esp handbook

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How is the ESP Performing in Your

Constituency?

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Acknowledgements:Special thanks to: Wanjiru Gikonyo, Elias Wakhisi, Dorah Nesoba

Thanks to the Open Society Initiative for East Africa (OSIEA) for financial support.Layout and design: J.J. Yofi

Graphics: Henry Opati (Kissinger) (c) The Institute for Social Accountability, 2010

www.tisa.or.ke

The Economic Stimulus Programme (Esp) This publication is designed to assist you as a member of the public, understand the Economic Stimulus Package, why it might not achieve its objectives and what steps you can take to monitor its use in your constituency.

Contents1.0 Understanding how the economy works pg. 32.0 What is the ESP? pg. 33.0 How is ESP performing in your constituency? pg. 44.0 Who manages the ESP? pg. 45.0 ESP Sector Programs pg. 56.0 Why ESP Might not Achieve its Objectives: pg. 77.0 The Role of Citizens in the ESP pg. 7Annex: Citizen ESP Score Card

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Understanding how the economy works1.0 The function of governments is to provide basic services to its citizens. These basic services are water, food, health, education, creation of business and job opportunities and security. In order for the government to provide these services it collects tax revenues from the citizens. This money is used to pay the salaries of government officials and finance development projects. A successful government is one which uses taxpayers money responsibly and is able to provide good services to its people and to pay its debts on time. In order to maintain good services for the public, the government needs to ensure that the economy is growing.Between 2003-2007, the Kenyan economy was growing quite fast. However, due to government corruption scandals and political unrest which resulted in the 2008 post election violence, businesses and investment projects collapsed. This was accompanied by prolonged drought which forced the price of food to rise beyond the means of most of Kenyans.All these setbacks called for immediate action from the government to restore the economy to its earlier status. Thus in the 2009/10 budget, Finance Minister Uhuru Kenyatta launched the Economic Stimulus Program [ESP] to stimulate the growth of the Kenyan economy through the rapid creation of jobs and business opportunities all over the country.

What is the ESP?2.0 The Economic Stimulus Programme [ESP] was introduced through the 2009/10 budget entitled ‘Overcoming Today’s Challenges for a Better Kenya Tomorrow’. The ESP is a government programme coordinated by the Ministry of Finance. Kshs. 22 billion has been committed to the programme. In order to be successful the ESP has identified numerous projects per constituency which will be funded with over Kshs.100 million in every constituency. The aim of the programme is to support local development projects in every constituency. The construction of these prjects will create employment and the finished projects will provide essential services, job and business opportunities and enough food at the constituency level. The ESP will support projects in the education, health and sanitation, food production, environment, local government, industrialisation and fisheries sectors.

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How is ESP performing in 3.0 your constituency?Unfortunately, many good initiatives in Kenya fail due to corruption. Sometimes poor planning will prevent the completion of a project due to disputes over land and so forth. The failure to involve citizens in local development is another cause of under development. Members of the public have a responsibility to monitor public development projects to evaluate how well public resources are being used and how to

improve performance. Local development projects such as the ESP should ensure maximum community participation. Citizens should audit the performance of ESP to ensure: Implementation of the projects is transparent; Members of the public are involved and well represented; That funds are managed accountably; Ensure projects are complete; That projects adhere to laid down regulations; To Prevent abuse of funds and corruption; and to measure the impact of the projectsThis publication is designed to assist you, the citizen, to effectively track ESP in your constituency. Using this book you will be able to establish how well ESP is performing in your constituency. First it is important to understand how ESP works, that is, which projects does ESP fund, who manages the projects and how you as the citizen can effectiely track those projects.

Who manages the ESP?4.0 The ESP is coordinated by the Minsitry of Finance at the national level. The Ministry is responsible for providing overall leadership for the whole programme. At constituency level, projects are managed either by the District Infrastructure Coordination Team for all education projects, or the Stimulus Project Management Committee [SPMC] which manages projects in all the other sectors.Stimulus Project Management Committee [SPMC]: The SPMC is responsible for: Identifying the appropriate location of the project using provided guidelines; Making recommendations for payments in consultation with relevant and technical Ministries to the District Accountant, through the CDFC; and Monitoring the implementation of ESP projects. SPMC composition: The SPMC is composed of the Member of Parliament as the patron, District Commissioner, District Development Officer, The District Public Works Officer, The CDFC Chairperson, CDFC Secretary and CDFC Treasurer, District Accountant, all Departmental Heads under whose docket the various projects fall, one person representing religious organizations in that constituency, Two men representatives from that constituency, two women representatives from that constituency, two persons representing the youth, and the CDFC Fund Account Manager as the focal point for information regarding ESP projects.Constituency Project Tender Committee [CPTC]: It is constituted by the CDF Account Manager. The CPTC is responsible for award of all the project contracts in the ESP.

ESP Sector Programmes5.0 a. EducationFocus : Improve the quality of education for all Kenyans. Implementing Ministry: Ministry of Education

Key Objectives of the ESPTo boost the country’s economic recovery and #return the economy back to the envisioned medium term growth path (10%);To expand economic opportunities in rural areas #for employment creation;To promote regional development for equity and #social stability;To improve infrastructure and the quality of #education and healthcare for all Kenyans;To invest in the conservation of the environment, #renewable energy and food Security;To expand the access to, and build the ICT #capacity of our people in order to expand their economic opportunities and accelerate economic growth.

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The Education sector program will not be implemented through the SPMC like other sectors but through the Ministry of Education framework. The ESP funds may be used for the construction of new school buildings or upgrading of exising facilities.Funds are disbursed from the Ministry of Education to target schools, which shall open a dedicated account for the ESP activities.Selection of projects will be made by the CDF Committee. Selection criteria for school projects include • Proof of ownership as public land (title deed/allotment letter)• Strong community support• High demand for schooling• Reliable water and electricity source (except rural school)Primary schools Projects will be managed by a School Managment Committee which is responsbile for making payments once the work is done. The committee should prepare a School Infrastruture Development Plan(SIDP) in conjunction with the community, and make community level procurement. Secondary School Projects will be implemented by the - BOG- Board of Governors which should make community level procurement. Monitoring of projects will be done by the DICT- District Infrastruture Coordination Teams, comprising departmental heads including PWO, PHO, WO, NEMA, School Auditor, Education Officer, District Accountant, Quality Assurance and Standards Officer.this committee will also provide the completion certificates upon project completion .

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Activity Cost per Unit [Kshs]

Unit per Constituency

Total National Cost [Kshs]

Reconstruct [upgrade] two primary schools in each constituency-with water harvesting facilities.

7,000,000 1 1.47 billion.

Reconstruct to upgrade to national level [centres of excellence] one secondary school in each constituency

30,000,000 1 6 billion.

Recruit 50 primary school teachers per constituency under a 3 year contract at Kshs.10, 000 per month.

120,000 50 1.26 billion.

Recruit 10 secondary school teachers per constituency under a 3-year contract at Kshs.14, 000 per month.

168,000 10 352 million.

Establish a Kshs.60, 000 tree funds for 20 primary schools in each constituency.

1,200,000 1 252 million.

b. Health and Sanitation


Unit per Constituency

Total National Cost [Kshs]

Construct 1 maternity, children’s ward plus admission office in 200 constituencies.

20,000,000 1 4 billion.

Recruit 20 nurses under a 3-year contract at Kshs.13, 000 for each constituency for preventive health care delivery.

156,000 20 655 million.

Purchase 5 motorcycles for preventive health services for each constituency.

80,000 5 84 million.

Purchase 20 bicycles to community health workers. 3,000 20 12 million.Provide medical kits for all health facilities. 5,000,000 1 1 billion.

The District Health Implementation Team (DHIT) under leadership of the DMOH District Medical Officer of Health is the key implementing body. It will identify dispensaries, supervise works, ascertain delivery of equipment, recruitment and deployment of nurses, and identify community health workers.Facility Management Committee(FMC) Each facility will have a Facility Managment Committee elected by the community to ensure sustainabiity. FMC members will be trained.Selection criteria for Construction Projects • The health centre to be identified by the stakeholders, • To own land not less than two acres, • To enjoy a catchment of at least 10,000 patients, • Must have a well establsihed outpatient section . c. Market StallsFocus – Addressing the missing markets and facilitating commerce, trade and rural enterprise development. Implemented by the Ministry of Local Government in consultation with representatives of all host Local Authorities will spearhead the implementation. Others include the Resident Engineer and the Project Architect.Activity Cost per

Unit[Kshs] units per Constituency

Constituency coverage

Total national cost [Kshs]

Construct fresh produce and wholesale markets in 210 constituencies.

10,000,000 1 210 2.1 billion.

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Key implementing agencies/offices: The Office of the Deputy Prime Minister and Ministry for Local Government in consultation with representatives of all host Local Authorities will spearhead the implementation. Others include the Resident Engineer and the Project Architect.Key Documents: The Architectural and Technical designs for the Markets.d. Food ProductionFocus - Reducing reliance on rain-fed agriculture. Implemented by: the Ministries of Agriculture, Water & Irrigation, Regional Development and Youth AffairsActivity Cost per

Unit [Kshs] units per Constituency


Multi-purpose regional development with initial rice/maize production at Bura, Hola, Pekerra, Tana Delta, Kibwezi, Ahero, West Kano, Bunyala, Mwea and South West Kano

2 Billion 2 billion.

e. Jua Kali Sheds Focus – Promoting Regional Development for equity and social stability through the establishment of Constituency Industrial Development Centres (CIDC). Implemented by: the Ministry of IndustrializationActivity Cost per




Construct 1 jua kali shed in each constituency. 2,500,000 1 210 525 million.Purchase welding and fabrication equipment for jua kali sheds in each constituency.

1,000,000 1 210 210 million.

f. FISHERIES DEVELOPMENT (Fish Ponds)Focus - Improving nutrition and creating over 120,000 employment and income opportunities. Implemented by: the Ministry of Fisheries Development

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units per Constituency



Construct 200 fish ponds in 140 constituencies for fish farming at a cost of Kshs. 40,000.

40,000 200 140 1.12 billion.

g. INFORMATION AND COMMUNICATIONFocus – Improving access and capacity for ICT useImplemented by - the Ministry of Information and Communication in conjunction with the Ministry of Education. (This project was later scrapped.)Activity Cost per




Purchase 1 mobile digital laboratory for secondary schools per constituency.

6,000,000 1 210 1.26 billion.

Why ESP Might not Achieve its Objectives:6.0 ESP projects have been marred with poor planning and a slow pace of implementation. Eleven months 1. down the line, projects that were supposed to have been funded are either incomplete or have not commenced.There is low community awareness and involvement in the projects funded by ESP. This can be traced 2. from the national office where initial plans were drawn without wide consultation with organs representing wanainchi. The ESP governance structure does not adequately provide for citizens involvement in the projects.There is poor flow of information on the progress of the ESP projects. Only a few people know about the 3. existence of the fund but still don’t know its objectives and the earmarked projects . Kenyans only know about the progress of the projects funded by ESP from the Parliamentary discussions or questions asked by Members of Parliament and through political rallies.There is confusion between projects funded by ESP and those funded by CDF since the Member of 4. Parliament is the patron of both funds. This confusion on the part of citizens provides for better campaign platforms for politicians.Projects are misplaced and do not meet the priorities of specific regions. Some constituencies (North 5. Eastern Province) would prioritise road networks to access markets for their goods and services since this is the only way they can sustain themselves without the government’s involvement.

The Role of Citizens in ESP Implementation7.0 The success of local development projects such as the ESP depends on the willingness of communities to participate in the projects from the start to the end. It also depends on the intergity of the local committee members. Local ESP committees should be representative and should ensure all stakeholders in the location are represented; they should ensure they have an equitable gender balance. An effective committe will have members with a diversity of skills and competencies able to administrate and implement development projects. Local committees should adopt an open information policy for all ESP records, reports and procurment.The community members should audit the performance of the ESP in their constituency. They should;

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Visit the local CDFC office and request a list of all ESP Projects in their constituency1. Regularly visit identified project sites2. Ensure projects comply with given selection criteria3. Establish if the ongoing construction is in line with the work plans, Bill of Quantities and contractor agreement.4. Establish names and contacts of members of the key ESP committees in their constituency.5. Establish a working relationship with the committees to enable ongoing sharing of information and monitoring. 6.

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Citizen ComplaintsGraphic: its your right to hold your local ESP committees accountable If the citizen audit process identifies irregularities, misuse of funds [corruption], ghost projects among other serious concerns, then the citizens should send a written letter of complaint, with supporting information to:

a. Education Projects District Education Officer Copied To The Relevant School Committee Chairperson, Copied To The Permanent Secretary,Ministry Of Education P.O BOX 30040-00100 NAIROBI Copied To The Permanent Secretary, Ministry Of Finance P.O BOX 3007-00100 NAIROBI

b. SPMC Projects The Chairperson,SPMC Copied To The CDF Fund Manager Copied To The Permanent Secretary Ministry Of Finance P.O Box 3007-00100 Nairobi Copied To The CDF Board CEO P.O Box 46682-00100 Nairobi.

c. Kenya Anti-Corruption Commission In cases of abuse of funds, the letter should be directed to: The Director, Kenya Anti-Corruption Commission P O Box 61130-00200 Nairobid. The Ombudsman Office/Public Complaints Standing Committee P.O Box 2011-00200 Nairobi

Recommendations: Citizen participation and engagement 1. processes should be strengthened because the success of any project depends on communities willingness to participate and own the projects from the start to the end. Proper communication channels should be 2. developed to ease access of information on the progress of the ESP projects.Complaints mechanisms that will assist 3. the public in reporting the progress of projects in case of irregularities, misuse of funds [corruption] and ghost projects should be established and strengthened.There should be quarterly expenditure briefings 4. on the fund made public and accessible to all citizens. The ministry of finance should also let Kenyans know the whereabouts of the proposed but scrapped mobile computer lab under the Ministry of Information and Communication.

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ANNEX: Citizen ESP Score CardASPECT QUESTION GUIDE ASSESSMENT

Introduction

Name of the ESP ProjectNames of ESP social auditors/teamsDate of social audit:ConstituencyName of Location/Sub-location/village

RepresentationWho are the Members of the Stimulus Project management committee [SPMC} of the project?Who are the Members of the Constituency Project Tender Committee [CPTC]?

Information sharing

Did SPMC/CPTC avail the needed information to enable project beneficiaries monitor ESP projects? namely :

List of ESP projects implemented in the constituency giving name, location and • amounts Names of project members namely (CPTC/SPMC) • List of contractors awarded projects • Description of materials procured for the project and expenditure on each.•

Citizen Participation

What ESP sensitization activities were undertaken?How were they publicized?Were citizens involved in project selection? How?Were the community members involved in the implementation process? Incase so, how?Are citizens able to obtain information on ESP projects and status upon request?

Transparency

Does the project have a BQ, work plan?Does project have an accountability board?Are tender records in accordance with procurement guidelines?Are project specifications in line with Work plan? BQ?Did all workers receive their payments as indicated?Did relevant committee refuse to avail the information? Specify

Status of Project

How many of the listed projects have taken off? Complete?How many of audited projects have taken off, complete? Status?If stalled or incomplete give reasons?Observations and comments (In terms of quality, quantity and timeliness)

SustainabilityIs the project useful, relevant to project beneficiaries- elaborateWho will manage the project once it’s completed?What are the long term benefits of the project?