Subject: project savings and quarantine costs
From: Nino Kvernadze <[email-masked]>
To: Volkan Cetinkaya <[email-masked]>, Maddalena Honorati <[email-masked]>
Cc: Tamar Gabunia <[email-masked]>, Tamar Barkalaia <[email-masked]>, Djamshid Iriskulov <[email-masked]>, Natalie Godziashvili <[email-masked]>, Giorgi Tsotskolauri <[email-masked]>, Beka Jakeli <[email-masked]>
Date: Thu, 15 Oct 2020 11:29:19 +0000

Dear Volkan,

Dear Maddalena,

As promised,  PIU is sharing with you possible spending  and saving to be incurred under the component 2.  The total spending for all four eligible costs are supposed to become approximately 94 ml. USD. Thus, in this scenario the savings would be approximately 14 ml. USD (for details please find the document enclosed). However, the Ministry of Finance recently  informed us that the program cost might even decrease, meaning that the Project savings will possibly become higher (approximately 5-7 ml USD).

Since it is not clear whether any of these state programs will still become available, MoF recommended to continue the discussions on reallocation of funds, after the election, which is October 31, 2020. In addition, as you know, there is ongoing loan and grant negotiation with the KFW, which is closely linked to our project eligibility. No other details are known yet.

One more issue PIU needs consultations with you, is that just recently,  reimbursement of quarantine costs of nonmedical facilities (hotels + related transportation)  became the subject of discussion between the Ministry of Health and the Ministry of Finance. As you know, under the first component project supports quarantine related costs both at health-care and nonmedical settings financed by the Ministry. While working on the Global Budget Reimbursement Manual, we have collected information  on quarantine costs from health care facilities , which is 1 462 305 ml. GEL.  However since March, nonmedical care facilities are contracted by the LEPL Georgian National Tourism Administration at the Ministry of Economy and Sustainable Development.

Given the fact that we have the same type of expenditures, managed by two different ministries, and there is strong will from the government to reimburse  costs of quarantine at non-medical settings, under the Emergency COVID-19 Response Project , my question is whether it is  possible to consider eligible quarantine costs paid by the  LEPL Georgian National Tourism Administration under the Project. If yes, please advise whether change in POM would be enough, of shall we amend the Loan Agreement as well. In parallel I have requested the amount spent by the Tourism administration, between the period March-September.

In addition, we plan to submit pilot reimbursement letter for no-objection tomorrow only for one-offs and unemployment, since collecting evidences from SSA takes more time, because documents should arrive from regions.

Kind regards,

Nino Kvernadze

ნინო კვერნაძე

პროექტის მენეჯერი,

მსოფლიო ბანკის COVID-19-ის წინააღმდეგ სწრაფი რეაგირების

პროექტის განმახორციელებელი ჯგუფი (PIU),

საქართველოს ოკუპირებული ტერიტორიებიდან დევნილთა, შრომის, ჯანმრთელობისა და სოციალური დაცვის სამინისტრო

www.moh.gov.ge

Nino Kvernadze

Project Manager, PIU – World Bank

Emergency COVID-19 Response Project Implementation Unit

Ministry of Internally Displaced Persons from the Occupied Territories, Labour, Health and Social Affairs of Georgia

www.moh.gov.ge

Email: [email-masked]

Cell: +995 599 18 46 44