Attachment_3_-_RFQ_95332419Q0018_Statement_of_Work_11_2018_revised.pdf

95332419Q0018 – Statement of Work 1

STATEMENT OF WORK

MBO Individual Consultant

Tunisia Economic Modeling Support 95332419Q0018

A. Introduction The Millennium Challenge Corporation (MCC) is a U.S. Government corporation whose mission is to provide assistance that will support economic growth and poverty reduction in carefully selected countries that demonstrate a commitment to just and democratic governance, economic freedom, and investments in their citizenry. For more information on the MCC, please visit www.mcc.gov.

B. Program and Project Overview In December 2016, Tunisia was selected by MCC’s Board as eligible to develop a five year grant program, known as a Compact, aimed at addressing the binding constraints to investment and entrepreneurship in Tunisia, as identified by a growth diagnostics exercise conducted in early 2017.

The growth diagnostics exercise, known as the Constraints Analysis (CA), identified the following binding constraints:

Market Barriers and Controls: Investors and businesses face excessive bureaucratic requirements, restricted entry and exit, and an unfair playing field against competitors.

Labor Market Rigidities: Investors and firms have little flexibility to determine compensation levels, or terminate employees. Excessive social charges discourage formality

(and therefore expansion).

Water Scarcity: Inadequate and variable supply of water inhibits medium and long term private investment in interior regions and reduces the sustainability of those investments, primarily in agriculture.

The Tunisian government has committed to developing a Compact centered on alleviating the first and third constraint. The Tunisian government has elected not to pursue a program focused on alleviating labor market rigidities with MCC at this time.

Some potential project areas that have been proposed in these two areas are:

Administrative simplification and digitization of procedures and legal and administrative requirements to increase transparency, reduce discretion in the application of rules, and promote a more “level playing field” among firms in Tunisia.

Undertake sectoral and other business climate reforms to reduce barriers to entry and promote fair competition among firms, increase competitiveness, and reduce price or increase quality in key sectors such as agriculture and agribusiness, trade and logistics, and retail and wholesale commerce.

Installation of trade facilitation infrastructure, combined with reductions in trade barriers to reduce costs and increase competitiveness of trading goods internationally.

C. Country Tunisia http://www.mcc.gov/

95332419Q0018 – Statement of Work 2

D. Scope and Objectives The Economic Analysis Division of the MCC’s Department of Policy and Evaluation seeks an individual consultant for support in modeling the expected effects of projects throughout their development and refinement. The individual consultant will engage in a number of activities that will overall support the EA staff in their economic assessment of the expected impact of the projects as they are defined and refined.

E. Tasks

The individual consultant’s tasks may include the following:

Provide opinions on the extent to which proposed projects are likely to achieve their objectives, and the extent to which a project’s objectives are linked to the elimination of market barriers to promote free and fair competition and the freer movement of factors of production across geography and sectors of the economy.

Provide support to or directly undertake economic modeling of the potential employment, productivity, investment and/or market organization impacts of proposed changes to regulation, administrative rules and other policies that are identified as barriers to fair competition and entry in a sector. This may include:

o Scenario analysis of policy alternatives that articulates the tradeoffs of certain policy changes that would affect market competition in a sector;

o Econometric or other analysis that quantifies likely impacts of policy changes intended to increase competition or reduce barriers to entry in sectors;

o Literature reviews of economic impacts of product and services market regulations.

Provide support to EA staff in the generation of data gathering tools, statements of work, survey or other data collection instruments and methodologies to gather any information necessary to undertake economic modeling of the market changes that would be expected by any policy changes enacted by the project that intend to reduce barriers to entry and facilitate competition in sectors.

F. Conflict of Interest The individual consultant would be precluded from bidding on work and services (design, assessment, construction and supervision) to be procured by the local MCA accountable entity or using funds advanced under a Compact in the relevant country; unless the consultant submits a mitigation plan sufficient to ameliorate any conflict of interest pursuant to the rules applicable to the procurement process. The designated Consultant would be expected to coordinate with local authorities responsible for MCC Compact development and implementation as well as other donors, where relevant. However, designated Consultant would work directly with the designated COR/PM to receive technical directives within the scope of the contract.

G. Deliverables The individual consultant will provide services to MCC on an as-needed basis, as required. No additional tasks shall imply any additional costs to the Government beyond the amount allowed for in the initial call order; however, this call order may be amended to reflect additional costs.

Conference calls

95332419Q0018 – Statement of Work 3

Draft and follow up detailed work plans including proposed indicators for continued tracking

Trip SOWs and reports, as relevant Brief quarterly reports Other deliverables to be determined in agreement with MCC

H. Acceptance Criteria The deliverables will be evaluated according to the following criteria:

Thoroughness and timeliness in complying with all of the elements in the tasks specified.

High quality finished products in a timely manner, and clarity of analyses and work produced.

Timeliness and efficacy of communications with relevant counterparts at MCC, MCA, and other relevant organizations.

All reports are to be submitted in English in hard and electronic copy (in MS Word), with tables, data and calculations in MS Excel.

I. Period of Performance All work under this contract will be completed within two years of the contract award. The estimated level of effort required to complete the tasks included in this statement of work is indicated in the following table. MCC anticipates this level of effort but does not guarantee this level of effort as it may decrease at the sole discretion of MCC. The contract level of effort may also increase at the sole discretion of MCC, with a corresponding contract amendment.

Task Estimated Hours

Year 1 Estimated Hours

Year 2 Total Base

Period

1. Analytical Tasks 150 90 240 Total 150 90 240

J. Performance Location The individual consultant will be required to perform work in Tunisia, at his or her home office and/or MCC’s Washington, D.C. office.

K. Qualifications of Consultant The qualifications of the individual consultant suited for this assignment include the following:

Required:

(1) At least Masters level education in economics;

(2) Minimum five years’ experience building and executing economic models of markets, economies, or sectors;

(3) Experience carrying out econometric analysis on firm-level datasets

(4) Language proficiency in English.

Preferred:

(1) PhD level education in economics

(2) Eight years’ experience building and executing economic models of markets, economies, or sectors;

(3) Specialties in either economics of industrial organization, or economics of competition and regulation strongly preferred; and

(4) Language proficiency in French or Arabic.

95332419Q0018 – Statement of Work 4

L. Contracting Officer’s Representative (COR)/Project Monitor (PM) The COR/PM shall have technical responsibility over the Consultant. Any change in the terms of the Call Order must be made in writing and approved by the Contracting Officer. No representation of the COR/PM shall serve as a basis for an alteration in the general scope of this Contract or of the terms and conditions of the Contract unless confirmed in writing by the Contracting Officer. The Consultant must communicate with the prime contractor (MBO Partners) on all matters that pertain to the Contract terms, and the prime contractor must in turn communicate with the Contracting Officer. Proceeding with work without proper contractual coverage could result in nonpayment for that work.