Resettlement Plan Cao Bang Province

 
Resettlement Plan Cao Bang Province
TRANSPORT CONNECTION
            IN NORTHERN MOUNTAINOUS PROVINCES PROJECT

Resettlement Plan
Cao Bang Province

Project Number : TA7245-VIE
April 2011 (FINAL DRAFT)
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project
Resettlement Plan

                                 CURRENCY EQUIVALENTS
                                    (As of March 2011)

                       Currency Unit      =      Dong (VND)
                               $1.00      =      VND 20,900

                                       ABBREVIATIONS

                    ADB    =      Asian Development Bank
                  CARB     =      Compensation, Assistance and Resettlement Board
                    CPC    =      Commune People’s Committee
                  DARD     =      Department of Agriculture and Rural Development
                     DP    =      Displaced Person
                    DOF    =      Department of Finance
                 DONRE     =      Department of Natural Resources and Environment
                    DPC    =      District People’s Committee
                    FHH    =      Female-headed household
                    GOV    =      Government of Viet Nam
                     HH    =      Household
                    IMO    =      Independent Monitoring Organization
                     IOL   =      Inventory of Losses
                    LMO    =      Land Management Organizations
                   LURC    =      Land Use Rights Certificate
                  MARD     =      Ministry of Agriculture and Rural Development
                MOLISA     =      Ministry of Labour, Invalids and Social Assistance
                    NGO    =      Non-government Organization
                  PDOT     =      Provincial Department of Transport
                    PPC    =      Provincial People’s Committee
                  PPMU     =      Provincial Project Management Unit
                    RCS    =      Replacement Cost Study
                    ROW           Right of Way
                     RP    =      Resettlement Plan
                      RT   =      Resettlement Taskforce
                     SC    =      Steering Committee

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                                             GLOSSARY
 Assistance              Means additional support provided to DPs losing assets (particularly
                         productive assets), incomes, employment or sources of living, to supplement
                         payment of compensation for acquired assets, in order to achieve, at a
                         minimum, full restoration of living standards and quality of life.

 Cut-off date            Means the date prior to which the occupation or use of any part of the
                         project area makes residents or occupiers or users of the same eligible to be
                         recognized as DPs. In this Project, the cut-off date coincides with the
                         completion of the inventory of losses survey.

 Detailed                Means the finalization and/or validation of the results of the inventory of
 Measurement             losses (IOL), severity of impacts, and list of DPs. The final cost of
 Survey (DMS)            compensation, assistance and resettlement is determined following
                         completion of the DMS. The DMS will be done by different Compensation,
                         Assistance and Resettlement Board in the phase of RP implementation once the
                         benchmarks of the project site demarcation are put on the ground.

 Displaced Person        Displaced Persons in a project area could be of three types:
 (DP)                        (i)     persons with land use rights to land lost in its entirely or in part;
 (referred  to   as          (ii)    persons who lost the land they occupy in its entirely or in part
 “Affected Persons”                  who have no land use rights to such land, but who have claims
 as per Government                   to such lands that are recognized or recognizable under
 law)                                national laws; and
                             (iii)   person who lost the land they occupy in its entirely or in part
                                     who have neither land use rights nor recognized or recognizable
                                     claims to such land.
                         The involuntary resettlement apply to all three types of displaced persons
 Livelihood              Means the re-establishment or improve of sources of income and livelihood
 restoration             of relevant DPs through the RP policy and its implementation.

 Inventory of Losses     Means the process of identification, location, measurement and valuation of
 (IOL)                   replacement cost of all fixed assets that will be recovered or adversely
                         affected by or as a result of the project. These include, (without limitation or
                         being an exhaustive list) lands used for residence, commerce, agriculture,
                         ponds; dwelling units, stalls and shops, other structures, such as fences,
                         tombs, wells; trees with commercial value, sources of income and livelihood.
                         It also includes the assessment of the severity of the impact of land and
                         property on the affected assets and the severity of impact to the livelihood
                         and productive capacity of DPs. IOL is carried in the phase of RP
                         preparation.

 Land recovery (also     Means the processes by which all or part of land and property owned,
 referred    to land     possess, occupies or uses, are compulsorily recovered or otherwise
 acquisition)            acquired from an individual, household, firm or private institution by the
                         State or are acquired by agreement. Decision on land recovery will be done
                         through two steps (i) Decision at the provincial or city for the whole project
                         areas and subsequently (ii) Decision by the district to each individual.

 Resettlement       or   Means the physical relocation of an DP from the DP’s pre-project place of
 Relocation              residence and/or business.

 Replacement Cost        Means the amount calculated before displacement which is needed to
                         replace an affected asset without deductions for taxes, and/or costs of
                         transaction as follows:
                         (i) Productive land (Agricultural, fishpond, garden, forest) based on market
                         prices that reflect recent land sales of comparable land in the district and
                         other nearby areas, and in the absence of such recent sales, based on

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                       productive value;

                       (ii) Residential land based on market prices that reflect recent sales of
                       comparable houses and residential land in the district and other nearby
                       areas, and in the absence of such recent land sales, based on sales in other
                       locations with similar attributes;
                       (iii) Houses and other related structures based on current market prices of
                       materials and labor without depreciation nor deductions for salvaged
                       building materials;

                       (iv) Standing crops equivalent current market value of the crop at the time of
                       compensation;
                       (v) Perennial crops and trees, cash compensation equivalent to current
                       market value given the type, age and productive value (future production) at
                       the time of compensation.

                       (vi) Timber trees, the price that would currently be paid for the tress on the
                       nearest market based on the diameter of each tree at breast height.

 Replacement    Cost   Means the process involved in determining the replacement cost of land,
 Study                 houses and other affected assets based on surveys by qualified appraisers
                       or assessors.

 Vulnerable People     Means individuals or distinct groups of people who might suffer
                       disproportionately or face the risk of being further marginalized by the
                       effects of land and property recovery or resettlement and specifically
                       includes: (i) female headed households with dependents (ii) households with
                       disabled persons, (iii) households falling under the current MOLISA
                       benchmark poverty line, (iv) children and elderly households who are with
                       no other means of support, (v) landless households, and (vi) non-integrated
                       and vulnerable ethnic minorities.

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                                                TABLE OF CONTENTS

EXECUTIVE SUMMARY                                                                                                                I
          A.        Background                                                                                                  1
          B.        The Cao Bang Subproject Description                                                                         1
II.       SCOPE OF LAND ACQUISITION AND RESETTLEMENT                                                                            2
          A.        Inventory of Losses (IOL)                                                                                   2
          B.        Affected Households                                                                                         2
          C.        Affected Land and Non-Land Assets                                                                           2
III.      SOCIO-ECONOMIC INFORMATION                                                                                            3
          A.        Socio-Economic Profile of Subproject Area                                                                   3
          B.        Socio-Economic Profile of Affected Households                                                               3
IV.       INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION                                                                4
          A.        Consultations                                                                                               4
          B.        Information Disclosure                                                                                      5
V.        GRIEVANCE REDRESS MECHANISM                                                                                           5
VI.       POLICY FRAMEWORK AND ENTITLEMENTS                                                                                     6
          A.        Legal Framework                                                                                             6
          B.        Reconciliation of Government and ADB Policy on Resettlement                                                 7
VII.      PROJECT OBJECTIVES AND ENTITLEMENTS                                                                                   9
          A.        Objectives                                                                                                 9
          B.        Project Entitlements                                                                                      10
VIII.     RESETTLEMENT BUDGET AND FINANCING PLAN                                                                              12
          A.        Source of Resettlement Funds                                                                              12
          B.        Replacement Cost Survey                                                                                   12
          C.        Resettlement Costs                                                                                        13
IX.       INSTITUTIONAL ARRANGEMENTS                                                                                          14
          A.        Cao Bang Provincial People’s Committee                                                                    14
          B.        Provincial Project Management Unit (PPMU) of PDOT                                                         14
          C.        District Compensation and Resettlement Board                                                              14
          D.        Commune Peoples Committee                                                                                 15
X.        IMPLEMENTATION SCHEDULE                                                                                             15
XI.       MONITORING AND REPORTING                                                                                            16
APPENDIX 1: IOL FORM                                                                                                          17
APPENDIX 2: MINUTES OF COMMUNITY CONSULTATION MEETING                                                                         22
APPENDIX 3: LIST OF APS AND AFFECTED ASSETS                                                                                   23
APPENDIX 4: ADB ACCOUNTABILITY MECHANISM                                                                                      24

                                                    LIST OF FIGURES
Figure 1:Class V Road Cross Section .............................................................................................1

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                                        LIST OF TABLES
Table 1: Detailed Road Descriptions                                                        1

Table 2. Number of Affected Households                                                     2

Table 3. Scope of Land Acquisition                                                         2

Table 5 : Public Consultation Conducted                         Error! Bookmark not defined.

Table 6 : Summary of Perceived Benefits and Adverse Effects of Road Project                4

Table 7: Gaps Between National Laws and ADB Policy                                         7

Table 8: Entitlement Matrix of the Project                                                 10

Table 9: Summary of Replacement Cost Survey (VND/m2)                                       13

Table 10: Summary of Compensation and Allowance                                            13

Table 11: Resettlement Implementation Schedule                                             15

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                                     EXECUTIVE SUMMARY

1.     Project. This Resettlement Plan (RP) is developed for the Transport Connection in
Northern Mountainous Provinces Project. For Cao Bang Province, the Project will improve Road
202 with a total length of 30.2 km. The road will be upgraded to Class V with a carriageway of 3.5
meters (m) width and an embankment width of 6.5 m.
2.      The RP was prepared based on available design during the Project Preparation
Technical Assistance (PPTA) During loan implementation, following the completion of detailed
design, detailed measurement survey (DMS) will be undertaken to determine the households and
organizations who will be affected, actual impacts on their land and assets. Consultation
meetings will be undertaken with the affected people. The Updated RP will be disclosed to the
affected people, submitted to ADB for review and concurrence. Once the Updated RP has been
agreed between ADB and PPC, PPC can commence implementation of the Updated RP.
3.      Scope of Resettlement Impacts. The impacts are not significant. Per results of the IOL
carried out in August 2010, a total of 77households (HHs) will be affected by the project in which
(i) 27 HHs affected with agricultural land; (iii) 33 HHs affected with garden land and, 18 HHs
affected with forest land. All households are marginally affected as loss of land is between (1 to 9
%) of their total landholdings. There is no case of relocation.
4.     Socio-Economic Conditions. Affected households are mostly Dao, followed by Nung
and Tay ethnic minority groups. Based on the socio-economic survey, there are 15 households
who are classified as poor households while another three households are headed by women.
5.      Consultation, Information Disclosure and Grievance Redress. In the preparation of
this Resettlement Plan, consultation meetings were held, for each of the subproject roads.
Representatives of communal leader, village leader, local NGOs and DPs, with 15 participants
attended the meeting. A grievance redress mechanism has also been established. The RPs will
also be disclosed in all affected communes and a PIB will be distributed to all APs.
6.      Government’s Legal Framework, ADB Safeguard Policy Statement, and Project
Objectives. The Project’s objectives and principles are based on the laws and regulations of the
Government of Viet Nam (GOV) and the ADB’s Safeguard Policy Statement (2009). The overall
objective of the policy is to ensure that all people affected by the subproject are able to maintain
and, preferably, improve their pre-subproject living standards and income-earning capacity from
compensation and life rehabilitation assistance for the loss of movable and immovable assets.
7.      Cut-off date. The subproject cut off date was the date of completing inventory of losses,
which was August 25th 2010. Hence, all cases arising after this date will not be identified as the
project’s DPs.
8.      Project Entitlements. The project entitlements developed and presented in the
entitlement matrix correspond to the impacts identified during the IOL. Compensation will be
based on the principle of replacement cost. Types of assistance will be provided to households
based on the severity of impacts and their vulnerability to hardship. It should be noted that the
entitlements in the RP can not be downgraded but can be enhanced, as necessary
9.     Resettlement Budget. The RP Cost Estimates is VND 3,725,0000 (178,200 USD).
Cost of land acquisition, payment for non-land assets, assistance, administration and
contingency costs will be funded by the provincial government.
10.      Institutional Arrangement. The PPC and District Compensation and Resettlement
Board will be responsible in the updating, implementation and monitoring of the resettlement
plan. A team of international and national consultants from the Project Coordination Consultant
will provide support and guidance on all resettlement-related activities.
11.    Implementation Schedule. PPC will submit the Updated RP based on detailed design
to ADB for ADB review and concurrence prior to resettlement implementation. Compensation
and clearance of land will not commence until the Updated RP has been agreed between the
PPCs and ADB and that provisions in the agreed Updated RP has been satisfactorily
implemented.

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12.      PPC, through PPMU, will not issue a site possession notice to the Works contract to
commence construction activities for a specific section, until the head of the district resettlement
committee (or board) has officially confirmed in writing that (i) payment and assistance has been
fully provided to the affected persons and rehabilitation measures are in place for that specific
section as per the respective RP; (ii) already compensated displaced persons for that specific
section have been cleared from the area in a timely manner; and (iii) that the specific section of
the project is free from any encumbrances.

                             Table ES-1: Indicative Implementation Schedule
                Main Resettlement Plan Activities                     Implementation Schedule
 Preparation of Resettlement Plan (PPTA)
 RP Preparation (IOL, consultation, RCS)                                Sep, 2009, Jul-Aug 2010
 Disclosure of Draft RP to Affected People                                      April 11
 PPC submission to ADB for review and concurrence                              April 2011
 Uploading of RP on ADB website                                                May 2011
 Updating of Resettlement Plan (Loan Implementation)
 Establishment of the District Compensation Board                              July,2012
 Land clearance/boundary setting for the Project                               July,2012
 Training for resettlement staff.                                              July,2012
 Consultation with the Affected Households                                   July-Aug ,2012
 Conduct of Replacement Cost Survey by a Qualified Appraiser                 July-Aug ,2012
 Detailed Measurement Survey.                                                Jul-Aug,2012
 Disclosure of Updated RP to the Affected People                               Aug 2012
 Submission of Updated RP to ADB for review and concurrence                    Sep, 2012
 ADB issues concurrence of Updated RP                                          Sep 2012
 Award of Civil Works Contract                                                 Sep 2012
 Implement Updated Resettlement Plan
 Compensation payments                                                       Oct-Nov 2012
 Implement rehabilitation measures                                           Oct-Nov 2012
 Clearance of acquired land                                                    Dec 2012
 DCARB to issue letter of confirmation that RP has been
                                                                               Dec 2012
 satisfactorily implemented
 PPC, through PPMU, to issue Notice of Site Possession to civil
                                                                               Dec 2012
 works contractor
 Start of Civil Works Construction                                        Dec 2012- Onwards
 Monitoring (from RP updating to civl works construction)                 July 2011 -onwards

13.      Monitoring. Resettlement activities will be monitored by PPC and CARB. The PPMU
will provide guidance and advise as required. No external monitoring organization (EMO) wil be
hired as the impacts are not significant.

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I.        PROJECT DESCRIPTION
     A.         Background
     1.     The Asian Development Bank (ADB) is funding the Technical Assistance (TA) of the
     Transport Connection in Northern Mountainous Provinces Project to help Viet Nam Government
     implement its poverty reduction and road improvement programs. The project zone includes 06
     provinces in the North of Viet Nam, namely: Bac Kan, Cao Bang, Ha Giang, Tuyen Quang, Lao Cai
     and Yen Bai.
     2.      These provinces have high rate of poverty and ethnic minority population. The road network
     consists predominantly of unpaved, narrow roads. Many sections are impassable during the rainy
     season. Travel time and cost from mountainous remote areas to social infrastructure will be reduced,
     and the economic activities along the roads will be enhanced.

     B.         The Cao Bang Subproject Description
     3.     For Cao Bang Province, the Project will improve Road 202 (Subproject 0201) with a length of
     30.2 km: located in Ca Thanh, Yen Lac and Vu Nong communes of Nguyen Binh District; and Hung
     Dao, Huy Giap and Dinh Phung communes of Bao Lac District. The road will be upgraded to Class
     V with a carriageway of 3.5 meters (m) width and an embankment width of 6.5 m (see Figure 1).
                                              Figure 1:Class V Road Cross Section

                                              Table 1: Detailed Road Descriptions1

     1
         The initial project scope included 2 roads; however, the project scope was reduced in March 2011 to 1 road (Road
         202). Road 209 has been removed.

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                    II.      SCOPE OF LAND ACQUISITION AND RESETTLEMENT
A.          Inventory of Losses (IOL)
4.      During design implementation, PPTA Consultants in cooperation with Cao Bang PPMU, local
commune authorities carried out Inventory of Losses (IOL) for all affected land, assets, trees in the
project area. The following summarizes the IOL process and related procedures:
        (i) Preparation of the IOL for affected assets in the project area in Sep 2009 and updated in
        August, 2010.
        (ii) Conducted community meetings with various stakeholders (medical station, local NGOs
        and households whose houses are located along the road sides) in order to notify them about
        the dates and procedures of the IOL.
5.     The survey form used for the IOL is presented in Appendix 1. The Minutes of Community
Consultation Meetings in Appendix 2 and the list of HHs with their affected land/assets in Appendix 3.
B.         Affected Households
6.      Per results of the IOL, carried out in August 2010, a total of 77 households (HHs) stand to
lose part ot their residential, agricultural, garden and forest land and various fixed assets with the
construction of the project roads. Among the 77 affected households (AHs): (i) 72 HHs will be
affected through loss of residential land; (ii) 27 HHs affected with agricultural land; (iii) 33 HHs
affected with garden land and, 18 HHs affected with forest land, (See Table 2 )
7.     All AHs are partially and marginally affected and there is no case of relocation nor loss of
shop or business.
                                        Table 2. Number of Affected Households
                                                                                              2
                                                                    Number of Households
               Routes
                                           Res.             Agri.          Garden           Forest.             Total
Road 202                                    48               27               33                  18             77

8.      The IOL data on land acquisition are preliminary. A more reliable determination of impacts will
be carried out during the DMS. Detailed provision of land/asset impacts are shown below.

C.         Affected Land and Non-Land Assets
9.      Land. Total land to be acquired is 209,122 m2. Total affected forest land is 201,272 m2,
accounting for 96,2% of the total land acquisition. The proposed roads are located mainly in
mountainous area dominated by forestry land. All DPs are legal land users. Forestry land belongs to
both private and public owners. Private HHs are losing an average of 232 m2 of forestry land. Private
HH usually own several hectares (between 3.0 to 5.0 has) of forestry land in the project area.
Average agricultural landholding in the area is 500 to 600 m2 in several plots.

                                           Table 3. Scope of Land Acquisition
                                                                                                   2
                                                              Land Area for Acquisition (m )
               Routes
                                           Res.             Agri.          Garden           Forest.             Total
Road 202                                  1,971            2,940            2,939           201,272           209,122

10.     Secondary Structures. There are no houses affected by the road improvement. A few
secondary structure such as breeding structures (14 m2) will be affected. For households losing
residential land, a part of their concrete yard (2,998 m2) will be affected.

2
    An AP might be affected various kinds of land including residential land, agricultural land and forest land, so sum up
    numbers of the affected household could not equal to actual APs numbers mentioned in Column Total.

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11.    Crops and Trees. Almost all 77 DPs affected through loss of land, will also lose trees/crops:
19,542 timbers, 155 fruit-trees and 2,940 m2 of paddy rice and maize field.

                                  III.     SOCIO-ECONOMIC INFORMATION

A.         Socio-Economic Profile of Subproject Area
12.     Cao Bang is a mountainous province in the northeast of Vietnam. The national poverty line is
established by Ministry of Labour, Invalids and Social Assistance (MOLISA). For the period from 2006
to 2010; the rural poverty line is VND 200,000/person/month while the urban poverty line is VND
260,000/person/month. The incidence of poverty in Cao Bang province in 2008 was 39.2% (new
standard).
13.     Ethnic groups in the province accounts for 95% of the total population. Ethnic composition
includes Tay (41.9%), Nung (32.9%), H’mong (8.3%) and Dao (4.5%). Kinh accounts for 4.6% of the
total population.

B.         Socio-Economic Profile of Affected Households

14.     The socio-economic survey (SES) was conducted among 51%3 of the total number of DPs
which corresponds to 59 households (270 persons). The respondents, heads of households, stated
that they all went to school and reached high school level.
15.    Population and Household Size. Among the 59 surveyed HH, there are 133 are males And
137 females. The average HH size is 4.6 persons/HH.
16.     Age Distribution. Regarding the age distribution of the surveyed population, there are about
36.5% (74 persons) between 21 and 60 years old; 50.8% (103) above 20 years old and 12.8% (26)
are those who are 60 years old and above.
17.     Ethnic Groups. Among the 59 surveyed HH, all belongs to an ethnic group, mainly Dao (48
HHs), followed by Nung (10 HHs) and Tay (1 HH).
18.     Poor and Vulnerable Households. There are 10 households classified as poor households
by the commune following MOLISA poverty criteria. There are no household with disabled persons,
invalids, elderly people without support or war heroes (“policy” households).
19.        Households headed by women. The SES found three households headed by women.
20.     Income Sources. The main primary source of income of most households is agriculture with
nearly 85.1%. The main crops planted are rice, maize and peanuts. Additional sources of income are
livestock (cows, buffalos), poultry (chicken and ducks) and pig rearing. Business activities accounts
for 13.4% of the main source of income of DPs. It is worth noting that income from women represents
47% of the total income of household. Average income of households is about 1,400,000 VND per
month.

21.    Houses and Basic Facilities. Most of the houses are built with permanent materials. All HHs
are connected to the state power network; electricity is used mainly for lightning. Wood or gas are
generally used for cooking.
22.     Water and Sanitation. Piped water is not available in the Project area. All HH still use water
from stream and pond. Most of the households surveyed (97%) do not have toilet. Only 2% have in-
house toilet.

3
    Rehabilitation of Road 202 has been reduced from 46 km to 30.2 km in March 2011. The total number of affected HH
    was first 116.; It has been reduced to 77. The SES was conducted among the 116 affected HH at tte time of the
    survey.

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           IV.      INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION

23.     Disclosure of information and consultations are conducted during preparation and
implementation of subprojects to ensure that DPs and other stakeholders have timely information
about land acquisition, compensation and resettlement, as well as opportunities to participate in and
express their preferences and concerns regarding the resettlement program. from the commune,
ward and/or village authorities organized meetings and consultation and disseminated information to
ensure that the DPs are well informed and consulted as early as project preparation.

A.      Consultations
24.    Consultation and information dissemination has been an integral component of the RP
preparation. During the preparation of this RP, significant information dissemination and consultation
with primary stakeholders has been undertaken, through IOL, village level meetings, sample
household surveys, and meetings with other key stakeholders.
25.     Two Resettlement Workshops, attended by representatives from the 6 PDOTs, were held in
Lao Cai on October 27th 2009 and in Hanoi on December 7th 2009. The workshops consisted of the
following presentation: Project’s components; ADB Requirements prior to Appraisal and Loan
Negotiation; GOV’s laws and procedures on land acquisition; ADB’s Safeguard Policy Statement;
Project’s Policy Framework and Entitlements; Project Impacts and Entitlements for each type of
impact; Proposed Resettlement Strategies; Preparation of Resettlement Plan; Budget Costs and
Tentative Implementation Schedule. The workshop also allowed the participants to share their opinion
and suggestions in order to improve the preparation and implementation of the Resettlement Plan.
26.     In the preparation of Resettlement Plan, the PPTA Social Safeguard Consultants, Cao Bang
PPMU coordinated with the commune local authorities in subproject areas to hold consultation
meetings for each of the project roads. In Road 202, a meeting at the commune level was held on 28
August 2010 and 15 representatives from the households attended the meeting. During the IOL
survey, all HHs were also informed about the proposed project by the survey team. A project map has
also been posted at the commune People's committee billboard, by PPMU and social consultant
27.      The purpose of the meeting was to provide information to and consult with DPs and other
stakeholders regarding: (i) project information; (ii) the scope and objectives of the subproject based
on preliminary design; (iii) the policies, principles, entitlement and procedures for land acquisition,
compensation and resettlement; (iv) implementation schedule and, (iii) preliminary estimates of land
acquisition requirements and grievance redress.

28.    All participants agreed with the project implementation and the proposed policy for the project.
They expect that the project will be implemented soon so that local people have better opportunity in
economic and social development for communes in the area. Other discussion on the subproject’s
Perceived Benefits and Adverse Effects are provided in Table 6.

       Table 4 : Summary of Perceived Benefits and Adverse Effects of Road Project

                          Benefits                                                  Adverse Effects
1.   Improved roads will provide safer traffic condition    1.   Number of traffic accidents may increase.
     for local people.                                      2.   Number of social evils may increase. Improved roads
2.   People will have better access to schools by                will provide easier access for outsiders who may bring
     making roads easier to navigate specially during            with them vices such as drug addiction and
     rainy season. Easier and safer for children to go to        prostitution, trafficking of women and children and
     school.                                                     spread of communicable diseases.
3.   Better transportation contributes in promoting         3.   Disruption in daily living of people during construction
     product      exchanges and trading activities and           period like their mobility in going to school and
     facilitates the movement of products from source to         market.
     markets.                                               4.   Households who will be directly affected in terms of
4.   Improved roads and transportation will help improve         their houses and livelihood are concerned that they
     the standard of living of local people.                     will not be paid on time nor given assistance for
5.   The people within the project area can earn                 repairing their houses or relocating.
     additional income from jobs in construction work

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                             Benefits                                    Adverse Effects
        and for providing lodging and food to Contractors
        and construction workers coming from outside.
 6.     The people can benefit from livelihood and crop
        production training, awareness rising which are
        proposed to be conducted during the project
        implementation.

 29.      In addition, the participants also suggested that they should participate in the project
 implementation: (i) during the resettlement implementation, the DPs should be informed, consulted
 prior to compensation implementation, and they should be represented as a member in the CARB,
 which will participate in implementation of DMS, pricing, and payment process; (ii) during the road
 construction, the Contractor should mobilize local people to work as laborers in construction work,
 and (iii) they are willing to work in Operation and Maintenance (O&M).
 30.      During loan implementation, households will continuously be informed and consulted
specifically on the project schedule and activities. Results of the DMS, entitlements and value of
assets will also be disclosed to the DPs. Suggestions from women and other vulnerable households
specific to mitigating impacts or addressing impacts will be carefully taken into account. During RP
updating, separate meetings will be held with women. There will be also announcements during market
days.
 31.    The updated Resettlement Plan (Draft and approved) will be prepared following the Detailed
Design and disseminated to the affected communities and uploaded on the ADB’s website.

 B.        Information Disclosure
 32.     Key information in the draft RP will be disclosed to the DPs through the distribution of public
 information booklets in Vietnamese language during market days prior to ADB Management Review
 Meeting or before ADB follow-up mission. Disclosure to the DPs will be done prior to submission of
 draft RP to ADB. The draft RP and the RP agreed between ADB and Government will be uploaded
 on the ADB website.
 33.       Public Information Booklet. A public information booklet has been prepared (see Annex 5).

                                V.       GRIEVANCE REDRESS MECHANISM

 34.     Grievances related to any aspect of the Project will be handled through negotiation aimed at
 achieving consensus. Complaints will pass through 3 stages before they could be elevated to a court
 of law as a last resort.
 35.      First Stage, Commune People’s Committee. An aggrieved affected household may bring
 his/her complaint before any member of the Commune People’s Committee, either through the Village
 Chief or directly to the CPC, in writing or verbally. It is incumbent upon said member of CPC or the
 village chief to notify the CPC about the complaint. The CPC will meet personally with the aggrieved
 affected household and will have 30-45 days following the lodging of the complaint to resolve it (Note:
 in remote and mountainous areas, the complaint should be resolved within 45-60 days. The CPC
 secretariat is responsible for documenting and keeping file of all complaints that it handles.
 36.   Upon issuance of decision of CPC, the household can make an appeal within 30 days. If the
 second decision has been issued and the household is still not satisfied with the decision, the
 household can elevate his/her complaint to the DPC.
 37.     Second Stage, District People’s Committee. Upon receipt of complaint from the
 household, the DPC will have 30-45 days (or 45-60 days if it is in remote or mountainous areas)
 following the lodging of the complaint to resolve the case. The DPC is responsible for documenting
 and keeping file of all complaints that it handles.
 38.   Upon issuance of decision of DPC, the household can make an appeal within 30 days. If the
 second decision has been issued and the household is still not satisfied with the decision, the
 household can elevate his/her complaint to the PPC.

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39.     Third Stage, Provincial People’s Committee. Upon receipt of complaint from the
household, the PPC will have 30-45 days (or 45-60 days if it is in remote or mountainous areas)
following the lodging of the complaint to resolve the case. The PPC is responsible for documenting
and keeping file of all complaints that reaches the same.
40.   Upon issuance of decision of PPC, the household can make an appeal within 30 days. If the
second decision has been issued and the household is still not satisfied with the decision, the
household can elevate his/her complaint to the court within 45 days. PPC will then deposit the
compensation payment in an escrow account.
41.    Final Stage, the Court of Law Arbitrates. Should the complainant file his/her case to the
court and the court rule in favor of the complainant, then PMU-MT will have to increase the
compensation at a level to be decided by the court. In case the court will rule in favor of PPC, then the
amount deposited with the court is what the complainant will receive.
42.    The DPs will be provided with support and assistance by local based organizations, in case
they have limited capacity in case they have questions or complaints.
43.      If efforts to resolve complaints or disputes are still unresolved and unsatisfactory following the
project’s grievance redress mechanism, the households have the right to send their concerns or
problems directly to ADB’s Operations Department, i.e., Transport and Communications Division,
Southeast Asia Department (SERD) or through ADB Viet Nam Resident Mission. If the households
are still not satisfied with the responses of SERD, they can directly contact the ADB's Office of the
Special Project Facilitator (OSPF) as outlined in the "Information Guide to the Consultation Phase of
the ADB Accountability Mechanism" (Appendix 4).4

                          VI.      POLICY FRAMEWORK AND ENTITLEMENTS

A.         Legal Framework

44.     The Resettlement Legal Framework and Entitlements for the Project have been built upon the
laws of the Government of Viet Nam and the ADB Safeguard Policy Statement (2009). However,
provisions and principles adopted in the Resettlement Legal Framework for the project supersede the
provisions of relevant decrees currently in force in Viet Nam wherever a gap exists. The overall
objective of the policy is to ensure that all people affected by the subproject are able to maintain and,
preferably, improve their pre-subproject living standards and income-earning capacity from
compensation and life rehabilitation assistance for the loss of movable and immovable assets.
45.   The policy is based on the laws and regulations of the Government of Viet Nam (GOV) of Cao
Bang Province and the ADB. The principal Vietnamese laws and regulations include:
          The 2003 Land Law dated 26 November 2003;
                Decree 181/2004/ND-CP dated 29/10/2004of the Government guiding the execution of
                amended land law 2003;
                 Decree 197/2004/ND-CP date 03/12/2004 of the Government on compensation,
                assistance and resettlement in the event of land recovery by the State;
                Decree No. 188/2004/ND-CP dated November 16, 2004 of the Government on methods
                of determining land prices and land prices framework;
                Circular No. 114/2004/TT-BTC dated November 16, 2004 of Ministry of Finance guiding
                the implementation of Decree No. 188/2004/ND-CP of the Government;
                Decree No. 17/2006/ND-CP dated January 27, 2006 of the Government amending and
                supplementing some articles of the Decree guiding the implementation of the Land Law
                and Decree No. 187/2004/ND-CP on the transfer state-owned companies into joint stock
                companies.
                Decree No. 84/2007/ND-CP dated May 25, 2007 of the Government on additional
                regulations on the granting of land use right certificates, land acquisition, implementation

4
    The information guide is also available on the ADB’s website: http://adb.org/SPF/default.asp .

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             of land use rights, compensation order and procedure, resettlement when the State
             recovers land and settle claims about land;
             Decree No. 123/2007/ND-CP dated 27 July 2007 amending and supplementing some
             articles of Decree No. 188/2004/ND-CP dated 16 November 2004 on methods of
             determining land prices and frame land prices;
             Decree 69/2009/ND-CP dated August 13, 2009 of the Government of Vietnam regulating
             additional planning of land use plan, land prices, land acquisition, compensation,
             assistance and resettlement;
             Circular 14/2009/TT - BTNMT dated January 10, 2009 by MONRE regulating
             compensation, assistance and resettlement procedures and land acquisition, land
             allocation, land lease in details;
             Decision No. 3336/2009/QD-UBND dated December 31th, 2010 of Cao Bang Province
             People's Committee promulgating the compensation policy, assistance and resettlement
             when the State recovers land in the province of Cao Bang;
             Decision No. 3165/2009/QD-UBND dated 22/12/2009 of the Cao Bang PPC promulgating
             the table of land prices in the Cao Bang province in year 2010.
             Decision 776/2009/QD-UBND dated April 28, 2009 of Cao Bang PPC regulating the unit
             price for housing and other architectural objects when acquired in the Cao Bang province;
             Decision No.52/2008/QD-UBND dated January 11, 2008 by Cao Bang PPC promulgating
             the unit prices for crop and tree when acquired in the Cao Bang province;

B.     Reconciliation of Government and ADB Policy on Resettlement

46.     With the promulgation of Decree 197/2004/ND/CP (3/12/2004) and Decree 69/2009/ND-CP
and relevant decrees stated above, the policies and practices of the Government have become more
consistent with ADB’s social safeguards policies. Nonetheless, provisions and principles adopted in
this Resettlement Plan will supersede the provisions of the relevant decrees currently in force in Viet
Nam wherever a gap exists, as provided for under Decree 131/2006/ND-CP (November 2006), which
regulates the management and use of official development assistance.
47.      It should also be noted that as per Decree 69/2009, Article 23, it states "Apart from the
support prescribed in Articles 18, 19, 20, 21 and 22 of this Decree, basing themselves on the local
realities, the provincial-level People’s Committee shall decide on other supporting measures to
stabilize life and production of persons who have land recovered; special cases shall be submitted to
the Prime Minister for decision”, therefore, if additional gaps not mentioned below are found during
RP updating, the required assistance or support will be included in the Updated RP.
48.     The differences between the Government’s Laws and Decrees and ADB Policy with regard to
resettlement and compensation, and how to address these gaps for this Project are shown in the
table below.
                           Table 5: Gaps Between National Laws and ADB Policy

 Key Issues              National Laws                    ADB Policy                   Project Policy
Definition    of   Vulnerable households are       Vulnerable groups those       (i) female headed
Vulnerable         those households living         below the poverty line, the   households with
groups             below the poverty line as set   landless, the elderly,        dependents (ii) households
                   by MOLISA and social policy     women and children, and       with disabled persons, (iii)
                   households who receive          Indigenous Peoples.           households falling under
                   special cash allowances                                       the current MOLISA
                   from the Government.                                          benchmark poverty line,
                   These households have                                         (iv) children and elderly
                   household members who                                         households who are with
                   are invalids, who have                                        no other means of support,
                   heroic mothers, martyrs, and                                  (v) landless households,
                   those who made contribution                                   and (vi) non-integrated and
                   to the revolution.                                            vulnerable ethnic

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 Key Issues            National Laws                    ADB Policy                   Project Policy
                                                                               minorities; and (vii) social
                                                                               policy households as
                                                                               defined by the Government

Provision of    Decree 197/2004 (as             Provide economically           Households who lose less
Assistance to   amended by Decree               displaced persons with         than 30% of their
Economically    69/2009) states that affected   needed assistance.             agricultural land who are
Displaced       households losing 30% or                                       determined to depend
Households.     more of their productive land   Improve the standards of       heavily in agriculture for
                will be provided assistance.    living of the displaced poor   their livelihood will be
                                                and other vulnerable           provided with additional
                However, Article 23 of          groups, including women,       assistance similar to those
                Decree 69/2009 also states      to at least national           losing 30% or more of their
                that based on actual            minimum standards.             land.
                conditions at the local area,
                PPC shall determine other                                      Specific measures will be
                assistance methods to                                          provided to ensure that all
                ensure accommodation and        Focus on strategies to         vulnerable groups are
                life stabilization.             avoid further                  assisted to improve or at
                                                impoverishment and create      least restore living
                It also states that             new opportunities to           standards to pre-project
                households who are directly     improve status of the poor     levels and in a manner that
                involved in agricultural        and vulnerable people.         is culturally sensitive and
                production and derive their                                    appropriate.
                major income from the land
                that are to be acquired by
                the Government, PPC shall
                consider the assistance level
                on a case by case basis
                based on actual conditions.

                Decree 17, 2006 also states
                that In any case where any
                household or individual from
                whom land is recovered has
                a living standard which is
                classifies either as a poor
                household according to
                criteria set for poor
                households by MOLISA,
                they must be assisted to
                overcome the poverty. The
                actual amount and time of
                assistance will be decided
                by the People’s Committee
                of a province or city under
                Central control but it must
                not be less than 3 years and
                must not exceed 10 years
                counting from the day of
                completion of land recovery.
Non-titled      Clause 2 of Article 23,         Non-titled housheolds,         Poor and vulnerable non-
users           Decree 69/2009, the             including displaced            titled users will be provided
                Peoples’ Committees of the      tenants, sharecroppers and     appropriate assistance to
                provinces or centrally-run      squatters, are not entitled    help them improve their

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 Key Issues                National Laws                  ADB Policy                      Project Policy
                 cities shall consider            to compensation for land          socio-economic status.
                 providing such support on        but are entitled to payment       The type of assistance will
                 case-by-case basis.              for non-land assets and           be identified during RP
                                                  assistance to restore their       updating as per
                                                  pre-project living                consultation with
                                                  standards. If they are poor       households.
                                                  and vulnerable, appropriate
                                                  assistance must be
                                                  provided to help them
                                                  improve their socio-
                                                  economic status.
Unregistered     Compensate and support           Promptly compensate all           Assist displaced
businesses       only               registered    economically displaced            persons/households who
                 manufacturing and business       persons for the loss of           do not fall under registered
                 enterprise or households         income or livelihood              business by providing
                                                  sources at full replacement       assistance in cash or in-
                                                  cost, and assist through          kind during transition
                                                  credit facilities, training and   period.
                                                  employment opportunities.
Houses     and   Decree 197/2004, Articles        Structure        to      be       Houses       and     other
structures       18-20:      Houses        and    compensated 100% of               structures on land without
                 structures constructed prior     replacement cost, without         sufficient conditions for
                 to land use plans or the right   depreciation           and        compensation that were
                 of way announcements will        regardless of status of the       constructed prior to the
                 be assisted at 80% of            DP on the land as long as         decision on land recovery
                 replacement cost.                structure was put prior to        (cut-off date) will be
                                                  the cut-off date                  compensated 80% of new
                                                                                    construction price.
                                                                                    Plus:     cash assistance
                                                                                    amounting to 20% of new
                                                                                    construction price if at the
                                                                                    time of construction there is
                                                                                    no     clear    or    proper
                                                                                    announcement of land use
                                                                                    plan or ROW.
Entity that      Provincial and cities people’s   Qualified and experienced         Qualified and experienced
conducts the     committee under central          experts will undertake the        experts will be engaged to
valuation of     authority will establish         valuation of acquired             conduct replacement cost
acquired         specific land prices based on    assets                            surveys for the project
assets           the principles stated in                                           which will be used as input
                 clause 1, Article 56, Land                                         by the District
                 Law.                                                               Compensation Boards
                                                                                    under the District People’s
                 Qualified organizations may                                        Committee for determining
                 provide consultancy on land                                        compensation amounts.
                 prices (Article 57, Land Law)

                    VII.     PROJECT OBJECTIVES AND ENTITLEMENTS

A.      Objectives
49.      The overall objectives of the resettlement policy for this RP are (i) to minimize, if not avoidable,
resettlement impacts; (ii) if impacts are unavoidable, RP is prepared in a way to ensure that DPs are
not worse off; rather, they should be able to at least maintain or otherwise improve their pre-project
living standards and income-earning capacity. Principles adopted for this Project, irrelevant to current

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situation but might be relevant in the future in case there will be major changes in alignment designs,
are presented below:
        a. Involuntary resettlement and impacts on land, structures and other fixed assets will be
           minimized where possible by exploring all alternative options.
        b. Compensation will be based on the principle of replacement cost at the time of
           compensation.
        c. Displaced persons without title or any recognizable legal rights to land are eligible for
           resettlement assistance and compensation for non-land assets at replacement cost.
        d. Residential land, residential house and agricultural land for replacement should be close
           to the previous places as much as possible and be suitable to displaced persons.
        e. Meaningful consultation will be carried out with the affected households and concerned
           groups and ensure participation from planning up to implementation. The comments and
           suggestions of the DPs and communities will be taken into account.
        f. The RP will be disclosed to DPs in a form and language(s) understandable to them prior
           to submission to ADB.
        g. Resettlement identification, planning and management will ensure that gender concerns
           are incorporated.
        h. Special measures will be incorporated in the resettlement plan to protect socially and
           economically vulnerable groups such as households headed by women, children, disabled,
           the elderly, landless and people living below the generally accepted poverty line.
        i. Existing cultural and religious practices will be respected and, to the maximum extent
           practical, preserved.
        j. Culturally appropriate and gender-sensitive social impact assessment and monitoring will
           be carried out in various stages of the project.
        k. Resettlement transition stage should be minimized. Restoration measures will be provided
           to displaced persons before the expected starting date of construction in the specific
           location.
        l. Budget for payment of compensation, resettlement and support will be prepared
           sufficiently and made available during project implementation. Sites for resettlement and
           restoration will be available as required.
        m. Reporting and monitoring will be defined clearly as part of the management system of
           resettlement. Independent assessment of the duration and results of the land recovery
           should be carried out.
        n. PPC, through PPMU, will not issue notice of possession to contractors until CARB has
           officially confirmed in writing that (i) payment has been fully disbursed to the displaced
           persons and rehabilitation measures are in place as per Updated RP agreed between
           PPC and ADB; (ii) already-compensated displaced persons have cleared the area in a
           timely manner; and (iii) the area is free from any encumbrances. No land recovery or site
           clearing will be done until and after the Updated RP has been agreed between PPC and
           ADB and the provisions in the Updated RP have been implemented satisfactorily.

B.      Project Entitlements
50.     The project entitlements (i.e. compensation and support) developed and presented in the
entitlement matrix below correspond to the impacts identified during the IOL. It should be noted that
these entitlements can not be downgraded. Entitlements may be enhanced, as necessary, following
the conduct of DMS and consultation with DPs. Entitlements adopted are based on government
policies and decisions and ADB policies. Entitled persons are those who satisfy the cut-off-date.

                               Table 6: Entitlement Matrix of the Project
   Impact/ Loss          Eligible Persons                Entitlements              Implementation Issues
 and Application(*)
Loss of               Households or              Cash compensation at           DPs who lose 30% or more
Productive Land       persons with               replacement cost which is      of their agricultural land will
(paddy, garden,       (i) LURC; or (ii) in the   equivalent to current market   be provided with additional
forest land)          process of acquiring       price and free from            assistance such as

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   Impact/ Loss          Eligible Persons                Entitlements               Implementation Issues
 and Application(*)
                      LURC (iii) are eligible   transaction costs (e.g.,         transitional allowance (e.g.
                      to acquire LURC           taxes, certification,            rice allowance).
                      according to the          administration costs).           DPs who lose less than 30%
                      regulations of GoV;       Cash assistance equivalent       of their agricultural land who
                      and (iv) covered by       to 5 times of the current        are determined to depend
                      customary rights,         market price of agricultural     heavily in agriculture for their
                      such as members of        land.                            livelihood and whose land is
                      ethnic minority                                            below the minimum land
                                                If agricultural land is within
                      groups.                                                    quota in the commune will
                                                the residential area, cash
                                                assistance amounting to          also be provided with
                                                20% to 50% of current            additional assistance similar
                                                market price of adjacent         to those losing 30% or more
                                                residential land.                of their agricultural land.
                      Land Users who have       No compensation for public
                      no formal legal rights    land and land allocated by
                      nor recognized or         GoV/ local authorities to
                      recognizable claims       institutions or individual DP,
                      to such land.             but full replacement cost for
                                                non-land assets and
                                                investment on land to land
                                                user.
Loss of               Households or             Cash compensation at
Residential Land      persons with (i)          replacement cost which is
                      LURC; or (ii) in the      equivalent to current market
                      process of acquiring      price and free from
                      LURC (iii) are eligible   transaction costs (e.g.,
                      to acquire LURC           taxes, certification,
                      according to the          administration costs).
                      regulations of GoV;
                      and (iv) covered by
                      customary rights,
                      such as members of
                      ethnic minority
                      groups.
                      Land Users who have       No compensation for public
                      no formal legal rights    land and land allocated by
                      nor recognized or         GoV/ local authorities to
                      recognizable claims       institutions or individual DP,
                      to such land.             but full replacement cost for
                                                non-land assets and
                                                investment on land to land
                                                user.
Loss of Houses        Owners with or            Cash compensation at
and Secondary         without acceptable        replacement cost which is
Structures            proof of rights over      equivalent to the current
                      the land; with or         market value of a newly built
                      without building          structure and with no
                      permit.                   depreciation or deduction for
                                                salvageable materials.
Impacts on            Owners regardless of      Annual crops and
Crops, Trees and      land tenure status        aquaculture products
Aquaculture                                     equivalent to current market
Products                                        value of crops/aquaculture

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   Impact/ Loss           Eligible Persons              Entitlements                Implementation Issues
 and Application(*)
                                                products at the time of
                                                compensation;
                                                                                 Timber trees based on
                                                For perennial crops trees,       diameter at breast height at
                                                cash compensation at             current market value.
                                                replacement cost equivalent
                                                to current market value
                                                given the type, age and
                                                productive value (future
                                                production) at the time of
                                                compensation.
Impacts on Public     Owners of assets          Cash compensation to cover       To be agreed between
Facilities,                                     the cost of restoring the        PPMU and owner during RP
Communal                                        facilities or assets             updating
Owned Assets                                    OR
and Collective
                                                In-kind compensation (such
Assets
                                                as PPMU to replace
                                                materials and/or provide
                                                labor).
Temporary             Households or             Land. For the portion to be
Impacts During        persons with (i)          used temporarily during
Construction          LURC; or (ii) in the      construction: (i) rental in
                      process of acquiring      cash which will be no less
                      LURC (iii) are eligible   than the net income that
                      to acquire LURC           would have been derived
                      according to the          from the affected property
                      regulations of GoV;       during disruption; (ii)
                      and (iv) covered by       restoration of the land within
                      customary rights,         3 months after use.
                      such as members of        For non land assets,
                      ethnic minority           payment will be based on
                      groups.                   replacement cost as
                      For Non-Land Assets,      indicated above.
                      regardless of tenure
                      status.

                  VIII.    RESETTLEMENT BUDGET AND FINANCING PLAN

A.      Source of Resettlement Funds
51.     All land acquisition, compensation and resettlement costs of the subproject are taken from
provincial counterpart funds of Cao Bang province.

B.      Replacement Cost Survey
52.    All compensation will be based on the principle of replacement cost. Replacement cost is the
amount calculated before displacement which is needed to replace an affected asset without
deduction for taxes and/or transaction costs.
53.     A Replacement Cost Survey has been prepared to assess if the compensation rates issued
by the Cao Bang People’s Committee corresponds to replacement costs. The survey took place in the
middle of August 2010. The market rates have been determined through desk study and field survey.
Information about price was mainly collected through direct interviewees with affected and non
affected households, especially households Affected households were prioritized for the selection of

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sample for the survey. However, to have objective results, non affected households who have similar
characteristics (similar location and assets) were also selected for the survey.
54.     Households who have recently bought land and built structure on this land were also
interviewed. In addition, information was also collected from various provincial departments and
commune, district and other stakeholders.
55.      The results of this replacement cost survey are summarized in Table 9. The market prices
identified through this survey will be used in the costs estimates.

                            Table 7: Summary of Replacement Cost Survey (VND/m2)
                                                       PPC                                   Rates Used for
                                                                      Market Rates
      No                    Items                 Compensation                               Cost Estimates
                                                                         (VND)
                                                   rates (VND)                                   (VND)
      A    LAND
                                          2
      1    Residential Land (m )                     367,000         367,000-400,000               385,000
                                          2
      2    Agricultural Land (m )                    23,000              50,000                    50,000
                                  2
      3    Forest Land (m )                           7,500                    -                    9,000
                                      2
      4    Garden Land (m )                          54,000                    -                   60,000
      B    STRUCTURE
                        2
      1    House (m )                               1,050,000      1,050,000-1,500,000         1,250,000
                                              2
      2    Secondary structures (m )                 230,000         230,000-300,000               280,000
                    2
      3    Yard (m )                                 54,000           54,000-80,000                68,000
      C    TREE AND CROPS
      1    Timber (each)                              2,000            2,000-5,000                  3,000
      2    Fruit Tree (each)                         250,000                   -                   250,000
                                      2
      3    Paddy (Rice) (m )                          2,000            2,000-5,000                  3,000

C.     Resettlement Costs
56.     The RP budget is estimated at 3,725,0000 VND (178,200 USD). Table 10 summarizes the
subproject resettlement costs including (i) compensation for land acquired permanently or temporarily;
(ii) compensation for structures, crops and trees; (iii) allowances; and (iv) implementation and
contingency costs. Budget for the RP will be financed by the Government as part of its counterpart
fund.
                                  Table 8: Summary of Compensation and Allowance
                                                  Road 202      Unit Price          Road 202            Total
 No                     Items                     Quantity       (VND)                    Amount (VND)
 I    COMPENSATION & ASSISTANCES
 A    LAND                                                                         2 893 483 946      2 893 483 946
                              2
 1    Residential Land (m )                          1 971          385 000          758 720 193        758 720 193
 2    Agricultural Land                              4 287          2 940                 50 000        146 979 795
 3    Forest Land                                  201 272            9 000        1 811 449 346      1 811 449 346
 4    Garden Land                                    2 939           60 000          176 334 612        176 334 612
 B    STRUCTURE                                          -                           143 821 461        143 821 461
                2
 1    House (m )                                         -                                     -                  -
                             2
 2    Secondary Structures (m )                         14          280 000            4 031 916          4 031 916
              2
 3    Yard (m )                                      2 056           68 000          139 789 545        139 789 545
 C    TREE AND CROPS                                     -                           106 188 188        106 188 188
 1    Timber (tree)                                 19 542             3 000          58 627 350         58 627 350

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     2        Fruit Tree (tree)                         155           250 000       38 742 050        38 742 050
                                  2
     3        Crop/ paddy rice (m )                    2 940            3 000        8 818 788         8 818 788
  4           Sub-total (I)                               -                      3 064 124 506     3 064 124 506
  II          ALLOWANCES                                                                                       -
              Allowance for career change (5 x
  4           comp. Rate for ag. Land)                 2 940          115 000      338 100 000       338 100 000
              Sub-total (II)                                                       338 100 000       338 100 000
 III          MANAGEMENT COST                                                                                  -
  1           Administration (2%)                                                   69 631 872        69 631 872
  2           Contingency (5%)                                                     174 079 680       174 079 680
              Sub-total (III)                                                      243 711 552       243 711 552
              TOTAL (I+II+III)                                                   3 725 305 147     3 725 305 147
              USD                                                                                        178 244

57.    Once the Updated RP is acceptable to ADB, compensation payment can commence. During
payment, the PPMU and local authorities will require the presence of both husband and wife to
receive payment and sign payment documents. Before handing over of payments to the DPs,
breakdown of compensation will be explained in detail using local language.

                                  IX.    INSTITUTIONAL ARRANGEMENTS

A.             Cao Bang Provincial People’s Committee
58.            The Cao Bang Provincial People’s Committee, is responsible for the following:
         a)    Review and approve the RP (and its update) prepared for the Project
         b)    Direct its relevant departments such as Departments of finance, construction, agriculture and
               rural development, transport and environment to help in the preparation, updating, and
               implementation of the RP.
         c)    Approve the unit rates submitted by CARB to enable CARB in finalizing the compensation
               plans.
         d)    Approve the compensation plan and overall RP budget which will be reviewed and submitted
               by the DOF
         e)    Settle complaints and outstanding issues.

B.             Provincial Project Management Unit (PPMU) of PDOT
59.         The responsibilities of the PPMUs under PDOTs are to:
         a) Participate as a member of district resettlement committee;
         a) Integrate construction, land acquisition and resettlement, indigenous peoples development
            plan and gender mainstreaming activities;
         b) Establish proper PDP databases for each road sections;
         c) Participation in the compensation payment to affected households;
         d) Regularly liaise with the concerned RDC and PRC regarding the list of PDPs, compensation
            payments and grievance resolution; and
         e) Submit regular progress reports to PDOT and SC on civil works, construction and RP
            activities.

C.             District Compensation and Resettlement Board
60.         The responsibilities of the District Resettlement Committee are to:
         a) Carry out consultation and dissemination of information on the RP;
         b) Organize, plan and carry out land acquisition, compensation, assistance and other
            resettlement activities in the district as per agreed RP

Cao Bang Province                                                                                  Page 14
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