China - Liaoning Urban Transport Project : resettlement action plan (Vol. 1 of 4) : Shenyang subproject - resettlement action plan

RP-0008 VOL. 1 The World Bank Loan Liaoning Urban Transport Project Resettlement Action Plan for Shenyang Urban Transport Project Shenyang Urban Construction and Renewal Project Office Sept. 1998  Certified bv: Ning Xianjie Reviewed by: Sun Dong, He Fengqin Checked bv: Sun Shuliu, Chen Weixin, Sang Guilin Prepared bv: Sun Dong, Chen Weixin Sun Shuliu, Sang Guilin, Tangxiao Staff Taking Part in the Project: Shenvang Urban and Rural Construction Commission: Ning Xianjie Shenyang Urban Construction and Renewal Pro_ect Office Sun Dong, Chen Weixin, Sang Guilin Shenyang Municinal Engineering Resettlement Office: Sun Shuliu, Tang Xiao, Chen Guang Shenvang Municipal Engineering Design and Research Institute: Lin Xianmao  Acronyms and Abbreviations LUCRPO - Liaoning Urban Construction & Renewal Project Office SPLG - Shenyang Transport Project Leading Group SUCRPO - Shenyang Urban Construction & Renewal Project Office SHDMO - Shenyang House Demolition Administration Office SRO - the Resettlement Office of Shenyang Municipal Engineering Construction and Administration Bureau SLB- Shenyang Land Planning and Administration Bureau SYMEDRI - Shenyang Municipal Engineering Design and Research Institute SRI - Sociology Research Institute of Liaoning Social Sciences Academy PAP - Project Affected Person PAL - Project Affected Labor PALA - Project Affected Land Acquisition PPR - Person with Property Right UPR - Unit with Property Right mu - Land Measure in Chinese (15mu = 1hectare)  1. Basic Situation of the Project 1.1 Brief Description of the Project Shenyang Urban Transport Project (SUTP) is one of the three Urban Transport Comprehensive Management Projects (Shenyang Urban Transport Project, Fushun Urban Transport Project (FUTP), and Anshan Jianguo Road Traffic Corridor Project(AUTP)), which include: * Infrastructure Component--the construction and renewal of Beiyi Road, Lianhe Road, Nanwu Road, and Pangjiang Street * Traffic Management Component-connect missing links and widen bottleneck sections of Shenzhou road, Zhulin road, etc.; comprehensive management for more than 10 urban arterial roads, such as Shisanwei road; establish exclusive lanes for buses, bicycles and motor vehicles. * Public Transport Component--establish and improve more than 10 public transport routes, improve the maintenance and repair capacity of buses central maintenance and repair unit, and rebuild 2 public transport terminals. * Road Maintenance Component--maintain and rebuild 42 urban roads of grade 1, grade 2 and grade 3, purchase some maintenance equipment to increase the functions of the existing roads. For the sketch map of the project, see the attached map. The project is to start in April 1999, and to complete in Sept. 2002. It is planned to built several roads including Shenzhou Road with Retroactive Finance in 1998. 1.2 Areas Affected and Served by the Project Shenyang City, Liaoning Province is not only the area affected but also the area served. The project will play an important role in meeting the needs of urban construction development, improving the residents' trip travel conditions, and in solving urban traffic problems. After the project is built, the traffic and investment environment, and the social and economic development in the areas along the project lines will be improved. After it is built it will meet the traffic functions of both high speed and large capacity and solve the traffic problems of long distance and crossing regions in Shenyang City. Therefore, it will strength the traffic relations among the urban areas, between groups, and, the center area and suburb areas. It not only solves problems on traffic jam, but also improves the traffic capacity of the roads. It will promote public transport development, and ensure public transport priority. It will play an important role in urban traffic and in ensuring the smooth traffic from and to the city.  1.3 Social and Economic Background in the Project Area Shenyang City, the capital of Liaoning Province, is located in the south part of the northeast area of China. It is situated in the central north part of the province. It is the political, economic, cultural, science and technological center, and the largest city, urban traffic hub, and distributing center of goods and materials in the northeast part of China. Shenyang City is at E120025'09" to 123048'24", and N 41o11'51 " to 43002'13". The stretch from east to west is 115 km, which from south to north is 205 KM. The total area is 12,980 km2. Shenyang is adjacent to Fushun on the east; Anshan, Bengxi and Liaoyang on the south; Fuxin and Jinzhou on the west; Tieling, Jilin Province and Inner Mongolia Autonomous Region on the north. It is located in the core part of the city cluster in central Liaoning Province. 9 districts (Dadong, Shenhe, Heping, Tiexi, Huanggu, Donglin, Yuhong, Xinchengzi, and Sujiatun), 4 counties (cities) (Xinmin, Liaozhong, Kangping, and Faku) are under its jurisdiction. The city planning central area is 1150 km2, the area of the core city proper is 468 km2. Urban built up area is 186 km2. Till the end of 1996, the total population of the city is 6.71 million, urban population is 4.767 million, and population in the built up area is 3.30 million. In 1996, the total GNP of the city is RMB 77.18 billion yuan, average GNP/person is RMB 11,500 yuan. Original value of fixed assets is RMB 65.61 billion yuan. Average GNP/labor is RMB 20,100 yuan. Land acquisition and resettlement for the project will affect 3,588 households, 90 enterprises, 18 institutions, 253 shops; total population affected is 21,977 persons. Land acquisition is 1081.2 mu. Resettlement houses is 169,685.1 m2. 1.4 Measures Taken to Minimize Resettlement 1.4.1 Making Full Use of Existing Roads, Reducing the Quantity of Demolition In the design program of the project, from the point of view of the combination of short term and long term, the existing roads will be used fully to enhance their maintenance in order to reduce the quantity of land acquisition and house demolition. When meeting the prerequisite to the project design conditions and traffic functions, in order to reduce the quantity of house demolition and the impacts on public facilities, things such as adjusting the planning lines of some sections, avoiding the permanent multiple-storey buildings, park, green land (trees), public utility etc. will be carried out. 1.4.2 Optimizing the Project Program, Reducing the Quantity of Demolition In the project design, lots of alternatives have been compared times and again on the roads and overpass for which the quantity of land acquisition and house demolition is  large, so as to avoid demolishing multiple-storey buildings, enterprises, institutions, and residence area where there is a large population and avoid pipes and lines underground and infrastructures on the ground, and reduce the demolition quantity greatly. For example, after comparing alternatives again and again, the construction of the area between the west part of Lianhe Road and Gongheqiao will reduce demolition quantity of 3 high residential buildings, about 15,000 m2, 140 households. 1.4.3 Integrating with the Transformation of the Old City Proper, Reducing Adverse Impact, Improving the Housing Conditions and Living Environment Most of the house demolition area of the project is in the shantytown. Most houses were built in 1940s and 1950s. They are simple, of low quality, their patterns are out of date, and living environment is not good. They are the houses, which should be transformed urgently by the city. The above houses will be demolished for the project construction. The original residents will move into the new houses in the relocation area. Their house quality is greatly improved and their housing conditions and living environment are also improved. 1.4.4 Building Relocation Houses as Early as Possible, Avoiding or Reducing the Impacts on the PAPs and Enterprises and Institutions In the relocation and implementation of the project, on the basis of full survey and check on the residents, enterprises, institutions and shops involved in the project, the relocation houses for the above will be built as early as possible to shorten the transition period and avoid or reduce the closedown losses. 1.5 Technical-Economic Feasibility Study Shenyang Municipal Engineering Designing and Research Institute (SYMEDRI) undertook "Feasibility study Report of Shenyang Urban Transport Project (SUTP)", completed it in Oct. 1996 and submitted it to higher department concerned in Dec. 1996. 1.6 Project Design Procedure In Oct. 1994, Shenyang Planning Design and Research Institute (SPDRI) completed "Shenyang Master Plan Report", and had it passed the examination of the departments concerned and specialists of the province at the end of 1995. In July 1996, Shenyang Urban Construction and Renewal Project Office (SUCRPO) drew up and completed "Proposal for Shenyang Urban Transport Project". In Oct. 1996, SYMEDRI drew up and completed "Feasibility Study Report of SUTP", and completed the additional report in Oct. 1997.  In Dec. 1996, SPDRI provided the red line scope of land acquisition and resettlement of the project. In Feb. 1997, SYMEDRI provided the design schemes of the project. From March 1997 to April 1997, SUCRPO together with the Resettlement Office of Shenyang Municipal Engineering Construction and Administration Bureau (SRO) conducted the census and property survey on land acquisition and resettlement. From May 1997 to June 1997, SRO together with the Sociology Research Institute of Liaoning Social Science Academy (SRI) conducted surveys on social and economic impacts. In Oct. 1997, SUCRPO conducted additional surveys on social and economy and public opinions. 1.7 Ownership and Institutional Organ of the Project The project is an urban infrastructure project, it constructed at cost of Shenyang City Government. The construction funds compose of two parts i.e. domestic supporting funds and the World Bank' loans. The total investment of the project is RMB 1.3 billion yuan. The former is obtained from city maintenance costs and other financial incomes of Shenyang City for years, which is RMB 0.76 billion yuan; while the latter is 65 million USD. SUCRPO is responsible for management of the project construction. SRO is responsible for land acquisition, resettlement and implementation. Shenyang House Demolition Management Office and Shenyang Land Planning and Administration Bureau are responsible for land acquisition and resettlement supervision, and arbitration of the project. 1.8 Social and Economic Survey Procedure 1.8.1 Census and Property Survey From March to June 1996, SUCRPO together with the SRO, neighbor commissions, institutions and enterprises involved in land acquisition and resettlement of the project registered and surveyed houses of enterprises and institutions, attachments, land. Meanwhile they conducted sampling surveys on the public opinions (300 households were surveyed by sampling), and collected their suggestions on the relocation policies and schemes.  At the same time SUCRPO held a meeting with the owners of infrastructures and the administrative organs in the project area. The project situation and land acquisition and demolition scope were introduced. The owners of the units provided the quantity, specifications, suggestions on moving, and estimate of reconstruction costs of the infrastructure affected according to the project design program. All of the above were submitted to SRO for collecting. The land acquisition will be measured and calculated in kind after the decision of the project construction, before each of the subordinate works is commenced, and in iMplementing land acquisition and demolition. 1.8.2 Social and Economic Survey In March 1997, Liaoning Social Sciences Academy was entrusted by SUCRPO to conduct social and economic survey of the project, and provided social and economic survey tables and forms in April 1997. From May 1997 to June 1997, SUCRPO and SRO conducted social and economic survey. The Sociology Research Institute of Liaoning Social Sciences Academy is responsible for calculating and analyzing the survey data . 1.9 Preparation for the Resettlement Action Plan(RAP) Since Nov. 1995, SUCRPO began to compile the Resettlement Action Plan (RAP) for the project. From June to July 1996, it conducted a preliminary survey on the impacts on the land acquisition and resettlement and the social economy. From then on, it made field visits to the affected households and began to compile the RAP. In Oct. 1997, SUCRPO drew up the RAP. In Oct. 1997, they conducted additional surveys on social economy. On Nov. 15, 1997 the RAP to be submitted for examination has been completed. SUCRPO is responsible for completing the RAP. SUCRPO plans to invite independent institutions or experts for resettlement independent monitoring and evaluation of the project. 1.10 Schedule for Project Preparation Contract Award, Construction, and Implementation The demolition preparation work of the project is to begin in August-Oct. 1998. Each sub-project is to be constructed one section by one section. Land acquisition and relocation will be conducted according to each of the sub-project construction time but before civil engineering construction.  SUCRPO sign contracts with the households, shops, institutions and the enterprises for land acquisition, demolition and compensation before relocation. Removal is to complete 45 days before civil engineering construction. 1.11 Laws and Regulations on Compensation and Relocation OP.R.C. Real Estate Administration Law[O EP.R.C. Urban House Demolition Administration RegulationsEl ElOperational Directive 4.30: Involuntary ResettlementE O Liaoning Province Urban House Demolition Administration Detailed Enforcement Regulations El ElShenyang City Urban House Demolition Administration Temporary Provisions[l OResolution on National Land Use with Compensation by Shenyang City GovernmentEl 2. Project Impacts Shenyang Urban Transport Project (SUTP) includes 4 parts which are infrastructure component, traffic management component, public transport component, road maintenance component. Of these only resettlement quantity of infrastructure component is rather large and its resettlement work is responsible for us Project Unit, while other components have nothing to do with resettlement , or their resettlement work has already been finished by other units (see Chapter 18). So, in following text, Chapter 4-11 will be only related to infrastructure component (See Table 2.1). The whole project will affect 3,405 households directly, 183 households of enterprises, institutions, and shops who will be moved for the expansion land acquisition and resettlement, totally 3,588 households will be affected. The population directly affected by the project is 10,423 persons. 549 persons of enterprises, institutions, and shops who will be moved for the expansion land acquisition  and resettlement, totally 10,972 persons will be affected by the project. 70,867.1 M2 various houses will be directly affected by the project, 5,490 M various houses of the residents of the enterprises, institutions, and shops to be moved for the expansion land acquisition and resettlement, totally 76,357.1 M2 residential houses will be affected. The project will affect 253 shops, 18 institutions and 90 enterprises. Totally, 93,328 M2 houses of these shops, enterprises and institutions will be demolished. The population of these shops, enterprises and institutions affected by the project is 11,005 persons, of which nobody would lost their job for the project. Totally, 1081.2 mu land will be required for the project, it is all state land, where 878.1 mu is direct land use by the project, and 203.1 mu is the land for demolition and relocation. The area of various houses to be demolished for the project is 169,685.1 M2. The total number of the households affected is 3,588. The total population affected is 21,977 persons. Trees affected is 11840, grassland affected is 67548 M2 and bushes affected is 6257 2 M2. The length of various pipes and lines affected is 46,922 m. of which, infrastructure component impactsw The project will affect 2,924 households directly, 183 households of enterprises, institutions, and shops who will be moved for the expansion land acquisition and resettlement, totally 3,107 households will be affected. The population directly affected by the project is 8,780 persons. 549 persons of enterprises, institutions, and shops who will be moved for the expansion land acquisition and resettlement, totally 9,329 persons will be affected by the project. 57,253.3 M2 various houses will be directly affected by the project, 5,490 M2 various houses of the residents of the enterprises, institutions, and shops to be moved for the expansion land acquisition and resettlement, totally 62,743.3 M2 residential houses will be affected.  The project will affect 210 shops, 16 institutions and 65 enterprises. Totally, 65,011 M2 houses of these shops, enterprises and institutions will be demolished. The population of these shops, enterprises and institutions affected by the project is 7,592 persons, of which nobody would lost their job for the project. Totally, 1081.2 mu land will be required for the project, it is all state land, where 878.1 mu is direct land use by the project, and 203.1 mu is the land for demolition and relocation. The area of various houses to be demolished for the project is 127,754.3 M2. The total number of the households affected is 3,107. The total population affected is 16,921 persons. Trees affected is 11840, grassland affected is 67548 M2 and bushes affected is 6257 M2 M. The length of various pipes and lines affected is 46,922 m. Table 2.1 General Introduction Infra- Traffic Public Maintenanc Type Total structure manage- transport e componen ment component. t PAPs 21977 16921 4886 170 0 Demolished 3588 3107 481 0 0 households Shops affected 253 210 43 0 0 Enterprises affected 90 65 24 1 0 Institutions affected 18 16 1 1 0 Demolished area(m2) 169685. 127754.3 41930.8 0 1 2.1 Population Affected Table 2.2 Population Affected  Type No. of PAPs (person) Infrastructure Component Population of residents to be moved 9329 Where population of those to be moved 549 for expansion land acquisition and resettlement Staff of institutions 456 Staff of enterprises 5815 Staff of shops 1321 Subtotal 16921 Others Population of residents to be moved, 1643 Where population of those to be moved 0 for expansion land acquisition and resettlement Staff of institutions, enterprises and shops 3413 Subtotal 5056 Total 21977 2.2 Buildings Affected of Infrastructure Component Table 2.3 Buildings Affected of Infrastructure Component Type Quantity (%) Area of Houses to (%) be Demolished (m2) Dwellings public houses 1096 35.2 24359 19.1 (including those to private houses 699 22.4 14107.8 11.0 be moved for expansion Unit-owned 1141 36.8 21236.5 16.6 houses land acquisition and Illegal houses 171 5.6 3040 2.4 resettlement) Subtotal 3107 100 62743.3 49.1 Shops licensed 135 64.3 11574 9.1 Non-licensed 75 35.7 3298 2.5 Subtotal 210 100 14872 11.6 Units institutions 16 19.8 7296 5.7 enterprises 65 80.2 42843 33.6  ISubtotal 81 I 100 I 50139 39.3 l Total 127754.3 100 Note: Public house: the houses' property rights belong to the State, and the houses are managed by house administrative agency; * Unit-owned house: the houses were built and managed by the enterprises and the institutions, and the houses' property rights belong to the units; Illegal house: illegally established houses without the approval of agencies in charge of real estate, planning, land and municipal construction etc.; * Licensed shop: legal business shop with all the necessary licenses; * Non-licensed shop: the shop without business licenses; 2.3 Land Use of Infrastructure Component Table 2.4 Land Use of Infrastructure Component Type Land Area (mu) Direct land use 878.1 Land for demolition and relocation 203.1 Total 1081.2 2.4 Infrastructure and Ground Attachments Affected of Infrastructure Component Table 2.5 Infrastructure and Ground Attachments Affected of Infrastructure Component Type Unit Quantity Infrastructure water supply pipelines m 612 drain pipelines m 2550 gas pipelines m 612 Communication pipelines m 11828 Power pipelines m 21420 Trolleys power-line m 9900 Sub-total m 46922  Ground Attachments Trees 10839 Grassland m2 64160 Bushes m2 5645  2.5 House Attachments Affected of Infrastructure Component Table 2.6 House Attachments Affected of Infrastructure Component Owner T e Unit Quantity Residents Telephone set 419 Cable TV household 384 2.6 Shops Affected of Infrastructure Component Table 2.7 Shops Affected of Infrastructure Component Type Quantity (unit, Percentage(%) person) Nature state-operated 23 11.0 Collective 29 13.8 Individual 158 75.2 Subtotal 210 100 staff on-the-job 1104 83.6 Retired 217 16.4 Subtotal 1321 100  2.7 Enterprises and Institutions Affected of Infrastructure Component Table 2.8 Enterprises and Institutions Affected of Infrastructure Component Type Quantity (unit, Percentage(%) person) Nature State-operated 29 35.8 Collective 36 44.4 Individual 0 0 Institutions 16 19.8 Subtotal 81 100 staff on-the- Enterprises 4580 92.3 job Institutions 381 7.7 Subtotal 4961 100 staff retired Enterprises 1235 94.3 Institutions 75 5.7 Subtotal 1310 100 Total No. of Enterprises 5815 92.7 staff Institutions 456 7.3 Subtotal 6271 100 2.8 Vulnerable Groups Affected of Infrastructure Component Table 2.9 Vulnerable Groups Affected of Infrastructure Component Type No. of No. of households Persons Disabled persons 10 15 Old person families 11 22 Persons suffering from serious illness 7 9 Women, single parent families 10 20 Elderly persons of no family, children 6 12 Mentally handicapped persons, dementia, mental 9 9 disease Total 53 87  3. Legal Framework Land acquisition and resettlement of the project are based on the following laws and policies: P.R.C. Urban Real Estate Administration Law P.R.C. Urban House Demolition Administration Regulations Operational Directive 4.30: Involuntary Resettlement Liaoning Province Urban House Demolition Administration Detailed Enforcement Regulations Shenyang City Urban House Demolition Administration Provisions Resolution on National Land Use with Compensation by Shenyang City Government 3.1 Laws and Regulations 3.1.1 Main Laws and Regulations on House Demolition (1) Main Provisions of "P.R.C. Urban Real Estate Administration Law" are as follows: Allocation of land use right means that approved by the government over county level, after the land users have paid compensation, relocation costs etc., they can use the land, or they can get the land use right free of charge. If the land use right of the following land for construction is really necessary, it can be approved and allocated by the government over county level: land for urban infrastructure and public utilities; land for energy, transport, water conservancy etc. projects which are the state key projects. (2) Main Provisions of "P.R.C. Urban House Demolition Administration Regulations" are: The unit (person) who needs to demolish houses in the regulations refers to the construction unit or individual who has got the house demolition license. The person whose houses needed to be demolished in the regulations refers to the owners of the houses and their attachments to be demolished (including the person in charge, the person in charge of the national houses and their attachments authorized by the state) and the users of the houses and attachments to be demolished. The compensation for demolition is carried out by exchanging ownership, compensating currency, or by the combination of both. The compensation currency amount should be calculated as replacement price and building area of the houses demolished. The relocation place of the users of the houses to be demolished should be decided according to both the requirements for construction region and the nature of the construction project of the city planning, and based on the principles advantageous to  implementing city planning and to transforming old city proper. Non-residence houses demolished should be rebuilt as per their original building area. The users of the houses demolished are to move for the house demolition, they should get subsidy for moving from the construction unit or individual. During the actual transition period, if the users of the houses to be demolished relocate by themselves, they should get subsidy for temporary relocation from the construction unit or individual. Certain amount of subsidy should be paid if the non-residential houses demolished cause closedown and economic losses. (3) Policy Objectives of Operational Directive 4.30: Involuntary Resettlement The objective of the Bank's resettlement policy is to ensure that the population displaced by a project receives benefits from it. Involuntary resettlement is an integral part of project design and should be dealt with from the earliest stages of project preparation, taking into account the following policy consideration: * Involuntary resettlement should be avoided or minimized where feasible, exploring all viable alternative project designs. For example, realignment of roads or reductions in dam height may significantly reduce resettlement needs. * Where displacement is unavoidable, resettlement plans should be developed. All involuntary resettlement should be conceived and executed as development programs, with resettlers provided sufficient investment resources and opportunities to share in project benefits. Displaced persons should be (i) compensated for their losses at full replacement cost prior to the actual move; (ii) assisted with the move and supported during the transition period in the resettlement site; and (iii) assisted in their effort to improve their former living standard, income earning capacity, and production levels, or at least to restore them. Particular attention should be paid to the needs of the poorest group to be resettled. * Community participation in planning and implementing resettlement should be encouraged. Appropriate patterns of social organization should be established, and existing social and cultural institutions of resettlers and their hosts should be supported and used to the greatest extent possible. Resettlers should be integrated socially and economically into host communities so that adverse impacts on host communities are minimized. The best way of achieving this integration is for resettlement to be planed in areas benefiting form the project and through. consultation with the future hosts.  * Land, housing, infrastructure and other compensation should be provided to the adversely affected population, indigenous groups, ethnic minorities, and pastoralists who have usufruct or customary rights to the land or other resources taken for the project. The absence of legal title to land by such groups should not be a bar to compensation. (4) Main Regulations of "Liaoning Province Urban House Demolition Management Detailed Enforcement Regulations" are: compensation for non-residential houses should be calculated according to the following provisions: (A) The houses and attachments demolished, as per the costs calculated according to the evaluation standard; while the facilities which can not be resumed, as per the costs calculated according to the replacement price and the new rate. (B) costs for land acquisition due to moving to other place, or costs for allocating land with the same area as that of the original land (C) Costs of moving and installing the equipment calculated as per freight transport prices and equipment installation price. (D) other costs that should be compensated Houses for production and business demolished should be relocated according to their original building area and structure. Subsidy for closedown losses and staff's temporary relocation expense should be paid to owners and users of the houses by the construction unit or individual. The price difference will not be calculated, if the public residence houses are demolished and exchange ownership, and also the compensation building area is equal to the original one. If the compensation building area is more than the original one, the price difference will be calculated as per the price of commercial houses. If the compensation building area is less than the original one, it will be calculated as per the replacement price and the new rate. If the owners of the private residence houses demolished want to keep their ownership, the construction unit or individual can exchange ownership by newly built houses or other houses as per the building area of the houses demolished. The users of the residence houses demolished can be relocated as per their original house living area. If the users of houses demolished move from a good region to a bad region, their relocation house area can be increased by a certain number or they can get extra lump-sum relocation subsidy and moving fees. (5) Main provisions of "Urban House Demolition Management Detailed Enforcement of Shenyang City" are: City house demolition must be in accordance with the city planning and advantageous to city transforming and construction. Those houses which are dangerous, in shantytown, and in the area whose environment is seriously polluted should be demolished first.  The City House Property Administration office is the unit that is in charge of the city house demolition, and it manages the city house demolition in a united way. When the construction unit or individual has sufficient funds as costs for building houses, relocation subsidy, compensation of the owners and users, the house demolition department in charge can approve it to demolish. The city government should decide the minimum standard of the guarantee funds. They must be used in house demolition. They should not be diverted or misappropriated. During the house demolition period, the construction unit or individual should sign house demolition agreements with the owners and users. The agreements should include compensation method, compensation amount, relocation place and area, demolition time limit, transition way and time limit, responsibilities of breaking the agreements and other items that the parties concerned think it necessary. When signing house demolition agreements, any dispute arises should be settled by the house demolition department in charge based on laws and regulations. If the owners and users belong to the house demolition department, it should be settled by the government at the same level. If any party concerned is not satisfied with the decision, it can apply for reconsidering or submitting for arbitration. During moving time limit, the owners and users should look for houses for transition by themselves. The construction unit or individual should offer transition houses or lump- sum relocation houses to the households with special difficulties, with social relief, and with disabled persons. The construction unit or individual should compensate the owners [including the person(s) in charge, the person(s) in charge of the national houses and their attachments authorized by the state] of the houses and attachments demolished. The compensation for demolition is carried out by exchanging ownership, compensating by evaluating, or by the combination of both. The area of exchanging ownership should be calculated according to the building area of the houses demolished. The compensation amount by evaluating should be calculated as per the replacement price and the new rate of the building area of the houses demolished. The price difference will not be calculated, if the public residence houses are demolished and exchange ownership, and if the compensation building area is equal to the original one. If the compensation building area is more than the original one, calculated as per the following relevant regulations; if the compensation building area is less than the original one, calculated as per the replacement price and the new rate. The price difference will not be calculated, if the owners of the private residence houses demolished exchange ownership, and if the compensation building area is equal to the original one. If the compensation building area is more than the original one, calculated as per the following relevant regulations; if the compensation building area is less than  the original one, calculated as per the evaluation market price. Regarding the houses and their attachments for public utilities demolished the construction uni" or individual should rebuild as per their original nature structures and size. Rebuilding should be in accordance with the city planning. Houses, which can not be rebuilt, should be compensated as per replacement price. The owners and users who move to other places because of their house demolition should get lump-sum subsidy for moving from the construction unit or individual. For those who arrange transition houses by themselves, the construction unit or individual should pay temporary relocation subsidy. On the basis of the facts, the city government should decide the standards of subsidies for moving and temporary relocation. During the stipulated transition period, the construction unit or individual should offer transition houses not pay temporary relocation subsidy. Compensation for non-residential houses should be calculated as per the following regulations: (A) The facilities which can not be resumed, as per the costs calculated according to the replacement price and the new rate. (B) costs for land acquisition due to moving to other place, or costs for allocating land with the same area as that of the original land (C) Costs of moving the equipment calculated as per freight transport prices and equipment installation price. (D) During the demolition time limit, if the enterprises stop production on account of the demolition, then, each of the staff unemployed and the retired persons should get the average wages (including the state and local subsidies) of the first 6 months of the year of the enterprises as subsidies of living. (E) According to income tax, each year compensate 10-20% of total net profit in past 2 years. The relocation place of the users of the houses to be demolished should be decided according to the city planning and the nature of the construction project. The owners and users without house property registers can be relocated in other places. If the users of houses demolished move from a good region to a bad region, they should be compensated by the construction unit or individual. The city government should decide the compensation standard. The residence houses of the owners and users should be relocated nearby as per their original living area and the suite type of standard houses. Payment for the added area of the standard suite houses whose area is larger than the original area should be charged as per the building price of the new houses. The ownership and payment should be linked up with house transformation policies. Besides the standard suite houses, if the owners and users need more area, they should pay for the added area as per the commercial house price in the relocation area.  With the consent of the owners and users, the construction unit or individual can relocate them in currency as per the previous provisions. The owners and users of the houses without house proper registers will be relocated as per the smallest standard suite houses, the relocation area is the area to be paid as per the previous provisions. The residence house relocation should be designed as per "Regulations on City Residence Construction Standard of Shenyang City". The drawings must be examined by the city house demolition department in charge. Houses built are not in accordance with the stipulated standards can not be used to relocation the owners and users. Time limit of relocating in the original area is calculated from the date on which demolition is announced. If the planning building area is less than 50,000 m, the time limit is 1.5 years; if more than 50,000 m2 but less than 100,000 m2 , 2 years; if the building area of multiple-story buildings is more than 100,000 m2, the time limit is 2.5 years. The construction unit or individual should build relocation houses first and then build other houses to ensure that the owners and users can relocate in their original area on time. If the time limit of relocating in their original area of the owners and users who look for relocation houses by themselves is in excess of the transition time limit, and it is on the construction unit's or the individual's account, the unit or the individual should add temporary relocation subsidy. If the excessive time limit is less than 1 year, 1 00%/month should be added; if over 1 year, 300%/o/month should be added. 3.1.2 Relevant Regulations on Land Use Resolution on National Land Use with Compensation by Shenyang City Government specifies: Land in the 9 districts, except the land use for state organs and military affairs approved by the city government, land use for city infrastructure and public utilities, land use for important state supporting projects such as energy, transport, water conservancy etc.; other land use which is offered by means of allocating stipulated by laws, regulations, should be used with compensation, i.e. land is exchanged with compensation. Land use right exchange should be conducted by auctioning and bidding, if there are competitive assignation conditions; it can be conducted by agreements if there are no competitive assignation conditions. Before land transfer, land users must apply for it, and sign land use right transfer contracts with the city land management bureau after being approved by the city government, pay for land transfer, register as per laws, get national land use certificates and then obtain land use right. Based on the regulation, if land in various development zones is within the scope of compensation use, it must be used with compensation. The development zones or land  users should sign land use transfer contracts with the city land management bureau, get national land use certificates and then obtain land use right legally. 3.2 Relocation and Compensation Policies Based on the laws and regulations of mentioned above and Guideline OD4.30 of the World Bank, the compensation policies of the project are determined as follows: * All affected people (including non-urban residents, people who stay in temporary or illegal house, business men of shops without business licenses) are entitled to reasonable resettlement or compensation. * compensation standard of all property should be decided as per replacement principle; * compensation should be paid before property and land acquisition; * compensation and relocation standards should be negotiated by the project office, the city demolition office , and the owners or units affected; * The relocation place of the users of the houses to be demolished should be decided according to both the city planning and the nature of the construction project. . Relocation area should be near the residents' original living place, so that the commutation of the staff is ensured not to be affected. * For relocation in foreign district, resettled before demolish and try best to make into no-transition period. Those relocated nearby will get transition period subsidy. * Those families with deformed persons will be relocated on the low floors of the building. , Compensation for demolition and for stopping doing business should be paid for the demolished temporary buildings for operations approved. * Family-operated small-sized private enterprises, shops, restaurants will be relocated on the first floor to go on business. . For the institutions affected, the method of building first and then demolishing is adopted to ensure the normal operation of these institutions. . The relocation place for enterprises and institutions should be negotiated by the owners and users, the relocation department concerned, the planning department and land management department. * The public infrastructures affected should be restored and rehabilitated; * People who are owner of public (unit-owned) house: * Resettlement house area should be decided by stipulated standards * House type will not be changed. For the part that the resettlement floor area is equal to the original one, they will get property certification of house without any charge; For the part that the resettlement floor area is more than the original one, they can get property certification of house by paying construction cost * For the part that the resettlement floor area is less than the original one, they can get compensation fee at replacement cost  * People who are user of public (unit-owned) house: * They can get the use rights of resettlement house without any charge * They can get transitional compensation during actual transitional period * They can get compensation for moving * They will be given three day holidays by their working unit to move, during which they can even have salary and bonus as usual * The disabled people among vulnerable groups will have the priority to be resettled in low-storied houses * They will get compensation as regional price differences if they are resettled from a good region to a worse one People who are both owner and user of private house They can choose one of following schemes: (1) They will receive houses with comparable value, equal area and equivalent condition near their original houses (2) For those who want to improve their house conditions, they can get resettlement houses built by the project by exchanging ownership. If the resettlement house area is equal to the original one, they will own houses without any charge; the extra area beyond their original house will be charged at construction cost, they can borrow loans from bank if they have difficulty in paying the money. (3) They can be compensated in cash at replacement cost (without discount) and they find house themselves. The project unit will provide help if they have difficulty in finding house. - They can get transitional compensation during actual transitional period - They can get compensation for moving - The disabled people among vulnerable groups will have the priority to be resettled in low-storied houses I They will be given three day holidays by their working unit to move, during which they can even have salary and bonus as usual * They will get compensation as regional price differences if they are resettled from a good region to a worse one People who are renters of private house( including illegal house) * They can get transitional compensation during actual transitional period * They can get compensation for moving * They have the priority to rent the house under the same qualification * They will be given three day holidays by their working unit to move, during which they can even have salary and bonus as usual . People who are both owner and user of illegal house They can choose one of following schemes: (1) Without any charge, they will receive houses with comparable value, equal area and equivalent condition near their original houses, and meanwhile they will get legal  acceptance of residency (2) For those who want to improve their house conditions, they can get single room (Type I) of resettlement houses. The resettlement house will be charged at construction cost. For those who need to get expansion area beyond single room, the expansion area will be charged at market price, they can borrow loans from bank if they have difficulty in paying the money. (3) They can be compensated in cash at replacement cost (without discount) and they find house themselves. The project unit will provide help if they have difficulty in finding house. * They can get transitional compensation by actual transitional period * They can get compensation for moving * The disabled people among vulnerable groups will have the priority to be resettled in low-storied houses * They will be given three day holidays by their working unit to move, during which they can even have salary and bonus as usual * They will get compensation as regional price differences if they are resettled from a good region to a worse one People who are both owner and user of licensed shop They can choose one of following schemes: (1) They will receive houses of comparable value, equal area and equivalent condition near their original houses free of charge, and they can apply for business license. (2) First floor of resettlement hou'ses is considered to be shops in resettlement zones. They will receive resettlement house whose area is equal to their original house without any charge, and they can apply for business license. (3) They will be compensated in cash at replacement cost and they find house themselves. The fitting up compensation will be paid to them. The project will provide help if they have difficulty in finding house. * During transitional period they can get closedown loss according to actual loss * They can get compensation for moving * People who are renters of licensed shop * During transitional period they can get closedown loss according to actual loss * They can get compensation for moving * They have the priority to rent the house under the same qualification * Staff and workers (include retired and users themselves) of licensed shop * They can get transitional compensation during actual transitional period People who are both owner and user of non-licensed shop  * Advise them to apply for business license within one month after resettlement announcement. Thus they can be entitled as licensed shop. * For those who donot want to apply for license, they will be compensated in cash in lump sum at replacement cost of the house and fitting up. * During transitionat period they can get closedown loss according to actual loss and moving compensation. * Renter of non-license shop * Advise them to apply for business license within one month after resettlement announcement. Thus they can be entitled as licensed shop. * For those who donot want to apply for license, they will be compensated in cash in lump sum, they also can get closedown loss according to actual loss and moving compensation. * During transitional period they can get closedown loss according to actual loss and moving compensation. - Enterprise * The houses should be compensated at replacement cost * Should get compensation cost for moving * Land acquisition cost will be paid by the project. The enterprise will get land use right free of charge. The equipment that can not be reinstated will be compensated at replacement cost * Staff and workers (include retired) of enterprise * They can get transitional compensation during actual transitional period * Institutions Being resettled before demolition or get currency compensation * Should get compensation cost for moving The equipment that can not be reinstated will be compensated at replacement cost The owner of public infrastructure * Should be rebuilt as its original scale, function etc. The owner of ground attachments * Should be fully rebuilt or compensated at market price. 3.3 Relocation and Compensation Standards (1) Residence Relocation  Relocation houses must be designed according to "Regulations on City Residence Construction Standards of Shenyang City". Residence construction standards are as follows: Type 1: using area is from 30--37 m2, building area is from 45--52 M2; Type 2: using area is from 40--43 m, building area is from 60--66 m; Type 3: using area is from 50--57 m2 building area is from 70--80 M2; Type 4: using area is from 64--75 m2, building area is from 90--105 M2; If resettled houses are up than lower-level relocation houses, the house-owners will be relocated with upper-level relocation houses as per the original living area and according to the suite type of standard houses. (2) Compensation Standards of Residence Houses, Shops, Enterprises and Institutions Compensation standards of residence houses, shops, enterprises and institutions are shown in tables 3.1--3.4. Table 3.1 Compensation Standards of Residence Houses Type Standard Remarks Brick-concrete 600 yuan/m' Replacement price of buildings Brick-timber 430 yuan/ m2 Simple 240 yuan! m2 Subsidy for moving and 300yuan + transition 55yuan/person.month * persons* actual transitional period Price difference between 5000 yuan/household compensation for moving from a section types I _I good region to a bad region Table 3.2 Compensation Standards of Institutions Type Standard Remarks Relocation house 1200 yuan! For the houses and attachments for price m2 public utilities, the owners should rebuild as per their original nature and _____ _____ _____ ___ _ _ _ _ _ _ _ _ _ _ _ siz e . Subsidy for moving 10 yuanl mz I_I Table 3.3 Compensation Standards of Enterprises Type Standard Remarks Compensati brick-concrete 600 yuan! m2 replacement price of on for buildings houses brick-timber 430 yuanl m simple 240 yuan! mj  Compensati Salary 400yuan/month.pers according to actual on Compensation on for Profit 40% of profit* transitional period closedown Compensation Subsidy for moving equipment equipment which can't restore the original function will be compensated as per replacement price Remarks: According to income tax, each year compensate 20% of total net profit in past 2 years , i.e. 40% of profit times actual transitional period. We classify all enterprises into grades of loss, 10,000, 20,000, 50,000, 100,000 as actual profit which 0- 10,000 is considered as 10,000, 10,000-20,000 is considered as 20,000 and so on. Enterprises with profit beyond 100,000 is considered as actual data. Table 3.4 Compensation Standards of Shops Type Standard Remarks Compensatio brick-concrete 600 yuan/ m2 replacement n for houses b price of buildings brick-timber43yunm simple 240 yuan/ m2 Compensatio Salary 400yuan/month. according to n compensation person actual transitional period for Profit Compensation 40% of profit closedown Remarks: According to income tax, each year compensate 20% of total net profit in past 2 years, i.e. 40% of profit times actual transitional period. We classify all shops into grades of loss, 5,000, 10,000, 20,000, 50,000, 100,000 as actual profit which 0-5,000 is considered as 5,000, 5,000-10,000 is considered as 10,000 and so on. Shops with profit beyond 100,000 is considered as actual data. 4. Resettlement and Rehabilitation Plans for PAPs 4.1 Background There are 3,107 households of 9,329 people to be resettled in this project (including to be resettled for expansion land acquisition and resettlement), with 62,743.3m2 of relocated house area. Among them, enterprises, institutions and shops resettlement involves 183 households of expansion land acquisition and resettlement, 549 PAPs and 5,490.0m2 relocated house area. See Table 4-1. Table 4-2 is Summary of House Relocation Components. Table 4-3 is Summary of Population Resettlement. Table 4-4 is Summary of House Relocation Accessories.  Table 4-1 Summary of Residents' Houses Relocation Road Name People Household Construction area(m2) Beiyi Rd 3903 1336 26119.6 Lianhe Rd 3457 1163 21400.4 Nanwu Rd 829 252 6070.7 Pangiiang St. 591 173 3662.6 Subtotal 8780 2924 57253.3 Expansion land acquisition and 549 183 5490 resettlement Total 9329 3107 62743.3  Table 4-2 Summary of House Relocation Components Item Beiyi Lianhe Nanwu Pangjian Subtota Expansion Total Rd Rd Rd g Rd I move Resettled household 1336 1163 252 173 2924 183 3107 House area(m2) 26119. 21400. 6070.7 3662.6 57253.3 5490 62743.3 6 4 Communal Household 230 511 227 54 1022 74 1096 House Brick 1583.5 2172.3 4938.8 201.9 8896.5 621 9517.5 concrete I_I Brick timber 4071.7 7702.3 548.7 920.8 13243.5 1598 14841.5 Private Household 340 256 1 99 696 0 696 House Brick 2015.2 1048 0 387 3450.2 0 3450.2 concrete I Brick timber 5182 3715.8 20.5 1739.3 10657.6 0 10657.6 Units' Household 683 308 24 17 1032 109 1141 house Brick 3284.2 1143.1 524.8 58.7 5010.8 915.7 5926.5 concrete I Brick timber 8573 4053.9 37.9 289.9 12954.7 2355.3 15310 Illegal Household 83 88 0 3 174 0 174 house _ Simply built 1410 1565 0 65 3040 0 3040 Orientation Southern 784 581 139 87 1591 101 1692 Others 552 582 113 85 1333 82 1415 House Water supply 1202 1047 252 173 2674 183 2857 auxiliary facilities Power supply 1336 1163 252 173 2924 183 3107 Gas and 534 628 202 70 1434 110 1544 heating Communicati 134 116 63 43 356 55 411 on Flush toilet 15 59 201 9 284 40 324 Kitchen 120 40 60 10 230 35 265 Balcony 0 0 50 0 50 37 87  Table 4-3 Summary of Population Resettlement Item Beiyi Lianhe Nanwu Pangliang Sub- Expansi Total Rd Rd Rd Rd total on move Quantity Proportio Population 3903 3457 829 591 8780 549 9329 Educatio Prescho 203 185 29 55 472 27 499 5.3 n o l_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ Illiterate 139 141 14 15 309 26 335 3.6 Primary 817 638 186 163 1804 85 1889 20.2 school _ _ _ _ _ _ _ _ Middle 2644 2408 557 334 5943 369 6312 67.8 school__ _ _ _ _ _ _ College 100 85 43 24 252 42 294 3.1 1& above I_ _ _ _ __ _I _ _ _ Age Below 16 605 640 161 105 1511 98 1609 17.2 17-60 2795 2291 583 414 6083 365 6448 69.2 Above 16 503 526 85 72 1186 86 1272 13.6 Sex Male 1951 1715 419 302 4387 280 4667 50.1 Female 1952 1742 410 289 4393 269 4662 49.9 Professi Cadre 338 490 176 10 1014 100 1114 18.4 onI Worker 1602 1748 384 134 3868 195 4063 65.5 lndividua 90 90 8 8 196 20 216 3.3 Others 439 35 103 180 757 38 795 12.8 ___ Subtotal 2469 2363 671 332 5835 353 6188 100 Vulnerable group 34 24 14 15 87 0 87 Table 4-4 Summary of House Relocation Accessories Road Beiyi Rd Lianhe Nanwu Pangjiang Subtota Expansion Total Rd Rd Rd I move Cable TV 134 116 63 35 348 36 384 Telephon 140 150 60 35 385 34 419 e 4.2 Impact Analysis  (1) Analysis of affected houses Beiyi Road project involves 1,336 households and 3,903 people. Most of the houses are low single-storey. Divided by house structure, brick concrete make up 26.4%, brick timber 68.2% and simply built houses 5.4%. They are mostly low houses built in 30's to 50's. They are also not repaired for years in fairly bad living environment. Per capita house area is 6.69m2 and average household area is 19.55m2. Auxiliary rate is fairly low for gas supply, heating, communication, flush toilet and balcony. Some households are in great need of better living conditions for their three generations even live together. These houses are in the list of Shenyang shantytown reform plan. Lianhe Road project involves 1,163 households and 3,457 people. The houses are mainly old and built in 30's-50's. Their internal auxiliary facilities are not too good for kitchen rate is 3.4%, communication 10%, gas supply and heating 54% and flush toilet 5%. Per capita house area is only 6.19m2 and average household area is 18.4m2. Divided by house structure, brick concrete make up 20.4%, brick timber 72.3% and simply built houses 7.3%. These houses are in the list of Shenyang shantytown reform plan. Nanwu Road project involves 252 households and 829 people. So this relocation does not affect the residents too much. The relocated houses' internal auxiliary facilities are mediocre for communication rate is 25%, gas supply and heating 80%, flush toilet 80% and kitchen 23%. Per capita house area is only 7.32m2 and average household area is 24m2. The residents' living conditions need to be improved. Pangjiang Road project involves 173 households and 591 people. Divided by house structure, brick concrete make up 17.7%, brick timber 80.5% and simply built houses 1.8%. Their internal auxiliary facilities are not too good for gas supply and heating rates is 40%, communication 25% and flush toilet 5%. Per capita house area is only 6.2m and average household area is 21.2m2. There are 183 households and 549 people of expansion move involved in enterprises and shops resettlement. Per capita house area is 1bM2 and average household area is 30m2 . Divided by house structure, brick concrete make up 27.9%, brick timber 72.1 %. Table 4-5 shows the project affects 3,107 households and 9,329 people; among of which 35.2% live in communal houses, 22.4% private, 39.4% enterprises and institution's and 5.5% illegal, altogether 62,743.3m2 of relocated house area. Divided by house structure, brick concrete make up 30.1%, brick timber 65.0% and simply built houses 4.9%. Per capita house area is 6.72m2 and average household area is 20.19m2. Houses with southern exposure make up 55.2%. Their internal auxiliary facilities rates are: water supply 91.9%, gas supply and heating 49.7%, communication 13.2%, flush toilet 10.4%, kitchen 5.3% and balcony 2.8%.  Table 4-5 is Summary of Affected Houses Item Beiyi Lianhe Nanwu Pangjiang Expansion Total Rd Rd Rd Rd move Population 3903 3457 829 591 549 9329 Household 1336 1163 252 173 183 3107 House Communal 17.2 43.9 90 31.2 40.4 35.2 property (%) Private 25.4 22 0.5 57.2 0 22.4 Enterprise & 51.1 26.4 9.5 9.8 59.6 39.4 institution's Illegal 6.3 7.7 0 1.8 0 5.5 House area(m2) 26009.6 21400.4 6070.7 3662.6 5490 62743. 3 House Brick concrete 26.4 20.4 90 17.7 27.9 30.1 structure (%) Brick timber 68.2 72.3 10 80.5 72 65.0 [Simply built 5.4 7.3 0 1.8 0 4.9 Per capita house area(m2) 6.69 6.19 7.32 6.2 10 6.72 Average household 19.55 18.4 24 21.2 30 20.19 are a(M2) Orientation Southern 58.6 49.9 55.5 50.2 54.4 55.2 exposure(%) Others(%) 41.4 50.1 44.5 49.8 45.6 44.8 House Water supply 90 90 100 100 100 91.9 auxiliary facilities (%) _ Power supply 100 100 100 100 100 100 Gas and 40 54 80 40 60 49.7 heating Communicati 10 10 25 25 30 13.2 on Flush toilet 1.3 5 80 5 21.6 10.4 Kitchen 8.7 3.4 23 5.7 19.1 5.3 Balcony 0 0 19.8 0 20 2.8 (2) Analysis of PAP  See Table 4-3 Summary of Population Resettlement. There are 9,329 PAPs in the project. In respect of education, preschool make up 5.3%, illiterate 3.5%, primary 20.2%, middle school 67.8% and college 2.7%; in respect of age, below 16 years old make up 17.2%, 17-60 years old 69.1% and above 61 years old 13.6%; there are 6,188 employed people affected: 1,114 cadres make up 18%, 4,063 workers 65.7%, 216 individuals 3.5% and others 12.8%. There are also 87 PAPs of vulnerable group. 4.3 Resettlement and Rehabilitation Principles (1) For relocation in foreign district, resettled before demolish and try our best to make into no-transition period. Those relocated nearby will get transition period subsidy. PAPs get moving compensation 300yuan/household and transitional compensation 55yuan/month.person according to the actual transitional time. They will get compensation as regional price differences 5000 yuan/houshold if they are resettled from a good region to a worse one. (2) For people who are owner of public (unit-owned) house: * Resettlement house area should be decided by stipulated standards * House type will not be changed. For the part that the resettlement floor area is equal to the original one, they will get property certification of house without any charge; For the part that the resettlement floor area is more than the original one, they can get property certification of house by construction cost * For the part that the resettlement floor area is less than the original one, they can get compensation fee at replacement cost (3) People who are user of public (unit-owned) house: * They can get the use rights of resettlement house without any charge * They can get transitional compensation during actual transitional period * They can get compensation for moving