TRIPTI’s Intervention Plan to work with Mission Shakti Block Level Federations (BLFs) Framework for Implementation Odisha Livelihoods Mission Panchayati Raj Department, Government of Odisha SIRD Campus, Unit-VIII, Bhubaneswar, Odisha Contents 1.0 Introduction ............................................................................................................................................ 2 2.0 Objectives of Nurturing BLFs: ................................................................................................................. 3 3.0 Duration of Support: ............................................................................................................................... 4 4.0 Key Strategies:........................................................................................................................................ 4 5.0 Functions of BLF ...................................................................................................................................... 7 6.0 Tentative Activities with Timeline :......................................................................................................... 9 7.0 Tentative Budget .................................................................................................................................... 9 8.0 Expected Output /outcome .................................................................................................................. 10 9.0 Monitoring and Reporting .................................................................................................................... 11 10.0 Role of SMMU/DMMU/BMMU/BLF/TSA ............................................................................................ 13 1 1.0 Introduction Since 2009, Odisha Livelihoods Mission is rolling out the World Bank assisted TRIPTI (Targeted Rural Initiatives for Poverty Termination and Infrastructure) project in 38 selected blocks of ten districts of Odisha. The project’s aim is to enhance social and economic status of the rural poor through self-sustained and community managed, owned institutions at grassroots level. The project is also targeting poor households to mobilize them into thrift and credit based Self Help Groups (SHGs) which are in turn federated into higher level institutions at cluster and GP level. Under the aegis of Mission Shakti (Women empowerment initiative by Women and Child Development Department, Government of Odisha), 314 numbers of Block Level WSHG Federations (BLFs) are promoted and nurtured in the state. The federations are primarily involved in social mobilization through SHG movement in the state. The field experience of TRIPTI project area reveals that the already existing BLFs are lacking in organic linkages with promoted community based institutions like SHG, CLF, GPLF etc. Currently, the WSHGs are mechanically and directly federated at the Block level as BLFs and have not been provided any focused institutional strengthening and capacity building support. It can be stated that the BLFs are functioning with weak governance and management systems necessary to build a sustainable institution at grassroots level. Hence, the BLFs lack a broad vision and mission to accomplish the goals and objectives of institutions of the poor. The BLFs require professional technical and financial support to build a community owned, governed and managed institutions to provide sustainable services to poor vulnerable households and the institution of the poor. TRIPTI has nurtured 1010 Gram Panchayat level Federations (GPLFs) in 38 Blocks of 10 selected districts of Odisha and it is the need of the hour to organically link these vibrant GPLFs with BLFs at block level for establishing self-managed and selfregulated community based institutions to accomplish the OLM objectives and goals. 2 The project will take strategic initiative to nurture and strengthen 38 BLFs to support all 1010 GPLFs especially in ensuring good governance with appropriate accountability systems, effective community monitoring system, establishing centers of excellence, resource mobilization from financial institutions, government programs and schemes and other stakeholders, and facilitating access to entitlement by vulnerable and poor people. A technical support organization (TSO) will be engaged for providing hand-holding and technical support to the BLFs for institutional strengthening and sustainability purposes. The TSO proposed for this should be an agency/organization that has developed “proof of concept” in sustainable community led institution model in diversified context. 2.0 Objectives of Nurturing BLFs: The board objective of the proposed nurturing of BLFs under TRIPTI is to promote a higher level institutional federated platform of the institutions of the poor & vulnerable (like SHGs, CLFs and GPLFs) at the Block level. It is envisaged that such a federated platform at Block level will enable: o Resource mobilization and revenue generation for institutional sustenance and sustainability; o Promotion of community led learning and coordination centers (Centre of Excellence) for training and capacity enhancement of institution of the poor & vulnerable and its members; o Convergence with the Block Development Office and other line departments for accessing various public services and entitlements; o Support adequate and timely financial & non-financial assistance to poor & vulnerable thereby reducing vulnerability & enhancing productivity; o Create an enabling platform for raising bargaining power through solidarity and voice; o Develop and manage pools of community resource persons and professional for providing social, financial and livelihoods services to the poor & vulnerable and their institutions; 3 o Build a direct channel to extend need based services to the poor& vulnerable, which are not delivered through mainstream institutions, existing conventional system and market. 3.0 Duration of Support: TRIPTI will provide both financially and technically support to BLFs for initial eighteen months from January 2014 to June 2015 (till the end of World Bank support to TRIPTI) and subsequently all nurtured BLFs will be linked to the centrally sponsored National Rural Livelihoods Mission (NRLM) scheme for necessary support for making the federation sustainable. 4.0 Key Strategies: Assessment of BLF: TRIPTI will conduct a rapid assessment of 38 BLFs to understand the present governance structure, management system and procedures, financial management, developmental initiatives, legal identity, inclusion of the poor & vulnerable etc. for preparing a road map for working with BLF. Memorandum of Understanding (MoU) with Mission Shakti Mission Shakti has promoted and nurtured the BLFs in the state for more than five years. All the BLFs are legally registered in compliance with Society Registration Act 1860. Therefore, it would be a prudent step for both the departments (Women &Child Development and PR Department of Government of Odisha) to have mutual understanding for nurturing BLFs in 38 TRIPTI blocks. Basically the objectives of MoU would be significant in following manner: o Amendment of bye-law for restructuring and strengthening of BLFs as per norms set for OLM; o Defining role clarity in both the departments (Schemes) to minimize the duplicity in resource allocation; o Placing of Development Professionals and Para Professionals to manage BLFs; 4 o Establishing community based capacity building architecture to nurture constituent member organizations as well as support external institutions for replication and scaling up; o Establishing uniform reporting and monitoring system for fostering BLFs; and o Establishing standard operating procedures for management of BLFs. Engagement of Technical Support Organization (TSO): A suitable TSO will be hired to provide hand-holding and technical support to 38 BLFs. Initially the TSO would work with ten BLFs across 10 districts to develop a BLF business plan, establish and strengthen management systems, evolve the business processes and subsequently support in the remaining 28 BLFs. The specific objectives of hiring a TSO to support technically to BLF are: o Developing customized business plan model for establishment of BLFs as self-sustained and sustainable institutions; o Implementation of the business plan with the support of the BLF management and Chief Executive Office and other Para professionals; Professional Support for BLFs: For ensuring continued professional support to the management of the BLF (Executive Committee) a Chief Executive Officer (CEO) and an Executive Assistance (EA) will be hired with the support of TRIPTI and contracted by the BLF. For all executive and administrative purposes the CEO and EA will be accountable to the management of the BLF and its governing/general body. Both the CEO and EA will be responsible for implementation of the business plan prepared through technical assistance from the TSO. The TSO will be responsible for building the capacity of BLF – EC, CEO and EA and their performance monitoring and reporting to OLM for a specified period as appropriate. The CEO could be a young professional (YPs) or well performing and interested professionals from TRIPTI / other EAPs / government projects of Odisha. The CEO and 5 EA will be remunerated a monthly minimum salary plus output/ performance based incentives based on deliverables as per business plans. The incentive structure will be such that within 2-3 years from placement, the CEO and EA should bring about viability to be paid 100% from the BLF revenues, till then the cost of the CEO and EA will be paid from TRIPTI or NRLM funding sources. The CEO will be responsible for: o Acting as executive officer of BLF, accountable for day to day activity of BLF o Preparing annual action plan including financial and non financial plan of BLF o Conducting annual General Body meeting, Governing Body meeting, Executive committee meeting, any other special meetings of BLF. o Preparing legal, financial and need based compliance of federations to concerned authority. o Ensuring capacity building of constituent institutions and community staff. o Managing community HR and MIS system. o Ensuring effective management of financial and non financial matters of BLF. o Ensuring internal and external audit of federation o Coordinating with line departments, financial institutions like Banks, CBOs, CSOs etc. for implementing developmental programs. o Coordinating for SHG bank Linkage program in saturation approach o Ensuring enhancement of livelihoods activities and reducing vulnerability of BLF members o Ensuring effective implementation of TRIPTI components like social inclusion, financial inclusion, livelihoods inclusion etc Meet reporting report to BLF and submit required report to BPFT, TRIPTI o Responsible for revenue generation to meet the operational cost of federation. One Executive Assistant (EA) from accounts background may be placed at each BLF to look after accounts and execution of different activities of the BLF. The role of the Ex. Assistant would be maintenance of records of BLF, preparing financial and non financial compliances, supporting to constituent institutions for proper 6 maintenance of records at BLFs, Coordinating internal and external audit of federations and constituent institutions etc. the Ex. Assistant will report to executive officer of BLF and will be accountable to BLF. 5.0 Functions of BLF It is envisaged that the BLF will provide the following supports and services: i. Institutional Strengthening and Capacity Building Service: The BLF will provide institutional support services to different levels of community institutions like SHGs, CLFs, GPLFs, Producers’ organizations etc. It will try to build up a robust mechanism for community institution building and strengthening through its large pool of trained and experienced social capitals and well established community institution structures and systems. The BLF will provide need based capacity building services to its member organizations. It will offer specialized training programmes on social inclusion, institution building, financial inclusion, livelihoods enhancement etc. To deliver such services, each BLF will be responsible to facilitate establishment and management of Community Learning Academy (CLA). The CLA will be the umbrella organization of all Centers of Excellence running in that Block. It will serve as a platform for skill development and revenue generations by setting-up well-built capacity building architecture. The BLF will manage the pool of community and professional resource persons created at different levels for strengthening community initiatives through community based organizations. It will also create the pool of trainers and Master Trainers to facilitate training programmers for the community staff as well as community institutions. The CLA is envisaged to establish community managed schools to impart all types of community development training and will provide handholding support to GPLFs, SHGs, Producer groups, livelihoods clusters etc. The CLA will be organically linked with the BLF for furthering the capacity building agenda of the project. 7 ii. Financial Services: The BLF will create diversified financial products and services to meet the varying financial needs of the community and implement the same through its member organization like GPLF, Producers Group etc. It will act as an mFI and leverage funds from government, financial institutions, corporate house etc. It will also make available to its clientele, services like financial linkage, auditing, accounting etc, iii. Livelihoods Service: The BLF will provide both financial and technical support to constituent institutions like SHGs, JLGs, GPLFs, Producer Groups, Activity based groups etc. BLF may hire need based technical support organizations for supporting in skill up gradation , technological interventions, demonstration field, system establishment , market linkage etc. iv. Convergence and Networking Service: The project will support federation to establish link with all stakeholders for resource convergence as well as for ensuring effective delivery of citizen entitlement and services. The BLF will map the gap in entitlement and services to the poor and facilitate for ensuring access to entitlement. The BLF will act as a coordination point for line department to deliver effective services. v. Innovations: TRIPTI will create platform for innovations at BLF level to develop suitable products and services for sustainability of federations. Technology based innovations for enhancing efficiency level at community institution would be encouraged and invested. vi. Replication and Scaling up: The project will initially start working intensively with eight BLFs of four districts to develop standardized structure and business process. The experience of intervention with eight BLFs will be made replicable and scaling up to 38 BLFs of TRIPTI project area. The best practices and BLF intervention strategy may be adopted in other part of the state. 8 6.0 Tentative Activities with Timeline: Sl. Activities Timeline No 1 BLF’s Institutional Assessment of 38 Block by TRIPTI 10th Feb 2014 BMMU and Mission Shakti 2 Hiring a technical agency for supporting TRIPTI and BLF Jan-March 2014 3 Consultative workshop with BLFs, Mission Shakti ,TRIPTI, 15th Feb 2014 CSOs, NABARD, Banks and World Bank 4 MoU with MVSN and 38 BLFs at State level for nurturing 20th Feb 2014 BLF 25th Feb 2014 5 Special EC and GB meeting for restructuring of BLF 6 Placement of Executive officer (38) and Executive Jan-March 2014 assistance(38) at BLF level 7 Preparing start up plan at BLF level for office refurbishment 1st March 2014 /establishment, Institution building activities and program implementation activities 15th March 2014 8 Financial assistance to BLFs for startup activities 9 Training and exposure of BLF leaders and community Feb-march 2014 professionals 10 Internal and external audit of BLFs April-May 2014 11 Hand holding support and monitoring Jan 2014-June 2015 7.0 Tentative Budget The tentative budget for intervention at BLF level is estimated at Rs 3.89crores for a period of 18 months. The fund flow to BLF will be based on activity plan, demand and utilization. The details of tentative budget are given below: 9 S. No Activities 1 Start up Fund ( Office furniture, stationary, computer , communication etc) 2 Hiring of technical support agency 3 Professional allowances of Executive Officer (38*18 months) 4 Professional allowances of Executive Assistance (38*18 months) 5 Establishment of community learning centers Unit Cost (in Rs) Year 1 (Jan 14-Mar 14 38 120000 0.46 0 1 2000000 0.1 0.1 684 30000 0.342 1.368 0.342 2.05 684 10000 0.114 0.456 0.114 0.68 38 100000 0.19 0.19 0 0.38 1.206 2.11 0.46 3.77 0.03 0.06 0.01 0.10 Total Unit 7 Total Budget 8 Budget Per BLF Budget Per BLF without 9 Professionals cost Year 2 (Mar 14- Year 3 April (Jan 1515) Mar 15) 0 Total Cost (in Crs) 0.46 0.20 0.03 8.0 Expected Output /outcome o Restructuring and nurturing 38 Block Level Federations (BLFs) in TRIPTI project area. o Establishing professionally managed system in 38 BLFs and 1020 GPLFs to generate revenue for meeting operational cost. o Establishing participatory governance system to ensure targeted EPVG (Extremely Poor and Vulnerable Groups) and Poor member placed in leadership role. o Preparing five years vision and business plan for sustainability of the federations. o Establishing system for generating revenue to meet at least 80% of the operational cost. o Establishing appropriate support system for the constituent members of BLF like SHG, GPLFs, Producers Groups, Livelihoods Clusters etc. 10 o Establishing Centers of Excellence (CoE) to promote community to community learning (Capacity Building) and sharing which will act as centers for immersion, convergence and coordination point with different line departments and support organizations for effective implementation of the developmental scheme. o Ensuring 100 percent WSHGs access to institutional finance in timely and adequate manner. o Ensure at least 70 percent poor and vulnerable people’s access to entitlement through convergence with line department. o Dedicated pool of social capitals created and managed by BLF to provide supports to the community based organizations. 9.0 Monitoring and Reporting The performance monitoring of BLF implementation process will be conducted periodically i.e. monthly, quarterly, yearly etc. A web based monitoring system will be developed for information sharing in real time basis for effective management of the program. System of Participatory monitoring and periodic reports on progress and best practices will be furnished. The following structure may be responsible for effective monitoring of BLF: o State Mission Director will be administrative head of the implementation with BLF o Addl. /Deputy CEO (CM, IB & CB) will be state anchor for effective implementation of the program at BLF level. o Addl. /Deputy CEO (HR & Admn) will be the state anchor for placement of professionals, contract management, MIS and monitoring of the BLF intervention. o Addl. /Deputy CEO (Finance) will be the state anchor for effective financial management of BLF interventions. o DPM and BPFTL of TRIPTI project will act as anchoring persons at District and Block level respectively. 11 12 10.0 Role of SMMU/DMMU/BMMU/BLF/TSA SMMU DMMU BMMU BLF TSA Policy and strategy development Placement of Executive officers (EOs) at BLF Capacity building of BLF EOs Hiring and monitoring TSA Financial support to BLF Development products and services Convergence with Mission Shakti and line departments at state level Monitoring and knowledge management Supporting Policy and strategy development Monitoring of BLF’s Executive officers (EOs) Capacity building of BLF EOs Monitoring and supporting TSA Development products and services Convergence with Mission Shakti and line departments at District level Monitoring and knowledge management Supporting Policy and strategy development Assessment of BLFs Facilitating of Restructuring of BLF and BLF management Supporting and Monitoring of BLF’s Executive officers (EOs) Capacity building of BLF EOs and BLF EC, OB , Community HR development and monitoring of staff performance Facilitating of internal and external auditing of BLFs/GPLFs Monitoring and supporting TSA Development products and services Convergence with Mission Shakti and line departments at Block level Monitoring and knowledge management Restructuring of BLF Amendment of BLF bye-law Supporting (capacity building ) and monitoring of GPLF, MBK,CRPs, SHGs , CLFs etc Effective management of BLF through Executive officers Monitoring of MBKs, CRPs, CCs , PRPs etc Convergence with Mission Shakti and line departments at Block level Convergence with Banks for SHG –Bank Linkage Monitoring financial and non financial activities of GPLFs , PGs and SHGs Developing Assessment of BLF for preparing road map for BLF intervention Developing strategy for hand holding support to BLF Developing framework for preparing BLF vision and activity plan Preparing framework for BLF, GPLF monitoring and decision making system Developing capacity building strategy and imparting training to BLF and BLF staff Strategy development for internal and external auditing system Hand holding support to BLF EO , OBs, EC etc Preparing framework for generating revenue for BLF and GPLFs 13