August 9, Re4 Lebanese R'epublic - Cultural Heritage and Urban Development Project (LE- 7166) 4mendtnlent of the Project Agreement

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1 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized OFFMCtA The World Bank DOCUM6 TS. (202) INTERNATIONAL IVNK FOR RECONSIRUCTION AND E EVE OPM :NT Washington, DC Cable Address: INTBAFRAD INTERNATIONAL )f VELOPMENT ASSOCIATION U.S.A. Cable Address: INDEVAS H.E. Nabil A. EI-Jisr Pr,sident of the Council for Developm!nt and Reconstruction Ccuncil for Development and Reconstr uction Beirut, Lebanon Fa No: /3 1ear Excellency: ' August 9, 2012 Re4 Lebanese R'epublic - Cultural Heritage and Urban Development Project (LE- 7166) 4mendtnlent of the Project Agreement We refer to the.bove-rei.erenced Project Agreement (Agreement) between the International Bank for Recon ;tru.tior and Development (Bank) and the Council for Development and Reconstruction cated July 24, 2C 03 and to the negotiations held on February 6, The Bank proposes to amend the Agr,-ement as ftocurement 1. Schedule 1 (Proiurer ient) to the Agreement shall be replaced in its entirety and replaced to rmad is se: forth in Annex I to this amendment letter. Impjementai:iori Prcgram 1. Paragraph I 'b) af S hedule 2 to the Agreement shall be amended to read as "(b) CDR shall niairtain overall responsibility for managing and implementing the Project, inch ding responsibility for the procurement and disbursement processes under the Proje-ct, the maintenance of Project accounts, the award and supe-vision of zontiacts and the employment of consultants, and reporting arrar gement,. To th s end, CDR shall maintain the Project Management Unit throughout the life of the Project, in a form and with functions, staffing, resources, tei ms of rc ference and qualifications satisfactory to the Bank." 2. Paragraph 1 c) )f Sc hedule 2 to the Agreement shall be amended to read as "(c) Without limi ation to the generality of the foregoing, CDR shall maintain an environmintal cor sultant, on the basis of terms of reference satisfactory to the Bank, to assist CDF in the monitoring of the carrying out of environmental assessments imd,r PE rts A and B of the Project." 3. Paragraph 1,e) Df S( hedule 2 to the Agreement shall be deleted in its entirety. RC k 2484?3 LJ WUI U2 FAX (202)

2 -2-4. Paragraph 3 of ;che Jule 2 to the Agreement shall be amended to read as " 3. Reseitlement Policy Framework and Resettlements Action Plans For purposes o-' Par A of the Project, the CDR shall carry out the resettlement and rehabili ation of the Displaced Persons in accordance with the provisions set fort- in the Resettle nent Policy Framework and any Resettlement Action Plans in a mannei satisfaztory to the Bank. Without limiting the generality of the foregoing, te CDR shall:(i) furnish to the Bank any revisions proposed to be introduced td tle R(settlement Policy Framework and any Resettlement Action Plan in order to achiieve their objectives and, thereafter, introduce such revisions to said Fra nework and Plan as shall have been agreed with the Bank; (ii) maintain pclici -s aid procedures adequate to enable the CDR to monitor and eva uate, or an on-i oing basis, in accordance with guidelines acceptable to the Bark, the mpleme ntation of the Resettlement Policy Framework and any Resettlemert Actioi Plan and the achievement of the objectives thereof; (iii) furr.ish to the Bant, by each year until completion of the Project, quarterly reports on tl e rosult: of such activities during the period preceding the date of saic report; anc (ivi without limitation upon the provisions of Section 2.03 (b) of this Agr--en ent, furnish to the Bank, upon completion of the Project, an assessment, on the )asis of terms of reference acceptable to the Bank, on the fulfillment of tl-e provisions of the relevant Resettlement Action Plans." 5. Paragraph 4 of ;che Jule 2 to the Agreement shall be amended to read as "4. Sub- Prc iects CDR shall enstlre that (a) no Sub-Project affecting any Displaced Person is commenced md,-r th, Project unless CDR shall have first furnished to the Bank a Resettlement A,tion Plan, in form and substance satisfactory to the Bank, relat ng to the carry ng out of the Sub-Project in question, and (b) each Sub- Project is ca!rrie d out in accordance with its applicable Resettlement Action Plan " Defined ter s used in th s let er and not defined herein shall have the meanings given to them in the Agreement. All other terms of the Agreen ent shall remain the same.

3 -3- Please confirm your agreement with tie foregoing, on behalf of the Council for Development and Pteconstruction by s gning, dati ig a id returning to us the enclosed copy of this letter. Upon receipt by the Woric Bank (f a cou itersigned copy of this letter, the amendment will become c Tective as of the daie of the countersignature. Very truly yours, INTERNATIONAL I3AIK f OR RECONSTRUCTION AND DEVELOPMENT Sateh EI-Arnaout Acting Country Director Middle East Department Middle East and North Africa Region CONFIRMED AND AGREED: COUNCIL FOR DEVELOPMENT A ND RECONSTRUCTION S*OF By Authorized R epresenmatile amte: Date: -AJiS& uz o

4 -4- ANNEX SCHEDULE 1 Procurement Definitions for the purposes of this Schedule 3: 1. "Consultant Guideli.ies' means the "Guidelines: Selection and Employment of Consultants under IBRD Loa is and IDA Credits and Grants by World Bank Borrowers" published by the Ban - in Jam ary "Procurement Guide ine;" treans the "Guidelines: Procurement of Goods, Works and Non-consulting Servizes undcr IBRD Loans and IDA Credits and Grants by World Bank Borrowers" rublishe by the 3ank in January "Procurement Plan" means the Borrower's procurement plan for the Project, dated January 25, 2012 and referred to in paragraph 1.16 of the Procurement Guidelines and paragraph 1.24 of th! Consultant Guidelines, as the same shall be updated from time to time in accordance with ihe p -ovisions of said paragraphs. Procurement A. General 1. Goods, Works and No i-co isulting Services. All goods, works and non-consulting services required for the Proj ct and to be financed out of the proceeds of the Loan shall be procured in accorcance wi h the requirements set forth or referred to in Section I of the Procurement Guideliies, and with the provisions of this Section. Consultants" Services. All consultants' services required for the Project and to be financed out of the prcceedi of the Loan shall be procured in accordance with the requirements set fortl or refei red to in Sections I and IV of the Consultant Guidelines and with the provisions o 'this Se tion. 3 Definitions. The cipitalized terms used below in this Section to describe particular procurement method:, or met iods of review by the Bank of particular contracts refer to the corresponding mcthod de: cribed in Sections II and III of the Procurement Guidelines, or Sections I', III, IV anc V of the Consultant Guidelines, as the case may be. 11. Particular Methods of Proc irement of Goods, Works and Non-consultin2 Services 1 Internatdonl Competi:ive Bidding. Except as otherwise provided in paragraph 2 below, goods, work; and n n-consulting services shall be procured under contracts awarded on the basis of Inten ational Competitive Bidding. Other Methids of Procurerient of Goods, Works and Non-consulting Services. The following table sp cifes he methods of procurement, other than International

5 -5- Competitive Bidding which -nay be used for goods, works and non-consulting services. The Procurement Plaii st all s )ecify the circumstances under which such methods may be used. Procurement Method (a) National Ccimpetiti e Bidding, subject to the Bank's procurement procedures and using the Bank s standard bidding documents, acceptable and cleared by the Bank (b) Shopping (c) Direct Cont -acting C. Particular Methods of Procurement of Consultants' Services Quality- anc Cost-bised Selection. Except as otherwise provided in paragraph 2 below, consultants' services shell be procured under contracts awarded on the basis of Quality and Cost-based Selec:ior. Other Methods of Prcurement of Consultants' Services. The following table specifies the methoc s of pr)curement, other than Quality and Cost-based Selection, which may be used "or cons Liltants' services. The Procurement Plan shall specify the circumstances under vhi :h st ch methods may be used. Procurement Method (a) Selection Basec. on Ionsultants' Qualifications (b) Single-Source'3election of consulting firms (c) Selection urider a Fi,ed Budget (d) Least Cost '-eletior (e) Pro -edures ;et orth in paragraphs 5.2 and 5.3 of the Consultant Guidelines for the Selectio of Individual Consultants (f) Single source p ocedlures for the Selection of Individual Consultants 1). Review by the Bank of Procurement Decisions he Procurement Plan shall ;et "orth those contracts which shall be subject to the Bank's Prior leview. All other contracts shal be subject to Post Review by the Bank.

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