81 FR 52464 - Notice of Entering Into a Compact With the Republic of Niger
MILLENNIUM CHALLENGE CORPORATION Federal Register Volume 81, Issue 152 (August 8, 2016)
Federal Register Volume 81, Issue 152 (August 8, 2016)
| Page Range | 52464-52466 | |
| FR Document | 2016-18756 |
[Federal Register Volume 81, Number 152 (Monday, August 8, 2016)] [Notices] [Pages 52464-52466] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-18756] ======================================================================= ----------------------------------------------------------------------- MILLENNIUM CHALLENGE CORPORATION [MCC FR 16-02] Notice of Entering Into a Compact With the Republic of Niger AGENCY: Millennium Challenge Corporation. ACTION: Notice. ----------------------------------------------------------------------- SUMMARY: In accordance with Section 610(b)(2) of the Millennium Challenge Act of 2003 (22 U.S.C. 7701-7718) as amended (the Act), and the heading ``Millennium Challenge Corporation'' of the Department of State, Foreign Operations, and Related Programs Appropriations Act, 2015, the Millennium Challenge Corporation (MCC) is publishing a summary of the Millennium Challenge Compact between the United States of America, acting through the Millennium Challenge Corporation, and the Republic of Niger. Representatives of the United States Government and Niger executed the Compact documents on July 29, 2016. The complete text of the Compact has been posted at https://assets.mcc.gov/documents/niger-compact-signed.pdf. Dated: August 3, 2016. Sarah Fandell, Vice President and General Counsel, Millennium Challenge Corporation. Summary of Millennium Challenge Compact With the Republic of Niger Overview Niger, one of the poorest and least developed countries in the world, has consistently ranked last on the United Nations Human Development Index for the past 25 years. This land-locked West African country is almost twice the size of Texas, and two-thirds of the country's land mass is the Sahara Desert, making it one of the hottest and driest countries in the world. Niger has made notable improvements over the past few years, but over 40 percent of the population still lives below the global poverty line of $1.25 per day. Despite these challenges, the Nigeriens have demonstrated a strong commitment to governance reforms, economic growth, and investing in their people. The MCC Board of Directors (the ``Board'') selected Niger as eligible to develop a Millennium Challenge Compact in December 2012. Niger has consistently passed the MCC scorecard after doing so for the first time in 2012. Roughly 80 percent of Niger's population lives in rural areas and relies on agriculture for its livelihood. Moreover, over 90 percent of the population relies on a single, three-month, highly capricious rainy season to support agriculture and livestock production. Frequent droughts and floods decimate crops and productive assets, undermining the population's ability to build its resilience and economic security. In addition, sustainable natural resource management is lacking in this fragile environment, and water and pasture resources are frequently over-utilized, causing severe erosion of once productive areas. Agricultural productivity has stagnated due to a lack of access to critical productive inputs such as improved seed, fertilizer, irrigation, and technical assistance. Water resource management, community-based livestock and climate- resilient agriculture systems are critical to ensure adaptability, improve agricultural productivity, and sustain water and land resources in Niger. The Compact will seek to raise rural incomes by increasing agricultural and livestock production by boosting production through increases in areas under cultivation and improvements in yields. Through the Compact, MCC will finance critical access to water for crop and livestock productivity, market [[Page 52465]] platforms, and transport infrastructure, while also building the technical capacity necessary to realize projected benefits and to sustainably utilize and maintain the infrastructure and natural resource investments. The budget for the Compact is $437,024,000, allocated as follows: Compact Budget Summary ------------------------------------------------------------------------ Total (in Component US$) ------------------------------------------------------------------------ 1. Irrigation and Market Access Project: 1.1 Irrigation Perimeter Development................ 113,250,000 1.2 Management Services and Market Facilitation..... 9,142,000 1.3 Roads for Market Access......................... 113,422,000 1.4 Policy Reform................................... 18,750,000 --------------- Subtotal........................................ 254,564,000 2. Climate-Resilient Communities Project: 2.1 Regional Sahel Pastoralism Support.............. 45,000,000 2.2 Climate-Resilient Agriculture................... 51,500,000 --------------- Subtotal........................................ 96,500,000 3. Monitoring and Evaluation: 3.1 Monitoring and Evaluation....................... 12,000,000 --------------- Subtotal........................................ 12,000,000 4. Program Administration and Oversight: 4.1 MCA-Niger Administration, Program Management 73,960,000 Support, Fiscal Agent, Procurement Agent and Financial Audits................................... --------------- Subtotal........................................ 73,960,000 --------------- Total Program Budget........................ 437,024,000 ------------------------------------------------------------------------ Irrigation and Market Access Project ($254.6 Million) The Irrigation and Market Access Project (``Irrigation Project'') aims to increase rural incomes through improvements in agricultural productivity and sales resulting from modernized irrigated agriculture and flood management systems with sufficient trade and market access. The project will focus its interventions in the Dosso and Tahoua regions. Specifically, the Irrigation Project will support the following activities: 1. Irrigation Perimeter Development Activity. This activity is designed to rehabilitate the Konni irrigation system and develop new irrigated perimeters in the Dosso-Gaya area. The Konni rehabilitation will restore and secure reliable production capacity on approximately 6,060 acres (2,452 hectares) of an existing large-scale irrigation infrastructure. New perimeters will be developed in Ouna-Kouanza and Sia. The rehabilitation component represents improvement on 19 percent of existing irrigation infrastructure in the country. The new perimeters will increase the area under irrigation in Niger by 20 percent. 2. Management Services and Market Facilitation Activity. This activity complements the Irrigation Perimeter Development Activity by increasing the productive assets for beneficiaries of the Irrigation Perimeter Development Activity through the following: i. Establishing and implementing a framework for land allocation, based on, among other things, (i) development of local land tenure profiles, (ii) participatory development of core local land allocation standards and of a transparent process for undertaking the land allocation, and (iii) completing the land allocation and formalizing land property rights, and building capacity for local land governance to address land conflict management and integrated local land use planning; ii. Establishing and empowering single-purpose, self-governing, self-financing nonprofit irrigation water user associations (IWUAs) to undertake irrigation management functions in the project intervention areas, including preparatory studies, technical support and capacity building for the newly formed IWUAs; and iii. Strengthening the capacity of beneficiaries through new or existing savings groups and existing producer and women's and youth groups to (i) grow commodities according to market demand and pricing signals, (ii) participate in savings groups to improve business skills and save capital to operationalize their cropping calendars, (iii) increase use of appropriate fertilizers and improved seeds, (iv) monitor and adapt to changing conditions in the environment, (v) participate in producer organizations to improve their negotiation position at the farm gate and in the marketplace, (vi) invest in infrastructure to store and add value to their production, and (vii) increase sales of commodities and processed products. 3. Roads for Market Access Activity. MCC funding is intended to support improvements to physical market access through targeted road network improvements serving the Dosso-Gaya perimeters and linking irrigation beneficiaries to important consumer markets and regional trade hubs. This activity will support the rehabilitation and gravel upgrade of approximately 116 miles (187 kilometers (km)) of the RN35 road directly serving the Dosso-Gaya perimeters; rehabilitation, upgrade and paving of approximately 51 miles (83 km) of the RN7, the main north-south international trunk road linking the southern region of Niger to the rest of the country; and rehabilitation and gravel upgrade of approximately 23 miles (37 km) of the Sambera rural road that links the Ouna-Kouanza and Sia irrigation perimeters with the RN7. 4. Policy Reform Activity. This activity aims to promote several major policy reforms directly linked to the success and sustainability of the Compact through support (i) to develop and build the capacity of the Ministry of Hydraulics and Sanitation and other relevant government entities to implement a new master plan to manage national water resources, (ii) to develop and implement natural resource and community land use management plans [[Page 52466]] for the protected areas and nearby communities affected by the Irrigation Project in the Dosso Region, (iii) to reform the Ministry of Agriculture and Livestock's fertilizer distribution system to allow greater competition and private sector participation to improve availability and affordability of fertilizers, especially to small farmers, and (iv) to develop the statistical capacities of the National Institute of Statistics and development of the Government of Niger's monitoring and evaluation capacities. Climate-Resilient Communities Project ($96.5 Million) The Climate-Resilient Communities Project (``CRC Project'') aims to increase incomes for small-scale agriculture-dependent and livestock- dependent families in eligible municipalities in rural Niger by improving crop and livestock productivity, sustaining natural resources critical to long-term productivity, and increasing market sales of targeted commodities. The project will be implemented in partnership with the World Bank through existing project implementation units (``PIUs'') located in the Ministry of Agriculture and Livestock. MCC funding will not be combined with World Bank funds, though the PIUs will oversee both MCC and World Bank-funded activities. The PIUs will use jointly agreed upon operation manuals that will incorporate investment criteria, legal, fiscal, procurement, environmental, social, gender and monitoring and evaluation requirements that comply with MCC standards. To ensure adequate oversight, the accountable entity for the Compact, the Millennium Challenge Account--Niger (``MCA-Niger''), will embed staff within these PIUs. Regions of intervention for this project are Tillaberi, Dosso, Tahoua and Maradi. 1. Regional Sahel Pastoralism Support Activity (``PRAPS Activity''). The PRAPS Activity aims to improve livestock value and sales by conducting a livestock health and vaccination campaign; identifying and undertaking critical upgrades in major transhumance livestock corridors, including water points and pasture improvements; and modernizing local market infrastructure and organization. 2. Climate-Resilient Agriculture Activity (``CRA Activity''). The CRA Activity aims to support the development and implementation of municipality-level investment plans to increase the use of agricultural practices that minimize climate risks, improve the utilization rate of fertilizer and improved/drought-tolerant seeds, increase access to small-scale irrigation, promote land reclamation, protect watersheds from erosion, and establish market platforms to competitively position farmer groups in the marketplace. MCC funds will focus on climate- resilient investment needs, especially small-scale irrigation, in 16 municipalities in four regions. The activity will include a grant facility that will competitively award grants to women's and youth groups, cooperative and producers' groups, and micro-, small-, and medium-sized enterprises. The portfolio of grants managed by the grant facility must meet MCC's economic rate of return (``ERR'') hurdle rate. Similarly, the municipality-level investment plans will be developed in the first year of Compact implementation, and must also meet MCC's ERR hurdle rate in order to be funded. Economic Analysis The Compact will aim to address Niger's two major constraints to economic growth through a combination of policy reforms, infrastructure investments, access to training, finance and management services, facilitation of partnerships, and improvements to agricultural and livestock production and market platforms. These activities will enable farming, fishing and pastoral households in the intervention areas to increase their agricultural and livestock production and in turn, raise their incomes. An ERR was calculated for each of the Compact's projects. The ERR for the Irrigation Project is estimated at 17 percent. The CRC Project consists of activities to be developed in consultation with local communities and of activities funded through a competitive grant facility. This project (not including the $12.5 million matching grant facility subactivity) has an estimated ERR of 14 percent. Because the nature of specific grant proposals cannot be known until they are submitted for review, ERRs will be calculated during grant selection. On a limited basis, small-scale grants without a full ERR may be awarded if determining a full ERR is deemed to be cost prohibitive. In those cases, each proposal will still undergo a consideration of costs versus benefits to verify its viability. Economists can, for instance, determine the likelihood of a satisfactory rate of return based on looking at similar project profiles. The grant portfolio will have an ERR above MCC's hurdle rate of 10 percent. The Compact is expected to reach 489,359 households totaling more than 3.9 million beneficiaries over a twenty-year period. [FR Doc. 2016-18756 Filed 8-5-16; 8:45 am] BILLING CODE 9211-03-P
![52464 Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Notices
III. Conclusion Table V Dated: August 3, 2016.
Sarah Fandell,
As discussed herein, LSC will Number of LSC-Eligible Agricultural
implement these final estimates for Vice President and General Counsel,
Worker Dependents by State: Millennium Challenge Corporation.
Basic Field—Agricultural Worker grants Comparison of February 2016 and Final
by distributing funding among all of the Estimates. The data in this table show Summary of Millennium Challenge
existing Agricultural Worker grant the differences between the final Compact With the Republic of Niger
service areas for 2017 grants at a 50% estimates of the number of agricultural Overview
implementation level (compared with worker dependents and the estimates
the 2016 distribution) and then for 2018 Niger, one of the poorest and least
published in February 2016. developed countries in the world, has
and successive years at a 100%
implementation level. LSC will also Table VI consistently ranked last on the United
obtain updated population estimates of Nations Human Development Index for
agricultural workers every three years Number of Unauthorized and Below- the past 25 years. This land-locked West
for recalculation on the same statutory Poverty Farmworkers Eligible for LSC- African country is almost twice the size
cycle as LSC obtains updated poverty- Funded Services Pursuant to Anti- of Texas, and two-thirds of the country’s
population data from the U.S. Census Abuse Provisions of 45 CFR 1626.4 by land mass is the Sahara Desert, making
Bureau for the distribution of LSC’s State: Comparison of February 2016 and it one of the hottest and driest countries
Basic Field Programs appropriation. Final Estimates. The data in this table in the world. Niger has made notable
LSC is publishing on its Web site the show the differences between the final improvements over the past few years,
following revised tables showing the estimates and the estimates published in but over 40 percent of the population
final estimates and their effects on Basic February 2016 of the number of still lives below the global poverty line
Field-Agricultural Worker grants unauthorized and below-poverty of $1.25 per day. Despite these
(presuming for comparison constant farmworkers eligible for LSC-funded challenges, the Nigeriens have
total LSC funding for Basic Field services pursuant to anti-abuse demonstrated a strong commitment to
Program grants during the relevant grant provisions of 45 CFR 1626.4. governance reforms, economic growth,
years). See www.lsc.gov/ag-worker-data Dated: August 3, 2016
and investing in their people. The MCC
(August 2016 Notice—Final Estimates, Board of Directors (the ‘‘Board’’)
Mark Freedman,
Tables I–VI). Descriptions of these tables selected Niger as eligible to develop a
Senior Associate General Counsel. Millennium Challenge Compact in
are included below.
[FR Doc. 2016–18753 Filed 8–5–16; 8:45 am] December 2012. Niger has consistently
Table I BILLING CODE 7050–01–P passed the MCC scorecard after doing so
Final National and State Estimates of for the first time in 2012.
the LSC-Eligible Agricultural Worker Roughly 80 percent of Niger’s
Population—Summary Table: This table population lives in rural areas and relies
provides summary information about MILLENNIUM CHALLENGE on agriculture for its livelihood.
the major data sources and calculations CORPORATION Moreover, over 90 percent of the
used to derive the updated estimates. population relies on a single, three-
[MCC FR 16–02] month, highly capricious rainy season
Table II to support agriculture and livestock
LSC-Eligible Agricultural Worker Notice of Entering Into a Compact With production. Frequent droughts and
Population by State: Comparison of the Republic of Niger floods decimate crops and productive
Current (Fiscal Year 2016) Population assets, undermining the population’s
Estimates and Final Estimates. The data AGENCY: Millennium Challenge ability to build its resilience and
in this table show the differences Corporation. economic security. In addition,
between the final estimates of the sustainable natural resource
agricultural worker population and the ACTION: Notice. management is lacking in this fragile
population estimates on which Fiscal environment, and water and pasture
Year 2016 grant allocations were based. SUMMARY: In accordance with Section resources are frequently over-utilized,
610(b)(2) of the Millennium Challenge causing severe erosion of once
Table III Act of 2003 (22 U.S.C. 7701–7718) as productive areas. Agricultural
LSC-Eligible Agricultural Worker amended (the Act), and the heading productivity has stagnated due to a lack
Population by State: Comparison of ‘‘Millennium Challenge Corporation’’ of of access to critical productive inputs
February 2016 Estimates and Final the Department of State, Foreign such as improved seed, fertilizer,
Estimates. The data in this table show Operations, and Related Programs irrigation, and technical assistance.
the differences between the final Appropriations Act, 2015, the Water resource management,
estimates of the total LSC-eligible Millennium Challenge Corporation community-based livestock and climate-
agricultural worker population and the (MCC) is publishing a summary of the resilient agriculture systems are critical
estimates published in February 2016. Millennium Challenge Compact to ensure adaptability, improve
between the United States of America, agricultural productivity, and sustain
Table IV acting through the Millennium water and land resources in Niger. The
Number of LSC-Eligible Agricultural Challenge Corporation, and the Compact will seek to raise rural incomes
mstockstill on DSK3G9T082PROD with NOTICES
Workers by State: Comparison of Republic of Niger. Representatives of by increasing agricultural and livestock
February 2016 and Final Estimates. The the United States Government and Niger production by boosting production
data in this table show the differences executed the Compact documents on through increases in areas under
between the final estimates number of July 29, 2016. The complete text of the cultivation and improvements in yields.
the number LSC-eligible agricultural Compact has been posted at https:// Through the Compact, MCC will finance
workers and the estimates published in assets.mcc.gov/documents/niger- critical access to water for crop and
February 2016. compact-signed.pdf. livestock productivity, market
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![52466 Federal Register / Vol. 81, No. 152 / Monday, August 8, 2016 / Notices
for the protected areas and nearby increase access to small-scale irrigation, 3.9 million beneficiaries over a twenty-
communities affected by the Irrigation promote land reclamation, protect year period.
Project in the Dosso Region, (iii) to watersheds from erosion, and establish [FR Doc. 2016–18756 Filed 8–5–16; 8:45 am]
reform the Ministry of Agriculture and market platforms to competitively BILLING CODE 9211–03–P
Livestock’s fertilizer distribution system position farmer groups in the
to allow greater competition and private marketplace. MCC funds will focus on
sector participation to improve climate-resilient investment needs, NATIONAL CREDIT UNION
availability and affordability of especially small-scale irrigation, in 16 ADMINISTRATION
fertilizers, especially to small farmers, municipalities in four regions.
and (iv) to develop the statistical The activity will include a grant Written Reimbursement Policy
capacities of the National Institute of facility that will competitively award
Statistics and development of the grants to women’s and youth groups, AGENCY: National Credit Union
Government of Niger’s monitoring and cooperative and producers’ groups, and Administration (NCUA).
evaluation capacities. micro-, small-, and medium-sized ACTION: Request for comment.
Climate-Resilient Communities Project enterprises. The portfolio of grants
SUMMARY: The NCUA intends to submit
($96.5 Million) managed by the grant facility must meet
the following information collection to
MCC’s economic rate of return (‘‘ERR’’)
The Climate-Resilient Communities the Office of Management and Budget
hurdle rate. Similarly, the municipality-
Project (‘‘CRC Project’’) aims to increase (OMB) for review and clearance under
level investment plans will be
incomes for small-scale agriculture- the Paperwork Reduction Act of 1995
developed in the first year of Compact
dependent and livestock-dependent (Pub. L. 104–13, 44 U.S.C. chapter 35).
implementation, and must also meet
families in eligible municipalities in The purpose of this notice is to allow for
MCC’s ERR hurdle rate in order to be
rural Niger by improving crop and 60 days of public comment.
funded.
livestock productivity, sustaining Each FCU must draft a written
natural resources critical to long-term Economic Analysis reimbursement policy to ensure that the
productivity, and increasing market FCU makes payments to its director
The Compact will aim to address
sales of targeted commodities. The within the guidelines that the FCU has
Niger’s two major constraints to
project will be implemented in established in advance and to enable
economic growth through a combination
partnership with the World Bank examiners to easily verify compliance
of policy reforms, infrastructure
through existing project implementation by comparing the policy to the actual
investments, access to training, finance
units (‘‘PIUs’’) located in the Ministry of reimbursements.
and management services, facilitation of
Agriculture and Livestock. MCC funding DATES: Comments will be accepted until
partnerships, and improvements to
will not be combined with World Bank October 7, 2016.
agricultural and livestock production
funds, though the PIUs will oversee
and market platforms. These activities ADDRESSES: Interested persons are
both MCC and World Bank-funded
will enable farming, fishing and pastoral invited to submit written comments on
activities. The PIUs will use jointly
households in the intervention areas to the information collection to Troy
agreed upon operation manuals that will
incorporate investment criteria, legal, increase their agricultural and livestock Hillier, National Credit Union
fiscal, procurement, environmental, production and in turn, raise their Administration, 1775 Duke Street,
social, gender and monitoring and incomes. Alexandria, Virginia 22314–3428; Fax
evaluation requirements that comply An ERR was calculated for each of the No. 703–519–8595; or Email at
with MCC standards. To ensure Compact’s projects. The ERR for the PRAComments@NCUA.gov.
adequate oversight, the accountable Irrigation Project is estimated at 17 FOR FURTHER INFORMATION CONTACT:
entity for the Compact, the Millennium percent. The CRC Project consists of Requests for additional information
Challenge Account—Niger (‘‘MCA- activities to be developed in should be directed to the address above.
Niger’’), will embed staff within these consultation with local communities SUPPLEMENTARY INFORMATION:
PIUs. Regions of intervention for this and of activities funded through a OMB Number: 3133–0130.
project are Tillaberi, Dosso, Tahoua and competitive grant facility. This project Title: Written Reimbursement Policy.
Maradi. (not including the $12.5 million Abstract: Federal Credit Unions
1. Regional Sahel Pastoralism Support matching grant facility subactivity) has (‘‘FCU’’) may reimburse its board
Activity (‘‘PRAPS Activity’’). The PRAPS an estimated ERR of 14 percent. Because members for reasonable and proper
Activity aims to improve livestock value the nature of specific grant proposals costs incurred in conducting their
and sales by conducting a livestock cannot be known until they are official responsibilities only if the
health and vaccination campaign; submitted for review, ERRs will be reimbursement is in accordance with
identifying and undertaking critical calculated during grant selection. the written reimbursement policies and
upgrades in major transhumance On a limited basis, small-scale grants procedures established by the FCU’s
livestock corridors, including water without a full ERR may be awarded if board of directors. Access to this plan,
points and pasture improvements; and determining a full ERR is deemed to be and documentation related to its
modernizing local market infrastructure cost prohibitive. In those cases, each implementation is necessary for NCUA
and organization. proposal will still undergo a examiners to verify compliance with
2. Climate-Resilient Agriculture consideration of costs versus benefits to this requirement.
Activity (‘‘CRA Activity’’). The CRA verify its viability. Economists can, for
mstockstill on DSK3G9T082PROD with NOTICES
Type of Review: Extension of a
Activity aims to support the instance, determine the likelihood of a previously approved collection.
development and implementation of satisfactory rate of return based on Affected Public: Private sector: Not-
municipality-level investment plans to looking at similar project profiles. The for-profit institutions.
increase the use of agricultural practices grant portfolio will have an ERR above Estimated Number of Respondents:
that minimize climate risks, improve the MCC’s hurdle rate of 10 percent. 3,768.
utilization rate of fertilizer and The Compact is expected to reach Frequency of Response: 1 responses
improved/drought-tolerant seeds, 489,359 households totaling more than per year per respondent.
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Document Created: 2016-08-06 03:08:02
Document Modified: 2016-08-06 03:08:02
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| Collection | Federal Register | |
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| Section | Notices | |
| Action | Notice. | |
| FR Citation | 81 FR 52464 |
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