Component 3

Component 3- Enhancing State Monitoring of the local Government system (Rs 15.44 crore)

This component will provide support to strengthen the system of performance monitoring of LSGIs in Kerala. It has four sub-components:

Database of GPs and Municipalities information: Database of GP and municipal information. The project will establish a database of GP and municipal level information which will store basic information regarding GP and municipal profiles like population, vital statistics, livelihoods, employment, education, water and sanitation, budget expenditures and physical assets. The data will be collected from existing datasets such as 2001 and 2010 census, administrative records, state audits, and line department routine data. The database will be web-based and available to the general public. Decentralization Analysis Cell (DAC) will be responsible for operating and updating the system. DAC has been established at Gulati Institute of Finance and Taxation (GIFT).

LSG Service Delivery Survey: A survey will be carried out to gauge the basic services provided by LSGIs and the level of satisfaction of the citizens in this regard. The survey will also explore the awareness of LSGI planning and budget processes. The survey is supposed to be contracted to an external survey firm/s.

Project Evaluations: The project is planning two evaluations to evaluate the quality of the capacity building efforts (Component 2) and service delivery technical evaluation for the Performance Grant investments (Component 1). The latter will include an assessment of improved access to services as a result of the block grant investments; coverage/distribution of service provision; technical quality, operations and maintenance arrangements, cost effectiveness (value-for-money) and safeguards issues.

Decentralization Analysis Cell (DAC): The DAC will have the following functions: (i) collect, store, compile and report GP/Municipality level and service delivery data; (ii) carry out a policy advisory function providing independent analysis on the performance of the State €˜s intergovernmental fiscal system and service delivery system and provide ongoing policy advice to Government of Kerala and the SFC on local and intergovernmental fiscal and institutional issues.