Document of
The World Bank
FOR OFFICIAL USE ONLY
Report No: 74936-CO
RESTRUCTURING PAPER
ON A
PROPOSED PROJECT RESTRUCTURING
OF
CONSOLIDATION OF NATIONAL PUBLIC MANAGEMENT INFORMATION
SYSTEMS PROJECT
LOAN
NOVEMBER 18, 2009
TO THE
REPUBLIC OF COLOMBIA
January 30, 2013
Public Sector Unit
Poverty Reduction and Economic Management Department
Latin America and the Caribbean Region
This document has a restricted distribution and may be used by recipients only in the performance of their
official duties. Its contents may not otherwise be disclosed without World Bank authorization.
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2
ABBREVIATIONS AND ACRONYMS
(Spanish in italics)
AOP Annual Operational Plan
BPIN Banco de Proyectos de Inversión
Nacional
National Investment Projects Bank
CPS Country Partnership Strategy
COINFO Comisión Intersectorial de Politicas
de Información y Gestión para la
Administración Pública
Inter-Sectoral Committee for
Information Policy and Management
CONPES Consejo Nacional de Politica
Económica y Social
National Council for Economic and
Social Policy
CGR Contraloria General de la República Comptroller General of the Republic
DAF Dirección de Apoyo Fiscal Fiscal Support Directorate
DANE Departamento Administrativo Nacional
de Estadística
National Statistical Institute
DEE Dirección de Estudios Económicos Economic Studies Directorate
DEPP Dirección de Evaluación de Políticas
Públicas
(Directorate for Evaluation of Public
Policy
DGCPTN Dirección General de Crédito
Público y del Tesoro Nacional
Public Debt and Treasury Directorate
DGPM Dirección General de Política
Macroeconómica
General Directorate of Macro
Economic Policy
DGRF Dirección General de Regulación
Financiera
General Directorate of Financial
Regulation
DIAN Dirección Nacional de Impuestos y
Aduanas Nacionales
National Tax and Customs Directorate
DIFP Dirección de Inversiones y Finanzas
Públicas
Directorate for Investment and Public
Finance
DNP Departamento Nacional de Planeación National Planning Department
FIR Financial Interim Reports
GDP Gross Domestic Product
GOC Government of Colombia
IADB Inter-American Development Bank
ICB International Competitive Bidding
ICO Internal Control Office
ICT Information and Communications
Technology
IEC Inter-Sectoral Committee for
Evaluation and Management for
Results
IFR Interim Financial Reports
ICT Information & Communications
Technologies
3
MAFP Modernización de la Administración
Financiera Pública
Public Financial Management
Modernization
M&E Monitoring and Evaluation Monitoring and Evaluation
MHCP Ministerio de Hacienda y Crédito
Público
Ministry of Finance and Public Credit
MTEF Medium-Term Expenditure
Framework
MUISCA Modelo Único de Ingresos, Servicios
y Control Automatizado
Integrated Income, Service, and
Management Model
NDP National Development Plan
NGO Non-Government Organization
OM Operational Manual
PAU Project Administration Unit
PFM Public Financial Management
PM Public Management
PGN Presupuesto General de la Nación National Budget
SBD Standard Bidding Documents
SEPA Sistema de Ejecución de Planes de
Adquisiciones
Procurement Plan Implementation
System
SEIGI Sistema Especializado de Información y
Gestión Integral
Specialized System of Integrated
Information and Management
SGP Sistema General de Participaciones General Transfers System
SIGOB Sistema de Gestión y Seguimiento a las
Metas del Gobierno
Programming and Management by
Objectives and Results System
SIIF Sistema Integrado de Información
Financiera
Integrated Financial Management
Information System
SIIF-Nación Sistema Integrado de Información
Financiera- Nación
Integrated Financial Management
Information System
SILOG Sinergia Logística Logistic Sinergy System
SINERGIA Sistema Nacional de Evaluación de
Resultados de la Gestión Pública
National System for Evaluation of
Public Sector Performance
SOEs Statement of Expenditures
STATCAP Adaptable Lending Program for
Statistical Development
SUG Sistema Único de Gestión Unified Management System
SUIFP Sistema Unificado de Inversiones y
Finanzas Públicas
Unified Public Finances and
Investments System
TAL Technical Assistance Loan
TORS Terms of Reference
UNDP United Nations Development Program United Nations Development Program
Regional Vice President: Hasan A. Tuluy
Country Director: Gloria M. Grandolini
Sector Manager: Arturo Herrera Gutierrez
Task Team Leader: Pedro Arizti
4
COLOMBIA
CONSOLIDATION OF NATIONAL PUBLIC MANAGEMENT INFORMATION
SYSTEMS
CONTENTS
Page
A. SUMMARY ........................................................................................................................... 5
B. PROJECT STATUS .............................................................................................................. 5
C. PROPOSED CHANGES ...................................................................................................... 5
ANNEX 1: RESULTS FRAMEWORK AND MONITORING ................................................. 7
5
COLOMBIA
CONSOLIDATION OF NATIONAL PUBLIC MANAGEMENT INFORMATION
SYSTEMS
RESTRUCTING PAPER
A. SUMMARY
1. This Restructuring Paper introduces revised PDO indicators and intermediate
indicators in the Colombia - Consolidation of National Public Management Information
Systems Project, and any accompanying amendments to the Project’s legal documents.
B. PROJECT STATUS
2. The Project has progressed satisfactorily and there has been much progress
towards the achievement of the Project Development Objective (PDO), the project has
already achieved four of its seven PDO level indicators. PDO objectives remain
unchanged and achievable
3. Project components are still expected to be completed before the current closing
date of December 31, 2013. Project was extended on May 9, 2012 for one year mainly to
accommodate the delay in the implementation of Sub-Component 4.2 (Strengthening of
the Public Credit and Treasury Directorate-DGCPTN) which accounts for approximately
18% of project allocation. The US$ 25 million loan has disbursed US$ 19.2 million with
US$ 5.8 million undisbursed as of January 23, 2013.
C. PROPOSED CHANGES
4. Results/indicators. A change in Project progress indicators to both outcome and
output indicators is proposed (as detailed in Annex 1). There is a change to two (2)
outcome indicators. For PDO Level Outcome Indicator 5, it is proposed to change the
baseline and thus yearly targets for measuring tax administration efficiency. The baseline
value was changed from the estimated (September 2009 value) to the real end of year
2009 value, while preserving the target for percentage of increase in efficiency. The
second change is to drop the PDO Level Outcome Indicator 6 proposing the
establishment and staffing of the Center for Fiscal and Financial Studies and replacing it
with a new indicator measuring the number of comprehensive studies in different sectors
while keeping with the objective of increasing the capacity of the responsible unit for
carrying out macroeconomic and fiscal forecasting.
5. The PDO Level Outcome Indicator 6 is also reflected as sub-component in Part
D: 3(e) of the project description of the legal agreement. The current description of the
sub-component is to be changed from “Provision of technical assistance to support
MHCP with the development, establishment and operation of the Center for Fiscal and
6
Financial Studies” to “Provision of technical assistance to strengthen the Technical Vice-
Ministry, especially the General Directorate of Macro Economic Policy, to conduct sound
policy making, through the carrying out of high impact macro-economic and fiscal
technical studies”. This change does not modify implementation arrangements or the
budget allocated to the components of the project.
6. Secondly, there are some intermediate result indicators that are being eliminated or
replaced by others that better capture the results mostly due either to a change of strategy
during implementation or because the activities related to them are no longer financed
under the project. Specifically, changes are proposed for Sub-component 3.2,
Intermediate Results Indicator 5, for Sub-component 4.2, the Intermediate Results
Indicators 5, 6, 7, 8; and for Sub-component 4.5 the Intermediate Results Indicators 12
and 13.
ANNEX 1:
Results Framework and Monitoring
COLOMBIA: CONSOLIDATION OF NATIONAL PUBLIC MANAGEMENT INFORMATION SYSTEMS PROJECT
Project Development Objective (PDO): To improve the transparency, coverage, operation and interoperability of key national financial management information systems that will allow decision
makers to link performance measures with planning, budgeting and other managerial actions
Revised Project Development Objective: Unchanged.
PDO Level Results
Indicators* Co
re
D=Dropped
C=Continue
N= New
R=Revised
Unit of
Measure Baseline
Cumulative Target Values**
Frequency Data Source/
Methodology
Responsibility for
Data Collection YR 1
YR 2
YR 3 YR4
Indicator One: Information
on budget execution - i.e.,
revenues and expenditures –
that is available daily
increases from 85% to 100%
of the total amount of the
National Budget
(Presupuesto General de la
Nación – PGN).
C % Information on
Budget execution
- i.e., revenues
and expenditures-
is available daily
for 85% of the
total amount of
the National
Budget
(Presupuesto
General de la
Nación – PGN)
85%
reconciliation
of
expenditures
and revenues
in real-time
with SIIF-
Nación
100%
reconciliat
ion of
expenditur
es and
revenues
in real-
time with
SIIF-
Nación
100%
reconciliat
ion of
expenditur
es and
revenues
in real-
time with
SIIF -
Nación
Annual Annual reports,
mid-term
review, surveys,
statistical studies,
and
'Transparencia
Financiera'
website
MHCP
Indicator Two: Time lag to
produce aggregate financial
data for the central
government, including
decentralized entities,
reduced from up to 35 days
to 1 day.
C Days 1 day for central
administration,
incl. centralized
entities, and 35
days for
decentralized
entities
1 day for
central
administration
, incl.
centralized
entities, and
35 days for
decentralized
entities
1 day for
both
centralize
d and
decentrali
zed
entities
within the
central
governme
nt
1 day for
both
centralize
d and
decentrali
zed
entities
within the
central
governme
nt
Annual Annual reports,
mid-term review,
surveys,
statistical studies,
and
'Transparencia
Financiera'
website
MHCP
8
Indicator Three: 100% of
consolidated budget
information (at the level of
individual entities) is
published on-line on a
monthly basis within the first
week of the following
month.
C % Limited
availability of
public financial
administration
-- -- 100% of
Consolida
ted budget
informatio
n (at the
level of
individual
entities) is
published
online on
a monthly
basis
within the
first week
of the
following
month
Annual Annual reports,
mid-term review,
surveys,
statistical studies,
and
'Transparencia
Financiera'
website
MHCP, DNP,
DIAN
Indicator Four: Average
time to clear customs
decreases from 48 hours to
less than 8 hours.
C Hours Average time
(i.e., hours)
required to obtain
customs
clearance is 48
hours (2009)
24 hours Between 8
and
24 hours
8 hours or
less
Annual Annual reports,
mid-term review
DIAN
Indicator Five (revised):
Tax administration efficiency
increases, as reflected by an
increase in the ratio total tax
collection /DIAN’s executed
budget from 103.2 to103. 7
R Ratio
of
total
tax
collect
ion/DI
AN’s
execut
ed
budget
Total tax
collection /
DIAN’s Executed
budget ($103.2 as
of Dec. 2009)
103.3 103.5 103.7 Annual Annual reports,
mid-term review
DIAN
Indicator Six (dropped):
The newly created Center for
Fiscal and Financial Studies
has been staffed and assigned
budgetary resources.
D Text Limited technical
and institutional
capacity for
macro-
programming
-- The
Center for
Fiscal and
Financial
Studies
has been
created
The
Center for
Fiscal and
Financial
Studies
has been
staffed
and
Annual Annual Reports MHCP
9
assigned
budgetary
resources
Indicator Six (new):
Number of studies completed
to strengthen fiscal and
macroeconomic planning.
N Numb
er of
studies
The Technical
viceminister -
(Macroeconomic
policy general
direction - DGPM
has
limited technical
and institutional
capacity
to conduct
macroeconomic
and fiscal studies.
-- 4 4 1 Annual Annual Reports MHCP
Indicator Seven: SIIF and
SUIFP information on the
allocation and execution of
the budget items is fully
consistent
C Text Lack of
consistent
information
between the
investment
information
system (SUIFP)
and the budget
execution system
(SIIF)
Informatio
n from
SUIFP
and SIIF
fully
consistent.
Annual Annual Reports MHCP
INTERMEDIATE RESULTS
Intermediate Result (Component One): Strengthening of Public Management Information Systems within MHCP
Revised Intermediate Result (Component One): Unchanged.
Sub-component 1.1: Integrated Financial Management System - SIIF Nación
Intermediate Result indicator
One: SIIF-Nación implemented
throughout the central
administration (i.e., 63
administrative units [AU]
within the central
C % of
agencies
SIIF I
implemente
d in 63
administrati
ve units
(AU)
SIIF-
Nación
implement
ed in
100%
executing
SIIF-
Nación
implemente
d in 100%
of
executing
SIIF-
Nación
implement
ed in
100% of
executing
Bi-annual Annual reports,
mid-term
review,
surveys,
statistical
studies, and
MHCP
10
administration and 100 AU in
decentralized entities).
within
the central
administrati
on; several
incongruent
systems
used for
financial
administrati
on by
decentraliz
ed entities
agencies
of the
central
governme
nt and
30% of
public
agencies
(estableci
mientos
públicos)
agencies of
the central
government
and 60% of
public
agencies
(establecim
ientos
públicos)
agencies
of the
central
governme
nt and
100% of
public
agencies
(estableci
mientos
públicos)
'Transparencia
Financiera'
website
Sub-component 1.2: MHCP's Integrated Management System (SUG)
Intermediate Result indicator
Two: Gap between current
competences has been
gradually reduced.
C Text Human
resources
Manageme
nt within
the MHCP
is not
framed
within the
institution's
overall
strategy
Gap
between
current
competen
ces and
new ones
is reduced
progressiv
ely on a
yearly
basis
Gap
between
current
competence
s and new
ones is
reduced
progressive
ly on a year
basis
Gap
between
current
competen
ces and
new ones
is reduced
progressiv
ely on a
year basis
Annual Annual reports,
mid-term
review
MHCP
Intermediate Result indicator
Three: Monitoring and
Evaluation system in place.
C Text No
mechanism
in place to
ensure
quality and
efficiency
of MHCP's
manageme
nt practices
30% 50% 100% Annual Annual reports,
mid-term review
MHCP
Intermediate Result indicator
Four: Certification of quality
has been obtained for SUG
(Unified Management System).
C Text No
mechanism
in place to
ensure
quality and
efficiency
of MHCP's
30% 50% Certificati
on of
quality
has been
obtained
for SUG
Annual Annual reports,
mid-term review
MHCP
11
manageme
nt practices
Intermediate Result (Component Two): Strengthening of Public Management Information Systems within DNP
Revised Intermediate Result (Component Two): Unchanged.
Sub-component 2.1: Further development and consolidation of SUIFP
Intermediate Result indicator
One: The ratio between
programmed budgetary
resources for investment
projects and requested
budgetary resources for
investment projects has
increased from 81.6% to 92%.
C % 81.60% -- 85% 92% Annual Annual reports,
mid-term
review
DNP
Intermediate Result indicator
Two: The ratio between the
number of investment projects
programmed and the number of
investment projects registered
has increased from 86.8% to
90%.
C % 86.80% -- 88% 90% Annual Annual reports,
mid-term review
DNP
Intermediate Result (Component Three): Expansion of DIAN’s Integrated Tax and Customs Administration Model
Revised Intermediate Result (Component Three): Unchanged.
Sub-component 3.1: Further development and consolidation of MUISCA
Intermediate Result indicator
One: The number of high-
impact DIAN procedures that
have been modernized increase
from 20 to 40 (100%).
C Number
of high-
impact
DIAN
procedur
es that
have
been
20 (2009) 26 30 40 Semiannual
Annual reports,
mid-term
review, surveys,
statistical
studies
PIU and DIAN
experts
12
moderniz
ed
Intermediate Result indicator
Two: Number of pending
obligations (compromisos)
normalized has increased from
0 to 540,000.
C Number
of
pending
obligatio
ns
(compro
misos)
normaliz
ed
0 (2009) 57,542 237, 255 546,227 Semiannual Reports DIAN Experts
Intermediate Result indicator
Three: The average number of
physical documents required
for customs clearance has been
reduced from 12 to 5.
C Average
number
of
physical
documen
ts
required
for
customs
clearance
12 9 6 5 Semiannual Reports DIAN Experts
Sub-component 3.2: Further Modernization of DIAN’s Processes and Human Resources
Intermediate Result indicator
Four: The number of
procedures that are subject to
quality audits by DIAN's
internal quality control
procedures has increased from
67 to 199.
C Number
of
procedur
es that
are
subject
to
quality
audits by
DIAN's
internal
quality
control
procedur
es
67 (2009) 100 150 199 Semiannual Reports DIAN Experts
Intermediate Result indicator
Five (dropped): Staff
Development Plan has been
D % 0% 30% 70% 100%
13
fully implemented.
Intermediate Result indicator
Five (new): Progress on
development of virtual learning
program for improving
technical capacity of DIAN
staff
N % 21.54%
(December
2010)
-- 70% 100% Semiannual Reports DIAN Experts
Intermediate Result indicator
Six: Improve DIAN’s National
Transparency Index from 81.25
(2007-2008) to 89.51 by project
closing.
C National
Transpar
ency
Index
rating
81.25
(2007-
2008)
84.0 86.75 89.51 Annual Survey
Transparency
Colombia
Corporation
DIAN
Intermediate Result indicator
Seven: Number of Systems
Services (Servicios
Informáticos Electrónicos),
transferred to DIAN’s
technology area increases from
12 to 40.
C Number
of
Systems
Services
(Servicio
s
Informáti
cos
Electróni
cos),
transferr
ed to
DIAN’s
technolo
gy area
12 (2009) 20 26 40 Annual Reports DIAN
Intermediate Result (Component Four): Improving the Interoperability of Public Management Information Systems
Revised Intermediate Result (Component Four): Unchanged.
Sub-component 4.1: Inter-operability of Public Management Information Systems
Intermediate Result indicator
One: Carry out pilots allowing
the disaggregation of
expenditure information.
C Number
of pilots
Limited
interoperab
ility of PM
systems
1 pilot 1 pilot 1 pilot Annual Annual reports,
mid-term
review
MHCP, DNP
Intermediate Result indicator
Two: Carry out pilots
integrating data generated by
the different government
C Number
of pilots
Limited
interoperab
ility of PM
systems
1 pilot 1 pilot 1 pilot Annual Annual reports,
mid-term
review
MHCP
14
systems.
Intermediate Result indicator
Three: Full interoperability of
–Nación with SECOP and
Public Debt.
C % Limited
interoperab
ility of PM
systems
100% -- -- Annual Annual reports,
mid-term
review
MHCP
Intermediate Result indicator
Four: Full interoperability of
SIIF Nación with the following
systems: PAGOS (Banco
República), SILOG (Defensa)
and SOBRETASA (MHCP).
C % Limited
interoperab
ility of PM
systems
-- -- 100% Annual Annual reports,
mid-term
review
MHCP
Sub-component 4.2: Strengthening of the Public Credit and Treasury Directorate
Intermediate Result indicator
Five (dropped): The
DGCPTN's integrated
management system, SEIGI, is
fully operational. No other
information system is in
operation within the DGCPTN.
D % n/a 0% 0% 100% Annual Annual reports,
mid-term
review
MHCP, DNP
Intermediate Result indicator
Five (new): The DGCPTN's
integrated management system,
SEIGI, is fully operational. No
other treasury and debt
management system is in
operation within the DGCPTN
(the current debt system is
maintained temporarily to have
a record of historical data).
N % n/a 0% 0% 0% 100% Annual Annual reports,
mid-term review
MHCP, DNP
Intermediate Result indicator
Six (dropped): The number of
DGCPTN staff that utilizes the
new information system has
increased from 0 to 120.
D The
number
of
DGCPT
N staff
that
utilizes
the new
informati
on
n/a 0 20 120 Annual Annual reports,
mid-term review
MHCP
15
system
Intermediate Result indicator
Six (new): The percentage of
DGCPTN staff that is required
to use the new information
system, and effectively does so,
has increased from 0% to
100%.
N % n/a 0% 0% 5% 100% Annual Annual reports,
mid-term
review
MHCP
Intermediate Result indicator
Seven (revised): The number of
methodologies and processes
designed for front, middle and
back office operations has
increased from 2 to 10.
R Number
of
methodol
ogies
and
processe
s
designed
for front,
middle
and back
office
operation
s
n/a 2 4 6 10 Annual Annual reports,
mid-term review
MHCP
Intermediate Result indicator
Eight (dropped): The number
of staff persons linked to the
DGCPTN's Trading Room has
increased from 0 to 140.
D Number
of staff
persons
linked to
the
DGCPT
N's
Trading
Room
n/a 9 12 140 Annual Annual reports,
mid-term review
MHCP
Intermediate Result indicator
Eight (new): The number of
instruments that the DGCPTN
is able to register in the system
has increased from 15 to 25.
N Number
of
instrume
nts that
the
DGCPT
N is able
to
register
15 15 15 15 25 Annual Annual reports,
mid-term review
MHCP
16
in the
system
Sub-component 4.3: Development of Macro-Programming Tools and Strategic Analysis
Intermediate Result indicator
Nine: Studies have been
conducted on the economic and
social impact of global
warming.
C Text The DEE
has limited
capacity
to conduct
in-depth
strategic
studies
Studies
completed
Studies
completed
Studies
completed
Annual Annual reports,
mid-term review
DNP
Intermediate Result indicator
Ten: Studies have been
conducted on the economic and
social impact of alternative
social security reform
alternatives.
C Text The DEE
has limited
capacity
to conduct
in-depth
strategic
studies
Studies
completed
Studies
completed
Studies
completed
Annual Annual reports,
mid-term review
DNP
Sub-component 4.4: Strengthening of Public Expenditure Oversight at the Sub-national level
Intermediate Result indicator
Eleven: Plan for the
implementation of Decree 28 is
prepared.
C Text n/a Plan is
prepared.
-- -- Annual Annual reports,
mid-term review
MHCP
Sub-component 4.5: Strengthening Public Expenditure Evaluation Capacity
Intermediate Result indicator
Twelve (dropped): A
methodology for the
selection of public expenditure
projects for evaluation
purposes is being implemented
D n/a -- Methodolo
gy is
approved.
Methodol
ogy is
applied
for the
selection
of
programs
and
projects to
be
evaluated.
Annual Annual reports,
mid-term review
MHCP
Intermediate Result indicator
Twelve (new): Decrees and
other legal norms to promote
efficiency and effectiveness
have been drafted.
N The legal
framework
requires
inefficient
procedures;
-- -- Document
s with
proposed
adjustmen
ts to the
. Annual Annual reports
MHCP
17
oversight
of budget
execution
is oriented
towards
compliance
rather than
effectivene
ss and
efficiency
legal
norms that
regulate
the budget
process
have been
drafted.
Intermediate Result indicator
Thirteen (new): Tools for
managerial decision-making,
budget monitoring and
evaluation are available.
N Text Tools and
information
systems
oriented
towards
process
administrati
on and not
for
managerial
decision
making.
Insufficient
information
for
managerial
decision
making
-- -- Digital
Dashboar
d
designed
and
published.
Budget
execution
information
is on-line
and
consolidate
d as a tool
of
information
and
communica
tion, with
digital
dashboards
for decision
making.
Annual Annual reports
MHCP
*Please indicate whether the indicator is a Core Sector Indicator (see further http://coreindicators)
**Target values should be entered for the years data will be available, not necessarily annually