ATTACHMENT J.6 IEE 2020-UKR-077 HOVERLA.pdf

DCN: 2020-UKR-077

USAID/Ukraine - HOVERLA IEE 1

US Agency for International Development (USAID) Ukraine Mission

Initial Environmental Examination (IEE)

Activity Data

Activity Name: Ukraine Governance and Local Accountability Project

(HOVERLA)

Assistance Objective: Development Objective (DO) 3: Democratic Governance Strengthened

Program Area: DR.2 Good Governance Country(ies) and/or Operating Unit: Ukraine Originating Office: USAID/Ukraine Date: July 2020 PAD Level IEE: Yes☐ No☒ Supplemental IEE: Yes ☐ No☒ RCE/IEE Amendment: Yes☐ No☒

DCN of Original RCE/IEE: n/a

DCN of Amendment(s):

n/a

If Yes, Purpose of Amendment (AMD): n/a DCN(s) of All Related EA/IEE/RCE/ER(s): n/a Implementation Start/End: AMD: n/a LOP: FY2021-FY2026 Funding Amount: AMD Amount: n/a LOP Amount: $ 75,000,000 Contract/Award Number (if known): TBD

Recommended Environmental Determination:

Categorical Exclusion: ☒ Positive Determination: ☐ Negative Determination: ☒ Deferral: ☐

Additional Elements:

Conditions: ☒ Local Procurement: ☐ Government to Government: ☐ Donor Co-Funded: ☐ Sustainability Analysis (included): ☒ Climate Change Vulnerability Analysis (included): ☒

1. Background and Activity Description

1.1. The purpose of this IEE is to document the environmental mitigation measures for a new Ukraine Governance and Local Accountability Project (HOVERLA) activity. This Activity will contribute to USAID/Ukraine’s Country Development Cooperation Strategy (CDCS) for 2019-2024, Development Objective 3 (DO3) Democratic Governance Strengthened and its associated Intermediate Results (IRs).

The Activity is part of USAID/Ukraine’s Democratic Governance Project, which encompasses activities contributing to CDCS DO3 and its IRs.

1.2. Activity Overview:

USAID/Ukraine - HOVERLA IEE 2

The purpose of the HOVERLA activity is to facilitate the creation of Ukrainian local governance systems and processes that are more self-reliant, accountable to citizens, inclusive and able to provide services.

USAID anticipates achieving this purpose through the following objectives:

Objective 1 – Ukraine’s system of local self-governance is increasingly institutionalized and effective.

Objective 2 – More self-reliant subnational governance Objective 3 – Citizens play an increasingly influential role in local governance processes.

No large-scale activities are anticipated.

1.3. Activity Description:

Objective 1 – Ukraine’s system of local self-governance is increasingly institutionalized and effective.

HOVERLA will provide technical assistance to national-level actors involved in legislative and policy drafting, e.g., parliamentary committees, the President’s office, and Cabinet of Ministers. The program will coordinate with associated GOU entities and other actors to create a national level Local Governance Reform Action Plan with goals, a timeline, and responsible entities including a monitoring plan and issues troubleshooting. It will seek to establish similar action plans for improving targeted sub-national governance, service provision, and local economic development and provide support to the management and implementation of associated local governance action plans. It will provide support through technical assistance to sectoral ministries (e.g., the MCTD through short and/or long-term technical assistance If needed, this will include technical assistance on the amalgamation and rayon reorganization processes should this be needed with assistance in policy and mapping. Furthermore, HOVERLA will provide tailored technical assistance to Ukraine’s legislature and local representative bodies; executives of all levels including national government; and associated line ministries, legislators, and technical staff.

HOVERLA will support fiscal decentralization reform resulting in the reduction of unfunded mandates for Consolidated Territorial Communities (CTCs), cities, and other associated local government entities (e.g., the median level of government). It will support legislative work to increase own-source revenues for local governments through taxes and fees, etc. It will support civic groups working to influence, alter, or expand the nature and direction of existing policy. HOVERLA will provide support coordination associated with line ministries and the implementation of sectoral decentralization in the areas of health and education. The activity will work to expand local government capacities through other country decentralization experience; provision of professional development opportunities; experience sharing via professional exchanges within the country and internationally; and encouraging/facilitating diverse and inclusive multilevel cross-sectoral dialogue with the aim of increasing the overall efficiency of the country’s local-level governance systems.

Objective 2 – More self-reliant subnational governance.

HOVERLA will support local government entities to increase own-source revenues through creating taxpayer databases (closely linked to infrastructure improvements) and provide trainings on asset management for local government entities (closely linked to land reform). The activity will utilize land tools (e.g., GIS mapping, spatial planning) with subnational governments to be able to responsibly use their land for economic development. It aims to increase the capacity of local government councilors to represent their constituents, legislate local ordinances, and oversee the executive.

HOVERLA will support local government (mayors and staff) to establish and use participatory governance tools, engaging with citizens/CSOs to incorporate priorities and reflect these in associated budgets and financial planning. The activity will support subnational participatory strategic planning, service improvement, and local economic development planning linked to sub-national and national-level

USAID/Ukraine - HOVERLA IEE 3 planning. It will provide capacity assistance to median level government (as per current rayon level) as appropriate to establish functionality and appropriately respond to other levels’ needs. The activity will support the development of university curricula tailored to local governance. It will also support on-the-job- training, CTC/city peer-to-peer learning, internships, and study tours.

HOVERLA will facilitate the creation of inter-municipal cooperation activities/projects between local governments and sub-national levels on joint services and infrastructure such as solid waste removal. It will provide support to oblast governments on regional economic planning, procurement training at the CTC/city level linked to actual procurements, and support CTCs and city institute on creating enabling environments for local economic development. The activity will provide technical assistance to CTC/city service provision enterprises on improving service delivery, linked to improved fee collection.

Furthermore, it will support methodology establishment for sharing lessons learned and best practices beyond the specific CTCs/rayons/oblasts directly targeted.

Objective 3 – Citizens play an increasingly influential role in local governance processes.

HOVERLA will support the development and adoption of civic engagement mechanisms such as public hearings; civic expertise; town hall meetings; dialogue forums; public debates; youth councils to engage youth; civic advisory boards; public councils; and e-based civic engagement mechanisms such as e-petitions, participatory budgets, etc. It will support a CSO needs assessment (e.g., community surveying, online voting) and advocacy campaigns. The activity seeks to build the capacity of local government associations to effectively represent their constituents at all levels of governance.

HOVERLA will support campaigns to generate knowledge and support of the Local Governance Reform aimed to increase awareness of citizens role in local democracy and decision making. It will facilitate citizen engagement in local government (CTC, mid-level and cities/oblasts) decision-making with an emphasis on including women (e.g., trainings, public campaigns, gender responsive tools). Finally, HOVERLA will facilitate youth participation and engagement in local governance (e.g., trainings and hub events for youth, youth festivals, local community projects, creating youth spaces, peer-to-peer education programs, exchange tours, youth monitoring of local government services, youth councils, etc.)

2. Baseline Environmental Information

2.1. Locations Affected and Environmental Context:

The Activity has a national-level remit to strengthen the overall framework for Ukraine’s local governance, particularly under the framework of Objective 1. The Contractor is required to implement sustained interventions with specific geographic focus as well. The Contractor shall strike a balance between efforts at the various levels of government. The Contractor shall provide intensive technical assistance, particularly to achieve Objectives 2 and 3, with select interventions with CTCs, cities, rayon-level governments, and oblast-level governments as appropriate. Given uncertainties around the level of legal development, particularly at the rayon and oblast levels, this solicitation provides only limited guidelines on the ratios of effort. The Contractor shall define planned ranges as recommended levels of depth and breadth of efforts under the Activity’s objectives given the various scenarios for sub-national government definitions and broader assessment of Ukraine’s overall decentralization reform work being done by donors, implementers, the GOU, etc. Various methodological approaches may be applied to different parts of, and/or the whole of the country, although a multiple-methodology-approach is not a requirement. Some of the Mission’s guidelines with regard to geographic focus include:

• Efforts shall not target every level of government in any particular oblast for sustained effort, but at least three (3) geographically diverse oblasts shall be targeted with sustained interventions at all existent levels to assure learning in inter-level governance issues; and

USAID/Ukraine - HOVERLA IEE 4

• No fewer than 50 CTCs/cities shall be targeted for sustained CTC-level technical assistance (as defined by bidders) under the contract within a no fewer than 7 oblasts overall.

The exact geographic locations are unknown at this point and will be finalized after selection in coordination with the winning offeror’s suggestions.

2.2. Description of Applicable Environmental and Natural Resource Legal Requirements Policies, Laws, and Regulations:

Ukraine has an extensive body of environmental laws and policies, many of which provide guidance on environmental and natural resource legal requirements. Key laws and legislated related to this activity include:

• Environmental Protection Act (last amended December 2010): The Act sets up the overall environmental framework and is the paramount legal act for all environmental activities; it briefly discusses biodiversity conservation;

• Land Code (last amended March 2011): Ukraine’s land use legislation which is supposed to ensure “rational land use and protection of lands,” and divides all land into nine categories, including four categories especially relevant to biodiversity conservation:

protected areas, forest lands, agricultural lands, and water lands;

• Law of Ukraine “On environmental impact assessment: (2017);

• Law of Ukraine “On alternative fuel types” (2000);

• Law of Ukraine “On labor protection” (1992); and

• Law of Ukraine “On waste” (1998).

The EU-Ukraine Association Agreement was signed by the European Union and Ukrainian President Poroshenko in June 2014, and ratified by the Verkhovna Rada (Parliament of Ukraine) and the European Parliament in September 2014. The Association Agreement focuses on support to core reforms, economic recovery and growth, and cooperation in areas including energy, transportation, social development, education, and environmental protection. Under the Environment chapter of the Association Agreement, Ukraine is supposed to gradually harmonize its environmental legislation to that of the EU within the stipulated timeframes. Specific commitments include harmonization of laws and regulations on:

• Environmental impact assessment and strategic environmental assessment;

• Public access to environmental information;

• Conservation of wild flora and fauna;

• Development of a national biosafety system;

• Emissions of volatile organic compounds;

• Marine environmental policy;

• Industrial emissions;

• Greenhouse gas emissions allowance trading;

• Substances that deplete the ozone layer; and

• Assessment and management of flood risks.

2.3. Country/Ministry/Municipality Environmental Capacity Analysis:

The primary government institutions responsible for environmental protection and biodiversity conservation in Ukraine are the: Ministry of Ecology and Natural Resources, Ministry of Agrarian Policy and Food, Ministry of Agriculture, and Ministry of Internal Affairs. The Ministry of Ecology and Natural Resources (MENR) is the primary government authority responsible for the protection of the environment, ecological safety, treatment of waste, hazardous chemicals, pesticides and agricultural chemicals, and perform state ecological expertise.

USAID/Ukraine - HOVERLA IEE 5

One of the main constraints faced by the MENR is the lack of capacity to develop adequate legislation and to enforce it, including issues related to inadequate financial support, weak biodiversity conservation training programs, limited expert potential, and low level of staffing for critical functions. In recent years, environmental policies have been stalled by delays in adoption of necessary legal acts and regulations due to frequent changes in the government and vested interests.

Low levels of capacity, including inadequate governance and weak institutions, have demonstrated negative impacts on the environment, with economic factors often underlying these weaknesses. Specific, proximate causes of environmental threats include corruption, illegal logging/fishing, irrigation and other aspects of the conversion of land for agriculture, and the physical and chemical effects of bombs, shells, and missiles in the conflict zone. For example, Ukraine ranks below other low- and middle-income countries in its commitment to biodiversity and habitat protection. According to the Journey to Self- Reliance, FY 2019 Country Roadmap, Ukraine received a relatively low score of .42 out of 1 for Biodiversity and Habitat Protection. USAID's 2017 Biodiversity Analysis found that the country’s ecosystems and species are experiencing each of the five general types of direct threats recognized by the Convention on Biological Diversity. These threats include over-exploitation, habitat change, nutrient loading and pollution, invasive alien species, and climate change. Although efforts have been made to address these issues since 2014, weak implementation and enforcement of existing laws have stymied long term success.

While there has not been a notable change in climate across the country, there has been an increase in both the intensity and frequency of drought, heavy rainfall, and heavy snowfall events. The vulnerability of the largely urban (69.7 percent in 2015) population is magnified by infrastructure deficiencies such as an aging and fragile housing stock and limited potable water supply. Post-2014 economic shocks and the humanitarian crisis in the east have diverted resources from climate adaptation strategy and planning.

A 2018 Climate Risk Management (CRM) Screening for Ukraine, conducted as part of USAID/Ukraine Country Development Cooperation Strategy (2019-2024), considered the following, projected future climate changes:

• Increasing temperatures, heat stress, and heat waves, particularly in the far east and south;

• Changing seasonal rainfall patterns;

• Increasing evapotranspiration and decreasing overall water balance;

• Moderate increase in dry spells and droughts, particularly in the south;

• Increasing intensity and frequency of heavy rainfall events, especially in the north;

• Increasing frequency of flash flood events; and fewer early spring floods;

• Potential increase in dust storms due to increasing temperatures and drier conditions, particularly in the south; and

• Increase in the rate at which the sea level is rising (the Black Sea has risen 5-8 inches since 1900).

While the HOVERLA project is not directly focused on environmental conservation or climate risks, the program seeks to strengthen local governance and deepen democracy, which will ultimately have positive environmental outcomes. The project will heighten capacity and accountability of the government institutions regulating the environment and addressing climate risks.

2.4. Sustainability Analysis:

The activity will seek to improve the effectiveness and sustainability of its interventions by strengthening self-reliance of Ukraine’s governance system. This will be achieved by creating an enabling legal environment for effective governance and efficient processes and procedures. These will be supported by viable resources; clear distribution of authorities/functions and efficient cooperation mechanisms between levels of government; creation of an enabling environment for business development and investment

USAID/Ukraine - HOVERLA IEE 6 attraction to sustain locally generated budget income; improved services and higher customer satisfaction, which, in turn, will more active civic participation in local decision making and governance oversight.

Overall expected results of the program are the following:

• Ukraine’s system of local self-governance is increasingly institutionalized and effective;

• More self-reliant subnational governance; and

• Citizens play an increasingly influential role in local governance processes.

2.5. Climate Change Vulnerability Analysis:

Drawing on information from the CDCS CRM, a climate risk screening has been completed as part of the design process for this activity and a complete analysis can be found in Annex B. Per the Mandatory Reference, the screening assigns a qualitative climate risk rating based on both the probability of a negative impact and the severity of that negative impact. For risks rated as Moderate or High, the screening also explores opportunities, risk management options, how the climate risks are addressed by the projects (including whether the risks are accepted), and what steps may be needed to address the risks at the project/activity level. The climate risk management options provided in Column 6.1 offer a selection of potential investments, activities, and practices to prioritize in response to the identified climate risk. The next steps identified in Column 7 focus more broadly on approaches and considerations for integrating climate risks into the project/activity design phase. Such considerations would likely entail selection and integration of options noted in Column 6.1.

3. Analysis of Potential Environmental Impact

3.1. Objective 1 – Ukraine’s system of local self-governance is increasingly institutionalized and effective.

Defined/Illustrative Activities Potential Impacts

1.1 Provide technical assistance to national-level actors involved in legislative and policy drafting, e.g., parliamentary committees, the President’s Office, and Cabinet of Ministers.

No adverse impact

1.2 Coordinate with associated GOU entities and other actors

(donors, etc.) to create a national level Local Governance Reform Action Plan with goals, a timeline and responsible entities including a monitoring plan and issues troubleshooting.

1.3 Support to the management and implementation of associated local governance action plans.

1.4 Provide support through technical assistance to sectoral

ministries (e.g. the MCTD) through short and/or long term technical assistance.

No adverse impact

1.5 Technical assistance on the amalgamation and rayon

reorganization processes should this be needed with assistance in policy and mapping

USAID/Ukraine - HOVERLA IEE 7

1.6 Support fiscal decentralization reform resulting in the reduction of unfunded mandates for CTCs, cities and other associated local government entities (e.g. the median level of government)

No adverse impact

1.7 Support to legislative work to increase own-source revenues for local governments through taxes and fees, etc.

1.8 Support civic groups working to influence, alter, or expand the nature and direction of existing policy.

No adverse impact

1.9 Provide support coordination associated with line ministries and the implementation of sectoral decentralization in the areas of health and education

No adverse impact

1.10 Tailored technical assistance to Ukraine’s legislature and local representative bodies; executives of all levels including national government; and associated line ministries, legislators and technical staff.

No adverse impact

1.11 Work to expand local government capacities through other country decentralization experience; provision of professional development opportunities; experience sharing via professional exchanges within the country and internationally.

1.12 Encouraging/facilitating diverse and inclusive multilevel cross-sectoral dialogue with the aim of increasing the overall efficiency of the country’s local-level governance systems.

3.2. Objective 2 – More self-reliant subnational governance

Defined/Illustrative Activities Potential Impacts

2.1 Support to local government entities to increase own-source revenues through creating taxpayer databases (closely linked to infrastructure improvements).

2.2 Utilize land tools with subnational governments to be able to responsibly use their land for economic development (e.g., GIS mapping, spatial planning).

2.3 Trainings on asset management for local government entities (closely linked to land reform).

No adverse impact

2.4 Increasing the capacity of local government councilors to represent their constituents, legislate local ordinances and oversee the executive.

2.5 Supporting local government (mayors and staff) to establish and use participatory governance tools, engaging with citizens/CSOs to incorporate priorities and reflect these in associated budgets and financial planning.

2.6 Capacity assistance to median level government (as per current rayon level) as appropriate to establish functionality and appropriately respond to other levels’ needs.

USAID/Ukraine - HOVERLA IEE 8

2.7 Development of university curricula tailored to local governance. No adverse impact

2.8 Support on subnational participatory strategic planning, service improvement and local economic development planning linked to sub-national and national-level planning.

No adverse impact

2.9 Support on-the-job training, CTC/city peer-to-peer learning.

Internships and study tours.

No adverse impact

2.10 Facilitating the creation of inter-municipal cooperation activities/projects between local governments and sub-national levels on joint services and infrastructure such as solid waste removal (e.g., procuring garbage trucks, trash bins, other materials and/or equipment).

Potential impact on the environment and human health

2.11 Support to oblast governments on regional economic planning. No adverse impact

2.12 Support to procurement training at the CTC/city level linked to actual procurements.

No adverse impact

2.13 Support to CTCs and city institute on creating enabling

environments for local economic development.

No adverse impact

2.14 Technical assistance to CTC/city service provision enterprises on improving service delivery, linked to improved fee collection (e.g., water pipes replacement, etc.)

Potential impact on the environment and human health

2.15 Support methodology establishment for sharing lessons learned and best practices beyond the specific CTCs/rayons/oblasts directly targeted.

3.3. Component 3 – Citizens play an increasingly influential role in local governance processes.

Defined/Illustrative Activities Potential Impacts

3.1 Developing and adopting civic engagement mechanisms such as public hearings, civic expertise, town hall meetings, dialogue forums, public debates, youth councils to engage youth, civic advisory boards, public councils, e-based civic engagement mechanisms, such as e-petitions, participatory budgets, etc.

3.2 CSO needs assessment (e.g., community surveying, online

voting) and advocacy campaigns.

3.3 Build the capacity of local government associations to effectively represent their constituents at all levels of governance.

No adverse impact

3.4 Campaigns to generate knowledge and support of the Local

Governance Reform aimed to increase awareness of citizens role in local democracy and decision making.

No adverse impact

3.5 Facilitate citizen engagement in local government (CTC, mid-level and cities/oblasts) decision-making with an emphasis on including women (e.g., trainings, public campaigns, gender responsive tools.

No adverse impact

3.6 Facilitate youth participation and engagement in local governance (e.g., trainings and hub events for youth, youth festivals, local community projects, creating youth spaces, peer-to-peer education programs, exchange tours, youth monitoring of local government services, youth councils, etc.)

USAID/Ukraine - HOVERLA IEE 9

4. Recommended Environmental Actions

4.1 Recommended Mitigation Measures

Objective 2: More self-reliant subnational governance

Defined/Illustrative Activities

Potential Impacts Mitigation Measures

Recommended Threshold Determination

2.10 Facilitating the

creation of inter-municipal cooperation activities/projects between local governments and sub-national levels on joint services and infrastructure such as solid waste removal.

Potential impact on environment and/or human health

If implementing partner (IP) and local governments determine the need for infrastructure construction or repair, they will follow best-practices used for infrastructure generally consistent with the USAID Sector Environmental Guidelines for Small-Scale Construction (https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf). The IP will prepare a site-specific Environmental Review Checklist (ERC) and Environmental Mitigation and Monitoring Plan (EMMP) per Annex A and get approval from the Mission Environmental Officer (MEO) and Bureau Environmental Officer (BEO) before implementation of such projects. The IPs will prepare environmental compliance training materials for sub-grantees based on the above conditions and ensure that sub-grantees receive training to implement environmental compliance considerations.

Negative Determination with Conditions

2.14 Technical

assistance to CTC/city service provision enterprises on improving service delivery, linked to improved fee collection.

Potential impact on environment, water quality impairment, habitat alteration, resource depletion, waste generation, and/or human health

Activities will provide capacity development of local authorities to understand and comply with newly devolved regulations and laws governing environmental management. The IP will ensure service improvement projects are designed for consideration of more extreme weather events; complete the Environmental Review Checklist (ERC) and/or Environmental Monitoring and Mitigation Plan (EMMP) for performance improvement projects, making a preliminary determination regarding any negative environmental impact, and submit it to the USAID COR/ AOR and MEO for their review and approval; and if rapid assessments have not yet been completed, the IP should include the ERC mitigation measures in the assessment.

Negative Determination with Conditions

4.2 Recommended Environmental Determination:

Categorical Exclusions:

A categorical exclusion is recommended for the following identified activities under 22 CFR 216.2(c)(2):

• Activity 1.1, 1.2, 1.3, 1.4, 1.5, 1.6, 1.7, 1.8, 1.9, 1.10, 1.11, 2.1, 2.3, 2.4, 2.5, 2.6, 2.7, 2.8, 2.9, 2.11, 2.12, 2.13, 2.15, 3.2, 3.3, 3.4, 3.5, 3.5, 3.6 under §216.2(c)(2)(i) Education, technical assistance, or training programs except to the extent such programs include activities directly affecting the environment (such as construction of facilities, etc.);

https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf

USAID/Ukraine - HOVERLA IEE 10

• Activity 1.12, 3.1, under §216.2(c)(2) (iii)Analyses, studies, academic or research workshops and meetings.

• Activity 2.2, under §216.2(c)(2) (xix) Studies, projects, or programs intended to develop the capability of recipient countries to engage in development planning, except to the extent designed to result in activities directly affecting the environment (such as construction of facilities, etc.).

Negative Determination with Conditions: Under §216.3(a)(2)(iii), a negative determination with conditions is recommended for activities 2.10 and 2.14. Specific terms and conditions are presented below in Section 4.3.

4.3 Terms and Conditions:

4.3.1. For all activities, if the IP determines that the implementation of the technical assistance may impact the environment and/or human health, the IP will encourage all assisted stakeholders to consider environmental implications and to integrate environmental considerations into the activities in line with the best international approaches and practices.

4.3.2. For all activities, if there are grants or subcontracts awarded, the IPs will work with each grantee or subcontractor to standardize their environmental review screening procedures so as to ensure that every grant is in compliance with this IEE and local laws and regulations regarding environmental protection.

4.3.3 For activity 2,10, if IP and local governments determine the need for infrastructure construction or repair, they will follow best-practices used for infrastructure generally consistent with the USAID Sector Environmental Guidelines for Small-Scale Construction (https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf). The IP will prepare a site-specific Environmental Review Checklist (ERC) and Environmental Mitigation and Monitoring Plan (EMMP) per Annex A and get approval from the Mission Environmental Officer (MEO) and Bureau Environmental Officer (BEO) before implementation of such projects. The IPs will prepare environmental compliance training materials for sub-grantees based on the above conditions and ensure that sub-grantees receive training to implement environmental compliance considerations.

4.3.4 For activity 2.14, Activities will provide capacity development of local authorities to understand and comply with newly devolved regulations and laws governing environmental management. The IP will ensure service improvement projects are designed for consideration of more extreme weather events; complete the ERC and/or EMMP for performance improvement projects, making a preliminary determination regarding any negative environmental impact, and submit it to the USAID COR/ AOR and MEO for their review and approval; and if rapid assessments have not yet been completed, the IP should include the ERC mitigation measures in the assessment.

The IPs will prepare environmental compliance training materials for sub-grantees based on the above conditions and ensure that sub-grantees receive training to implement environmental compliance considerations.

4.4 USAID Monitoring and Reporting

4.4.1 The AOR/COR, with the support of the MEO, is responsible for monitoring compliance of activities by means of desktop reviews and site visits.

4.4.2 If at any time the project is found to be out of compliance with the IEE, the AOR/COR or MEO shall immediately notify the BEO.

4.4.3 A summary report of Mission’s compliance relative to this IEE shall be sent to the BEO on an annual basis, normally in connection with preparation of the Mission’s annual environmental compliance report required under ADS 203.3.8.5 and 204.3.3.

https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf https://www.usaid.gov/environmental-procedures/sectoral-environmental-social-best-practices/seg-construction/pdf

USAID/Ukraine - HOVERLA IEE 11

4.4.4 The BEO or his/her designated representative may conduct site visits or request additional information for compliance monitoring purposes to ensure compliance with this IEE, as necessary.

4.5 Implementing Partner (IP) Monitoring and Reporting

4.5.1 If an individual activity is found to pose significant adverse environmental effects that have not been identified, an amendment to this IEE will be prepared for BEO approval.

4.5.2 IP shall report on environmental compliance requirements as part of their routine project reporting to USAID.

5. Mandatory Inclusion of Requirements in Solicitations, Awards, Budgets and Work Plans

5.1 Appropriate environmental compliance language, including limitations defined in Section 6, shall be incorporated into solicitations and awards for this activity and projects budgets shall provide for adequate funding and human resources to comply with requirements of this IEE.

5.2 Solicitations shall include Statements of Work with task(s) for meeting environmental compliance requirements and appropriate evaluation criteria.

5.3 Environmental mitigation and monitoring requirements, when available, shall also be included in solicitations and awards.

5.4 The IP shall incorporate conditions set forth in this IEE into their annual work plans.

5.5 The IP shall ensure annual work plans do not prescribe activities that are defined as limitations, as defined in Section 6.

5.6 The USAID Mission will include an indicator for environmental compliance as part of the project’s performance monitoring plan.

6. Limitations of the IEE: This IEE does not cover activities (and therefore should changes in scope implicate any of the issues/activities listed below, a BEO-approved amendment shall be required), that:

6.1 Normally have a significant effect on the environment under §216.2(d)(1) [See http://www.usaid.gov/our_work/environment/compliance/regulations.html]

6.2 Support project preparation, project feasibility studies, engineering design for activities listed in §216.2(d)(1);

6.3 Affect endangered species;

6.4 Result in wetland or biodiversity degradation or loss;

6.5 Support extractive industries (e.g. mining and quarrying);

6.6 Promote timber harvesting;

6.7 Provide support for regulatory permitting;

6.8 Result in privatization of industrial or infrastructure facilities;

6.9 Lead to new construction of buildings or other structures;

6.10 Assist the procurement (including payment in kind, donations, guarantees of credit) or use (including handling, transport, fuel for transport, storage, mixing, loading, application, cleanup of spray equipment, and disposal) of pesticides or activities involving procurement, transport, use, storage, or disposal of toxic materials and /or pesticides (cover all insecticides, fungicides, rodenticides, etc.

covered under the Federal Insecticide, Fungicide, and Rodenticide Act); and

6.11 Procure or use genetically modified organisms.

7. Revisions http://www.usaid.gov/our_work/environment/compliance/regulations.html

USAID/Ukraine - HOVERLA IEE 12

7.1 Under §216.3(a)(9), if new information becomes available that indicates that activities covered by the IEE might be considered major and their effect significant, or if additional activities are proposed that might be considered major and their adverse effect significant, this environmental threshold decision will be reviewed and, if necessary, revised by the Mission with concurrence by the BEO. It is the responsibility of the USAID COR/AOR to keep the MEO and BEO informed of any new information or changes in the activity that might require revision of this IEE.

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8. Recommended Environmental Threshold Decision Clearances:

Approval: ___________________________________________

James Hope, Mission Director

Date

Clearance: ___________________________________________ Susan Kutor, Deputy Mission Director

Clearance: ___________________________________________ David Rush, Regional Legal Officer

Clearance:

Pamela Strong, Acting Program Office Director

Date

Clearance: ___________________________________________ Ann Hopper, Acting Director, Office of Democracy and Governance

Date

Clearance: _______ ______________________ Tatiana Kistanova, Mission Environmental Officer

Clearance:

Marat Kyurchevsky, Activity Manager

Concurrence:

Harry Bottenberg, Acting Bureau Environmental Officer, Europe and Eurasia Bureau

Distribution:

IEE File MEO (to also provide a copy to AOR/COR)

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Annex A

ENVIRONMENTAL REVIEW

CHECKLIST (ERC) for Identifying

Potential Environmental Impacts of Project Activities and Processes/

ENVIRONMENTAL MITIGATION AND

MONITORING PLAN

(EMMP)

ERC/EMMP

for [Activity Name]

Implemented under: [Project Name]

DCN: [of Parent IEE]

Prepared by: [Implementer]

ENVIRONMENTAL REVIEW CHECKLIST FOR IDENTIFYING POTENTIAL

ENVIRONMENTAL IMPACTS OF PROJECT ACTIVITIES AND PROCESSES

The Environmental Review Checklist for Identifying Potential Environmental Impacts of Project Activities and Processes (ERC) and Environmental Mitigation and Monitoring Plan (EMMP) is intended for use by implementing partners to: assess activity-specific baseline conditions, including applicable environmental requirements; identify potential adverse environmental effects associated with planned activity(s) and processes; and develop EMMPs that can effectively avoid or adequately minimize the identified effects.

This ERC/EMMP may be substituted for other ERC/EMMP versions that may have been attached to previous initial environmental examinations (IEE). If implementing partners are in doubt about whether a planned activity requires preparation of an ERC, they should contact their Contracting Officer’s Representative (COR)/Agreement Officer’s Representative (AOR) for clarification. In turn, the COR/AOR should contact their Mission Environmental Officer (MEO) if they have any questions. In special circumstances and with approval of the BEO it is possible to have one very comprehensive ERC/EMMP for multiple projects if they are similar in scope. (When preparing the ERC/EMMP, please indicate “not applicable” for items that have no bearing on the activity. The ERC/EMMP should be completed by an environmental specialist. The ERC/EMMP must be completed and approved prior to the activity beginning.)

A. Activity and Site Information Project Name: (as stated in the triggering

IEE)

Mission/Country:

DCN of Most Recent Triggering IEE or Amendment:

Activity/Site Name:

Type of Activity:

Name of Reviewer and Summary of Professional Qualifications:

Date of Review:

B. Activity Description

1. Activity purpose and need

2. Amount of activity

3. Location of activity

4. Beneficiaries, e.g., size of community, number of school children, etc.

5. Number of employees and annual revenue, if this is a business

6. Implementation timeframe and schedule

7. Detailed description of activity, items that will be purchased (This section should fully describe what funds are being used for.)

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8. Detailed description of site, e.g., size of the facility or hectares of land; steps that will be taken to accomplish the activity;

9. Existing or planned certifications, e.g., ISO 14001 EMS, ISO 9000, HCCP, SA 8000, Global Gap, Environmental Product Declarations, Eco Flower, EcoLogo, Cradle to Cradle, UL Environment, GREENGUARD, Fair Trade, Green Seal, LEED, or various Forest Certifications

10. Site map, e.g., provide an image from Google Earth of the location

11. Photos of site, items to be purchased, engineering construction plans (when available) C. Activity-Specific Baseline Environmental Conditions

1. Population characteristics

2. Geography

3. Natural resources, e.g., nearby forest/protected areas, ground and surface water resources

4. Current land use and owner of land

5. Proximity to public facilities, e.g. schools, hospitals, etc.

6. Other relevant description of current environmental conditions in proximity to the activity D. Legal, Regulatory, and Permitting Requirements

1. National environmental impact assessment requirements for this activity

2. Applicable National or local permits for this activity, responsible party, and schedule for obtaining them:

Permit Type Responsible party Schedule

Zoning Building/Construction Source Material Extraction Waste Disposal Wastewater Storm Water Management Air Quality Water Use Historical or Cultural Preservation Wetlands or Water bodies Threatened or Endangered Species Other

3. Additional National, European Union, or other international environmental laws, conventions, standards with which the activity might be required to comply

a. Air emission standards

b. Water discharge standards

c. Solid waste disposal or storage regulations

d. Hazardous waste storage and disposal

e. Historical or cultural preservation

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f. Other E. Engineering Safety and Integrity (for Sections E. and F., provide a discussion for any of the listed issues that are yes answers and likely to have a bearing on this activity)

1. Will the activity be required to adhere to formal engineering designs/plans? Have these been or will they be developed by a qualified engineer? If yes, attach the plans to the ERC/EMMP.

2. Do designs/plans effectively and comprehensively address:

a. Management of storm water runoff and its effects?

b. Reuse, recycling, and disposal of construction debris and by-products?

c. Energy efficiency and/or preference for renewable energy sources?

d. Pollution prevention and cleaner production measures?

e. Maximum reliance on green building or green land-use approaches?

f. Emergency response planning?

g. Mitigation or avoidance of occupational safety and health hazards?

h. Environmental management of mobilization and de-mobilization?

i. Capacity of the host country recipient organization to sustain the environmental management aspects of the activity after closure and handover?

3. Are there known geological hazards, e.g., faults, landslides, or unstable soil structure, which could affect the activity? If so, how will the project ensure structural integrity?

4. Will the site require grading, trenching, or excavation? Will the activity generate borrow pits? If so, how will these be managed during implementation and closure?

5. Will the activity cause interference with the current drainage systems or conditions? Will it increase the risk of flooding?

6. Will the activity interfere with above- or below-ground utility transmission lines, e.g., communications, water, sewer, or natural gas?

7. Will the activity potentially interfere with vehicle or pedestrian traffic?

8. Does the activity increase the risk of fire, explosion, or hazardous chemical releases?

9. Does the activity require disposal or retrofitting of polychlorinated biphenyl-containing equipment, e.g., transformers or florescent light ballasts?

F. Environment, Health, and Safety Consequences

1. Potential impacts to public health and well-being

a. Will the activity require temporary or permanent property land taking?

b. Will activities require temporary or permanent human resettlement?

c. Will area residents and/or workers be exposed to pesticides, fertilizer, or other toxic substances, e.g., as a result of farming or manufacturing?

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If yes, then there should be an approved, current PERSUAP on file and discuss how it will be used in this situation. If so, how will the project:

i. Ensure that these chemicals do not contaminate ground or surface water?

ii. Ensure that workers use protective clothing and equipment to prevent exposure?

iii. Control releases of these substances to air, water, and land?

iv. Restrict access to the site to reduce the potential for human exposure?

d. Will the activity generate pesticide, chemical, or industrial wastes?

Could these wastes potentially contaminate soil, groundwater or surface water?

e. Will chemical containers be stored at the site?

f. Does the activity remove asbestos-containing materials or use of building materials that may contain asbestos, formaldehyde, or other toxic materials? Can the project certify that building materials are non-toxic? If so, how will these wastes be disposed of?

g. Will the activity generate other solid or hazardous wastes such as construction debris, dry or wet cell batteries, florescent tubes, aerosol cans, paint, solvents, etc.? If so, how will this waste be disposed of?

h. Will the activity generate nontoxic, nonhazardous solid wastes (subsequently requiring land resources for disposal)?

i. Will the activity pose the need to handle and dispose of medical wastes? If so, describe measures of ensuring occupational and public health and safety, both onsite and offsite.

j. Does the activity provide a new source of drinking water for a community? If so, how will the project monitor water quality in accordance with health standards?

k. Will the activity potentially disturb soil contaminated with toxic or hazardous materials?

l. Will activities, e.g., construction, refurbishment, demolition, or blasting, result in increased noise or light pollution, which could adversely affect the natural or human environment?

2. Atmospheric and air quality impacts

a. Will the activity result in increased emission of air pollutants from a vent or as fugitive releases, e.g., soot, sulfur dioxide, oxides of nitrogen, volatile organic compounds, methane.

b. Will the activity involve burning of wood or biomass?

c. Will the activity install, operate, maintain, or decommission systems containing ozone depleting substances, e.g., freon or other refrigerants?

d. Will the activity generate an increase in carbon emissions?

e. Will the activity increase odor and/or noise?

3. Water quality changes and impacts

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a. How far is the site located from the nearest river, stream, or lake?(Non-yes/no question)

b. Will the activity disturb wetland, lacustrine, or riparian areas?

c. What is the depth to groundwater at the site? (Non-yes/no question)

d. Will the activity result in increased ground or surface water extraction? If so, what are the volumes? Permit requirements? (Non-yes/no question)

e. Will the activity discharge domestic or industrial sewage to surface, ground water, or publicly-owned treatment facility?

f. Does the activity result in increased volumes of storm water run-off and/or is there potential for discharges of potentially contaminated (including suspended solids) storm water?

g. Will the activity result in the runoff of pesticides, fertilizers, or toxic chemicals into surface water or groundwater?

h. Will the activity result in discharge of livestock wastes such as manure or blood into surface water?

i. Does the site require excavation, placing of fill, or substrate removal (e.g., gravel) from a river, stream or lake?

4. Land use changes and impacts

a. Will the activity convert fallow land to agricultural land?

b. Will the activity convert forest land to agricultural land?

c. Will the activity convert agricultural land to commercial, industrial, or residential uses?

d. Will the activity require onsite storage of liquid fuels or hazardous materials in bulk quantities?

e. Will the activity result in natural resource extraction, e.g., granite, limestone, coal, lignite, oil, or gas?

f. Will the activity alter the viewshed of area residents or others?

5. Impacts to forestry, biodiversity, protected areas and endangered species

a. Is the site located adjacent to a protected area, national park, nature preserve, or wildlife refuge?

b. Is the site located in or near threatened or endangered (T&E) species habitat? Is there a plan for identifying T&E species during activity implementation? If T&E species are identified during implementation, is there a formal process for halting work, avoiding impacts, and notifying authorities?

c. Is the site located in a migratory bird flight or other animal migratory pathway?

d. Will the activity involve harvesting of non-timber forest products, e.g., mushrooms, medicinal and aromatic plants (MAPs), herbs, or woody debris?

e. Will the activity involve tree removal or logging? If so, please describe.

6. Historic or cultural resources

a. Are there cultural or historic sites located at or near the site? If so, what is the distance from these? What is the plan for avoiding disturbance or notifying authorities?

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b. Are there unique ethnic or traditional cultures or values present in the site? If so, what is the applicable preservation plan?

G. Further Analysis of Recommended Actions (Most activities will have a threshold determinations of negative determination with conditions..

☐ 1. Categorical Exclusion: The activity is not likely to have an effect on the natural or physical environment. No further environmental review is required.* (This is rarely used in the ERC/EMMP.)

☐ 2. Negative Determination with Conditions: The activity does not have potentially significant adverse environmental, health, or safety effects, but may contribute to minor impacts that can be eliminated or adequately minimized by appropriate mitigation measures. ERC/EMMPs shall be developed, approved by the Mission Environmental Officer (MEO) and the BEO prior to beginning the activity, incorporated into workplans, and then implemented. For activities related to the procurement, use, or training related to pesticides, a PERSUAP will be prepared for BEO approval, PERSUAPS are considered amendments to the IEE and usually Negative Determination with Conditions. See Sections H and I below.* ☐ 3. Positive Determination: The activity has potentially significant adverse environmental effects and requires further analysis of alternatives, solicitation of stakeholder input, and incorporation of environmental considerations into activity design.

A Scoping…