72051422R00010 (00) - Tierra Dorada RFP.pdf

Date Issued: .........................................................................................................June 3rd, 2022 Questions Due date and time: ....................................... June 21, 2022 – 15:00 Bogota Time (LT)

Past Performance Information due date and time ...................................July 11, 2022– 15:00 LT

Closing Date and time: ........................................................................ July 21, 2022 – 15:00 LT

Subject: Request for Proposals (RFP) No. 72051422R00010 – USAID/Colombia’s Golden

Land/ Tierra Dorada Activity

The United States Agency for International Development (USAID), represented by the United States Agency for International Development Mission to Colombia (USAID/Colombia), is seeking proposals to provide services as described in the attached Request for Proposals (RFP).

The authorized Principal Geographic Code for this solicitation is 937. The NAICS Code for this solicitation is 541620 – Environmental Consulting Services.

USAID anticipates awarding a single Cost Plus Fixed Fee Completion Contract. The Total Estimated Cost of this Contract is between $21,000,000 and $25,000,000.

Please refer to Section L for information regarding proposal requirements. The Offeror is responsible for ensuring proposals are received at USAID by the due date and time as specified in this cover page. Failure to comply with the submission date will deem any submission unacceptable and it will not be reviewed or evaluated.

Section L of this RFP sets forth all instructions for the preparation and submission of required proposal contents. Section M states the criteria by which proposals will be evaluated. This competition will utilize a Highest Technical Rated with Fair and Reasonable Price and Realistic Cost (HTR) process, not a tradeoff process. In this process, USAID is concerned with getting the best technical solution that has a fair and reasonable price and realistic cost. There will not be a tradeoff to justify paying a premium for a higher technical rated proposal.

Questions and comments related to this RFP must be submitted in accordance with the instructions found in Section L of the solicitation and received at USAID by the due date and time as specified in this cover page. Oral explanations or instructions given before award of the contract that are not formalized with an amendment will not constitute a formal amendment of the RFP and will not be binding.

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.

USAID expects that Offerors will have equal access to all local organizations needed to implement this contract and strongly discourages exclusivity agreements with local organizations.

RFP No. 72051422R00010 USAID’s Tierra Dorada / Golden Land Activity

This RFP can be viewed and downloaded from www.sam.gov. USAID bears no responsibility for data errors resulting from transmission or conversion processes. Further, be aware that amendments to solicitations are occasionally issued and will be posted on the same website from which you downloaded the solicitation. USAID advises to regularly check the above website for amendments.

Interested firms can register and use the Interested Vendor List (IVL) accessible through this solicitation on www.sam.gov, so that firms can contact one another for consideration of teaming arrangements and/or small business subcontracting opportunities in response to this solicitation.

Thank you for your interest in USAID programs.

Sincerely, William Sedlak Contracting Officer USAID/Colombia http://www.sam.gov/

72051422R00010

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

3 150

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

G

F

E

D

C

B

A

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

06/03/2022 X

720514

USAID/Colombia Office of Acquisition & Assistance Unit 3030, Box 5101

DPO, AA 34004

34004

1500 R 07/18/2022

Miguel Atuesta 011 162 matuesta@usaid.gov

571-2754

PAGE(S)

William Sedlak

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

TABLE OF CONTENTS

SECTION B – SUPPLIES OR SERVICES AND PRICE/COSTS

B.2. CONTRACT TYPE

B.3. ESTIMATED COST, FIXED FEE, AND OBLIGATED AMOUNT

B.4. INDIRECT COSTS (DEC 1997)

B.5. COSTS REIMBURSABLE

B.6. PAYMENT OF FIXED FEE

B.7. GRANTS UNDER CONTRACT (GUC)

SECTION C – DESCRIPTION/ STATEMENT OF WORK (SOW)

C.1. TITLE OF ACTIVITY

C.2. PURPOSE

C.3. BACKGROUND

C.4. GOAL AND OBJECTIVES

C.5. TECHNICAL APPROACH AND EXPECTED RESULTS

C.6. SPECIAL REQUIREMENTS

C.7. OTHER TECHNICAL REQUIREMENTS AND APPLICABLE PRINCIPLES

C.8. GEOGRAPHICAL RANGE AND TARGET POPULATION

SECTION D – PACKAGING AND MARKING

D.1. AIDAR 752.7009 MARKING (JAN 1993)

D.2. BRANDING AND MARKING POLICY

SECTION E - INSPECTION AND ACCEPTANCE

E.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE . 49

E.2. INSPECTION AND ACCEPTANCE

SECTION F – DELIVERIES OR PERFORMANCE

F.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE . 50

F.2. PERIOD OF PERFORMANCE

F.3. PLACE OF PERFORMANCE

F.4. PERFORMANCE EVALUATION

F.5. REPORTS AND DELIVERABLES

F.6. PROJECT MANAGEMENT AND STAFFING

F.7. AUTHORIZED WORK DAY/WEEK

F.8. DELIVERABLES MATRIX

SECTION G – CONTRACT ADMINISTRATION DATA

G.1. AIDAR 752.7003 DOCUMENTATION FOR PAYMENT (NOV 1998)

G.2. CONTRACTING OFFICER (CO)

G.3. CONTRACTING OFFICER’S REPRESENTATIVE (COR)

G.4. CONTRACTOR’S PRIMARY POINT OF CONTACT

G.5. CONTRACTOR’S PAYMENT ADDRESS

G.6. ACCEPTANCE AND APPROVAL

G.7. TECHNICAL DIRECTIONS/RELATIONSHIP WITH USAID

G.8. PAYING OFFICE

G.9. ACCOUNTING AND APPROPRIATION DATA

SECTION H – SPECIAL CONTRACT REQUIREMENTS

H.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE . 80

H.2 AUTHORIZED GEOGRAPHIC CODE

H.3 ADDITIONAL REQUIREMENTS FOR PERSONNEL COMPENSATION

H.4 DEFENSE BASE ACT INSURANCE RATES

H.5 EXECUTIVE ORDER ON TERRORISM FINANCING

H.6 ELECTRONIC PAYMENTS SYSTEM

H.7 SUBMISSION OF DATASETS TO THE (DDL) (OCTOBER 2014)

H.8 USAID-FINANCED THIRD-PARTY WEB SITES (NOVEMBER 2017)

H.9 TRANSITION OF KNOWLEDGE, SKILLS AND ABILITIES

H.10 LIMITATION ON ACQUISITION OF INFORMATION TECHNOLOGY (APRIL

2018) (DEVIATION NO. M/OAA-DEV-FAR-20-3c and M/OAA-DEV-AIDAR-20-2c)

(APRIL 2020)

H.11 ENVIRONMENTAL COMPLIANCE

H.12 FOREIGN GOVERNMENT DELEGATIONS TO INTL CONFERENCES

H.13 EXCHANGE VISITORS AND TRAINING

H.14 GOVERNMENT FURNISHED FACILITIES OR PROPERTY

H.15 INHERENTLY GOVERNMENTAL AND CLOSELY ASSOCIATED FUNCTIONS

H.16 PERFORMANCE MANAGEMENT INFORMATION SYSTEM

H.17 PRESS RELATIONS

H.18 PROHIBITION OF ASSISTANCE TO DRUG TRAFFICKERS

H.19 SECURITY CONDITIONS

H.20 LIFE SUPPORT AND SECURITY SERVICES

H.21 TITLE TO AND CARE OF PROPERTY

H.22 GRANTS UNDER CONTRACTS (GUC)

SECTION I – APPLICABLE CLAUSES

I.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE . 95

I.2. AIDAR CLAUSES INCORPORATED BY REFERENCE (MAR 2015)

I.3. AIDAR SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (MAR

2015) 102

I.4. 52.244-2 SUBCONTRACTS (JUN 2020)

I.5. 52.223-99 ENSURING ADEQUATE COVID-19 SAFETY PROTOCOLS FOR

FEDERAL CONTRACTORS (OCT 2021) (DEVIATION #M/OAA-DEV-FAR-22-01c) .. 104

SECTION J – ATTACHMENTS, EXHIBITS AND OTHER DOCUMENTS

J.1 BRANDING AND IMPLEMENTATION PLAN AND MARKING PLAN

TEMPLATE AND GUIDANCE

J.2 INITIAL ENVIRONMENTAL EXAMINATION (IEE)

J.3 USAID/COLOMBIA GENDER ANALYSIS AND ASSESSMENT

J.4 SECTION 889 RULE GUIDANCE

J.5 DIGITAL ECOSYSTEM COUNTRY ASSESSMENT (2020)

J.6 BIOGRAPHICAL DATA SHEETS

J.7 AMEL PLAN TEMPLATE AND GUIDANCE

J.8 BUDGET GUIDANCE AND TEMPLATE

J.9 PRIVATE SECTOR ENGAGEMENT GUIDANCE

J.10 ACRONYMS LIST

J.11 PAST PERFORMANCE INFORMATION

SECTION K – REPRESENTATIONS, CERTIFICATIONS, AND OTHER

STATEMENTS

K.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE107

K.2. 52.204-8 ANNUAL REPRESENTATIONS AND CERTIFICATIONS (NOV 2021)107

K.3. 52.242-4 CERTIFICATION OF FINAL INDIRECT COSTS (JAN 1997)

K.4. 52.204-24 REPRESENTATION REGARDING CERTAIN

TELECOMMUNICATIONS AND VIDEO SURVEILLANCE SERVICES OR EQUIPMENT

(NOV 2021)

K.5. 52.204-26 COVERED TELECOMMUNICATIONS EQUIPMENT OR SERVICES-

REPRESENTATION. (OCT 2020)

K.6. 52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS (OCT 2018)

K.7. 52.209-12 CERTIFICATION REGARDING TAX MATTERS (OCT 2020)

K.8. 52.209-13 VIOLATION OF ARMS CONTROL TREATIES OR AGREEMENTS

CERTIFICATION (NOV 2021)

K.9. 52.230-1 COST ACCOUNTING STANDARDS NOTICES (JUN 2020)

K.11. INSURANCE - IMMUNITY FROM TORT LIABILITY

K.12. KEY INDIVIDUAL CERTIFICATION NARCOTICS OFFENSES AND DRUG

TRAFFICKING

K.13. SIGNATURE

SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS

OR RESPONDENTS

L.1. 52.252-1 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (FEB

1998) 126

L.2. WAIVERS UNDER FAR PART 4.2101 PROHIBITION ON COVERED

TELECOMMUNICATIONS AND VIDEO SURVEILLANCE SERVICES AND

EQUIPMENT (DEC 2021)

L.3. GENERAL INSTRUCTIONS TO OFFERORS

L.4. DELIVERY INSTRUCTIONS

L.5. INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL132

L.6. INSTRUCTIONS FOR THE PREPARATION OF THE COST/BUSINESS

PROPOSAL (SEE SECTION M.3)

SECTION M - EVALUATION FACTORS FOR AWARD

M.1. GENERAL INFORMATION

M.2. METHOD OF EVALUATION (SEE Section L.5)

M.3. TECHNICAL EVALUATION CRITERIA

M.4. COST EVALUATION (See Section L.6)

M.5. DETERMINATION OF THE COMPETITIVE RANGE

SECTION B – SUPPLIES OR SERVICES AND PRICE/COSTS

B.1. PURPOSE

The purpose of this Contract is to provide services that fall within the Statement of Work (SOW) specified in Section C below.

B.2. CONTRACT TYPE

This is a Cost-plus-Fixed-Fee (CPFF) Completion Contract. For the consideration set forth in the Contract, the Contractor must provide the deliverables or outputs described in Section C and comply with all Contract requirements.

B.3. ESTIMATED COST, FIXED FEE, AND OBLIGATED AMOUNT

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 estimated Cost-plus Fixed Fee, if any, is [TBD]. Within the estimated CPFF (if any) specified in the paragraph 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]. The Contractor must not exceed the aforesaid obligated amount. Funds obligated hereunder are anticipated to be sufficient through [TBD].

The following is the Budget summary for this activity:

Description Total ($)

Activity Costs…………………………………. [TBD]

Non-construction subcontractor activities………

Construction sub activities [8% of AF]………… Grants under Contract…………………………..

Total Activity Fund…………………………….

[TBD]

[TBD]

[TBD]

[TBD]

Total Estimated Cost………………………….. [TBD]

Fixed-Fee………………………………………. [TBD]

Total Estimated Cost-Plus Fixed Fee………… [TBD]

The inclusion of any costs in the budgets above does not obviate the requirement for prior approval by the Contracting Officer (CO) of cost items designated as requiring prior approval by any of the terms and conditions of this Contract, including the applicable cost principles (see FAR 52.216-07, “Allowable Cost and Payment”); nor does it constitute a determination of allowability by the CO of any item of cost, unless specifically stated elsewhere in this Contract.

The Contractor will not bill any amounts against this Contract in excess of the amounts specified for each line item.

https://www.acquisition.gov/far/part-52#FAR_52_216_7

B.4. INDIRECT COSTS (DEC 1997)

The contract clause entitled “Allowable Cost and Payment (AUG2018)”, FAR Subpart 52.216-7, specifies that the indirect cost rates must be established for each of the Contractor’s accounting periods which apply to this contract. 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:

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:.

B.5. COSTS REIMBURSABLE

The U.S. dollar costs allowable will 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,” FAR 52.232-20, “Limitation of Cost,” and FAR 52-232-22, “Limitation of Funds,” if applicable, and AIDAR 752.7003, “Documentation for Payment.”

B.6. PAYMENT OF FIXED FEE

Pursuant to FAR 16.306(d), payment of fixed fee will be based on completion of the deliverables described in Section F.8, subject to inspection and acceptance by USAID as specified in Section E of the contract. Upon acceptance by USAID and receipt of approval from the CO, the Contractor will submit an invoice for the amount of the fee associated with the deliverable.

B.7. GRANTS UNDER CONTRACT (GUC)

Adjustments between the estimated Activity Costs and Grants Under Contract budget line items are not authorized. The amount for GUCs must only be used for grants.

[END OF SECTION B]

https://www.acquisition.gov/far/part-52#FAR_52_216_7 https://www.acquisition.gov/far/part-52#FAR_52_216_8 https://www.acquisition.gov/far/part-52#FAR_52_232_20 https://www.acquisition.gov/far/part-52#FAR_52_232_20 https://www.acquisition.gov/aidar/part-752-solicitation-provisions-and-contract-clauses#Section_752_7003_T48_501836314 https://www.acquisition.gov/far/part-16#FAR_16_306

SECTION C – DESCRIPTION/ SPECIFICATIONS/ STATEMENT OF WORK (SOW)

C.1. TITLE OF ACTIVITY

USAID’s Tierra Dorada / Golden Land Activity (hereafter also referred to as “Tierra Dorada” or the “Activity”).

C.2. PURPOSE

The Tierra Dorada Activity aims to reduce greenhouse gas emissions, promote biodiversity conservation and support licit livelihoods through the development and support of socially and environmentally responsible artisanal and small-scale mining (ASM) activities and alternative sustainable economic opportunities. Responsible ASM1 and alternative sustainable economic opportunities supported by this Activity will also advance USAID’s efforts to strengthen governance, expand licit livelihood opportunities, and promote more competitive, sustainable, and licit economies in support of USAID/Colombia’s Country Development Cooperation Strategy (CDCS).

The Tierra Dorada Activity will align with two of the CDCS’ central Development Objectives (DO) and related Intermediate Results (IRs). More specifically, the Activity will support DO2 “Strengthened governance to meet citizen needs and increase citizen confidence in the state”: IR

2.1 “Expanded state presence and more community-responsive state service delivery systems”, and the IR 2.2 “Greater citizen engagement in governance processes” and DO3 “Promote Equitable and Environmentally Sustainable Economic Growth”: IR 3.1 “Expanded Licit Livelihood Opportunities”, and 3.2 “More Competitive Licit Economies”. The Activity also aligns with the Shared IR 2/3.1 “Improved management of strategic assets for inclusive economic growth”, sub-IR 2/3.1.4 “Improved conservation of biodiversity and natural resources through ecosystem management”. Finally, the Activity will contribute to the CDCS’ Performance Management Plan, Basket of Target indices: (1) Partner Commitment; (4) Rule of Law; (6) Citizen Engagement; (7) Licit Livelihoods; (8) Inclusive Economic Growth; (10) Empowerment; and particularly to the Target No. 11 “Environmental sustainability increases by 15% in the target geography by 2025”.

C.3. BACKGROUND

Artisanal Small-Scale Mining (ASM) can have extremely negative environmental and social impacts but also promises opportunities for licit sustainable economic and inclusive development when done properly2 3. For the purpose and objectives of this Activity, Artisanal Small-Scale

1 “Responsible mining is commonly defined as mining that involves and respects all stakeholders, minimizes and takes account of its environmental impact, and prioritizes a fair division of economic and financial benefits. There is a strong focus on stakeholder engagement, involving governments and the affected communities” https://en.wikipedia.org/wiki/Responsible_mining#cite_note-1; citing: Bice, S. (2016); Broad, R. (2014); Arvanitidis N., Boon J., Nurmi P. and Di Capua G. (2017).

2 https://doi.org/10.1016/j.jclepro.2018.07.142

3 United Nations Environment Program. International Resource Panel (2020). Mineral Resource Governance in the 21st Century.

https://en.wikipedia.org/wiki/Responsible_mining#cite_note-1 https://doi.org/10.1016/j.jclepro.2018.07.142 https://www.unep.org/resources/report/mineral-resource-governance-21st-century

Mining (ASM) is defined to be limited to the exploitation of gold ore4 and of platinum and silver when obtained with gold in the same ore or when exploited in the same municipality where gold exploitation is the primary mining activity and where illegal or informal mining is an issue.

Colombia is the 18th world gold producer, and the third gold producer in Latin America and the Caribbean as of 20215. However, the Department of Chocó is the main producer of platinum in Latin America; most of that platinum is mined jointly with gold. The highest platinum demand is for the automotive industry use as catalyzer for the reduction of greenhouse gas (GHG) emissions6. In Colombia, silver mining is also associated with the exploitation of gold, and jointly with it, both minerals are highly demanded for jewelry7. Although there are no official figures, it is widely considered that most of the platinum and silver exploited in Colombia is mined informally or illegally.

Illegal mining is any activity of exploration, extraction, or use of mineral deposits without a valid mining title, the authorization of the legal holder of the site8, and/or an environmental license. A mining title is a temporary legal concession made by the Colombian State for the exploitation of minerals; a revoked environmental license results in the loss of the mining rights granted by the State. Use of mercury is illegal in Colombia9 and therefore any ASM exploitation involving the use of mercury to extract gold is an illicit activity. As of 2020, Colombia is considered the fourth mercury polluter in the world10.

Mining formalization, legalization, and business development

Mining formalization is a precondition for the sustainable development of the ASM sector11 12.

Frequently, mining legalization, formalization, and business building (fomento) are considered as separate issues; however, they are part of the formalization continuum. Legalization is the first and foremost step in the route to formalization, whereas the Colombian term “fomento” or business development is the ultimate goal of mining formalization. According to the Colombian Constitution, the State is the only owner of the subsoil and non-renewable natural resources13.

The Colombian Constitution also establishes that the State is responsible for the management, 4 “Ore is natural rock or sediment that contains one or more valuable minerals, typically containing metals, that can be mined, treated and sold at a profit”. DILL, H.G. (2010) The “chessboard” classification scheme of mineral deposits: Mineralogy and geology from aluminum to zirconium, Earth-Science Reviews, Volume 100, Issue 1-4, June 2010, Pages 1-420.

(https://doi.org/10.1016/j.earscirev.2009.10.011)

5 https://www.gold.org/goldhub/data/historical-mine-production

6 UPME. Platino. Balance 2012-2016. Modelo de oferta y demanda 2018 - 2035 7 UPME. Plata. Balance 2012-2016. Modelo de oferta y demanda 2018 - 2035 8 Code of Mines - Law 685 of 2001: Article 159; also, Penal Code, Articles 338, and 160.

9 Law 1658 of 2013.

10 Planet Gold. Annual Progress Report 2019/2020

11 https://doi.org/10.1016/j.resourpol.2020.101582

12 https://doi.org/10.1016/j.envsci.2021.03.007

13 Political Constitution of Colombia: Article 332.

https://doi.org/10.1016/j.earscirev.2009.10.011 https://www.gold.org/goldhub/data/historical-mine-production http://www1.upme.gov.co/simco/Cifras-Sectoriales/Datos/mercado-nal/MNAL_platino.pdf http://www1.upme.gov.co/simco/Cifras-Sectoriales/Datos/mercado-nal/MNAL_plata.pdf https://encolombia.com/derecho/codigos/minas/ https://www.anm.gov.co/sites/default/files/ley_1658_2013.pdf https://www.planetgold.org/sites/default/files/planetGOLD_20192020_Progress_Report.pdf https://doi.org/10.1016/j.resourpol.2020.101582 https://doi.org/10.1016/j.envsci.2021.03.007 https://www.constituteproject.org/constitution/Colombia_2015.pdf?lang=en sustainable use, protection and conservation of natural resources14. These are the two underlying principles for defining legal mining in Colombia; nonetheless, the regulatory requirements for formalization are quite complex.

Formalization is defined as a “continuous process of improvement”15 toward the adoption and compliance of legal, technical, environmental, working, economic, and social aspects of the mining business. As of 2021, the legalization-formalization process allows for up to seven different legal routes leading to a mining concession contract16.

Subsistence Mining and Informal Mining Subsistence miners have granted mining rights and do not require a title nor environmental license, as long as the activity is performed in open pits by using tools excluding mechanized equipment or underground exploitations.17 Subsistence mining activities are limited to specific areas that are designated as permissible for mining. The maximum production of precious metals is 420 grams per miner per year for subsistence miners18. In addition, they must be registered with the local municipality and in the Registry of Licit Origin19.

In addition to subsistence miners, not all miners without a title are considered illegal. Established mining operations will not be penalized in cases where the mining activities are properly registered with the municipal government and in the Registry of Licit Origin and when those activities are under: i) requests for legalization; ii) requests for formalization; iii) Beneficiaries of special mining reserves while the request is resolved20; iv) mining for subsistence21 or traditional mining22. These exceptions are considered informal rather than illegal mining.

Illegal ASM

Mining illegal in excluded zones such as national forest reserves or those delimited in the land management plans or for national security reasons23 declared sensitive by an incumbent authority.24 The unauthorized use of explosives, the use of mercury banned by the law25, and the

14 Political Constitution of Colombia: Article 79.

15 National Policy for the Mining Formalization in Colombia. Ministry of Mines and Energy. 2014.

16 Code of Mines - Law 685 of 2001.

17 Decree 1102 of June, 2017; Decree 276 of February, 2015

18 Decree 1666 of 2016; Resolution 40103 of 2017 of the Ministry of Mines and Energy.

19 Decree 4131 of 2011.

20 Decree 1073 of 2015, modified by the Decree 1102 of 2017.

21 Code of Mines - Law 685 of 2001: Article 155.

22 Traditional mining is considered the mining for subsistence carried out before the enactment of the Code of Mines - Law 685 of 2001. Both traditional and subsistence mining are subject of formalization: Decree 0933 of May, 2013.

23 Code of Mines - Law 685 of 2001: Article 157; Also, Law 685 of 2011, Article 33.

24 Code of Mines - Law 685 of 2001: Articles 34, and 35.

25 Law 1658 of July, 2013 https://www.constituteproject.org/constitution/Colombia_2015.pdf?lang=en https://www.constituteproject.org/constitution/Colombia_2015.pdf?lang=en https://www.minenergia.gov.co/documents/10180/581708/DocumentoPoliticaVersionFinal.pdf/9fd087db-7849-4728-92ff-6e426acccf9c https://www.anm.gov.co/sites/default/files/decreto_1102_de_2017.pdf https://www.anm.gov.co/sites/default/files/decreto_276_de_2015.pdf https://www.anm.gov.co/sites/default/files/decreto_1666_de_2016.pdf https://www.anm.gov.co/sites/default/files/res_40103_9_feb_2017.pdf https://www.redjurista.com/Documents/decreto_4131_de_2011_ministerio_de_minas_y_energia.aspx#/ https://www.minenergia.gov.co/en/decreto-unico-reglamentario https://www.anm.gov.co/sites/default/files/decreto_1102_de_2017.pdf https://www.anm.gov.co/sites/default/files/decreto_933_de_2013.pdf https://www.anm.gov.co/sites/default/files/ley_1658_2013.pdf environmental damages caused to the natural environment by mining activities26 are all illegal actions. It is noted that although 28 percent of the money laundered in Colombia comes from illegal mining activities27, using the exploitation and commerce of minerals for money laundering28, while considered a financial risk, it has not been prosecuted to the same extent compared with other illegal activities.

Colombia's mega-biodiversity and ecosystem services, such as clean water, natural carbon sinks, forested lands and productive soils, are critical to the long-term prosperity of the country29.

These ecosystem services are increasingly impacted by ASM expansion, especially in remote areas with little state presence such as natural protected areas and indigenous territories30. Illegal gold mining can degrade landscapes to the point that they are no longer viable for other livelihood options nor ecosystem services31 which further destabilizes regions already affected by conflict and violence.

The Government of Colombia (GOC) estimates that over 80 percent of gold mined in Colombia is mined illegally32, whereas almost all the platinum mined comes from informal sources33.

Illegal mining is unique among other threats34 to biodiversity in terms of the high level of severity and low degree of reversibility of its impacts35. Illegal mining leads to deforestation;

landscape disturbance; increased sedimentation36 in rivers and estuaries; contamination of water, soils and air poses a threat to public health,37 38 food security,39 40 and biodiversity41; illegal mining also costs the society tens of millions of dollars in environmental liabilities and negative

26 Law 2111 of July, 2021

27 Contraloría General de la República. Minería en Colombia: Institucionalidad y Territorio, Paradojas y Conflicto. Noviembre, 2013. 341 pp.

28 Insight Crime. Javier Villarlba. Colombia Drug Trafficking Money Laundered Through Modified Gold. 17 JUN 2021.

29 USAID/Colombia. Country Development Cooperation Strategy 2020-2025. https://www.usaid.gov/colombia/cdcs

30 UNODC. 2021. Colombia Explotación de oro de aluvión. Evidencias a partir de percepción remota 2020.

31 USAID Biodiversity and ASM in Colombia paper (2020).

32 Alluvial Gold Exploitation Evidences from Remote Sensing 2016, May 2018, UNODC.

33 UPME. Platino. Balance 2012-2016. Modelo de oferta y demanda 2018 - 2035

34 Threat: is a proximate human activity or process that explicitly causes degradation or loss of biodiversity. Driver: is the ultimate factor, usually social, economic, political, institutional, or cultural, that enables or otherwise adds to the occurrence or persistence of one or more threats. From USAID Biodiversity Policy. 2015.

35 http://www.ideam.gov.co/web/atencion-y-participacion-ciudadana/publicaciones-ideam

36 https://doi.org/10.1016/j.marpolbul.2016.06.093

37 https://doi.org/10.1016/j.worlddev.2020.105119

38 https://doi.org/10.1016/j.envint.2020.106216

39 https://doi.org/10.1016/j.dib.2020.106513

40 https://doi.org/10.1016/j.jhazmat.2020.124080

41 Amazon forests capture high levels of atmospheric mercury pollution from artisanal gold mining. doi: 10.1038/s41467-022- 27997-3 https://estudiojuridicomym.com/wp-content/uploads/LEY-2111-DEL-29-DE-JULIO-DE-2021_delitos-ambientales.pdf https://redjusticiaambientalcolombia.files.wordpress.com/2014/01/mineria-en-colombia-contraloria-vol-ii.pdf https://redjusticiaambientalcolombia.files.wordpress.com/2014/01/mineria-en-colombia-contraloria-vol-ii.pdf https://insightcrime.org/news/urabenos-gold-launder-drug-money-colombia/ https://insightcrime.org/news/urabenos-gold-launder-drug-money-colombia/ https://www.usaid.gov/colombia/cdcs https://www.unodc.org/documents/colombia/2021/Agosto/Colombia_Explotacion_de_Oro_de_Aluvion_EVOA_Evidencias_a_partir_de_percepcion_remota_2020.pdf https://www.unodc.org/documents/publications/Evoa_2016_in_1.pdf https://www.unodc.org/documents/publications/Evoa_2016_in_1.pdf http://www1.upme.gov.co/simco/Cifras-Sectoriales/Datos/mercado-nal/MNAL_platino.pdf https://www.usaid.gov/sites/default/files/documents/1865/USAID%20Biodiversity%20Policy%20-%20June%202015.pdf http://www.ideam.gov.co/web/atencion-y-participacion-ciudadana/publicaciones-ideam https://doi.org/10.1016/j.marpolbul.2016.06.093 https://doi.org/10.1016/j.worlddev.2020.105119 https://doi.org/10.1016/j.envint.2020.106216 https://doi.org/10.1016/j.dib.2020.106513 https://doi.org/10.1016/j.jhazmat.2020.124080 https://www.nature.com/articles/s41467-022-27997-3 social impacts. As of today, a kilogram of gold has a market price ranging $58,000 - $60,000; a modern calculator estimates that only direct social and environmental damages in the Amazonia caused by illegal gold mining amount to $183,000-$390,000 per kilogram of gold exploited 42.

Illegal mining contributes significantly to GHG emissions through deforestation and deep soil disturbance43. Although extraction of minerals is the fourth cause of deforestation in Colombia,44 45 USAID funded research indicates that every hectare cleared for gold mining in the tropics emits around three times the amount of GHG emitted by a hectare cleared for other land uses46.

Changes in Deforestation rates and areas degraded often mirror the fluctuations in gold prices47 and other mineral prices.

Illegal mining undermines the governance system, drives corruption48, and deteriorates the regional social fabric and economic well-being. Illegal gold mining is a central element of the criminal economy in Colombia and is often closely tied to other illicit activities including coca cultivation49, land grabbing, illegal logging, trafficking in wildlife, trafficking in persons, extortion, and money laundering50. According to the GOC, illegal gold mining generates about USD $2.4 billion a year in criminal revenues, three times more than narcotrafficking51. The illegal ASM sector is associated with corruption, labor violations, human rights abuses52, conflicting claims to resource rights, uneven distribution of benefits between small producers and illegal traders, and other discriminatory practices53.

Illegal gold mining has been increasing in Colombia due to lucrative global prices, high demand, and the fact that gold and other metals are legal commodities that are difficult to trace. Tracing gold is particularly challenging and illicit gold often makes its way into the legal supply chain.

Gold's high value makes it possible to be traded in small volumes and easily smuggled; due to its use as "currency" it can be easily exchanged anonymously through cash transactions or moved legally in small quantities through international customs checkpoints. While the COVID-19

42 https://news.mongabay.com/2021/06/whats-the-cost-of-illegal-mining-in-brazils-amazon-a-new-tool-calculates-it/

43 https://doi.org/10.1073/pnas.1907842116

44 Gonzalez, A., Clereci, N. & Quesada, B. 2021. Growing mining contribution to Colombian deforestation. Environmental Research Letters: 16(6).

45 IDEAM. 2020. Resultados Monitoreo de Deforestación 2020.

46 USAID CINCIA (Centro de Innnovación Científica Amazónica): Desmontaje de Ecosistemas Amazónicos. Perú, March, 2020. Compiled by Luis E. Fernandez.

47 https://doi.org/10.20944/preprints201811.0113.v2 48 https://doi.org/10.1016/j.resourpol.2021.102135

49 https://doi.org/10.1016/j.worlddev.2016.03.020

50 Contraloría General de la República. Minería en Colombia: Institucionalidad y Territorio, Paradojas y Conflicto. Noviembre, 2013. 341 pp.

51 Intelligence, Colombian National Police: https://www.miamiherald.com/news/nation-world/world/americas/colombia/article194188034.html

52 https://www.peacebrigades.org/fileadmin/user_files/projects/colombia/files/colomPBIa/111203_mining_in_colombia_web.pdf

53 https://insightcrime.org/wp-content/uploads/2021/11/InSightCrime-Igarape-EN-21-11-01.pdf https://news.mongabay.com/2021/06/whats-the-cost-of-illegal-mining-in-brazils-amazon-a-new-tool-calculates-it/ https://doi.org/10.1073/pnas.1907842116 https://iopscience.iop.org/article/10.1088/1748-9326/abfcf8/meta https://iopscience.iop.org/article/10.1088/1748-9326/abfcf8/meta http://www.ideam.gov.co/documents/10182/105413996/presentacionbalancedeforestacion2019/7c9323fc-d0a1-4c95-b1a1-1892b162c067 https://doi.org/10.20944/preprints201811.0113.v2 https://doi.org/10.1016/j.resourpol.2021.102135 https://doi.org/10.1016/j.worlddev.2016.03.020 https://redjusticiaambientalcolombia.files.wordpress.com/2014/01/mineria-en-colombia-contraloria-vol-ii.pdf https://redjusticiaambientalcolombia.files.wordpress.com/2014/01/mineria-en-colombia-contraloria-vol-ii.pdf https://www.miamiherald.com/news/nation-world/world/americas/colombia/article194188034.html https://www.miamiherald.com/news/nation-world/world/americas/colombia/article194188034.html https://www.peacebrigades.org/fileadmin/user_files/projects/colombia/files/colomPBIa/111203_mining_in_colombia_web.pdf https://insightcrime.org/wp-content/uploads/2021/11/InSightCrime-Igarape-EN-21-11-01.pdf pandemic triggered local economic hardship, it caused the global price of gold to reach an all-time high54. The combination of these factors led to a wave of newly unemployed people to enter into informal and illegal gold mining in Latin America in 202055. Limited state presence and reduced enforcement capacity due to COVID-19 also may have created conditions in which illegal mining continued to worsen56 57. The increasing global demand of metals, especially for transition to renewable energies58 also raises concerns of further spurring illegal mining into other minerals and regions.

As a result, addressing illegal mining continues to be a major concern in Colombia’s post conflict environment. Gold mining in Colombia has increased by over 300% since 2006 and illegal and informal gold mining is a growing challenge59. Its scale has grown faster than the institutional capacity to adequately regulate and control mining activities. Uncontrolled mining of gold and other minerals is not only a major stimulus for Colombia’s illicit economy leading to reduced governance, but is also a major driver of environmental degradation of particular concern such as pollution, GHG emissions and biodiversity loss in mining hotspots60. Although gold mining generally receives all the public attention, other minerals such like platinum and silver are mined with gold in the same ore, and therefore, are also contributing to illegal economy,61 environmental degradation, and perpetuating the poverty and insecurity that is pervasive in many rural communities.

Licit, Sustainable Economic Opportunity

While there are considerable challenges in the mining sector in Colombia, it is also an important economic livelihood for the rural poor and, if managed properly, an opportunity. More than 300,000 Colombians work in the ASM gold sector, which is valued at more than 3 billion dollars62. Globally, ASM is one of the most indispensable—if not the most important—rural nonfarm activities in the developing world. ASM provides a desperately needed source of income for people living in the poorest and most isolated areas, magnifying impact on local economies through its associated activities. Spinoff economic activities make four times more people reliant on ASM than the actual number of miners worldwide63. Nonetheless, some

54 https://www.gold.org/goldhub/data/gold-prices

55https://www.washingtonpost.com/world/the_americas/in-the-amazon-the-coronavirus-fuels-an-illegal-gold-rush--and-an-environmental-crisis/2020/09/03/0a4c62e6-e624-11ea-970a-64c73a1c2392_story.html

56 https://www.levinsources.com/knowledge-centre/insights/covid-19-impacts-artisanal-gold-mining-zimbabwe

57 https://www.artisanalgold.org/covid-19-and-asgm-communities-early-look-crisis/

58 https://www.economist.com/briefing/2021/06/12/the-bottlenecks-which-could-constrain-emission-cuts

59 Guiza, L & Aristizabal, J. 2013. Mercury and gold mining in Colombia: a failed state. Universitas Scientiarum, Jan. 2013, pp.

33+

60 USAID Biodiversity and ASM in Colombia paper (2020).

61 https://doi.org/10.1016/j.resourpol.2020.101582

62 Calculations from USAID/Colombia.

63 World Bank. (2008). Communities, Artisanal and Small-Scale Mining (CASM). World Bank Issues Brief.

https://www.gold.org/goldhub/data/gold-prices https://www.washingtonpost.com/world/the_americas/in-the-amazon-the-coronavirus-fuels-an-illegal-gold-rush--and-an-environmental-crisis/2020/09/03/0a4c62e6-e624-11ea-970a-64c73a1c2392_story.html https://www.washingtonpost.com/world/the_americas/in-the-amazon-the-coronavirus-fuels-an-illegal-gold-rush--and-an-environmental-crisis/2020/09/03/0a4c62e6-e624-11ea-970a-64c73a1c2392_story.html https://www.levinsources.com/knowledge-centre/insights/covid-19-impacts-artisanal-gold-mining-zimbabwe https://www.artisanalgold.org/covid-19-and-asgm-communities-early-look-crisis/ https://www.economist.com/briefing/2021/06/12/the-bottlenecks-which-could-constrain-emission-cuts https://go.gale.com/ps/i.do?id=GALE%7CA368579317&sid=googleScholar&v=2.1&it=r&linkaccess=abs&issn=01227483&p=IFME&sw=w&userGroupName=anon%7Eb4fe566a https://go.gale.com/ps/i.do?id=GALE%7CA368579317&sid=googleScholar&v=2.1&it=r&linkaccess=abs&issn=01227483&p=IFME&sw=w&userGroupName=anon%7Eb4fe566a https://doi.org/10.1016/j.resourpol.2020.101582 http://artisanalmining.org/casm/sites/artisanalmining.org/files/publication/CASMFACTSHEET.pdf.

empirical evidence of USAID64 and other organizations65 66 shows that a clean67 and responsible ASM of gold is possible. Responsible ASM refers to formal and informal mining operations that understand and adhere to legal, social and environmental norms and best practices. Socially and environmentally responsible ASM can have a positive economic impact on communities by creating new jobs, attracting investment, and by generating royalties that can be used to finance local development. Thus, with the appropriate incentives, technology, knowledge, support, and effective enforcement, professional and responsible ASM can contribute to Colombia’s rural economy, prosperity, and peace with minimal environmental impact.

C.4. GOAL AND OBJECTIVES

The goal pursued in the USAID Tierra Dorada Activity is to reduce greenhouse gas emissions, promote biodiversity conservation and support licit livelihoods through the development and support of socially and environmentally responsible ASM activities and alternative sustainable economic opportunities in targeted areas in Colombia. The Activity will achieve this goal through two objectives: 1: Improved ecosystem services and conservation in areas affected by illegal and informal ASM; and 2: Strengthened responsibility and lawfulness of ASM activities throughout the entire supply chain of gold and other targeted minerals.

The main focus of this Activity concerning ASM will be the support to the gold supply chain, whereas the support to platinum and silver supply chains will be contingent on the interventions developed, strategies, gains, and lessons learned from the gold supply chain.

Objective 1 will improve the ecosystem services delivery and biodiversity conservation of targeted geographies by preventing, reducing, and reversing the environmental impacts of the informal and illegal ASM of gold, silver, and platinum. Ecosystem services refer to healthy ecosystems and the continued provision of natural resources and ecosystem services such as soil productivity, water provision, climate regulation, and the intrinsic social value of natural landscapes. The Activity will develop this objective through:

1) Increasing and scaling-up the reclamation and rehabilitation of ASM-degraded landscapes;

2) Increasing the adoption of environmentally sustainable livelihoods; and

3) Preventing and reducing the environmental impacts and threats to biodiversity from illegal and informal ASM.

Objective 2 will take a holistic approach to promoting responsible and legal mining by addressing key issues throughout the entire ASM supply chain, through:

1) Improving regulatory frameworks and enabling mechanisms for the governance of ASM;

2) Increasing legalization, formalization, and business building of ASM operations;

3) Improved traceability of responsibly sourced ASM; and

64 https://pdf.usaid.gov/pdf_docs/PA00XHVF.pdf

65 https://www.responsiblemines.org/en/

66 https://ororesponsable.org/sobre-bgi/acerca/

67 https://doi.org/10.1016/j.jclepro.2014.11.032 https://pdf.usaid.gov/pdf_docs/PA00XHVF.pdf https://www.responsiblemines.org/en/ https://ororesponsable.org/sobre-bgi/acerca/ https://doi.org/10.1016/j.jclepro.2014.11.032

4) Increasing the access to international markets for responsible ASM.

This Activity will contribute to several Development Objectives and Intermediate Results of the Country Development Cooperation Strategy (CDCS) 2020-2025 of USAID/Colombia68, and will complement USAID/Colombia’s Regional Integration Strategy (RIS) by coordinating with other USAID activities. In addition, the Activity will coordinate with other U.S. agencies in support of the bilateral Memorandum of Understanding on Illegal Mining (2018)69, as well as with programs of other international cooperating organizations in Colombia.

Theory of Change: USAID/Colombia’s theory of change linking the Activity’s Objectives to intended outcomes and impacts is as follows: if the incentives, good practices, knowledge, technology, and regulatory framework for responsible and licit ASM supply chains are improved and adopted, then the negative social, economic and environmental impacts and threats of illegal and informal mining will be reduced, biodiversity conservation improved, and the mining sector will contribute to sustainable development, a licit economy, and peace.

Logframe: The Contractor will use its proposed theory of change, the results framework herein and the technical approach set forth below to design a logical framework (Logframe) as a guideline to build the implementation strategy for the achievement of the goal and the two main objectives, the technical plans presented, and the evaluation and measurement of performance:

C.5. TECHNICAL APPROACH AND EXPECTED RESULTS

The Activity will strengthen and increase the lawfulness, formalization, environmental

68 Estrategia de Cooperación para el Desarrollo del País (CDCS) - Colombia, 2020-2025.

69 Bilateral Memorandum of Understanding for Prevention and Control of Illegal Mining. (2018).

Objective 1: Improved ecosystem services and conservation in areas affected by illegal and informal ASM.

Objective 2: Strengthened responsibility and lawfulness of ASM activities throughout the entire supply chain of gold and targeted minerals.

IR 1.1: Increased and scaled-up reclamation and rehabilitation of ASM-degraded landscapes.

IR 2.1: Improved regulatory frameworks and enabling mechanisms for the governance of the ASM.

IR 1.2: Increased adoption of environmentally sustainable livelihoods.

IR 2.2: Increased legalization, formalization, and business building of ASM operations.

IR 1.3: Prevented and reduced environmental impacts and threats to biodiversity from illegal and informal

ASM.

IR 2.3: Improved traceability of responsibly sourced minerals.

IR 2.4: Increased access to international markets for responsible ASM.

https://www.usaid.gov/documents/estrategia-de-cooperaci%C3%B3n-para-el-desarrollo-del-pa%C3%ADs-cdcs-colombia-2020-2025 sustainability, and economic feasibility of ASM mining businesses and alternative economic activities in the target geographies. Under the current context and for the objectives of this Activity, Artisanal Small-Scale Mining (ASM) refers to the exploitation of gold, but also of platinum and silver when obtained with gold in the same ore or when exploited in the same municipality where gold exploitation is the primary mining activity, and where illegal or informal mining is an issue. The Contractor must focus primarily on the gold supply chain in the interventions aimed at ASM, whereas the support to platinum and silver supply chains will be contingent on the interventions developed, strategies, gains, and lessons learned from work on the gold supply chain.

The Contractor will employ a combination of program interventions and approaches including, but not limited to: incentives based on behavioral economic principles; integration of key stakeholders into program design and implementation; strengthening of local capacities;

inclusion of minorities and underserved populations; greater awareness; improved technical knowledge and technology; better land and resources management; improved regulations;

strengthened institutions; improved governance of the sector including accountability and appropriate validation mechanisms; access to economic means and opportunities, and the coherence, integration, and complementarity between the components (IRs) to maximize both Activity Objectives.

It is expected that this multi-pronged approach will bring about positive changes in behavior among the different actors along the supply chains of targeted minerals. As a result of changed behaviors and adopted practices, the Activity will prevent and reduce the environmental impacts and threats from ASM operations, will improve their legality and formalization, and will improve environmental conservation and well-being of rural communities through responsible mining of targeted minerals and other natural resources.

The aim of this USAID Activity is not to further promote nor condemn artisanal and small-scale mining, but to promote legality and adoption of responsible mining practices. Promoting legality goes beyond mining legalization and formalization, and may include support to the Government of Colombia (GOC) and other institutions in monitoring, enforcing no-go mining zones -especially sensitive environmental areas and ethnic territories-, promoting responsible ASM, and helping to prosecute illegal mining operations such as dredges70 and other machinery causing significant negative environmental impacts.

The Contractor will make use of the lessons learned and other technical recommendations related to USAID/ Peru’s Cincia71, and Prevenir72 Activities; the USAID/Democratic Republic of Congo’s Zahabu Safi - Clean Gold Activity73; the Sustainable Mine Site Validation Project74;

70 In Spanish. Also known as “dragas y dragones” which are not considered ASM, but illegal mining. Decree 2235 of 2012 Authorizes the National Police to destroy dredges and heavy machinery used for illegal (no titled) mining.

71 https://cincia.wfu.edu/en/research/

72 See this deliverable as an example: Cano, Álvaro. (2021). Formalización de la minería artesanal y de pequeña escala en la Amazonía peruana: Lecciones aprendidas y propuestas de solución.