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THE ROADS DEPARTMENT OF THE MINISTRY OF REGIONAL DEVELOPMENT AND INFRASTRUCTURE IN GEORGIA
INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT
Kakheti Regional Roads Improvement Project (KRRIP) (P117152)
Preparation of Feasibility Study and Bidding Documents for Design- and-Build Contract for Rehabilitation of Bypass of Bakurtsikhe-Gurjaani Road Section under Kakheti Regional Roads Improvement ProjectKRRIP/CS/QCBS-03
FINAL REPORT: APPENDIX J Resettlement Action Plan (Final Draft Version)
March2015
The Roads Department of the Ministry of Regional Development and
Infrastructure of Georgia
Preparation of Feasibility Study and Bidding Documentation for
Design- and-Build Contract for Rehabilitation of Bypass
Bakurtsikhe-Gurjaani Road Section under Kakheti Regional Roads
Improvement Project
KRRIP/CS/QCBS-03
Resettlement Action Plan Kakheti Regional Roads Improvement Project
KRRIP / P117152
October 16, 2015
CURRENCY EQUIVALENTS
(as of 15 August 2015)
Currency Unit – Lari (GEL)
$1.00 = GEL 2. 3231
ABBREVIATIONS
ACS – Acquisition and Compensation Scheme
CSC – Construction Supervision Consultant
AH – Affected Household
AP – Affected Person
CBO – Community Based Organization
DGPS Differential Global Positioning System
DMS – Detailed Measurement Survey
RDRD – Road Development and Resettlement Division
GoG – Government of Georgia
GRCE – Grievance Redress Committee
GRCN - Grievance Redress Commission
IA – Implementing Agency
IFI - International Financial Institution
IP – Indigenous Peoples
EMA – External Monitoring Agency
km – Kilometre
LAR – Land Acquisition and Resettlement
LARC – Land Acquisition and Resettlement Commission
LARF – Land Acquisition and Resettlement Framework
RAP – Resettlement Action Plan
M&E – Monitoring and Evaluation
MFF – Multitranche Financing Facility
MOF – Ministry of Finance
MPR – Monthly Progress Report
MRDI – Ministry of Regional Development and Infrastructure
NAPR – National Agency of Public Registry
NGO – Non-Governmental Organization
OP 4.12 World Bank Involuntary Resettlement policy document
PEMI – Persons Experiencing Major Impact
PFR – Periodic Financing Request
PPR – Project Progress Report
PPTA – Project Preparatory Technical Assistance
PRRC – Property Rights Recognition Commission
R&R – Resettlement and Rehabilitation
RD – Roads Department
RDMRDI – Roads Department of the Ministry of Regional Development
and Infrastructure of Georgia
RoW – Right of Way
RU – Resettlement Unit
SES – Socioeconomic survey
ETCIC – Eurasian Transport Corridor and Investment Center
WB - World Bank
Contents
1 INTRODUCTION ..................................................................................................................................... 16
1.1 PROJECT BACKGROUND ................................................................................................................................... 16
1.2 THE IMPACTS CORRIDOR ................................................................................................................................. 18
1.3 MINIMIZING LAND ACQUISITION AND RESETTLEMENT .............................................................................. 18
1.4 RAP PREPARATION .................................................................................................................................. 19
1.5 CONDITIONS FOR PROJECT IMPLEMENTATION ........................................................................................... 20
2 CENSUS AND IMPACT ASSESSMENT .................................................................................................... 21
2.1 INTRODUCTION ........................................................................................................................................ 21
2.2 IMPACT ON LAND, OTHER ASSETS AND INCOME ............................................................................................. 21
2.2.1 Impact on Crops ................................................................................................................................. 24 2.2.2 Impact on Trees .................................................................................................................................. 24
2.2.3 Impact on Buildings/Structures ......................................................................................................... 25 2.2.3.1 Type of Affected Structures ........................................................................................................................25
2.2.4 Relocation Needs and Strategy .......................................................................................................... 25
2.2.5 Business Impacts ................................................................................................................................. 26 2.3 APS AND COMMUNITIES ........................................................................................................................... 26
2.3.1 Impact on Employment and Agricultural Tenants ........................................................................... 26 2.3.2 Impact on Common Property Resources ........................................................................................... 26
2.3.3 Severely Affected and Vulnerable Households ................................................................................. 26 2.4 GENDER AND RESETTLEMENT IMPACTS ..................................................................................................... 26
2.5 SUMMARY OF IMPACTS ............................................................................................................................. 26
3 SOCIOECONOMIC INFORMATION ...................................................................................................... 28
3.1 INTRODUCTION ........................................................................................................................................ 28
3.2 AFFECTED POPULATION .................................................................................................................................. 28
3.2.1 Demography ....................................................................................................................................... 28 3.2.2 AH Ethnicity ...................................................................................................................................... 28
3.2.3 Level of Education of APs .................................................................................................................. 28 3.3 AGRICULTURE AND LAND RESOURCES ...................................................................................................... 29
3.3.1 Land Holding Status ........................................................................................................................... 29 3.4 ECONOMY OF AHS ................................................................................................................................... 29
3.4.1 Major Economic Activities ................................................................................................................ 29 3.4.2 Annual Income of AHs ...................................................................................................................... 29 3.4.3 Household Assets and Durables ......................................................................................................... 30 3.4.4 Prevalence of Debt ............................................................................................................................. 30 3.4.5 Access to Energy, Drinking Water and Civic Facilities..................................................................... 30 3.4.6 Access to Health Centre, Schools and Road ...................................................................................... 30
3.4.7 Cultural Values ................................................................................................................................... 30 3.5 GENDER ISSUES ......................................................................................................................................... 31
3.6 ASSESSMENT OF LIVING STANDARDS AND ATTITUDE TOWARDS THE PROJECT ............................................ 32
4 LEGAL AND POLICY FRAMEWORK ..................................................................................................... 34
4.1 GEORGIA’S LAWS AND REGULATIONS ON LAND ACQUISITION AND RESETTLEMENT ................................... 34
4.2 INVOLUNTARY RESETTLEMENT REQUIREMENTS UNDER THE WORLD BANK INVOLUNTARY RESETTLEMENT
POLICY (OP 4.12) .................................................................................................................................................. 35
4.3 COMPARISON OF GEORGIAN LAWS AND PROCEDURES ON LAND ACQUISITION AND RESETTLEMENT AND
WB’S OP 4.12 REQUIREMENTS ON INVOLUNTARY RESETTLEMENT ......................................................................... 36
4.4 PRINCIPLES AND PROCEDURES OF LAND ACQUISITION .............................................................................. 38
5 COMPENSATION ELIGIBILITY AND ENTITLEMENTS ........................................................................ 40
5.1 COMPENSATION MATRIX ................................................................................................................................. 40
5.2 ELIGIBILITY .............................................................................................................................................. 43
5.3 DEFINITION OF ENTITLEMENTS ................................................................................................................. 43
5.4 ASSESSMENT OF COMPENSATION UNIT VALUES ........................................................................................ 45
5.5 EXPROPRIATION AND LEGALIZATION ........................................................................................................ 45
6 INSTITUTIONAL ARRANGEMENTS ...................................................................................................... 46
6.1 RDMRDI ................................................................................................................................................. 46
6.2 CONSULTANTS .......................................................................................................................................... 46
6.3 LOCAL GOVERNMENTS ............................................................................................................................. 47
6.4 OTHER AGENCIES AND INSTITUTIONS ....................................................................................................... 47
7 PUBLIC CONSULTATION, PARTICIPATION AND DOCUMENTS DISCLOSURE ................................ 49
8 COMPLAINTS AND GRIEVANCES......................................................................................................... 51
9 IMPLEMENTATION SCHEDULE ............................................................................................................ 54
10 COSTS AND BUDGET .............................................................................................................................. 56
10.1 INTRODUCTION ........................................................................................................................................ 56
10.2 BUDGET .................................................................................................................................................... 56
10.2.1 Land Compensation ....................................................................................................................... 56 10.2.2 Buildings and Structures Compensation ....................................................................................... 56 10.2.3 Perennial plants compensation ..................................................................................................... 57 10.2.4 Business interruption compensation ............................................................................................. 58 10.2.5 Crops compensation ....................................................................................................................... 58 10.2.6 Allowances ..................................................................................................................................... 58
10.2.7 Administrative costs ...................................................................................................................... 59 10.3 AGGREGATE BUDGET ................................................................................................................................ 60
11 MONITORING AND EVALUATION ....................................................................................................... 61
11.1 INTERNAL MONITORING ........................................................................................................................... 61
11.2 EXTERNAL MONITORING .......................................................................................................................... 61
Figures
Fig. 1 Project status
Fig.2 Project affected houses
Fig.3 Organizational chart
Fig. 4 Redress and grievance
Appendices
Appendix 1 Land acquisition procedures
Appendix 2 Public consultations
Appendix 3 Evaluation of compensation rate
Appendix 4 Information leaflet
GLOSSARY
Beneficiary Community: All persons and households situated within the state owned or acquired
property who voluntarily seek to avail and be part of the Project and represented by a community
association duly recognized by the community residents, accredited by the local government, and
legally registered with the appropriate institutions.
Compensation: Payment in cash or in-kind of the replacement cost of the acquired assets.
Entitlement: Range of measures comprising compensation, income restoration, transfer assistance,
income substitution, and relocation which are due to affected people, depending on the nature of
their losses, to restore their economic and social base.
Improvements: Structures constructed (dwelling, fence, waiting sheds, animal pens, utilities,
community facilities, stores, warehouses, etc.) and crops/plants planted by the person, household,
institution, or organization.
Land Acquisition: The process whereby a person is compelled by a government agency to alienate
all or part of the land a person owns or possesses to the ownership and possession of the government
agency for public purpose in return for a consideration.
Affected People (AP): Individuals affected by Project-related impacts.
Affected Household (AH): All members of a household residing under one roof and operating as a
single economic unit, who are adversely affected by the Project. It may consist of a single nuclear
family or an extended family group.
Rehabilitation: Compensatory measures provided under the Policy Framework on involuntary
resettlement other than payment of the replacement cost of acquired assets.
Relocation: The physical relocation of a AP/AH from her/his pre-Project place of residence.
Replacement Cost: The value determined to be fair compensation for land based on its productive
potential and location. The replacement cost of houses and structures (current fair market price of
building materials and labour without depreciation or deductions for salvaged building material),
and the market value of residential land, crops, trees, and other commodities. This includes all
transaction costs such as taxes and land registration fees.
Resettlement: All measures taken to mitigate any and all adverse impacts of the Project on AP’s
property and/or livelihood, including compensation, relocation (where relevant), and rehabilitation
of the damaged/removed infrastructure and installations.
Sakrebulo: Representative body of local self-government. The middle level of local government
consists of 67rayons (districts) and six cities in Georgia: Tbilisi, Kutaisi, Rustavi, Poti, Batumi and
Sokhumi. The representative branch of rayon level is the rayon level Local Councils (Rayon
Sakrebulo) and the executive branch is represented by Rayon Gamgeoba (Gamgebeli).The self-
government level consists of settlements (self-governed cities) or groups of settlements
(municipalities). Settlements could be villages, small towns (minimum 3,000 inhabitants) and cities
(minimum 5,000 inhabitants). The representative and executive branches of self-government are
represented accordingly by Local Council (Sakrebulo) and the Gamgebeli of municipal level. The
exclusive responsibilities of self-government include land-use and territorial planning, zoning,
construction permits and supervision, housing, and communal infrastructure development.
Vulnerable groups – People who by virtue of gender, ethnicity, age, physical or mental disability,
economic disadvantage, or social status be more adversely affected by resettlement than others and
who may be limited in their ability to claim or take advantage of resettlement assistance and related
development benefits.
9
EXECUTIVE SUMMARY
1. Bakurtsikhe-Gurjaani bypass road represents the component of Kakheti Regional Roads Improvement
Project (KRRIP) funded by the Government of Georgia and the World Bank. The bypass road starts
from Tbilisi-Bakurtsikhe-Lagodekhi and Bakurtsikhe-Telavi-Akhmeta cross road and ends at
Bakurtsikhe-Telavi-Akhmeta road. The road mainly uses original road corridor built in the 1980s, but
also envisages new realities. The main difference is that the new road will bypass those areas, which
have been developed and used since the 1980s.
2. The road covers approximately 15 km road section in Kakheti region from Village Bakurtsikhe till
Village Chumlaki, Gurjaani Region. This section is the part of Akhmeta - Telavi - Bakurtsikhe inter-
country road, which is one of the main roads of Kakheti region. The road passes through densely
populated areas and therefore the transit traffic in this area is intense with a high number of road
accidents. The arrangement of bypass road that will connect Tbilisi-Bakurtsikhe-Lagodekhi-Azerbaijan
international border road to Akhmeta-Telavi-Bakurtsikhe inter-country road bypassing the villages on
Alazani Valley - Bakurtsikhe, Kolagi, Dzirkoki, Chandari, Vejini and Chumlaki and Gurjaani Region, is
being planned (see. Figure 1).
3. The arrangement of two-lane bypass road with the circular intersections at 0 km (Chumlaki) and 15.6-
km (Bakurtsikhe) in the beginning and end of the highway is being reviewed. The arrangement of
circular intersection is also being planned on the main intersection near Gurjaani - at 9.6 km. The
arrangement of another circular intersection (at 1.7 km) that will connect to Bakurtsikhe-Tsnori
planned road is also envisaged in the future. The project also envisages the arrangement of 7 bridge
crossings, including 1 railway bridge, 12 underpasses, pipes, supporting walls, shore protection and
headworks. The roadway width is 2 x 3.5 m, with 0.5 m paved shoulders with overall width of 2.5 m.
The pavement project implementation period shall be twenty years.
4. This resettlement action plan (RAP) meets the requirements of the relevant laws of Georgia, the WB
Policy OP 4.12 on Involuntary Resettlement and the requirements of Land Acquisition and
Resettlement Framework document SLRP III1. The resettlement plan has been developed based on the
results of:
(a) detailed measurement works;
(b) the property evaluation / field and documentary study and inventory of affected areas; (c) description of 100% of affected individuals in demographic survey;
(d) socio-economic research of no less than 25% of affected families.
5. Total land area to be acquired is 199,171 sq. m of land from 491 plots. In terms of tenure the affected
land plots are distributed in accordance with the following categories:
Category 1. 129 private land plots with full registration (62084 sq. m);
Category 2. 275 private rightfully owned unregistered plots (130363 sq. m);
1 Insert link to RPF for SRLP III1http://www.georoad.ge/uploads/files/SLRP%20III%20RPF51.pdf
10
Category 3. 39 state owned plots illegally occupied by private users (6724 sq. m);
Category 4. 48 state owned unused land plots of 233597 sq. m.
6. Category 3 land parcels, no compensation is paid for land but only for lost assets and improvements (eg.
Fences, crops, etc) and resettlement or livelihood restoration as required.
7. Category 4 land parcels are not subject for compensation
8. Given the magnitude of environmental and social impacts (see Table E-1) the project under this RAP
has classified as category “A” by the World Bank. The project location map is shown in Figure 1.1.
9. A summary of the project impact is represented in the following table :
Table E-1.Summary of the project impact
# Impact Unit Q-ty 1. Total Land parcels affected No 491
2. Total land Area to be acquired Sq. m 432768
3. Category 1. Private registered plots (Legalized) No 129 Sq. m 62084
4. Category 2. Private rightfully owned unregistered plots (legalizable) No 275 Sq. m 130363
5. Category 3. State Owned Plots Illegally Occupied by Private Users (Non
legalizable)
No 39
Sq. m 6724
6. Category 4. State Owned Plots Not Used by Private Users No 48 Sq. m 233597
7. Type 1. Private agricultural land No 366 Sq. m 180163
8. Type 2. Private non-agricultural residential land No 28 Sq. m 8469
9. Type 3. Private non-agricultural commercial land No 10 Sq. m 3815
10. Type 4. State owned agricultural land illegally used by private users No 36 Sq. m 5758
11. Type 5. State owned land illegally used by private users as residential No 2
Sq. m 322
12. Type 6. State owned land illegally used by private users as commercial No 1
Sq. m 644
13 Type 7. State owned land unused No 48 Sq. m 233597
14. Arable land for expected crop No 66688
15. Affected fruit Trees (additionally 693 unfruitful privately owned trees
affected)
Sq. m 18476
16. Residential buildings No 4
17. Supplementary facilities No 40
11
18. Commercial buildings No 3
18. Fences m 3851
19. Severely Affected Households (e.g. losing more than 10% of land) No 247
20. Vulnerable Households No 122
21. Resettled households No 4
22. AH with registered plots No 100
23. AH with legalizable plots No 241
24 AH illegally using State owned land No 36
25. AH with agricultural land plots No 334
26. AH with residential land plots (out of which 4 AH are physically displaced) No 30
27. AH with commercial land plots (out of which at 3 unused commercial
buildings are affected)
No 5
28. Total AH No 350
29. Total Affected Persons by land loss No 1614
30 Total Affected persons by physical displacement No 18
31 Total Affected business (only loss of material assets) No 5
10. The project impact extends to 1614 peoples (788 male and 826 females). Further, 55 of the 122
vulnerable AHs are headed by women. Out of 350 AH 4 households (18 APs) will be resettled and 34
households loss part of residential land plots. Special attention will be given to the resettlement
impact on women and other vulnerable groups during monitoring and evaluation of the RAP.
11. The legal and Resettlement policy framework for SRLPIII of the project on land acquisition and
resettlement has been adopted to assist the APs and/or households for their lost land and assets, income
and livelihood resources. Expropriation of land through eminent domain will not be applied unless
approach for acquisition through negotiated settlement fails. Compensation eligibility is limited by a
cut-off date as set for this project on the day of the AP Census finalization which is 4 March 2011.
12. APs entitled for compensation or at least rehabilitation assistance under the Project are
(i) all persons with registered or rightfully owned unregistered plots losing land
(ii) tenants and sharecroppers irrespective of formal registration,
(iii) owners of buildings, crops, plants or other objects attached to the land;
(iv) persons losing business, income, and salaries.
However, the census and socioeconomic survey did not identify any impacts on tenants, sharecroppers,
businesses income or salaries. A summary entitlements matrix is included in table below:
12
Table E-2.Compensation Entitlement Matrix
Type of Loss Application Definition of APs Compensation Entitlements
Land
Permanent loss of
agricultural land
AH losing agricultural land
regardless of impact severity
Owner with full land
registration
Cash compensation at full replacement cost
or replacement land of the same value of
land lost and at location acceptable to APs
where feasible. The preferred option is cash
compensation as the land-for-land option is
not used since there are no state reserves of
public agricultural land which was
privatized during the land reform. If
residual plots become unusable the project
will acquire it in full if so the AP desires.
Owner/user of legalizable land These lands will be legalized and provided
with cash compensation at full replacement
cost.
Non-legalizable agricultural
lands (squatters/encroachers)
AH losing non-legalizable land, will not be
compensated for the value of the land.
However, they will be compensated at
replacement value for any loss of assets on
the land built before the cut-off date.
In cases where the affected land plot is the
only one used by AH and provides main
source of income, the AH will be
compensated with a single self-relocation
allowances in cash equal to 1 year of
minimum subsistence income. The Roads
Department will follow up the monitoring
during one year period.
Non-Agricultural
Land
AH losing their
commercial/residential land
Owner with full registration Cash compensation at full replacement cost
or replacement land of the same value of
land lost and at location acceptable to APs
where feasible.
Legalizable land APs ownership right to project-affected
parcel they possess will be legalized and
provided with cash compensation at full
replacement cost.
Renter/Leaseholder Rental allowances in cash for 3 months.
13
Non-legalizable non-
agricultural lands
(squatters/encroachers)
AH losing non-legalizable non-agricultural
land, will not be compensated for the value
of the land. However, they will be
compensated at replacement value for any
loss of assets on the land built before the
cut-off date.
In cases where the affected land plot is the
14
Type of Loss Application Definition of APs Compensation Entitlements
only land used for residence or providing
main source of income, the AH will be
compensated with a single self-relocation
allowances in cash equal to 1 year of
minimum subsistence income.
Buildings and Structures
Residential and non
residential
structures/assets
All AHs regardless of legal
ownership/ registration status
(including legalizable, non-
legalizable lands
(squatters/encroachers)
All impacts will be considered as full impacts
disregarding the actual impact percentage.
Impacts on residential and non-residential
structures/assets built before the cut-off date
will be compensated in cash at full replacement
costs free of depreciation and transaction costs.
Additionally, all such Ahs will receive
allowance covering transport expenses and a
livelihood expenses for the transitional period
for 3 months (see below)
Loss of Community Infrastructure/Common Property Resources
Loss of common
property resources
Community/Public Assets Community/Government Reconstruction of the lost structure in
consultation with community and restoration
of their functions
Loss of Income and Livelihood
Crops Standing crops affected or
loss of planned crop
incomes*
All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Crop compensation in cash at gross market
value of actual or expected harvest.
Compensation for this item will be provided
even in case if the crops were harvested
Trees Trees affected All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Cash compensation at market rate on the
basis of type, age, market price of product
and productive life of the trees.
The project affected person is given the
possibility to cut himself the trees in his
ownership and use the wood. In case he is
unable or denies to do so, the construction
contractor will clean the area from the
plants and store at the place allocated by the
Municipality and later will transfer to the
Municipality.
Business/Employment Business/employment loss All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Owner: (i). (permanent impact) cash
indemnity of 1 year net income; (ii)
(temporary impact) cash indemnity of net
income for months of business stoppage.
Assessment to be based on tax declaration
or, in its absence, minimum subsistence
15
Type of Loss Application Definition of APs Compensation Entitlements
Income as only acceptable evidence.
Permanent worker/employees: indemnity
for lost wages equal to 3 months of
minimum subsistence income and trainings
on computer literacy or other to be
implemented by the RD.
Allowances
Severe Impacts >10% income loss All severely affected AHs
losing more than 10% of
affected agricultural land plot
(including informal settlers)
Agricultural income: Two-year yield from
affected land
Non agriculture income: 1additional
compensation for 3 months of minimum
subsistence income.
Relocation/Shifting Transport/transition costs All AHs to be relocated Provision of allowance covering transport
expenses and a livelihood expenses for the
transitional period for 3 months equal to 3
months of minimum subsistence income.
Vulnerable People
Allowances
AHs below poverty line,
headed by Women, disabled
or elderly
Allowance equivalent to 3 months of
minimum subsistence income** and
employment priority in project-related work
(persons with such ability) Follow up
monitoring will be conducted by the RD.
Temporary Loss
Temporary impact
during construction
All AHs Due compensation will be assessed and paid
based on this RAP during construction. All
land required for temporary use is to be
obtained by the civil works Contractor on
voluntary basis (e.g., willing buyer-willing
seller basis through an informed consent
and power of choice on the part of land
owner to agree or disagree with the
temporary land acquisition). The maximum
period for temporary use is defined as 2
years. Compensation rates to be paid should
not be less than compensation at current
market rates for the gross value of 4 year’s
harvest of crops on the affected lands. It is
also required that lands (or other assets) be
fully cleared and restored following use
16
Unforeseen
resettlement impacts,
if any
Road Department and the construction
contractor will address and
mitigate/compensate unforeseen resettlement
impact during the project in compliance with
the stipulations of this RAP.
Accidental damage to properties during
construction will be assessed and mitigated by
the RD and the contractor as per the
Environmental Management Plan and the
construction contract.
17
*Income expected from crops on affected agricultural land permanently used for crop cultivation during the recent years. In
case the land was permanently used for crop cultivation, but no crops have been planted (due to need of rest to this land or
illness of the farmer or any justifiable reason) for the year, when the inventory of losses was conducted, the land parcel will
be still considered as designed for crop cultivation and relevant compensations will be paid
** Minimum subsistence income to be calculated based on a 5-member family and the monthly-updated benchmarks indicated
by the National Statistics Office of Georgia at time of RAP approval
13. Ministry of Regional Development and Infrastructure (MRDI) is the executing agency (EA) of the
Project on behalf of the Government of Georgia and the Roads Department of the MRDI (RDMRDI) is
the implementing agency (IA). The World Bank (WB) will be financing the Project for civil works
construction and construction supervision. RDMRDI is responsible for road construction as well as
land acquisition and resettlement of the APs due to land acquisition and project construction. RDMRDI
is assisted by a number of other government departments and private agencies in the design,
construction and operation of the Project. The National Agency of Public Registry recognizes and
further registers the right on property of the legal land owners under the effective legislation. The local
government at Rayon and village levels are involved in the legalization of legalizable land parcels and
subsequently land acquisition and resettlement of APs. The Ministry of Environmental Protection is
responsible for environmental issues.
14. A grievance mechanism managed by MRDI will be available to allow APs appealing any disagreeable
decision, practice or activity arising from land or other assets compensation. APs will be fully informed
of their rights and of the procedures for addressing complaints.
15. All activities related to the land acquisition and resettlement have been scheduled to ensure that
compensation is paid prior to displacement and commencement of civil works. Public consultation,
internal monitoring and grievance redress will be undertaken on ongoing basis throughout the project
duration.
16. The entire project alignment will be divided on some subsections and the project development will be
arranged in phases. First phase will cover subsection 1 (0.0 - 5.0 km). The next - subsection 2 (5.0 - 10.0
km), and finaly - subsection 3 (10.0 - 15.6 km). After the finalization of delivery of all entitlements
included in this Resettlement Action Plan (RAP) satisfying the WB Safeguards Policies requirements
OP/BP 4.12, the Roads Department of the Ministry of Regional Development and Infrastructure of
Georgia (RDMRDI) as the Program Implementing Agency (IA) has to prepare Compliance Reports for
each subsection.
17. Land acquisition and resettlement tasks under the project will be subject to monitoring. Monitoring
will be the responsibility of RDMRDI. Internal monitoring will be carried out routinely by RDMRDI.
The results will be communicated to the WB through the quarterly project implementation reports.
External monitoring to be conducted by Social Safeguards Consultant will be carried out on a regular
basis, and its results will be communicated to RDMRDI and WB through quarterly reports.
18. Bakurtsikhe-Gurjaani bypass road project RAP cumulative budget amounts 4 308 376.08 GEL
(1854580.55 USD)
18
1 INTRODUCTION
1.1 Project Background
19. Bakurtsikhe-Gurjaani bypass road is the component of the Kakheti Regional Roads Improvement
Project (KRRIP) funded by the Government of Georgia and the Word Bank. The bypass road starts
from the crossing of Tbilisi-Bakurtsikhe- Lagodekhi and Bakurtsikhe-Telavi –Akhmeta roads and ends
at the Bakurtsikhe-Telavi-Akhmeta road. The bypass road mainly uses the initial road route of the
1980s though it takes into account new realities as well. The main difference is that the new road
bypasses the areas, which have been developed and used since the 1980s.
20. The road includes a section of about 15 km in the Kakheti Region from the village Bakurtsikhe to the
village Chumlaki in Gurjaani District. This section is a part of the domestic Akhmeta-Telavi-
Bakurtsikhe road that is one of the main roads of the Kakheti Region. The road passes through densely
populated areas with high intensity of transit traffic and big number of road accidents on the above
section. There is planned to arrange a bypass road that will connect the international highway Tbilisi-
Bakurtsikhe-Lagodekhi-Azerbaijan border with the existing domestic Akhmeta-Telavi-Bakurtsikhe
road bypassing the villages Bakurtsikhe, Kolagi, Dzirkoki, Chandari, Vejini and Chumlaki and the town
of Gurjaani (see Fig. 1).
21. Total land area to be acquired is 199171 sq. m of land from 491 plots. In terms of tenure the affected
land plots are distributed in accordance with the following categories:
Category 1. 129 private land plots with full registration (62084 sq. m);
Category 2. 275 private rightfully owned unregistered plots (130363 sq. m);
Category 3. 39 state owned plots illegally occupied by private users (6724 sq. m.)
Category 4. 48 state owned unused land plots of 233597 sq. m
22. Category 3 land parcels, no compensation is paid for land but only for lost assets and improvements (e.g.
fences, crops, etc) and resettlement or livelihood restoration as required. Category 4 land parcels are
not subject to compensation
23. Given the magnitude of impacts the project under this RAP is classified as category “A” for
resettlement. The project location map is shown in Figure 1.1.
24. The project impact extends to 1614 persons (788 male and 826 females). Further, 55 of the 122
vulnerable AHs are headed by women. Out of 350 AH 4 households (18 APs) will be resettled and 34
households loss residential land plots. Special attention will be given to the impact of resettlement on
women and other vulnerable groups during monitoring and evaluation of the RAP.
25. The legal and policy framework of the project on land acquisition and resettlement has been adopted to
assist the APs and/or households for their lost land and assets, income and livelihood resources.
Expropriation of land through eminent domain will not be applied unless approach for acquisition
through negotiated settlement fails.
26. Compensation eligibility is limited by a cut-off date as set for this project on the day of the finalization
of the AP Census which is 4 March 2015. This Census covered an area of 199171 sq. m (491 parcel)
along the proposed corridor. 14 February 2015 was considered as commencement date for the field
survey works. The cut-off date was declared at the public meeting. In addition, each affected person
was individually informed about the date of field survey on his land (measurements, inventory, census,
socio-economic survey) by the representatives of Sakrebulo level self-government. Also each affected
17
person was given the contact information for inquiry corrections/amendments of the data obtained
during the field survey within 5 days.
27. The entire project alignment will be divided on some subsections and the project development will be
arranged in phases. First phase will cover subsection 1 (0.0 - 5.0 km). The next - subsection 2 (5.0 - 10.0
km), and finaly subsection 3 (10.0 - 15.6 km). After the preparation of Resettlement Action Plan (RAP)
satisfying the WB Safeguards Policies requirements OP/BP 4.12, the Roads Department of the Ministry
of Regional Development and Infrastructure of Georgia (RDMRDI), as the Program Implementing
Agency (IA) has to prepare Compliance Reports for each subsection.
18
1.2 The Impacts Corridor
28. The route starts at the junction of the Tbilisi – Bakurtsikhe – Lagodekhi road and the Bakurtsikhe –
Telavi – Akhmeta road and runs north-eastward from there for two kilometres. The route underpasses
the existing disused railway line near Km 2 before turning ninety degrees to run north-westward
parallel to the route of the existing road and disused railway line. In the vicinity of this curve the
alignment is currently not traversable. Thereafter the route runs parallel to the disused railway line for
approximately 6 km before turning away from the railway alignment to run approximately 1 km
northwards, before looping around and through a built-up area before continuing north-westward to a
major river crossing point at Km 13.7. There are two sections of obstruction in this built-up area (Km
9.5 to 10), one caused by buildings and the other by different miscellaneous structures. There is further
obstruction by buildings at Km 13.2 before the river crossing. The route continues for a kilometre after
the river crossing before converging with the existing Akhmeta-Telavi-Bakurtsikhe road and disused
railway line, at Km 14.6.
29. The route traverses agricultural land except for the built-up areas noted. There is intensive vineyard
cultivation on much of the agricultural land. The route is crossed by numerous minor roads running
along a south-west to north-east axis, as well as several watercourses on the same axis (discharging to
the north-east).
30. The general road cross section that shall be adopted is as follows:
- Number of lanes: 2
- Lane width: 3.50 m
- Carriageway width: 7.00 m
- Width of paved shoulder: 0.50 m
- Width of unpaved shoulder: 2.00 m
- Total road width: 12.00 m
31. Also, the project envisages arrangement of 7 bridge crossings, including 1 railway bridge, 12
underpasses, pipes, abutments, shore protection and regulatory structures.
32. The designed horizontal alignment shall be a smooth flowing alignment that matches the existing
right of way as closely as possible. Horizontal and vertical curves shall be designed to comply with
the Georgian geometric standards, for a design speed of 80 km/h.
33. Along the project road certain minor roads intersect the project road. These side road connections are
dealt with by intersections, both grade separated and at grade.
1.3 Minimizing Land Acquisition and Resettlement
34. Due considerations have been given during the design of the road alignment and inter sections layout
to minimize the adverse impacts of land acquisition and involuntary resettlement. Efforts have been
put to incorporate best engineering solution in avoiding large scale land acquisition and resettlement.
Following are the specific measures adopted for the selection of the route:
(i) Some sections of the road required improvement of geometric characteristics and involved
realignment. Realignment for these sections has been well tuned on site to avoid most densely
settled areas and agricultural lands. This specifically concerns the sections 0.0-0.7km, 7.2-
9.0km and 14.9-15.5km.
(ii) Inter sections with local roads have been designed to avoid resettlement
19
(iii) Designs of intersections were reviewed by resettlement specialists and the recommendations were
considered in the final design.
In total the physical displacement of 38 households has been avoided through alignment redesign
1.4 RAP Preparation
35. The Resettlement Action Plan (RAP) has been prepared by Consultant, Roughton International Ltd, for
RDMRDI. It meets the requirements of the relevant laws of Georgia, the World Bank and OP 4.12
Regulations and Resettlement Policy Framework of SLRPIII provided by RDMRDI.2 This Resettlement
Plan has been developed based on the results of:
(a) detailed measurement works;
(b) the property evaluation / field and documentary study and inventory of impacted areas; (c) description of 100% of impacted individuals in demographic survey;
d) socio-economic survey of no less than 25% of impacted families.
Fig. 1. Location of the project
2 Include link to RPF2 http://www.georoad.ge/uploads/files/SLRP%20III%20RPF51.pdf
20
36. The process of development of this resettlement action plan provided for intensive consultations with
all stakeholders conducted between 14 February 2015 and 4 March 2015 including the Gurjaani district
authorities and potentially APs. The purpose of those consultations was to establish the impact scope
and to develop the mitigation and countervailing measures. During the road route selection and
technical project development the special focus was made on land acquisition and measures of
minimizing the negative impact of involuntary resettlement. The best engineering solutions have been
used in order to minimize the resettlement scale. In particular, the following measures have been
implemented:
(A) The road route on each site was adjusted to the location to avoid passing through the densely populated
areas;
(B) The rod junctions at crossing with local roads were designed in consideration of the local needs and
resettlement minimization principle;
(C) the road intersection points have been checked by the resettlement and social development experts,
and their recommendations were incorporated into the final project.
37. Before disbursement of the compensation funds to the APs as per the resettlement plan, it is necessary
to recognize the legalized property rights and to complete the registration process as well as to ensure
that all APs have signed the sale and purchase agreements, thus giving evidence that they agree with
the amount of the compensation. If the AP does not sign a contract, the case will be referred to the
competent court for expropriation proceedings, which will be implemented after the deposit of the
compensation funds in special accounts. Escrow accounts will be opened also for those APs who are
not in place and cannot be found out. If RD could not find those AP’s a special announcement will be
published in local newspaper and exposed in the Gamgeoba (local municipality) office. By this
announcement the AP’s will be given 3 months period for response (assuming that they can be outside
of Georgia).
38. The permit on commencement of the activity (implementation of works) by the construction
contractor in a specific plot or section of the road, will be issued only after the compensation for that
land or road section has been paid and the entitlements in this RAP, including resettlement assistance
have been implemented to those affected in that specific plot or road section.
39. After being approved by the World Bank and the Government of Georgia the sole responsibility for its
implementation shall be borne by the Roads Department. This RAP can be updated from time to time,
as needed, only in agreement between the WB and the Roads Department.
1.5 Conditions for Project Implementation
40. Based on the WB policy/practice, the approval of project implementation will be based on the
following RAP-related conditions:
(i) Signing of Contract Award: Conditional to the approval of the RAP by WB and Government. RAP
reflects final impacts, final AP lists and compensation rate at replacement cost approved by
RD.
(ii) Notice to Proceed to Contractors: Conditional to the full implementation of RAP entitlements before land take of plots or sections of road required for construction works (legalization of legalizable owners, and full delivery of compensation and rehabilitation allowances).
21
2 CENSUS AND IMPACT ASSESSMENT
2.1 Introduction
41. The impact assessment reflects the land, buildings, plants and other property losses for Bakurtsikhe-
Gurjaani bypass road project. All losses and damages were recorded and assessed in the alienation strip
specified by the project engineering design consultant.
42. Digital cadastral maps were collected through the National Agency of Public Registry. The road outline
design was applied on the digital cadastral maps and the detailed land surveys have been made using
DGPS on the site, aimed at identifying the affected land, specifying their cadastral data. Based on the
detailed survey the census of 100% of the APs was conducted between February 14, 2015 and March 4,
2015. In addition, the random socioeconomic survey of 25% households on the project affected areas
was held, aiming clarification of the socioeconomic conditions of the affected communities.
43. March 4, 2015, the date of commencement of the detailed surveying works and census of affected
persons is considered to be the date of termination of the right to receive compensation. This Census
covered an area of 199171 sq. m (491 parcel) along the proposed corridor and finalized on March 4,
2015.
2.2 Impact on Land, Other Assets and Income
General Classification of affected land
44. Total land area to be acquired is 432768 sq. m of land from 491 plots. In terms of tenure the affected
land plots are distributed in accordance with the following categories:
Category1. 129 private land plots with full registration (62084 sq. m,14.3% of total);
Category 2. 275 private rightfully owned unregistered plots (130363 sq. m, 30.1 % of total);
Category 3. 39 state owned plots illegally occupied by private users (6724 sq. m 1.6% of total)
Category 4. 48 state owned unused land plots of (233597 sq. m, 54.0% of total)
45. The land costs and compensation categories within the project area are determined by the land use
factor. Figures on Land impacts are provided in accordance to the land classification and legal
categories that are relevant to determine compensation rates and amounts due to their use modalities.
The affected land has been classified by the following main types:
Type 1. Agriculture Private land (366 plot, 180163 sq. m)
Type 2. Private Non-agricultural residential land (28 plot, 8469 sq. m)
Type 3. Private non-agricultural commercial land (10 plots, 3815 sq. m)
Type 4. State owned agricultural land illegally used by private users (36 plots, 5758 sq. m)
Type 5. State owned land illegally used by private users as residential (2 plots, 322 sq. m)
Type 6. State owned land illegally used by private users as commercial (1 plots, 644 sq. m.)
Type 7. State owned land unused (48 plots, 233597 sq. m)
22
46. The aggregated figures for the land parcels of different categories are given below in Table 2.1. and
Table 2.2.
Table 2.1: Type of Land Ownership
Compensable Land
1 Category 1. Private registered plots (Legalized) No 129
Sq. m 62084
AH 100
2 Category 2. Private rightfully owned unregistered
plots (Legalizable)
No 275
Sq. m 130363
AH 241
Sub-total compensable land No 404
Sq. m 192447
Non- Compensable Land
3 Category 3. State Owned Illegally Occupied by
Private Users (Non Legalizable)
No 39
Sq. m 6724
AH 36
4 Category 4. State Owned Not Used by Private Users No 48
Sq. m 233597
AH 0
Sub-total non compensable land No 87
Sq. m 240321
Total No 491
Sq. m 432768
23
Table 2.2: Type of Land Use
# Impact
Unit
Compensable Land
1 Type 1. Private agricultural
land
Private agricultural land
(legalized or legalizable)
used for annual crops and
fruit tree gardens
No 366
Sq. m 180163
AH 300
2 Type 2. Private non-
agricultural residential land
(Out of 28 affected land plots 24
losses only part of the yard,
while residential houses are
affected on 4 land plots)
Private land (legalized or
legalizable) used for
residential purposes
No 28
Sq. m
8469
AH 27
3 Type 3. Private non-
agricultural commercial land
Private land (legalized or
legalizable) used for
commercial purposes
No 10
Sq. m 3815
AH 5
Sub-Total Compensable
No 404
Sq. m 192447
4 Type 4. State owned
agricultural land illegally
used by private users
State owned illegally
occupied by private users
for agricultural purposes
No 36
Sq. m 5758
AH 34
5 Type 5. State owned land
illegally used by private users
as residential
State owned illegally
occupied by private users
for residential purposes
No 2
Sq. m
322
AH 2
6 Type 6. State owned land
illegally used by private users
as commercial
State owned illegally
occupied by private users
for commercial purposes
No 1
Sq. m 644
24
AH 0
7 Type 7. State owned land
unused
State owned land not used
by anyone
No 48
Sq. m 233597
AH 0
Sub-total non compensable
land
No 87
Sq. m 240321
Total
No 491
Sq. m 432768
2.2.1 Impact on Crops
47. Project impacts 152 agricultural parcels of land of 66688 sq. m which are used to grow crops, out of
which 122 (80.3%) land plots ( 58060 sq. m) will lose more than 10% of land. It should be noted that
from the beneficiary’s point of view the species of seed crops usually vary in different years by their
economic effectiveness.
2.2.2 Impact on Trees
48. The project affects 18476 fruitful perennials (fruit trees and vineyards). The main impact falls on grapes
(12313 root) and peaches (3102 trees). The project impact on perennial species by age groups is shown
in the table below.
49. The project also affects 693 unfruitful privately owned trees, for which no compensation is envisaged
but the wood remains in the owner's possession. Only fruit trees are considered having economic
value.
Table 2.3: Affected fruitful perennials
Species of fruits Age groups
Total 5- 5-9 10-14 15-19 20-24 25+
Apple 42 31 25 4 4 1 107
Pear 5 17 12 6 2 6 48
Plum/prune/cherry plum 321 268 145 35 22 10 801
Cherry/sweat
cherry/dogberry 394 113 31 3 4 5 550
Apple-quince 7 7 4 2 3 1 24
Fig 96 49 39 16 7 14 221
Persimmon 0 25 4 5 4 6 44
Walnuts 175 115 117 95 30 83 615
Hazelnuts 56 16 18 2 0 0 92
Grapes (white) 3166 852 1290 1096 574 3795 10773
25
Grapes (black) 103 325 728 204 160 20 1540
Peach/apricots 1581 793 161 518 27 22 3102
Other* 340 101 56 26 9 27 559
Total 6286 2712 2630 2012 846 3990 18476
* Acacia, Capers, Pomegranate, Mulberry, Almond, Bay leaves, Olives, Medlar, Mushmala, Kiwi, Feijoa
2.2.3 Impact on Buildings/Structures
2.2.3.1 Type of Affected Structures
50. The project affects various types of buildings, which can be classified into the following categories for
the purposes of the project: residential houses, auxiliary civil structures, commercial facilities and
fences/walls. In particular, the project affects 4 houses, 40 auxiliary civil structures, 3
production/commercial non-functioning facilities, 114 fences (3851 m. total length).
Fig. 2 Project affected houses
51. In process of preparation of this Resettlement Action Plan all affected buildings were thoroughly
surveyed and described. The detailed data about the buildings are shown in the Special Technical
Annex. The following table shows the quantities of buildings/structures of different type:
Table 2.4: Impact on Buildings/Structures
Type of building/structure Q-ty
Residential houses 4
Auxiliary civil structures 40
Production/commercial facilities 3
Fence 114
Total 161
2.2.4 Relocation Needs and Strategy
52. Gurjaani-Bakurtsikhe bypass road project requires relocation of 4 households.mpacts will be
compensated in cash at full replacement costs free of depreciation and transaction costs. Additionally,
26
affected families will receive allowance covering transport expenses and a livelihood expenses for the
transitional period for 3 months .
2.2.5 Business Impacts
53. The project affects individual assets (land, fence, non-operating facilities, etc.) belonging to 11
businesses. However, it does not directly impact their business activities. Noteworthy the enterprise
“Optics” which provides the fiber-optic internet connection. Cables of this enterprise shall be relocated
according to the engineering design of the project, which ensures its uninterrupted functionality
during the construction of Bakurtsikhe-Gurjaani bypass road. Therefore, in frames of the project no
impact on the profit of businesses and their employees’ wages is expected.
2.3 APs and Communities
54. The project affects 350 households with 1614 members, however only 4 households are physically
displaced and 247 households will loss more than 10% of agricultural lands. The project will not impact
on any community infrastructure and historical-cultural monuments.
2.3.1 Impact on Employment and Agricultural Tenants
55. Road construction will not affect any employees or agricultural tenants.
2.3.2 Impact on Common Property Resources
56. Road construction will not affect any community or public property.
2.3.3 Severely Affected and Vulnerable Households
57. Based on the field study carried out in the process of preparation of the resettlement plan Bakurtsikhe-
Gurjaani bypass road project severely affects 289 agricultural parcels (each parcel lose more than 10%
of its area). Total area of land to be transferred to the project is 158749sq.m.
58. Field study carried out in the process of preparation of the resettlement plan and contacts with the
social protection agencies revealed the vulnerable households affected by the project.
59. Vulnerable households were identified by the following criteria: female headed household, the elderly
(pension aged) person headed household, household with disabled person and household below the
poverty line (registered by the social service agency). In the frames of the project a vulnerable
household is the one which meets at least one of the above criteria. The Bakurtsikhe-Gurjaani bypass
road project affects 122 vulnerable households (of which 3 will be physically displaced (elderly headed
households and one of them woman headed) and 121 lose more than 10% of agricultural land.
2.4 Gender and Resettlement Impacts
60. The project affects 826 women. During the field study carried out in the process of preparation of this
resettlement plan, the special focus was made to the study of gender issues through a random
socioeconomic survey. The project will have a positive impact on gender, and civil works contracts will
include provisions to encourage employment of women during implementation. Additionally, women
headed households have been considered as vulnerable and special assistance was provided in the RAP
entitlements. The findings obtained during the research related to gender issues are presented in the
following section.
2.5 Summary of Impacts
61. A summary of Project impacts is included in Table 2.5 below.
27
Table 2.5 Summary Impact on Land Acquisition and Resettlement
# Impact Unit Q-ty 1. Total Land parcels affected No 491
2. Total land Area to be acquired Sq. m 432768
3. Category 1. Private registered plots (Legalized) No 129 Sq. m 62084
4. Category 2. Private rightfully owned unregistered plots (legalizable) No 275 Sq. m 130363
5. Category 3. State Owned Illegally Occupied by Private Users (Non
legalizable)
No 39
Sq. m 6724
6. Category 4. State Owned Not Used by Private Users No 48 Sq. m 233597
7. Type 1. Private agricultural land No 366 Sq. m 180163
8. Type 2. Private non-agricultural residential land No 28 Sq. m 8469
9. Type 3. Private non-agricultural commercial land No 10 Sq. m 3815
10. Type 4. State owned agricultural land illegally used by private users No 36 Sq. m 5758
11. Type 5. State owned land illegally used by private users as residential No 2
Sq. m 322
12. Type 6. State owned land illegally used by private users as commercial No 1
Sq. m 644
13 Type 7. State owned land unused No 48 Sq. m 233597
14. Arable land for expected crop No 66688
15. Affected fruit Trees (additionally 693 unfruitful privately owned trees
affected)
Sq. m 18476
16. Residential buildings No 4
17. Supplementary facilities No 40
18. Commercial buildings No 3
18. Fences m 3851
19. Severely Affected Households (e.g. losing more than 10% of land) No 247
20. Vulnerable Households No 122
21. Resettled households No 4
22. AH with registered plots No 100
23. AH with legalizable plots No 241
24 AH illegally using State owned land No 36
25. AH with agricultural land plots No 334
26. AH with residential land plots (out of which 4 AH physically displaced) No 30
27. AH with commercial land plots (out of which 3 has affected unused No 5
28
commercial buildings)
28. Total AH No 350
29. Total Affected Persons by land loss No 1614
30 Total Affected persons by physical displacement No 18
31 Total Affected business (only loses of material assets) No 5
3 SOCIOECONOMIC INFORMATION
3.1 Introduction
62. In the process of preparation of the RAP the random socioeconomic study of affected households was
carried out. The study covered 108 households, or 31% of the total number of households affected by
the project. The objective of this study was to collect the general information about the socioeconomic
conditions of the affected persons. In addition, the demographic census of 350 affected households was
held.
3.2 Affected Population
3.2.1 Demography
63. Results of 100% demographic census of 350 project affected households are given in table below.
Table 3.1: Demographic Profile of APs
Category Men Women Total
Children (under 15) 122 159 281
Adults (from 15 to 65) 552 551 1103
Elderly people (over 65 years old) 114 116 230
Total 788 826 1614
64. Project affected household on average include 4.6 members. 81% of households is headed by male with
the average age of 57.4 years, while the remaining 19% households are headed by female with the
average age of 61.7 years.
3.2.2 AH Ethnicity
65. All affected households are Georgian.
3.2.3 Level of Education of APs
66. The table below shows the distribution of the project affected persons by the education level.
29
Table 3.2 Level of Education of APs
Pre
kin
der
gard
en
P
resc
hoo
l
Bas
ic e
du
cati
on
Seco
nd
ary
edu
cati
on
Hig
her
edu
cati
on
T
otal
Male 3,5% 1,9% 3,9% 31,1% 9,9% 50,3%
Female 1,2% 2,7% 4,1% 29,9% 11,8% 49,7%
Total 4,7% 4,6% 8,0% 61,0% 21,7% 100%
3.3 Agriculture and Land Resources
3.3.1 Land Holding Status
67. The project affected households own an average of 0.71 ha farming land and 0.08 ha residential yard.
The project affected persons basically are engaged in plant-growing. However, 10% of them have cattle
(an average of 1.6 animal per household), 14% have pigs (an average of 2.1 animals per household) and
67% have poultry (an average of 9.5 heads per household). Special measures are described in the
Entitlement Matrix for people losing more than 10% of productive land.
3.4 Economy of AHs
3.4.1 Major Economic Activities
68. For the majority of the project affected households, 80%, the main economic activity is agriculture. In
addition, 25% of these households carries out commercial activity and 30% is engaged in activities for
daily pay.
3.4.2 Annual Income of AHs
69. The average income of the project affected households is 16,543 GEL annually. The income and
expenses structure of these households are given in the table below.
Table 3.3 Income and Expenses Structure
Income Expenses
Employment 28,6% Food and drinks 37,4%
Agricultural products 54,7% Footwear/clothes 5,4%
Not agrarian business 4,9% Household appliances 2,7%
from property 0,5% Health care 10,6%
Pension/subsidies 10,4% Education 2,3%
Other 0,9% Communication 3,4%
Electricity 2,5%
Transport 9,7%
Fuel 5,6%
Recreation/culture 2,1%
Agriculture 12,1%
Other 6,2%
30
Total 100% Total 100%
3.4.3 Household Assets and Durables
70. The average age of buildings where the project affected persons live is 53 years, an average number of
storeys - 1.9, plan area - 214 sq m, the main building mass - brick/stone and concrete, the average
number of rooms 6-7.The following table summarizes the ownership of different types of durable
goods:
Table 3.4: Possession of Durable Goods
Description Household % having
such goods
Radio 19%
Bicycle 26%
TV 99%
Gas stove 90%
Computer 58%
Refrigerator 90%
Washing machine 71%
Bike 2%
Motor car 64%
Air Conditioner 3%
3.4.4 Prevalence of Debt
71. 63% of household respondents said that they have taken loans from various sources. 52% of them have
taken loan from a bank (with the average rate - 1.47%/month, the average maturity - 25 months, the
average amount - 7200 GEL), while the remaining 48% - from other sources (mainly from the
relatives). To avoid the deterioration of livelihood of these APs, the impact will be monitored and
additional assistance provided on “as needed” basis.
3.4.5 Access to Energy, Drinking Water and Civic Facilities
72. All houses have electricity. 93% of houses have natural gas and water pipelines. Only 27% of the
houses have flush toilet, others have septic toilets. The main source of fuel for heating is wood (64% of
households) and natural gas (36%).
3.4.6 Access to Health Centre, Schools and Road
73. All households have access to health facilities (the average distance of 1.3 km) and schools (average
distance of 0.9 km). The houses of project affected persons have direct access to the roads, 69% - to
local roads, 17% - to the secondary road and 14% - to the international road. The average distance from
the center of a settlement where the project affected persons live to the secondary and international
roads is 0.4 km.
3.4.7 Cultural Values
74. The project affected households first of all name the following most valuable for them cultural
monuments: the churches - the St. Mary, the Holy Trinity, the Ascension, the All Saints, Kvirstkhveli,
the Archangel, St. George, St. Barbara, St John the Baptist, Kashveti, Father David, Zetskhoveli; the
museums of Nato Vachnadze, Ivane Beritashvili, John-Malkhaz Shalikashvili; the monument to
Makharasvhili. None of the above cultural monuments are affected by the project.
31
75. Indirect Impact on Vendors and Planned Mitigation Measures
It is highlighted that income losses not directly attributable to project-related land taking are not covered by WB
OP 4.12 on involuntary resettlement and not eligible for compensation under this RAP. However, such indirect
effects may be identified through social assessment and mitigated by attentive project design or other special
measures.
In the case of this project, there are no roadside businesses that will be directly impacted by project-related land
take, but some of them could be indirectly affected by the reduction of number of costumers as s result of the
bypass. For this reason, as a part of the ESIA study, all roadside businesses in area of interest were assessed.
According to the survey the list of businesses includes: 59 small shops, 15 car maintenance stations, 7 pharmacies,
5 large shops, 45 individuals selling small amount of fruit and vegetable and 7 small bakeries. In total 138 business
units.
The interviews were carried out on August 2015. The number of respondents (sample size) for the survey was
selected as follows:
30 vendors – Fruit and vegetable sellers (total number of outlets is 45) were interviewed (level of
confidence 94%, sample error 6%);
25 small shops were interviewed (level of confidence 90%, sample error 7%);
7 car maintenance stations were interviewed (level of confidence 90%, sample error 8%)
3 large shops were interviewed (level of confidence 92%, sample error 7%)
4 pharmacies were interviewed (level of confidence 90%, sample error 8%)
According to the survey 65% of employed are female. For 70 % of respondents, road side trading is the only
employment and source of income of the family (household). The composition of these families varies between 2
to 7 members.
According to the survey the car maintenance stations, pharmacies, small and large shops, are less prone to the
change in the traffic flow. They will still serve the locals. It is expected that the traffic of tourists and holiday
makers in this direction, including those going to Telavi and etc. will not change.
As per the shop owners, volume of sales is not dependent on the traffic flow and/or the season. Therefore, they
think the effect of the traffic diversion on larger shops will be insignificant.
Most of the small and large shops have been operating for more than 10 years. All respondents refused to specify
their approximate daily income, except one vendor, the owner of a large shop in Bakurtsikhe. He said that his
approximate daily turnover was 200-300 GEL. As mentioned by the interviewees, in recent years the number of
customers decreased but the owners are still keen to preserve their businesses and pay small salaries to employees
even when their income is minimum and hardly enough for paying off the taxes.
Thus, the survey revealed that 48 individual vendors (45 fruit and vegetable sellers and 3 selling bread) trade only
from spring to autumn (May to October). Most of them are not operating in winter, or operate at very limited
scale.
32
The attitude of these 48 individual vendors toward the project is dual. They agree that the road is necessary, and
are happy that diversion of traffic will reduce the risk of car accidents, improve air and noise quality in the
settlement, but at the same time fear that they will have to stop their business as the number of customers reduces.
They sell own fruits, vegetables and bread directly in front of their houses and their income directly benefit from
road users.
Most of them are skeptical that establishment of alternative businesses will be feasible in short term prospective.
In their opinion this will be possible only in case of support from the State. The best solution suggested by the
majority of individual vendors1 is the priority in job opportunities during road construction works.
To summarize, the survey confirmed that among all road side vendors, 48 individual vendors selling fruit,
vegetables and bread are the most vulnerable to the possible change that may be incurred as result of proposed
road project.
Measures to mitigate potential negative impact
The RDMRDI is promptly ready to address this issue as suggested in the OP 4.122. The RDMRDI will deploy a
Consultant to undertake social assessment, design measures to minimize and mitigate adverse economic.
The Consultant will survey these 48 individual vendors at mid-construction phase (and later on post construction
phase). During the survey patterns similar to the baseline data3 (possessions and average monthly and/or annual
consumption of HH and etc.) of the same 48 individual vendors will be collected and compared with already
available baseline data.
The comparison analyses of the baseline data and data obtained during mid-construction survey will show
difference and allow determination of change and trends of impact (negative and/or positive).
If negative impact trend is confirmed, the RDMRDI will conduct an additional survey to determine the areas (for
rest and selling local goods) along the new road, where the local vendors will be allowed to sell their agricultural
production.
The overall purpose of this activity is to minimize the negative impact on local population and increase their
income with indirect benefit from the project.
1 In their opinion they or their family members must have priority during temporary employment. 2 OP 4.12 Section: Impact Covered, Footnote 5: "Where there are adverse indirect social or economic impacts, it is good practice for the
borrower to undertake a social assessment and implement measures to minimize and mitigate adverse economic and social impacts,
particularly upon poor and vulnerable groups. Other environmental, social, and economic impacts that do not result from land taking may
be identified and addressed through environmental assessments and other project reports and instruments". 3 The survey results will serve as the baseline data. Although interviewees were reluctant to provide information on their daily income from
the road side sales, the information on important patterns still have been obtained, such as composition of the household, gender, education
and employment, possession of durable items, annual/monthly consumption patterns.
33
34
35
Satisfied
Partially
satisfied
Dissatisfied
Don’t
know/cannot
assess
Outpatient treatment 74% 12% 10% 4%
First-aid 76% 10% 10% 4%
Purchase of drugs 65% 15% 17% 3%
Recreation and health-improvement 5% 4% 87% 4%
Taking a child to a preschool institution 88% 6% 2% 4%
Taking a child to a school 98% 2% 0% 0%
3.5 Gender issues
75. In the process of study of gender issues household member women of 25-65 age were surveyed (1
woman from a household, random selection out of those present. The women representing 84
households (67% households) expressed their opinion on gender issues.
76. To the question “Are you satisfied with the current situation of women in your village/town?” 30% of
the women surveyed said that they are satisfied, 56% - dissatisfied, while the remaining 14% did not
answer. 72% of dissatisfied women specified the hard work as the reason of dissatisfaction.
77. Women surveyed said that the persons responsible for the family budget in their families are: in 40% -
men, in 15% - women and the rest did not answer this question. 13% of women said that their families
are well-fed, 64% said that their families are well fed from time to time, 20% said that their families are
poorly fed, while the remaining 3% did not answer the question about the family diet.
78. The interviewed women named the main health problem: among children - viral diseases, among
adults - cardiovascular diseases. 97% of the surveyed women are aware of HIV/AIDS.
79. The women expressed their satisfaction with the possibility of making a variety of services as follows.
Table 3.5: Women Satisfaction by Services
80. The frequency of travel of surveyed women to various directions is given below.
Table 3.6: Women Travel Frequency
Travel Answers *
1 2 3 4 5 6 7
Outside the region 1% 2% 2% 8% 18% 60% 9%
To the region center 23% 12% 17% 33% 8% 7% 0%
Outpatient clinic/hospital 1% 1% 1% 14% 13% 62% 8%
Agrarian market 1`% 9% 15% 29% 10% 26% 11%
Other 4% 6% 6% 7% 4% 2% 71%
*) 1. everyday, 2 - sometimes in a week, 3 - at least once a week, 4 - 2-3 times a month; 5 - at least once a month, 6 - less
than once a month, 7 –don’t know/no answer.
81. 52% of the women interviewed, said they are interested in getting jo b in the project, 4% are partially
interested in it, 26% do not want to be employed in the project, while 12% don’t have an answer. 85%
36
of women said that they have no social obstacle to start work in the project, while for the remaining
15% such obstacles exist (that shall be mainly due to the social restriction).
3.6 Assessment of Living Standards and Attitude towards the Project
82. The project affected persons were asked to make self-assessment of their current living standards. The
following table summarizes self-assessments of the respondents.
Table 3.7: AP’s Assessment of Existing Living Standards
Description Answer
“Yes”
1- Irregular income 73%
2- Unsatisfactory food 73%
3- Lack of heating 32%
4- Lack of funds for children’s education 35%
5- Lack of funds for clothes 75%
83. The project affected persons were asked to express their attitude towards the road project. Overall, the
attitude towards the project is positive (73 % assesses it positively). At the same time, the positive
assessment of the road impact on the community level is relatively modest - 24%, which seems to be
related to the substantial uncertainty in this respect (“I cannot assess” answers - 58%). Below are the
actual survey data: the answers to the question “Your attitude towards the road project” are the
following:
Table 3.7: AP’s Attitude towards the Project (General)
Answer %
1 Strongly negative 1
2 Negative 9
3 Neither negative, nor positive 11
4 Positive 44
5 Strongly positive 29
6 Cannot assess 6
84. The answers to the question: “What do you think about the impact of the road project on the
socioeconomic activity in your community?” were distributed as follows:
Table 3.8: Attitude to the Project (Community)
Answer %
1 Strongly negative 1
2 Negative 2
37
3 Neither negative, nor positive 15
4 Positive 18
5 Strongly positive 6
6 Cannot assess 58
38
4 LEGAL AND POLICY FRAMEWORK
4.1 Georgia’s Laws and Regulations on Land Acquisition and Resettlement
85. In Georgia, the legislative acts given below regulate the issues of obtaining State ownership rights to
privately owned land parcels based on the necessary public needs caused due to road constructions
activities:
The Constitution of Georgia, August 24, 1995 ( Last update 16 October 2013)
The Civil Code of Georgia, June 26, 1997 (amend. 2000, 2002, 2003, 2004, 2005, 2006, 207, 2008,
2009, 2010, 2011, 2012, 2013, 2014)
The Law of Georgia on Cultural Heritage 8 May 2007 (amend. 2008, 2010, 2011, 2013, 2014) The Law of Georgia on Notary Actions , December 4 2009 (amend. 2010, 2011,2012, 2013, 2014,
2015)
Law on Public Health 27 June 2007 (amend. 2009, 2010, 2011, 2012, 2013, 2014, 2015)
The Law of Georgia on Ownership Rights to Agricultural Land, March 22, 1996 (amend. 1997,
1998, 1999, 2000, 2003, 2004, 2007, 2010, 2012, 2014)
Law on Compensation of Land Substitute Costs and Damages due to Allocating Agricultural Land
for Non-Agricultural Purposes 1997 (amend. 2005, 2006, 2007, 2009, 2010, 2011, 2013, 2014, 2015)
The Law of Georgia on Recognition of the Property Ownership Rights Regarding the Land Plots
Owned (Used) by Physical Persons or Legal entities; 11 June 2007 (amend. 2007,2008,2009 2010,
2011, 2012)
Law on state property 2010 (amend 2011, 2012,2013,2014)
The Law of Georgia on Public Register- No820 –IIs; December 19 of 2008; (amend.2009 2010, 2011,
2012, 2013, 2014, 2015)
The Law of Georgia on the Rules for Expropriation of Ownership for Necessary Public Need, July
23, 1999 (amend. 2005, 2007, 2010, 2013)
The Civil Procedural Code of Georgia, November 14, 1997(amend. 1998-2015)
The Law of Georgia on State property, June 21, 2010
86. Overall, the above laws/regulations provide that the principle of compensation at full replacement costs
is reasonable and legally acceptable. The laws also identify the types of damages eligible to
compensation and indicate that compensation is to be given both for loss of physical assets and for the
loss of incomes. Finally, these laws place strong emphasis on consultation and notification to ensure
that the APs participate in the process. Income loss due to loss of harvest and business closure will be
compensated to cover net loss. The above-listed laws and regulations give the possibility of applying
the following mechanisms for legal application of the property rights:
I. Obtaining the right of way without expropriation through the payment of due compensation
(on the basis of negotiations or a court decision) prior to commencement of the activities.
II. Expropriation which gives the possibility of obtaining permanent right to land and/or other real
estate property on the basis of Eminent Domain Law and a court decision through the payment
of due compensation.
87. Land will be acquired through eminent domain, first on the basis of negotiated settlement with
individual affected entities. Should the negotiation fails, the expropriation process under the eminent
domain will start and the expropriation procedures set out in the Law of Georgia “On the Rules for
Expropriation of Ownership for Necessary Public Need” shall be applied.
88. Under the existing Law in Georgia and in accordance with the Law of Georgia “On the Rules for
Expropriation of Ownership for Necessary Public Need” the expropriation shall be carried out based on
39
the order of the Minister of Economy and Sustainable Development of Georgia and a court decision.
The order of the Minister of Economy and Sustainable Development of Georgia will determine the case
of public needs, and grant the expropriation entity rights to obtain land. Only the court shall determine
a state body or local authorities and/or legal entity under the Public Law/Private Law to which the
expropriation rights can be granted. The court decision should also include a detailed inventory of the
assets to be expropriated and the provisions on the compensation payable to relevant land owners.
4.2 Involuntary Resettlement requirements under the World Bank Involuntary Resettlement Policy (OP
4.12)
89. Specific World Bank requirements concerning resettlement are contained in the Operational Policy
(OP. 4.12) on Involuntary Resettlement that is based on the following principles:
o Involuntary resettlement should be avoided in all cases where feasible, and where it is not possible to
avoid resettlement, it should be kept at a minimum;
o Where it is necessary to carry out resettlement, it should be treated as a development programme
providing efficient resources for a new investment to a displaced person;
o Persons affected by resettlement shall be fully informed and shall have the opportunity to participate
in procedures with a view to protecting and exercising the rights which they are entitled to;
o Displaced persons shall be assisted in their efforts to improve their income and standards of living, or at
least to restore them to and keep them at pre-displacement levels;
o The obligation to assist displaced persons and to provide them with appropriate protection shall exist
regardless of how they have acquired property and possession, i.e. regardless of their legality (thus, also
when displaced persons have no legal basis and they are unlawful users);
o Displaced persons shall be ensured full payment of replacement costs and a compensation for the
property taken, in the amount which enables the compensation or replacement of the property taken
with a new one.
90. The given Policies contain the obligation to provide support and assistance in the course of the
compensation and resettlement process, during and after the resettlement process and also included in
the Entitlement Matrix (see below).
91. Assistance during the compensation and resettlement process shall include:
o Assistance during the relocation of personal belongings;
o Maintenance, transport, and/or sale of materials from the old facility;
o Transport of household members with medical assistance where required; and
o Assistance with the entering into possession of new real property.
92. As part of the quoted World Bank Policies, particular attention is paid to vulnerable groups of the
population. These are groups of people who, under the impact of the Project, by virtue of gender,
ethnicity, age, physical or mental disability, economic status, or social status may be more adversely
affected by resettlement caused by the Project than other population groups, or who may be limited in
their ability to claim or take advantage of resettlement assistance.
93. Consistent with paragraph 16 of OP 4.12, the following categories of persons will be qualified for
compensation based on land ownership:
a) Persons who have legal, formal rights on land (including legal title or customary and statutory rights of
occupancy recognized under the Law),
36
Georgia Laws and Regulations WB OP 4.12 Bridging Measure??
Land compensation only for titled
landowners. In practice legalizable
land owners are also compensated
after they are issued with the
necessary papers
Lack of title should not be a bar to
compensation and/or rehabilitation. Non-
titled landowners receive rehabilitation.
According Entitlement matrix:
Owners with full land
registration and owners/users of
legalizable land will be
provided with cash
compensation at full
replacement cost. Non-
legalizable agricultural land
users (squatters/encroachers)
will not be compensated for the
value of the land. However,
they will be compensated at
replacement value for any loss
b) Persons who do not have formal legal rights on land at the time the census begins but have a claim to
such land or assets provided that such claims are recognized under the national law or become
recognized through a process identified in the resettlement and compensation plan,
c) Persons who have no claim to land they are occupying or using.
94. Persons covered under a) and b) above are to be provided compensation for land they lose, and other
assistance in accordance with the policy. Persons covered under c) above are to be provided with
resettlement assistance in lieu of compensation for the land they occupy or use, and other assistance, as
necessary, to achieve the objectives set out in this policy, if they occupy or use the project area prior to
a cut-off date established by the appropriate authorities and acceptable to the Bank (4 March 2015). All
persons included in a), b) or c) above are to be provided with compensation for loss of assets other than
land.
4.3 Comparison of Georgian Laws and Procedures on Land Acquisition and Resettlement and WB’s OP 4.12
requirements on Involuntary Resettlement
95. Overall, the legislation of Georgia adequately reflects the major provisions of the WB OP 4.12, but a
few differences are to be noted. The most significant difference is that under Georgian legislation the
emphasis is put on the definition of formal property rights and on how the acquisition of properties for
public purposes is to be implemented and compensated while in the case of OP 4.12 emphasis is put
both on the compensation of rightfully owned affected assets and on the general rehabilitation of the
livelihood of affected People (AP) and Households (AH).
96. Because of this, the Bank’s safeguards policy on Involuntary Resettlement complement the Georgian
legislation/regulation with additional requirements related to (i) the economic rehabilitation of all
AP/AH (including those who do not have legal/formal rights on assets acquired by a project); (ii) the
provision of indemnities for loss of business and income, (iii) and the provision of special allowances
covering AP/AH expenses during the resettlement process or covering the special needs of severely
affected or vulnerable AP/AHs. Also, under Georgian law negotiation is seen as an alternative to
expropriation, whereas under OP 4.12 negotiation under threat of expropriation still qualifies as
involuntary resettlement. In addition, the legislation of Georgia does not require any specific measure
regarding the need to prepare RAPs based on extensive public consultations.
97. The differences between Georgia law/regulation and WB policy are outlined in the Table below:
Table 4.1: Comparison of Georgian Laws on LAR and WB’s OP 4.12
37
of assets on the land built
before the cut-off date.
Only registered houses/buildings
are compensated for
damages/demolition caused by a
project
All affected houses/buildings are
compensated for buildings
damages/demolition caused by a project
According Entitlement matrix:
All AHs regardless of legal
ownership/ registration status
(including legalizable and
Informal Settlers) will be
compensated in cash at full
replacement costs free of
depreciation and transaction costs.
Additionally, all such Ahs will
receive allowance covering
transport expenses and a
livelihood expenses for the
transitional period for 3 months
Crop losses compensation provided
only to registered landowners.
Crop losses compensation provided to
landowners and sharecroppers/lease
tenants and any informal users, whether
registered or not
According Entitlement matrix:
For all AHs regardless of legal
status (including legalizable and
Informal Settlers) crop will be
compensated in cash at gross
market value of actual or
expected harvest
Land Acquisition Committee in
RDMRDI is the only pre-litigation
final authority to decide disputes
and address complaints regarding
quantification and assessment of
compensation for the affected
assets.
Complaints & grievances are resolved
informally through community
participation in the Grievance Redress
Committees (GRC), Local governments,
and NGO and/or local-level community
based organizations (CBOs).
Complaints & grievances will
be resolved informally
through community
participation as described in
the RAP
Decisions regarding land
acquisition and resettlement are
discussed only between the
landowners and the Land
Acquisition Authorities.
PAPs are to be fully informed and have the
opportunity to participate in procedures
with a view to protecting and exercising
the rights which they are entitled to in line
with the above stated provisions of OP
4.12.
PAPs will be fully informed
and have the opportunity to
participate in procedures
with a view to protecting
and exercising the rights as
described in the RAP
No provision for income/livelihood
rehabilitation, allowances for
severely affected or vulnerable
APs, or resettlement expenses.
WB policy requires rehabilitation for
income/livelihood, severe losses, and for
expenses incurred by the APs during the
relocation process.
Rehabilitation for
income/livelihood, severe
losses, and for expenses
incurred by the APs during the
relocation process will be
provided according to
Entitlement matrix.
No specific plan for public
consultation is provided under the
Georgian laws
Public consultation and participation is a
continuous process at conception,
preparation, implementation and post
Public consultation and
participation will be a
continuous process as
38
implementation. described in the RAP
98. To reconcile the gaps between Georgia laws/regulations and WB’s OP 4.12 the RDMRDI has drafted
this RAP for the Project, ensuring compensation at replacement cost of all items, the rehabilitation of
informal settlers, and the provision of subsidies or allowances for AHs that may be relocated, suffer
business losses, or may be severely affected.
4.4 Principles and Procedures of Land Acquisition
99. The overarching objective of the Project in relation to land and asset acquisition is to assist the project
affected populations (PAPs) in restoring their livelihoods at least to the level equal to the pre-project
level. Specific principles that apply include:
Construct the road to avoid residential areas wherever possible to minimize physical relocation of
people, and select alignments that minimise acquisition of privately or publicly held productive
land;
Adopt design standards that minimise the need to impose land use restrictions on adjoining areas;
Develop fair and transparent procedures, as defined in the Entitlement Matrix in this RAP to
determine compensation for (i) temporary loss of land/ assets during construction; (ii) permanent
acquisition of land and assets; and (iii) restrictions on use of land that may be applied to areas
adjoining the corridor;
Acquire land (or right to use land) through negotiated agreements and with the use of the power of
eminent domain only as a last resort. Even if PAPs agree to negotiate and reach an agreement, they
are still covered under this RAP and WB due diligence requirement.
Upon completion of construction, restore land as best as possible to its original condition in the
event of temporary disruption so as to enable landowners/users/lessees to resume their pre-project
activities;
Keep affected people and communities fully informed about the project, the process that will be
followed to acquire and compensate for land, and their related rights and avenues for redress.
Ensure that grievances PAPs may have will be redressed adequately and that solutions in line with
principles laid out in this RAP be employed;
All PAPs, without regard to legal status of property, will receive support of various kinds, as per the
principles set out in the Entitlement Matrix, to assist them in their efforts to maintain their
livelihoods and standards of living prevailing prior to the Project. Those who illegally own land will
not be compensated for loss of land, but will receive compensation for loss of other assets which
had been established on their own finance, and for loss of income such that they are also assisted in
their efforts to maintain their livelihoods. PAPs will be notified of the project implementation
schedule and consulted regarding the principles of land acquisition and loss of or damage to assets.
Damages to assets, such as standing crops, trees, fences and kiosks, and loss of income, including
loss of harvest, will be minimized, and where inevitable, will be compensated without regard to
legal status of ownership according to the Entitlement Matrix provided in this RAP.
The contractor is responsible for repairing any accidental damage of property to non-acquired
assets.
100. Marketing research was conducted during RAP preparation to assess the prevailing market prices
of land, construction materials for affected structures, crops and other relevant items, and was used to
determine compensation. This will additionally ensure that the market prices plus any transaction costs
will allow PAPs to purchase replacement land.
39
101. Loss of income and assets will be compensated on replacement value, which includes market value
plus taxes and transaction costs, and without tax, depreciation or any other deduction.
102. The final RAP will be submitted to and cleared by the Bank prior to the execution of civil works
for relevant sections.
103. The details of land acquisition procedure will be spelled out in the RAP, inclusive of the following:
Initial consultation with PAP to notify the project and its impact
Census, geographic survey and socioeconomic survey of PAP
Determination of PAP and types/ scale of impact
Development of compensation package and drafting of RAP Consultation with PAP
Negotiation with PAP and payment of compensation
If the negotiation with PAP fail, the applicable legislation of property expropriation will be used.
Compensation/rehabilitation measures will be implemented before land take for project purposes.
104. According to the applicable land acquisition legislation of Georgia, the complete and accurate
registration of privately owned land is a necessary prerequisite for the acquisition of land required for
the project by the organizations implementing the necessary infrastructural projects. The Roads
Department of the Ministry of Regional Development and Infrastructure of Georgia, will acquire
privately owned land through negotiations, as far as possible, based on the informal consultations with
the affected persons (including those lacking the legal title of the land). During the negotiations, the
adequate and fair price of the land and/or other assets will be offered.
105. The Roads Department of the Ministry of Regional Development and Infrastructure of Georgia,
will ensure the open process of negotiations with the affected persons, and will do its best endeavors
to succeed. Just in case, if the negotiations fail, the applicable legislation of property expropriation land
will be used for the expropriation of land.
106. The Land Acquisition and Resettlement working group of the Roads Department which is assisted
by the district Land Acquisition and Resettlement team will hold talks with the affected persons about
compensation. In the case of successful negotiations, sale and purchase agreements will be signed with
the legalized owners of purchased parcels of land, while the entitlement agreement on assets and
income compensation/rehabilitation will be signed with the affected persons. All complaints of the
relocation affected persons will be determined by the grievance mechanism provided by the project
(see section 8 below)
107. In the case of failed negotiations despite the grievance mechanism involved, the Roads
Department of the Ministry of Regional Development and Infrastructure of Georgia will petition the
district court for the expropriation process.
108. The Roads Department of the Ministry of Regional Development and Infrastructure of Georgia
will provide new maps and drawings with cadastral, and legal details, which are necessary for the
legalization to interested owners subject to legalization. This process will be continued by the local
administration which will verify the ownership certificates according to those maps and the land will
be finally registered at the regional registry office of the National Agency of Public Register before the
issuance of the project compensation. Procedures of land acquisition for the project are included in
Appendix 1.
40
5 COMPENSATION ELIGIBILITY AND ENTITLEMENTS
5.1 Compensation Matrix
109. LAR tasks under the Project will be implemented according to a compensation eligibility and
entitlements framework in line with both Georgia laws and regulation and WB OP 4.12. A summary
entitlements matrix is included in Table 2 below.
Table 5.1: Compensation Matrix
Type of Loss Application Definition of APs Compensation Entitlements
Land
Permanent loss
agricultural land
of AH losing agricultural land
regardless of impact severity
Owner with full registration Cash compensation in cash at full
replacement cost or replacement land of
same value of land lost and at location
acceptable to APs where feasible. The
preferred option is cash compensation as the
land-for-land option is not used since there
are no state reserves of public agricultural
land which was privatized during the land
reform. If residual plots become unusable
the project will acquire it in full if so the AP
desires.
Legalizable Owner These AP will be legalized and provided
with cash compensation at full replacement
cost.
Non-legalizable owners
(squatters/encroachers)
Non-legalizable APs losing agricultural land
plot, which is the only land plot owned by
AH and provides main source of income for
AH, will be compensated with a single self-
relocation allowances in cash equal to 1 year
of minimum subsistence income.
Non-Agricultural
Land
AH losing
commercial/
land
their
residential
Owner with full registration Cash compensation at full replacement cost
or replacement land of the same value of
land lost and at location acceptable to APs
where feasible.
Legalizable Owner APs will be legalized and provided with cash
compensation at full replacement cost.
Renter/Leaseholder Rental allowances in cash for 3 months.
Non-legalizable
(squatters/encroachers)
owners Non-legalizable APs losing land plot, which
is the only land plot used for residence or
providing main source of income for AH, will
be compensated with a single self-relocation
allowances in cash equal to 1 year of
minimum subsistence income.
41
Type of Loss Application Definition of APs Compensation Entitlements
Buildings and Structures
Residential and non
residential
structures/assets
All AHs regardless of legal
ownership/ registration status
(including legalizable and
Informal Settlers)
All impacts will be considered as full impacts
disregarding the actual impact percentage.
Impacts will be compensated in cash at full
replacement costs free of depreciation and
transaction costs. Additionally, all such AHs
will receive allowance covering transport
expenses and a livelihood expenses for the
transitional period for 3 months (see below)
Loss of Community Infrastructure/Common Property Resources
Loss of common
property resources
Community/Public Assets Community/Government Reconstruction of the lost structure in
consultation with community and restoration
of their functions
Loss of Income and Livelihood
Crops Standing crops affected or
loss of planned crop
incomes*
All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Crop compensation in cash at gross market
value of actual or expected harvest.
Compensation for this item will be provided
even in case if the crops were harvested
Trees Trees affected All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Cash compensation at market rate on the
basis of type, age, market price of product
and productive life of the trees.
The project affected person is given the
possibility to cut himself the trees in his
ownership and use the wood. In case he is
unable or denies to do so, the construction
contractor will clean the area from the
plants and store at the place allocated by the
Municipality and later will transfer to the
Municipality.
Business/Employment Business/employment loss All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Owner: (i). (permanent impact) cash
indemnity of 1 year net income; (ii)
(temporary impact) cash indemnity of net
income for months of business stoppage.
Assessment to be based on tax declaration
or, in its absence, minimum subsistence
income.
Permanent worker/employees: indemnity
for lost wages equal to 3 months of
minimum subsistence income and trainings
on computer literacy or other.
42
Type of Loss Application Definition of APs Compensation Entitlements
Allowances
Severe Impacts >10% income loss All severely affected AHs
losing more than 10% of
affected agricultural land plot
(including informal settlers)
Agricultural income: Two-year yield from
affected land
Non agriculture income: 1 additional
compensation for 3 months of minimum
subsistence income.
Physical Resettlement Transport/transition costs All AHs to be relocated Provision of allowance covering transport
expenses and a livelihood expenses for the
transitional period for 3 months equal to 3
months of minimum subsistence income.
Vulnerable People
Allowances
AHs below poverty line,
headed by Women, disabled
or elderly
Allowance equivalent to 3 months of
minimum subsistence income** and
employment priority in project-related
work (persons with such ability)
Temporary Loss
Temporary impact
during construction
All AHs Due compensation will be assessed and paid
based on this RAP during construction. All
land required for temporary use is to be
obtained by the civil works Contractor on
voluntary basis (e.g., willing buyer-willing
seller basis through an informed consent
and power of choice on the part of land
owner to agree or disagree with the
temporary land acquisition). The maximum
period for temporary use is defined as 2
years. Compensation rates to be paid should
not be less than compensation at current
market rates for the gross value of 4 year’s
harvest of crops on the affected lands. It is
also required that lands (or other assets) be
fully cleared and restored following use
Unforeseen
resettlement impacts,
if any
Road Department and the construction
contractor will address and
mitigate/compensate unforeseen resettlement
impact during project
* Income expected from crops on affected agricultural land permanently used for crop cultivation during the recent years.
In case the land was permanently used for crop cultivation, but no crops have been planted (due to need of rest to this land
or illness of the farmer or any justifiable reason) for the year when the inventory of losses was conducted, the land parcel
will be still considered as designed for crop cultivation and relevant compensations will be paid
** Minimum subsistence income to be calculated based on a 5-member family and the monthly-updated benchmarks indicated
by the National Statistics Office of Georgia at time of RAP approval.
43
5.2 Eligibility
110. APs entitled for compensation or at least rehabilitation provisions under the Project are:
All APs losing land either covered by legal title/traditional land rights, legalizable, or without legal
status;
Tenants and sharecroppers whether registered or not;
Owners of buildings, crops, plants, or other objects attached to the land; and
APs losing business, income, and salaries.
111. Compensation eligibility is limited by a cut-off date established as March 4, 2015. APs who settle in
the affected areas after the cut-off date will not be eligible for compensation. They, however will be
given sufficient advance notice, requested to vacate premises and dismantle affected structures prior to
project implementation. Their dismantled structures materials will not be confiscated and they will not
pay any fine or suffer any.
5.3 Definition of Entitlements
112. Entitlement provisions for APs losing land, houses, and income and rehabilitation subsidies will
include provisions for permanent or temporary land losses, buildings losses, crops and trees losses, a
relocation subsidy, and a business losses allowance based on tax declarations and/or existing minimum
market rates. These entitlements are detailed below:
Agricultural land impacts will be compensated at replacement value either with replacement plots
of the same value of the land lost and at location acceptable to APs where feasible, or in cash free of
transaction costs at current market rates or (if no land markets are active) based on the reproduction
cost of the affected land. The preferred option is cash compensation as the land-for- land option is
not common since there are no state reserves of public agricultural land, which was privatized
during the land reform. When >10% of project affected agricultural land plot is affected, AP
(owners, leaseholders and sharecroppers) will get an additional allowance for severe impacts equal
to the market value of a 2 year’s gross yield of the land lost. In case of severe impact on other
income, the APs will be paid additional compensation corresponding to 3 months of minimum
subsistence income. Transaction taxes/fees will be paid by the EA or waived. Legalizable APs will be
legalized and paid as titled owners. Non-legalizable APs losing agricultural land plot, which is the
only land plot owned by AH and provides main source of income for AH, will be compensated with
one time self-relocation allowances in cash equal to 1 year of minimum subsistence income.
Residual non-affected sections of a plot that becomes inaccessible or unviable to use after
acquisition will also be compensated.
Non agricultural land (Residential/commercial land). Legal settlers will be compensated at
replacement rate either with replacement plots of the same value as plots affected and at location
acceptable to APs where feasible, or in cash at current market rates, free of transaction cost. The
cash at market rates option has been selected for the Program. Renters/leaseholders will receive a 3
months rent allowance. Non-legalizable APs losing land plot, which is the only land plot used for
residence or providing main source of income for AH, will be compensated with one time self-
relocation allowances in cash equal to 1 year of minimum subsistence income. This allowance is to
be calculated based on a 5-member family and the monthly-updated benchmarks indicated by the
National Statistics Office of Georgia at the time of RAP approval.
Houses, buildings, and structures: Compensation for houses falling within the land acquisition
corridor will be provided cash compensation at replacement cost based on cost of construction
material, labour, transport of materials and specific features of the buildings free of deductions for
44
depreciation, transaction costs or salvaged materials. All relevant APs are entitled to this provision
by default irrespective of the registration status of the affected item.
Crops: Cash compensation at current market rates for the gross value of 1 year’s harvest by default3.
Crop compensation will be paid both to landowners and tenants based on their specific
sharecropping agreements.
Trees: Cash compensation at market rate based on type, age and productivity of trees.
Businesses: If business is lost permanently it will be compensated in cash equal to a 1-year income
based on tax declaration or, if unavailable, based on the official minimum subsistence income.
Temporary business losses will be compensated in cash for the business interruption period based on
tax declaration or, if unavailable, official minimum subsistence income for 3 months. The construction
company is responsible for the temporary damages/impacts occurred during the construction.
Affected business workers/employees: Indemnity for lost wages for the period of business
interruption up to a maximum of 3 months.
Relocation allowance: APs forced to relocate will receive a relocation subsidy sufficient to cover
transport costs and living expenses for 3 months.
Vulnerable People Allowance: Vulnerable people (APs below poverty line and women or elder
headed households without any other bread-winner member of family) will be given an allowance
corresponding to 3 months of minimum subsistence income and other members of such AHs will
have priority in employment in project-related jobs. The allowance is to be calculated based on a 5-
member family and the monthly-updated benchmarks indicated by the National Statistics Office of
Georgia at the time of RAP approval. Also, the impact will be monitored and additional assistance
provided on “as needed” basis.
Severe Impacts Allowance: APs losing >10% of agricultural land or >10% of non-agricultural
income will receive a severe impacts allowance. When >10% of an AP agricultural land is affected,
AP (owners, leaseholders and sharecroppers) will get an additional allowance for severe impacts
equal to the market value of a 2 year’s gross yield of the land lost. In case if this value is less than 3
months subsidence minimum, than the severely affected APs will receive allowance equal to 3
months minimum subsidence. For cases of severe impact on non-agricultural income (from
business, renting/leasing etc.), the APs will be paid additional compensation corresponding to 3
months of minimum subsistence income. This allowance is to be calculated based on a minimum
subsistence income for 5-member family and the monthly-updated benchmarks indicated by the
National Statistics Office of Georgia at the time of RAP approval. Also, the impact will be
monitored and additional assistance provided on “as needed” basis. This is in line with the RPF for
SLRP III.
Community Structures and Public Utilities: Will be fully replaced or rehabilitated so as to satisfy
their pre-project functions.
Temporary impact during construction: All land required for temporary use is to be obtained by the
civil works Contractor through voluntary negotiations (e.g., willing buyer-willing seller basis). The
maximum period for temporary use is defined as 2 years. Compensation rates to be paid should
3Compensation by default means that crop compensation will be paid irrespective of whether the crops were already harvested or not at
the time of impact. This covers also compensations for income expected from crops on Affected agricultural land permanently used for
crop cultivation during the recent years. In case the land was permanently used for crop cultivation, but no crops have been planted
(due to need of rest to this land or illness ofthe farmer or any justifiable reason) for the year, when the inventory of losses was
45
conducted, the land parcel still will be considered as designed for crop cultivation and relevant compensations will be paid
46
not be less than compensation at current market rates for the gross value of 4 year’s harvest of crops
on the affected lands. It is also required that lands (or other assets) be fully cleared and restored.
5.4 Assessment of Compensation Unit Values
113. The methodology for assessing unit compensation values of different items is as follows:
(i) Agricultural Land will be valued at replacement rates according to two different methodologies depending
on whether active land markets in affected areas exist or not.
a. Where active land markets exist land will be compensated at replacement rate based on a survey of land
sales in the year before the impact survey.
b. Where active land markets do not exist land will be compensated based on the reproduction cost of a plot
with equal features, access and productivity to the plot lost (see Appendix 3).
(ii) Houses/buildings will be valued at replacement value based on construction type, cost of materials, type of
construction, labour, transport and other construction costs. No deduction for depreciation and transaction
costs will be applied.
(iii) Annual crops will be valued at net market rates at the farm gate for the first year crop. In the eventuality
that more than one-year compensation is due to the APs the crops after the first will be compensated at
gross market value.
(iv) Trees will be valued according to different methodologies depending whether the tree lost is a wood tree
or a productive tree.
a. Wood trees will be valued based on age category (a. seedling; b. medium growth and c. full growth) and
wood value and volume.
b. Fruit/productive trees will be valued based on age (a. seedling; b. adult-not fruit bearing; and c. fruit
bearing). Stage (a) and (b) trees will be compensated based on the value of the investment made; stage (c)
trees will be compensated at net market value of 1 year income x number of years needed to grow a new
fully productive tree.
114. The unit compensation rates was assessed by the authorized independent evaluator based on clear
and transparent methodologies. The assessed compensation rates will then be verified and certified by
the resettlement division in RDMRDI. Short methodology description is given in RAP, a detailed
report of the independent appraiser (in Georgian) is submitted to the RD, assessed by head of
Resettlement and Environmental protection division and a certified specialist in asset valuation.
5.5 Expropriation and Legalization
115. Acquisition of land through expropriation will be pursued under the Program only in extreme
cases when negotiations between APs and RDMRDI fail.In these cases, however, RDMRDI will not
occupy the needed plots until: (i) the proper judicial process as defined by the law is initiated; (ii) a
court injunction has been obtained and properly communicated to the APs; and (iii) the
compensation/rehabilitation amounts are deposited in an escrow account. No land acquisition will take
place until the compensation/rehabilitation amounts envisaged in the approved RAP are deposited in
an escrow account in a treasury (project account/ or the EA’s account). The deposited funds will be
paid to PAP upon the court decision on expropriation or in case if the PAP decides to drop the case and
sign the agreement with the RDMRDI.
116. APs who do not have proper registration or titles but are rightfully owners of the plots they
lose, will be legalized and registered in the land records. After this is done they will receive full
compensation as the legal APs.
47
6 INSTITUTIONAL ARRANGEMENTS
117. The compensation/rehabilitation program described in this RAP involves distinct processes and
dynamics and different actors. The Road Department of the Ministry of Regional Development and
Infrastructure of Georgia (RDMRDI) will be the Executing Agency (EA) having the lead responsibility
for road construction, as well as the implementation of the RPF and subsequently this RAP. RDMRDI
with the assistance of the consultants will develop and implement the RAP for each project based on
the policy and procedures set out in the RPF for SLRP III (link)4. In addition to the RDMRDI, a
number of other government departments and private agents will play an instrumental role in the
design, construction and operation of the project. Pursuant to the active legislation, the Ministry of
Natural Resources and Environmental Protection is responsible for environmental issues. The Ministry
of Justice is responsible for legal matters regarding land ownership, and National Agency of Public
Registry (NAPR) within the Ministry of Justice is in charge of the registration of land ownership and
its transfer through purchase agreement from landowners to the Road Department. The local
government at Sakrebulo and village level will also be involved. The role of each of these actors is
detailed below.
6.1 RDMRDI
118. RDMRDI has overall responsibility for the MFF. This includes preparation, implementation and
financing of all LAR tasks and cross-agency coordination. RDMRDI will exercise its functions through
its existing resettlement division (RRDRD) which will be responsible for the general management of
the planning and implementation of all RAP tasks. Roads Department will timely provide feedback on
all inquiries PAPs might have regarding the project.
Contact information for PAPs : RDMRDI , The Land Acquisition and Resettlement Division, №12, Al.
Kazbegi ave., Tbilisi; Tel.
119. RRDRD. The RRDRD staffed with a sufficient number of LAR specialists, will be tasked with all
LAR coordination tasks at central and local government level and will be responsible for: (i) screening
the projects and ensuring that the RAP are properly prepared and sent to WB for review, (ii)
supervising the consultants that prepare the RAP and assist in it implementation; (iii) establishing
needed LAR capacity at each regional level office where LAR is relevant; (iv) ensuring proper internal
monitoring; and (v) hire, following WB recommendation the external monitoring agency. RDRD will
also provide all needed documentation to ensure the prompt allocation of LAR budgets to the APs and
will maintain the coordination of all LAR related activities. Two specialists will work on the present
RAP implementation - specialist from RRDRD and specialist from Gurjaani Municipality. RRDRD will
provide all the neccassry equipment, materials, transport means and technical support to these
specialists.
120. Local RDMRDI Offices. The Regional RDMRDI offices will assist the activities of the RRDRD with
one dedicated officer who will facilitate the communication between the RRDRD, the local
governments and the APs and assist in implementing LAR tasks related to the local administration.
6.2 Consultants
121. Different types of consultants will be involved in RAP tasks:
a) PPTA consultants: These include international and/or local LAR capacity and needed survey
48
4 http://www.georoad.ge/uploads/files/SLRP%20III%20RPF51.pdf
49
teams to carry out field-surveys and prepare the needed RAP.
b) Design consultants: These will include international and local LAR capacity and needed survey
teams to carry out the same activities for updating/finalizing the RAP of first tranche based on the
detailed engineering design and will also prepare RAP.
c) Supervision consultants: These include international and local LAR capacity and needed survey
teams and will assist in overall Project supervision.
d) Social Safeguards Consultant (SSC): This consultant will be hired to conduct the external
monitoring and evaluation of the RAP implementation. In the absence of a supervision consultant,
the SSC will continue to carry out the external monitoring and evaluation for all the RAPs.
e) Independent Asset valuators: These include accredited private firms to be hired by the PPTA or
Design consultants to carry out the evaluation of affected assets.
6.3 Local Governments
122. Local government especially at Sakrebulo level has direct jurisdiction for land administration,
valuation, verification and acquisition. To confirm the surveys and the asset valuations carried out by
the LAR consultants RDMRDI through its consultants will establish in Sakrebulo where RAPs are to be
implemented a Sakrebulo Level LAR team which will have designated officials from the Sakrebulo
administration. The LAR team at Sakrebulo level will have close coordination with the village
administration for the LAR activities. Effective inter-agency coordination at Sakrebulo and village level
will be assigned to the regional level RDMRDI.
6.4 Other Agencies and Institutions
123. Several other institutions will participate to LAR preparation/implementation of LAR tasks (see
Figure 1 below). These are:
(i) Ministry of Finance. RAP implementation budgets will be provided to RDMRDI by the Ministry
of Finance following the official approval of the final RAP.
(ii) Ministry of Justice. The Ministry of Justice is responsible for legal matters regarding land
ownership, and National Agency of Public Registry within the Ministry of Justice is in charge of
land registration and transfer ownership rights through purchase agreement from landowners to
the Road Department.
(iii) Local Courts. In case of expropriation issues, RDMRDI will have to rely on the Gurjaani Rayon
Court which based on due legal process will have to review the expropriation cases, carry out a
hearing and decide whether the land can be expropriated and at what price. In order to expedite
the expropriation process RDMRI will negotiate with the courts a fast-tracked action plan.
(iv) WB. Besides regular supervision of the project activities, the WB also reviews this RAP and clear
contract awards signing and initiation of civil works to all subprojects with RAPs developed.
50
Fig. 3: Organizational chart
51
7 PUBLIC CONSULTATION, PARTICIPATION AND DOCUMENTS DISCLOSURE
124. Concerned officials of centre, district/Sakrebulo, municipalities and villages/Sakrebulo have been
informed about the Project, and their assistance was solicited to conduct the inventory of affected
assets and the Census of APs and the DMS. Also, prior to the finalization of the RAP and its submission
to Project authorities, the APs will be thoroughly informed on the results of the Census and DMS, and
their preferences on compensation or other resettlement assistance will be given due consideration.
The processes and mechanisms ensuring the active involvement of APs and other stakeholders was
detailed (see appendix 2 with date, list of participants, and minutes of consultation meetings).
125. Georgian and English v e r s i o n s o f t h e R A P will be disclosed on the RDMRDI website and
at RDMRDI head office. The RAP in Georgian will also be disclosed at the Gurjaani municipality
office and at local governments’ offices. . The English version will be disclosed on the WB website
prior of starting of the Project implementation. A pamphlet in Georgian, summarizing
compensation eligibility and entitlement provisions, will be sent to all AP/AHs before the initiation
of the compensation/rehabilitation process and before signing contract awards. The consultation
process will be continued throughout the civil works and the road operational period.
126. In the process of preparation of this RAP, public consultations with the Gurjaani public
representatives (both on the municipal level and on the level of affected territorial authorities) were
held, on February 10-13, 2015 at which issues related to the Gurjaani bypass road project were
addressed. The Gurjaani region administration, representatives of the different strata of the community
and local media took part in the meeting held at the municipal level. The consultant of Social Safety of
Resettlement Department of Environmental Protection Agency of Roads Department of the Ministry
of Regional Development and Infrastructure of Georgia, the head of Resettlement Department of
Resettlement and Environmental Protection Agency and the specialist of Resettlement and
Environmental Protection Agency attended the meeting held at the municipal level. The project
affected persons were invited to participate in the meetings held at the territorial authorities level.
127. A total of 174 persons took part in the public consultations. Public consultations were held in the
following order:
- February 10, 2015 - Meeting at the Gurjaani municipality (47 participants);
- February 12, 2015 - Meeting with representatives of the territorial authorities Bakurtsikhe and
Kolagi (51 participants);
- February 12, 2015 - Meeting with representatives of the territorial authorities Vejini, Dzirkok and
Chandari (31 participants);
- February 13, 2015 - Meeting with representatives of the territorial authorities of the town of
Gurjaani and village Gurjaani (27 participants);
- February 13, 2015 - Meeting with representatives of the territorial authorities Chumlaki and
Akhasheni (18 participants).
128. At the meetings the public representatives were informed about the main features of the
engineering design of the project, the basic principles of land acquisition and resettlement according to
the project framework; they also received answers to their questions. At the end of the meetings held
at the territorial authorities level the attendees were interviewed by groups in order to identify the
public opinion on various issues related to the project (see Appendix 2).
52
129. APs participated in the meetings held at Sakrebulo level. The meeting held in Gurjaani
Municipality was also attended by the public representatives of Gurjaani Rayon. The meeting
participants were informed about the commencement date (14 February 2015) of field survey (field
measurements, inventory and socio-economic survey). In total 137 APs participated in the meetings.
APs have been individually informed about the date of field survey on their land plots by the
representatives of Sakrebulo level local authorities.
130. Consultations with APs have been also conducted individually during the field survey works on
their land plots.
53
8 COMPLAINTS AND GRIEVANCES
131. A grievance mechanism will be available to allow an AP appealing any disagreeable decision,
practice or activity arising from land or other assets compensation and also with social safeguard issues.
APs will be fully informed of their rights and of the procedures for addressing complaints whether
verbally or in writing during consultation, survey and during the whole process of project
implementation. Care will always be taken to prevent grievances rather than going through a redress
process. This can be obtained through careful LAR design and implementation, by ensuring full
participation and consultation with the APs, and by establishing extensive communication and
coordination between the affected communities, the EA, and local governments in general. Complaint
& Grievances will be addressed through the process described below in Table 3.
132. The GRM consist of project-specific systems established at the municipal level and regular system
established at RDMRDI. Grievance Redress Committee (GRCE) established at municipal level as a
project-specific instrument, is functional for the whole period of the project implementation.
Grievance Redress Commission (GRCN) is formed as an informal structure within the RDMRDI to
ensure grievance review, resolution and record.
133. Grievance Redress Commission (GRCN) is formed by the order of the Head of RDMRDI as a
permanently functional informal structure, engaging personnel of RDMRDI from all departments
having regard to the LAR issues and complaint resolution. This includes top management, Safeguard or
LAR Units, Legal Departments, PR department and other relevant departments (depending on specific
structure of the IA). The GRCN is involved at the Stage 2 of grievance resolution process. The Order is
also state that if necessary representative of local authorities, NGOs, auditors, APs and any other
persons or entities can be included in the commission as its members.
134. A Grievance Redress Committee (GRCE) is an informal, project-specific grievance redress
mechanism, established to administer the grievances at Stage 1. This informal body will be established
at community level in Gurjaani Municipality (village/community authority). The GRCE shall include
representatives of Municipal LAR Teams and local communities. The RDMRDI representative in the
Municipal LAR Team shall coordinate the GRCE formation. He/she will then be responsible for the
coordination of GRCE activities and organizing meetings (Convener). In addition, GRCE shall comprise
village Rtsmunebuli or his/her representative, representatives of APs, women APs (if any), and
appropriate local NGOs to allow voices of the affected communities to be heard and ensure a
participatory decision-making process.
135. GRCEs will be established at the Gurjaani municipality level with an office in accordance to the
order from the RDMRDI with provision of 7 members of following composition:
(i) Representative of Resettlement Unit of IA : Convener; Contact Person
(ii) Representative Rayon LAR team : Member Secretary
(iii) Representative of Gamgebeli of Gurjaani rayon : Member
(iv) Representative of Aps : Member
(v) Representative of NGO : Member
54
(vi) Representative of Civil Works Contractor : Member
(vii) LAR Specialist of Supervision Consultants : Member
136. Representative of the Resettlement Unit of IA is coordinating the work of the Committee and at
the same time he/she is nominated as a contact person for collecting the grievances and handling
grievance log. The local authorities at the municipal level, civil works Contractor, Supervising
Company (Engineer), as well as APs (through informal meetings) are informed about the contact
person and his contact details are available in offices for all mentioned stakeholders.
137. The Contact Person collects and records the grievances, informs all members of the Committee
and the management of RDMRDI regarding the essence of the problem, engages the relevant
stakeholders in discussions with the applicant of grievance, handles the process of negotiation with AP
at the stage 1 of the grievance resolution. The Contact Person prepares the minutes of meetings and
ensures signatures. In case if the grievance is resolved at the stage 1, the Contact Person records the fact
of closing the grievance in Grievance Log and informs RDMRDI management about this in written. If
the complainants are not satisfied with the GRC decisions, they can always use the procedures of Stage
2 of grievance resolution process. In that case the Contact Person helps the AP in lodging an official
complaint (the plaintiff should be informed of his/her rights and obligations, rules and procedures of
making a complaint, format of complaint, terms of complaint submission, etc).
138. The APs should be informed about the available GRM. This could be achieved through
implementing information campaigns, distributing brochures (e.g. Communication Plan), keeping all
focal points up-to-date & maintaining regular communication with them, allowing multiple entry
points for complaints, introducing forms for ease of reporting complaints (see Table. 8.1).
55
Table 8.1: Grievance Resolution Process
Steps Action level Process
Step 1 Negotiations with APs The complaint is informally reviewed by the grievance redress
committee (GRCE), which takes all necessary measures to resolve
the dispute amicably.
Contact: GRCE, Gurjaani municipality, local liaison consultant;
Access: in person, by writing, by phones;
Expected maximum response times: 3 days
Step 2 GRC Resolution If the grievance is not solved during the negotiations, the GRCE will assist
the aggrieved APs to formally lodge the grievances to the GRCE.
The aggrieved APs shall submit their complaints to the GRCE within 1
week after completion of the negotiations at the village level. The
aggrieved AP shall produce documents supporting his/her claim. The
GRCE member secretary will review the complaint and prepare a Case
File for GRCE hearing and resolution. A formal hearing will be held with
the GRCE at a date fixed by the GRCE member secretary in consultation
with Convenor and the aggrieved APs.
On the date of hearing, the aggrieved AP will appear before the GRCE at
the Gamgeoba office for consideration of grievance. The member
secretary will note down the statements of the complainant and
document all details of the claim.
The decisions from majority of the members will be considered final from
the GRCE at Stage 1 and will be issued by the Convenor and signed by
other members of the GRCE. The case record will be updated and the
decision will be communicated to the complainant AP.
Contact: GRCE, Gurjaani municipality, local liaison consultant
Access: in person, by writing, by phones;
Expected maximum response times: 10 days.
Step 3 Decision from central
RDMRDI
If any aggrieved AP is unsatisfied with the GRCE decision, the next
option will be to lodge grievances to the RDMRDI at the national level.
The RDMRDI shall review the complaint in compliance with the
procedures specified in the Administrative Code of Georgia.
GRC should assist the plaintiff in lodging an official complaint (the
plaintiff should be informed of his/her rights and obligations, rules
and procedures of making a complaint, format of complaint, terms
of complaint submission, etc).
The plaintiff shall be informed of the decision.
Contact: GRC, RDMRDI, social safeguard consultant;
Access: by writing;
Expected maximum response times: 2 weeks.
Step 4 Court decision If the RDMRDI decision fails to satisfy the aggrieved APs, they can
pursue further action by submitting their case to the appropriate court of
law (Rayon Court).
The aggrieved AP can take a legal action not only about the amount of
compensation but also any other issues, e.g. occupation of their land by
the contractor without their consent, damage or loss of their property,
restrictions on the use of land/assets, etc.
Contact: Court;
Access: by writing ;
Expected maximum response times: unknown.
56
Court
Negotiators
Execution of
139. RU of RDMRDI headquarters will keep record of complaints received for its use as well as for
review by the WB during regular supervisions.
Acquisition
Failed
Road Department
Failed Complaint Payment
Grievance
Commission
Failed
Succeeded
negotiations
Project Affected person
Fig. 4. Redress and grievance
57
9 IMPLEMENTATION SCHEDULE
140. The time schedule for the implementation of this RAP has been prepared by the Ministry of
Regional Development and Infrastructure Ministry in consultation with the Roads Department. All
activities related to the RAP implementation have been planned so as to ensure payment of
compensation before the relocation and beginning of construction operations.
141. The legal status of the project affected land was determined as a result of the activity related to the
acquisition and resettlement study and through searching the ownership certificates. In frames of this
research the land owners having the documents certifying the title of the land to be purchased, and
those without such documents, but subject legalization were identified.
142. This RAP is final. The tasks of land acquisition and resettlement plan are divided as follows:
Final preparation, that includes the approval of the plan, different initial tasks, such as legalization
of the affected landowners subject to legalization and signing agreements with them;
The plan implementation, that includes the finalization of the agreements, claiming corresponding
compensation and payment of allowances and compensations;
Implementation assessment. Public consultations, internal monitoring and grievance will be
conducted periodically during the project.
143. At the same time, the main stages of the RAP implementation are:
approval of land acquisition and resettlement plan;
signing agreements;
notification on the consent of the beginning of construction operations;
start of construction operations.
144. Further evaluation of the project implementation will be carried out on completion of the activity
provided by this plan.
145. The Resettlement Administration of the RDMRD will establish appropriate institutions, the Land
Acquisition and Resettlement Commission, the working group/LAR team, the grievance commission,
other necessary units.
146. The implementation timetable is given in the following table.
Table 9.1: Implementation Timetable
Events
Months
1 2 3 4 5
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Completion of RAP preparation
Public consultations/ongoing
engagement’s
RAP review and approval
58
RAP disclosure
Construction contract
RAP budget allocation
Land legalization
Assets acquisition : stage 1
Assets acquisition: stage 2
Assets acquisition: stage 3
Transfer to the accounts of PAPs
Depositing in special cases
Grievance
Legal proceeding in court
Relocation of PAPs
Internal monitoring
External monitoring
Start of construction operations
147. Construction works will start after completion of the preparatory work. These objectives are:
execution of agreements with affected persons;
information dissemination and consultations;
grievance;
transfer of compensation and assistance to bank accounts of affected persons;
registration of land demarcated for the project on behalf of the Roads Department;
compliance and reporting review;
notification of start of the construction operations; ;
monitoring.
Construction company also will have obligation under its contract to compensate any damage/loss to PAPs
even in case if there is no actual resettlement but the loss/inconvenience happens during the works.
148. Further evaluation of implementation will be made a year after the RAP implementation.
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10 COSTS AND BUDGET
10.1 Introduction
149. The tentative costs of the Resettlement Plan implementation is the total of the due compensation
and benefits costs, the administrative costs and contingencies. The implementation administrative
expenses include the administrative expenses related to the implementation of the Resettlement Plan.
The contingencies (10% of total value) are also included in the budget to take account of changes in the
costs in the negotiation phase.
150. In case of the excessive estimate of costs the Roads Department shall timely ensure the attraction
of extra funds. The Roads Department in coordination with the Ministry of Finance will be responsible
for taking into account of the resettlement plan costs when drawing up the annual budget in advance.
151. Below are given the estimates related to the expenses of the different types of resettlement plan by
both the entitlement and compensation rates.
152. The methodological principles for determining compensation rates are set out in Appendix 5.
10.2 Budget
10.2.1 Land Compensation
153. The amount of compensation for the land was established in consideration of location of the
affected areas (the Gurjaani Municipality, the designed road route). The land is divided into three
types: agricultural (non-irrigated arable), household plots and industrial/commercial land. The
following table shows the amount of land compensation.
Table 10.1: Land compensation
Type of land Compensated area
(sq. m)
Compensation rate
(GEL/sq. m)
Compensation
(GEL)
Agricultural 180163 3.3 594537.90
Household plot 8469 5.61 47511.09
Industrial/commercial 3815 11.88 45322.20
Total land compensation 687371.19
10.2.2 Buildings and Structures Compensation
154. The compensation for buildings and structures is calculated on the basis of current value of the
materials, construction operations and other costs required for construction of similar buildings less the
depreciation. The buildings are evaluated individually and the amount of their compensation rate is
given in the technical appendix. The following table shows the aggregate amount of compensation for
buildings and structures.
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Table 10.2: Compensation for buildings/structures
Type Quantity Compensation
(GEL)
Residential houses 4 487411.00
Auxiliary household facilities 40 150505.00
Industrial/commercial structures 3 644363.00
Fences 114 224364.19
Total buildings and structures compensation 1506643.2
10.2.3 Perennial plants compensation
155. The compensation amount for fruit-bearing perennials was calculated according to the
compensation rates and quantity of affected trees established on the basis of the inventory performed
in the frames of preparation of this resettlement plan (see Appendix 5 and Section 2.2.). The calculation
results are given in the following table:
Table 10.3: Compensation for Fruit-bearing perennials
Species
Age group
Total
(GEL) 5- 5-9 10-14 15-19 20-24 25+
Apple 1470 3100 5000 800 320 80 10770
Pear 225 1530 3600 1800 520 1560 9235
Plum/prune/cherry plum 5778 18760 18850 4025 1210 550 49173
Sweet
cherry/cherry/dogberry
7486
9040
4960
420
248
310
22464
Apple-quince 273 735 480 240 360 120 2208
Figs 1440 3430 5460 2240 490 980 14040
Persimmons 0 1750 560 700 280 420 3710
Walnuts 6125 11500 35100 38000 12000 33200 135925
Hazelnuts 560 832 2520 208 0 0 4120
Grapes (white) 66486 34080 135450 115080 43050 284625 678771
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Grapes (black) 2781 17875 98280 27540 16000 2000 164476
Peach/apricot’s 55335 79300 32200 103600 2160 1760 274355
Other 11220 11110 4928 2288 522 1566 31634
Total 159179 193042 347388 296941 77160 327171 1 400 881
10.2.4 Business interruption compensation
156. No business interruption takes place in frames of this project. Consequently, no compensation for
the lost profit of businesses and loss of salaries of persons employed thereof is not provided by this
resettlement plan.
10.2.5 Crops compensation
157. Crops compensation is conducted according to the estimates made on the basis of the productivity
figures of the past years of various cultures, arable land use structure and (farm gate) prices obtained for
Gurjaani municipality. Based on those estimates the compensation rate of the expected one-year crop
of the non-perennials was determined of 0.24 GEL/sq. m. The following table shows the amount of
crop compensation for the resettlement plan.
Table 10.4: Crops compensation
Quantity
(sq. m)
Compensation
rate
(GEL/sq. m)
Compensation
(GEL)
Implied harvest land 66 688 0.24 16005.12
Total crops compensation 16005.12
10.2.6 Allowances
158. The resettlement plan stipulates issuance of the following allowances:
- Severe impact (2-year implied crops of non-perennials)
- Relocation/replacement (3-month minimum subsistence income for a family of 5 members)
- Vulnerability (3-month minimum subsistence income for a family of 5 members)
According to official data, the living wage for a family of 5 members for this resettlement plan was
considered at 310.1 GEL (July 2015, http://www.geostat.ge/ ); therefore, 310.1 X 3 months equals 930.3 GEL. The
allowance for the severe impact - 0.24 X2 = 0.48 GEL/sq. m (see. Section 9.2.5).
159. The following tables present the allowance amounts:
62
Table 10.5: Amounts of allowances
Severely
affected area
(sq. m)
Compensation
rate
(GEL/sq. m)
Compensation
(GEL)
Severe impact 158749 0.48 76199.52
Number of
families
Compensation
rate
(GEL/sq. m)
Compensation
(GEL)
Relocation/replacement 4 930.3 3721.2
Vulnerability 181 930.3 168384.3
Sub Total 185 930.3 172105.5
Total allowances 248305.02
10.2.7 Administrative costs
160. The budget also provides a certain amount for external monitoring and minor administrative
expenses. The amount of administrative costs is presented in the following table:
Table 10.6: Administrative costs
Unit (Month) Unit cost
(GEL)
Costs
(GEL)
External monitoring expenses 5 4000 20000
Aadministrative expenses 5 7500 37500
Total allowances 57500
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10.3 Aggregated budget
161. The aggregate budget of this resettlement plan amounts to 4 339 231.08 GEL and is presented in
the following table:
N Budgetary item Amount (GEL) Amount
(USD)
Compensations
1 Land compensation 687 371.19
2 Buildings and structures compensation 1 506 643.20
3 Fruit-trees compensation 1 400 881.00
4 Crops compensation 16 005.12
Total compensations 3 610 900.51
Allowances
5 Severe impact allowance 76 199.52
6 Replacement/relocation allowance 3 721.20
7 Vulnerable allowance 168 384.30
Total allowances 248 305.02
Total resettlement plan costs 3 859 205.53
Administrative costs
9 External monitoring agency 20 000.00
10 Minor administrative costs 37 500.00
11 Legalization and Registration fees 28050
Total administrative costs 85 500.00
Total costs 3 944 755.53
Contingencies (10%) 394 475.55
Gross total 4 339 231.08 1 867 862.37
162. All funds provided for by the Resettlement Plan, which are needed for compensation and
allowances, will be allocated by the Government of Georgia. The Roads Department of the Ministry of
Regional Development and Infrastructure of Georgia provides the distribution of funds allocated for
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the implementation of the resettlement plan.
65
11 MONITORING AND EVALUATION
163. LAR tasks under the Project will be subjected to both internal and external monitoring. Internal
monitoring will be conducted by RDRD/RDMRDI. External monitoring will be assigned to SSC to be
hired by RDMRDI and approved by WB.
11.1 Internal Monitoring
164. Internal monitoring will be carried out routinely by RDRD/RDMRDI either directly or through
the services of a consultant. The results will be communicated to WB through the quarterly project
implementation reports. Indicators for the internal monitoring will be those related to process and
immediate outputs and results. This information will be collected directly from regional RDMRDI level
and reported monthly to RDRD/RDMRDI to assess the progress and results of RAP implementation,
and to adjust the work program, if necessary. The monthly reports will be quarterly consolidated in the
standard supervision reports to WB. Specific monitoring benchmarks will be:
(i) Information campaign and consultation with APs;
(ii) Status of land acquisition and payments on land compensation;
(iii) Compensation for affected structures and other assets;
(iv) Relocation of APs;
(v) Payments for loss of income;
(vi) Selection and distribution of replacement land areas;
165. The above information will be collected by RDRD/RDMRDI which is responsible for monitoring
the day-to-day resettlement activities of the project through the following instruments:
a) Review of census information for all APs;
b) Consultation and informal interviews with APs;
c) In-depth case studies;
d) Sample survey of APs;
e) Key informant interviews; and
f) Community public meetings.
11.2 External Monitoring
166. External monitoring will be carried out by the SSC for the project activities. Indicators for External
Monitoring tasks will be carried out in two phases.
167. Phase One. This external Monitoring phase will be carried out in parallel with the implementation
of a RAP and will be concluded after the RAP is fully implemented by the preparation of a compliance
report. An acceptable Compliance Report will be condition to start the implementation of physical civil
works for the project.
168. During this phase the SSC will i) do the investigations and define the indicators needed for phase
two activities and ii) closely monitor the implementation of the RAP. RAP implementation monitoring
will entail the following tasks: (a) review of RAP/Information pamphlet disclosure; (b) review of action
taken by the IA to compensate the APs with particular attention to the way this action fits RAP
stipulations; (c) review all compensation tallies; (d) verify whether the compensation is provided
thoroughly to all APs and in the amounts defined in the RAP and in the AP contracts; (e) asses the
satisfaction of the APs with the information campaign and with the compensation/rehabilitation
package offered to them; (f) review the legalization process and assess its effectiveness; (g) review
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complaints & grievance cases; (h) carry out an AP satisfaction survey with a 20% sample of the APs.
The SSC will prepare the Compliance Report immediately after the completion of RAP
implementation. The Compliance report will include well argued sections on the following:
(i) Assessment of the way the compensation has been carried out in relation to RP stipulations;
(ii) Verification that all APs were compensated in the amounts stipulated in the RAP
(iii) Review of complaint and grievance cases and of their solution
(iv) Assessment of the rehabilitation program for vulnerable APs (v) Assessment of the satisfaction of the APs
(vi) Lesson learned to be applied to the next projects, and;
(vii) General assessment of RAP implementation and recommendations to WB regarding the
provision of No Objection Letter to start the civil works.
169. Phase Two. Within one year from the completion, the whole of RAP implementation will be
assessed. The following are main indicators for the investigations to be carried out in this external
Monitoring phase:
(i) Socio-economic conditions of the APs in the post-resettlement period;
(ii) Communications and reactions from APs on entitlements, compensation, options, alternative
developments and relocation timetables etc.;
(iii) Changes in housing and income levels;
(iv) Rehabilitation of informal settlers; (v) Effectiveness of property valuation for rehabilitation purposes;
(vi) Effectiveness of Grievance procedures;
(vii) Level of satisfaction of APs in the post resettlement period;
(viii) Road safety conditions.
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68
Appendices
69
Appendix 1
Land acquisition procedures
70
1. Introduction
Correct and accurate registration of the ownership rights is a necessary provision for voluntary acquisition or
obligatory expropriation of the property. Under Article 312 of the Civil Code of Georgia the Public Registry
records are considered accurate unless their inaccuracy is proved. Under Article 312 of the Civil Code of
Georgia the inaccurate data available at the Public Registry must be replaced by the accurate data. Thus, the
landowners must ensure demarcation and legalization of their lands through the appropriate procedures.
The landowners must appeal to the Public Registry and present all necessary documents confirming their
rights of ownership and providing description of their lands; the landowners must also have cadastral map with
accurate measurement drawings and documents confirming their rights of ownership (delivery-acceptance
statement, a registration certificate, an extract from the land allocation list issued by the local government
bodies or a certificate on owner's registration as a taxpayer in 1992-2001).
The land in the personal ownership is legalized through its registration at the National Agency of Public
Registry within the Ministry of Justice of Georgia. The land in the private ownership in Georgia is determined
by the privatization of land plots after gaining independence from the Soviet Union.
2. Current Process of Land Registration
Registration of an empty land (a land without any facility on it) has not been terminated. Although, practical
majority of the owners do not initiate new registration of the lands since they are not required to provide a
new registration as the land sale or purchase is not actual in the existing circumstances. However, it should be
noted that these owners continue using their lands on the basis of mutual understanding among the
neighbours.
Actually, these lands and landowners may become the legal owners again. In current situation these cases are
classified as the owners subject to legalization.
Under the acting legislation of Georgia, the owners can be divided into the following categories:
(i) a legal owner / an owner with a certificate:
The landowners and users with the ownership rights registered at the Public registry;
(ii) an owner subject to legalization:
Lawful owners:
The owners who have a land ownership certificate but have no ownership rights registered at the Public
Registry in compliance with the acting legislation.
Unlawful owners:
Unlawful landowners with the right to legalize the land ownership right in compliance with the acting
legislation (the Law of Georgia on Recognition of the Ownership Rights on the Lands Owned (used) by
the Physical and Legal Entities under the Private Law; 2007). For this category registration of the land
ownership right is legally allowed in the following cases:
- State owned agricultural and non-agricultural land plots with the residential houses or buildings on it
which are arbitrarily occupied by a physical or legal entity before 2007 when the current law entered
into force.
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- arbitrarily occupied land adjacent to the land plot owned or lawfully owned by the physical or legal
entity providing that the area of arbitrarily occupied land is less than the legally occupied land area.
- certain exceptional restrictions are provided by the current legislation that prohibit land legalization
(e.g. a land plot on the territory of protected area, forest).5
(iii) Owners whose rights on the land are not subject to legalization:
The persons who have arbitrarily occupied the land and are not entitled to legalize the ownership of the land
under the current law (the Law of Georgia on Recognition of the Ownership Rights on the Lands owned (used)
by the Physical and Legal Entities under Private Law; 2007). In particular, persons, who have no documents
certifying the ownership or use of the land before the entry into the force of this law in 2007, can not legalize
their right of land ownership.
The right of ownership of the land shall be legalized differently for lawful and unlawful owners as described
below, although in both cases the legalization process is completed by the registration of ownership rights. The
rights of the landowners are registered by the National Agency of Public Registry. The Agency issues an
abstract of registration of the ownership on the land plot and facilities on it and appropriate cadastral maps.
Lawful ownership rights are legalized by the regional registration office of the National Agency of Public
Registry. Applicants must submit old documents confirming their ownership rights and also the cadastral maps
of the land plots and buildings located on it.
Legalization of the unlawful ownership right shall be authorized by the Ownership Rights Recognition
Commission in municipality after reviewing the application and its compliance with the acting regulations. In
case of a positive decision the Commission shall issue an ownership right certificate.
On the basis of this certificate the regional registration office within the National Agency of Public Registry
shall register the right of ownership on the land and buildings located on it.
5 Under the Law of Georgia on State Owned Agricultural Land (paragraph 2, Article 3) the following categories of the
state owned land plots shall not be subject to privatization: (a) pastures, unless they are leased before the entry into the
force of this Law that is issued by an authorized state or local government (self-government) and is appropriately allocated
for the facilities and buildings representing private property of the individuals or legal entities, or the state property; (b)
the cattle crossing point on the road; (c) the first zone (the zone of strict regime) around the water supply units on the
sanitary protection territory; (d) the forest fund land which is used for agricultural purposes; (e) recreational zone lands;
(f) lands which are occupied with historical, cultural, natural and religious monuments; (g) protected areas; (h)
agricultural lands which are used by the institutions financed from the State Budget and by the legal entities under the
public law. The land plots defined in (b-e) sub-paragraphs may be privatized only in case of implementation of important
projects decision on which is adopted by the Government of Georgia on the basis of the recommendation of the Ministry
of Economy and Sustainable Development of Georgia. At the same time, the land indicated in sub-paragraph (c) may be
privatized only in case it complies with the sanitary protection conditions (26.10.2007).
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3. The project land acquisition and resettlement studies and documentation
During the RAP preparation process detailed measurement surveys (DMS), evaluations, inventory and social
and economic studies were carried out. According to the final engineering design the road alignment is
displayed (superimposition) on the aerial images (orthophotos) of the project area and on the renewed cadastral
maps of the registered lands obtained from the regional offices of the National Agency of Public Registry.
Within the RoW each affected registered land plot is identified The affected land plots are described in detail
and relevant cadastral data are collected.
On the basis of these data the survey team has started works of field studies including identification of each
land plot and verification of the details displayed on the national cadastral map. The verification process
includes the study to identify the ownership by examination of available documents and consultation with the
owners as well as further discussions with a local self-government and representatives of the National Agency
of Public Registry. By applying these methods final details of each land plot and owner is specified. This will
help in determining the legal owners, the owners subject to legalization (lawful and unlawful) and the persons
illegally occupying the state owned land plots.
Once the compensation of the land/property affected by resettlement is completed, the purchased land will
be transferred (registered) to the Roads Department of Georgia and the rest land will be allocated to the
owners affected by the project. This registration represents the change in the ownership after the purchase. If
the road alignment divides the land into several parts a new cadastral map will be composed for each part and
separate registration will be required for these parts of the land.
4. The registration process of the owners who are subject to legalization
4.1. Registration of lawful owners
The ownership right on the land in lawful ownership (use) is recognized by registering the ownership right at
the Public Registry. To confirm the request on recognition of the ownership right the interested person must
submit:
a document certifying lawful ownership (use) of the land;
a cadastral measurement drawing of the land plot;
a document certifying payment of the fee of recognition of the ownership right;
ID documents of the interested person;
other documents as provided by the legislation of Georgia.
The process and procedure for registration of the owners subject to legalization require the following stages:
Stage 1: Preparation of new and accurate cadastral maps (measurement drawings) by owner. The maps must
include dimensions and cadastral details of the land plots. Under the project a consultant prepares
accurate measurement drawings for the owner of the affected land and submits to the landowner free
of charge.
Stage 2: If the owner has no appropriate documents certifying his/her right of ownership, or if there is any
doubt regarding the land plot, the owner must apply to the regional archive (the Regional
Representation Archive within the National Agency of Public registry) for the documents regarding
the details of the land and the documents certifying the right of ownership.
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Stage 3: After obtaining and verifying the documents certifying the ownership the landowners will be
provided with the ownership certificate from the municipality.
Stage 4: With the obtained certificate the landowners apply to the regional office of the National Agency of
Public Registry. The landowners will submit the above-stated certificate to the local office of the
National Agency of Public Registry. The National Agency of Public Registry will verify the
completeness of all the necessary application documents. For the Public Registry records the
landowners must submit electronic and printed versions of the cadastral maps of land plots showing
coordinates. If the documents comply with the requirements determined by the law, the Agency will
issue the abstract from registration of ownership of the land and the property located on it, and an
appropriate cadastral map.
If the ownership issue is disputable the case may be filed to the court. The opinion regarding the right of
ownership will be made on the basis of the court decision.
4.2. Registration of unlawful land users
A request on recognition of the right of ownership of the arbitrarily occupied land is reviewed on the basis of
the submission of an application in writing to the Commission. In order to confirm the request on recognition
of the right of ownership of the arbitrarily occupied land an interested person must submit the following
documents:
a document and/or a witness statement certifying occupation of the land;
a cadastral measurement drawing of the land;
information to identify the fee for ownership right recognition ;
the copies of the ID documents of the interested person.
The ownership registration process and procedure include the following stages:
Stage 1: Preparation of new and accurate cadastral maps (measurement drawings) issued by the licensed
surveyor. The maps must include dimensions and cadastral details of the land plots. Under the
project a consultant prepares accurate measurement drawings of the affected land and submits to the
land user free of charge.
Stage 2: The map and the fact and nature of using the land plot will be witnessed by the neighbour.
Stage 3: The neighbour’s statement confirming the possession/use of the land plot must be certified by a
notary.
Stage 4: During recognition of the ownership the land users must submit the package of documents to the
Commission that proves the right of legalization of the land in accordance with the Law of Georgia
of 2007 on Recognition of the Ownership Rights on the Lands Owned (Used) by the Physical and
Legal Entities under the Private Law. Namely it includes the documents certifying ownership of the
lawful owners of the plots adjacent to the land that is subject to legalization, which is a necessary
condition for legalization of the arbitrarily occupied land. If the owner does not have the documents
certifying ownership, or if there is any doubt regarding the land plot, the owner must apply to the
regional archive (the local archive of the National Agency of Public Registry) in order to obtain the
evidence of ownership and detailed information on the land.
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Stage 5: After obtaining and verifying the documents certifying the ownership the landowners will be
provided with the ownership certificate from the local government body (the municipality) on the
plot adjacent to the land that is subject to legalization.
Stage 6: After compiling the package of documents the landowners apply to the regional Commission of
recognition of the ownership right. The owners will submit the above-stated package of documents
to the Commission. If the submitted package of documents complies with the requirements
determined by the law, the Commission will issue a certificate of the right of ownership and a
certified cadastral measurement drawing that, among other cadastral data, should include the borders
and area of the plot of land on which the right of ownership is recognized and the buildings located
on it. Accordingly, the owners may complete the registration at the Public Registry.
Stage 7: After obtaining a certificate on the ownership right from the Ownership Recognition Commission the
landowners apply to the regional office of the National Agency of Public Registry. The landowners
submit the above-stated certifying documents to the local office of the National Agency of Public
registry. The National Agency of Public registry verifies the completeness of all necessary application
documents. For the Public registry records the landowners must submit electronic and printout
versions of the maps of the plots together with their coordinates. If the documents comply with the
requirements determined by the law the Agency will issue an abstract from the registration of
ownership of the land and the property located on it, and an appropriate cadastral plan.
If the issue related to ownership is disputable the case may be filed to court. The opinion regarding the right of
ownership shall be prepared on the basis of the court decision.
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Appendix 2
Public Consultations
76
The Photos of the Meetings
The meeting at Gurjaani Municipality
77
The meeting with Bakurtsikhe and Kolagi territorial unit representatives
The meeting with Vejini, Dzirkoki and Chandari territorial unit representatives
78
The meeting with Gurjaani town and Gurjaani village territorial unit representatives
The meeting with Chumlaki and Akhasheni territorial unit representatives
79
Protocol №1 of the public consultations and the discussions with the focus groups
Name of the project: Gurjaani bypass road
Number of participants: 51
Village: Bakurtsikhe, Kolagi
District: Gurjaani
Region: Kakheti
Distance from Tbilisi: 100 km.
Date: 12.02.2015
Time: 12:00
The discussion topics The participants’ opinions, remarks and proposals
What is general attitude towards the project?
Are people informed on the proposed project?
Attitude is not uniform
Do local people support the implementation of
the proposed project?
It is acceptable for most of them. Those who are affected
by the project are more concerned.
Did local people raise any critical issue or
problem regarding the project?
The critical issues are as follows:
1. The problem of the left over plots of land;
2. Whether or not to continue works for harvesting crops
of the current year.
Do you want any certain criterion to be
considered during the designing, construction
and exploitation stages of the project?
They cannot specify.
Do you have any problem regarding the
existing road?
Car accidents (the cars are rushing into the house yards,
etc.)
What kind of vehicles drive on the project
road?
Any kind, including those coming from abroad (Iran,
Turkey, etc.)
In what intervals does public transport move
on the project road?
10-15 times a day
What is an average monthly income? They cannot specify.
How much do you spend a month for 30-50 GEL.
80
The discussion topics The participants’ opinions, remarks and proposals
transportation?
Do you sell your agricultural products on the
market? If yes, how do you transport them?
How much is spent for transportation out of the
total agricultural expenses?
They sell products in small quantities; basically they
consume the products themselves. Grapes and peach are
sold.
Will the proposed project reduce the number of
car accidents and provide better transportation
system?
Car accidents are very frequent in the centre (on
Bakurtsikhe square). They hope that the situation will be
improved.
Is the territory commercially developed? Yes
Is it a production zone? No
General social and economic condition: name
the types of economic activities that are
developed here, the type of land use, harvesting
and growing the agricultural crops (seasonal),
types of the crops, etc.
Agricultural crops (grapes, fruit).
Accessibility to the forest areas and to using the
forest (if any)
Local people do not use forest; they buy the wood in
other places.
The source of the drinking water The water supply system, according to the schedule in
Bakurtsikhe
Is there the deficit of water in the region
necessary for human consumption?
There is a deficit of water in summer.
Was the land purchased previously? If yes,
according to which procedure was the purchase
performed and what was the compensation
package?
There were no cases of purchasing the land for projects.
The protected areas (national park, protected
forests, religiously sensitive places, historical or
archaeological places) (if any).
No such places.
The health status – are there any hospitals and
what is their general condition? Is any disease
spread in the given district and are you
The cases of illness increased (e.g. oncology,
cardiovascular diseases). There is no AIDS.
81
The discussion topics The participants’ opinions, remarks and proposals
informed on AIDS?
The level of poverty: is the district poor, very
poor or wealthy?
By our own evaluation 80% of the people are poor, 70%
of them is in the social registration list.
Education: educated, non-educated, etc. Mainly people have secondary and secondary vocational
education, 20% of them has higher education.
Employment / unemployment / part-time
employment
People are basically employed at their own farms.
Migration (if any) – to and from the district Mainly youngsters go to Tbilisi for studies and for work;
some of them (10-15%) go abroad (Turkey) for work.
If resettlement is necessary for the expansion of
the road where would you like to move?
They prefer the place where they live now.
What mechanisms are available for the
relocation of religious facility (facilities)?
Where might it (they) be relocated?
No such facilities are affected by the project.
Preferable type of compensation (in cash or in
nature)?
There is no uniform approach to this issue. Some people
prefer in nature compensation, and some of them – in
cash.
How will they benefit from the
implementation of the project?
They cannot specify yet.
What type of damage may a project cause? Pollution of the environment, noise. People also talk
about the vibration problems.
Which other social organizations (NGOs /
state-funded organizations / civil communities)
operate in the district? Name them.
There are some organizations in the district, but not in
the village.
Did this consultation assist you? Do you have
any other remarks?
Yes
Is there any expectation that local people will They expect to be employed on the construction works.
82
The discussion topics The participants’ opinions, remarks and proposals
participate in the implementation of the
project?
The local people would not like if employees are brought
from other regions.
Other issues which were not discussed. No such issues.
83
Protocol №2 of the public consultations and the discussions with the focus groups
Name of the project: Gurjaani bypass road
Number of participants: 31
Village: Vejini, Dzirkoki, Chandari
District: Gurjaani
Region: Kakheti
Distance from Tbilisi: 108 km.
Date: 12.02.2015
Time: 15:00
The discussion topics The participants’ opinions, remarks and proposals
What is general attitude towards the project?
Are people informed on the proposed project?
Generally they evaluate it positively.
Do local people support the implementation of
the proposed project?
They basically support, although they raise the issue of
compensation for removed lands as well.
Did local people raise any critical issue or
problem regarding the project?
It is critical moment that they do not have documents on
the lands and vineyards of their ancestors. They require
resolution of this issue.
Do you want any certain criterion to be
considered during the designing, construction
and exploitation stages of the project?
No.
Do you have any problem regarding the
existing road?
No remarks.
What kind of vehicles drive on the project
road?
All types of vehicles (including tractors and cartages).
In what intervals does public transport move
on the project road?
Once in 10-15 minutes
What is an average monthly income? Cannot evaluate.
How much do you spend a month for 100 GEL.
84
The discussion topics The participants’ opinions, remarks and proposals
transportation?
Do you sell your agricultural products on the
market? If yes, how do you transport them?
How much is spent for transportation out of the
total agricultural expenses?
Grapes, peach and other fruit according to seasons.
Will the proposed project reduce the number of
car accidents and provide better transportation
system?
It will reduce the number of car accidents.
Is the territory commercially developed? The number of shops is enough.
Is it a production zone? There is one wine factory in these three local
government units (Chandari)
General social and economic condition: name
the types of economic activities that are
developed here, the type of land use, harvesting
and growing the agricultural crops (seasonal),
types of the crops, etc.
Basic activity is farming on their own plots of land,
vineyards, growing peach / nectarine, corn, beans, water-
melons, melons, vegetables.
Accessibility to the forest areas and to using the
forest (if any)
There is no local forest so they bring woods from the
distant places.
The source of the drinking water Schedule: Once in two days, for 40 minutes.
Is there the deficit of water in the region
necessary for human consumption?
There is a deficit; it is especially difficult during the
seasons.
Was the land purchased previously? If yes,
according to which procedure was the purchase
performed and what was the compensation
package?
Land has not been purchased before.
The protected areas (national park, protected
forests, religiously sensitive places, historical or
archaeological places) (if any).
No.
The health status – are there any hospitals and
what is their general condition? Is any disease
spread in the given district and are you
The cases of digestive tract, cardiovascular, oncology
diseases have increased. No cases of AIDS.
85
The discussion topics The participants’ opinions, remarks and proposals
informed on AIDS?
The level of poverty: is the district poor, very
poor or wealthy?
10% has food to eat, the rest of them are hungry.
Education: educated, non-educated, etc. 30-40% of them has higher education, 10% has technical
education and the rest of them have secondary education.
Employment / unemployment / part-time
employment
They are concerned with unemployment.
Migration (if any) – to and from the district Youngsters mainly go to Tbilisi, some of them go abroad.
If resettlement is necessary for the expansion of
the road where would you like to move?
It will not happen in their district.
What mechanisms are available for the
relocation of religious facility (facilities)?
Where might it (they) be relocated?
No.
Preferable type of compensation (in cash or in
nature)?
In cash payment.
How will they benefit from the
implementation of the project?
Transportation will become easier; there will not be the
vibration.
What type of damage may a project cause? They do not think there will be any damage.
Which other social organizations (NGOs /
state-funded organizations / civil communities)
operate in the district? Name them.
There are not any of them in the local government body,
although there are some in Gurjaani.
Did this consultation assist you? Do you have
any other remarks?
It was useful.
Is there any expectation that local people will
participate in the implementation of the
project?
Of course they would like, but they would not like if
people from other districts are employed.
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The discussion topics The participants’ opinions, remarks and proposals
Other issues which were not discussed. Cannot specify.
87
Protocol №3 of the public consultations and the discussions with the focus groups
Name of the project: Gurjaani bypass road
Number of participants: 27
Village: Gurjaani town, Gurjaani village
District: Gurjaani
Region: Kakheti
Distance from Tbilisi: 117 km.
Date: 13.02.2015
Time: 12:00
The discussion topics The participants’ opinions, remarks and proposals
What is general attitude towards the
project? Are people informed on the
proposed project?
Generally it is useful.
Do local people support the
implementation of the proposed project?
They support it, but few of them are sceptical about the issue.
Did local people raise any critical issue or
problem regarding the project?
Reaching roads; roads going through the valleys (e.g. Kotena).
Do you want any certain criterion to be
considered during the designing,
construction and exploitation stages of the
project?
Zoning should be considered in terms of viniculture. They
prefer the old road.
Do you have any problem regarding the
existing road?
The old road is preferable because it will have less impact on
the cultivable lands.
What kind of vehicles drive on the project
road?
All types of vehicles.
In what intervals does public transport
move on the project road?
Mini-buses and the transit transport of the district.
What is an average monthly income? They cannot specify.
How much do you spend a month for 50 GEL.
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The discussion topics The participants’ opinions, remarks and proposals
transportation?
Do you sell your agricultural products on
the market? If yes, how do you transport
them? How much is spent for
transportation out of the total agricultural
expenses?
They sell water-melon.
Will the proposed project reduce the
number of car accidents and provide better
transportation system?
There are many car accidents with casualty.
Is the territory commercially developed? It is well developed.
Is it a production zone? Now there are 5 wine factories.
General social and economic condition:
name the types of economic activities that
are developed here, the type of land use,
harvesting and growing the agricultural
crops (seasonal), types of the crops, etc.
Farming, trade.
Accessibility to the forest areas and to
using the forest (if any)
The use of forest includes the use of the woods for heating.
The source of the drinking water 70% is water supply system, and the rest is (artesian) wells,
springs.
Is there the deficit of water in the region
necessary for human consumption?
There is no deficit for drinking water.
Was the land purchased previously? If yes,
according to which procedure was the
purchase performed and what was the
compensation package?
They recall such case from the Soviet Union times (allocation
of the relocation lands)
The protected areas (national park,
protected forests, religiously sensitive
places, historical or archaeological places)
(if any).
There is a protected territory “Inazod” which is a hunting
area.
89
The discussion topics The participants’ opinions, remarks and proposals
The health status – are there any hospitals
and what is their general condition? Is any
disease spread in the given district and are
you informed on AIDS?
Heart attacks are frequent. There are no cases of IADS.
The level of poverty: is the district poor,
very poor or wealthy?
There is a high level of poverty.
Education: educated, non-educated, etc. 60% of them have higher education.
Employment / unemployment / part-time
employment
They basically work at their farms.
Migration (if any) – to and from the district They go to Tbilisi and abroad (most of them).
If resettlement is necessary for the
expansion of the road where would you
like to move?
They prefer to stay at their living places.
What mechanisms are available for the
relocation of religious facility (facilities)?
Where might it (they) be relocated?
It will not happen.
Preferable type of compensation (in cash or
in nature)?
In cash, but by fair value.
How will they benefit from the
implementation of the project?
Their evaluation is positive; they think that the town will not
be so loaded.
What type of damage may a project cause? They do not know.
Which other social organizations (NGOs /
state-funded organizations / civil
communities) operate in the district? Name
them.
They are at Gurjaani town.
Did this consultation assist you? Do you
have any other remarks?
It was useful.
Is there any expectation that local people They want to be employed. The construction company must
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The discussion topics The participants’ opinions, remarks and proposals
will participate in the implementation of
the project?
use local resources (human resources, equipment).
Other issues which were not discussed. They cannot specify.
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Protocol №4 of the public consultations and the discussions with the focus groups
Name of the project: Gurjaani bypass road
Number of participants: 18
Village: Chumlaki, Akhasheni
District: Gurjaani
Region: Kakheti
Distance from Tbilisi: 120 km.
Date: 13.02.2015
Time: 15:00
The discussion topics The participants’ opinions, remarks and proposals
What is general attitude towards the project?
Are people informed on the proposed project?
They like it.
Do local people support the implementation
of the proposed project?
They support it
Did local people raise any critical issue or
problem regarding the project?
1. The issue of certifying the ownership rights;
2. The issue of compensation packages (they doubt that
they will be paid less).
Do you want any certain criterion to be
considered during the designing, construction
and exploitation stages of the project?
No.
Do you have any problem regarding the
existing road?
Car accidents.
What kind of vehicles drive on the project
road?
All types of vehicles.
In what intervals does public transport move
on the project road?
Once in 30 minutes.
What is an average monthly income? They cannot specify.
How much do you spend a month for
transportation?
60-70 GEL.
Do you sell your agricultural products on the
market? If yes, how do you transport them?
How much is spent for transportation out of
the total agricultural expenses?
On the wholesale market and in Tbilisi.
Will the proposed project reduce the number
of car accidents and provide better
transportation system?
That will reduce it.
Is the territory commercially developed? The shops are more than enough.
Is it a production zone? There are 2 wine factories.
General social and economic condition: name
the types of economic activities that are
Agriculture, (gardening), vineyard, peach.
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The discussion topics The participants’ opinions, remarks and proposals
developed here, the type of land use,
harvesting and growing the agricultural crops
(seasonal), types of the crops, etc.
Accessibility to the forest areas and to using
the forest (if any)
They use the forest for woods, but there are almost no trees
left in the forest.
The source of the drinking water The village depends on the well. The water supply system
is out of order.
Is there the deficit of water in the region
necessary for human consumption?
There is a deficit of water.
Was the land purchased previously? If yes,
according to which procedure was the
purchase performed and what was the
compensation package?
No.
The protected areas (national park, protected
forests, religiously sensitive places, historical
or archaeological places) (if any).
No.
The health status – are there any hospitals
and what is their general condition? Is any
disease spread in the given district and are
you informed on AIDS?
Heart attack, high blood pressure, liver diseases (hepatitis).
There are no cases of AIDS.
The level of poverty: is the district poor, very
poor or wealthy?
It is represented “well”.
Education: educated, non-educated, etc. 25-30% of the people have higher education, the rest of
them have secondary education.
Employment / unemployment / part-time
employment
It is also represented “well”.
Migration (if any) – to and from the district Middle-age people go to Tbilisi. The young people go for
studies and for work (even abroad).
If resettlement is necessary for the expansion
of the road where would you like to move?
They would like to stay at their living places.
What mechanisms are available for the
relocation of religious facility (facilities)?
Where might it (they) be relocated?
It will not happen.
Preferable type of compensation (in cash or
in nature)?
In cash payment.
How will they benefit from the
implementation of the project?
There is no uniform attitude. They think that reduction of
vibration is good. On the other hand they do not have their
documents in order and they fear whether the
compensation will be adequate.
What type of damage may a project cause? Generally, they evaluate it positively.
Which other social organizations (NGOs /
state-funded organizations / civil
communities) operate in the district? Name
them.
There are not. They are in Gurjaani.
Did this consultation assist you? Do you have
any other remarks?
It was useful. They expect additional information to be
provided in the future.
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The discussion topics The participants’ opinions, remarks and proposals
Is there any expectation that local people will
participate in the implementation of the
project?
They would like to work, but during the season they are
occupied with harvesting their crops.
Other issues which were not discussed. The issue of current year’s harvest. (The participants have
been infomed that this year harvest on affected lands will
be compensated)
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Appendix 3
Evaluation of the Compensation Rate
95
1. Introduction
This annex includes brief description of the compensation rates evaluation methodology. The compensation
rates are evaluated on the basis of the road design determined by the engineering design consultant of Gurjaani
bypass road, the aerial photo data analysis in the GIS system, the official statistical data, the information found
in the scientific literature and internet sources6, also on the basis of the data of previously implemented
projects and the data of the field observations carried out under the current project. Compensation rates have
been calculated by the certified independent evaluator and are detailed in his report.
2. Facilities
The compensation rate of the constructions / buildings was evaluated individually for each building /
construction according to the current market prices of the construction type, cost of the materials, labour cost,
transport and other building expenses without deducting transaction and amortization costs.
3. Perennial plants
The cost of the perennial plants will be determined according to their types and age. During the calculation of
the cost of the fruit trees annual harvest, wholesale market price and the growing expenses will be taken into
consideration. Final calculation of the fruit trees compensation rate will be conducted by the formula:
C = (P * V –M)* L
Where:
C–is the compensation amount for the perennial plant;
V – is an average harvest of the perennial plant per tree per year ;
P – is a market price per 1 kg. of the fruit;
M – is an average expenses per tree (including costs of tree maintenance and harvesting/lodging) per
year;
L – years of compensation of a perennial plant.
6 1. Georgian agriculture census , Geostat, 2005;
2. Georgian agriculture. Statistical collection 2013.Geostat, 2014.
3. National Bank of Georgia; http//:www.nbg.gov.ge
4. The catalogue “word and work”; www.makler.ge
5. Prices of construction resources, the building evaluators union.
6. G. Agladze, “Georgian Fruit-growing”; Book III(1973), Book IV (1978).
7. Geostat, http://www.geostat.ge.
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Relevant data have been obtained from the official statistics, appropriate scientific literature7 and field survey
results.
The compensation rates for the fruit trees calculated according to the above-stated formula are given below in
the table:
Compensation rates for perennial plants (GEL/tree)
Fruit
Age category
5- 5-9 10-14 15-19 20-24 25+
Apple 35 100 200 200 80 80
Pear 45 90 300 300 260 260
Plum /prune/wild plum 18 70 130 115 55 55
Wild cherry/cherry/ dogberry 19 80 160 140 62 62
Quince 39 105 120 120 120 120
Fig 15 70 140 140 70 70
Persimmon/kaki 15 70 140 140 70 70
Walnuts 35 100 300 400 400 400
Nuts 10 52 140 104 80 80
Grapes (white) 21 40 105 105 75 75
Grapes (black) 27 55 135 135 100 100
Peach / apricot / Prunusarmeniaca 35 100 200 200 80 80
Others 33 110 88 88 58 58
7 1. Geostat, http://www.geostat.ge
2. . G. Agladze, “Georgian Fruit-growing”; Book III(1973), Book IV (1978).
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4. One-year plants harvest
Crops compensation is conducted according to the estimates made on the basis of the productivity figures of
the past years of various cultures, arable land use structure and (farm gate) prices obtained for Gurjaani
municipality
The compensation rate was determined on the basis of the land yield analysis. The yield analysis includes the
structure of using the land, multi-year average harvests and the market price. Relevant data was obtained on
the basis of the official statistics8 for Gurjaani municipality and the fieldwork carried out in the project affected
area. The results of the yield calculations of the agricultural (arable) land in Gurjaani municipality are given in
the table below:
The use and yield of arable lands In Gurjaani Municipality
Structure
(%)
Productivity
(t/ hectare)
Price
(GEL/t)
Income
(GEL/hectare)
Wheat 35,8 1.63 496.63 288.92
Corn 16,3 2.38 503.75 195.42
Potato 5,6 5.50 577.98 178.02
Sunflower 25,1 0.60 1254.11 188.87
Beans 1.5 0.78 1587.74 18.58
Vegetables 9,6 5.06 887.07 430.90
Garden products 4,3 16.50 1443.40 1024.09
Food crops 1,7 3.24 1350.61 74.39
Total: 100 - - 2399.2
8 1. Georgian agriculture census , Geostat, 2005;
2. Georgian agriculture. Statistical collection 2013.Geostat, 2014.
3. Geostat, http://www.geostat.ge
4. Data request to Geostat
.
93
On the basis of these calculations the compensation rates of one-year plant crops is 0.24 GEL/m2.
5. Land
The study of data on land purchase occurred over the past year in Gurjaani Municipality (obtained from the
Public Registry) showed that the land market in Gurjaani Municipality is undeveloped. Thus, considering the
RPF requirements, the capitalization method was used to evaluate the compensation rate for land, according to
which
Q=Y/i
where Q is the value of asset ( in this case- land) Y – is the operational profit , i–is the capitalization rate. In
case of agricultural land
Y= 2399.20 -570,22=1828,78 GEL/Ha
wheher 2399,20 is the income per 1 ha (see the previous paragraph) 570,22 volume of operational costs
identified through the survey of cost of agricultural works in Gurjaani Municipality. i=5.55% was considered as
the capitalization rate which is the refinansing rate of Georgian National Bank corrected by the premium for
agricultural business risks. The compensation rate for the agricultural land calculated on the basis of the
capitalization method is 3,30 GEL/m2. For evaluating the non-agricultural lands the relative coefficients
method was applied.
The conducted survey showed that relative coefficients value towards the agricultural land in Gurjaani
Municipality is - 1.7 for residential land and 3.6 for commercial land. As a result of the calculations the
following compensation rates were determined for Gurjaani municipality: residential land - 5.61 GEL/m2,
commercial land – 11.88 GEL/m2.
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Appendix 4
Informative leaflet
95
1. Introduction
The Project of Bakurtsikhe-Gurjaani Bypass Road
Informative Leaflet
Resettlement Action Plan
Bakurtsikhe-Gurjaani bypass road is a component of the Kakheti Regional Roads Improvement Project
(KRRIP) financed by the Government of Georgia and the World Bank.
The bypass road starts from the crossing of the Tbilisi-Bakurtsikhe-Akhmeta and Bakurtsikhe-Telavi-Akhmeta
roads and ends at the Bakurtsikhe-Telavi-Akhmeta road. The bypass road mainly uses the initial road passage
of 1980s, although new ones as well. The basic difference is that a new road will bypass the areas which were
developed and used after 1980s.
The road includes approximately 15 km. section of the road in Kakheti region from the village Bakurtsikhe to
the village Chumlaki, Gurjaani district. This section is the part of the internal state road of Akhmeta-Telavi-
Bakurtsikhe, which is one of the main roads of Kakheti region. The road runs through the heavily-populated
areas and the transit traffic is very intensive on the above-mentioned section due to which the number of car
accidents is high. Construction of the bypass road is planned, which will connect Tbilisi-Bakurtsikhe-
Lagodekhi-Azerbaijan border international road to Akhmeta-Telavi-Bakurtsikhe existing internal state road,
bypassing the villages Bakurtsikhe, Kolagi, Dzirkoki, Chandari, Vejini and Chumlaki and Gurjaani town
located on the Alazani valley.
Construction of a two-line entrance road is also considered with a circle crossroads at the beginning and at the
end of the highway on 0 km. (Bakurtsikhe) and 15.6 km. (Chumlaki). Construction of the circle crossroads is
also planned at the main crossing near Gurjaani – on 9.6 km. Later, construction of another circle crossroads is
also considered (on 1.7 km.) to connect to the planned Bakurtsikhe-Tsnori road. The project also includes
construction of 7 bridge overpasses, including 1 railway bridge, 12 underpasses, pipes, support walls,
embankment protection and regulation facilities. The width of the traffic way is 2x3.5 m, with 0.5 covering
side-strokes, total width of the side-strokes is 2.5 m; the project timeframe for the covering is 20 years.
The project location of Bakurtsikhe-Gurjaani entrance road is given on the drawing below.
96
97
2. The principles of the resettlement policy
In terms of alienation of the land and the property the most significant goal of the project is to help the persons
affected by the project and restore their living conditions at least to the degree they had before the project.
Specific goals include the following:
- The road must be constructed in such a way to bypass the populated areas as much as possible in order
to avoid physical relocation of people; the selected direction of the road must require to the lowest
possible extent the use of the harvested land that is in private or public ownership.
- The project designing standards must be applied that must minimize introduction of restrictions on
the use of land on the adjacent territories.
- Fair and transparent procedures must be developed for determining the compensation according to
the explanatory table of the present resettlement policy framework for the following cases: (i)
temporary loss of the land and property during the construction process; (ii) permanent loss of the
land and property; (iii) introduction of the restrictions on the use of land adjacent to the road.
- The use of land (or the right to use the land) on the basis of the agreement reached by negotiations, in
the extreme cases by the application of the right of “Involuntary Alienation of the Private Property
for the Public Needs”.
- Restoration of the land to its initial condition as much as possible after the construction is completed
in order to enable the landowners / land users / lessees to totally resume the activities which they
conducted before the project was launched.
- Informing people and communities affected by the project as much as possible regarding the project
and the procedures associated with the land use and the compensations; to determine their rights and
mechanisms to satisfy their complaints regarding these issues.
- Ensuring proper review of the complaints of the persons affected by the project and to resolve these
complaints in compliance with the principles determined by the present resettlement policy
framework.
- Irrespective of the legal status of their property the persons affected by the project will be provided
with different types of support according to the principles determined by the present resettlement
policy framework, in order to maintain the source of their living and help them to restore the living
conditions they had before the implementation of the project. The compensations for losing the lands
will not be given to the persons who unlawfully own the land, although they will receive the
compensation for losing other assets, which they had acquired with their own money, and for losing
the income, which was their source of living. The applicable measures will be determined in detail on
the basis of the description and the social and economic review, which will be carried out in the
process of development of the resettlement action plan.
- The persons affected by the project must be notified regarding the schedule of implementation of the
project and must be provided with consultation on the principles of the use of land, and the damage to
or losing the property.
98
- the damage to the property, such as sown land, trees, fences and booths, as well as the lost crops, if
necessary, will be compensated according to the explanatory schedule of this framework document
irrespective of the legal status of the ownership;
As stated above, due to the fact that there is an inconsistency between the World Bank Resettlement Policy
(OP 4.12) and the legislation of Georgia in force and the expropriation practice, any asset required under the
project will be purchased in accordance with the principles and procedures determined by the present
resettlement action plan (RAP); in addition:
- compensations for losing the income and the property will be given in net amount – without deducting taxes,
depreciation costs and other deductible amounts;
- the compensation / rehabilitation measures will be taken according to the progress of the construction works,
but before starting the construction works on a certain section.
3. Entitlement
3.1. General Description
Under the project the land acquisition and resettlement measures will be carried out in accordance with
compensation rights and compliance rules developed according to the legislation and standards of Georgia as
well as the World Bank policy.
General description of the entitlement is given in the table below:
Entitlement Matrix
Type of Loss Application Definition of APs Compensation Entitlements
Land
Permanent loss
agricultural land
of AH losing agricultural land
regardless of impact severity
Owner with full registration Cash compensation in cash at full
replacement cost or replacement land of
the same value of land lost and at location
acceptable to APs where feasible. The
preferred option is cash compensation as
the land-for-land option is not used since
there are no state reserves of public
agricultural land which was privatized
during the land reform. If residual plots
become unusable the project will acquire it
in full if so the AP desires.
Legalizable Owner These AP will be legalized and provided
with cash compensation at full replacement
cost.
Non-legalizable
(squatters/encroachers)
owners Non-legalizable APs losing agricultural
land plot, which is the only land plot
owned by AH and provides main source of
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Type of Loss Application Definition of APs Compensation Entitlements
income for AH, will be compensated with a
single self-relocation allowances in cash
equal to 1 year of minimum subsistence
income.
Non-Agricultural
Land
AH losing their
commercial/ residential land
Owner with full registration Cash compensation at full replacement cost
or replacement land of the same value of
land lost and at location acceptable to APs
where feasible.
Legalizable Owner APs will be legalized and provided with
cash compensation at full replacement cost.
Renter/Leaseholder Rental allowances in cash for 3 months.
Non-legalizable owners
(squatters/encroachers)
Non-legalizable APs losing land plot, which
is the only land plot used for residence or
providing main source of income for AH,
will be compensated with a single self-
relocation allowances in cash equal to 1 year
of minimum subsistence income.
Buildings and Structures
Residential and non
residential
structures/assets
All AHs regardless of legal
ownership/ registration status
(including legalizable and
Informal Settlers)
All impacts will be considered as full impacts
disregarding the actual impact percentage.
Impacts will be compensated in cash at full
replacement costs free of depreciation and
transaction costs. Additionally, all such Ahs
will receive allowance covering transport
expenses and a livelihood expenses for the
transitional period for 3 months (see below)
Loss of Community Infrastructure/Common Property Resources
Loss of common
property resources
Community/Public Assets Community/Government Reconstruction of the lost structure in
consultation with community and restoration
of their functions
Loss of Income and Livelihood
Crops Standing crops affected or
loss of planned crop
incomes*
All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Crop compensation in cash at gross market
value of actual or expected harvest.
Compensation for this item will be
provided even in case if the crops were
harvested
Trees Trees affected All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Cash compensation at market rate on the
basis of type, age, market price of product
and productive life of the trees.
100
Type of Loss Application Definition of APs Compensation Entitlements
The project affected person is given the
possibility to cut himself the trees in his
ownership and use the wood. In case he is
unable or denies to do so, the construction
contractor will clean the area from the
plants and store at the place allocated by
the Municipality and later will transfer to
the Municipality.
Business/Employment Business/employment loss All AHs regardless of legal
status (including legalizable
and Informal Settlers)
Owner: (i). (permanent impact) cash
indemnity of 1 year net income; (ii)
(temporary impact) cash indemnity of net
income for months of business stoppage.
Assessment to be based on tax declaration
or, in its absence, minimum subsistence
income.
Permanent worker/employees: indemnity
for lost wages equal to 3 months of
minimum subsistence income and trainings
on computer literacy or other.
Allowances
Severe Impacts >10% income loss All severely affected AHs losing
more than 10% of affected
agricultural land plot (including
informal settlers)
Agricultural income: Two-year yield from
affected land
Non agriculture income: 1 additional
compensation for 3 months of minimum
subsistence income.
Relocation/Shifting Transport/transition costs All AHs to be relocated Provision of allowance covering transport
expenses and a livelihood expenses for the
transitional period for 3 months equal to 3
months of minimum subsistence income.
Vulnerable People
Allowances
AHs below poverty line,
headed by Women, disabled or
elderly
Allowance equivalent to 3 months of
minimum subsistence income** and
employment priority in project-related
work (persons with such ability)
Temporary Loss
Temporary impact
during construction
All AHs Due compensation will be assessed and paid
based on this RPF during construction. All
land required for temporary use is to be
obtained by the civil works Contractor on
voluntary basis (e.g., willing buyer-willing
seller basis through an informed consent
and power of choice on the part of land
101
Type of Loss Application Definition of APs Compensation Entitlements
owner to agree or disagree with the
temporary land acquisition). The maximum
period for temporary use is defined as 2
years. Compensation rates to be paid should
not be less than compensation at current
market rates for the gross value of 4 year’s
harvest of crops on the affected lands. It is
also required that lands (or other assets) be
fully cleared and restored following use
Unforeseen
resettlement impacts,
if any
Road Department and the construction
contractor will address and
mitigate/compensate unforeseen resettlement
impact during project
*Income expected from crops on affected agricultural land permanently used for crop cultivation during the recent years. In
case the land was permanently used for crop cultivation, but no crops have been planted (due to need of rest to this land or
illness of the farmer or any justifiable reason) for the year, when the inventory of losses was conducted, the land parcel still
will be considered as designed for crop cultivation and relevant compensations will be paid
** Minimum subsistence income to be calculated based on a 5-member family and the monthly-updated benchmarks indicated
by the National Statistics Office of Georgia at time of RAP approval
3.2. Authority to receive compensations
The persons affected by the project who are authorized to receive the compensation or at least rehabilitation
conditions under the project are as follows:
all the persons affected by the project who lose the land with lawful registration / with a traditional
right on the land, the land that is subject to legalization or the land with no legal status;
tenants or lessees despite whether they are registered or not;
the owners of facilities, crops, harvests and other objects located on the land;
the persons affected by the project who lose business, income or salary.
The authority to receive compensation is determined by the cut-off date, which is 4 March 2015 for the project
that is the day when registration of the persons affected by the project was started. The persons affected by the
project who settle on the affected territories after the cut-off date, shall not be authorized to receive
compensation. However they will be preliminarily notified to leave the buildings and to dismantle the affected
facilities before starting the project. The materials of the dismantled facilities will not be seized and no fine or
sanction will be imposed on them.
3.3 Rights to compensation
The compensation payments and rehabilitation subsidies for losing lands, houses and incomes, determined for
the persons affected by the project, include compensation for temporary or permanent loss of the lands, loss of
the buildings and constructions, crops and harvests, and compensation for the loss of incomes from the
102
business on the basis of tax return form and/or simultaneously paid money. The rights to compensation are
listed below in detail:
- Effect on the agricultural land will be compensated on the basis of the relocation cost, or by giving a
plot of land with the equivalent cost to the lost land on the location acceptable for the affected person
where possible, or the monetary compensation will be given in the amount of the market price without
paying the transaction costs or (if there are no current land markets) on the basis of the cost of
reproduction of the affected land. Monetary compensation at the market rates was selected for the
project. When more than 10% of the agricultural land of the persons affected by the project is affected,
the affected persons (owners, lessees) will receive an additional allowance for severe effect which will
be equivalent to the market price of the total crops for 2 years from the lost land. If other type of
income is severely affected, the persons affected by the project will receive additional compensation
which will be equivalent to the 3 months’ minimum subsistence income. The land of the affected
persons, who have legal basis for legalisation of the land (the owners who are subject to legalisation),
will be legalised and provided with compensation as legal owners. The affected persons, who are not
subject to legalisation, will receive only a single payment for self-resettlement that will be equivalent to
1 years’ minimum subsistence income. Compensation will be also given for the part of the residential
plot of land which was not affected, but became inaccessible or unprofitable after the purchase.
- Non-agricultural land (residential / commercial area). Legal residents will receive compensation in the
amount of the replacement cost, or a replacement land will be given to them at the equivalent cost of
the lost land at the location acceptable for them when it is possible, or they will receive monetary
compensation at the current market price without transaction, taxes and depreciation costs. The
monetary compensation at the market rates is selected for the programme. The tenants / lessees will
receive a monetary allowance in the amount of 3 months’ rent fee.
- Houses, buildings and constructions. In order to react on the possible damage incurred by discomfort
and vibration caused by the traffic the compensation determined by this paragraph will be given fully
for the whole building despite the degree of its damage. Compensation will be given in cash
considering the replacement cost without the transaction and amortization costs or the cost of the left
over materials. The leftover materials from the buildings/constructions will be also given to the affected
families which they must use at their discretion and remove from the construction site within the
timeframe agreed with the contracting constructor. All appropriate persons affected by the project are
entitled to exercise this right irrespective of the registration status of the affected object.
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- Crops: monetary compensation at the current market price will be automatically given in the amount
of the cost of the crops for 1 year.9 The compensation for crops will be given to the landowners and the
lessees on the basis of their specific share agreements.
- Trees: Compensation will be given in cash taking into consideration the market rates on the basis of the
type, age and fruitfulness of the trees. The wood of the fruit-bearing and non-bearing trees in private
ownership will also be given to the owners.
- Business: In case of permanent loss of the business the compensation will be given in the amount of 1
year’s profit on the basis of the tax return, or in case of its absence the compensation will be given on
the basis of the official minimum subsistence income. In case of temporary loss of the business the
monetary compensation will be given for the period of suspension of the business. The profit will be
calculated on the basis of the tax return, or in case of its absence, on the basis of the official minimum
subsistence income.
- The business employees / hired employees affected by the project: compensation of the lost salaries will
be given taking into consideration the period of suspension of the business, at least for about 3 months.
- Relocation subsidy: the affected persons, who have to relocate, will be provided with the subsidy in the
amount of 3 months’ minimum subsistence income that will be enough to cover transportation and
living expenses during 3 months.
- Allowance for the vulnerable people: vulnerable people (families under the poverty line, headed by
woman or elderly person, or families with no providers) will be provided with the allowance in the
amount of 3 months’ minimum subsistence income. This allowance must be calculated on the basis of a
5-member family and monthly renewable indicators, which will be indicated by the National Statistics
Office of Georgia by the time of approval of the RAP.
- Allowance in case of severe effect: persons affected by the project, who lose more than 10% of their
agricultural land or more than 10% of their agricultural income, will be provided with the allowance
for severe effect. When more than 10% of the agricultural land of the affected person is affected, the
persons affected by the project (owners, lessees) will receive an additional allowance equivalent to the
market price of the crops harvested 2 years on the lost land. In case of severe effect on other types of
income, the persons affected by the project will be provided with an additional compensation in the
amount of 3 months’ minimum subsistence income. This allowance must be calculated on the basis of a
9 Automatic compensation means that compensation for the crops will be given despite whether the crops were harvested
at the time of the effect or not. It will also include compensation for the income that is expected from the crops harvested
on the affected agricultural land permanently used for harvesting during the previous years. If the land had been
permanently used for harvesting the crops, but during the year when the loss accounted it was not used properly (in order
to rest the land or due to the illness of the farmer or any other justified reason) this plot of land will still be considered as
useful for harvesting and appropriate compensation will be paid.
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5-member family and monthly renewable indicators, which will be indicated by the National Statistics
Office of Georgia by the time of approval of the RAP.
- Construction and utilities in the common / community ownership: such assets will be fully relocated
and rehabilitated by properly restoring their functions that they had before the project.
4. Grievance Review and resolution
The grievance resolution mechanisms will be in place during the implementation of the resettlement plan that
will enable the persons affected by the project to protest against any decision, practice, application or action
related to the payment of compensation for the land or other assets that are unacceptable to them. The persons
affected by the project will be provided with complete information (in writing or verbal) on their rights and
also on how to use the complaint submission and review mechanism during the consultation, studies or
compensation payment period.
Attention will be paid primarily to avoiding the complaints. It may be achieved by careful planning and proper
implementation of the land acquisition and resettlement measures and by full participation of the affected
persons in consultations, by ensuring long-term communication and coordination between the affected
communities and, generally, the self-government bodies. The grievance and complaints must be satisfied
according to the process determined in the table below:
Grievance Resolution Process
Steps Action level Process
Step 1 Negotiations with APs The complaint is informally reviewed by the grievance redress
committee (GRCE), which takes all necessary measures to resolve
the dispute amicably.
Contact: GRCE, Gurjaani municipality, local liaison consultant;
Access: in person; , by writing, by phones
Expected maximum response times: 3 days
Step 2 GRC Resolution If the grievance is not solved during the negotiations, the GRCE will assist
the aggrieved APs to formally lodge the grievances to the GRCE.
The aggrieved APs shall submit their complaints to the GRCE within 1
week after completion of the negotiations at the village level. The
aggrieved AP shall produce documents supporting his/her claim. The
GRCE member secretary will review the complaint and prepare a Case
File for GRCE hearing and resolution. A formal hearing will be held with
the GRCE at a date fixed by the GRCE member secretary in consultation
with Convenor and the aggrieved APs.
On the date of hearing, the aggrieved AP will appear before the GRCE at
the Gamgeoba office for consideration of grievance. The member
secretary will note down the statements of the complainant and
document all details of the claim.
The decisions from majority of the members will be considered final from
the GRCE at Stage 1 and will be issued by the Convenor and signed by
other members of the GRCE. The case record will be updated and the
decision will be communicated to the complainant AP.
Contact: GRCE, Gurjaani municipality, local liaison consultant
Access: in person, by writing, by phones;
Expected maximum response times: 10 days
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Step 3 Decision from central
RDMRDI
If any aggrieved AP is unsatisfied with the GRCE decision, the next
option will be to lodge grievances to the RDMRDI at the national level.
The RDMRDI shall review the complaint in compliance with the
procedures specified in the Administrative Code of Georgia.
GRC should assist the plaintiff in lodging an official complaint (the
plaintiff should be informed of his/her rights and obligations, rules
and procedures of making a complaint, format of complaint, terms
of complaint submission, etc).
The plaintiff shall be informed of the decision.
Contact: GRC, RDMRDI, social safeguard consultant;
Access: by writing;
Expected maximum response times: 2 weeks.
Step 4 Court decision If the RDMRDI decision fails to satisfy the aggrieved APs, they can
pursue further action by submitting their case to the appropriate court of
law (Rayon Court).
The aggrieved AP can take a legal action not only about the amount of
compensation but also any other issues, e.g. occupation of their land by
the contractor without their consent, damage or loss of their property,
restrictions on the use of land/assets, etc.
Contact: Court;
Access: by writing ;
Expected maximum response times: unknown.
The template of the claims and remarks application is given in the Annex to the present leaflet.
5. Compensation and allowance rates
The compensation rates of various assets were evaluated according to the following principle:
- The agricultural land was evaluated at the resettlement rate. As there is no active land market on the
territory affected by the project, the compensation for the lands was evaluated on the basis of
productivity of the lands;
- The compensation rates for the houses / buildings were evaluated individually for each building /
construction according to the current market price of the type of building, cost of materials, labour
costs, transportation and other building expenses. Transaction and amortization costs were not
deducted;
- The compensation rate for the annual crops was determined for the plant species according to their
price on the field and their fruitfulness;
- The fruit-bearing trees were evaluated according to their types, age and fruitfulness;
- The allowance rates were determined according to the principles specified by the RAP and the official
data of the minimum subsistence income of the 5-member family published by the date of approval of
the RAP. The compensation and allowance rates were evaluated by an authorized independent
appraiser. The evaluated compensation rates were verified and approved by the Roads Department.
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Application form for claims and remarks
First name, surname,
Contact information Please specify
Address:
Phone number:
E-mail:
Description of an incident or a claim: What happened? Where did it happen? To
whom it happened? What is the outcome of
the problem?
The date of the incident / claim:
How can this problem be solved in your opinion?
Signature:
Date:
Information for advice, please apply to The Roads Department,
The Land Acquisition and Resettlement Division,
№12, Al. Kazbegi ave., Tbilisi
Tel:
