rebuilding with accountability after the tsunami – challenges and opportunities for the institute...

Rebuilding with Accountability after the

Tsunami – Challenges and

Opportunities for the Institute of Chartered

Accountants of Sri Lanka

Ajith Nivard Cabraal 18th May 2005

Rebuilding with Accountability

after a Disaster needs an

Institutional approach

What is an “Institutional Mechanism”?

It is a joint body, perhapssimilar to a Joint Venture to: [a] formulate an acceptable

policy, and[b] develop a delivery system for a specified objective

Why "Institutional Mechanisms" or “Joint Ventures” to deal with the Relief and Re-building Processes?

• Create priority measures to be undertaken by each stakeholder

• Prevent and curb corruption in service delivery and procurement

• Maximize the effectiveness of existing laws and procedures

• Assist stakeholders when such laws and procedures are considered to be inadequate

What should such “Mechanisms" cover?

•Assessing the Extent of Damage•Assessing the Needs of

Beneficiaries and Victims •Raising the funds necessary to

meet the cost of relief and re-construction

•Ensuring the Participation of "victims" in the rebuilding effort


•Formulating Policies in relief and re-building

•Ensuring the Transparency of procedures

•Ensuring the Capacity of implementers to carry out the rebuilding processes


•Creating awareness of work being carried out

• Implementing Projects while ensuring–Quality control –Peoples’ participation –Monitoring


•Procuring of goods and services with assurances of quality, fair pricing, timeliness, while meeting contractual obligations

• Instilling and ensuring Financial discipline


•Setting up procedures for grievance redressal

•Arranging disciplinary proceedings and anti- corruption measures

•Regular Reviewing of operations, outputs and outcomes

What are the elements/features that

“institutional mechanisms” should

possess?•Clear Plans – at all levels•Administrative control

structures and systems •Accountability •Transparency •Checks and balances

A “To Do” list for

different stakeholders….

Donors and Funders:

• Elect a “manager” who would set up a secretariat with costs to be shared

• Review and “endorse” needs established by the government

• Work out and publish a common “needs list” against which all donors will provide financial or “in-kind” assistance

• Verify and confirm all offers of assistance

Donors and Funders:

• Coordinate with bilateral “assistance adoption schemes”

• Agree on who does what (identified by region and/or content)

• Agree as far as possible on uniform procurement rules

• Allow flexibility for the employment of local contractors, suppliers and other service providers

Donors and Funders:

• Maintain clear books and records on all assistance pledged, delivered and utilised

• Maintain full transparency of such books and records

• Maximise “budget support” assistance as the form of aid leaving the recipient government the greatest flexibility in its use

Donors and Funders:

• Avoid “tied” aid• Require a standard “integrity

pledge” from each contractor/supplier/other service provider

• Assure full control of fund flows and other activities via effective internal and external controls.

The affected Government:• Cooperate fully with the

donors/funders • Involve local beneficiary

communities and civil society fully in needs assessments and reconstruction decisions

• Maintain full transparency of information related to needs assessments, assistance pledged, delivered and utilised, procurement rules and procedures, contracts awarded and progress

The affected Government:

• Hold public hearings to obtain stakeholder input into needs assessments and reconstruction decision- making

• Denounce corrupt behaviour• Require an integrity pledge from

its officials • Require an integrity pledge from

all bidders• Appoint a senior official in charge

of fighting corruption

Civil Society Organisations and Businesses operating in the disaster

area (contractors, suppliers, consultants etc):

• Coordinate activities with the government (at all levels) and other NGOs

• Accept and implement full accountability for their activities

• Allow and encourage whistle-blowing

• Assist the affected government in facilitating maximum stakeholder participation and information exchange



• Provide full transparency as to sources of their funding

• Report any suspicion of corruption among their own or other organizations to the authorities

• Monitor the relief and reconstruction process and publish results

• Hold government to task of providing full transparency of relief and reconstruction activities



• Make sure all groups of beneficiaries are adequately informed and involved;

• Bring ultimate beneficiaries into the public decision making process on needs assessment, procurement and implementation

• Involve beneficiaries in priority setting and decision making

Media (domestic and international):

• Monitor the relief and reconstruction process, and facilitate the flow of information to the public (both in recipient and donor countries)

• Report to the appropriate authorities any suspicion of corruption

• Report to the public any confirmed incidents of corruption

• Hold government(s), donors and civil society accountable

In every stakeholders “To-do” list,

the Role of the Accountant is obviously of

prime importance!

Challenges facing Sri Lanka

Re - building with accountability Strengthening procedures

and capacities of TAFREN, Divisional Secretaries, Pradeshiya Sabhas, Auditor General, ICASL, Bribery Commission, etc., to effectively function in the post - disaster period.

ICASL: Toolkit, Project Implementation systems, Review, Audit


Re-building quickly Finding innovative and clear delivery systems and mechanisms. Even if they are joint mechanisms!

ICASL: Good and sound MIS, Project Managers


Re-building with peoples’ participation

The victims should not be treated as passive on-lookers but as active stake-holders

ICASL: Contribute to the Debate


Capacity building and training of those engaged in the relief and reconstruction effort

Some of the relief and re - construction efforts and

delivery systems may be beyond the capacity and understanding of persons who are expected to deliver results.

ICASL: Train and build capacity


Revival of livehoods and economy

The affected parties should be assisted to get back to

their normal livelihood and normaleconomic activities as soon as possible

ICASL: Advice, Management Skills, Policy Formulation


Trade and enterprise resurgence This needs special innovative

measures. e.g. the complete write off of outstanding loans of those affected - just like the country had a part of it's own debt written off. Bank exposures could perhaps be covered by a Government grant, using a part of the benefit of the

country debt moratorium.

ICASL: Advice, Management Skills, Policy Formulation


Engaging local communities, foreign donors and NGO's effectively

Co - ordination is vital. e.g. Having a consolidated web - site with sufficient

publicity

ICASL: Co-ordinating, Motivating,Providing credibility


Establishing credible complaint and grievance redressal channels

Review and Audit Mechanisms also have to be established

ICASL: Reviewing, Auditing,Representing, Leading

Creating Enabling Institutional Mechanisms is

not easy. It needs dedication, patience,

innovation, professionalism and understanding.

It is time to show the world that the ICASL has these

qualities!

rebuilding with accountability after the tsunami – challenges and opportunities for the institute...

Documents

institutional approach

inadequate slide

specified objective

institutional mechanisms

joint ventures

joint body

service delivery

delivery system