Amendment_01_-_72066919R00005_-LEPDA.pdf

SOLICITATION, OFFER AND AWARD

1. THIS CONTRACT IS A RATED ORDER RATING

UNDER DPAS (15 CFR 7900)

PAGE OF

PAGES

1 100

2. CONTRACT NUMBER 3. SOLICITATION NUMBER

72066919R00005

4. TYPE OF SOLICITATION

SEALED BID (IFB)

NEGOTIATED (RFP)

5. DATE ISSUED

01/17/2019

6. REQUISITION/PURCHASE NUMBER

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

U.S. Agency for International Development c/o U.S. Embassy Monrovia, 502 Benson St.

1000 Monrovia, 10 Liberia

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

SOLICITATION

9. Sealed offers in original and copies for furnishings the supplies or services in the Schedule will be received at the place specified in item 8, or if hand carried, in the depository located in See Cover Letter and Section L until local time

(Hour) (Date)

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.

10. FOR

INFORMATION

CALL:

A. NAME

Ruth D. Caesar-Hne

B. TELEPHONE (NO COLLECT CALLS) C. E-MAIL ADDRESS

rcaesar-hne@usaid.gov

AREA CODE

NUMBER

776777000

EXT.

11. TABLE OF CONTENTS

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

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

X A SOLICITATION/CONTRACT FORM 1 X I CONTRACT CLAUSES 64

X B SUPPLIES OR SERVICES AND PRICES/COSTS 8 PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

X C DESCRIPTION/SPECS./WORK STATEMENT 11 X J LIST OF ATTACHMENTS 79

X D PACKAGING AND MARKING 31 PART IV - REPRESENTATIONS AND INSTRUCTIONS

X E INSPECTION AND ACCEPTANCE 33 X

K

REPRESENTATIONS, CERTIFICATIONS AND OTHER

STATEMENTS OF OFFERORS

X F DELIVERIES OR PERFORMANCE 34

X G CONTRACT ADMINISTRATION DATA 45 X L INSTRS., CONDS., AND NOTICES TO OFFERORS 82

X H SPECIAL CONTRACT REQUIREMENTS 49 X M EVALUATION FACTORS FOR AWARD 95

OFFER (Must be fully completed by offeror)

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

12. In compliance with the above, the undersigned agrees, if this offer is accepted within 180 calendar days (60 calendar days unless a different period is inserted 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 set opposite each item, delivered at the designated point(s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT

(See Section I, Clause No. 52.232-8)

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

14. ACKNOWLEDGMENT OF AMENDMENTS

(The offeror acknowledges receipt of amendments to the SOLICITATION for offerors and related documents numbered and dated):

AMENDMENT NO. DATE AMENDMENT NO. DATE

15A. NAME AND

ADDRESS

OF OFFER-

OR

CODE FACILITY 16. NAME AND THE TITLE OF PERSON AUTHORIZED TO SIGN OFFER

(Type or print)

15B. TELEPHONE NUMBER

15C. CHECK IF REMITTANCE ADDRESS IS

DIFFERENT FROM ABOVE - ENTER SUCH

ADDRESS IN SCHEDULE.

17. SIGNATURE 18. OFFER DATE

AREA CODE NUMBER EXT.

AWARD (To be completed by Government)

19. ACCEPTED AS TO ITEMS 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL OPEN COMPETITION:

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

23. SUBMIT INVOICES TO ADDRESS SHOWN IN ITEM

(4 copies unless otherwise specified)

24. ADMINISTERED BY (If other than Item 7) 25. PAYMENT WILL BE MADE BY

Controller’s Office USAID/Liberia, c/o US Embassy 502 Benson Street, 1000 Monrovia 10, Liberia CODE

26. NAME OF CONTRACTING OFFICER (Type or print)

Judy J. Webb

27. UNITED STATES OF AMERICA

(Signature of Contracting Officer)

28. AWARD DATE

mailto:rcaesar-hne@usaid.gov

Solicitation Number: 72066919R00005

Liberia Economic Policy Dialogue Activity (LEPDA)

ACRONYMS

PART I – THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES/PRICES

B.1 PURPOSE

B.2 CONTRACT TYPE

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

B.4 BUDGET

B.5 INDIRECT COSTS

B.6 COST REIMBURSABLE

B.7 PAYMENT OF FIXED FEE

B.8 MULTI-YEAR CONTRACT AND CANCELLATION CEILING

SECTION C - STATEMENT OF WORK

C.1 PURPOSE

C.2 ACTIVITY DESCRIPTION

C. 3 USAID’S DEVELOPMENT OBJECTIVES (DOs)

C. 4 RESULTS AND HOW TO ACHIEVE THEM

C.5 PERFORMANCE MONITORING, EVALUATION, AND LEARNING PLAN

C.6 COMMUNICATIONS STRATEGY

C.7 MANAGEMENT INFORMATION SYSTEMS (MIS)

C.8 COORDINATION WITH HOST COUNTRY COUNTERPARTS AND OTHER IMPLEMENTERS . 24

C.9 USAID’S DEVELOPMENT PARTNERS (DP)

C.10 CROSS-CUTTING THEMES

SECTION D - PACKAGING AND MARKING

D.1 752.7009 MARKING. (JAN 1993)

D.2 BRANDING AND MARKING POLICY

D.3 BRANDING STRATEGY

D.4 BRANDING IMPLEMENTATION AND MARKING PLAN

SECTION E - INSPECTION AND ACCEPTANCE

E.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

E.2 INSPECTION AND ACCEPTANCE

E.3 PERFORMANCE STANDARDS

SECTION F - DELIVERIES OR PERFORMANCE

F.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

F.2 PERIOD OF PERFORMANCE

F.3 PLACE OF THE PERFORMANCE

F.4 KEY PERSONNEL

F.5 AUTHORIZED WORK DAY/WEEK

F.6 AIDAR 752.242-70 PERIODIC PROGRESS REPORTS (OCT 2007)

F.7 REPORTS

F.8 DELIVERABLES

SECTION G - CONTRACT ADMINISTRATION DATA

G.1 ADMINISTRATIVE CONTRACTING OFFICE

G.2. CONTRACTING OFFICER’S AUTHORITY

G.3 CONTRACTING OFFICER’S REPRESENTATIVE (COR)

G.4 TECHNICAL DIRECTION

G.5 ACCEPTANCE AND APPROVAL

G.6 PAYING OFFICE

G.7 752.7003 DOCUMENTATION FOR PAYMENT (NOV 1998)

G.8 INVOICING INSTRUCTIONS

G.9 ACCOUNTING AND APPROPRIATION DATA

G.10 CONTRACTOR’S PRIMARY POINT OF CONTACT

SECTION H - SPECIAL CONTRACT REQUIREMENTS

H.1 AIDAR 752.7007 PERSONNEL COMPENSATION (JULY 2007)

H.2 ADDITIONAL REQUIREMENT FOR PERSONNEL COMPENSATION

H.3 752.225-70 SOURCE AND NATIONALITY REQUIREMENTS (FEB 2012) (CLASS DEVIATION

NO. OAA-DEV-12-01C)

H.4 752.7004 EMERGENCY LOCATOR INFORMATION (JUL 1997)

H.5 SUBCONTRACTING

H.6 REQUESTS FOR CONSENT TO SUBCONTRACT

H.7 INSURANCE AND SERVICES AIDAR 752.228-3 WORKER’S COMPENSATION INSURANCE

(DEFENSE BASE ACT) (DEC 1991)

H.8 752.228-70 MEDICAL EVACUATION (MEDEVAC) SERVICES (JULY 2007)

H.9 GOVERNMENT FURNISHED PROPERTY

H.10 AUTHORIZED GEOGRAPHIC CODE

H.11 LANGUAGE REQUIREMENTS

H.12 AUTHORIZED WORK WEEK

H.13 CONFIDENTIALITY AND OWNERSHIP OF INTELLECTUAL PROPERTY

H.14 752.7034 ACKNOWLEDGEMENT AND DISCLAIMER (DEC 1991)

H.15 752.231-71 SALARY SUPPLEMENTS FOR HG EMPLOYEES (OCT 1998)

H.16 ENVIRONMENTAL COMPLIANCE

H.17 EXECUTIVE ORDER ON TERRORISM FINANCING

H.18 FOREIGN GOVERNMENT DELEGATIONS TO INTERNATIONAL CONFERENCES (JAN 2002)56

H.19 REPORTING ON FOREIGN TAXES (JULY 2007)

H.20 USAID DISABILITY POLICY - ACQUISITION (DEC 2004)

H.21 ORGANIZATIONAL CONFLICT OF INTEREST

H.22 CONFLICT OF INTEREST

H.23 STANDARDS OF CONDUCT– IMPROPER BUSINESS PRACTICES

H.24 AIDAR 752.7032 INTERNATIONAL TRAVEL APPROVAL AND NOTIFICATION

REQUIREMENTS (APR 2014)

H.25 BUSINESS CLASS TRAVEL

H.26 CONTRACTOR’S USE OF PROJECT VEHICLES AND LIABILITY INSURANCE

REQUIREMENTS FOR PRIVATELY OWNED VEHICLES

H.27 DISCLOSURE OF INFORMATION

H.28 ADS 302.3.5.9 NONDISCRIMINATION (JUNE 2012)

H.29 PROHIBITION ON THE PROMOTION OR ADVOCACY OF THE LEGALIZATION OR PRACTICE

OF PROSTITUTION OR SEX TRAFFICKING (ACQUISITION) (JUNE 2005)

H.30 COMPLIANCE WITH THE TRAFFICKING VICTIMS PROTECTION REAUTHORIZATION ACT

H.31 SPECIAL CONDITIONS

H.32 LOGISTIC SUPPORT

H.33 ELECTRONIC PAYMENTS SYSTEMS

H.34 USAID IMPLEMENTING PARTNER NOTICES (IPN) PORTAL FOR ACQUISITION (JUL 2014) 62

SECTION I – CONTRACT CLAUSES

I.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

I.2 52.203-7 ANTI-KICKBACK PROCEDURES (MAY 2014)

I.3 52.203-13 CONTRACTOR CODE OF BUSINESS ETHICS AND CONDUCT (OCT 2015)

I.4 52.209-9 UPDATES OF PUBLICLY AVAILABLE INFORMATION REGARDING

RESPONSIBILITY MATTERS (OCT 2018)

I.5 52.215-23 LIMITATIONS ON PASS-THROUGH CHARGES (OCT 2009)

I.6 52.217-2 CANCELLATION UNDER MULTIYEAR CONTRACTS (OCT 1997)

I.7 52.232-40 PROVIDING ACCELARATED PAYMENT TO SMALL BUSINESS -

SUBCONTRACTORS (DEC 2013)

I.8 52.247-67 SUBMISSION OF TRANSPORTATION DOCUMENTS FOR AUDIT (FEB 2006)

I.9 752.219-70 USAID MENTOR- PROTÉGÉ PROGRAM (JUL 2007)

SECTION J - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS

SECTION K - REPRESENTATIONS, CERTIFICATIONS, AND OTHER STATEMENTS OF BIDDERS

SECTION L - INSTRUCTIONS, CONDITIONS, AND NOTICES TO BIDDERS

L.1 52.252-1 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (FEB 1998)

L.2 52.216-1 TYPE OF CONTRACT (APR 1984)

L.3 52.233-2 SERVICE OF PROTEST (SEP 2006)

L.4 GENERAL INSTRUCTIONS TO OFFERORS

L.5 INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL

L.6 INSTRUCTIONS FOR THE PREPARATION OF THE COST PROPOSAL

L.7 INSTRUCTIONS FOR THE PREPARATION OF THE BRANDING IMPLEMENTATION PLAN

AND THE MARKING PLAN

L.8 OFFER VALIDITY

SECTION M - EVALUATION FACTORS FOR AWARD

M.1 AWARD WITHOUT DISCUSSIONS

M.2 SOURCE SELECTION

M.3 DETERMINATION OF COMPETITIVE RANGE

M.4 TECHNICAL EVALUATION CRITERIA

M.5 EVALUATION OF COST PROPOSALS

ACRONYMS

AfDB African Development Bank

AFT Liberia’s 2013-17 Agenda for Transformation

AGOA Africa Growth and Opportunity Act

ATM Automatic Teller Machine

CBL Central Bank of Liberia

CDC Coalition for Democratic Change

CDCS USAID Country Development Cooperation Strategy

CLA Collaborating, Learning, and Adapting

DDL USAID Development Data Library

DFID UK Department for International Development

DO Development Objective

ECOWAS Economic Community of West African States

EPZ Export Processing Zone

ESID Effective States and Inclusive Development

EU European Union

FSDIP Financial Sector Development and Implementation Plan

GEMS Governance and Economic Management Support project of USAID

GIZ Deutsche Gesellschaft für Internationale Zusammenarbeit

GNI Gross National Income

GoL Government of Liberia

GST General Sales Tax

HIPC Highly-Indebted Poor Country Initiative

IMCC Inter-Ministerial Concession Commission

IMF International Monetary Fund

JICA Japan International Cooperation Agency

LATA Liberia Agriculture Transformation Agenda

LCC Liberia Cocoa Corporation

LDRM Liberia Domestic Resource Mobilization Report

LRA Liberia Revenue Authority

LSA USAID Liberia Strategic Analysis Project

MCC Millennium Challenge Corporation

MoCI Ministry of Commerce and Industry

MFDP Ministry of Finance and Development Planning

MFI Microfinance Institution

MoJ Ministry of Justice

MSME Micro Small and Medium Enterprises

MSTAS Management Support and Technical Analysis Services

MTEF Medium-Term Expenditure Framework

NBC National Bureau for Concessions

NIC National Investment Council

PDPS Policy Dialogue Preparatory Study

PEA Political Economic Analysis

PPCA Public Procurement and Concessions Act

PPCC Public Procurement and Concessions Commission

PPP Public-Private Partnership

PRG Policy, Regulatory and Governance

RSS Ribbed Smoked Sheets

SEZ Special Economic Zone

SIDA Swedish International Development Cooperation Agency

SME Small and Medium Enterprises

VAT Value-added Tax

WB World Bank

WTO World Trade Organization

PART I – THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES/PRICES

B.1 PURPOSE

The United States Agency for International Development (USAID) mission in the Republic of Liberia

(USAID/Liberia) requires technical services to implement the Liberia Economic Policy Dialogue Activity

(LEPDA) contract. LEPDA will strengthen the policy-making capacity within the Government of Liberia as described in Section C below.

B.2 CONTRACT TYPE

USAID will award a Cost-Plus-Fixed-Fee completion type contract. For the consideration set forth in the contract, the contractor must provide the deliverables and outputs described in Section C and Section F below.

The contractor must also comply with all other contract requirements.

B.3 ESTIMATED COST, 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 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. The Contractor shall not exceed the aforesaid obligated amount.

(c) Funds obligated hereunder are anticipated to be sufficient through TBD.

B.4 BUDGET

The following summary budget captures the final negotiated cost elements for the performance of the work required hereunder.

ITEM Year 1 Year 2 Year 3 Year 4 Total

DIRECT COSTS

INDIRECT COST

SUBCONTRACTS

GRANTS UNDER CONTRACTS

TOTAL

FIXED FEE

TOTAL COST PLUS FIXED FEE

B.5 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 for the prime contractor and its major subcontractors (defined as at or exceeding 20% of the offeror’s total proposed cost):

Prime:

Description

TBD

Rate

TBD

Base

1/

Type

1/

Period

1/

TBD TBD 2/ 2/ 2/

1/ Base of Application: TBD Type of Rate: TBD Period: TBD

2/ Base of Application: TBD Type of Rate: TBD Period: TBD

Major Subcontractor(s):

Description

TBD

Rate

TB

D

Base

1/

Type

1/

Period

1/

TBD TBD 2/ 2/ 2/

1/ Base of Application: TBD Type of Rate: TBD Period: TBD

2/ Base of Application: TBD Type of Rate: TBD Period: TBD

The Contractor is allowed to recover applicable indirect costs (i.e., overhead, G&A, etc.) on other direct costs (ODCs), if it is part of the Contractor’s usual accounting procedures, consistent with FAR Part 31, and

Negotiated Indirect Cost Rate Agreement (NICRA). Indirect costs shall not be allowed for organizations that do not have a NICRA. All costs for organizations without a NICRA shall budget and bill all cost as direct costs.

B.6 COST 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.7 PAYMENT OF FIXED FEE

The Contractor’s fixed fee is tied to the accomplishment of the deliverables outlined in Section F.8. Upon successful achievement of the deliverables, the Contractor shall provide evidence of the achievement to the

Contracting Officer’s Representative and the Contracting Officer. Upon acceptance by USAID and receipt of approval from the Contracting Officer, the Contractor shall submit an invoice for the amount of the fee associated with the deliverable in Section F.8.

Pursuant to FAR 52.216-8, payment of the fixed fee shall be made as specified in the Schedule; the Contracting

Officer reserves the right to withhold up to 15% of the total fixed fee or $100,000.00, whichever is less, to protect the Government’s interest.

B.8 MULTI-YEAR CONTRACT AND CANCELLATION CEILING

This contract is subject to the requirements of FAR 17.106.

(a) Performance under this contract during the second and subsequent program years is contingent upon the appropriation of funds. All programs years except the first are subject to cancellation. Cancellation shall occur by the dates specified below if the Contracting Officer:

1. Notifies the Contractor that funds are unavailable for contract performance for any subsequent program year, or

2. Fails to notify the Contractor that funds are available for performance of the succeeding program year.

(b) Cancellation Ceiling:

This is a CPFF 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 will 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.

If cancellation under the clause at 52.217-2, “Cancellation Under Multi-year Contracts” occurs, the contractor will be paid a cancellation charge not over the cancellation ceiling defined as follows:

Program Year Cancellation Date Cancellation Ceiling

Year 2: 201X-20XX TBD $0

Year 3: 201X-20XX TBD $0

Year 4: 201X-20XX TBD $0

SECTION C - STATEMENT OF WORK

C.1 PURPOSE

The aim of this activity is to strengthen policy-making capacity within the Government of Liberia (GOL) and facilitate the design and implementation of specific reforms to promote private sector-led, broad-based economic growth and development. While the country has made some progress over the last decade, it still faces a difficult business climate that is constraining broad-based private sector development. Without private sector-led, broad-based inclusive, economic growth and development, the prospects of addressing high unemployment and poverty will be limited. Improving the business climate will not only require reforming key policies, but also enhancing technical capacity within the government to develop and lead such reforms. USAID envisages that this activity will both seek to work on key issues affecting the business climate and the establishment/strengthening of capacities within the government. Its focus will be the promotion of reforms to reduce transaction costs and corruption, improve trade facilitation, increase liquidity in the rural sector and promote exports in value-added products. This activity is expected to work on policies centered on port improvements, establishment of viable special economic zones, streamlining of concession processes and technical capacity-building within the government to undertake policy analysis, design and implementation. While USAID will lead this effort, it expects to enlist the support of other development partners in close consultation with the GOL. The main driver for this effort will be the appetite and desire of the GOL to prioritize these reforms and capacity-building in economic policy-making.

C.1.1 Development Problem

The selection of priority policy reforms will respond to four overarching challenges facing the Liberian economy identified below:

● Persistent deficits in the balance of payments leading to a weak and unstable domestic currency, high inflation and limited resources for domestic investment.

● A high-cost and non-competitive domestic economy due to poor infrastructure; inordinately high transaction costs arising from poor governance and a lack of transparency in public and private transactions; a severely underdeveloped financial sector with a high-cost banking sector, a severe liquidity constraint outside Monrovia, and a manual payments system that slows down transactions and wastes immense amounts of time for payers and payees alike;

● The absence of a coherent and effective roadmap and policies for sector-specific development. And,

● Generally weak domestic private sector facing high cost of capital, limited financing options, high transaction costs and uncoordinated and unfavorable policies.

C.1.2 Policy Landscape, Risks, and Assumptions

While the new administration is yet to present its long-term development strategy, it has recently released its development agenda called the Pro-Poor Agenda for Prosperity and Development (PAPD). The main objective of this agenda is the empowerment of Liberians, especially the poor, and the reduction of inequality. This agenda will be pursued under four pillars, namely: 1) power to the people; 2) economy and jobs; 3) sustaining the peace;

and 4) governance and transparency. While the long-term strategy to support this agenda is expected later in

2018, the government has expressed strong support for private sector-led development and the need for reforms in areas such as the concessions and imports.

Specifically, under the economy and jobs pillar, the government

Toward A Pro-Poor National Vision, Draft, March 2018 and President Weah to Review Applications for Issuance of

Mining Licenses Thursday, 10th May 2018.

recognizes that ‘diversifying the economy means giving centrality to the private sector.’

It also deplores

Liberia’s worsening ranking in the World Bank Doing Business Index and states that ‘improving doing business indicators, addressing constraints to private investment and cementing the role of the private sector as the ultimate engine of job creation will occupy priority niches under the new pro-poor agenda.’

These policy actions and statements align with the objective of this activity and provide entry points for its initiation.

Risks facing execution of this Activity:

● The government fails to deliver on its stated commitments to broad-based, private sector-led development and tackling endemic corruption in the public sector.

● Another catastrophe (such as a renewed Ebola outbreak or war) hits Liberia.

● The prices of key commodity exports – iron ore, rubber, palm oil – do not recover substantially, or fall even further, causing a shortfall in government revenues and an even larger trade imbalance.

● Severe macroeconomic instability related to debt servicing challenges, high interest rates and substantial increases in inflation overwhelms the GOL’s ability to focus on needed reforms.

● Donor funding either drops significantly due to post-Ebola “fatigue,” thereby creating a funding crisis, or that it increases so significantly that it crowds out private sector investment.

● Other major donors fail to coordinate policy reform efforts thereby producing conflicting advice and support to the government.

Assumptions behind this Activity design:

The leadership of the GOL is committed to undertaking needed reforms in priority areas and will support the key institutions and change agents involved in reform efforts;

The leadership of the GOL will play a critical role to ensure that critical institutions in the reform process participate fully and support a coordinated approach to carrying reform tasks; and

Other donors (such as IFC, World Bank, EU, AfDB) are willing to co-finance, or at least provide complementary policy support to the new administration.

C.1.3 USAID Current Policy Activities

● USAID Land Governance Support Activity (LGSA) (2015-2020): USAID is working with the

Government of Liberia to strengthen its land governance systems through policy and legal reforms and institutional capacity development. USAID is helping to stand-up the Liberia Land Authority as the new unified land regulatory body. USAID will also support new titling systems and community self-identification processes upon passage of a Land Rights Law that adopts comprehensive reforms to help ensure equitable access to land and security of tenure for all, facilitate inclusive, sustained, and environmentally friendly growth and development, and promote peace and security. LGSA will help to ensure the technical soundness of policies, laws, and regulations on land rights and administration;

support the GOL in overcoming institutional and capacity barriers in the land sector; and assist in piloting the implementation of key components of the anticipated Land Rights Law. Land rights is one of most contentious issues impeding effective implementation of the property tax, a potentially significant revenue source that is currently the responsibility of the Liberia Revenue Authority (LRA), but will eventually be transferred to local governments as part of the decentralization process.

Toward A Pro-Poor National Vision, Draft, March 2018, page 9.

Toward A Pro-Poor National Vision, Draft, March 2018, page 9.

● USAID Liberia Revenue Generation for Governance and Growth (RG3) (2016 – 2019): USAID is working to build the capacity of targeted Government of Liberia institutions to improve domestic resource mobilization (DRM) and strengthen taxpayer education and engagement on DRM-related issues, with the aim of building tax morale, increasing voluntary tax compliance, and fostering greater trust between taxpayers and the government. The Revenue Generation for Governance and Growth

(RG3) project is to build the capacity of targeted Government of Liberia (GOL) institutions, particularly the Ministry of Finance and Development Planning (MFDP) and the Liberia Revenue Authority (LRA), to improve domestic revenue mobilization and policies in Liberia. RG3 will support the MFDP to develop the capacity to formulate sound, predictable, and fair revenue policies. It will also support the

LRA to enhance its ability to effectively, efficiently, and transparently implement those policies and carry out its revenue collection mandate. RG3 is providing targeted technical and training support in critical tax administration related areas. These include, but are not limited to, support to introduce e-filing/payment systems, strengthened audit selection and practices, and improved taxpayer outreach services. RG3 is also developing detailed implementation proposals for the introduction of a VAT, which are expected to be completed by the spring of 2018.

● USAID Liberia Accountability and Voice Initiative (LAVI) (2015-2020): This activity strengthens multi-stakeholder partnerships to ensure effective advocacy for and monitoring of policy and accountability reforms. LAVI focuses on developing a portfolio of initiatives with the potential for cumulative impact clustered around issues which have the greatest potential for change, and are responsive to locally defined priorities. Specifically, LAVI works to increase the horizontal and vertical linkages among actors, primarily civil society, involved in similar issues, strengthen organizational capacity of targeted civil society actors (including CSOs, professional associations, trade associations, private sector and others) to participate in issue-based reforms, promotes the development of ongoing capacity development services on the local market, and ensure that both learning and methodologies are shared and applied by other development partners.

C.1.4 Relation to Broader Mission Efforts

This Policy Activity responds to the USAID/Liberia’s CDCS goal: “Strengthened Institutions Positioned to

Drive Inclusive Economic Growth,” specifically the Economic Growth, and Democracy and Governance, Development Objectives (DOs).

C.2 ACTIVITY DESCRIPTION

C.2.1 Objectives and Focus Areas

To achieve the objectives of reduced cost of doing business and effective policy-making within the GOL, this

Activity will concentrate on three main objectives:

1. Establishment and implementation of a framework to promote reforms in specific areas, such as concessions, special economic zones, financial markets, trade facilitation/ports, import policies, etc., to improve the business climate, increase domestic revenues and support private sector development;

2. Establishment and implementation of a Policy Unit Team to support smaller policy units located within line GOL ministries and agencies to support the design, implementation and evaluation of policies addressing private sector development and economic management; and

3. Strengthening the capacity of civil society organizations to conduct robust policy analysis as “think-tanks” while increasing citizen participation and advocacy in the policy-making arena to be effective partners in the overall policy-making process.

The first focus area will consist of engagements with the highest level of the government to delineate policy reform priorities and pursue the reform agenda in collaboration with senior leadership of the GOL, development partners and key stakeholders. While the decision for prioritizing reforms will rest with the government, it is expected that these priorities will be drawn from the results of a USAID supported Policy Dialogue Preparatory

Study (PDPS) and the Pro-Poor National Development strategy was launched in 2018.

The second focus area will entail efforts to improve the framework and processes for policy design, implementation and evaluation within Ministries and Agencies to influence private sector development and economic management. These Ministries and Agencies include but are not limited to the Ministry of State

(MoS), Ministry of Commerce and Industry (MoCI), Ministry of Agriculture (MoA), Ministry of Finance and

Development Planning (MFDP), the Central Bank of Liberia(CBL) and will serve as key counterparts under this activity.

The third focus will concentrate on establishing or providing support to local think tanks to foster rigorous analysis, evaluation and debate of public policies as objective third parties who will provide important analysis and guidance to not only the broader public but also to the policy unit established in the second focus area.

They will provide support to the broader public interest, as well as serve as a complement to the efforts of government policy-makers as technical advisors. This effort will seek to strengthen existing think tanks, support the emergence of several new ones, and promote broader, more diverse citizen inclusion in the policymaking process to ensure more inclusive policies and greater buy in by non-governmental actors

C.2.2 Implementation Approach

The implementation of this activity is expected to reflect several key elements. First, the implementation framework calls for the agreement of the priorities for reform with the key counterparts in the GOL - possibly the

Ministry of Finance and Development (MFDP) and the Ministry of State followed by engagement of the key government agency/ministry responsible for the design, implementation and evaluation of the specific reform.

This will entail the crafting of the needed reforms or in some cases the improvement of existing reforms, in partnership with the institutions responsible for implementation and evaluation of the reforms. Given the lack of the requisite capacity in the relevant institutions, the project is expected to ensure the establishment or strengthening of the institutional capacity and processes necessary for designing, implementing and evaluating the proposed reforms.

The implementation approach is expected to pursue all three aforementioned objectives immediately upon agreement of the priorities. Hence, a multi-pronged approach is envisaged where tasks in all three activities are expected to commence during the first year of the project. This will call for a rapid mobilization of technical expertise and professional staff necessary for implementing each component.

It is expected that long-term and short-term technical advisors and other professional staff will have significant regional experience. To the extent possible, regional institutions from Sub-Saharan Africa that have participated in reforms of the type described in this activity should be the main sources of technical expertise to support key activities. Examples of such institutions include: African Economic Research Consortium, Kenya; Imani Centre for Policy and Education, Ghana; Institute of Statistical, Social and Economic Research, Ghana; Institute for

Economic Affairs, Ghana; etc. This approach should lead to advantageous use of relevant regional experience.

Strong coordination with several USAID projects is expected to ensure that results and implementation processes are mutually reinforcing. Specifically, LEDPA must coordinate strongly with LADA, LAVI and other activities addressing private sector development likely to emerge during the implementation of LEPDA.

This coordination must ensure that information from all of these related projects inform decision making and outreach in the LEPDA. Effective policy coordination will be most important throughout the activity. Therefore a coordinating unit e.g. the President Delivery Unit (PDU) associated with the office of the Presidency will be crucial to successful implementation.

This activity calls for achievement of a substantial number of results (20+) with varying degrees of complexity, criticality and feasibility. These dimensions are captured in the “Prioritizing the Policies” spreadsheet that was annexed to the Policy Dialogue Preparatory Study (PDPS). The Contractor will prioritize and focus all efforts on achieving results based on the table under Section F.8 Illustrative Deliverables. Therefore, the contractor must involve other stakeholders, including the possibility of attracting financial contributions (buy-ins) to this

Activity. The Contractor must respond to policy change opportunities as they appear or disappear.

C. 3 USAID’S DEVELOPMENT OBJECTIVES (DOs)

LEDPA is intended to aid in the reform of a select number of economic policies that are necessary for promoting a competitive and broad-based private sector-led economy through the support of relevant institutions of the

GOL in the analysis, design, implementation and evaluation of policies. Specifically, this activity supports two

(2) Development Objectives:

D.O. 1 More Effective, Accountable, and Inclusive Governance

This Activity responds to three of the four Intermediate Results:

● IR 1.1 Public resources managed more transparently and accountably

● IR 1.2 Improved policies, models and providers increase access to justice

● IR 1.4 Civil society and media exercise their advocacy and oversight roles

D.O. 2 Sustained Market-driven Economic Growth to Reduce Poverty

This Activity responds to one of the three Intermediate Results:

● IR 2.3 Enabling environment for private enterprise growth strengthened, specifically Sub-IR 2.3.2.

Improved economic policies implemented.

C. 4 RESULTS AND HOW TO ACHIEVE THEM

Theory of Change

By improving the design, implementation and evaluation of new and existing policies while involving and strengthening capable local think tanks in the process, the business environment and private sector investments will improve, making the Liberian economy become more competitive, produce more jobs and generate more income, resulting in broad-based growth and increased domestic resources available to finance its development.

If policy, regulatory and governance reforms that enhance the competitiveness of Liberia’s private sector are successfully implemented and are combined with continued physical and managerial investments in infrastructure (transport, energy, ICT), there will be two positive outcomes. First, the Liberian economy will diversify beyond concession-based primary commodities (iron ore, unprocessed rubber and palm oil) and into other primary and higher value-added products. This will create more jobs especially for the large youth population. Second, a more competitive private sector will be better able to compete in both export and domestic markets. This will generate higher-paying jobs and create greater profitability for those local businesses, thereby increasing the Liberian standard of living through both higher incomes and lower-cost goods and services.

In short, changing political priorities leading to a shift in resources from near-term consumption to longer term investments must be based on evidence and made available to a broader group of stakeholders. Those currently with power and control vested in the status quo need to be engaged, have their interests addressed, and their active support won. This activity can succeed if it unites and leverages efforts of Liberians, including the powerful elites, and other donors. It cannot succeed and be sustainable if it is viewed as an idea and effort of non-Liberians. Therefore, based on the Contractor’s prior experience implementing similar activity, the contractor must provide a list of measurable results demonstrating how it intends to unite stakeholders and make policies Liberian owned.

Local institutions with which the Contractor must work include the new administration, policy research institutes, private sector associations, the media, and civil society. The Contractor in collaboration with the named key stakeholders must identify and prioritize policy reform efforts, produce at least three (3) policy interventions “quick wins” and make progress against critical but more difficult longer-term reforms. The emphasis will be on fostering pro-growth and pro-poor policies, some of which are in place but not implemented.

The Contractor must foster greater local ownership of evidence-based analysis. Foreign-generated research and analyses (such as those from the WB, DFID and USAID) will have a greater chance of impact if they are done in conjunction with Liberian organizations. Global experience shows that policy change occurs when local stakeholders are able to use analysis to support incremental as well as fundamental policy changes.

The LEDPA is intended to contribute to USAID/Liberia’s Developments (DOs) and Intermediate Results (IRs) – specifically, through the following sub-IRs:

DO1 More Effective, Accountable, and Inclusive Governance

IR1.1 Public resources managed more transparently and accountably

Sub-IR 1.1.1 GOL institutes and utilizes tools of prudent fiscal management

1. Number of tax regulatory & administrative policies & procedures eliminated or improved as a result of

USG assistance.

2. Government revenue (tax and non-tax), excluding foreign grants, as a percent of gross domestic product increased.

● VAT established

● National wealth generated by Concessions increased o New PPP/Concessions law developed o Mining law passed o Implementing regulations codified/published o Fiscal exemptions reduced

3. Expenditure policy improved.

● MFDP budgeting and controls improved

● Investment projects’ M&E improved

● Public procurement execution and audit improved

4. Policy research and analysis strengthened

IR1.2 Improved policies, models and providers increase access to justice

Sub-IR Transactions Costs Reduced by Strengthening Contract Enforcement and Judicial Efficiency

1. Jurisdiction of commercial court expanded and clarified to include real property transactions and eliminate conflicts with public agencies and other courts

2. Case management system established at circuit courts

3. Legislation and court rules modified to increase number of judges and hearing days and streamline procedures at circuit courts to address backlog of cases

IR1.4 Civil society and media exercise their advocacy and oversight roles.

Sub IR 1.4.1 - Civil society strengthened to play an effective watchdog role

1. CSOs strengthened as “think tanks”, conduct research, and deliver robust policy recommendations

2. Citizens contribute to the development and sensitization of policy reforms

Sub IR 1.4.2 - Increased accuracy and impartiality of target media

1. Journalists trained in investigative reporting around policy creation and initiatives.

2. A platform for media organizations to share information about policy creation and reforms developed.

Sub-IR Creditor rights strengthened by increasing effectiveness of insolvency law

1. Commercial court judges and lawyers trained in insolvency law.

2. Secondary legislation, court rules and manuals for insolvency law developed.

DO2 Sustained Market-driven Economic Growth to Reduce Poverty

IR2.3 Enabling environment for private enterprise growth strengthened

Sub-IR Trade increased through streamlined and rationalized border procedures and import/export requirements

1. WTO and ECOWAS compliant customs code adopted.

2. Trade Facilitation Commission established.

3. Single Window legal framework established.

4. Risk Management system developed and implemented.

5. Authorized Economic Operator system developed and implemented.

6. Access to export and import licenses increased; Anti-competitive limitations on availability eliminated.

7. Export and import licensing regimes and practices rationalized and minimized

Sub-IR Financial inclusion strengthened

1. Interconnectivity and interoperability of mobile money network completed.

2. Central Bank of Liberia (CBL) regulation and supervision strengthened.

3. Transition from Credit Registry to Credit Bureau advanced.

4. Secondary legislation and manuals for mortgage finance developed.

5. Rural liquidity and financial literacy for unbanked population implemented

Sub-IR Availability of Business Licenses Increased

1. Time, expense, and restrictions associated with obtaining business licensing reduced.

2. Access to export and import licenses increased; Anti-competitive limitations on availability eliminated.

3. Export and import licensing regimes and practices streamlined.

Sub-IR Agriculture and manufacturing sectors strengthened

1. Land Rights Act adopted and implemented.

2. Cadaster, deed, and mortgage registry systems developed and implemented.

3. SEZ regulations developed and implemented.

4. PPPs processes and management improved by eliminating implementation barriers.

5. Regulations for independent oversight of the electricity sector developed.

Illustrative Indicators

In addition to standard USAID indicators, the Contractor will provide custom indicators that would help to track performance. Below is a list of illustrative indicators the Contractor must consider including in the M&E Plan.

A. At least 20 policies drafted or improved and taken through the following processes/steps of development as a result of USG assistance:

The Policy Development Process Framework (PDPF) will consist of the following 11 steps (and may be redefined at the end of year 1 of the activity):

1. Agree on goals with the GOL counterpart;

2. Collect existing legislation as well as analyses of past policy proposals;

3. Policy reform idea proposed;

4. Proposed policy idea carefully analyzed by all relevant stakeholders to include non-government actors

(CSO, unions, private sector, associations etc.);

5. Policy reform idea clearly formulated and disseminated publicly;

6. Stakeholder consultations held to develop broad-based support for policy(s) reform;

7. Policy reform idea transformed into a proposed legislation;

8. Legislation reviewed and cleared by concerned ministries;

9. Policy reform legislation submitted to the Legislature;

10. Policy signed by President; and

11. Policy implementation plan developed by designated institution.

B. Number of individuals who have received USG supported short-term policy or management training.

C. Improvement in Liberia’s ranking on component indices of the World Bank “Doing Business” index, World

Economic Forum Competitiveness Index, and the index of investor attractiveness compiled by Investor

Quarterly that are directly relevant to the policy reforms addressed by this policy activity.

D. Movement of a series of new or existing policy reforms through at least 3 steps of the policy development process framework.

E. Policy analyses conducted.

F. Policy recommendations provided to relevant stakeholders.

G. New economic policies drafted into legislation.

Suggested Custom Indicators:

H. Number of policy commitments met, at least fifteen (15).

I. National agreement on the role of government vs. the role of the private sector in fostering private sector-led economic growth.

J. Amount of annual private sector investment in Liberia’s economy increased by 10 percent by end of LEPDA year one, 15 percent by end of year two and 25 percent by end of year three.

K. Number of policy analysis processes undertaken by local think tank to include: analysis, stakeholder engagement and formal recommendations presented.

L. Improvement of capacity and professionalism of local think tanks to constructively and effectively engage in policy reform and analysis.

Specific Tasks: It is the Contractor’s responsibility to explain HOW to achieve the illustrative indicators, “A thru G” above. In doing so, the Contractor must address the following:

● Propose a management model for this activity which ensures close coordination with key stakeholders including the President’s office, the Ministry of Finance and Development Planning (MFDP), the Central

Bank of Liberia (CBL), the Ministry of Commerce and Industry (MoCI), existing or new civil society organization, such as a think-tanks. Other important stakeholders include the Liberia Macroeconomic

Policy Analysis Center (LIMPAC), currently part of MFDP but with plans to become a semi-independent think tank, the policy research institute at the University of Liberia, and one of several

Liberian business associations. Possible options could include key personnel embedded in the

President’s office and/or MFDP along with grants to international think-tanks who work alongside domestic think-tanks.

● Propose where to establish the policy unit to ensure the greatest efficiency and buy-in by key stakeholders (particularly the GOL). Given a new president was recently elected with a “Pro-Poor” agenda that includes broad and bold economic changes, the Office of the President will be an important partner in the process for improving and producing more inclusive policies that are more likely to be embraced by the broader public. This unit would coordinate policy recommendations coming from concerned ministries and various voices in the private sector and civil society. The unit would also prepare 1-5-page Policy Notes, with helpful analysis and recommendations from relevant think tanks, for the president and senior officials. These notes will summarize the issues; propose change, qualitative analysis, quantitative analysis, international comparison analysis, etc. They will be used to both agree on the proposed changes and make sure that all advocates speak the same language. The Policy Note will also help the sponsor push the change through the high levels of the government (e.g. cabinet of ministers). Similar advisory units may be required in the technical ministries. Determination of the number and location of advisory units will be made in consultation with USAID. The Contractor must clearly specify how each and every such unit will achieve long term sustainability.

● Propose where to place other long-term and short-term advisors.

● As part of step no. 5 above, draft one-page key messages to make sure advocates speak the same language, given that there is often as much internal opposition to reform as external.

● Manage buy-ins from other multilateral and bilateral donors (e.g. IFC, World Bank, EU, AfDB, and others).

● Provide capacity building technical assistance to policy analysis units within key ministries to strengthen their ability to drive sector specific policy analysis and transparent governance.

● Increase the capacity of relevant non-governmental bodies and/or think tanks to effectively analyze and provide recommendations on current or future policies to ensure their ability to be an effective and constructive partner in the process to implement reforms to increase private sector led, broad based economic growth and development and be a sustainable, local partner in this process.

● Establish a fund for policy-related purposes, such as for sponsoring stakeholder workshops, strengthening policy analysis capacity of private sector associations or other relevant non-governmental bodies, and disseminating policy reform proposals.

● Seek out potential organizations to become policy think-tanks and provide USAID and GOL with lessons learned from experience with think-tanks world-wide. The Contractor must clearly specify how any such think tank will achieve long term self-sustainability.

● Hold quarterly workshops of donors working in the same policy space to facilitate coordination.

● Implement outreach and communications activities that target specific stakeholder groups so that they understand how their interests are affected by policy reform. The integration of advocacy and analysis in the new design will prevent further fragmentation and encourage greater local ownership.

● Conduct forums in Parliament, academia, and in the media that require policy-makers to explain why they agree or disagree with the evidence-based policy advice that is being offered. The discipline of sociology could be added to political economy to figure out how to change the behavior of decision-makers, both at the national (Cabinet officials and business leaders) and at the local levels (e.g.

Traditional Authorities and religious leaders). Political parties also have a role to play in pushing for accountability for performance and articulation of alternative approaches to development. This Activity must invite leaders in the opposition parties to attend policy presentations, so they start learning about possible items to include in currently very weak party platforms.

● Provide capacity building technical assistance to policy analysis units within key ministries, business associations, and think tanks to strengthen transparent governance.

Grants Under Contract (GUC)

Grants will be issued under the LEPDA activity. GUCs will be used to target regional and global think tanks that are well versed in areas of policy development to work in parallel with, and mentor an identified Liberian think tank to build local capacity to support the development and or review of new or existing policies identified by

GOL to help achieve objectives in Section C.2.

In addition, GUCs will be used to support other policy formulation directly related to completing objectives under this activity. Prior to implementation of the GUC mechanism, the Contractor will develop a GUC Manual that will outline the structure for the selection, award, tracking and evaluation process for the grants. The Manual will also include an award template(s) that will be cleared by the Contracting Officer and be revised as and when new guidance and revisions to rules and regulations are proclaimed by USAID. The Manual will be submitted to the USAID Contracting Officer for its approval.

If the Contractor awards grants under this contract, the Contractor must comply in all material respects with

USAID’s Automated Directives System (ADS) Chapter 303 (including mandatory and supplementary references) in awarding and administering grants, as well as the Code of Federal Regulations (CFR) 2 CFR 200.

All GUCs under this program will be in compliance with all conditions set forth in ADS 302.3.4.13:

1. Award Amount Thresholds

Non-Government Organizations: The total value of an individual grant to a U.S. NGO must not exceed

$100,000. This limitation does not apply to grant awards to non-U.S. NGOs.

Partner Government Entities: The total value of all GUCs that provide funds (as opposed to in-kind assistance) to a particular partner government entity (for example, ministry, municipality, district, etc.) must not exceed

$300,000 for the duration of the prime contract. Grants to partner government entities will be restricted to fixed amount reimbursable mechanisms.

2. USAID must be significantly involved in establishing the selection criteria and must approve the recipients.