Stop TB Workshop, Geneva 15-18 May 2006 Stop TB Workshop Proposal preparation Information for the Global Fund's Round 6 Call for Proposals Unit 7 – Program

Stop TB Workshop, Geneva 15-18 May 2006

Stop TB Workshop

Proposal preparation Information for the Global Fund's Round 6 Call for Proposals

Unit 7 – Program Activities: The Budget & Work Plan

Geneva, 16 May 2006


Presentation outline – 5 topics

1. Inter-Relationship of Budget & Work Plan(a) Round 6 – emphasis on robust gap analysis: section 4.5

(b) Effectively documenting a strategy: section 4.6.6

(c) Tools for Round 6 usage(d) Importance of effective gap analysis

2. Evolution from proposal to Grant amount

3. Health Systems Strengthening (HSS)(a) Round 6 within a disease component(b) Impact of cross-cutting HSS activities on budgets ?

4. Common funding mechanisms

5. Proposal Form – Budget requirements


1(a). Gap Analysis: Key concept for strong proposals

Global Fund support meets demonstrated gaps (Section 4.5)

A logical, systematic approach is required to determine:

1st What is the programmatic gap to be filled?

2nd What financial resources are already available?

- non Global Fund sources +

- Global Fund sources

3rd Then identify the financial gap – Table 4.5.1-3


1(b). Work Plan Requirements – Yr 1 & 2

• Section 4.6 Component Strategy

Identifies that Work plans must be:

• Highly detailed for Yr 1, divided into quartersand Indicative for Yr 2 (and fully in line with the 2 Yr budget)

• Structured in line with the overall strategy – (i.e., the same goals, Objectives, SDAs, activities)

• Fully consistent with the "Targets & Indicators Table”


1(c). Gap Analysis – Tools for Applicants

One size clearly doesn't fit all

1. Country circumstances will determine "gaps"

2. CCMs determine priorities

However, some tools include:

Multi-agency M+E Toolkit – January 2006

HSS "Health Metrics Network" for M+E & HIS gaps

Proposal Form & Guidelines themselves

FAQ on Global Fund Website (see "Tools" Q&A # 100)


1(d). Why effective gap analysis matters ?

From earlier rounds, the TRP has noted all too frequently:

• An absence of highly detailed budgets for Yr 1 & 2 (including all relevant assumptions, units and unit costs)

• Inconsistencies between the Work Plan & component strategy – Goals, Objectives, SDAs and activities.

• Budgets are not linked to the Yr 1 and 2 Work Plans (although precise formats for the Budget & Work plan are not mandated – countries to follow existing systems where present)

From the Round 6 Guidelines for Proposals (Part 2, p.1) Proposals that do not have detailed budgets and work plans that support the proposed interventions from a programmatic and financial feasibility perspective are very difficult to review and recommend for funding.


2. Evolution from 'Proposal' to GrantIntroduction

• Budget Section - basis for all financial Qs from GF

• Proposals disclose budgets for up to 5 years – Years 1 & 2 will form the Phase 1 (initial 2 year) grant

– The full proposal budget will define the maximum Phase 2 amount

• Budgets are typically for 5 years

– May be for less (e.g. 2, 3 or 4 years – depends on "gap")

• Budgets – per component

3 components in Round 6 = 3 x 2 year detailed budgets

Also – 3 x Y3, Y4 & Y5 summary budgets based on key assumptions


Budget Request Grant Funds Hypothetical USD Example

Proposal Budget – Years 1 & 2 $10 m

TRP review

Board conditional approval $10 m (Phase 1 ceiling)

TRP adjustments - $1 m

2nd Adjustment in grant negotiations - $0.5 m

Signed grant $8.5 m for Years 1&2

2(a). Proposal Request Grant Amount

Years 1 & 2 must have detailed budgets


2(b). Phase 1 Grant Year 5 Grant (Phase 2)

Importantly • Phase 2 is conditional on: Performance and Availability of funds

• Phase 2 may be reduced from possible maximum e.g. down to $18 m

Budget for Years 3-5 are important. However, can be less detailed.

Example (cont’d) Proposal Phase 2 amount

Total original proposal amount for 5 years

Less

Adjusted in Phase 1

=

Maximum for Full Proposal term

Less

Utilized in Phase 1

$21.5 m (Phase 2 ceiling)

$28.5 m

-$1.5 m

$30 m

-$7.0 m


2(c). General Guidance on some budget aspects

Budget duration • Up to a maximum of 5 years

• Shorter period where program duration is less

• GF allocates funds for first 2 years – Phase 1

• Funding for "Phase 2" - subject to Performance and Resources

Size of request • No fixed upper limits

• Absorptive capacity an important factor

• TRP may view excessive requests negatively

• TRP also may view negatively small projects

Budget currency • Either US$ or € only

• All figures in proposal must be same 1 currency

• Identify:

– Exchange rates & source of rate

– Proportion of budget in local currency

– Assumptions related to inflation


3. Health Systems Strengthening (HSS) Overview for Round 6

• Round 6 – No separate HSS component

• Applicants should integrate HSS within disease component(s)

• HSS activities should be:– Identified and costed (Guidelines provide example)

– Linked to the disease component

– Strengthening other pre-existing interventions

• HSS activities may be:– Disease specific (e.g. Malaria only) or

– Straddling 2 or more components (e.g. HIV/AIDS and TB)


3(a). HSS: Cross-cutting activities in R6

Cross-cutting HSS – What is it? An HSS activity relevant to more than one disease component

required in order to support each of the disease components.

Example: Acquisition of microscopes for a lab that will jointly support TB and

HIV components

How to apply: Either all costs in one component (e.g. TB) or costs shared

between benefiting components (e.g. TB and HIV)

Challenge: What if one component is not approved?


3(b). HSS: Additional R6 Budget Information Needs

If funding request includes cross-cutting HSS the applicant should complete the HSS Information Sheet

This requires applicants to identify:

Components which include cross-cutting HSS activities/budgets

Value of cross-cutting HSS budgets (in US$ or Euro)

Components that depend on cross-cutting HSS in another component.

For all dependent components – disclose HSS activities/budget necessary if “host” component not approved


4. Common funding mechanisms

• GF supports funding through common funding mechanisms (CFMs), e.g. SWAp, pooled funding etc.

• In such cases budgets should be based on CFM

• Need to identify:

– Budget attributed/allocated to GF sources

– Incremental results attributed to GF sources

• Reporting/budgetary framework will inevitably reflect CFM.


5. Overview – Budgets & requirements

• "Cutting" the Budget 4 ways how & why?

• Key elements of detailed budgets

• Potential tools - if detailed budgets are not already available

Planning for some of the key budget requirements


5.1 "Cutting" the budget 4 ways

Budget Analysis & Summary

Sections 5.1 to 5.6 Inclusive – to be provided within

the Proposal Form

Proposal Form – Required Outputs

Table 5.6: Byfunctional area

Detailed budget & assumptions

Section 5.2 – to beProvided in Excel

Format as an Annex Table 5.1: By cost category

Table 5.4:By SDA

Table 5.5: Bypartner allocation

Section 5 - Proposal Form identifies the

minimum requirements


5.2 So, in greater detail…

Section Budget breakdown Unit5.1: Component budget summary

By cost category: Human resources, Infrastructure and equipment, Training, Commodities and products, Drugs, Planning and administration…

$/€

5.4: Service delivery area

By SDA: Should match the Targets and Indicators Table (Attachment A to Proposal Form)

$/€

5.5: Implementing entities

By partner allocation: Academic/educational, Government, Nongovernmental/community-based, Private sector, Religious/faith-based, multi-/bi-lateral development partners.

%

5.6: Functional areas

By 3 functional areas: Monitoring and evaluation/ Procurement and supply management/ Technical and management assistance.

$/€

+ Detailed budget and work plan


5.3 Detailed budgets – key elements

a) Structured along the same lines as component strategy reflecting the same goals, objectives, service delivery areas & activities.

b) Highly detailed for Y1 & 2 (Phase 1 grant term) • all key assumptions, e.g., details of all material unit items and unit costs• consistent with assumptions & explanations elsewhere in Budget Section.

c) Summarized budget information & assumptions for rest of proposal (typically Yrs 3 to 5, or "Phase 2")

d) Fully accurate & integrated with the highly detailed Yr 1 W'Plan

e) In full agreement with all summary budgets provided elsewhere

Strong, accurate budgets should meet the following minimum criteria (section 5.2):


5.4 Budget Analysis - Tools for applicants

• Proposal Form requests various analyses of budget (e.g. by category, by recipient, by SDA etc.)

• Guidelines include a “Template” that may assist analysis

• Not a substitute for Detailed Component Budget…

• …but a possible linking tool

• Tool comes with instructions

Attachment 5 to Guidelines: Budget Analysis Template


5.5 Budget Analysis - Worked Example

HR T IE CP PA Drugs

SDA 1: Youth Education and Prevention

Activities:

Train peer educators at national level 70 100 35,000 35,000

OBJECTIVE 1: PROMOTE SAFE SEXUAL BEHAVIORS

Unit Cost Total Costs

Cost Category

Objectives / Service Delivery Areas (SDAs)Quantity/

Units

Govt NGO AcademiaFaith

Based


Activities:

Train peer educators at national level 70 100 35,000

Implementing Agency

Private Sector


35,000

Unit Cost Total CostsObjectives / Service Delivery Areas (SDAs)Quantity/

Units

Same $35,000. Merely different ways to “cut” the budget to help complete section 5

Q1 Q2 Q3 Q4


Activities:

Train peer educators at national level 70 100 35,000 10,000 15,000 10,000

OBJECTIVE 1: PROMOTE SAFE SEXUAL BEHAVIORSUnit Cost Total Costs

Year 1 Budget by Quarter


Units

Total Costs

35,000


5.6 Budget Analysis - Worked Example detail

• Activities Sub-activities• These should be linked to the Work Plan

Q1 Q2 Q3 Q4


Activities:Train peer educators at national level 70 100 35,000 10,000 15,000 10,000Sub-Activities:Design training module 5,000Recruit/train the trainers 5,000Undertake step 1 training (100 people x 150) 15,000Undertake step 2 training (100 people x 100) 10,000

OBJECTIVE 1: PROMOTE SAFE SEXUAL BEHAVIORSUnit Cost Total Costs



Units

Total Costs

35,000


Concluding comments

• Support CCM by providing the necessary: – Programmatic & technical skills for effective "gap analysis"– Budgeting skills to help smaller projects into the one proposal

• Recognize the need for budgets which are:– Highly detailed– Supported by all key assumptions (too much information is better than not enough)

– Linked to a detailed work plan and performance measures

• Level of sophistication may vary depending on:– Size of funding request– Nature of interventions – e.g. Prevention/Treatment

• Build budgets from ground up (gap analysis):Activities► SDAs ►Objectives ►GF Request


More information…

Beyond today's presentation:

1. Please read the Proposal Form and Guidelines fully;

2. Consult the "FAQ" on the Global Fund website;

3. Consult other relevant tools and links on the Global Fund website.

4. Always liaise with a Coordinating Mechanism whenever one exists.


Questions?


Appendix


Component Budget – Section 5.1

The budget categories are defined in the Guidelines

Funds requested from the Global Fund (in Euro/US$)

Year 1 Year 2 Year 3 Year 4 Year 5 Total

Human resources 0

Infrastructure and equipment 0

Training 0

Commodities and products 0

Drugs 0

Planning and administration 0

Other (please specify)

0


0


0

Total funds requested from the Global Fund

0 0 0 0 0 0


Budget breakdown by SDA

Budget allocation per SDA (in Euro/US$)

Objectives Service delivery area Year 1 Year 2 Year 3 Year 4 Year 5

Total: 0 0 0 0 0


Budget Analysis – Summary of key assumptions


Activities:

Train peer educators at national level5 days national level workshop Praticipants 70 5 100 35,000

Provide life-based HIV/AIDS education in schools 1 day training in 20 schools Schools 20 1 3,000 60,000

Conduct KAP baseline survey 1 baseline survey Study 1 1 20,000 20,000

Conduct peer education outreach in districts2 days workshop at 12 districts Participants 600 2 60 72,000

Monitoring and evalaution 3 days supervision Supervisors 2 3 100 600

SDA 1 Total 187,600

SDA 2: Behavioural change communication - mass media

Activities:

Conduct TV Spots 50 TV Spots TV Spots 50 1 200 10,000

Print T-Shirts 5000 T-shirts for 12 districts T-shirts 5,000 1 10 50,000

Monitoring and evalaution 2 days supervision Supervisors 2 2 100 400

Technical assistanceConcept design, pretesting etc Consultancy 1 1 10,000 10,000

SDA 2 Total 70,400

OBJECTIVE 1 TOTAL 258,000

SDA 1: Antiretroviral Treatment and Monitoring

Activities:

Purchase and distribute ART Drugs1 year supply for 2000 patients Patients 2,000 1 200 400,000

Procurement assistance Outsourced services Consultancy 1 1 50,000 50,000

Technical assistance Laboratory services Consultancy 1 1 40,000 40,000

Monitoirng and evaluation 5 days/week supervision Supervisors 10 260 40 104,000

SDA 1 Total 594,000


SDA 1: Health System Strengthening

Activities:

Human Resource Development Staff incentives Program Staff 25 12 400 120,000

Infrastructural development 5 pick up vehicles Vehicles 5 1 20,000 100,000

Central administration Office running activities Fuel, stationery 1 12 3,000 36,000

SDA 1 Total 256,000


TOTAL PROGRAM COSTS 1,108,000


Objectives / Service Delivery Areas (SDAs)Quantity/U

nitsInput descriptionMeasurement

unit

OBJECTIVE 2: EXPAND ACCESS TO CARE AND MONITORING

FrequencyUnit Cost Total Costs

OBJECTIVE 3: STRENGTHEN PROGRAMME MANAGEMENT

Example – Year 1


Budget Analysis – cost categories

HR T IE CP PA Drugs


Activities:

Train peer educators at national level 35,000 35,000

Provide life-based HIV/AIDS education in schools 60,000 60,000

Conduct KAP baseline survey 20,000 20,000

Conduct peer education outreach in districts 72,000 72,000

Monitoring and evalaution 600 600

SDA 1 Total 187,600 600 167,000 0 0 20,000 0


Activities:

Conduct TV Spots 10,000 10,000

Print T-Shirts 50,000 50,000


Technical assistance 10,000 10,000

SDA 2 Total 70,400 10,400 0 0 60,000 0 0

OBJECTIVE 1 TOTAL 258,000 11,000 167,000 0 60,000 20,000 0


Activities:

Purchase and distribute ART Drugs 400,000 400,000

Procurement assistance 50,000 50,000


Monitoirng and evaluation 104,000 104,000

SDA 1 Total 594,000 194,000 0 0 0 0 400,000

OBJECTIVE 2 TOTAL 594,000 194,000 0 0 0 0 400,000


Activities:

Human Resource Development 120,000 120,000

Infrastructural development 100,000 100,000

Central administration 36,000 36,000

SDA 1 Total 256,000 120,000 0 100,000 0 36,000 0

OBJECTIVE 1 TOTAL 256,000 120,000 0 100,000 0 36,000 0

TOTAL PROGRAM COSTS 1,108,000 325,000 167,000 100,000 60,000 56,000 400,000


Objectives / Service Delivery Areas (SDAs)


Total Costs


Cost Category

Example – Year 1


Budget Analysis – implementing agencies

Govt NGO Academia Faith BasedPrivate Sector


Activities:

Train peer educators at national level 35,000 35,000

Provide life-based HIV/AIDS education in schools 60,000 30,000 30,000

Conduct KAP baseline survey 20,000 20,000

Conduct peer education outreach in districts 72,000 36,000 36,000


SDA 1 Total 187,600 36,000 30,000 20,600 30,000 71,000


Activities:

Conduct TV Spots 10,000 5,000 5,000

Print T-Shirts 50,000 50,000



SDA 2 Total 70,400 5,000 5,000 10,000 0 50,400

OBJECTIVE 1 TOTAL 258,000 41,000 35,000 30,600 30,000 121,400


Activities:

Purchase and distribute ART Drugs 400,000 400,000

Procurement assistance 50,000 50,000


Monitoirng and evaluation 104,000 52,000 52,000

SDA 1 Total 594,000 452,000 52,000 0 0 90,000

OBJECTIVE 2 TOTAL 594,000 452,000 52,000 0 0 90,000


Activities:

Human Resource Development 120,000 30,000 30,000 30,000 30,000

Infrastructural development 100,000 60,000 40,000

Central administration 36,000 18,000 18,000

SDA 1 Total 256,000 108,000 88,000 30,000 30,000 0

OBJECTIVE 1 TOTAL 256,000 108,000 88,000 30,000 30,000 0

TOTAL PROGRAM COSTS 1,108,000 601,000 175,000 60,600 60,000 211,400


Total Costs




Implementing Agency

Example – Year 1


Budget Analysis – link to work plan

Total Costs

Q1 Q2 Q3 Q4


Activities:

Train peer educators at national level 35,000 35,000 35,000

Provide life-based HIV/AIDS education in schools 60,000 20,000 20,000 20,000 60,000

Conduct KAP baseline survey 20,000 20,000 20,000

Conduct peer education outreach in districts 72,000 36,000 36,000 72,000

Monitoring and evalaution 600 200 200 200 600

SDA 1 Total 187,600 56,200 111,200 20,200 0 187,600


Activities:

Conduct TV Spots 10,000 10,000 10,000

Print T-Shirts 50,000 25,000 25,000 50,000

Monitoring and evalaution 400 200 200 400

Technical assistance 10,000 10,000 10,000

SDA 2 Total 70,400 45,200 25,200 0 0 70,400

OBJECTIVE 1 TOTAL 258,000 101,400 136,400 20,200 0 258,000


Activities:

Purchase and distribute ART Drugs 400,000 400,000 400,000

Procurement assistance 50,000 50,000 50,000

Technical assistance 40,000 40,000 40,000

Monitoirng and evaluation 104,000 34,667 34,667 34,667 104,000

SDA 1 Total 594,000 0 524,667 34,667 34,667 594,000

OBJECTIVE 2 TOTAL 594,000 0 524,667 34,667 34,667 594,000


Activities:

Human Resource Development 120,000 30,000 30,000 30,000 30,000 120,000

Infrastructural development 100,000 100,000 100,000

Central administration 36,000 9,000 9,000 9,000 9,000 36,000

SDA 1 Total 256,000 39,000 139,000 39,000 39,000 256,000

OBJECTIVE 1 TOTAL 256,000 39,000 139,000 39,000 39,000 256,000

TOTAL PROGRAM COSTS 1,108,000 140,400 800,067 93,867 73,667 1,108,000


Total Costs





Example – Year 1

Documents

Stop TB Workshop, Geneva 15-18 May 2006 Stop TB Workshop Proposal preparation Information for the Global Fund's Round 6 Call for Proposals Unit 7 – Program