Government of the Peoples Republic of Bangladesh Ministry of Disaster Management and Relief

COMPREHENSIVE DISASTER MANAGEMENT PROGRAMME 2010-2014 (CDMP-II)

Review of

Local Disaster Risk Reduction Fund in Bangladesh

Findings and Recommendations

Krishna S. Vatsa, RDRA, BCPR

2011

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ComprehensiveDisasterManagementProgramme,PhaseII

AReviewofLocalDisasterRiskReductionFundinBangladesh:FindingsandRecommendations

KrishnaS.Vatsa,RDRA,BCPR

LDRRF:AnInnovativeFundingMechanismThe Local Disaster Risk Reduction Fund (LDRRF) came into existence as an innovative fundingmechanismunder theComprehensiveDisasterManagementProgramme (CDMP),amultidonorDRMprogrammeimplementedbyUNDPinBangladeshduring200409.Itskeyobjectivehasbeentosupportthe implementation of risk reduction measures identified by vulnerable communities. The LDRRFprovidessmallgrantstotheNGOs/localgovernmentswhichimplementriskreductionmeasuresatthecommunity level.Grantsare sanctionedon thebasisofRiskReductionActionPlan (RRAP)developedthrough Community Risk Assessment (CRA), the tools developed under the CDMP to identify andaddressrisksatthecommunitylevel.ImplementingtheRRAPthroughtheLDRRFprovidesapracticalandconcretedimensiontocommunitybased disaster risk management. It demonstrates to the local authorities the viability of acomprehensive disaster risk reduction approach. Funding high priority disaster risk reductioninterventionsgivesthelocalDisasterManagementCommitteesattheUnionCouncilandvillagelevelanopportunity to get involved with the implementation of these measures. This encourages localauthoritiestotakeownershipofdisasterriskreductioninitiativesandincreasesthelevelofcommunityparticipationinsuchprogrammes.Multiple structural mitigation measures, largely in the nature of improving certain facilities orinfrastructure at the village level, have been implemented through the LDRRF. Till now, LDRRF hasprovidedfundsfor562riskreductioninterventionsspreadacross16districts.Theseinterventionshavebeen implemented through a network of 44 NGOs and 39 Union Council Disaster ManagementCommittees.ThetotalfundsanctionedthroughtheLDRRFsofarisapproximatelyUS$5million.LDRRFsAppraisalThough the LDRRF has provided a practical vehicle for supporting communitybased risk reductionmeasures,anumberofweaknessesinitsfunctioninghavebeenidentified.Theseweaknessesrelatetoitsimplementingpartners,andtheirlackofinvolvementwiththe localgovernmentsandcommunities.Theyhave implemented risk reductionmeasuresmoreasexternalagencies throughhired temporaryprojectstaff,with littlegrassrootsconnection.Therewasadelay inthesanctionoftheproject,whichhamperedtimelyimplementationofinterventions,particularlyinfloodaffectedareas.However, someof theseperceivedweaknesses couldbeattributed to the conceptualand schematicshortcomingsofLDRRF.TheCRAandRRAPhavebeendriversof theLDRRFprojects,which ipso factoreflect limitations of the approach. The CRA and RRAP have employed narrow concepts of risks,articulatedlargelyatthecommunitylevel,predominantlyperceptionbased,andrecommendingoneortwo structural mitigation measures in a village or community. The LDRRF follows these

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recommendations in a rather mechanical way, implementing those structural measures, which aregenerallystandaloneinterventions,anddonotconstituteanintensiveefforttoreducerisks.Schemes under the LDRRF have been approved through Request for Proposals (RfPs) advertised innewspapers,which received a large number of responses from different parts of the country.1 Theprocessmade itdifficulttoassignprioritytodifferentriskproneareasandvulnerablecommunities inBangladesh,whichneed tobe supported through the LDRRF. Itsdiffused anddispersed approach toimplementation reduced the overall impact of the programme. Further, the project approvalmechanismsaswellastheoversightstructureoftheprogrammeappearedtechnicallylaxanddeficient.TheLDRRFdidnotpursueknowledgemanagement,despiteimplementingalargenumberofprojectsinthefield,andtherewas littleefforttoshare itsexperiencesacrosscommunitiesanddisseminategoodpractices.AssomeoftheseweaknesseswerevisibleinthefunctioningoftheLDRRF,UNDP,Bangladeshrequestedthe RegionalDisaster Reduction Advisor, BCPR, to undertake a critical review of the existing LDRRFguidelines and to support the development of revised LDRRF through clear and actionablerecommendationsbasedon the lessons from the firstphaseofCDMPand internationalbestpractice.The reviewwouldproduce a reportwith clear and actionable recommendationshighlightingways inwhichlessonsfromphaseI,stakeholderviewsandinternationalbestpracticecouldbeincorporatedintorevisedguidelinestosupporttheLDRRFprogrammeoverthenextfiveyears.Theserecommendationswould be specific and relevant to the context of Bangladesh and consistent with the establishedframeworkunderwhichtheLDRRFmechanismoperates.TheRDRAsreviewmissionwasscheduledfrom22Octoberto29October,2010.Duringthemission,afieldvisitwasorganizedtoCoxsBazar,whichprovidedanopportunitytotheRDRAtovisitatleastfivevillages inwhich risk reductionprojects sanctioned through theLDRRFwere implemented.TheRDRAalsomettheCDMPstaff,responsiblefor implementingtheprojectactivitiesandsoughttheirviewsonthe functioningof LDRRF. Therewas a consultativemeetingwith the implementingpartners, largelyNGOs,whichalsoprovidedaperspectiveontheissueswhichariseincourseofimplementingtheLDRRF.Themissiondebriefedtheseniormanagementaboutitskeyfindingsandrecommendations.RiskandVulnerabilityinBangladesh:TheContextforLDRRFBeforethereportmakesspecificrecommendationsrelatedtothedevelopmentofrevisedLDRRF, it isimportant tounderscore the conceptual importanceof LDRRF as a financialmechanism for reducingrisks and building resilience in the overall context of vulnerability in Bangladesh. The LDRRF shouldemergeasalongstandingentityforbuildingresilienceandreducingrisksinthecountry.Itshouldhaveaclearvisionandstrategy,awelldevisedimplementationmechanism,andamonitoringandevaluationsystem.Also,theLDRRFneedstoreflectsomeofthebestpracticesinfinancialservicesandmechanismsfordisasterriskreduction.Asdisasterriskreductionhascometodevelopsignificantoverlapswithsocialprotection, and climate change, the LDRRF also needs to evolve as a mechanism which effectivelyintersectsthesethreeareasinBangladesh.

1Forthefirsttime,projectproposalswereinvitedfromNGOs,AcademicInstitutions,ResearchOrganizationsandGoBorganizationsthroughnewspaperadvertisement(TheDailyStar&ProthomAlo)on9September2005.

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Asitiswellknown,Bangladeshisadisasterpronecountrythatisaffectedalmosteveryyearbyseveralnaturaldisasters.Locatedbetween theHimalayasand theBayofBengalandwith threemightyrivers(Ganges,Brahmaputra,andMeghna)convergingonitsterritory,Bangladeshispronetofloods,cyclone,rivererosion,etc. Overthe last20yearsBangladeshhasbeenhitby6majordisasters(4floodsand2cyclones) affecting millions of people. In recent years, climate change has affected the coastalBangladeshbyingressofseawater,andlargetractsoflandbeingrendereduncultivableduetosalinity.Atotalof40%ofthepopulationapproximately60millionpeopleliveinpovertyinBangladesh,and25% of these are classified by the government as extreme poor. More than 50% of the poor inBangladeshare rural landlesshouseholdswhich spendalmostonethirdof their totalbudgeton rice.Moreover, landlessness is increasing and alternative employment in villages is limited. Economicpressures,alsoaresultofnaturalphenomenasuchasrivererosion,aredrivingmigrationtourbanareas.RegionaldisparitiesinBangladesharesignificantandhavebeenincreasing:whereasthepovertyrateatthenationallevelis40%andtheextremepovertyrateis25%,intheriverineislandsinthenorthwestofthecountrytheseratesareestimatedat86%and78%,respectively.2Theextremelypoororbottom1020%areusuallythemostvulnerable.Amongstthemwomen,children,theelderlyand someethnicand religiousminoritiesareparticularlymarginalizedandexcluded.Overthepast10yearsforevery3 liftedoutofpoverty,2fellback

duetosuddenhealthandothershocks.

Owning fewer assets and without access to entitlements such as effective health care, qualityeducation, ahygienic latrine, safedrinkingwater, and socialprotection these are thepeople leastbufferedagainstshocks.InBangladesh,riskswhichaffectthe livesofpoor largelyarisefromhazardeventsandvulnerabilityofassetslivelihoodstohazards.Riskscouldbereducedonlywhenthe impactofhazardeventscouldbeprevented / mitigated or when the people have the necessary ability/capacity to recover from itsnegativeimpacts.Theseobjectivescouldbeachievedonlythroughbuildingassetsandlivelihoodsatthehouseholdandcommunitylevels.Riskmanagement,which includes risk reduction,mitigation,andcoping,canbe implementedexante(actionstakenbeforeariskyeventoccurs)orexpost(actionstakenafterariskyeventoccurs).Exantestrategies include (i) risk reduction through actions that reduce thehouseholds susceptibility to risk(cycloneshelters,floodpreventionorcontrolmeasures,etc.)or(ii)riskmitigationthroughactionsthatmoderateoroffsetwelfarelossesfollowingrealizationoftheevent(disasterinsurancethatispurchasedexante and payoffs occur expost). Expost strategies are associatedwith coping and recovery thatfollows a disaster event.3 Assistance for relief, recovery, and reconstruction are typical expost riskmanagementmechanisms.LDRRF:AVariantofSocialFundTheLDRRFneedstobeconceptualizedasanexantemechanismwhichcansupportriskreductionandmitigationmeasures inBangladesh. Ithas thepotential fordeveloping into a fullfledged social fundwithasignificantdifferencethatmostofsocialfundssuchasPakistanPovertyAlleviationFund(PPAF)ortheHonduranSocial InvestmentFund (FHIS)weresetup forsocialprotectionandpovertyalleviation,

2ThedatarelatedtopovertyandlandlessnessarecitedinareportGenderedrisks,povertyandvulnerabilityinBangladesh,broughtoutbyODI(October,2010).3SiegelandAlwang,1999

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andwereaccessedforrecoveryandreconstructionassistanceinthewakeofalargescaledisaster.TheLDRRF,however,hasaspecificfocusondisasterriskreduction,and ithasnotbeenaccessedforreliefandrecoveryassistance.Italsoneedstobedistinguishedfromacatastrophic/emergencyreservesuchas theFund forNaturalDisasters (FONDEN) inMexico.TheLDRRF functionsasan integralpartof theCDMP,andithasnotyetemergedasanautonomousentity.Socialfundsareautonomousagenciesorprogramsthatchannelgrantstocommunitiesforsmallscaledevelopment projects. They are typically used to finance amixture of socioeconomic infrastructure(e.g., building or rehabilitating schools, water supply systems, roads), productive investments (e.g.,microfinance and incomegenerating projects), social services (e.g., supporting nutrition campaigns,literacyprograms,youthtraining,supporttotheelderlyanddisabled),andcapacitybuildingprograms(e.g., training for communitybased organizations, nongovernmental organizations (NGOs), and localgovernments).4Social funds generally use sub communitydriven development approaches to ensure the activeparticipationof localactors.Communitydrivendevelopment isadevelopmentapproachthattransferscontrol over resources and decisionmaking from central agencies to communities. The approachfocuseson improvingpeoples livelihoodsthrough improveddeliveryofpublicgoodsandservicesandmore sustainable community assets. Support is usually focused on the poorest andmost vulnerablecommunities.5SocialFundsSupportforDisasterRiskReduction:6AVisionandStrategyforLDRRFA revampedLDRRF, therefore,needs toexpand the scopeandambitof its interventions to includeawider range of interventions such as socioeconomic infrastructure, productive investments, socialservices, and capacitybuilding programmes. However, these interventions need to be planned andimplementedinthecontextofriskandvulnerabilityinBangladesh.TheLDRRFneedstoemployabroaderconceptofrisks.Itshouldincludenotjustphysicalrisks,butalsosocialrisksassociatedwith livelihoods,health,andeducation.Thisbroadensthescopeofdisasterriskreduction,andincludesissuesrelevanttosocialprotectionandclimatechangeadaptation.

4Theroleofsocialfundsinsupportingrevivalandrestorationoflivelihoodsinpostdisasterphasehasbeendiscussedinaforthcomingpublication,GuidetoLivelihoodsandEconomicRecoveryinCrisisandPostCrisisSituations,preparedbytheBCPR,UNDP.5DeSilvaandSum,20086Burton,Cynthia,2010.

Anumberofsocialfund/CDDsubprojectshavehelpedcommunitiesandlocalgovernmentsundertakestructuralmeasurestolimittheimpactofnaturalhazardsandenvironmentaldegradation,suchastheconstructionoffloodresistantpublicbuildingsinVietnamthroughProgram135andlocalirrigationsystemsinsouthernMalawithroughtheMalawiSocialActionFund.Physicalworkssuchasseawalls,landterracing,reforestation,drainagechannels,andretainingwallscanmakeabigdifferenceintheprotectionofcommunities.MadagascarSocialFund(FIDIII),wasusedtotrainlocalsmallcontractors,artisans,skilledlaborers,andNGOsonvariousaspectsofinfrastructureconstruction.

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TheLDRRFneeds todevelopstrong linkageswithdevelopmentandpovertyalleviation,so that itcanbuild resilience, and pursue Noregrets approach to risk reduction. It should, therefore, pool itsresourceswithotherprogrammesorinitiativesledbygovernmentandNGOs.The LDRRF needs to develop benchmarks for pursuing gender equity and social inclusion. A specialattention to these issues will help the LDRRF to keep its focus on womens participation andempowermentaswellasincludeethnicminoritiesandtribalgroupsinitsprogrammes.At the level of implementation, the LDRRF needs to revise its strategy to include followingconsiderations:

Pursue interventions which address disaster risk reduction, climate change adaptation, andsocialprotection together,whetherornothazards/risksare realized in future. Followa Noregretsapproachtotheseissues.

Include householdlevel measures for risk reduction in its programmes; its support for

communitybasedriskreductionshouldbepursuedalongwiththehouseholdlevelvulnerabilityreduction (support for livelihoods diversification, enhanced support for access to financialservices,assistanceforstrengtheningofindividualhouses,etc.)

Develop partnerships with NGOs, academic institutions, and government agencies for

conceptual, technical, and oversight support; however, the interventions should largely becommunitydrivenandcommunityowned.

Improvetargetingoftheseinterventions.Anemphasisonpovertyandvulnerabilitytargeting,as

wellassocialinclusivenessshouldmeanthattheLDRRFincludesthosecommunitiesandgroupswhicharemostatriskofbeingaffectedbyanaturaldisaster.

Emphasizebuildingofassetsanddiversificationof livelihoodsathousehold level,andsupport

developmentofsocialcapital/organizationatcommunity level.These interventions togetherhavemoreimpactonbuildingresilienceofhouseholdsandcommunities.

Plan for an optimal level of investment in risk reduction. It will help support a cluster of

interventions, rather than just one intervention, which reduces risks at the level of bothhouseholds and communities. These interventions could be a combination of structural andnonstructuralmeasures.

Aimforvisibilityandimpact.Itisimportanttoidentifyandsupportprojectsinawaythatmakes

avisibleanddemonstrableimpactonlocalrisks.AnumberofgoodexamplesofriskreductionatthecommunitylevelwouldgeneratesupportforexpandingtheLDRRFoutreachinotherregionsofBangladeshaswell.

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LDRRFsAreasofSupportAtpresent, theLDRRF issupporting largelysmall infrastructureprojectswhich reduce risks related tospecifichazards.Itisgenerallyoneinterventionpreferredbythecommunityorlocalgovernment,whichaddresses a perceived risk. The LDRRF should support its interventions in the following areas on anintensivebasis:

Developing the physical infrastructure to reduce asset losses (e.g., minor flood protectionstructures;drainagesystems;accessroads;communityshelter,etc.);

Assistingdisasteraffectedcommunitiestoprotecttheir incomeandassetsthroughhouseholdspecificassistance(strengtheninghouses;securingmarkets;protectingnaturalresources,etc.);

Strengthening the capacity of local institutions to reduce andmanage the impact of shocks,including improving communitylocal government linkages in disaster management planningand implementation (localDM planning; locallevel earlywarning system; search and rescuecapacity,etc.);and

Increasingaccess tobasicsocialservices (e.g.,publichealth,sanitation,education)andmicrofinance/microinsuranceservicestobuildlivelihoodsecurityandresiliencetocopewithshocks,where investment in these areaswould improve theoverall impactof communitybased riskreductionmeasures.

ProjectIdentification,Preparation,andAppraisal

TheLDRRFprojectsshouldbedevelopedonthebasisofriskandvulnerabilityassessmentmappingofBangladesh.Anexercise identifyingrisksandvulnerabilityofdifferentdistrictsshould leadtoselectionofdistrictsfortheLDRRFprojects.Generally,thosedistrictswhichareexposedtotwoormorehazards(cyclone, floods,rivererosion,etc.)shouldbegivenpriority forproject formulation.Therearecertaindistricts, particularly in coastal areas,which aremore likely to be affected by climate change. SuchdistrictsshouldbeassignedhighpriorityfortheLDRRFsconsideration.

Undertherevisedscheme,LDRRFshouldnot:

1. JustbeguidedbytheCRAandRRAP.Theseexercises,astheyareconductedtoday,provideaverylimitedviewofriskandvulnerabilityatthecommunitylevel.

2. Seek proposals by inserting advertisement in newspapers. It results in receiving alarge number of proposals which have no strong risk context. It then becomesessentiallyanarrangementbetweentheLDRRFandNGOs.

3. Implement just one standalone intervention in a village / community, withoutanalyzing its impacton theoverall risk reductionwithin thevillage/communityortakingintoaccountlinkageswithotherinterventions.

4. Just support communitylevel projects. It should include a few householdlevelinterventionstoincreasetheoverallimpactofitsinterventions.

5. Justprovidefinancialsupportfortheprojects.Itisnotjustafundingwindow;itisamechanismforimplementingcommunitybasedriskreductionprojects.

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Withinthesedistricts,UpazilasandUnionCouncilsneedtobeidentified.Othercriteriasuchaspoverty,inaccessibilityofsettlements,andcompositionofpopulation(ethnicminorities,tribalpopulations,etc.)shouldalsobetaken intoconsiderationwhile identifyingUpazilasandUnionCouncils.AnUpazilaorUnionCouncilshouldbetakenasageographicalunitforplanningandimplementingLDRRFprojects.TheLDRRFmanagementshouldascertainhowmanyprojects itcanapproveand implement inayear.Theseprojectswouldhave varying timeframe for implementation, fromone year to three years.Atpresent,themaximumtimeframeforLDRRFsprojectistwoyears.Anannualdisbursementplanneedstobeprepared fornewandoldprojects.Thenumberofprojectsapprovedshouldnotbemore thanwhattheLDRRFcantechnicallysupportandmonitorwithitsownresources.The projects should be developed in these districts on the basis of feasibility and impact of riskreductioninterventions.TheLDRRFshouldconducttheCRAandprepareRRAPinpartnershipwithlocalagenciesforformulatingtheriskreductionproject.TheseexercisesneedtobetakenattheleveloftheUnionCouncil.TheRRAPshould includeanumberofactivities identifiedthroughCAR,whichcombinestructural and nonstructural, and communitybased aswell as householdspecificmeasures. Theseactivities should be identified on the basis of consultations with stakeholders, which would includecommunities,thelocalgovernment,andNGOs.Aprojectproposalshould includebaseline informationthroughriskandvulnerabilityassessment,andestablish indicatorson thebasisofwhich theproject canbemonitored.Thedetailsof implementingpartner,fundflow,andlocalsupport/facilitationshouldalsobeincludedintheproposal.ProjectApprovalAt present, there are two committees, namely, the Technical Review Committee and the LDRRFApprovalCommittee,forselectingandapprovingtheprojects.TheTechnicalReviewCommittee(TRC)isestablished for initial review and screeningofproposals. It consistsof the LDRRF FundManagementSpecialist,andworkinglevelrepresentativesfromtheDisasterManagementBureau,Policy,Programmeand PartnershipDevelopmentUnit (PPPDU) of the CDMP, andUNDP. The TRC performs the initialreview and screening of proposals following the selection criteria and then shortlist proposals /implementing partners themewise. Once endorsed by the TRC, it forwards a letter signed by theChairperson to the LDRRFApprovalCommitteewith attachmentofdocumentsmentioning activities,proposedworkingarea,outputs,andbudgetforfinalapproval.TheLDRRFApprovalCommitteeistheapexcommitteetoapproveproposalsforLDRRFfunding.HeadedbytheChiefTechnicalAdvisorofCDMP,theLDRRFApprovalCommitteecomprisesrepresentativesfromtheMinistryofFoodandDisasterManagement(MoFDM),UNDP,membersfromthecivilsociety,PPDU,andincludestheLDRRFFundManagementSpecialist.Thecompositionofthesetwocommitteessuggeststhattheinstitutionsinvolvedwiththescrutinyoftheproposals are the same; it is just that their levels have changed. Their hierarchical naturemakes itdifficultforthemtobringindependentperspectivestothescrutinyoftheproposals.Inorderthattheproposalsarerigorouslyscrutinized,itisrecommendedthatthecompositionofthesetwocommitteesbechanged.TheTRCshouldactuallybeacommitteeofexternalexpertswhoprovideobjective opinions on merits of the proposal. Only the LDRRF Fund Management Specialist shouldparticipate in themeetingof TRC. Theproposed implementingpartner shouldpresent theproposal,

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explaininghowitconformstotheguidelinesforLDRRF.TheminutesoftheirexpertopinionsshouldbepresentedtotheLDRRFApprovalCommitteeforitsconsideration.TheTRCwillscrutinizetheproposaltoensurethatthefollowingrequirementsaremet:

TheprojectisconsistentwiththeLDRRFobjectivesandstrategy; Itiscommunitydriven; Ithasadequatelinkageswithlocalgovernment; Ithasbeendevelopedonanadequatescalethatwouldreducerisksandvulnerabilities; ItscomponentsreflectCRAfindings; Itincludescomponentswhichreducedifferentkindsofrisksandfocusesonvulnerablepeople; Itprovidesabaselineandindicatorsonthebasisofwhichtheprojectcanbemonitored;and Itaddressesgenderequity,socialinclusion,anddisabilityissues.

The LDRRF Approval Committee should be headed by the Secretary, Ministry of Food and DisasterManagement (MoFDM). Its other members should be the Programme Manager, CDMPII, AssistantCountryDirector,UNDP,Director,DisasterManagementBureau,ProjectManager,LDRRF,onetechnicalexpert,andacivilsocietyrepresentative. TheApprovalCommitteeshouldevaluatetheproposalfromthe point of view of its geographical coverage, selection of implementing partner, total investment,scaleofintervention,andappropriatenessofsuggestedactivities.Theassignmentof leadership role in the LDRRF to thegovernment representativemayhave itsownrisks,butitsadvantagesclearlyoutweightheserisks.First,theLDRRFwouldbecomeamorenationallyowned mechanism for risk reduction. Second, the government will be able to establish a greaterconvergenceof LDRRFwith itsownprogrammes forbetter results.Third,over aperiodof time, thegovernmentcouldalsoconsidercontributing itsownresourcestotheLDRRFanddevelop itasa longstandingmechanism.LDRRFsupportedProjectComponentsThe existing LDRRF guidelines provide a diverse list of activities that can be supported through theLDRRF. These activities include support for structural and nonstructural mitigation such asconstruction/renovationofcommunityshelter,raisingplinthofhousesabovefloodlevel,identificationof emergency evacuation route from risk areas to emergency shelters, diversification of livelihoods,provision of safe drinking water and sanitation, and promoting risk awareness initiatives at thecommunity level.Theseguidelines,however,discourageactivitieswhich involverevolvingfundsoranytypeofcredit/savingsrelatedactivities,emergencyreliefandresponseactivities,andprojectinitiatedandimplementedbyanindividual.Whatneeds to improveundertherevisedLDRRF isthescaleandcombinationofactivities. Insteadofimplementingmorethan500independentprojects,theLDRRFshouldconsiderimplementing50to100projects on amuch larger scale. It should combinemitigation, livelihoods diversification, access tofinancial services, formation of social networks, and public awareness in a way that reinforces andconsolidatesriskreductionandbuildsresilience.AnumberofmeasureswhicharegenerallyincludedinthecategoryofsocialprotectioncanalsobesupportedthroughtheLDRRF.Theseinterventionsshouldcover several villages and larger communities within the Union Council. A more integrated andconnectedapproach to risk reductionwould improve thevisibilityand impactofLDRRF interventions

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and make its impact felt over a larger area. These interventions need a clear correlation with riskreductionandbuildingresilience.The LDRRF can also assist communities by facilitating linkages to microfinance and microinsuranceprogrammes, which offer particular opportunities in the context of Bangladesh. Some innovativepractices such as health and housing insurance for the poor andweather derivatives could also beintroducedthroughthisfund.One of the ways in which local ownership of the programme can be enhanced is through thecontribution of local government or community. In course of approving the interventions, localcontribution / facilitation should be a critical consideration. The LDRRF should encourage localgovernment / communities to be active stakeholders, and provide financial or inkind contribution.Thoseproposalsthatincludelocalparticipationandaccountabilityshouldbegivengreaterpreference.Thoughthe ImpactAssessmentReportforLDRRFhasacknowledgedgenderdiscrimination inmarginaland vulnerable regions such as Chars, it does notmention how the LDRRF has addressed the issue.Duringthemissionvisittoo,itwasnotclearhowgenderequitywasincludedintheimplementationofLDRRFactivities.Therevisedprogrammeneedstoincludeconsiderationsofgenderequityandassignastronger role to women in implementing the programme. In the scrutiny of the LDRRF proposals,inclusionofgenderequityshouldbeoneofthekey issuesforappraisal. Similarly,theparticipationofethnic minorities, tribes, and physically disabled people are other important considerations forapprovingaproposalthroughtheLDRRF.AdaptationtoClimateChangeThe impact of climate change is already visible in Bangladesh, particularly in the coastal areas. Theingressofseahasadvanced,and largetractsofpaddy landareundersalinewater.The inundationofcoastal areas has resulted in displacement of populations and shrunk their livelihood opportunities.These impactswould increase transient and chronic poverty in the region, as households find theirtraditionalassetandincomebasesfurthererodedandfaceneworincreasedrisksthathaveanegativeeffectontheircopingcapacities.Climatechangehasbroughtuptheneedforimplementingadaptationmeasuresatthelocallevelonanurgent basis. It is likely that the people have a clear understanding of adaptation actions and havedevelopedmultiplestrategies,butareconstrainedby lackofresources,knowledge/skills,andculturalbarriersinaccesstoservices,suchasagriculturalextension.Theycanalsobeaffectedbylackofaccesstoearlywarningandotherpreparednessinformationforweatherrelatedrisks.TheLDRRFneedstoconsidersupportforclimatechangeadaptationalongwithdisasterriskreductionandsocialprotection.Itshouldsupportprojects inthoseareaswhicharemost likelytobeaffectedbyclimate change impacts.Such supportwould include investment inearlywarning system, livelihoods,nonconventionalenergy,watermanagement,etc.Itshouldalsosensitizeofficialstotheimportanceofinvesting in climate change adaptation, as a key element of disaster risk reduction / development /povertyreduction.

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BuildingPartnershipsandDevelopingLocalCapabilitiesAspertheexistingguidelines,anumberofstateinstitutions,DisasterManagementCommittees,NGOs,CBOs,academicbodies,andprivatesectororganizationscanapplyforfundingfromtheLDRRF.Incourseofimplementingtheprogramme,itistheNGOswhichhavemostlypartneredwiththeLDRRF,thoughafewacademicinstitutionstoohavereceivedfinancialsupportfortheirresearchbasedprojects.A largenumberofeligiblepartnersprovide the LDRRFwith sufficient flexibility.But theNGOswhichhave worked with the LDRRF are not locally based, and have implemented programmes largely asexternal agencies.After completing theprogramme, theseNGOshavewithdrawn. The approachhasdiminishedthelocalimpactofLDRRFinterventions.Under the revised programme, the LDRRF should develop partnerships with local governments andother local community organizations. Itwill improve the sustainability of LDRRF interventions. If theNGOsparticipateintheprogramme,theyshouldfacilitatetheprocess,andprovidetechnicalassistance.TheLDRRFcancarryoutsignificantcapacitybuildingfunctions.Itcansupportthedevelopmentoflocalcapacitiesinthefollowingways:

Assisting local governments and communities to design and implement interventions thatincludeprevention,preparedness,mitigation,andclimatechangeadaptationactivities;

Building the capacities of local institutions to coordinate effectively with the nationalgovernment,includingsupportinglegislation,policies,systems,andprocedurestomitigaterisksandfacilitatecoordinateddisasterresponseduringtimesofemergency;

Developing and implementing public education programs to raise awareness of risks fromnaturalhazards,includingclimatechangerelatedrisks;

Trainingcommunitiesandgovernmentstodevelopskillsandcapacitiesindisasterpreparedness(includingearlywarningsystems),emergencyresponses,andclimatechangeadaptation;and

Forming partnershipswith communities, government,NGOs, and the private sector to guidetheseefforts.

ConvergencewithGovernmentProgrammesandMDGsBangladeshhasarangeofsocialprotection/safetynetprogrammes,whichare implementedthroughtheMinistry of SocialWelfare, theMinistry of Food andDisasterManagement, and theMinistry ofWomen and Children Affairs. Many of the programmes are also implemented in collaboration withNGOs and are often cofinanced by donors. Existing social protection / safety net programmes arelargelycashandfood/inkindtransfers.Cash transferprogramming includesconditionalcash transfers forgirlseducation,unconditionalcashtransfers(pensions)fortheelderlyandcashforworkprogrammesfortheworkingagepopulation.Thelargestsafetynetinterventions,however,remainfoodbasedtransfers,especiallythoserelatedtopostdisaster relief. Food/inkind transfer programmes are often combinedwithmicrocredit programmesdesigned to enable individuals to start up small businesses. Programmes include food forwork; theVulnerableGroupDevelopment (VGD)programme,which includes foodsupporttowomenwhiletheyattendtrainingclasses;theVulnerableGroupFeedingprogramme,whichprovidesfoodtohouseholdsin

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theaftermathofadisasterwhenagriculturalproductionhasbeendisrupted;andtheTestRelieffoodforworkprogramme.7The LDRRF should work towards establishing linkages with these social protection/safety netprogrammes.Theseprogrammeswouldbringgovernmentresourcesandsupportwhichwouldreinforcethe LDRRF interventions, and provide it greater sustainability. It is important that the LDRRF shouldgraduallypromotethesegovernmentprogrammestoachievetheLDRRFobjectiveswithoutcommittingitsownresourcesonalargescale.TheLDRRFshouldestablishalinkagewithUNDPsotherprogrammes,whichwillmakeitsinterventionstargetedatassetbuilding andmoredevelopmentoriented. It shoulddefine someof its indicators intermsofMillenniumDevelopmentGoals(MDGs)suchasaccesstoeducation,health,andsanitation.AdistinctattentiontotheMDGswillhelptheLDRRFtoprovidebroadbasedsupportforwiderangingriskreductionmeasures.AugmentingTechnicalCapacityAtpresent,theLDRRFissupportedbyjustonetechnicalstaff,theLDRRFFundManagementSpecialist.Inviewofa largenumberofprojectsforwhichtheLDRRFhasprovidedfinancialsupport,thecurrentstaff support is clearly inadequate. The LDRRF will need to provide technical assistance to itsimplementing partners so that they can professionally develop and implement proposals, seekconnectionwithotherprogrammes,andbuildgreaterconvergenceintheirapproach.TheLDRRFshouldaugmentitstechnicalandprojectmanagementcapacitybyhiringconsultantsanditsownstaff.Itcanprepareapanelofsectorbasedconsultants,whocanhelplocalgovernmentsandNGOsin developing their proposals. It also needs to hire at least three key national specialists, who willprovidesupporttotheLDRRFfor:

a.developmentandfinalizationofproposals;b.monitoringandevaluationofprojects;andc.resourcemobilizationandpartnerships.

ThesespecialistswillbeabletosupporttheLDRRFformorespecializedfunctionsandcontributeto itsfutureasalongtermfinancialmechanism.MonitoringandEvaluation(M&E)ArrangementsThe LDRRF needs to improve the M & E arrangements for its projects. At present, its projects aremonitored largely through the LDRRF FundManagement Specialist.Considering thenumberofmorethan500projectssupportedbytheLDRRF,itisaninadequatearrangement.Thesearrangementsneedtobestrengthenedthroughinvolvementofexternalreviewersinsupervisingtheprojects.Atpresent,eachproject isrequiredtosubmit itsquarterlyprogressreport.Thearrangementneedstocontinue. However, the quarterly progress report needs to be reviewed and crosschecked throughphysicalvisitstoprojectsites.SinceitisnotpossiblefortheLDRRFstafftovisittheprojectsitessomanytimes,amorefeasiblearrangementwouldbetohireexternalexpertsforreviewingtheprogramme.Apanelofsuchexternalexpertsneedstobeapproved,andtheycouldbeaskedtovisittheprojectsites

7BangladeshBureauofStatistics(2008)SurveyonSocialSafetyNetsProgrammesinBangladeshDraft.Dhaka:BBS

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onaquarterlybasis.TheLDRRFstaff including theM&EExpertworking for theCDMPIIshouldalsovisitaselectnumberofprojects.Foreachproject,midtermandcompletion reports shouldbepreparedand theprogressachieved inprojectimplementationshouldbereviewedindetailbytheLDRRFmanagement.TheLDRRFshouldalsoprepare an annual review report based on its project implementation, disbursements and theachievementofitsoverallobjectives.An ImpactAssessmentReporthasbeenprepared for theLDRRF.However, in termsofdatacollected,methodologyadopted,andfindingspresented,thereportisnotmeticulousandrichindetails.Itleavesoutseveralimportantaspectsoftheprojectimplementationsuchastheoverallimpact,implementationstrategy,linkageswiththelocalgovernment,andNGOssupportandaccountability.ItisnecessarythattheLDRRF isperiodically reviewedandevaluatedonseveralparameters.Adetailedevaluationof theLDRRF on the basis of a large number of projects implemented is overdue. Similarly, a number ofimpactsstudiesneedstobecommissioned.ThesereviewsandevaluationstudieswouldhelptheLDRRFtocorrectitscourseofimplementationonacontinuousbasis.TheLDRRFshouldalsoconsiderdevelopingadatabaseofitsprojects.Thedatabaseshouldprovidethedetailsofprojectcomponents,cost,implementationpartner,geographicalareas,etc.Thedatabasewillprovide valuable inputs for planning future interventions. Amanagement information systemwhichincludesthedetailsofalltheprojectsastheyareimplementedwouldbeanimportantmonitoringtoolfortheLDRRF.KnowledgeManagementandCommunicationAlargenumberofprojectsapprovedthroughtheLDRRFcancreatearepositoryofgoodanddiversifiedpractices.Thesepracticesneedtobedocumentedanddisseminatedwidelyamongthepractitioners.Asharingofgoodpracticesamongthe implementingpartnerswillenhancethequalityofprojectsbeingimplementedundertheLDRRF.The LDRRF should actively support some action research and documentation in partnership withacademic institutions. Itshouldalsobringoutpublications,basedon its researchandprojectrelatedactivities.TheLDRRFshouldorganizeworkshopsonitsprojectsandotheractivitiesbiannually.Theseworkshopswould allow the implementing partners to come together and exchange information upon theimplementation of their projects. Reviews and evaluation reports should be presented in theseworkshops and discussed for improving its implementation practices. The LDRRF should also issuenewslettersprovidingupdateonvariousimportantprojects.Itshouldpostthedetailsofprojectsonitswebsite.TheLDRRFs innovativepracticescouldalsobean importantarea forSouthSouthCooperation.OthercountriesinAsiaPacificregioncouldsetupasimilarfinancialmechanismfordisasterriskreduction,andlinkittosocialprotectionandclimatechange.InordertopromotetheLDRRFasaviablemechanism,itsvisibility needs to improve. It can be achieved only through strong knowledge management andcommunicationefforts.

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ALongtermVisionforLDRRFTheLDRRFshoulddevelopandpursuethevisionofworkingasalongstandingautonomousentity.Sincea financialmechanism suchas theLDRRFwillbeneededevenafter theCDMPIIcomes toaclose, itshouldgraduallymovebeyondtheframeworkofCDMPIIandseekalargernationalownership.Itwouldimply that the government of Bangladesh should have a larger participation in its functioning andinstitute a new governance structure for the fund. The new governancewould replace its TRC andapprovalcommitteewithagoverningboardandexecutivecommittee.SuchalongtermvisionwillrequirethattheLDRRFacquiresascalewhichjustifiesitscontinuationasanationalentity.Thescaleofitsoperationswillincreasethroughacontinuousreplenishmentofitsfundsas well as the augmentation of its internal capacity as an organization. The LDRRF should have aresourcemobilizationstrategywhichwillenableittoraiseresourcesthroughdonorsandgovernment.Itshouldexpanditscorestaff,anddevelopitsapproval,disbursement,andmonitoringsystems.A number of social funds have been set up in different countries which continue to function asautonomous entitieswith theirown funds and staff. The LDRRF can also expand and function alongsimilarlines.However,translatingsuchavisionwouldrequirethattheLDRRFstartsorganizingitselfontheselinesandworktowardssecuringthegovernmentssupportforsuchalongtermrole.ASummaryofKeyRecommendationsSomeofthekeyrecommendationsfromthediscussionabovecanbesummarizedasfollows:

The LDRRF should identify highrisk districts, and within these districts Upazilas and UnionCouncils. It should conduct risk and vulnerability assessment at theUnion Council level, andprepareRRAPsattheUnionCouncilandUpazilalevels.

TheLDRRFshouldassist itspartners indevelopingriskreductionprojectsattheUnionCouncilandUpazila levels.TheprojectproposalshouldcovertheentireUnionCouncil/Upazilaanddevelopprogrammeswhichcanbeimplementedoveraperiodofonetothreeyears.

A risk reductionproposal should be developed in amore integratedway.Basedon risk andvulnerability assessment, it should cover a range of interventions related to disaster riskreduction, social protection, and climate change adaptation. A mix of communitylevel andhouseholdspecificinterventionsneedtobeincludedintheproject.

Alltheprojectsshouldbelinkedtoabaselineofdata,andshouldhavemeasurableindicatorsofriskreduction.

ThegovernancestructureofLDRRFshouldbereformed,withgreaterparticipationofexternalexpertsandgovernmentofficials.The LDRRFmanagement shouldgraduallybe takenoverbythegovernment.ItwillensuremoreprofessionalinputsandgreateraccountabilityoftheLDRRF.

Projects funded by the LDRRF should be implemented directly by community or localgovernment.NGOsandotherpartners shouldplay the roleof facilitators.Anenhanced localstakeintheprojectimplementationensuresgreaterimpactandaccountability.

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The LDRRF should strive to establish linkages with the governments social protection and

poverty alleviation programmes. These linkageswould improve the sustainability of LDRRFssupportforriskreductioninterventions.

The Monitoring and Evaluation arrangements for LDRRF projects should be strengthenedthroughconstitutinganexternalpanelofreviewers,hiringanM&EexpertwiththeLDRRF,andregularprogressreports.

TheLDRRFshoulddevelopadatabaseofprojects ithassupported.Suchadatabasewillbearepositoryofgoodpracticesandprovidevaluableinputsonfutureriskreductionefforts.

TheLDRRFshoulddocument itsprojects,organizeworkshopsforsharing itsexperiences,bringoutpublicationon its learning,provide informationon theproject through itsweb site, andpublishperiodicalnewsletters.Itshouldactivelypursueknowledgemanagement.

TheLDRRFshouldhaveavisionofemergingasanautonomousentityevenafter theCDMPII

comes to a close. The LDRRF canmeet a longtermneed for flexible fundingmechanism fordisasterriskreduction.

ReferencesBangladesh Bureau of Statistics. 2008. Survey on Social SafetyNets Programmes in Bangladesh.www.bbs.gov.bid.Burton,Cynthia.2010.BuildingResilientCommunities,RiskManagementandResponsetoNaturalDisastersthroughSocialFundsandCommunityDrivenDevelopmentOperations.Washington,D.C.

DeSilva,SamanthaandJuneWeiSum.2008.SocialFundsasanInstrumentofSocialProtection:AnAnalysisofLendingTrendsFY20002007.TheWorldBank.Washington,D.C.Holmes,Rebecca,FouziaMannan,HelalHossainDhaliandMst.SanzidaParveen.2010.Genderedrisks,povertyandvulnerabilityinBangladesh.OverseasDevelopmentInstitute.www.odi.org.ukSiegel,PaulandAlwang, J.1999.AnAssetBasedApproach toSocialRiskManagement:AConceptualFrameworkSocialProtectionDiscussionSeriesNo.9926,SocialProtectionUnit:HumanDevelopmentNetwork:TheWorldBank.Washington,D.C.Vatsa, Krishna S. (Forthcoming). Social Funds. In. Guide to Livelihoods and Economic RecoveryProgramminginCrisisandPostCrisisSituations.BCPR,UNDP,Geneva

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ImplementingRiskReductionthroughtheLDRRF:ProjectCycle

IdentificationandDevelopmentofProjects

Identifyriskpronedistricts,UpaZilaandUnionCouncilsinBangladesh

DevelopmentofProjectProposalsonthebasisofCRA,RRAP,andotherVulnerabilityFactors

Selectionoflocalpartnersforimplementation

Developprojectsofsubstantivesizeanddiversity,withadequatetimeframe

TechnicalscrutinythroughexternalexpertsincludedintheTRC

Appraiseprojectsonthebasisofdisasterriskreduction,socialprotection,climatechangeadaptation,andgenderequity

ApprovalthroughtheLDRRFApprovalCommittee

SigningtheMoUandAWP

ProjectAppaisal

Involvecommunitiesandlocalgovernmentsinimplementation

Providetechnicalassistancefortheprojects

Seekconvergencewithothergovernmentprogrammes

Establishclearindicatorsofprojectperformance

ProjectImplementation

Monitoring&Evaluation

Seekperiodicalprogressanddisbursementreports

Monitortheprogrammethroughexternalevaluators

Developadatabaseofprojects Documentprojectsandtheirlessons,

disseminatethroughworkshopsandpublications

Review LDRRF237. Mission Report _ Local Disaster Risk Reduction Fund Final