Guidelines on Application of Funding

Guidelines on Application of Funding for Community, Family & Personal Assistance

Section I:            Background

All constituencies in Solomon Islands are allocated equal amounts (regardless of geographical or population size) of financial resources each year by the Solomon Islands Government (SIG) and the Republic of China –Taiwan (ROC). Previously, the management and application of all these funds were left entirely to the discretion of the Member of Parliament (MP).  In recent years, some progress towards better governance, accountability and more transparency have been achieved in the management of Constituency Development Funds. Further progress is expected when a bill will be introduced in Parliament which will ensure the management and control of these Funds is at an arms-length from the MP.

An important policy objective of the new Constituency Development Plan is that resources should be applied to address community-wide and real capital development purposes instead of using them for day-to-day recurrent expenditures. History has shown that using these funds for recurrent-type of expenditures has not produced the desired development impact: if anything, it has unfortunately forged the “beggar-thy-neighbour” society. It is therefore critical that drastic measures be now taken to change the past practice and attitude.

These Guidelines have been drafted with that mind. We have to make a choice between what should be recurrent and capital expenditures. In 2013, the policy emphasis is towards capital and human resources development needs.

Section II: Sources & Budget Allocations

Direct Grant funding for constituency development comes from the Solomon Islands Government (SIG) and the Republic of China – Taiwan (ROC). In 2013, both governments will be allocating financial resources to constituencies through NINE grant funds.  All these funds are to be administered by the Ministry for Rural Development (MRD). Of these, SIX are SIG-funded (totalling $2.7 Million), and the other THREE are ROC-funded totalling $1.0 Million. These are listed below:

1.     SIG-funded Funds ($2.7 Million)

a)    SIG Rural Livelihood Fund ($1.5 Million). This Fund fully SIG funded. It caters for development projects that advance the livelihood of rural communities and families. Under the 2013 SMC Budget, allocations have been made for completion of the Solar Lighting Project ($400,000); the Small Mala Shipping contribution ($100,000). The majority of this funding goes towards a new initiative, the Rural Housing Scheme ($1.0 million

b)    SIG Rural Water supply & Sanitation Fund ($200,000). This is an SIG funded fund. In the 2013 Budget this is allocated to assist communities in the construction or maintenance of their rural Water Supply systems ($100,000) and Sanitation Programs ($100,000). 

c)     SIG Constituency Fisheries Enterprises ($200,000). This fund used to be administered by Fisheries. It is to cater for income generating projects in the fishing sector.

d)    SIG Economic Growth Centres – Afio EGC Development ($380,000). An SIG-sourced funding, this is a new funding in the 2013 budget. This fund is committed to land mobilisation, establishment of the Afio EGC Project office and other Afio EGC-related activities.

e)    SIG Support to Constituency Development – SMC Administration ($100,000). A new SIG fund, this will cater for the administration and secretarial services of the SMC Office.

f)     SIG Constituency Rural Health Centre ($400,000). A new SIG Fund in 2013. This is a subvention to the Afio Area Health Centre to assist with nursing care in rural clinics in Small Malaita as well as rehabilitation to capital works at the Afio Area Health Centre.

2.     ROC-funded Funds ($2.0 Million)

a)    ROC Millennium Development Fund ($400,000). This fund is aimed to advance health & medical, education and training needs in the rural communities. In terms of the SM Development Plan, under the 2013 Budget, four areas will be targeted: School fees ($200,000); Youth Volunteers scheme ($100,000); assistance in capital projects in health aid posts ($40,000); and assistance to school capital projects ($60,000).

b)    ROC Micro Projects Fund ($200,000). This ROC-funded fund is earmarked for income-generating projects in the rural communities. Under the 2013 SM Development Plan, priority will be given to the agriculture sector.

c)     ROC Rural Community Support Fund ($400,000). This ROC-funded fund is for community development projects initiated by rural communities and selected by the MP. For 2013, the Budget will cater for administration, sports and other community projects.

3.     SIG Ministerial Grants ($1.08 Million)

Apart from the direct grant funds described above, under the 2013 National Budget, the SIG has allocated further funding - through various line ministries – towards Constituency-based activities. These funds will be administered by the ministries concerned. These are listed below by their respective ministries:

a)    Agriculture – grant for coconut rehabilitation ($300,000), cocoa rehabilitation ($300,000) & cattle ($200,000).

b)    Education & Training – grant funding in respect of Constituency Scholarship Award ($200,000).

c)     Culture & Tourism – funding towards eco-tourism and other rural-based tourism projects ($400,000)

d)    Forestry – funding towards Downstream Processing ($240,000) and Out-growers’ Subsidy ($340,000)

e)    Home Affairs – Church Assistance ($200,000) – to cater for assistance towards local churches capital projects.

f)     Mines & Energy – this grant is earmarked towards Rural Renewable Electrification ($200,000). This allocation is for the completion of the Rokera PSS power project and to assist with CE Fox Community HS.   

g)    Women, Youth and Family Affairs ($200,000) – fund for Women, Youth and Children programs in the constituency. Application will depend on the need of community and endorsement by the Constituency Office. 

Section III: Guidelines for the use of SIG-sourced Grant Funds ($2.7 Million)

The following Guidelines have been established to facilitate the use and application of the various funds aforementioned. The use of funds – both for community and households – will be initiated by a request. All requests must comply with their individual guidelines. As a general rule, requests with evidence to prove the person/household/community are already making own efforts, will be considered favourably. The individual Guidelines are described in this section.

In terms of the 2013 Budget, the Solomon Islands Government (SIG) is providing for SIX (6) funds for constituency activities.

1.     SIG Rural Livelihood Fund ($1.5 Million)

Under the 2013 Budget, provision was made for THREE Allocations: i) the Rural Housing Scheme ($1.0 Million), a new initiative for the SMC; ii) Solar Lighting ($400,000) for completion of this project; and iii) SM Shipping contribution ($100,000) as token contribution towards the purchase of a new boat. These two allocations will be applied directly for the stated purposes at the discretion of the MP.  Guidelines to the new Rural Housing Scheme are described below:

a)    Rural Housing Scheme ($1.0 Million)

This Scheme is introduced in 2013 for the first time. Eligibility and priority will be given to unemployed families and households in our rural villages. Access is by filling (all parts to be filled) the Rural Livelihoods Fund application form. The Scheme will be applied on the principle of “shared-responsibility”: both the applicant and the SMC Office will share the cost of building the house. It is a partnership program where applications will be considered on the basis of “sweat equity” and the genuine situation of the applicant’s need for accommodation relative to the rest of the community. As the SMC Office will rely very much on them, the Zone committee and community leaders must use best judgement in the matter of selecting priority families and households.  It is important that the applicant must contribute towards the building of his/her house.  The Applicant’s contribution includes timber materials and labour. The Scheme will provide hardware materials: nails, roofing iron and ridge capping.  

The house is of a standard house plan of not more than 3-bedrooms – the building plans are provided with the materials listing of timber and hardware materials. The house is of basic structure from flooring, walls and roofing, including iron roofing. Construction and supply of materials will be done in three stages: a) timber materials on site; b) construction of structure: floor to roofing; and c) roof covering & finishing. Supply of hardware materials will be provided upon written verification by the Zone Committee Chairman of the completion of each stage. Window materials, house furnishing, plumbing etc will be at the owner’s expense.       

This program is implemented as a pilot this year. There will be no special cases. However, any changes to the Scheme may be accepted only with the approval of the Constituency Office. 

2.     SIG Rural Water supply & Sanitation ($200,000)

This is to assist communities in the rehabilitation and construction of new water supply and sanitation programs.

a)    Water supply ($100,000)

This is to assist rural communities either in the construction of new or maintenance of their water supply systems.  Access is by way of filling out an application form for Rural Livelihoods Fund.  All parts of the application form must be completed before submission to the SMC Office.

b)    Sanitation ($100,000)

This funding is to assist rural community sanitation programs. Access is through filling out the Rural Livelihoods Fund application form. All parts of the form must be completed before submission to the SMC Office.

3.     SIG Constituency Fisheries Enterprises ($200,000). This fund used to be administered by the Ministry of Fisheries. It is to cater for income generating projects in the fishing sector. Access is through filling out the Micro Projects application form. All parts of the form must be completed before submission to the SMC Office.

4.     SIG Economic Growth Centre – Afio EGC Development ($380,000). An SIG-sourced funding, this is a new funding in the 2013 national budget. Under the SMC 2013 Budget, this fund is committed to various activities related to the development of Afio EGC-related, including land mobilisation, land acquisition, establishment of the Project office, appointment of consultant engineers and other Afio EGC-related activities. Implementation of this program will be in conjunction with the MRD and the SMC Office.

5.     SIG Support to Constituency Development ($100,000). Also a new SIG fund, under the SMC Budget, this will cater for the administration and secretarial services provided by the SMC Office.

6.     SIG Constituency Rural Health Centre ($400,000). Another new SIG Fund in 2013. This is a subvention to the Afio Area Health Centre to assist with nursing care in rural clinics in Small Malaita, including the rehabilitation to capital works at the Afio Area Health Centre. Implementation of this program will be jointly administered by the MRD and the SMC Office.

Section IV – Guidelines for the Use of ROC Grant Funds ($1.0 Million)

In 2013 ROC will be providing for THREE (3) funds towards constituency activities.

1.     ROC Millennium Development Fund ($400,000). This fund is aimed to advance health & medical, education and training needs in the rural communities. In terms of the SM Development Plan, under the 2013 Budget, FOUR areas will be targeted. These are described below:

a)    School Fees Assistance ($200,000). The allocation is to complement funding which is administered by the Ministry of Education. To qualify, the following conditions must be satisfied:

(i)   Priority: Children of rural-based unemployed parents/guardians;

(ii) Institutions: Local and in-country training institutions;

(iii)        Bracket: Secondary: F4-F7 only; Post-secondary: RTC, SICHE, USP & UPNG local campuses;

(iv) Maximum number: Up to 2 students per household/family;

(v)   Maximum amount: Up to half of the year’s fees  for College and above

(vi) Requirements: An authentic offer of place/proforma invoice from the school; names of parents, village & Zone; endorsement by ZC or community leader.

b)    Youth Volunteers scheme ($100,000). This allocation will be administered directly by the SMC Office to meet expenses in running the Volunteer Scheme. In 2013, activities are expected to increase with the commissioning of nearly 80 volunteers last year in several communities.

c)     Health Aid Posts ($40,000). This is to assist communities in health aid posts capital projects – either with new projects or renovations work. Access is through filling out the MDF application form. All parts of the form must be completed before submission to the SMC Office. Disbursement will depend on availability of funds.

d)    School capital projects ($60,000). This is to assist communities in their schools capital projects. Access to this fund is by filling in the MDF application form. All parts of the form must be completed before submission to the SMC Office. Disbursement will depend on availability of funds.

2.     ROC Micro Projects ($200,000)

In the 2013 Budget, priority is given to the agriculture sector, especially to existing farmers as an incentive to those who have already invested their own capital and have demonstrated a personal commitment into that investment. Provincial Agriculture staff will facilitate the statistics and profiling of projects to assist in deciding on applications. The SM CO will also conduct its own spot visits to project sites/locations.  

Access to this fund is by filling in the ROC Micro Projects application form. All parts of the form must be completed. Disbursement will depend on availability of funds.

3.     ROC Rural Community Support Development Fund ($400,000)

This fund caters for various needs initiated by rural communities. In the 2013 Budget the following allocations have been provided:

a)    SM Constituency Office ($150,000). This is to cater for the running cost of the Office

b)    MP’s Discretionary Fund ($80,000). To allow some flexibility for the MP to select from community initiatives for community-based projects. Requests must be in writing and must show proof of own effort in self-help activities. Requests must be endorsed by Zone Committee Chairman concerned.

c)     Sports & Recreation ($80,000).  In 2013, the priority is on hosting of the SM Mini Games. Other sporting activities in the Constituency may be considered. Requests for assistance must be in writing and must show proof of funds raised, other planned activities and programs pertaining to the tournament. Each request must be endorsed by Zone Committee Chairman concerned.

d)    Constituency Visits & Consultations ($50,000). To cater for MP’s constituency tours and meetings with community leaders.

e)    Zone & Development Committees ($40,000). This provision is for the operations of these two committees. Implementation is done directly by the Office in consultation with the Chairmen.

Section V – Guidelines for the Use of SIG Ministerial Grants

In 2013 there are SEVEN (7) different grant funds that are derived from line ministries for constituency development activities. These are described below:

1.     Ministry of Agriculture: this funding is towards coconut rehabilitation ($300,000); cocoa rehabilitation ($300,000) and cattle ($200,000). Access is through filling out the Micro Projects application form. All parts of the form must be completed. SMC Office will submit endorsed project applications to the Ministry for their approval and payment.  

2.     Ministry of Education & Training: grant funding ($200,000) to assist with human resources training. Access is the same as applied under section III (B) 1 (i).

3.     Ministry of Culture & Tourism: grant funding for rural-based tourism projects ($400,000). Access is through filling out the Micro Projects application form. All parts of the form must be completed.  SMC Office will submit endorsed project applications to the Ministry concerned for their approval and payment.     

4.     Ministry of Forestry: funding towards Downstream Processing ($240,000) and Out-growers’ Subsidy ($340,000). Access to Downstream Processing is through filling out the Micro Projects application form, while the Out-growers’ Subsidy is administered directly by the Ministry. SMC Office will submit endorsed project applications to the Ministry concerned for their approval and payment.     

5.     Ministry of Home Affairs: grant funding for Church Assistance ($200,000) towards local church projects & missions. Consideration will be given to self-help projects/activities and proof of effort.  Requests must be made in writing to the SMC Office and must be vetted by senior pastor or senior parish priest of the area concerned. Requests must have the endorsement of the respective Zone Committee Chairman. Projects are then submitted to the Ministry concerned for their approval and payment.  

6.     Ministry of Mines & Energy: grant funding for Rural Renewable Electrification ($200,000). Under the 2013 Budget, this allocation has been earmarked for completion of the Rokera PSS power project and assists with CE Fox CHS. To be administered with the Ministry.   

7.     Ministry of Women, Youth and Family Affairs: grant funding ($200,000) to assist with Women, Youth and Children development programs. Requests must be made in writing to the SMC Office and must have the endorsement of the respective Zone Committee Chairman. Endorsed projects are submitted to the Ministry concerned for their approval and payment.