Expert for Local Economic Development

Background

The UNDP project Fostering Regional and Local Development in Georgia-Phase 2 (RLD), in partnership with the SDC and ADA, is supporting the central and local government agencies to implement activities in support of the regional and local development, decentralization and local economic development. This project is funded by the European Union based on the Financing Agreement on “Human Rights for All " signed between Georgia and the European Union in May 2015. 

Georgia has made significant progress in terms of political, economic and social development over the last decade. Bold institutional reforms, robust GDP growth and expansion of targeted social assistance (TSA) schemes resulted in significant reduction of poverty and especially extreme poverty of Georgia’s population. The changes were reflected by rising human development index from 0.710 in 2005 to 0.769 in 2015.

Moreover, peaceful transfer of power through parliamentary elections in 2012 signalled a new era of consolidated democracy and made Georgia a rare exception in the region. This was further reinforced by transparent and credible presidential, local self-governance and parliamentary elections in 2013-2017 along with improved scores in democracy, media and civil society development as demonstrated by various international indices. 

The country has achieved significant progress in terms of enhancing legislative and institutional framework for local self-governance reform and decentralization. The key achievements in these areas include the adoption of the new code of Local Self-Governance, further amendments concerning citizen participation as well as the enhancement of decentralization demonstrated by the transfer of selected competences to municipalities and fiscal decentralization allowing municipalities to retain a portion of the local income tax in addition to property tax collected by municipalities.

However, despite impressive progress in specific sectors and areas, Georgia faces an unfinished development agenda common among the middle-income countries. Unemployment, poverty and inequality remain key policy challenges, reflecting an unfinished transition to sustainable and inclusive economic growth.

The economic gains have not been evenly distributed across the country and there is a strong asymmetry between rural and urban areas as well as large disparities across the regions. The rural areas are much less developed compared to urban areas and have higher poverty rates than urban areas. Despite the significant fall in general poverty rates in all areas, general poverty still affects over 19.2% of rural households, compared to 13.6% of households in urban areas. Child poverty rates are also about 50% higher in rural areas than they are in urban areas.

There are also significant differences in the delivery of public services in rural and urban areas.  While the results of the two consecutive surveys examining citizen satisfaction with service delivery demonstrate improvements in the provision of a large spectrum of services from 2013 to 2017, a number of issues still remain unaddressed. 

Limitations with availability and affordability of essential public services further constrain development prospects in Georgian regions and call for an integrated and holistic approach with engagement of central and local governments as well as civil society organizations, private sector and local communities. However, the capacities of both - duty bearers and rights holders - remain particularly low to face and address these challenges.

The level of decentralization of competencies and resources is still quite limited. At the same time, the capacities of the local authorities to design and deliver development oriented, evidence-based, inclusive, participatory and gender-sensitive services remain insufficient.

This is further compounded by the lack of participation culture and the limited capacities of CSOs and citizens to engage in policy making and drive up the change from below. Various studies demonstrate that citizens have very limited knowledge and understanding of LSG reform, participation tools and mechanisms and are not aware of their own rights.

Overall, the prevailing challenges at the local level, including poverty, unemployment, inequality, social exclusion call for integrated efforts by the duty bearers at one hand and the rights holders at the other hand. A decentralized, participatory and accountable governance system, coupled with competent local authorities, strong civil society and private sector, and motivated citizens create the environment that incentivizes inclusive development processes at the local level.

In response to key systemic challenges around the local self-governance and regional development agenda, UNDP, in partnership with the Austrian Development Agency and the Swiss Agency for Development and Cooperation launched the project ‘Fostering Regional and Local Development in Georgia’ (RLD), back in 2012.

The project focused on building up essential policy framework for decentralization, energizing regional and local processes for bottom-up strategic development planning as well as strengthening professional capacities of the local officials to better fulfil their duties.

In the backdrop of a rather volatile policy context, the project has succeeded to reach tangible achievements, as well as build a solid foundation for the next, more advanced and targeted intervention.

Building on the achievements of the previous phase, UNDP, the Austrian Development Agency and the Swiss Agency for Development and Cooperation launched a second phase of the ‘Fostering Regional and Local Development in Georgia’ (RLD) project in the end of 2017.

The overall objective of the assignment is to provide technical expertise in all LED related aspects of the project activities in close cooperation with relevant stakeholders, Implementing Partner of the project (MRDI), the Parliamentary Committee on   Regional Policy and Local Self Governance, municipalities, donor organizations and others involved in regional development issues.  Specifically, provision of expertise in LED related aspects of Good Governance strategy and action plan; Consultancy support in  LED activities with stakeholder engagement from the Strategy and Action Plan on Development of High Mountainous Regions of Georgia; Provision of technical support to MRDI/CEGSTAR/Regional and municipal administrations to create capacity development systems for municipalities; Facilitate the development of instruments (methodologies, guidelines, templates) for LED driven municipal profiles; Explore the opportunities of municipal-private sector partnerships and design partnership modality (according to strategy of good governance);  technical expertise in  implementation of joint LED initiatives of public and private stakeholders.

The overarching goal of the project is to build strong LSG institutions with greater competences and capacities to act as catalysts for stimulating regional/local economies, engage citizens into local policy making and design and implement people-centred initiatives benefiting women, men, youth, ethnic minorities, IDPs and other population groups. In that way, the project will build a sound foundation for advanced decentralization and good governance at the local level and pave the way for more sustainable and inclusive growth, reduction of poverty and inequalities, and better quality of life of citizens.

To achieve this goal, the project proposes the Local Economic Development (LED) approach to be applied as a central instrument throughout the project implementation cycle, since LED is a participatory, bottom-up approach, which emphasizes the catalyst role of the public sector and ultimately aims to create sustainable economic development.

Consequently, the project activities are planned in a way to form constituent and complementary parts of the LED process contributing to the three project outcomes:

1) Georgia implements adequate policy and institutional frameworks to foster decentralization and enable local economic development (LED)

The project will take the stock of the achievements of the first phase and continue to facilitate further enhancement of policy and institutional framework to foster regional and local development and create a sound foundation for locally driven economic development initiatives. The project will support MRDI, Parliament, other line Ministries, and state institutions to strengthen and implement the LED related aspects of the national strategic documents in the area of regional and local development in Georgia, namely, the strategy/action plan on Good Governance at the Local Level in Georgia and the strategy/action on the Mountainous Development in Georgia. The project will ensure that gender considerations are mainstreamed into all national and sub-national policies.

Assistance will also be provided to national and local institutions to facilitate institutional and human capacity development at the local level. In an effort to further strengthen the National Association of Local Authorities (NALAG), both as an institution and as a representative voice for the LSGs, the project will provide targeted assistance to NALAG to initiate and conduct advocacy campaign aimed at improving LED related policy framework.

2) Government institutions at local level are strengthened to deliver quality services enabling the business environment and incentivizing local economic actors

The project will provide support to municipalities to improve service provision, create business friendly environment for potential investors and entrepreneurs, and incentivize local economic actors to engage in joint initiatives and pilot schemes together with LSGs, which will lead to increased employment and income generation opportunities at the local level.

For this reason, targeted support will be provided to create municipal profiles and train local staff to serve as business advisors in the localities. In addition, support will be provided to central government institutions responsible for the provision of certain services at the local level.  Namely, the project will support the Public Service Development Agency (PSDA) under the Ministry of Justice (MoJ) to build and operate community centres in selected municipalities.

In addition, the project will provide support to raise the standards of municipal service delivery, promote innovation and knowledge sharing among municipalities as well as build the trust and accountability with local community through introducing performance management systems complemented with the Best Practice Programme, a nationwide platform for knowledge sharing and information dissemination. 

3) Local stakeholders, particularly communities, are economically empowered and have improved access to related participation in decision-making processes

Despite the new LSG code provided more enhanced framework for citizen participation and introduced the new participation forms such as advisory councils and village assemblies, the level of participation has not increased over recent years. It is obvious that positive changes in legislative framework have not been translated into action yet. The reason of this is twofold. On the one hand, citizens are not aware of their rights and have limited capacities to initiate change and on the other hand LSGs also lack capacities to facilitate the dialogue and seek cooperation with population proactively.

Consequently, the project will provide support to strengthen the capacities of both right holders and duty bearers in order to stimulate the dialogue and participatory decision making at the local level. The project will operate in four regions (Racha-Lechkhumi-Kvemo Svaneti, Samegrelo-Zemo Svaneti, Guria and Kvemo Kartli) reaching out to 900 186 people, among them 462 340 women, 176 187 youth (15-29 years), 210 610 ethnic minorities, 85 156 residents of mountainous areas and 60 090 IDPs.

In total, the project will directly benefit 10 590 citizens of Georgia, while the whole population of Georgia (3 720 400 citizens) will be indirect beneficiaries of project interventions. The overall budget of the project is USD 5,486,145.

Duties and Responsibilities

Under the direct supervision of the FRLD Project Manager and in close cooperation with Project Coordinators, MRDI and selected municipalities, the international expert is expected to assume the following tasks and responsibilities:

• Carry out a comprehensive desk review analysis and conduct interviews with key stakeholders (central and local government officials, local experts and representatives of international and local NGOs working on Decentralization and LED in Georgia) to examine LED context and the legal and institutional framework for LED interventions in Georgia; identify existing LED practices and approaches in Georgia, their potential implications and possibilities for synergies with FRLD project; define partnership modality between private sector and municipalities to implement LED initiatives and produce model LED approach to be applied in Georgian context;
• Conduct institutional analysis of selected municipalities, and produce recommendations for possible structural changes in support of LED; produce job descriptions for relevant municipal staff members to be engaged in LED;
• Provide advice to MRDI and Inter-Ministerial Commission in designing LED interventions to be incorporated into the decentralization strategy/action plan;
• Propose methodology and criteria for designing and identifying LED initiatives including PPPs to be implemented from the Decentralization Strategy/Action Plan, High Mountainous Strategy/Action Plan and Municipal Development Documents/Action Plans.  Provide advise (methodology/criteria) to the project on supporting the priority LED pilot projects in municipalities;
• Provide advice to MRDI/CEGSTAR/Regional and municipal administrations to create capacity development systems for municipalities with focus on LED, this will include producing methodology for needs assessment, guidelines for capacity development etc.;
• Revise the methodology for developing MDDs to integrate LED principles and approaches; produce the ToR for local company to update MDDs based on revised methodology, and develop action plans for municipalities outlining the roles and responsibilities of each participating party (municipalities, private sector, CSOs, local communities, national government);
• Develop methodology, guidelines and templates for LED driven municipal profiles; complemented with capacity development plan for municipalities to develop and regularly update municipal profiles; produce the ToR for local company to design municipal profiles;
• Perform other relevant duties.

Deliverables: The international expert is expected to provide the following deliverables:

• Deliverable 1: Report outlining the findings of the desk review analysis and interviews the key stakeholders. The report shall contain the following sections: 1) overview of the LED context and the legal and institutional framework for LED interventions in Georgia; 2) existing LED practices and approaches in Georgia, their potential implications and possibilities for synergies with FRLD project; 3) recommendations on partnership modality between private sector and municipalities to implement LED initiatives; 4) recommendations on model LED approach to be applied in Georgian context; Package of recommendations for possible structural changes in selected municipalities in support of LED complemented with job descriptions for relevant municipal staff members to be engaged in LED; Package of recommendations to MRDI and Inter-Ministerial Commission on LED interventions to be incorporated into the decentralization strategy/action plan – 30 consultancy  days;
• Deliverable 2: List of criteria for identifying priority LED initiatives including PPPs to be implemented from the Decentralization Strategy/Action Plan, High Mountainous Strategy/Action Plan and Municipal Development Documents/Action Plans; Package of recommendations on municipal capacity development systems with focus on LED, this will include producing methodology for needs assessment, guidelines for capacity development etc; Updated methodology for developing MDDs to integrate LED principles and approaches; the ToR for local company to update MDDs based on revised methodology, and develop action plans for municipalities outlining the roles and responsibilities of each participating party (municipalities, private sector, CSOs, local communities, national government) -  20 consultancy days; 
• Deliverable 3: Methodology, guidelines and templates for LED driven municipal profiles; complemented with capacity development plan for municipalities to develop and regularly update municipal profiles; produce the ToR for local company to design municipal profiles additional - 10 consultancy days; 
• Deliverable 4: Provide recommendations and guidelines on LED related issues as needed – 37 consultancy days; Progress reports detailing work conducted during the consultancy including major findings – 3 consultancy days.

Implementation Arrangements:

Management arrangements: The international expert’s work will be directly supervised by the UNDP Assistant Resident Representative  and in close coordination with MRDI. The service provider will be directly responsible to, reporting to, seeking approval from, and obtaining certificate of acceptance of outputs from the UNDP. In addition, the FRLD team will be responsible to share relevant documents, contact details and other necessary information with the service provider.

Timeframe of Implementation of the Assignment: The entire assignment will be undertaken during May 2018 – May 2019; (up to 100 consultancy days including 4 field visits, not more than 10 days each, in Georgia). Payments will be made based upon output, i.e. upon delivery of the services specified in the TOR approved by UNDP. 

Competencies

Core Competencies

• Demonstrated commitment to UNDP’s mission, vision and values;
• Sensitivity and adaptability to cultural, gender, religion, race, nationality and age;
• Highest standards of integrity, discretion and loyalty.

Functional Competencies

• Excellent communication skills (spoken, written and presentational);
• Good interpersonal skills and ability to work in and with teams;
• Ability to set priorities and manage time effectively.

Required Skills and Experience

Education:

• Master’s degree or equivalent in Economics, Management, Public Administration, Business Administration, Public Policy or related field (minimum qualification requirement: Master’s degree - 5 points; PhD – additional 2 points); advanced degree/PhD would be an asset.

Experience:

• At least 8 years of cumulative experience in delivery of consultations/technical expertise in the areas of Local Economic Development and/or Public Private Partnerships and/or municipal planning and development and/or strategy planning process (minimum qualification requirement: 8 years - 11points; more than 10 years – additional 4 points);
• At least 7 years of consultancy experience of LED related areas with public sector at central and/or local level and/or donor organizations (minimum qualification requirement:7 years - 11 points; more than 10 years – additional 4 points);
• At least 2 years of experience in providing advice on human and institutional capacity development to national and/or sub-national governments (minimum qualification requirement: 2 years – 5 points; more than 2 years – additional 3 points);
• Demonstrated successful experience in providing strategic technical advice on the LED, PPP, Decentralization related issues in the context of multiple stakeholders (minimum qualification requirement: 3 points);
• Experience in designing municipal planning documents, LED strategies and action plans would be an asset (2 points);
• Demonstrated experience in working with counterparts at various levels within government structures on projects with complex technical dimensions in the sphere of local and regional governance/development and/or public administration reform;
• Demonstrated ability to interact regularly and professionally with government, local self-government, CSOs and private sector counterparts on LED and other strategic issues;
• Strong qualitative and quantitative research skills;
• Experience of working in foreign countries would be an asset.

Language Requirements:

• Excellent English skills (both written and verbal); Georgian and/or Russian would be an asset.

Evaluation:

Offerors will be evaluated based on cumulative analysis method against combination of technical and financial criteria. Maximum obtainable score is 100, out of which the total score for technical criteria equals to 70 and for financial criteria – to 30. Technical evaluation criteria composes of desk Review (50 points) and interview (20 points). Offerors who do not meet Minimum Qualification Criteria will be automatically rejected, while the rest will form up the long list. The offerors who pass the minimum threshold of 35 points (70 % of the maximum obtainable 50 points) as a result of the desk review will be invited for an interview. Offerors, who obtain minimum of 14 points (70 % of the maximum obtainable 20 points) at the interview, will be requested to provide financial proposal.

Financial Proposal:

The financial proposal shall specify a total lump sum amount, and payment terms around specific and measurable (qualitative and quantitative) deliverables (i.e. whether payments fall in instalments or upon completion of the entire contract). Payments are made based on delivery. The delivery has to be accepted and approved by the Project team prior to any payment. In order to assist the requesting unit in the comparison of financial proposals, the financial proposal will include a breakdown of this lump sum amount based on deliverables and shall specify the daily fee, travel expenses and living allowances. Maximum 30 points will be assigned to the lowest price offer. All other price offers will be scored using the formula (inverse proportion):  Financial score X = 30* the lowest price offer/suggested price offer.