Morodok Baitang_72044221R00006_Amendment 02.pdf

Offers must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended, by one of the following methods:

(a) By completing items 8 and 15, and returning or (c) By separate letter or electronic communication which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGMENT TO BE RECEIVED AT THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN REJECTION OF YOUR OFFER. If by virtue of this amendment you desire to change an offer already submitted, such change may be made by letter or electronic communication, provided each letter or electronic communication makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

E. IMPORTANT: Contractor is not is required to sign this document and return copies to the issuing office.

AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT 1. CONTRACT ID CODE

2. AMENDMENT/MODIFICATION NUMBER 3. EFFECTIVE DATE 4. REQUISITION/PURCHASE REQUISITION NUMBER 5. PROJECT NUMBER (If applicable)

7. ADMINISTERED BY (If other than Item 6) CODE

STANDARD FORM 30 (REV. 11/2016)

Prescribed by GSA FAR (48 CFR) 53.243

FACILITY CODE

9A. AMENDMENT OF SOLICITATION NUMBER

9B. DATED (SEE ITEM 11)

10A. MODIFICATION OF CONTRACT/ORDER NUMBER

10B. DATED (SEE ITEM 13)

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offers is extended. is not extended.

12. ACCOUNTING AND APPROPRIATION DATA (If required) copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted;

13. THIS ITEM APPLIES ONLY TO MODIFICATIONS OF CONTRACTS/ORDERS.

IT MODIFIES THE CONTRACT/ORDER NUMBER AS DESCRIBED IN ITEM 14.

CHECK ONE A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE CONTRACT ORDER

NUMBER IN ITEM 10A.

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, appropriation data, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(b).

C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority)

Except as provided herein, all terms and conditions of the document referenced in Item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

15C. DATE SIGNED

15A. NAME AND TITLE OF SIGNER (Type or print)

16C. DATE SIGNED

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

PAGE OF PAGES

6. ISSUED BY CODE

8. NAME AND ADDRESS OF CONTRACTOR (Number, street, county, State and ZIP Code) (X)

CODE

15B. CONTRACTOR/OFFEROR

(Signature of person authorized to sign)

16B. UNITED STATES OF AMERICA

(Signature of Contracting Officer)

Previous edition unusable

Paul Martin

The purpose of this amendment is to provide responses to questions received from interested parties and make resulting changes throughout the solicitation. Specific changes are provided below. Answers to Questions received are provided in Annex 1. An amended solicitation, highlighting all changes is provided as a reference in Annex 2.

USAID/Cambodia Office Acquisition and Assistance (OAA) #1, Street 96, Khan Daun Penh Phnom Penh, Cambodia

To All Potential Offerors 72044221R00006

1 18

Paul Martin Digitally signed by Paul Martin Date: 2021.06.02 16:24:22 +07'00'

RFP No. 72044221R00006 Amendment No. 02

USAID Morodok Baitang

Specifically, this solicitation is amended as follows:

SECTION H – SPECIAL CONTRACT REQUIREMENTS

1) DELETE the following Sections in their entirety and update subsequent section numbering:

• “H.17 Skills and Certification Requirements for Privacy and Security Staff (April 2018)”

• H.18 Security Requirements for Unclassified Information Technology Resources (April 2018)”

SECTION L.9 – INSTRUCTIONS FOR THE PREPARATION OF THE

COST/BUSINESS PROPOSAL

2) In Part 2 – Proposed Costs/Prices, General Guidance, ADD “Subcontracts” cost element into the summary budget table, under the “Supplies” cost element.

3) In Part 2 – Proposed Costs/Price, Windows of Opportunity, ADD “For evaluation purposes, the Offeror may assume 50% labor and 50% non-labor for the Windows of Opportunity Fund. Actual costs during implementation will be based on programmatic needs.”

[END OF AMENDMENT NO. 02]

ANNEX 1: QUESTIONS AND ANSWERS

1) Question: Would USAID please provide an exchange rate for this Activity?

Answer: Offerors are free to use an exchange rate they find most appropriate based on their research.

2) Question: H.17 (RFP pg. 76) & H.18 (RFP pg. 77): Will USAID consider removing Sections H.17 Skills and Certification Requirements for Privacy and Security Staff (April 2018) and Section H.18 Security Requirements for Unclassified Information Technology Resources (April 2018)? Upon our review, we do not believe they are applicable to the activities envisioned under the Morodok Baitang Activity.

Answer: Yes, these provisions will be removed in amendment no. 02 to the solicitation.

3) Question: Would USAID please provide a budget range or ceiling for this activity?

Answer: See amendment no. 01 dated May 26, 2021, which is available on https://sam.gov/.

4) Question: L.8.1 (RFP pg. 140): In reference to USAID’s guidance on the structure of the proposal, will USAID consider incorporating an Executive Summary section to precede the “Technical Requirements” section?

Answer: No. USAID will accept the cover page as indicated in section L.8.

5) Question: Would USAID consider allowing Offerors to present an executive summary and/or a cover letter in their proposals exclusive of the 30-page limit?

Answer: No. USAID will accept the cover page as indicated in section L.8.

6) Question: L.8.3.1 (RFP pg. 141): USAID notes that “this activity responds to a theory of change that is based on an analysis of threats to biodiversity and ecosystems, opportunities for land-based carbon mitigation, and will contribute to Cambodia’s national development goals.” Can USAID please share its Situation Model for the Morodok Baitang Activity if one was produced?

Answer: Please see USAID/Cambodia Foreign Assistance Act 118 and 119 Tropical Forests and Biodiversity Analysis July 2019, the public version of the Mission’s CDCS, which is provided in the RFP as attachment 8, and Cambodia’s nationally determined contribution (NDC) on page 18 of the RFP.

7) Question: L.8.3.1 (RFP pg. 142): To help ensure uniformity in structure across offerors’ proposals, will USAID consider elaborating on what specific information they expect to be included in the SOW versus the Technical Approach?

Answer: The Offerors have the discretion in structuring the Statement of Work (SOW). In the SOW, at a minimum, Offerors must propose results and tasks to achieve the goal and https://sam.gov/

USAID Morodok Baitang objectives of this contract with sufficient flexibility to adjust interventions as needed in the course of implementation.

8) Question: On page 143 of the RFP (fifth paragraph of Section L.8.3.1, Part 2), the RFP states “Offerors will provide a summary of the MEL methodologies, tools, and processes they will employ, and particularly how they will describe objectively verifiable outcome and output level indicators and targets for proposed results under the Activity goal and objectives as well as assure adaptive management throughout the life of the Activity. USAID will not assess the values of targets at this stage, rather the approach Offerors propose to define them. Targets will be finalized after the award in consultation with USAID and relevant stakeholders.”

Would USAID please confirm that Offerors should not propose targets in the SOW/Technical Proposal, but rather describe the proposed results and methodologies for determining targets in the two-page MEL Annex?

Answer: Confirmed.

9) Question: Would USAID please confirm that, to promote local ownerships and engagement, Key Personnel staff may be assigned to subcontractor organizations?

Answer: The Offerors, at their discretion, may assign Key Personnel to subcontractors which they believe best correspond to their proposed SOW and technical approach. However, it is USAID’s preference that the Chief of Party is hired directly by the prime Offeror.

10) Question: Regarding the description of the “Key Personnel” section under Section L.8.3.2 (pages 143–144), would USAID please confirm that Offerors may reference all key personnel, including Offeror-identified positions, in the body of the technical proposal (i.e., Statement of Work, Technical Approach, Key Personnel, and Staffing sections)?

Answer: If this question refers to position titles, then yes. However, Offerors will not need to identify, by name, any key personnel candidates at the proposal stage except the Chief of Party. Offerors may refer to the Chief of Party either by position title or the candidate’s name.

11) Question: L.8.3.4 (RFP pg. 146-147) & L.8.3.5 (RFP pg. 147): Does USAID intend for offerors to incorporate SF 294 reports within the Contractor Past Performance Annex?

Answer: No. SF 294 may be enclosed as an annex in addition to the Contractor Past Performance annex and will not be considered in the page limit.

12) Question: L.9 Part II (RFP pg. 148): The attached budget table template includes two different lines for “Equipment” and “Supplies,” but these two categories are combined under “Equipment and Supplies” in #6 (pg. 149). Can USAID confirm whether offerors may combine costs for both under one cost element? If not, can USAID clarify the difference between “Equipment” and “Supplies”?

Answer: Offerors may choose to separate or combine these two line items in their budgets.

USAID Morodok Baitang

13) Question: L.9 Part II (RFP pg. 148): USAID’s sample table format does not include a cost element for “Training” and “Subcontracts,” but offerors are requested to provide costs for Training and Subcontractors as separate cost elements under #7 and #8 respectively. Can USAID please confirm whether Trainings and Subcontracts should be included as separate cost elements on the Summary budget?

Answer: The “Subcontracts” budget line item was inadvertently omitted from the summary table and will be included in the solicitation via amendment no. 02. Training costs may be reflected under other direct costs or other cost categories deemed appropriate by the Offeror.

14) Question: Section L.9, Part 2, 10) on page 150 states that the Windows of Opportunity Fund is exclusive of indirect costs or fees. Would USAID please provide an estimate of the labor and material portions (e.g., 60% labor and 40% materials) of the fund so all Offerors may apply their indirect costs based on the same assumptions?

Answer: Yes. For evaluation purposes, Offerors may assume 50% labor and 50% non-labor costs. The solicitation is amended accordingly.

[END OF ANNEX 1]

Issuance Date: May 21, 2021 Questions Due Date: June 1, 2021 9:00 a.m., Cambodia time Closing Date: July 2, 2021 Closing Time: 9:00 a.m., Cambodia time

Subject: Request for Proposals (RFP) No. 72044221R00006, USAID Morodok Baitang

To All Prospective Offerors:

The United States Agency for International Development (USAID) in Cambodia is seeking proposals from U.S. or non-U.S. non-profit or for-profit organizations to achieve the objectives set forth in the attached Request for Proposals (RFP). USAID/Cambodia anticipates awarding one cost-plus-fixed-fee (CPFF) completion form contract with a period of performance of 5 years. The North American Industry Classification System (NAICS) code for this acquisition is 813312. The authorized geographic code is 937.

This procurement will be conducted under full and open competition procedures, pursuant to Part 15 of the Federal Acquisition Regulation (FAR) (48 CFR Chapter 1).

Questions and proposals must be submitted electronically on or before the dates/times stipulated above to ssao@usaid.gov, atusjak@usaid.gov and phnompenhoaa@usaid.gov. No other form of submission will be accepted. Section L of the RFP sets forth proposal requirements including instructions for the preparation and submission of required proposal content. Section M states the criteria by which proposals will be evaluated. Oral explanations or instructions given before award of the Contract will not be binding. Proposals received after the closing date and time will be processed as late and handled in accordance with FAR 15.208.

If substantive questions are received which affect the response to the solicitation, or if changes are otherwise made, USAID may amend this solicitation. Amendments will be issued and posted on https://beta.sam.gov/. Offerors are strongly encouraged to check the beta.sam.gov website periodically as acknowledgement of amendments is required as part of the Offeror’s submission.

It is the responsibility of the Offeror to ensure that the RFP has been downloaded and received in its entirety, including subsequent solicitation amendments, if any. USAID bears no responsibility for data errors resulting from download, transmission or conversion processes. Furthermore, Offerors are advised to read the solicitation carefully.

ANNEX 2: RFP AMENDMENT 02 HILIGHTED CHANGES

mailto:ssao@usaid.gov mailto:atusjak@usaid.gov mailto:phnompenhoaa@usaid.gov

RFP No.: 72044221R00006

This RFP in no way obligates USAID to award a Contract nor does it commit USAID to pay any cost incurred in the preparation and submission of a proposal. Award of a Contract under this RFP is subject to availability of funds and other internal USAID approvals.

Sincerely, Paul Martin Contracting Officer USAID/Cambodia

PART I—THE SCHEDULE

SECTION A – SOLICITATION/CONTRACT FORM

[See next page]

72044221R00006

SOLICITATION, OFFER AND AWARD

4. TYPE OF SOLICITATION2. CONTRACT NUMBER 3. SOLICITATION NUMBER

7. ISSUED BY CODE 8. ADDRESS OFFER TO (If other than Item 7)

ORDER UNDER DPAS (15 CFR 700)

6. REQUISITION/PURCHASE NUMBER

NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid" and "bidder".

NEGOTIATED (RFP)

SEALED BID (IFB)

5. DATE ISSUED

1. THIS CONTRACT IS A RATED RATING PAGE OF PAGES

4 179

C. E-MAIL ADDRESS

EXT.NUMBERAREA CODE

B. TELEPHONE (NO COLLECT CALLS)A. NAME

10. FOR

INFORMATION

CALL:

CAUTION: LATE Submissions, Modifications, and Withdrawals: See Section L, Provision No. 52.214-7 or 52.215-1. All offers are subject to all terms and conditions contained in this solicitation.

(Date)(Hour) local timeuntildepository located in copies for furnishing the supplies or services in the Schedule will be received at the place specified in Item 8, or if hand carried, in the

SOLICITATION

9. Sealed offers in original and

PART IV - REPRESENTATIONS AND INSTRUCTIONS

OTHER STATEMENTS OF OFFERORS

EVALUATION FACTORS FOR AWARD

INSTRS., CONDS., AND NOTICES TO OFFERORS

REPRESENTATIONS, CERTIFICATIONS AND

LIST OF ATTACHMENTS

CONTRACT CLAUSES

PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

I

J

K

L

M SPECIAL CONTRACT REQUIREMENTS

CONTRACT ADMINISTRATION DATA

DELIVERIES OR PERFORMANCE

INSPECTION AND ACCEPTANCE

PACKAGING AND MARKING

DESCRIPTION/SPECS./WORK STATEMENT

SUPPLIES OR SERVICES AND PRICES/COSTS

SOLICITATION/CONTRACT FORM

PART II - CONTRACT CLAUSESPART I - THE SCHEDULE

H

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F

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SEC. DESCRIPTION PAGE(S) (X) DESCRIPTION SEC. (X)

11. TABLE OF CONTENTS

18. OFFER DATE17. SIGNATURE

SUCH ADDRESS IN SCHEDULE.

IS DIFFERENT FROM ABOVE - ENTER

15C. CHECK IF REMITTANCE ADDRESS

EXT.NUMBERAREA CODE

15B. TELEPHONE NUMBER

(Type or print)AND

ADDRESS

OF

OFFEROR

CODE FACILITY

16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER15A. NAME

DATEAMENDMENT NO.DATEAMENDMENT NO.

and related documents numbered and dated):

amendments to the SOLICITATION for offerors

(The offeror acknowledges receipt of

14. ACKNOWLEDGEMENT OF AMENDMENTS

CALENDAR DAYS (%)30 CALENDAR DAYS (%)20 CALENDAR DAYS (%)10 CALENDAR DAYS (%)

(See Section I, Clause No. 52.232.8)

13. DISCOUNT FOR PROMPT PAYMENT

designated point(s), within the time specified in the schedule.

by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the

NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period.

OFFER (Must be fully completed by offeror)

IMPORTANT - Award will be made on this Form, or on Standard Form 26, or by other authorized official written notice.

28. AWARD DATE

(Signature of Contracting Officer)

27. UNITED STATES OF AMERICA

25. PAYMENT WILL BE MADE BY

26. NAME OF CONTRACTING OFFICER (Type or print)

CODE 24. ADMINISTERED BY (If other than Item 7)

ITEM

(4 copies unless otherwise specified)

23. SUBMIT INVOICES TO ADDRESS SHOWN IN

41 U.S.C. 253 (c) ( 10 U.S.C. 2304 (c) (

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION:

21. ACCOUNTING AND APPROPRIATION20. AMOUNT19. ACCEPTED AS TO ITEMS NUMBERED

AWARD (To be completed by government)

CODE

REQ-442-21-000019

X

720442

USAID/Cambodia Office of Acquisition and Assistance #1 Street 96 Khan Daun Penh Phnom Penh, Cambodia

Samsak Sao ssao@usaid.gov

X

X

X

X

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PAGE(S)

Paul Martin

AUTHORIZED FOR LOCAL REPRODUCTION

Previous edition is unusable

STANDARD FORM 33 (Rev. 9-97)

Prescribed by GSA - FAR (48 CFR) 53.214(c)

12. In compliance with the above, the undersigned agrees, if this offer is accepted within _____0_________ calendar days (60 calendar days unless a different period is inserted

07/02/2021

TABLE OF CONTENS

SECTION B—SUPPLIES OR SERVICES AND PRICES/COSTS

PURPOSE

The purpose of this contract is to provide services described in Section C to implement the USAID Morodok Baitang Activity.

CONTRACT TYPE

This is a Cost-Plus-Fixed-Fee (CPFF) completion form contract. For the consideration set forth below, the Contractor must provide the results, deliverables and outputs described in Section C and Section F.

ESTIMATED COST, CEILING PRICE, FIXED FEE, AND OBLIGATED

AMOUNT

(a) The estimated cost for the performance of the work required hereunder, exclusive of fixed fee, if any, is [TBD]. The fixed fee, if any, is [TBD]. The total estimated cost plus fixed fee, if any, is [TBD].

(b) Within the estimated cost plus fixed fee, if any, specified in paragraph (a) above, the amount currently obligated and available for reimbursement of allowable costs incurred by the Contractor (and payment of fee, if any) for performance hereunder is [TBD] of which [TBD] is allocated for Grants under Contract (GUC) and [TBD] is allocated for the Windows of Opportunity (WOO) Fund. The Contractor must not exceed the aforesaid obligated amounts nor will the U.S. Government (USG) be responsible for cost incurred should the Contractor do so.

(c) [Note to Offerors: The following language will be added to the award only if the apparently successful Offeror elects to use a payment method through Letter of Credit for the GUC component. Otherwise, this section will be deleted from the award document.]

For GUC using Letter of Credit (LOC): The contractor must use funds obligated under this award and any subsequent modifications from the specific Operating Units (OU) and Program Areas (PA) for activities approved in the award and detailed in the work plan, as applicable. Program disbursements for each OU/PA must not exceed the amounts specified in the Accounting and Appropriation data for each OU and PA.

(d) Funds obligated hereunder are anticipated to be sufficient through [TBD].

PRICE/COST SCHEDULE

Line Item

Supplies/Services (Description)

Amount

0001 Activity Costs TBD 0002 Grants under Contract $3,000,000.00 0003 Windows of Opportunity Fund $1,000,000.00 Total Estimated Cost TBD Fixed Fee TBD Total Estimated Cost Plus Fixed Fee (CPFF) TBD

INDIRECT COSTS

Pending establishment of revised provisional or final indirect cost rates, allowable indirect costs shall be reimbursed on the basis of the following negotiated provisional or predetermined rates and the appropriate bases:

[the following to be inserted at award]

Description Rate Base Type Period

[TBD] [TBD] 1/ 1/ 1/

[TBD] [TBD] 2/ 2/ 2/

[TBD] [TBD] 3/ 3/ 3/

1/ Base of Application:

Type of Rate:

Period:

2/ Base of Application:

Type of Rate:

Period:

3/ Base of Application:

Type of Rate:

Period:

COST REIMBURSABLE

Allowable costs shall be limited to reasonable, allocable and necessary costs determined in accordance with FAR 52.216-7, Allowable Cost and Payment, FAR 52.216-8, Fixed Fee, if applicable, FAR 52.232-22 Limitation of Funds, and AIDAR 752.7003, Documentation for Payment.

PAYMENT OF FIXED FEE

Payment of fixed fee will be made upon receipt of a proper invoice and shall directly correspond to the percentage of allowable costs being paid. In accordance with FAR 52-216-8, Fixed Fee, the CO will withhold 15% of the total fee or $100,000, whichever is less until the required awards conditions under the reference clause have been met.

MULTI-YEAR CONTRACT AND CANCELLATION CEILING

(a) This contract is considered non-severable, and is therefore a multi-year contract as defined in FAR 17.103. Consequently, this contract is subject to the requirements of

FAR 17.106.

(b) Cancellation Dates: in the event that the Government cancels requirements for services in subsequent program years under this contract, the following conditions will apply:

[Amount and dates to be filled in at the time of award]

Contract Year Cancellation Date Cancellation Ceiling Amount

Year 1 N/A N/A

Year 2 Month [TBD], 2022 $ [TBD]

Year 3 Month [TBD], 2023 $ [TBD]

Year 4 Month [TBD], 2024 $ [TBD]

Year 5 Month [TBD], 2025 $ [TBD]

(c) Cancellation Ceiling: This is a CPFF completion type contract where the Contractor is authorized to be reimbursed for all costs which are allowable in accordance with FAR 52.216-7, “Allowable Costs and Payment.” Therefore, the Contractor must not incur any costs which would have been amortized over the life of the contract should the contract be cancelled in accordance with FAR 52.217-2. The cancellation ceiling for each cancellation date is indicated above.

[END OF SECTION B]

SECTION C— DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

TITLE

USAID Morodok Baitang [USAID មរតកៃបតង]

Introduction

The USAID Morodok Baitang (or “Green Heritage” in Khmer) activity seeks to contribute to the mitigation of carbon emissions at a national scale, conserve biodiversity, increase economic growth, and promote inclusive natural resource governance. It will build on past and current USAID/Cambodia investments in emissions reductions and biodiversity conservation; community income generation from ecotourism, carbon credits, and wildlife-friendly agricultural practices; and natural resource governance. This activity will reorient USAID’s environmental programming beyond landscapes approaches and will add market-based approaches as a primary focus. USAID Morodok Baitang will directly support USAID/Cambodia’s Country Development and Cooperation Strategy (CDCS) through Development Objective 1 (DO 1), Inclusive and Sustainable Economic Growth Broadened, and DO 1’s Intermediate Result (IR) 1.3, Improved Management of Natural Resources for Sustainable and Accountable Development. This activity will also strongly contribute to DO 1’s IR 1.1, Accelerated Economic Diversification for Improved Livelihoods, and IR 1.2, Improved Business Climate to Attract Investment and Create Jobs. In addition, it will contribute to other cross-cutting CDCS priorities for private sector engagement and socio-economic inclusion, including gender and youth considerations. The expected period of performance for USAID Morodok Baitang is five years.

Definitions for terms mentioned in this section:

Climate-smart agriculture (CSA): CSA is an integrated approach to managing landscapes such as croplands, livestock, forests, and fisheries to address the interlinked challenges of food security, productivity, and climate change.

Forest landscape restoration (FLR): FLR is defined as a process that aims to regain ecological functionality and enhance human well-being in deforested or degraded landscapes.

Low Emissions Development: A development approach to reduce greenhouse gas emissions, increase resilience to climate change impacts, and achieve social, economic, and environmental development goals.

Market-based approaches: Use of business models and market forces to address development and humanitarian challenges more sustainably and/or at scale.

Natural Climate Solutions (NCS) - Programs and activities that conserve, sustainably manage, and restore forests and lands to reduce land-based emissions or increase carbon sequestration.

Resilience: Ability of people, households, communities, organizations, countries, natural systems, economic systems, and other man-made systems to mitigate, adapt to, and recover from shocks and stresses in a way that reduces chronic vulnerability and facilitates inclusive growth.

Watershed management: Comprehensive maintenance of land and water resources in an area where streams drain to a defined location along a river or other water body, which meets human needs for clean water, reliable water flows, food, energy, and other natural resources while sustaining ecosystem services for ecological function, carbon storage, recreation, and other uses.

BACKGROUND AND CONTEXT

Importance of Cambodia’s biodiversity and natural resources

Cambodia is one of the most biodiverse countries in Southeast Asia, with as many as 8,260 plant species (up to 10 percent of which may be endemic) along with more than 250 species of amphibians and reptiles, and over 500 bird species.1 Forests are the dominant land type in Cambodia, with 49% of the country, or roughly 8.7 million hectares, estimated to be covered in forests.2 The country’s protected area system predominantly encompasses forest ecosystems and represents 41% of the country’s land base.

The three principal forest types found in Cambodia are relatively open deciduous forest; mostly closed semi-deciduous (also called semi-evergreen) forest; and evergreen closed forest.3 In terms of deciduous forests, Cambodia is home to the third-largest lowland open deciduous forests in Southeast Asia while the closed semi-deciduous forests are deemed to contain some of the most productive timber stands in terms of carbon storage. The Southwest of the country contains areas of evergreen closed forests in the Cardamom Mountains and the Elephant Range that are considered among the most species-rich and intact natural habitats in the region though among the least documented. Cambodia’s forests are globally outstanding for species richness, particularly for 160 mammals such as Asian elephant, douc langur, red-cheeked gibbon, pileated gibbon, wild dog, Malayan sun bear, clouded leopard, common leopard, gaur, banteng, Eld’s deer, and southern serow. In addition, 455 bird species occur in these forests including the green peafowl, greater adjutant, and critically endangered giant ibis.4

Cambodia’s forests support the livelihoods of the country’s large rural population through the sale and use of timber and non-timber forest products, fisheries, ecotourism, and the provision of important ecosystem services such as climate regulation, stabilization of water flows, mitigation of droughts and floods, and reduction of waterway sedimentation, which are closely linked to the agricultural production as well as inland fisheries. Non-timber forest products are estimated to

1 https://www.fauna-flora.org/countries/cambodia. Accessed March 2021.

2 Food and Agriculture Organization of the United Nations. 2019.

http://www.fao.org/countryprofiles/index/en/?iso3=KHM. Accessed March 2021.

3 Measuring, Reporting, and Verification Technical Team. 2018. “Cambodia Forest Cover 2018.” Cambodia Ministry of Environment. https://redd.unfccc.int/uploads/54_3_cambodia_forest_cover_resource__2016_english.pdf. Accessed March 2021.

4 Southeastern Asia: Southern Cambodia stretching into Thailand and Vietnam.

WWF. https://www.worldwildlife.org/ecoregions/im0106. Accessed February 2021.

https://www.fauna-flora.org/countries/cambodia http://www.fao.org/countryprofiles/index/en/?iso3=KHM https://redd.unfccc.int/uploads/54_3_cambodia_forest_cover_resource__2016_english.pdf https://www.worldwildlife.org/ecoregions/im0106 contribute over $26 million annually to the Cambodian economy and include honey ($18.3 million), resins ($6 million), and bamboo products ($1.6 million).5 Carbon credit sales have brought increased revenues to rural communities with the Keo Seima Wildlife Sanctuary Reducing Emissions from Deforestation and Forest Degradation (REDD+) Project alone selling 14.6 million carbon credits, ranging from $3-10 per credit, in the period from 2010-2021. Tourism, which is heavily focused on forests and forested cultural sites, employs 500,000 Cambodians and has continued to grow rapidly with foreign arrivals increasing from 2 to 5.6 million visitors between 2007 and 2017.6 Domestic tourism has also become more important as domestic incomes have increased and as the COVID-19 crisis has reduced opportunities for international travel. The tourism sector as a whole represented 21 percent of the country’s GDP in 2019 (or $5.8 billion), with ecotourism being a notable and growing sub-sector.7

Cambodia sits at the heart of the lower Mekong Basin. The annual pulse of floodwater in the basin during the rainy season dramatically increases the extent and depth of the Tonle Sap, the largest freshwater lake in southeast Asia, and forms large areas of seasonally flooded forests, creating ideal conditions for fish productivity. This productivity is then exported to the Mekong as the lake drains, supporting one of the most important fisheries in the system. Overall these freshwater systems contain 874 fish species, including the giant Mekong catfish, one of the largest freshwater fishes in the world. The “3S” Rivers (Se Kong, Se San, and Sre Pok) flow into the Mekong at Stung Treng and in the rainy season create flooded forests that are important for biodiversity conservation due to their species diversity and endemism. This region alone harbors over 300 fish species, including at least 100 endemic and 14 endangered species.8 These areas also host critically endangered birds, such as the white-shouldered ibis, as well as the largest remaining population of freshwater Irrawaddy dolphins in Southeast Asia.9

The Mekong is the one of the most productive freshwater fisheries in the world and many of the most economically-important fish species migrate for long distances between habitats in the lower basin, including the Mekong delta, Tonle Sap Lake, and spawning habitats further upstream. The inland fishery of the lower Mekong Basin produces 2.6 million tons of fish annually and supports the daily dietary consumption, food security, and livelihoods of 60 million people living in the basin10. The lower Mekong Basin in Cambodia encompasses freshwater habitats as well as

5 Watkins, K., Sovann, C., Brander, L., and Neth, B. 2016. “Mapping and Valuing Ecosystem Services in Mondulkiri:

Outcomes and Recommendations for Sustainable and Inclusive Land Use Planning in Cambodia.” WWF Cambodia.

6 Central Intelligence Agency. 2019. “Cambodia Profile.” The World Factbook:

Cambodia. https://www.cia.gov/library/publications/the-world-factbook/geos/cb.html. Accessed March 2021.

7 Maurice Andres Rawlins, Elisabeth Steinmayr,and Werner Kornexl. September 2020. “Enabling ecotourism development in Cambodia.” World Bank Blog. https://blogs.worldbank.org/eastasiapacific/enabling-ecotourism-development-cambodia. Accessed March 2021.

8 Baran, E., P. Starr, and Y. Kura. 2011. “Influence of Built Structures on Tonle Sap Fisheries.” Cambodia National Mekong Committee and the WorldFish Center. Phnom Penh, Cambodia. 2007, p 23.

https://www.worldfishcenter.org/content/influence-built-structures-tonle-sap-fisheries-synthesis-report-0. Accessed March 2021.

9 Stefan Lovgren. April 2019. “Cambodia’s endangered river dolphins at highest population in 20 years.” National Geographic. https://www.nationalgeographic.com/animals/article/irawaddy-river-dolphin-population-biggest-20-years.

Accessed March 2021.

10 Brian Eyler and Courtney Weatherby. March 2019. “Sustaining the Heartbeat of the Mekong Basin.” China Dialogue. https://chinadialogue.net/en/energy/11126-sustaining-the-heartbeat-of-the-mekong-basin/. Accessed March 2021.

https://www.cia.gov/library/publications/the-world-factbook/geos/cb.html https://blogs.worldbank.org/eastasiapacific/enabling-ecotourism-development-cambodia https://blogs.worldbank.org/eastasiapacific/enabling-ecotourism-development-cambodia https://www.worldfishcenter.org/content/influence-built-structures-tonle-sap-fisheries-synthesis-report-0 https://www.nationalgeographic.com/animals/article/irawaddy-river-dolphin-population-biggest-20-years https://chinadialogue.net/en/energy/11126-sustaining-the-heartbeat-of-the-mekong-basin/ seasonally flooded forests including the Tonle Sap, which alone provides ~500,000 tons and an estimated 75% of the protein intake of all Cambodians.11 Fisheries are also a significant source of employment for an estimated 1.3 million Cambodians who are actively engaged in fisheries across the country, with roughly 1 million being engaged in fishing, over 200,000 working as fish processors, and roughly 81,000 working as fish farmers.

Cambodia has a 435 km coastline and an Exclusive Economic Zone of 55,600 km² including 69 offshore islands.12 Cambodia’s coastal and marine areas contain marine mammals such as dugongs, marine dolphins, and whales as well as marine turtles, crustaceans, and mollusks.13 The coastal region also features beach, forest and strand vegetation, mangroves, estuarine ecosystems, seagrass, and coral reefs that contain a wide variety of economically-important species. The offshore marine zone harbors approximately 70 species of coral, with coral reefs surrounding most islands.14 There are over 32,000 hectares of seagrass with 10 seagrass species. The coastline in Kampot Province is home to one of the most important seagrass areas in all of Southeast Asia, providing spawning and nursery grounds for many aquatic species and sequestering large amounts of carbon.15 The four coastal provinces harbor 30 species of mangroves across an estimated 50,000 hectares, with 80 percent of mangroves concentrated in Koh Kong Province.16

The coastal and near-shore marine ecosystems of Cambodia contribute significantly to local livelihoods through employment opportunities and subsistence fishing. These areas contain about 7.1% of its total population and Cambodia’s ocean economy contributes $2.5 billion or 16 percent of GDP.17 The marine fishery produced 121,000 tonnes (or 18.6%) of the national fish catch in

2017.18 Coastal and marine tourism is also an important and growing economic driver. For example, in 2016 Preah Sihanouk Province alone welcomed nearly 2.4 million tourists, which generated $96 million in revenue.19 In addition, coastal communities depend upon the physical structure of coral reefs, seagrass beds, and mangroves to buffer them against the impacts of climate

11 Ibid. Accessed March 2021.

https://chinadialogue.net/en/energy/11126-sustaining-the-heartbeat-of-the-mekong-basin/.

12 United Nations Food and Agriculture Organization. May 2019. “Fishery and Aquaculture Country Profiles: The Kingdom of Cambodia”. http://www.fao.org/fishery/facp/KHM/en. Accessed March 2021.

13 Cambodia Country Page. Accessed February 2021. Mangroves for the Future.

http://www.mangrovesforthefuture.org/countries/members/cambodia/. Accessed March 2021.

14 Sea Circular, Country Profile Cambodia, May 2020. UN Environment Programme. https://www.sea-circular.org/wp-content/uploads/2020/05/SEA-circular-Country-Profile_CAMBODIA.pdf. Accessed March 2021.

15 Kaarlep, A. 2015. “Socioeconomic survey on the importance of seagrass beds to coastal communities in Kampot Province.” Thailand: IUCN. 46 pp.:

http://cmsdata.iucn.org/downloads/jan_2015_bcr_kampot_seagrass_report__final_draft_26_3_15__final.pdf.

Accessed March 2021.

16 Ministry of Environment and Mangroves for the Future. 2013 “National Strategy and Action Plan: 2014-2016.”

http://www.mangrovesforthefuture.org/assets/Repository/Documents/Cambodia-NSAP-2013-07-04-Webversion.pdf.

Accessed March 2021.

17 Partnerships in Environment for the Seas of Southeast Asia. 2018. State of the Oceans and Coasts - Cambodia.

http://pemsea.org/sites/default/files/NSOC_Cambodia.pdf. Accessed March 2021.

18 United Nations Food and Agriculture Organization. May 2019. “Fishery and Aquaculture Country Profiles: The Kingdom of Cambodia”. http://www.fao.org/fishery/facp/KHM/en. Accessed March 2021.

19 Sea Circular, Country Profile Cambodia, May 2020. UN Environment Programme. https://www.sea-circular.org/wp-content/uploads/2020/05/SEA-circular-Country-Profile_CAMBODIA.pdf. Accessed March 2021.

https://chinadialogue.net/en/energy/11126-sustaining-the-heartbeat-of-the-mekong-basin/ http://www.fao.org/fishery/facp/KHM/en http://www.mangrovesforthefuture.org/countries/members/cambodia/ https://www.sea-circular.org/wp-content/uploads/2020/05/SEA-circular-Country-Profile_CAMBODIA.pdf https://www.sea-circular.org/wp-content/uploads/2020/05/SEA-circular-Country-Profile_CAMBODIA.pdf http://cmsdata.iucn.org/downloads/jan_2015_bcr_kampot_seagrass_report__final_draft_26_3_15__final.pdf http://www.mangrovesforthefuture.org/assets/Repository/Documents/Cambodia-NSAP-2013-07-04-Webversion.pdf http://pemsea.org/sites/default/files/NSOC_Cambodia.pdf http://www.fao.org/fishery/facp/KHM/en https://www.sea-circular.org/wp-content/uploads/2020/05/SEA-circular-Country-Profile_CAMBODIA.pdf https://www.sea-circular.org/wp-content/uploads/2020/05/SEA-circular-Country-Profile_CAMBODIA.pdf change, including sea-level rise and increased storm surges, and the effective interaction of these three ecosystems operating in concert provides far more protection than they would individually.20

Threats to Cambodia’s biodiversity and natural resources

In spite of their significant economic, environmental, and cultural importance Cambodia’s biodiverse and productive ecosystems face pressure from other land uses, subsistence needs, and illegal activities.21 As the country has emerged from its protracted and violent period of civil unrest there have been significant improvements in economic status and living conditions for a considerable percentage of the population. According to 2020 Asian Development Bank statistics, the poverty rate in 2018 was 12.9%, compared to 47.8% in 2007, and Cambodia has now attained lower middle-income status, though many rural families have only slightly emerged from poverty.

Also, with the return to peace a considerable amount of Foreign Direct Investment has been injected into the economy, most notably in the infrastructure, textile, agricultural, and tourism sectors. This rapid, often opportunistic, development is putting severe pressure on remaining natural habitats and rare species and actions required to manage these resources sustainably are underfunded and de-emphasized by the government over other priorities. In addition, land security is a major issue in Cambodia, fueled by land concessions that have negatively affected livelihoods and economies of rural communities.22

In recent years, Cambodia has experienced one of the fastest deforestation rates in the world with many of the forested areas in the country, including those in protected areas, being cleared for agriculture, rubber plantations, and timber extraction.23 Cambodia lost nearly 2.2 million hectares of tree cover between 2001 and 2018, and the annual rate of loss increased by almost 300 percent during the same period. Data from Global Forest Watch show that, since 2001, Cambodia has lost about 24 percent of its tree cover, a much higher percentage than larger forested countries such as Brazil and Indonesia.24 This rapid deforestation rate, which has reduced forest cover to ~49 percent, undermines Cambodia’s efforts to reach its goal of 60 percent forest cover by 2030 (Scenario 1) set in its first Nationally Determined Contribution (NDC) under the United Nations Framework Convention on Climate Change.25

Additionally, the undervaluation of ecological services provided by forests such as soil fertility, carbon sequestration, and watershed stability are also contributing to poor decision making that

20 Guannel, G., K. Arkema, P. Ruggiero, and G. Verutes. 2016. “The Power of Three: Coral Reefs, Seagrasses and Mangroves Protect Coastal Regions and Increase Their Resilience.” PLoS ONE 11(7): e0158094. Available:

https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0158094. Accessed March 2021.

21 USAID/Cambodia Foreign Assistance Act 118/119 Tropical Forests and Biodiversity Analysis. July 2019.

22 Chanrith, N., N. Baromey, and H. Naret. 2016. “Impacts of Economic Land Concessions on Project Target Communities Living Near Concession Areas in Virachey National Park and Lumphat Wildlife Sanctuary, Ratanakiri Province.” Save Cambodia’s Wildlife.

23 NASA Earth Observatory. 2017 https://earthobservatory.nasa.gov/images/89413/cambodias-forests-are-disappearing. Accessed March 2021.

24 “What’s Happening in Cambodia’s Forests?” September 2019. Global Forest Watch.

https://blog.globalforestwatch.org/data-and-research/whats-happening-in-cambodias-forests/. Accessed March 2021.

25 Cambodia’s Updated National Determined Contribution. December 2020. Royal Government of Cambodia.

https://www4.unfccc.int/sites/ndcstaging/PublishedDocuments/Cambodia%20First/20201231_NDC_Update_Cambodi a.pdf. Accessed March 2021.

https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0158094 https://earthobservatory.nasa.gov/images/89413/cambodias-forests-are-disappearing https://earthobservatory.nasa.gov/images/89413/cambodias-forests-are-disappearing https://blog.globalforestwatch.org/data-and-research/whats-happening-in-cambodias-forests/ https://www4.unfccc.int/sites/ndcstaging/PublishedDocuments/Cambodia%20First/20201231_NDC_Update_Cambodia.pdf https://www4.unfccc.int/sites/ndcstaging/PublishedDocuments/Cambodia%20First/20201231_NDC_Update_Cambodia.pdf fuels Cambodia’s rapid deforestation rate. For example, a recent assessment of business models for low-emission land-use management in Asia confirmed that the key barriers impeding private sector investments in low emissions development are the apparent lack of ‘investible’ agriculture, forestry and other land use (AFOLU) sector businesses due to undervaluation and other issues related to secure tenure and oversight of land-based biological resources.26 A recent study on commodity-driven forest loss in the Southeast Asia region provided recommendations for Cambodia to establish profitable, carbon-intense crops on degraded lands, reduce charcoal and fuelwood use, scale up climate smart agriculture practices, and improve forest policy and law enforcement to address forest loss in Cambodia.27

The main threats facing forests, in Cambodia are land clearing in economic land concessions (known as ELCs); land grabbing primarily for small-scale land conversion for agriculture (including the conversion of flooded forests in the wider Tonle Sap floodplain); and timber and wildlife poaching, especially of high-value species such as Siamese rosewood, which is in high demand in nearby markets in Vietnam and China. Emerging threats to forest ecosystems due to expanding economic activity in Cambodia include mining operations and the construction of infrastructure such as roads, railways, and powerlines.28

Large-scale land conversion in Cambodia has primarily occurred through the granting and development of ELCs for numerous export crops, including rubber, cashews, cassava, and sugar.

Nearly half of the areas where ELCs were granted between 2000 and 2012 were forested in 2000, representing 12.4% of forest land cover in Cambodia. However, within ELCs the annual rate of forest loss was between 29% and 105% higher than in comparable land areas outside these concessions.29 Despite a 2012 moratorium on issuance of new ELCs sources indicate that over 32,000 hectares of concessions have been granted since that time, 25,000 hectares of which are in protected areas.30 ELCs also are often granted without consultations concerning traditional use or customary land rights, consideration of protected area status, and analysis of the disproportionate impacts that women and marginalized groups face due to displacements and relocations associated with ELCs.31 According to information from provincial leaders, central ministries in Phnom Penh often grant ELCs without consulting with the local authorities or communities.32 These illegal activities extend beyond the corrupt individuals participating in the illicit trade, implicating ELC operators who have licenses to cut wood legally to clear areas for agriculture, but often expand timber cutting beyond the designated areas in their concessions or purchase and sell illegally-felled

26 USAID. The Assessment of Business Models for Low-Emission Land-Use Management in Asia. February 2017.

https://pdf.usaid.gov/pdf_docs/pa00mk9d.pdf 27 USAID. Commodity-driven Forest Loss, A Study of Southeast Asia: A Summary for Policy Makers. March 2021.

https://servir.adpc.net/sites/default/files/public/publications/attachments/Commodity%20Driven%20Forest%20Loss%2 0Study%20SE%20Asia%20%E2%80%93%20Policymaker%20Summary.pdf 28 USAID/Cambodia Foreign Assistance Act 118/119 Tropical Forests and Biodiversity Analysis. July 2019.

29 K.F. Davis et al. September 2015. “Accelerated deforestation driven by large-scale land acquisitions in Cambodia.”

Nature Geoscience. https://www.nature.com/articles/ngeo2540. Accessed March 2021.

30 Beauchamp, E., T. Clements, E. J. Milner-Gulland. 2018. “Exploring trade-offs between development and conservation outcomes in Northern Cambodia.” Land Use Policy 71: 431-444.

31 Convention on the Elimination of All Forms of Discrimination against Women. Concluding observations on the combined fourth and fifth periodic reports of Cambodia. https://www.refworld.org/pdfid/52f386a94.pdf.

32 USAID/Cambodia Foreign Assistance Act 118/119 Tropical Forests and Biodiversity Analysis. July 2019.

https://pdf.usaid.gov/pdf_docs/pa00mk9d.pdf https://servir.adpc.net/sites/default/files/public/publications/attachments/Commodity%20Driven%20Forest%20Loss%20Study%20SE%20Asia%20%E2%80%93%20Policymaker%20Summary.pdf https://servir.adpc.net/sites/default/files/public/publications/attachments/Commodity%20Driven%20Forest%20Loss%20Study%20SE%20Asia%20%E2%80%93%20Policymaker%20Summary.pdf https://www.nature.com/articles/ngeo2540 https://www.refworld.org/pdfid/52f386a94.pdf trees from outside their ELCs.33 There are regular news reports citing that ELC operators are laundering illegal timber from adjacent areas, including protected areas such as the Prey Lang Wildlife Sanctuary.

Habitat conversion for agriculture, expanded settlements, and more recently, land speculation, is widespread in Cambodia and adversely impacts protected areas as well. Though roughly 41 percent of Cambodia’s land is under protected status,34 between 2001 and 2018 Cambodia’s protected areas lost 557,000 hectares of tree cover,35 or about 7 percent of the total protected area in the country. Primary threats to wildlife in these areas are deforestation from large-scale conversion of forests and wetlands to agriculture and other land uses, timber and wildlife poaching, loss of habitat, and overfishing. Weak law enforcement and rampant domestic and cross-border trade in wildlife with neighboring countries have fueled an increase in the rates of hunting and illegal logging inside Cambodian protected areas, including in remote regions where these issues had not formerly been a problem. The case of illegal logging by the Think Biotech ELC in the Prey Lang Wildlife Sanctuary exemplifies this issue.36 Human displacement due to ELCs, land degradation, and weak land tenure rights has also caused encroachment into natural areas, including protected areas. Land conversion is widespread in forested and other terrestrial areas including flooded forests and grasslands. Small-scale land grabbing is an issue that is likely facilitated by local or provincial officials in exchange for bribes or political allegiances.37 Also, the creation of protected areas often disproportionately impacts the poor, as traditional lands or rights holders are displaced, access to forest products are curtailed, and the benefits of tourism are poorly distributed.

Stakeholders interviewed near the Ramsar Prek Toal site reported little advantage from this globally significant protected area and UNESCO site.38 This has been borne out by researchers working on the Foreign Assistance Act Sections 118 and 119 Analyses (FAA 118/119 Report) who reported that stakeholders working in or near protected areas indicated that land grabbing was increasing while most villagers living adjacent to these areas lacked even basic access to clean water. While the relationship between poverty and biodiversity loss is complex, in general poverty contributes to timber and wildlife poaching, land grabbing and other encroachment, and unsustainable uses of non-timber forest products.39

33 Sabados, Katarina. March 6, 2018. “Corruption is Destroying Cambodia’s Forests”. Organized Crime and Corruption Reporting Project. https://www.occrp.org/en/daily/7732-corruption-is-destroying-cambodia-s-forests.

Accessed March 2021.

34 “Government renews vow to protect Prey Lang.” March 9, 2021. Phnom Penh Post.

https://www.phnompenhpost.com/national/govt-renews-vow-guard-prey-lang. Accessed March 2021.

35 “What’s Happening in Cambodia’s Forests?” September 2019. Global Forest Watch. https://blog.globalforestwatch.org/data-and-research/whats-happening-in-cambodias-forests/. Accessed March 2021.

36 Keeton-Olsen, Danielle. May 2020. “Cambodian firm accused of creating a ‘monopoly in the timber business’.”

Mongabay.…