INDIA: Integrated Coastal Zone Management Project

INDIA Integrated Coastal Zone Management Project (P007985)
First Implementation Support Mission, June 2011
would be accounted as expenditure only when the groups provide either statement of expenditure or
utilization certificate as designed by the project.
Entity Audit backlog for certain PEAs
25. JMC has completed the audit of 2009-10 and has resolved the audit back log issue as agreed. It should
take further steps to be up to date in this regard, as it is viewed as a good governance practice.
26. OSPCB Audit: The entity statutory audit has been completed till 2006-07 and the internal audit has been
completed till 2007-08. The State during negotiations agreed that the backlog up to FY 2008-09 would be
addressed by March 2011. The State needs to ensure that the audit backlog is addressed within the next
six months as this is a serious issue from the governance perspective. The State is required to request the
AG to appoint the auditor at the earliest and complete the audit of the back log before September 2011.
Expenditure not eligible for claims
27. West Bengal: The cost of satellite imageries procured by IESWM from NRSA is not eligible for claims
and needs to be met out of the State contribution.
28. Gujarat: The cost of satellite imageries procured by BISAG from NRSA is not eligible for claims and
needs to be met out of the State contribution.
29. Gujarat MIS contract: The SPMU has issued an MIS contract on SSS method of procurement; however
the same is yet to be approved by the World Bank. Reimbursement for this contract can be claimed only
when the procurement is approved by the World Bank.
30. Amount paid to Government of Odisha for lease of land: OPSCB has incurred Rs.3.19 million as a
expenditure towards lease rent and advance rent for the piece of urban plot of land in Paradip for setting
up the OSPCB Coastal Monitoring Laboratory. Such expenditure cannot be financed (or part financed) by
the World Bank unless there is a prior approval from the Land Committee of the World Bank. Until such
approval is obtained, this expenditure shall not be claimed by the Project. It was agreed that SPMU will
prepare a proposal for approval of the Land Committee of the World Bank if required; or otherwise this
expenditure should be met from the state government funds.
Agreed Actions
31. Following is the list of agreed actions on financial management systems.
Action to be taken By Whom By When
Budget allocation revision and receipt of
state contribution for FY 11-12
Receipt of state contribution for FY11-
12
West Bengal SPMU 31 August 2011
Gujarat SPMU 31 August 2011
Tally accounting update SOI 31 August 2011
Tally accounting update – PEA
Odisha SPMU
West Bengal SPMU
31 August 2011
30 September 2011
Project-specific bank account for PEA West Bengal SPMU 31 July 2011
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