Common use of Project Management and Implementation Clause in Contracts

Project Management and Implementation. 1. The Borrower shall maintain, until completion of the Project: (a) the Project Steering Committee, chaired by the MOT Vice Minister, consisting of representatives of, inter alia, the Ministry of Planning and Investment, the Ministry of Finance, the State Bank of Vietnam, the Ministry of Transport (including representatives of VRA and PMU18), assigned with such functions and responsibilities, satisfactory to the Association, as shall be required for the overall coordination and oversight of implementation of the Project, including inter alia: (i) coordination and liaison between the Project Implementing Agencies and other ministries; (ii) monitoring the Project’s progress; (iii) review of the technical and financial audit reports, social and environmental monitoring reports, the Project evaluation and monitoring reports, and the Project related studies, and (iv) ensure that the Project related policy and institutional reform are achieved; (b) the PMU18 PID1, assigned with such functions, responsibilities and funds, satisfactory to the Association, and with competent staff in adequate numbers, headed by a qualified and experienced officer for the day-to-day implementation and management of the PMU 18’s Respective Parts of the Project, including, inter alia, the procurement activities, financial management, implementation of the social and environmental safeguards measures under the PMU18’s Respective Parts of the Project, and monitoring and reporting on the implementation of the PMU 18’s Respective Parts of the Project; (c) the Project Implementation Unit of VRA, assigned with such functions, responsibilities and funds, satisfactory to the Association, and with competent staff in adequate numbers, headed by a qualified and experience officer for the overall management and oversight of the VRA’s Respective Parts of the Project, including, inter alia: (i) day-to-day management of Parts C(1) and C(2) of the Project; (ii) monitoring of the progress of the VRA’s Respective Parts of the Project; (iii) preparing annual business plans; and (iv) updating the national road management database; (d) the Project Implementation Units of RPMU4, RPMU5 and RPMU7, each assigned with such functions, responsibilities and funds, satisfactory to the Association, and with competent staff in adequate numbers, each headed by a qualified and experienced officer for the implementation and management of the VRA’s Respective Parts of the Project at the regional level, including, inter alia, procurement, financial management, supervision of civil works, monitoring social and environmental impacts of the VRA’s Respective Parts of the Project; and (e) the Project Implementation Unit of RPMU2, assigned with such functions, responsibilities and funds, satisfactory to the Association, and with competent staff in adequate numbers, headed by a qualified and experienced officer for the implementation and management of the VRA’s Respective Parts of the Project in its project areas and for overall coordination and supervision of the functions and responsibilities of RPMU4, RPMU5 and RPMU7 and relevant PDOTs, including, inter alia, their responsibilities and functions in procurement, financial management, supervision of civil works, monitoring social and environmental impacts of the VRA’s Respective Parts of the Project. 2. The Borrower shall: (a) adopt the Project Implementation Plan including a financial management manual, in a manner and substance satisfactory to the Association, which shall include, inter alia: (i) a financial management manual incorporating accounting and financial management procedures, including the management and auditing of the Special Accounts, reporting requirements, financial management and audit procedures as set forth in Article IV of this Agreement; (ii) implementation arrangements; (iii) procurement procedures, as set forth in Schedule 3 to this Agreement; (iv) the project performance indicators set forth in Schedule 6 to this Agreement; and (v) monitoring and evaluation requirements and processes; (b) adopt the Operational Manual specifically for guiding the implementation of Part A (1) of the Project, in a manner and substance satisfactory to the Association, which shall include the description of, inter alia: (i) financial management procedures; (ii) engineering and design of civil works, (iii) planning, budgeting and preparation of civil works, (iv) procedures for monitoring and reporting of Project’s progress, and (v) mitigation of social and environmental impacts of the Project, all in accordance with the provisions of this Agreement; (c) carry out the Project in accordance with the Project Implementation Plan and the Operational Manual; and (d) not amend, abrogate, suspend, or waive any provision of said Project Implementation Plan and the Operational Manual without the prior concurrence of the Association. 3. The Borrower shall appoint and maintain a financial management officer and two full-time accountants at the PMU18 PID 1 and the RPMU2 PIU, each with experience, qualifications and terms of reference, acceptable to the Association. 4. The Borrower shall appoint, an independent external auditor to carry out the financial audits as required under Article IV of this Agreement, with terms of reference and qualifications satisfactory to the Association, no later than December 31, 2004. 5. The Borrower shall, not later than June 30 and December 31 in each year, commencing December 31, 2004, and until completion of the Project, carry out a technical audit of Project implementation, in accordance with terms of reference acceptable to the Association. Should the technical audits identify any major problems or any significant delay in execution of the civil works contracts under the Project, the Borrower shall, through the Project Steering Committee, prepare and submit to the Association for review a time-bound action plan for remedy of the identified problems.