Common use of Actions under the Program Clause in Contracts

Actions under the Program. Actions Taken Under the Program. The actions taken by the Borrower under the Program, aimed to enhance performance of social sectors to promote human capital for the poor, include the following: The Borrower, through its Vice-President’s office (acting as head of the Gabinete de Coordinación de Política Social), has issued Resolution No. 01-10, dated August 2, 2010 and Resolution No. 02-10, dated August 6, 2010, approving: (i) the regulations governing the function of the CCT Interagency Committee and CCT Intersectoral Committee; and (ii) the organizational development plan for CCT Solidaridad Program (which includes the updating of the organizational structure and personnel roles in accordance with the defined processes for the implementation of the redesigned CCT Solidaridad Program), which shall be implemented by November 2011. The Borrower, through its Vice-President’s office, in a letter dated October 1, 2010 has confirmed the approval (through an act of agreement from the Comité Técnico Intersectorial dated September 30, 2010) of the Action Plan 2010-2011 issued by the CCT Solidaridad Program of the Gabinete de Coordinación de Política Social, stating that, by December 2010, 90 percent of beneficiary households receiving transfers will be registered in a Primary Care Unit and/or school or have received a letter warning of potential suspension due to incompliance; and defining the procedures and timeline (beginning in January 2011) for the systematic verification of co-responsibilities in education and health, with the objective of linking at least 80 percent of the transfers to the beneficiaries of the CCT Solidaridad Program based on the verification of co- responsibilities. The Borrower, through its Ministry of Education, has issued: (i) Resolution No. 8, dated August 20, 2010, formalizing the introduction of learning outcome tests (with reference to Mathematics and Spanish) for students in the first cycle of basic education; and (ii) Resolution No. 6, dated August 12, 2010, establishing evaluation standards to be used both in public and private schools for students in the second cycle of basic education. The Borrower, through its Vice-President’s office (acting as head of the Gabinete de Coordinación de Política Social), has issued Resolution No. 03-10, dated August 6, 2010, instructing to adopt, by December 1, 2010, measures to improve the level of access to information for beneficiaries of the CCT Solidaridad Program payment card, allowing said beneficiaries to be informed about: (i) the total amount of the cash transferred to them; and (ii) the available balance on their cards through the use of a toll-free telephone line. The Borrower through its Council of Ministries, has (a) approved the Multi- Annual National Plan for the Public Sector 2010-2013 which contains the medium-term guidelines for social protection policy with projections as to the coverage, estimated budget, and financing bases, including the quantification of the service coverage gaps in education and health linked to the CCT Solidaridad Program including: (i) initial, basic, and the first cycle of middle school education; (ii) primary health care and an increase in the enrollment in SENASA among beneficiaries of the CCT Solidaridad Program not covered by any social security scheme; and (iii) nutrition, including the provision of micronutrients for pregnant women and children under two years of age; and (b) submitted the draft 2011 Budget Law including these cost projections to the Borrower’s Congress, as evidenced by the letter from the Ministry of Economy to the Borrower’s Vice- President dated October 1, 2010, confirming the approval by the Council of Ministries, and submitting a copy of said Multi-Annual National Plan, as well as confirming the submission of the draft Budget Law to the Borrower’s Congress. The Borrower has made available: (a) sufficient resources to meet the output targets of the CCT Solidaridad Program that had been calculated and agreed for 2010 as reflected in Article 26 of the 2010 National Budget Law and the Nota Técnica issued jointly by the Ministry of Economy, the Gabinete de Coordinación de Política Social and the Ministry of Finance in October 2010; (b) strengthened procedures to ensure the predictability in disbursement for budget users, as evidenced by Article 26 of the 2010 National Budget Law; and (c) adequate measures to monitor and publish the use of such resources, as evidenced by the resolution issued by the CCT Intersectoral Committee and dated September 20, 2010, establishing that the results of the execution of said budget are presented to the CCT Intersectoral Committee on a quarterly basis and published on the web page of the CCT Solidaridad Program or of the Ministries of Public Health and Education. The Borrower, through separate official letters from its Ministries of Public Health and Education, addressed to the Ministry of Economy and dated August 30, 2010 and September 30, 2010 respectively, has agreed on the implementation of the institutional strengthening measures that are needed to ensure preparedness for the introduction of performance agreements for the Ministry of Public Health and the Ministry of Education.

Actions under the Program. Actions Taken Under the Program. The actions taken by the Borrower under the Program, aimed to enhance performance of social sectors to promote human capital for the poor, Program include the following: The Borrower, Borrower has: (a) introduced temporary fiscal rule through its Vice-President’s office (acting as head enactment of the Gabinete de Coordinación de Política SocialLaw on Fiscal Responsibility of November 26, 2010 (Official Gazette 139/10); and (b) established the Fiscal Board through the Government Decision on the Establishment of the Fiscal Policy Board of March 25, has issued Resolution No2011. 01The Borrower has: (a) submitted draft amendments to the Civil Service Act to its Parliament, aiming at strengthening the appraisal system and disciplinary measures in the civil services; and (b) established the Human Resource Management Information System (HRMIS) through enactment of the Law on Registry of Public Employees of March 23, 2011 (Official Gazette 34/11). The Borrower has: (a) streamlined co-10, dated August payment exemptions through enactment of the Amendment to the Act on Complementary Health Insurance of June 2, 2010 and Resolution No. 02-10, dated August 6, 2010, approving: (iOfficial Gazette 71/10); (b) the regulations governing the function reduced drug costs through adoption of the CCT Interagency Committee Ordinance on Establishing the Criteria of Wholesale Pricing and CCT Intersectoral CommitteeReporting Wholesale Prices of Medicines of December 28, 2009 (Official Gazette 155/09), and the Ordinance on Establishing the Criteria for Inclusion of Medicines in the Basic and Supplementary Reimbursement Lists of the Croatian Institute for Health Insurance of December 28, 2009 (Official Gazette 155/09); and (iic) launched hospital network rationalization, through the organizational development plan for CCT Solidaridad Program (which includes the updating adoption of the organizational structure and personnel roles in accordance with the defined processes for the implementation Revision of the redesigned CCT Solidaridad Program), which shall be implemented by November 2011. The Borrower, through its Vice-President’s office, in a letter dated October 1Public Health Insurance Network of June 24, 2010 has confirmed the approval (through an act of agreement from the Comité Técnico Intersectorial dated September 30, 2010) of the Action Plan 2010-2011 issued by the CCT Solidaridad Program of the Gabinete de Coordinación de Política Social, stating that, by December 2010, 90 percent of beneficiary households receiving transfers will be registered in a Primary Care Unit and/or school or have received a letter warning of potential suspension due to incompliance; and defining the procedures and timeline (beginning in January 2011) for the systematic verification of co-responsibilities in education and health, with the objective of linking at least 80 percent of the transfers to the beneficiaries of the CCT Solidaridad Program based on the verification of co- responsibilities. The Borrower, through its Ministry of Education, has issued: (i) Resolution No. 8, dated August 20, 2010, formalizing the introduction of learning outcome tests (with reference to Mathematics and Spanish) for students in the first cycle of basic education; and (ii) Resolution No. 6, dated August 12, 2010, establishing evaluation standards to be used both in public and private schools for students in the second cycle of basic education. The Borrower, through its Vice-President’s office (acting as head of the Gabinete de Coordinación de Política SocialOfficial Gazette 81/10), has issued Resolution No. 03-10, dated August 6, 2010, instructing to adopt, by December 1, 2010, measures to improve the level of access to information for beneficiaries of the CCT Solidaridad Program payment card, allowing said beneficiaries to be informed about: (i) the total amount of the cash transferred to them; and (ii) the available balance on their cards through the use of a toll-free telephone line. The Borrower through its Council of Ministries, has has: (a) approved adopted the Multi- Annual National Plan for Social Welfare Strategy through the Public Sector 2010-2013 which contains Government Conclusion on the medium-term guidelines for social protection policy with projections as to the coverage, estimated budget, and financing bases, including the quantification Adoption of the service coverage gaps in education and health linked to the CCT Solidaridad Program including: (i) initialSocial Welfare Strategy of April 2, basic, and the first cycle of middle school education; (ii) primary health care and an increase in the enrollment in SENASA among beneficiaries of the CCT Solidaridad Program not covered by any social security scheme; and (iii) nutrition, including the provision of micronutrients for pregnant women and children under two years of age2011; and (b) submitted the draft 2011 Budget Law including these cost projections Social Welfare Act to the Borrower’s CongressParliament, as evidenced by the letter from the Ministry aiming at consolidating benefits, improved targeting of Economy to the Borrower’s Vice- President dated October 1, 2010, confirming the approval by the Council of Ministriessocial benefits, and submitting a copy of said Multi-Annual National Plan, as well as confirming rationalizing the submission of the draft Budget Law to the Borrower’s Congresssocial welfare administrative network. The Borrower has made availablehas: (a) sufficient resources to meet the output targets reduced privileged pensions by 10% through enactment of the CCT Solidaridad Program that had been calculated and agreed for Law on Reducing Pensions Determined or Earned According to Special Regulations on Pensions Insurance of June 2, 2010 as reflected in Article 26 of the 2010 National Budget Law and the Nota Técnica issued jointly by the Ministry of Economy, the Gabinete de Coordinación de Política Social and the Ministry of Finance in October 2010(Official Gazette 71/2010); (b) strengthened procedures increased minimum service of Members of Parliament to ensure the predictability in disbursement for budget usersone parliamentary term, as evidenced by Article 26 through enactment of the 2010 National Budget LawAmendments to the Law on Rights of Members of the Parliament of July 18, 2009 (Official Gazette 86/09); and (c) adequate measures to monitor and publish the use of such resources, as evidenced by the resolution issued by the CCT Intersectoral Committee and dated September 20, 2010, establishing that the results of the execution of said budget are presented submitted a draft amendment to the CCT Intersectoral Committee Law on a quarterly basis Rights of Members of Parliament to its Parliament, aiming at increasing the retirement age for Government officials, Members of Parliament and published on the web page of the CCT Solidaridad Program or of the Ministries of Public Health and Education. The Borrower, through separate official letters from its Ministries of Public Health and Education, addressed to the Ministry of Economy and dated August 30, 2010 and September 30, 2010 respectively, has agreed on the implementation of the institutional strengthening measures that are needed to ensure preparedness for the introduction of performance agreements for the Ministry of Public Health and the Ministry of EducationConstitutional Court Judges.

Actions under the Program. Actions Taken Under the Program. The actions taken by the Borrower under the Program, aimed to enhance performance of social sectors to promote human capital for the poor, Program include the following: : 1. The Borrower, through its Vicethe CCT Intersectoral Committee, has: (i) adopted procedures and mechanisms to allow for the verification of compliance with health and education co-President’s office responsibilities under the CCT Solidaridad Program; and (acting ii) established regional intersectoral committees in all regions covered by the CCT Solidaridad Program, as head of evidenced by a Disposición issued by the Gabinete de Coordinación de Política Social), has issued Resolution No. 01-10CCT Intersectoral Committee, dated August 26, 2011. 2, 2010 . The Borrower has designed and Resolution No. 02-10, dated August 6, 2010, approvingmandated the establishment of an integral monitoring and evaluation system for purposes of sharing technical information amongst: (i) the regulations governing the function of the CCT Interagency Committee and CCT Intersectoral CommitteeSolidaridad Program; and (ii) the organizational development plan for Borrower’s Ministries of Education and Health; (iii) ADESS; and (iv) SIUBEN, as evidenced by a Disposición issued jointly by the CCT Solidaridad Program (which includes Intersectoral Committee and the updating of the organizational structure and personnel roles in accordance with the defined processes for the implementation of the redesigned CCT Solidaridad Program)Interagency Committee, which shall be implemented by November dated August 25, 2011. 3. The Borrower, through its Vice-President’s officeMinistry of Health, in a letter has: (i) mandated the daily registration of primary health care services through the Clinic Management System, as evidenced by Disposición No. 0000016, dated October 1July 26, 2010 has confirmed the approval (through an act of agreement from the Comité Técnico Intersectorial dated September 302011, 2010) of the Action Plan 2010-2011 issued by the CCT Solidaridad Program Borrower’s Ministry of Health; and (ii) issued an action plan (Plan de Acción para Apoyar e Incentivar la Aplicación de Protocolos y Uso del Sistema de Registro de Atenciones en los Centros de Primer Nivel), for the institutional strengthening of entities within the Borrower’s health sector, training, and the establishment of performance incentives for physicians, nurses and administrative staff of primary health care centers related to the use of the Gabinete de Coordinación de Política Social, stating that, by December 2010, 90 percent of beneficiary households receiving transfers will be registered in a Primary Care Unit and/or school or have received a letter warning of potential suspension due to incompliance; and defining the procedures and timeline (beginning in January 2011) for the systematic verification of co-responsibilities in education and health, with the objective of linking at least 80 percent of the transfers to the beneficiaries of the CCT Solidaridad Program based on the verification of co- responsibilitiesClinic Management System. 4. The Borrower, through its Ministry of Education, has issuedhas: (i) Resolution No. 8approved a mechanism for the transfer of financial resources to District Offices for the purchase of didactic materials, dated August 20, 2010, formalizing the introduction financing of learning outcome tests (with reference to Mathematics non-personnel services and Spanish) for students in the first cycle of basic educationnon-financial assets; and (ii) validated student evaluation standards for secondary education, as evidenced by Resolution No. 6668-2011, dated August 12September 7, 20102011 and Resolution No. 605-2011, establishing evaluation standards to be used both in public and private schools for students in the second cycle of basic educationdated September 2, 2011. 5. The Borrower, through its Vice-President’s office Social Cabinet, has: (acting i) expanded the number of institutions affiliated to the Red de Abastecimiento Social (RAS) to a total of 3,067 institutions as head of September 30, 2011 (from a baseline of 1,988 institutions as of June 30, 2009); (ii) approved the bylaws of the Gabinete de Coordinación de Política Social)RAS; and (iii) entered into an agreement with Pro-Consumidor, has issued dated August 10, 2011 to: (A) supervise the institutions of the RAS; and (B) inform beneficiaries of CCT Solidaridad Program of their rights and the functioning of the RAS, as evidenced by Resolution No. 03001-102011, dated August 25, 2011, issued by the President of the Board of ADESS. 6. The Borrower, 2010through its Social Cabinet, instructing has launched a new census to adopt, by December 1, 2010, measures to update the SIUBEN and improve the level targeting of access its social programs, including an update of the information on households and individuals, an increase of census coverage in geographic areas already covered by the last census carried out in 2004-2005, and an expansion of the census coverage to information for beneficiaries geographic areas with high poverty levels not previously included, as evidenced by Resolution ▇▇. ▇▇-▇▇-▇▇, dated September 13, 2011 issued by the coordinator of the Social Cabinet. 7. The Borrower has established budget planning and coordination mechanisms that will ensure the availability of sufficient resources to meet the results targets of the CCT Solidaridad Program payment cardProgram, allowing said beneficiaries to be informed aboutas evidenced by the approval of: (i) the total amount of the cash transferred to them; and (ii) the available balance on their cards through the use of a tollMulti-free telephone line. The Borrower through its Council of Ministries, has (a) approved the Multi- Annual National Plan for the Public Sector 20102011-2013 which contains 2014, by the medium-term guidelines for social protection policy with projections as to Borrower’s Council of Ministers on September 15, 2011; (ii) the coverageBudget Law of 2011; and (iii) a Disposición dated September 1, estimated budget2011, and financing bases, including the quantification of the service coverage gaps in education and health linked to issued by the CCT Solidaridad Program includingIntersectoral Committee. 8. The Borrower, through its Ministries of Finance, Economy and Public Administration, has: (i) initialsigned a separate performance agreement with each of the following Borrower’s Ministries: Health and Education, basicto strengthen the institutional budget management and accountability of the Borrower’s priority programs in health and education, through performance-based budgeting, as evidenced by the performance agreements dated August 31, 2011; and the first cycle of middle school education; (ii) primary health care approved the Presidential Decree No. 522-11, dated August 31, 2011, which regulates Article 14 of the Borrower’s Law No. ▇▇▇-▇▇ (▇▇▇ ▇▇▇▇▇▇▇▇ de Presupuesto para el Sector Público), that establishes a results-oriented management model through the use of performance agreements. 9. The Borrower, through its Ministry of Finance, has launched an online budget transparency tool (Portal del Ciudadano Dominicano), which allows free public consultations on public revenues and an increase in expenditures of the enrollment in SENASA among Borrower’s central agencies, including data on execution of the Borrower’s national budget. 10. The Borrower has defined and mandated the implementation of the expansion plan of the “community scorecards” (a social auditing scheme for the beneficiaries of the CCT Solidaridad Program not covered by any social security scheme; and (iii) nutrition, including to voice their opinion on the provision quality of micronutrients for pregnant women and children the services provided under two years of age; and (b) submitted the draft 2011 Budget Law including these cost projections to the Borrower’s Congresssaid program), as evidenced by the letter from the Ministry of Economy to the Borrower’s Vice- President a Disposición dated October 1August 12, 20102011, confirming the approval by the Council of Ministries, and submitting a copy of said Multi-Annual National Plan, as well as confirming the submission of the draft Budget Law to the Borrower’s Congress. The Borrower has made available: (a) sufficient resources to meet the output targets of the CCT Solidaridad Program that had been calculated and agreed for 2010 as reflected in Article 26 of the 2010 National Budget Law and the Nota Técnica issued jointly by the Ministry of Economy, the Gabinete de Coordinación de Política Social and the Ministry of Finance in October 2010; (b) strengthened procedures to ensure the predictability in disbursement for budget users, as evidenced by Article 26 of the 2010 National Budget Law; and (c) adequate measures to monitor and publish the use of such resources, as evidenced by the resolution issued by the CCT Intersectoral Committee and dated September 20, 2010, establishing that the results of the execution of said budget are presented to the CCT Intersectoral Committee on a quarterly basis and published on the web page of the CCT Solidaridad Program or of the Ministries of Public Health and Education. The Borrower, through separate official letters from its Ministries of Public Health and Education, addressed to the Ministry of Economy and dated August 30, 2010 and September 30, 2010 respectively, has agreed on the implementation of the institutional strengthening measures that are needed to ensure preparedness for the introduction of performance agreements for the Ministry of Public Health and the Ministry of EducationCommittee.

Actions under the Program. Actions Taken Under the Program. The actions taken by the Borrower under the Program, aimed to enhance performance of social sectors to promote human capital for the poor, Program include the following: The Borrower, through its Vice-President’s office (acting as head of the Gabinete de Coordinación de Política Social)SEP, has issued Resolution No. 01-10established a National Upper Secondary Education System and established the institutional basis of said system, dated August 2, 2010 and Resolution No. 02-10, dated August 6, 2010, approving: (i) as evidenced by the regulations governing the function of the CCT Interagency Committee and CCT Intersectoral Committee; and (ii) the organizational development plan for CCT Solidaridad Program (which includes the updating of the organizational structure and personnel roles in accordance with the defined processes for the implementation of the redesigned CCT Solidaridad Program), which shall be implemented by November 2011State Agreements. The Borrower, through its Vice-President’s officeSEP, has established the set of minimum competences by subject that students need to achieve by the end of upper secondary education in a letter dated October 1the National Upper Secondary Education System, 2010 has confirmed as evidenced by Agreement 486, issued by SEP, and published in the approval (through an act of agreement from the Comité Técnico Intersectorial dated September Official Gazette on April 30, 2010) of the Action Plan 2010-2011 issued by the CCT Solidaridad Program of the Gabinete de Coordinación de Política Social, stating that, by December 2010, 90 percent of beneficiary households receiving transfers will be registered in a Primary Care Unit and/or school or have received a letter warning of potential suspension due to incompliance; and defining the procedures and timeline (beginning in January 2011) for the systematic verification of co-responsibilities in education and health, with the objective of linking at least 80 percent of the transfers to the beneficiaries of the CCT Solidaridad Program based on the verification of co- responsibilities2009. The Borrower, through its Ministry of EducationSEP, has issued: (i) Resolution No. 8established a national evaluation system for the National Upper Secondary Education System, as evidenced by the coordination guidelines agreed between the Borrower’s Under-Ministry for upper secondary education and INEE dated August 20July 24, 2010, formalizing the introduction of learning outcome tests (with reference to Mathematics and Spanish) for students in the first cycle of basic education; and (ii) Resolution No. 6, dated August 12, 2010, establishing evaluation standards to be used both in public and private schools for students in the second cycle of basic education2009. The Borrower, through its Vice-President’s office (acting as head of the Gabinete de Coordinación de Política Social)SEP, in collaboration with UPN and ANNUIES, has issued Resolution No. 03-10, dated August 6, 2010, instructing to adopt, by December 1, 2010, measures to improve the level of access to information for beneficiaries of the CCT Solidaridad developed an Upper Secondary Education Teacher Training Program payment card, allowing said beneficiaries to be informed about: (iPrograma de Formación Docente de Educación Media Superior –PROFORDEMS) the total amount of the cash transferred to them; and (ii) the available balance on their cards through the use of a toll-free telephone line. The Borrower through its Council of Ministries, has (a) approved the Multi- Annual National Plan for the Public Sector 2010-2013 which contains the medium-term guidelines for social protection policy with projections as to the coverage, estimated budget, and financing bases, including the quantification of the service coverage gaps in education and health linked to the CCT Solidaridad Program including: (i) initial, basic, and the first cycle of middle school education; (ii) primary health care and an increase in the enrollment in SENASA among beneficiaries of the CCT Solidaridad Program not covered by any social security scheme; and (iii) nutrition, including the provision of micronutrients for pregnant women and children under two years of age; and (b) submitted the draft 2011 Budget Law including these cost projections to the Borrower’s Congressis benefiting teachers from all States, as evidenced by the execution agreement celebrated between SEP, ANUIES and CONALEP dated January 27, 2009 and a letter dated March 19, 2010 from SEP’s Coordinator of Academic Development (in SEP’s Under-Ministry for Upper Secondary Education) detailing the Ministry amount of Economy teachers that have been certified in each State. The Borrower, through SEP, has decided to establish a civil association (COPEEMS) to evaluate the Borrower’s Vice- President dated October 1, 2010, confirming entry of schools in the approval by the Council of MinistriesNational Upper Secondary Education System, and submitting a copy has issued the guidelines for the by-laws of said Multi-Annual National Plan, as well as confirming the submission of the draft Budget Law to the Borrower’s Congress. The Borrower has made available: (a) sufficient resources to meet the output targets of the CCT Solidaridad Program that had been calculated and agreed for 2010 as reflected in Article 26 of the 2010 National Budget Law and the Nota Técnica issued jointly by the Ministry of Economy, the Gabinete de Coordinación de Política Social and the Ministry of Finance in October 2010; (b) strengthened procedures to ensure the predictability in disbursement for budget userscivil association, as evidenced by Article 26 Agreement No. 3 of the 2010 Borrower’s Executive Committee for the National Budget Law; and (c) adequate measures to monitor and publish Upper Secondary Education System dated August 26, 2009. The Borrower, through SEP, has consolidated its scholarship programs targeting poor students who are not covered by the use Oportunidades Program or by any other scholarship program of such resourcesthe Borrower, as evidenced by the resolution issued by Borrower’s SEP Agreement 479 published in the CCT Intersectoral Committee and dated September 20Official Gazette on December 31, 2010, establishing that the results of the execution of said budget are presented to the CCT Intersectoral Committee on a quarterly basis and published on the web page of the CCT Solidaridad Program or of the Ministries of Public Health and Education. The Borrower, through separate official letters from its Ministries of Public Health and Education, addressed to the Ministry of Economy and dated August 30, 2010 and September 30, 2010 respectively, has agreed on the implementation of the institutional strengthening measures that are needed to ensure preparedness for the introduction of performance agreements for the Ministry of Public Health and the Ministry of Education2008.