granting of a two-year project extension and the greater use of direct payment procedures by the Bank assisted implementation and disbursement in the closing stages. 4.03 Actual loan disbursement was US$24.9 million and the balance of US$133,000 was cancelled. Loan funds were reallocated among expenditure cate- gories, so that actual Bank shares of project costs by category of expenditure departed slightly from appraisal estimate (Table 4.2). Table 4.2. LOAN ALLOCATION AND ACTUAL DRAWDOWN Appraisal Allocation Actual Disbursement Amount Z of total Disbursement Z of total Category US$ m US$ m Civil works and furniture 6.0 24 6.7 27 Professional services 0.6 2 0.7 3 Equipment & materials 8.0 32 11.0 44 Technical Assistance 5.0 20 6.5 26 Unallocated 5.4 22 - - Total: 25.0 100 24.9 100  - 33 - E. Conclusions and Recommendations from Project Experience Project Operations 5.01 Project appraisal was conducted in two stages, the first IBRD mission concentrated on project justification and scope, while the second mission reviewed architectural sketch plans, equipment lists, costing and implementation arrangements. Consequently, the project was in an advanced stage of prepatrtion when the loan was signed. This attempt to lend later in the project cycle was intended to avoid initial implementati,il problems previously experienced, such as slow establishment and staffing of project units, and delay in site acquisition. 5.02 Extension of the closing date was granted in October 1981, much too close to the project closing date of December 31, 1981 and after the Govern- ment's annual budget preparation period. 'it was therefore impossible for the Project Unit to justify a budget for the first year of the extension. In future projects, extensions should be sought in advance to allow the Project Unit to negotiate budgetary provisions. 5.03 Despite the institutional competence of UPLB and ViSCA, the devolve- ment of implementation responsibilities resulted in a hiatus in management. There was also a lack of clarity over EDPITAF's role and responsibility vis-a- vis the Bank. Implementation of Project Support Components 5.04 Civil Works. The problems and delays in civil works were due to the lack of provision for price escalation in the contracts. 5.05 Equipment. Equipment procurement was carried out without major problems. However, equipment monitoring was generally deficient such that a number of equipment deficiencies were left unrectified by fully paid contrac- tors. In future projects, monitoring should be strengthened at every stage of the procurement process, including equipment inspection and contract payments. 5.06 Fellowships. The fellowship program was successful in upgrading staff in the project institutions. In the majority of cases, the Government regulation that returning fellows teach for a minimum period of twice the period spent abroad has been effective., although about 7% of the fellows are still abroad and may not return. Outstanding Issues 5.07 University of the Philippines (UPLB-IAS, UPCVM). The proposed technican course in animal science, which was to be run jointly by the College of Veterinary Medicine and the Institute of Animal Science, is being reconsid- ered. The College of Veterinary Science questions its value because there are adequate other sources of supply of technicians. Another major issue to be settled is the relocation of the CVM. The CVM should be located close to the IAS at Los Banos to facilitate integration as originally planned. However,  - 34 - because of staff unwillingness to move, discussions of other solutions are going on. One proposal is to have two campuses - one in Diliman for clinical practice on domestic pets and the other in Los Bafios for farm animals. 5.08 TPAE. The TPAE has not had pow'ers to enforce the minimum standards it has established for agricultural programs. If the proliferation of sub- standard institutions continues uncontroLled, the quality of agricultural edu- cation will deteriorate and the number and quality of agricultural graduates will not match the requirements of the economy. This issue should be dis- cussed within the Government. II. BANK OBSERVATIONS 6.01 On the whole, the project achieved the objective of raising the standard of agricultural training but the supply of well-qualified agricul- tural manpower was not increased to the extent envisaged at appraisal. The degree of success varied between components. ViSCA was established as a regional college of agriculture in the Visayas as planned, as was the national system of inservice training for rural development staff. The component to establish centers of excellence in forestry, animal science and veterinary medicine, however, failed to meet appraisal targets in terms of timing, enrollments and programs offered. The following observations are related to the cause ot the deviations and lessons to be drawn for future projects. Technical Panel for Agricultural Education 6.02 The Government in the completion report comments that the appraisal team was unrealistic in placing its faith in the TPAE as a means of eliminat- ing substanrard institutions and controlling enrollment growth. This risk was identified at appraisal. According to the Impact Evaluation Report of the First Education Project,7 the power of the panel lay in its influence on the central budget allocation, which would be based on the accreditation system and thus encourage the phasing out of substandard institutions. This did not materialize because budget allocations were also influenced by political and other factors. Recognizing this risk, the appraisal report recommended peri- odic reviews by tha Bank on the performance of the panel. Supervision mis- sions reviewed TPAE's progress in formulating standards and development plans, but it was nlot until towards the end of the project that it was evident that the standards could not be enforced. 6.03 rhe inability of the TPAE in consolidating and controlling the agri- cultural edtucation system remains the most important outstanding issue. The Bank is continuing dialogue with the Government on this matter through the ongoing Fishery Training Project (Ln. 1786-PH). One of the conditions the Bank is seeking for an extension of the project is clarification of the opera- tions of the panel. The Bank has .-ought information on the number of fishery ,',' World Ban,, Imact.Evaluation Report, Philippinles F irst Educat 7on PrQLect ('n 393-PH), May 6, 1983.  - 35 - schools in the country and the method by which the panel is controlling the number of schools and ensuring standards. Enrollment Tacgets 6.04 The enrollments of the College of Forestry, Insti,ute of Animal Science and College of Veterinary Medicine at UPLB were below appraisal estimates. Several factors contributed to this: (a) the TPAE failed to control the proliferation of agricultural institutions including veterinary schools, which reduced the number of applicants to the project institutions; (b) the economic decline in the 1980s caused a general drop in enrollment throughout the country; and (c) the colleges maintained high admission standards which limited the pool of qualified applicants. Project Management 6.05 Changes in management arrangement midway through the project resulted i-n confusion over responsibility at a crucial time when construction contracts had to be renegotiated. The cause of the changes was that EDPITAF, the central implementing agency of MECS, wae due to go out of existence in 1982. Project responsibilities were therefore transferred to the individual project institutions. However, the decentralization happened too quickly and institutions were not prepared to take on some of the functions. EDPITAF has gone through a series of organizational changes since then but has now stabilized under the new name of PDIMO. Supervision 6.06 The Government pointed out that more supervision missions in 1978 and 1979, when civil works contracts were beginning to encounter problems, would have helped project implementation. However, although there was a gap in supervision during that period due to changes in project responsibility in the division, it seems unlikely that supervision missions would have prevented the delays, since the negotiations with contractors and later rebidding on some contracts were inevitably time-consuming. The pitfall was, in reaction to the crisis, supervision missions concentrated on implementation of physical works, to the neglect of the educational aspects. As pointed out by the Government (para. 2.40), agricultural educators made only four visits during the project period. Relocation of the College of Veterinary Medicine 6.07 The college should pursue the re-orientation towards farm animals rather than domestic pets. With the facilities for clinical practice on farm animals built at Los Banos, the college should be relocated there. The proposal to split the campus - one part in Diliman and the other in Los Banios - would result in inefficiencies and may hinder the re-orientation towards farm animals. The Bank recently received an informal assurance from the Deputy Minister of Education in charge of PDIMO that the college would be relocated at UPLB.  - 36 - Technician Training 6.08 The project was designed to help the Government achieve a better balance in the production of various levels and types of agricultural manpower. However, some of the technician courses planned at appraisal were not offered. Technician training is fairly new in the Philippines, where there is a tendency for students to pursue higher degrees. The agricultural technician programs under the project were not given prominence and were over- shadowed by the higher education components. The overseas fellowship program also failed to take into account the need to train staff to teach -he technician courses. Thus when the staff returned, they were not prepared to teach the courses. The Government has since then continued efforts to develop technician training. It has recently launched two projects assisted by ADB focussing on technician training in engineering and agriculture. Fellowships vs. Specialist Services 6.09 The reallocation of loan funds from specialist services to fellow- ships indicates the Philippine preference for technical assistance in the form of overseas training for their staff rather than specialist services. One reason is that institutions have difficulty in recruiting leading foreign experts and often resort to the employment of less experienced expatriates. The benefits of overseas training are thus considered higher. This preference is manifest in other education projects in the Philippines.  PHILIPPINFS FOIRTH EDulCATION PROJECT (LOAN 1374-PH) PROJECT COWLETION REPORT Civil Works: Status of Incomplete Ruildings (Z completion) Academic Auxil- Farm Overall Project and Staff liary build- Z accowop- Institution communal Boarding housing units ings lishment Remarks la tIP at Los Banos College of 79 100 100 100 - 89 Completion of the buildings to be Forestry taken over by I!PLR administration with a target completion date of Nov. 29, 1984. 1 Institue of 93 - - - 100 96 Completion expected by Feb. 27, 1985 Animal Science College of Vete- 95 98 98 - - 97 Completton expected by Nov. 29, 1984 rinary Medicine /b /a The remaining 4% of works at UPLR has not yet been completed due to budgetary constraints. All units identified as completed are operational and are being tined for academic purposes. IIPLR to take over completion of remaining works pending release of P 13.5 million by the Ministry of Rudget. /a Includes ATTC/ADDL Complex.  PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 0374-PH) PROJECT COMPLETION REPORT Approximate Gross Areas Constructed In Square Meters (Appraisal vs Actual) Academic & Staff Auxilliary Farm comiunal Boa ding housing units buildings Total Apprai- Apprai- Apprai-- Apprai- Apprai- Apprai- 2 increase Project 'nstttution sal Actual Sal Actual sal Actual sal Actual sal Actual sal Actual (decrease) UP at Los Banos 1. College of Forestry 2,455 2,999.06 1,586 1,825 3,870 3,553.65 1.275 1,155.35 - - 9,096 9,533.06 4.80 2. Institute of Animal Science 4,266 7,017.78/a - - 1,440 - 2.190 - - 9,967.28 7,896 16,985.06 115.11 3. College of Veterinary Science/b 5,012 h,725.32 830 2,756 990 4.953.60 630 - - - 7,462 14,434.92 93.45 Subtotal 11,733 16,742.16 2,416 4,581 6,210 8,507.25 4,095 1,155.35 - 9,967.28 24,454 40,953.04 67.47 ViSCA 24.202 26,174.86 - - - - 1,145 4,192.02 - - 25,347 30,366.88 19.80 rTC - RD 1. NTC-RTC-RD, UPLB 1,350 1,887.30 1,345 1,545.72 1,250 1.518.15 - 295.12 - - 3,945 5,246.24 32.98 2. RTC-RD a. MSAC 727 820.00 890 1,001.50 665 722.00 - - - - 2,282 2,543.50 11.46 1 b. ISUC 625 820.00 645 1,001.50 575 722.00 - - - - 1,845 2,543.50 37.86 c. VISCA 727 820.00 890 1,001.50 665 722.00 - - - - 2,282 2,543.50 11.46 d. USM 625 820.00 645 1,001.50 575 722.00 - - - - 1,845 2,543.50 37.86 Subtotal 2 2,704 3,280.00 3,070 4,006.00 2,480 2,888.00 - - - - 8,254 10,174.00 23.27 3. FTC-RD a. Sta. Barbara, Pangasinan 277 262.50 430 526 495 522.00 95 162 - - 1,297 1,472.50 13.54 b. San Mateo, Isabela 277 262.50 430 526 495 522.00 - 72 - - 1,202 1,382.50 15.02 c. Angat, Bulacan 118 120.00 - - 495 522.00 95 162 - - 708 804.00 13.56 d. Naujan, Or. Mindoro 277 262.50 432 526 495 522.00 - 72 - - 1,204 1,382.50 14.83 e. Sab-a, LAeyte 277 262.50 432 526 495 522.00 - 72 - - 1,204 1,382.50 14.83 f. Midsayap, Cotabrto 277 262.50 432 526 495 522.00 - 72 - - 1,204 1,382.50 14.83 Subtotal 3 1,503 1,432.50 2,156 2,630.00 2,970 3,132.00 190 612 - 6,819 7,806.50 14.49 Total 5,557 6,599.80 6,571 8,181.72 6,700 7,538.15 190 907.12 - - 19,018 23,226.74 22.13 Grand Total 41,492 49,516.82 8,987 12,762.72 12,910 ;6 045.40 5,430 6,254.49 - 9,967.28 68,819 94,546.66 37.38 'a Includes communal lecture and library, a faciliy shared with UPCVM. 7W 'ncludes ATTC'ADDL Complex C X  ANNEX 2 - 39 - PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) PROJECT COMPLETION REPORT FEuipment and Furniture Allocation by Project Institutions Equipment allocation Furniture allocation Project inbtitution Appraisal Actual Appraisal Actual 1. UP at Los Balos 1. College of Forestry 15.5 15.5 (.9 1.1 2. Institute of Animal Science 11.4 14.1 1.1 3. College of Veterinary Medicine 5.7 10.4 2.3 6.8 Total I 32.6 4n.0 4.3 7.9 II. ViSCA 35.8 39.4 ,.) 6.2 'Total 11 35.8 39 .4 (2 III. PTC-RD 1. NTC-RTC-RD 1.9 2.8 10.5 0.7 2. RTC-RD a. MSAC 0.9 0.4 (.3 0.4 b. ISUC 0.9 0.5 0.3 0.6 c. ViSCA 0.9 0.4 (.A3 0.6 d. USM (MIT) 0.9 0.6 0.3 0.6 Subtotal 2 3.7 1.9 1. 2.2 3. FTC-RD a. Sta. Barbara, Pangasinan 0.8 0.5 (.1 0.2 b. San Maten, TIabela 0.6 r.5 0.2 0.2 c. Angat, Bulacan 0.8 0.5 01.13 0.06 d. Naujan, Or. Mindoro 0.8 0.5 0.1 0.3 e. Sab-a, Leyte 0.8 0.5 u.1 (.3 f. Mldsayap, Cotabato 0.6 O". ( 0.3 Subtotal 3 4.5 3.1) 1q73 l.36 Total III 10.1 7.7 2.43 4.26 IV. BAEx 8.5 8. 0 .2 Total IV 8.5 8.( - 0.2 GRAND T(TAL 87.0 91 .. 11.7i 18.56  - 40) - ANNEX 3 PHILIPPINES FOURTH EDUCATION PROJECT (LOAN 1374-PH) PROJECT COMPLETION REPORT Fellowships: Participants, Man-months and Costs Number of Number of Total cost participants mran-months (in US$S'OO) Project Institution/ Appraisal Appraisal Appraisal XctuaT Ts- Prugram of Study estimates Actual estimates Actual estimates hursement UP at Los Banos 1. College of Furestry Post doctoral 2 3 24 13.00 24.0 22.37 Ph.D. 11 15 384 560.25 384.0 416.17 Subtotal 13 18 408 573.25 408.0 438.54 2. Institute of Animal Sc. Post doctoral 0 1' 0 25.75 0.0 34.24 Ph.D. 8 1( 288 335.50 288.0 276.81 Subtotal 8 14 288 361.25 288.() 311.05 3. Other unitts Post ductordl 18 22 228 103.75 228.0 170.86 Ph.D. 41 56 1,476 1,931.25 1,476.0 1,510.44 Non-degree 0 9 0 9.n( O.( 40.16 Subtotal 59 87 1,704 2,044.00 1,7()4.0 1.721.40 Total UPLP 80 119 2,400 2,978.50 2,400.0 2,471.15 UPCVM Ph.D. 7 7 252 272.75 252.( 261.61 M.S. 1) 1s 240 460.25 200.0 366.51 Non-degree 0 6 0 15.00 0. ) 31.75 Subtotal 17 31 492 748.()( 452.0 659.87 ViSCA Post doctoral 0 2 0 6.0 0.0 1.().00 Ph.D. 27 25 972 938.25 972.0 78f,.,43 Ph.D. (combination) /a 0 25 0 683.75 0.0 n16.S2 Non-degree -) 15 48 10.25 60.!) 35.)4 Subtotal 27 67 1,020 1,638.25 4f)32.0 1,154.19 PMS/TPAE MA/MS 6 10 48 169.50 4