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Memorandum
of Agreement Between Kerala Rural Water Supply Agency and Grama
Panchayat
The Kerala Rural
Water Supply Agency (KRWSA) herein after referred to as the 'Agency'
is a Society registered under the Travancore-Cochin Literary, Scientific
and Charitable Societies Registration Act, 1955, created by Government
of Kerala as an independent and autonomous body to manage the implementation
of Kerala Rural Water Supply and Environmental Sanitation Project,
hereinafter referred to as the "Project" a World Bank,
hereinafter referred to as "the Bank", assisted project.
The Agency is implementing a Worid Bank assisted Rural Water Supply
and Sanitation Project hereinafter referred to as the ''Project"
through its State-level Programme Management Unit hereinafter referred
to as the "PMU" and District Programme Management Unit
hereinafter referred to as the 'DPMU'.
The Grama Panchayat
hereinafter referred to as the 'GP' is the lower tier of the three
tier Panchayati Raj System in Kerala as per the Kerala Panchayat
Raj Act, 1994.
The Agency has
drawn up a Programme Implementation Plan elaborating the policies
and procedures for implementing the Project, which has been approved
by the Government of Kerala and the World Bank. The details of the
activities to be performed in implementing Project has been incorporated
into a Scheme Cycle in a logical sequence along with time schedules
and duration for the activities. The scheme cycle also elaborates
the responsibilities of various agencies involved in the implementation
of the project.
The Project
will be implemented in accordance with the Scheme Cycle by involving
the users of the water supply and sanitation facilities to be created
under the project. The GPs will have a facilitating role in implementing
the project by involving user communities.
The Agency has
identified the institutional arrangements for implementing the Project,
and the role of GP is that of facilitating the implementation at
the Grama Panchayat level. The Agency has decided to implement the
activities of the project by organizing user management groups,
herein after referred to as "User Group" and User Management
Committees, hereinafter referred to as "User Committees".
The agency has also drawn up model bylaws for the User Groups and
User Committees, which will be adopted by them as and when they
are formed and registered.
The GP having
understood the beneficial nature of the project in mitigating the
water supply and sanitation problems prevailing in the panchayat,
decided to implement the project in the panchayat area. The GP has
applied to the agency and the agency has agreed to the request of
the Panchayat to include them under the project.
Now, it has
been agreed upon by the agency and the GP as follows:
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1
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The GP
agrees to facilitate the implementation of the project in
their geographic area in accordance with the scheme cycle
and guidelines issued by the agency from time to time, and
agrees to collaborate with the Agency by extending all support
in implementing the Project in the area of the GP. The GP
shall have power to locate water sources even outside their
geographical area if technical parameters so demand.
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2
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The GP
agrees to mobilize resources to fulfill its obligation for
cost sharing in implementing various components of the project.
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3
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The GP
agrees to recognize the User Groups and the User Committees
and transfer financial resources to them to be utilized in
accordance with the bylaws of the User Groups for planning,
designing, implementing, operating and managing the facilities
to be created under the project.
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4
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The GP
agrees to co-ordinate the activities of User Groups and User
Communities with the intention of making them self-supportive,
independent organizations capacitated to become owners of
the assets created out of the project activities, who will
also operate and manage water supply and sanitation schemes
created under the project.
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5
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The GP
agrees to hire Supporting Organizations for the supply of
technical assistance services for implementing the various
activities of the project. The Supporting Organizations shall
be hired as provided in the project implementation plan or
other regulations formulated and communicated by the agency
from time to time. The contract to be used for such hiring
shall be in the formats prescribed by the Agency.
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6
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The GP
agrees to facilitate and monitor the activities of the SO
so as to ensure that the results envisaged out of engaging
them shall be fulfilled to the best interest of the users
of the water supply and sanitation schemes.
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7
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The GP
agrees to transfer the assets for water supply and sanitation
facilities to the User Groups and User Committees coming under
the geographic area of their operation.
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8
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The GP
agrees to take over schemes owned and operated by Kerala Water
Authority coming within the geographic boundaries of the GP
and facilitate its rehabilitation by handing over the assets
to the User Groups.
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9
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The GP
agrees to open separate Bank account at any convenient branches
of Scheduled Bank or a Co-operative Bank for depositing all
the funds under the project, including the GP contribution
as per section 2 above. No other money shall be deposited
in this account and the withdrawals from the account shall
be utilized only for project related expenditures.
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10
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The GP
agrees to maintain separate books of accounts as prescribed
by the PMU/DPMU and shall permit the Agency or the bank or
any other authorized agency to verify, scrutinize and audit
the books of accounts and connected records on a periodic
basis. The GP also agree to rectify the defects, anomalies
or deficiencies pointed out by such exercises.
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11
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The GP
agrees to provide the statements and periodical returns on
the implementation of the schemes to the Agency and the Bank
as stipulated from time to time.
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12
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The Agency
and the Bank shall have access to all information and records
pertaining to the implementation of the project.
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13
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The GP
agrees to mobilize extra resources to complete the implementation
of schemes initiated on the project, owing to cost overruns,
contingencies or other resources.
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14
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The Agency
agrees to provide to the GP the project funds on time in accordance
with the progress of implementation as specified in the scheme
cycle.
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15
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The Agency
agrees to shortlist the names of the supporting organizations
and provide the relevant information to the GPs in enabling
them to select the Sos.
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16
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The Agency
agrees to build the capacity of Sos, GPs, User Groups, User
Committees to the extent in deems necessary by organizing
and causing to organize training programs, and other methods
of capacity building.
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17
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The Agency
agrees to develop a suitable monitoring system including a
Financial Information System to monitor the project implementation.
The GPs will be trained on their roles in the monitoring system.
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18
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The Agency
can be based on feedback on implementation or based on studies
conducted after the scheme cycle, which upon communication
to and acceptance by the GP shall be implemented.
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19
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The Agency
may if found necessary postpone or cancel the implementation
of the project in part or in full in the GP.
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Any disputes
arising out of the agreement shall be settled by mutual dialogue.
In case an agreement could not be reached the matter shall
be settled by referring to the sole arbitration of Secretary
to Government (local self-government) GOK who may by him self
or by nomination award the settlement which shall be binding
upon all the parties. All disputes under this agreement shall
be under the civil jurisdiction of Trivandrum city.
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