Implementation Status & Results Brazil State Pension Reform II TAL (P089793)

Transcription

1 Public Disclosure Authorized Public Disclosure Authorized The World Bank Implementation Status & Results Brazil State Pension Reform II TAL (P089793) Operation Name: State Pension Reform II TAL (P089793) Project Stage: Implementation Seq.No: 8 Status: ARCHIVED Last Modified : 28-Jan-2011 Country: Brazil Approval FY: 2007 Product Line: IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Technical Assistance Loan Implementing Agency(ies): Ministry da Previdencia Social Key s Board Approval 13-Feb-2007 Original Closing Planned Mid Term Review Last Archived ISR 24-Jun-2010 Effectiveness 07-Oct-2008 Revised Closing Actual Mid Term Review Project Development Objectives Project Development Objective (from Project Appraisal Document) Upgrade state pension management (RPPS system for civil servants) thereby significantly reducing unwarranted pension claims, improving financial sustainability, strengthening state and federal institutions, and building reform constituencies. See attachment for detailed Results Monitoring Has the Project Development Objective been changed since Board Approval of the Project? Yes No losure Authorized Public Disclosure Authorized Component(s) Component Name Component Cost 1. Upgrade Cadastre and Information Technology Upgrade/Implement the Integrated Pension Information System (SIPREV) Implement the Unified Administration Model Strengthen State institutions through training and dissemination Strengthen the Ministry#s Secretary of Social Protection # SPS Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Unsatisfactory Moderately Unsatisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Unsatisfactory Overall Risk Rating Implementation Status Overview Through December 2010 the loan still had not disbursed. However, in January 2011 a total of US$ 1.66 million was disbursed for the project's centerpiece activity: Page 1 of 5

2 "recadastramento" (database clean-up) of state pension system databases. The client has signaled to the Bank that another disbursement request for $R 3,000,000 will be submitted to the Bank during the week of Jan. 31. Results Project Development Objective Indicators Upgrade state pension management, thereby reducing unwarranted pension claims, improving FM & sustainability, strengthening state &federal institutions, and building reform constituencies. New legislation and PARSEP reforms have strengthened pension managementfor the executive branch but much remains to be done ICB "recadastramento" contracts under implementation. Project disbursements for these contracts proceeding (US$1.66 million to date). Covered in the Intermediate Outcome Inidcators below. Intermediate Results Indicators Significantly reduce pension costs through cadastre upgrade to eliminate unwarranted beneficiary payments. PARSEP I addressed partially "Recadastramento" executive, other branches must be implementation underway; done. New decrees may require approximately 1/3 complete. compliance 27-Jan states with cadastre upgrade completed for all branches. $150m potential benefits Page 2 of 5

3 Reduce pension costs through systems upgrade permitting crossreferencing with other data bases to eliminate unwarranted beneficiary payments and provide full work history information. SIPREV developed and its modules used partially in 16 states Recadastramento will report data in SIPREV format. However, new rules have *not* been issued (Decreto CNIS) to help improve database crossing. SIPREV upgrade now to be financed through DATAPREV (outside the project). 20 states cross-referencing data bases Identify the magnitude of pension costs and develop fiscal strategies to mitigate this burden through PARSEP II actuarial analysis and financial evaluation package Actuarial analysis now a legal None in PARSEP II. requirement; similar package done under PARSEP for incomplete cadastres; actuarial module now exists RPPS rules now require states to send an annual actuarial report to SPS, so this activity does not require the support of the project. 20 states have completed actuarial analysis, debated results and taken mitigating steps Assist states in implementing unified pension management agencies for all public pension systems in accordance with recent legislation. IT hardware packages installed in states to accommodate cadastres and run SIPREV. Complete study of UPA models IT hardware packages installed in 20 states have received and 23 participating states. installed equipment packages and are using SIPREV, Study disseminated/debated; workshops; steps taken to implement Contract was financed with 100% government counterpart funds due to procurement rule limitations. Page 3 of 5

4 Strengthen institutional capacity in the Ministry of Social Security and states through training, publications and work shops Workshop done and CONAPREV launched under PARSEP project. Bidding process concluded for Training and workshops carried out logistics support for eight in 20 states, MPS publication CONAPREV workshops. Training seriescontinued, 2 diagnostics program will cover 20 states. (linking disability and health insurance with the RPPS) completed, 8 CONAPREV workshops carried out Contract financed with 100% government counterpart funds due to faulty procurement process in Strengthen reform constituencies in the States through state sponsored stakeholder workshops State workshops done under PARSEP None. Workshops carried out in 20 States. Borrower requested the elimination of this indicator. Data on Financial Performance (as of 25-Jan-2011) Financial Agreement(s) Key s Project Loan No. Status Approval Signing Effectiveness Closing P IBRD Effective 13-Feb Jul Oct-2008 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P IBRD Effective USD Disbursement Graph Page 4 of 5

5 Key Decisions Regarding Implementation A Loan Amendment was prepared and approved to empower the Ministry of Social Security as an authorized representative of the Borrower for disbursements under the loan (Article 2.02 of the Loan Agreement). The client made a separate request to alter some project activities and reallocate money among expenditure categories (while leaving the Project Development Objective unchanged). However, in light of the project's poor performance history (no disbursements as of December 2010) the proposed Amendment was not approved. The Bank expects the project to close as scheduled in June Restructuring History Level two Approved on 20-Jan-2011 Related Projects There are no related projects. Page 5 of 5