Amended NOFO 720-696-21-RFA-00001_WASH.pdf

Issuance Date: December 28, 2020 Deadline for Questions: January 18, 2021 Application Closing Time and Date: February 16, 2021 5:00 PM Kigali Time

Subject: Notice of Funding Opportunity: 72069621RFA00001 THRIVE-Water, Sanitation and Hygiene (WASH) activity

Dear Prospective Applicants:

The United States Agency for International Development (“USAID” or the “Agency”) seeks applications for a Cooperative Agreement from qualified entities to implement THRIVE-Water, Sanitation and Hygiene (“WASH”) activity in Rwanda, as further described in Section A of this Notice of Funding Opportunity (“NOFO”). Eligibility for this award is not restricted.

USAID intends to make an award to the applicant who best meets the objectives of this funding opportunity based on the merit review criteria described in Section E of this NOFO subject to a risk assessment in accordance with ADS 303.3.9. Eligible parties interested in submitting an application are encouraged to thoroughly read this NOFO to understand the type of program sought, application submission requirements, and selection process.

To be eligible for award, the applicant must provide all information as required in this NOFO and meet eligibility standards in Section C of this NOFO. This funding opportunity is posted on www.grants.gov, and may be amended. It is the responsibility of the applicant to regularly check the website to ensure they have the latest information pertaining to this NOFO and to ensure that the NOFO has been received from the internet in its entirety. USAID bears no responsibility for data errors resulting from transmission or conversion process. If you have difficulty registering on www.grants.gov or accessing the NOFO, please contact the Grants.gov Helpdesk at 1-800-518-4726 or via email at support@grants.gov for technical assistance.

USAID will not award to an applicant unless the applicant has complied with all applicable unique entity identifier and System for Award Management (SAM) requirements detailed in Section D.6.g. The registration process may take many weeks to complete. Therefore, applicants are encouraged to begin registration early in the process.

Issuance of this NOFO neither constitutes an award commitment on the part of USAID nor does it commit USAID to pay for any costs incurred in the preparation or submission of any comments/suggestions or an application. Applicants submit applications at their own risk. All preparation and submission costs are at the Applicant’s expense.

Please send any questions to the point(s) of contact identified in Section D by the above deadline.

Responses to questions received prior to the deadline will be furnished to all potential applicants through an amendment to this notice posted to www.grants.gov.

Thank you for your interest in USAID programs.

Sincerely, Simone Cho Agreement Officer

72069621RFA00001

THRIVE WASH Activity

Table of Contents

SECTION A: PROGRAM DESCRIPTION 3

SECTION B: FEDERAL AWARD INFORMATION 16

SECTION C: ELIGIBILITY INFORMATION 18

SECTION D: APPLICATION AND SUBMISSION INFORMATION 19

SECTION E: APPLICATION REVIEW INFORMATION 37

SECTION F: FEDERAL AWARD ADMINISTRATION INFORMATION 40

SECTION G: FEDERAL AWARDING AGENCY CONTACT(S) 50

SECTION H: OTHER INFORMATION 51

ANNEX 1 - SUMMARY BUDGET TEMPLATE 52

ANNEX 2 - STANDARD PROVISIONS 53

ANNEX 3 - ABBREVIATIONS AND ACRONYMS 56

ANNEX 4 - INITIAL ENVIRONMENTAL EXAMINATION (IEE) 58

SECTION A: PROGRAM DESCRIPTION

This funding opportunity is authorized under the Foreign Assistance Act (FAA) of 1961, as amended. The resulting award will be subject to 2 CFR 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, and USAID’s supplement, 2 CFR 700, as well as the additional requirements found in Section F.

A.1 Introduction

Access to water and sanitation services is critical to improved health outcomes, improving the living standards of Rwandan citizens, and achieving Rwanda’s long-term development goals.

USAID intends for this new THRIVE-WASH activity to form a key part of the U.S.

government’s water portfolio in Rwanda. USAID/Rwanda has invested for many years in the water sector, and this new five year award will build on the strong partnerships already in place with both the district governments and private sector to expand and improve WASH services.

A.2 Background

The overall goal of Rwanda’s next 5-year strategy or Country Development Cooperation Strategy (CDCS) (2020-2024) is that Rwanda has the strengthened human capital, robust private sector, and accountable institutions to advance self-reliance. Under this CDCS, USAID/Rwanda articulated its health investments in Development Objective (DO) 1--Improved Health Outcomes.

This activity will directly contribute to DO 1 and Intermediate Result 1.2-- Improved utilization of health, nutrition and WASH services.

A.2.1 Rwanda WASH Context

Access to safe water and sanitation is a challenge in Rwanda. According to the Joint Monitoring Program (JMP), in 2017, only 57% of the Rwanda population had access to basic drinking water services. About one third of the population lacked basic sanitation, meaning they relied on unimproved or shared sanitation facilities1. Despite improvements to access rates over the past decades, progress has been slow and expansion of services has struggled to keep up with population growth. The Ministry of Infrastructure’s (MININFRA) Water Supply and Sanitation Policy Implementation Strategies outline a goal of achieving 100% access to basic water2 and sanitation services3 by 2024, highlighting the need for rapid improvements in services.

1 WHO/UNICEF Joint Monitoring Programme www.washdata.org, https://washdata.org/data/household#!/table?geo0=region&geo1=sdg 2 Basic drinking water services are defined as improved sources or delivery points that by nature of their construction or through active intervention are protected from outside contamination, and where collection time is no more than 30 minutes for a roundtrip including queuing.

3 A basic sanitation service consists of a sanitation facility that hygienically separates human excreta from human contact (i.e. an improved sanitation facility) that is not shared with other households.

Rural water services continue to be plagued by challenges around sustainability and water quality.

In addition, while open defecation is nearly eliminated, many people are not using unshared, improved latrines. Improvements in both water and sanitation service quality are needed in order to achieve the ambitious goal of 100% access to water and sanitation services. A number of challenges, identified either through consultations or through document analysis, are impeding progress in these areas:

● District capacity to manage water service providers and implement national policies is limited: The rural water supply sub-sector has largely switched from a community management model to one of public-private partnership (PPP), in which districts delegate the operations and maintenance of water schemes to private operators. These districts are then responsible for contracting with the private operators and overseeing their performance in order to protect the interests of water users. However, district governments lack capacity in issuing and monitoring contracts with private operators. District WASH Boards, which are comprised of district officials, private operators, and water user representatives, were established to play a critical coordination function at the local level, but they are not yet fully able to play their role in sector coordination at the district level.

● Low capacity for operations and maintenance among service providers: While the sector is shifting towards private operators for water services, not all services are contracted out.

This leaves some systems under community management structures, which lack the ability to provide sustainable services if not given appropriate support from professional maintenance service providers. Where PPPs are established, these operators are not yet fully professionalized. Many private operators lack the necessary business skills and the professional association to support these operators to build skills, share knowledge and standardize approaches across service areas is weak.

● Lack of funding for sustainable operation of rural water service: In Rwanda the tariffs collected from payments are not sufficient to cover the costs of ongoing operations and maintenance (O&M) required for sustained service delivery, making it difficult for private operator businesses to be viable. This is partly due to inefficiencies in service delivery, such as high rates of non-revenue water (NRW)4, and partly due to limits on tariffs set at the national level. In addition, private operators are not yet able to take advantage of economies of scale that would lower costs and enhance their profitability.

● Low demand and willingness to pay for sanitation: Consumers are unaware of their sanitation options and costs, making them less willing to make the investment in improved sanitation. Because supply chains for sanitation are fragmented, potential customers lack information about available options and total costs. Consumers have also not organized themselves to consolidate demand, which could have the result of lowering costs and improving market efficiency.

● Insufficient private sanitation enterprises to serve rural areas: Entrepreneurs do not understand the business opportunities in sanitation or understand the range of aspirational

4 Non-revenue water is water that has been produced and is "lost" before it reaches the customer, usually through leakages, inaccurate metering or non-payment for services.

and affordable products and services they could sell, so they are reluctant to invest in the sector. Potential sanitation enterprises also lack the necessary business and marketing skills, and access to finance, that would enable successful private sector provision of products and services.

Rwanda has a strong national level sector institutional framework for water and sanitation service delivery, with policies and strategies designed to enable the local governments and private sector entities to play key roles in the sector. At the national level, the sector is coordinated by MININFRA, with the Ministry of Health (MINISANTE), which is in charge of hygiene promotion and water quality surveillance and the Ministry of Local Government (MINALOC) which oversees local governance. The Water and Sanitation Corporation (WASAC) manages water and sanitation services, with the Rwanda Utility Regulatory Authority (RURA) regulating the provision of those services. District authorities play key roles in ensuring delivery of WASH services at the local level.

A.2.2 Relationship to USAID Strategies

Journey to Self-Reliance

In the WASH sector, self-reliance is the ability of the government, civil society, and private sector to plan, finance, and implement sustainable solutions to deliver water and sanitation services to all. Fostering self-reliance requires a focus on strengthening governance systems and sector finance to ensure sustainability of services beyond the life of USAID’s investments.

The Government of Rwanda (GoR) demonstrates commitment through its ambitious goals and strong WASH sector policies and strategies; however, additional work is needed to improve implementation of these strategies at the district level. This activity will focus on strengthening the systems for rural WASH services, with a strong emphasis on improving governance at the national and district level and working with private enterprises. It will apply a market-based approach to support water and sanitation service providers to operate on commercial principles.

U.S. Government Global Water Strategy (GWS) and USAID’s Water and Development Plan

These strategies, as required by the Water for the World Act of 2014, guide the Agency’s WASH programming. The goal of USAID’s Plan is to “increase the availability and sustainable management of safe water and sanitation for the underserved and most vulnerable, in alignment with U.S. national security and foreign policy objectives.” This activity is aligned with USAID’s Water and Development Plan.

A.3 Purpose and Theory of Change

The purpose of this activity is to improve access to and utilization of safe, sustainable drinking water and sanitation services.

The theory of change for this activity is:

IF (1) the capacity of national and district governments to plan for, monitor and regulate water services is improved and if (2) rural water services are expanded, maintained and professionalized and if (3) demand for and market-based solutions for household sanitation and hygiene are scaled up;

THEN access to and utilization of safe drinking water and sanitation services will increase, and the health, economic and social burdens brought about by the lack of clean water, sanitation and hygiene on children and families will be reduced.

A.4 Proposed Outcomes and Results

The overall goal of this activity is to improve the utilization of safe drinking water and sanitation services. The THRIVE-WASH Activity will focus on 3 main objectives and Intermediate Results to achieve this goal:

● Objective 1: Decentralized WASH governance improved o Intermediate Result 1.1: National WASH sector institutions strengthened o Intermediate Result 1.2: District capacity to implement WASH policies and plans improved

● Objective 2: Rural Drinking Water Services Improved o Intermediate Result 2.1: Capacity for management of district water services improved o Intermediate Result 2.2: Capacity for provision of reliable water services improved o Intermediate Result 2.3: Funds for operations and maintenance increased

● Objective 3: Rural Sanitation and Handwashing Services and Products Improved o Intermediate Result 3.1: Increased knowledge and motivation to invest in sanitation and hygiene products o Intermediate Result 3.2: Increased availability of sanitation services and products o Intermediate Result 3.3:Increased access to financing for sanitation and hygiene

A.5 Approach

The purpose of this activity will be achieved through three interrelated and mutually reinforcing components. It is expected that work will be integrated across all components of the activity in order to maximize results.

Component 1: Decentralized WASH Governance Improved

Both strong national and district level institutions are required to ensure universal and sustainable WASH services. The GoR has strong policies and plans for the WASH sector, yet capacity gaps remain for implementation and monitoring at both national and district levels.

Component 1.1: National WASH sector institutions strengthened

The national government plays a critical role in the WASH sector, and will ultimately be responsible for ensuring that the local governments have sufficient capacity to implement and monitor policies. In particular, MININFRA and MINALOC are the key ministries responsible for ensuring water and sanitation services. Support is needed to strengthen the ability of these institutions to plan and implement WASH policy and programming, monitor and assess progress, and provide support to districts. Additionally, tariffs are set at the national level by RURA, and support for ongoing efforts to review and revise these as needed is critical to ensure sufficient finance for services. It will also be important to share knowledge with national level institutions regarding lessons learned from new approaches tested at the district level as this will help to facilitate changes to national policies, guidelines, rules and regulations.

Component 1.2: District capacity to implement WASH policies and plans improved

Upon the recommendation of the Ministry of Infrastructure, District WASH Boards were established in all 30 districts to contribute to the sustainability of WASH service provision through effective management of water supply systems and other WASH services at the district level. These District WASH Boards are not fully functional and are not yet playing their intended role in sector coordination at the district level. In some districts, Board members are not aware of their roles and responsibilities. In addition, very few members have the skills or training required on operation and maintenance of water supply systems and water quality monitoring. These Boards should also play an important role in coordinating with the national institutions responsible for WASH services.

Support to district officials is also needed to ensure that all districts have District Investment Plans for WASH, comprehensive plans mapped out by district officials and district level WASH stakeholders to address district WASH gaps to reach 100% coverage for WASH services, and districts are able to implement them. In districts where such plans are not developed, it will be necessary to analyze the current status of infrastructure, service quality and capacity of service providers. It will then be necessary to facilitate and develop a plan that accounts for the full cost of service provision. In some districts, these Investment Plans are already developed, in which case it will be important to continue to support implementation and monitoring against the targets.

This monitoring should also link to the roll-out of the national Monitoring Information System (MIS) to ensure that data for tracking progress towards national goals is available.

Component 2: Rural Drinking Water Services Improved

The institutional framework for the rural water supply sub-sector has evolved from a community management model to one of PPP, which enables private enterprises to deliver services, and requires districts to contract with and oversee private operators and protect the interests of water users. However, these operators are often not fully professionalized, and district governments lack capacity in issuing and managing contracts with private operators. A lack of reliable district-wide monitoring data also contributes to this problem, as does a lack of full awareness of what these responsibilities are and what is needed to fulfill them. To address these challenges, three key subcomponents will need to be addressed:

Component 2.1: Capacity for management of district water services improved

Under the PPP model, district governments should manage and oversee water services, with the responsibility for planning, contracting, monitoring, and ensuring post-construction support.

However, these district governments lack capacity in contracting with private operators to deliver services. Districts need to be able to issue and manage contracts in order to consolidate service provision to a point where service providers can achieve economies of scale and financial efficiencies, while also protecting the interests of water users. A lack of reliable district-wide monitoring data also contributes to this problem, as does a lack of full awareness of what these responsibilities are and what is needed to fulfill them. Districts need to perform regular monitoring of service quality, including water quality, and have the capacity to oversee service providers and take action to enforce contract provisions.

Component 2.2: Capacity for provision of reliable water services improved

While the sector is shifting towards private operators for water services, not all services have been contracted out yet. The PPP model showed initial successes, but recently progress has stalled, with only 50% of schemes managed by private operators, leaving the other systems still under community management structures. Community management can fail to provide sustainable services if not given appropriate support from professional maintenance service providers. It is also clear that the current management model – with each scheme managed individually – is failing to attract professional operators. The primary operators consist of small local companies, individuals, cooperatives and religious groups that generally lack the necessary business skills. In addition, the capacity of FEPEAR (Forum des Exploitants Privés des Systèmes d'Eau et Assainissement au Rwanda) to support these operators to build skills, share knowledge and standardize approaches across service areas, is limited. It will therefore be important to both expand the role of the private sector in delivering services and improve their capacity to operate, maintain and manage services.

Component 2.3: Funds for operations and maintenance increased Experience in Rwanda shows that tariffs collected from payments are not sufficient to cover the costs of ongoing water systems operations and maintenance (O&M) required for sustained service delivery for water supply. Inefficiencies in service delivery, such as high rates of non-revenue water and high operational costs make it difficult for operators to recover costs. In addition, private operators are not yet able to take advantage of economies of scale by consolidating management of multiple water systems that would lower costs and enhance their profitability.

Public funds are used for capital expenditures, such as new water infrastructure, but are not allocated to this funding gap for Operation & Management; however, subsidies may be necessary to reach universal coverage or reliable water services. District governments require support to understand the full costs of service provision, and potential sources of funding. Improvements in the districts’ ability to design and manage services could lead to efficiencies for both operators and regulators.

Component 3: Rural Sanitation and Handwashing Services and Products Improved

Rwanda has made great progress to reduce open defecation, with open defecation rates now at only about 2% nationally5. However, many people still lack access to an improved sanitation facility that is not shared with other households, and options for accessing improved sanitation products in rural areas are limited. The traditional approach in rural areas is to cover pits when they become full and dig a new pit, as rural areas lack containment options that can safely treat waste in-situ. Given the growing population in Rwanda, this practice will not be a feasible option as population density increases and the available space becomes more scarce.

Despite moderate levels of access to water and very high coverage of latrines in Rwanda, sanitation and hygiene practices are still low. The JMP 2017 estimates that only 5 % of households have a handwashing facility with soap and water on premise and 86% have no handwashing facility at all. In the 2014 Knowledge, Attitudes and Practices (KAP) survey6, of the children who were observed defecating, only 8% defecated in the toilet or potty, only 28% of caretakers cleaned the child’s bottom and only 3% of caretakers washed their hands immediately after cleaning the child. Both sanitation and hygiene challenges require households to understand the benefits of adopting new technologies and healthy behaviors.

Component 3.1: Increased knowledge and motivation to invest in sanitation and hygiene products

In rural areas, a variety of factors may influence consumer uptake of improved sanitation products and services, including knowledge, affordability, and motivation, among others. Due to fragmented supply chains for sanitation and limited marketing of sanitation products and services, households are unaware of the various product options, pricing and where to purchase products and services. This results in consumers being forced into a “Do-It-Yourself” (DIY) model, whereby they purchase the individual components of the sanitation facility and hire laborers for installation. Beyond knowledge and affordability (discussed in more detail below), there is insufficient insight into the motivations for households to invest in improved facilities. With regards to hygiene, the MINISANTE has led concerted efforts to promote hand washing with soap, resulting in high levels of knowledge. The 2014 KAP survey revealed that while 100% of respondents knew that washing hands with soap before preparing food for children was important, only 28% felt it was commonly practiced by people in their community. Although attitudes and norms may have changed for the better given the COVID-19 pandemic, there is still a need to go beyond promotion towards a holistic set of interventions that include, among others, examining the role of enabling products to facilitate sustained behavior change. Formative research is needed to uncover the barriers and facilitators for these behaviors; the results of which will drive the design of evidence based social and behavior change programming that is delivered via local actors, especially the private sector. Marketing by sanitation enterprises should make use of this

5 WHO/Unicef Joint Monitoring Program, https://washdata.org/data/household#!/ 6 Knowledge, Attitudes and Practices Assessment on Early Nurturing of Children Report. Ministry of Health, Rwanda and UNICEF Rwanda, 2014.

formative research in order to develop marketing campaigns designed to turn latent demand into purchases of aspirational sanitation and hygiene products.

Component 3.2: Increased availability of sanitation services and products

On the supply side, there are insufficient private sanitation enterprises to serve rural areas. One main reason is that entrepreneurs do not understand the business opportunities in sanitation or understand the range of aspirational and affordable products and services they could sell, so they are reluctant to invest in the sector. Potential sanitation enterprises also lack the necessary business skills that would enable profitable private sector provision of products and services. One area that is particularly lacking is in marketing expertise to activate demand for improved products, including those that treat waste in-situ, and convert potential interest in sanitation into purchases. Sanitation enterprises should work to develop linkages with community groups and others who can help with marketing of new products and consolidating orders to make delivery more efficient. They should also work with suppliers to ensure that there are available products that meet the needs of marginalized and vulnerable populations. A delivery model where consumers can go to a single shop for a complete sanitation package would be more efficient. The newly established District Sanitation Centers provide a model for how to build demand for sanitation, inform consumers of options, and provide training on sanitation for households and enterprises. However, this needs to be expanded beyond the district-level to increase access to rural populations.

Component 3.3. Increased access to financing for sanitation and hygiene

Although unimproved sanitation facilities can be constructed without significant financial cost, higher level facilities will require that households pay for parts, delivery, and installation fees. In the past, households have been hesitant to take out loans for sanitation, thus, innovative solutions are required to address household affordability. This may be in the form of consolidating customer orders to reduce costs, restructuring payment options or providing other financing options, particularly for poor and vulnerable households. Formative research can also explore which types of financing mechanisms would be the most acceptable to households. In addition to household financing needs, sanitation businesses may also need assistance to develop and expand, as they often lack the capital to diversify the types of products they can offer or have the means to expand their coverage area. Sanitation businesses in Rwanda may find accessing commercial loans or credit from microfinance institutions challenging, and solutions are needed to persuade creditors that rural sanitation is a worthwhile and profitable investment.

A.6 Activity Parameters & Cross-cutting Principles

A.6.1 Geographical Focus and Target Beneficiaries

This activity will be implemented in 8 districts (Kayonza, Ngoma, Rwamagana, Ruhango, Nyanza, Kicukiro, Nyarugenge and Nyabihu), where previous USAID investments led to the establishment of district sanitation centers. Two additional districts will be selected in consultation with the Government of Rwanda, for a total of 10 districts. It is expected that this activity will work district-wide, with a primary focus outside the larger towns, and will support the district officials and private sector representatives working in sanitation and water supply services. It is also expected that this activity will target geographies and populations receiving USAID-funded nutrition activities within these districts to the maximum extent possible. This activity will complement ongoing USAID health investments in Maternal, Neonatal, and Child Health and health systems strengthening, in nutrition and food security investments under the Feed the Future Global Initiative , Education’s Early Learning and Youth Livelihood activities as well as other USAID/Rwanda Private Sector Initiatives. By layering activities in geographic areas, the same populations can be reached and health gains will be maximized. The activity will also work in the same districts as the PEPFAR funded Orphans and Vulnerable Children (OVC) and DREAMS program targeting adolescents and young women at risk for HIV. Some policy and planning support at the national level will also be necessary to facilitate and institutionalize progress at the district level.

A.6.2 Partnership with the Government of Rwanda

Rwanda’s development priorities are captured in Vision 2050 and the National Strategy for Transformation 2017-2024 (NST 1). Rwanda aspires to become an upper middle-income country by 2035 and a high-income country by 2050. Regarding WASH, the GOR has developed Water Supply and Sanitation Policies and Strategic Implementation to enable the country to reach universal access and coverage for basic WASH services. The THRIVE-WASH Activity will support GOR initiatives and priorities at both national and district level.

A.6.3 Relationship with other USAID-funded Activities

This activity will complement ongoing USAID health investments in Maternal, Neonatal, and Child Health and health systems strengthening, nutrition and food security investments under the Feed the Future Global Initiative, Education’s Early Learning and Youth Livelihood activities as well as other Mission wide Private Sector Initiatives. The activity will also work in the same districts as the PEPFAR funded OVC and DREAMS program targeting adolescents and young women at risk for HIV.

A.6.4 Coordination and Collaboration with other Development Partners and Stakeholders

Collaboration is essential to the success of the Activity, and the Activity will actively collaborate with the key Ministries and other development partners working at the national and district level.

In particular, the Activity will need to coordinate with other WASH activities, especially those implemented by UNICEF, JICA and AfDB, in order to leverage their investments in water infrastructure and behavior change. In consultation with USAID, this collaboration is expected to lead to refinements and adjustments to the Activity’s technical approaches and annual work plans.

A.6.5 Local Partner Institutional Engagement and Capacity Building

It is a priority of USAID to implement programs in partnership with local organizations and to build their organizational and technical capacity so they can help to sustain project results after USAID support ends. USAID expects that a meaningful part of the budget will be programmed through sub-awards, and that organizational development support will be provided systematically to local organizations. This activity will work closely with local private sector enterprises in particular, and will invest in building the capacity of these enterprises to continue to offer water and sanitation services beyond the life of the activity.

A.6.6 Private sector engagement

The GOR has developed enabling legislation, policies, and action plans for private sector participation in the WASH sector, and there is growing interest from the local governments and private sector organizations. Engagement with private sector actors is critical to stimulate innovation and investment to meet demand, while considering affordability, sustainability, and local market conditions. The Activity will work to facilitate market development across the activity, aiming to support market actors, including the private water operators and sanitation businesses, and remove barriers to entry for the private sector, including by working with international water and sanitation businesses, as appropriate.

A.6.7 Management/Implementation Approach

The Activity will require a management and operational structure that is cost efficient and able to effectively implement, and provide technical support and oversight to activities in targeted districts. Given the limited resources and overwhelming needs, the Activity will need to support the differing priorities and technical interventions in the most cost-efficient manner possible. The organizational structure should provide support to respond and adapt to the changes, engage host country government officials, and make appropriate decisions and course corrections to ensure each district achieves its stated results. The Activity must be able to engage in policy level dialogue while remaining focused on and present at the district level.

A.6.8 Construction Risk Management

If any construction activities are proposed to achieve the objectives, the Activity should ensure that appropriate measures are taken to mitigate construction risks. This should include having a licensed architect-engineer firm complete engineering designs, completing construction under a separate subaward to a qualified construction contractor, ensuring quality-assurance throughout the life of the construction activity, and planning for operations and maintenance. The Activity will also need to ensure acceptable water quality by following a water quality assurance plan.

A.6.9 Environmental Compliance and Climate Risk Management

The Activity will need to comply with environmental compliance regulations as detailed in Section F.5. The Recipient would be required to prepare and submit an Environmental Assessment (EA) addressing the environmental concerns raised by the activities identified as having a Positive Determination. In addition, the Mission Environmental Officer shall approve a Plan for Environmental Mitigation and Monitoring (EMMP) before the major programmatic activity implementation begins. The Activity should also address the potential for climate risks and ensure mitigation plans are in place for all activities.

A.6.10 Gender

Promoting gender equality and advancing the status of women and girls is vital to achieving USAID’s development objectives. Globally, women and girls spend 200 million hours every day collecting water7. For many of the world’s poorest women and girls, the opportunity costs for collecting water are high, shortening the time they have to dedicate to other activities. Simply by freeing up time by providing a safe and sustainable source of water in or near home, girls may be better able to attend school, and women may be able to engage in economic activity.

USAID policy mandates that all applicants mainstream and integrate gender into their interventions. Therefore, the applicant is expected to demonstrate compliance with USAID Policy ADS 205 and the Women's Entrepreneurship and Economic Empowerment Act and should explicitly state how this activity supports the gender policies and strategies of the United States and the GOR.

A.6.11 Youth

This activity is rooted in a Positive Youth Development (PYD) approach, which is based on the belief that, “given guidance and support from caring adults, all youth (ages 10-29) can grow up healthy and productive, making positive contributions to their families, schools, and communities.” PYD programs intentionally focus on developing competencies and behaviors that support pro-social attitudes, a clear and positive personal identity, and positive belief in the future.

PYD programs encourage youth leadership and experiential learning, as well as adult approachability and champions. This activity will include concrete and practical approaches that will not only address the challenges that youth face to accomplish the activity results, but will also involve and support young people in the decision-making, management and leadership of this activity.

A.6.12 Social Inclusion

USAID/Rwanda is highly committed to inclusive development and this is expected to be accomplished through ensuring that all programs and activities are equally available to all people, including persons with disabilities. Contribution to inclusive and sustainable development is crucial so as to strategically promote inclusion of people who face discrimination and gender disparities; people who have limited access to a country's benefits and legal protections and/or have limited opportunities for participation in socio-economic, legal, and cultural life of their nations. In addition, the USAID/Rwanda emphasizes strengthened social inclusion so that persons with disabilities and other marginalized groups can participate not only as target beneficiaries but also as agents of change to benefit and maximize their full potential.

Every person's voice counts and is instrumental in the transformation of their own societies.

Inclusion throughout the development process leads to better outcomes. Therefore, the Recipient

7 UNICEF (2016) Collecting water is often a colossal waste of time for women and girls.

shall be required to conduct in-depth gender and social inclusion analysis, and ensure that findings and recommendations inform the development of an inclusive strategy and integration plan, which will concretely describe how gender and social inclusion barriers/constraints will be addressed through program implementation.

A.7 Monitoring, Evaluation, and Learning

A.7.1 Monitoring

Performance monitoring refers to monitoring the quantity, quality, and timeliness of activity outputs within the control of the implementer, as well as the monitoring of activity outcomes that are expected to result from the combination of these outputs. Performance monitoring includes operational monitoring such as checking back later to see if completed activities still function.

The monitoring system, which should include both quantitative and qualitative data collection, will provide the Activity, USAID and other key stakeholders with timely and accurate data about progress. Indicators should be clearly linked to results and grounded in a theory of change, and data should be disaggregated by gender, country, zone of intervention and other relevant criteria. The monitoring system must include performance monitoring and context monitoring. The Recipient is responsible for collecting baseline data for their performance indicators.

In order to have a sound monitoring system, the Recipient will work with USAID to develop a Monitoring, Evaluation and Learning (MEL) Plan that includes performance indicators and learning questions. For all indicators, the MEL Plan will describe how baselines will be established, set realistic targets, and outline effective procedures for internal data quality control. The MEL Plan should include appropriate USAID standard indicators for WASH, such as:

● HL.8.1-1: Number of people gaining access to basic drinking water services as a result of US Government (USG) assistance

● HL.8.1-3: Number of people receiving improved service quality from an existing basic or safely managed drinking water service as a result of USG assistance (i.e., existing access)

● HL.8.2-1: Number of people gaining access to basic sanitation services as a result of USG assistance

● HL.8.3-3: Number of water and sanitation sector institutions strengthened to manage water resources or improve water supply and sanitation services as a result of USG assistance

The MEL Plan will also need to include custom indicators to measure the Activity’s outputs and outcomes. Examples of these might include:

● Percent change in sanitation enterprise revenues

● Operating ratios of supported rural water service providers

A.7.2 Evaluation

USAID/Rwanda may conduct an independent mid-term and/or final performance evaluation of the award to measure progress over time, verify the development hypothesis, and inform programming. The Activity will work closely with the evaluators to provide context as well as access to relevant staff and information, including baseline and monitoring data if needed.

Results of performance evaluations may lead to changes in the implementation of the Activity and will be shared in a public report.

A.7.3 Learning

A continuous commitment to learning about new approaches and adapting as necessary through the life of the activity will be critical to success. While the activity may need to test an array of approaches to ensure results, it must learn from its interventions and quickly focus on efforts that are producing results, drop those that are not, and adapt interventions where appropriate. The MEL plan should include an approach for continuous learning and adaptation over the life of the activity.

As part of this approach, the activity must develop a preliminary learning agenda that identifies a limited number of questions (one to three) related to the activity theory of change. These questions will inform the activity learning agenda, which will be developed throughout the first year of implementation. Close and systematic collaboration with other USAID implementing partners, the GOR decision-makers and institutional bodies among the target communities, and other key stakeholders will be critical to maximize the use of learning.

[End of Section A]

SECTION B: FEDERAL AWARD INFORMATION

B.1 Estimate of Funds Available and Number of Awards Contemplated

USAID intends to award one Cooperative Agreement pursuant to this NOFO. Subject to funding availability and at the discretion of the Agency, USAID intends to provide $21,000,000 in total USAID funding over a five-year period.

USAID reserves the right to fund activities incrementally over the duration of the award, if necessary, depending on the availability of funds, the level of performance against approved indicators, and their continued relevance to USAID programs.

B.2 Expected Performance Indicators, Targets, Baseline Data, and Data Collection

Performance indicators for this activity will include appropriate USAID standard indicators for WASH, such as:

● HL.8.1-1: Number of people gaining access to basic drinking water services as a result of USG assistance

● HL.8.1-3: Number of people receiving improved service quality from an existing basic or safely managed drinking water service as a result of USG assistance (i.e., existing access)

● HL.8.2-1: Number of people gaining access to basic sanitation services as a result of USG assistance

● HL.8.3-3: Number of water and sanitation sector institutions strengthened to manage water resources or improve water supply and sanitation services as a result of USG assistance

Custom indicators to measure the Activity’s outputs and outcomes will be developed jointly by USAID/Rwanda and the Recipient. Examples of these might include:

● Percent change in sanitation enterprise revenues

● Operating ratios of supported rural water service providers

B.3 Start Date and Period of Performance for Federal Awards

The anticipated period of performance is five years. The estimated start date will be May 15, 2021.

B.4 Substantial Involvement

USAID/Rwanda anticipates a close working partnership with the Recipient for this award. USAID will exercise substantial involvement under this Cooperative Agreement in the following ways:

1. Approval of the Recipient’s Implementation Plans by the Agreement Officer’s Representative (AOR). The Agreement Officer (AO) delegates authority to the AOR to approve implementation plans.

2. Approval of the Recipient’s Monitoring, Evaluation and Learning (MEL) Plan by the AOR.

3. The AO may immediately halt the activity if the Recipient does not meet identified performance targets (This includes authority to halt construction activities if construction specifications are not met).

4. USAID’s review and approval of the Recipient’s achievement after one year of implementation, before implementation can begin in subsequent year(s) during the period covered by the cooperative agreement.

5. USAID’s review and approval of substantive provisions of proposed subawards or contracts.

6. Approval of Specified Key Personnel as concurred on by the AOR and approved by the AO. The positions include:

a. Chief of Party

b. Deputy Chief of Party

c. Private Sector Development Advisor

d. TBD (if applicable)

e. TBD (if applicable)

7. The Agency and Recipient collaboration and joint participation including USAID involvement as a member of advisory committee.

8. Agency monitoring to permit specific kinds of direction or redirection of the work because of the interrelationships with other projects or activities. All such direction or redirection must be within the program description budget, and other terms and conditions of the award.

B.5 Authorized Geographic Code

The geographic code for the procurement of commodities and services under this program is 935.

This means any area or country including the recipient country, but excluding any country that is a prohibited source. The list of countries designated as prohibited sources is found at http://www.usaid.gov/ads/policy/300/310mac.

B.6 Nature of the Relationship between USAID and the Recipient

The principal purpose of the relationship with the Recipient and under the subject program is to transfer funds to accomplish a public purpose of support or stimulation of the Water, Sanitation and Hygiene activity which is authorized by Federal statute. The successful Recipient will be responsible for ensuring the achievement of the program objectives and the efficient and effective administration of the award through the application of sound management practices. The Recipient will assume responsibility for administering Federal funds in a manner consistent with underlying agreements, program objectives, and the terms and conditions of the Federal award.

[End of Section B]

SECTION C: ELIGIBILITY INFORMATION

C.1 Eligible Applicants

Eligibility for this NOFO is not restricted. USAID welcomes applications from organizations that have not previously received financial assistance from USAID.

The successful Applicant will be subject to a risk assessment (possibly including a pre-award survey) by the AO. A positive risk assessment means that the applicant possesses or has the ability to obtain the necessary management competence to plan and carry out the assistance program to be funded, and that the applicant will practice mutually agreed upon methods of accountability for funds and other assets provided by USAID.

C.2 Cost Sharing or Matching

USAID has established a mandatory minimum recipient cost share of 10% of projected award amount for the award. Such funds may be provided directly by the recipient; other multilateral, bilateral, and foundation donors; host governments; and local organizations, communities and private businesses that contribute financially and in-kind to implementation of activities at the country level. This may include contribution of staff level of effort, office space or other facilities or equipment which may be used for the program, provided by the recipient. For guidance on cost sharing in grants and cooperative agreements see 2 CFR 200.306.

C.3 Other

Each legal entity is limited to one application submission under this NOFO as the prime Applicant. There is no limitation on being included as a potential sub-awardee across multiple applications. The use of exclusive teaming arrangements is discouraged.

Risk Assessment: In accordance with 2 CFR 200.206 USAID is required to evaluate risk posed by the applicant prior to awarding a federal grant. Risk assessment will be conducted in accordance with ADS 303.3.9. The Apparently Successful Applicant will be requested to submit additional evidence they deem necessary for the AO to make a positive risk assessment determination. The information submitted should substantiate that the applicant:

i. Has adequate financial resources or the ability to obtain such resources, as required during the performance of the award.

ii. Has the ability to meet the award terms and conditions, considering all existing prospective recipient commitments, both non governmental and governmental.

iii. Has a satisfactory record of performance. Generally, relevant unsatisfactory performance in the past is enough to justify a finding of non-responsibility, unless there is clear evidence of subsequent satisfactory performance or the applicant has taken adequate corrective measures to assure that it will be able to perform its functions satisfactorily.

iv. Has a satisfactory record of business integrity.

v. Is otherwise qualified to receive an award under applicable laws and regulations.

[End of Section C]

SECTION D: APPLICATION AND SUBMISSION INFORMATION

D.1 Agency Point of Contact

Name: Justin Troy DiVenanzo Title: Supervisory Contracting and Agreement Officer Email: jdivenanzo@usaid.gov Mail Address: 2657 Avenue de la Gendarmerie, P.O. Box 2848 Kigali, Rwanda

The above contact information is for informational purposes only. This NOFO itself and any subsequent amendments can be found at www.grants.gov. All applications must be submitted according to the instructions contained in this NOFO.

In order to maintain a fair and transparent funding opportunity USAID maintains strict guidelines on who within USAID may be contacted regarding applications or questions about the opportunity. Applicants may only contact USAID via the email address provided in this NOFO.

D.2…