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USAID/OTI Sri Lanka Field Report

Jan - Mar 2007


Program Description

The USAID Office of Transition Initiatives (OTI) program in Sri Lanka began in February 2003 to stabilize and enhance the political framework needed to further the peace process that began when the Government of Sri Lanka and the Liberation Tigers of Tamil Eelam (LTTE) signed a ceasefire agreement in February 2002. The program had two main objectives: mitigating conflict and building constituencies for peace. As part of these objectives, OTI aimed to deliver visible, high-impact peace dividends, promote efforts to lessen the influence of potential spoilers of the peace process, and support conflict mitigation and resolution activities in key flash-point areas such as Trincomalee and Batticaloa in Eastern Sri Lanka. As the program grew and matured, its objectives changed slightly, but its overarching goal of generating greater support for a negotiated settlement to the conflict remains the same. The Sri Lanka program's current objectives are to (1) increase awareness and understanding on transition issues and change attitudes sustaining the conflict through information dissemination, advocacy, dialogue, and debate, and (2) mobilize and link peace constituencies through activities promoting inclusive, collaborative decision making and resource allocation at the local level.

OTI's programming supports positive, community-based interaction among diverse groups of people; promotes citizen involvement in community decision making, particularly as related to the rehabilitation of community-based infrastructure; improves livelihoods and provides skills training; and increases dissemination of balanced information and diverse points of view. Working with local nongovernmental organizations, informal community-based groups, media entities, and local government authorities, OTI seeks to identify and support critical initiatives that will move the country further along the continuum from war to peace.

In the aftermath of the December 26, 2004, tsunami, which within one hour claimed the lives of nearly half the number of Sri Lankans killed in more than 20 years of armed conflict, OTI's field office infrastructure, experienced staff, and strong partnerships enabled USAID to better undertake early, effective disaster response initiatives. In July 2005, OTI received $22.5 million for small-grant activities, allocated through a Congressional Tsunami Supplemental Bill, to address recovery needs in the southern and eastern coastal areas. In support of the above mentioned objectives, OTI used the additional funding to stabilize tsunami-affected communities in six districts with its trademark peace building approach, valuing process as much as product, specifically through small-scale infrastructure rehabilitation, livelihoods restoration, and activities fostering communication between citizens and local government authorities.

Development Alternatives Inc. (DAI) oversees the $51 million small-grants program and manages OTI offices in the capital of Colombo, in the eastern towns of Trincomalee and Ampara, and in Matara along the southern coast. Between March 2003 and March 2007, the OTI/Sri Lanka program awarded 695 grants worth $29.8 million.

In February 2006, OTI signed a $1.3 million agreement with Internews Network to manage a regional radio initiative to bolster OTI's emphasis on dissemination of accurate, balanced information from a multiplicity of viewpoints. The U.S.-based media development organization provides practicing and aspiring journalists in the South and East with training and access to radio production facilities and equipment through resource centers known as "media houses." To date, more than 140 district-based journalists and staff from community-based organizations have been trained, resulting in more than 135 hours of current affairs and community-issues programming on air. "Real Voices Radio," the project's flagship program, is aired on Uva Community Radio in Bandarawela, which has a broadcast footprint in the east, south, and central provinces. In addition, the people of the Sri Lankan diaspora - who are important stakeholders in the peace and tsunami recovery and development processes - have access to the programs through the Internet. The 18-month agreement with Internews runs through August 2007.

In March 2007, OTI handed over full program management to the USAID Mission. The project was renamed the Sri Lanka Transition Initiatives Program and will continue to support many of the same types of activities as in the past. Also, the program will help set the ground for USAID's new 5-year strategy for Sri Lanka, which is scheduled to begin in early 2008.

Country Situation

Ongoing Fighting in the North and East - Fighting continues to intensify, with the Sri Lankan Government regaining control of territory in the East and claiming to have virtually eliminated the LTTE presence there. As a result, there has been a surge in the number of internally displaced persons (IDPs), with the Batticaloa district host to approximately 150,000 IDPs. Fighting also continued in the northwestern part of the island in the Mannar district. Jaffna remains cut off from the rest of the island; the main road is closed and there is very limited access by water. The LTTE carried out several attacks on Sri Lanka military installations, including their first air attack, a nighttime strike on the Sri Lankan Air Force base housed next to the Colombo international airport. The propeller aircraft was able to drop one or two bombs, killing 3 airmen and injuring 16, and return to its base in LTTE-controlled territory.

Deterioration of Human Rights – Reports from various sources described a decline in respect for human rights. The State Department's "Country Reports on Human Rights Practices - 2006," released March 6, 2007, listed unlawful killings perpetrated by government agents, unknown perpetrators, paramilitary forces associated with the Government, and paramilitaries associated with the LTTE as among the key problems. A Human Rights Watch report entitled "Complicit in Crime," released January 24, accused the Government of Sri Lanka and the LTTE-breakaway Karuna group of collusion in numerous abductions and forcible recruitments of adults and children. An international fact-finding mission of media rights organizations also issued a report on press-related issues, stating that Sri Lankan journalists face threats on their lives, as well as pressure to self-censor. "Those refusing to toe the government's line may be labeled as spies or traitors," the report said. In the past 15 months, nine media workers have been killed, including three journalists.

Shake-Ups in Government – On January 29, a total of 19 United National Party (UNP) parliamentarians, including former Deputy Leader Karu Jayasuriya, crossed over to the ruling Sri Lanka Freedom Party (SLFP) amidst rumors that more may follow. The Sri Lanka Muslim Congress also joined the Government. In response, UNP leader Ranil Wickremasinghe announced that the October 2006 Memorandum of Understanding between the UNP and SLFP had ended. On February 9, President Mahinda Rajapakse fired three cabinet ministers, including the former Foreign Minister, for perceived attempts to undermine his leadership. One of the three ministers, Anura Bandaranayake, the brother of the previous president, was reinstated within a week.

USAID/OTI Highlights

A. Narrative Summary

During the past quarter, OTI focused on awarding additional tsunami reconstruction infrastructure projects. It was important for OTI to move ahead quickly with these grants, as construction projects tend to take longer to implement, and Congress has stipulated that all tsunami-related grants must be complete by December 2007.

Internews continued its operation of the two media houses - one in the Ampara District in the East and the other in the Matara District in the South. These houses support regional journalists to improve their reporting skills, while also providing a place to interact and exchange ideas. During the past quarter, Internews signed a memorandum of understanding with the Sri Lanka Press Institute that would allow the media houses to function following the end of OTI's support in August 2007. Internews finalized its third round of small production grants. Activities supported by the grants include a series of programs on human rights issues in upcountry areas, programming focusing on Sri Lankan expatriate domestic workers and street children, initiatives that explore the cultural identities of communities displaced in the north-central province by the Mahaweli Irrigation Scheme in the 1970s and after, and programs exploring small-scale economic activities and strategies in regional markets.

A number of visits related to the handover of the project to USAID Mission management occupied staff during this reporting period. In early January, a team of two independent consultants traveled to Sri Lanka to evaluate program activities from 2003 through 2007. The consultants met with staff in Colombo and in the field, talked with grantees associated with small-grant activities, and conducted an extensive review of the grants-activity database. The final evaluation report can be found on the USAID/OTI Web site. OTI/Sri Lanka was also involved in an After Exit Review process that was conducted by OTI/Washington. The review looked at lessons learned by program management in Sri Lanka as well as areas where improvements can be made. Finally, in February and March, USAID's Regional Inspector General sent two auditors to evaluate OTI's use of tsunami supplemental funding. The report is pending.

B. Grant Activity Summary

During the quarter, OTI signed 48 new grants worth $5,180,469, and 30 of these grants were for tsunami-related infrastructure reconstruction projects. The reconstruction grants, worth $2,965,560, funded a variety projects, including road renovations, repairs to libraries, improvements to a coastal market, and the renovation of a fisheries community center. The grants also helped repair community drainage systems and restore a children's play area and sports fields.

OTI also funded a number of projects to help tsunami-affected Sri Lankans and others improve their economic prospects. Examples of these projects include renovations at a vocational training center, improvements to a public shopping complex, and the strengthening of an association for entrepreneurs. All of these activities are associated with efforts to improve livelihoods and economic well-being in areas hit by the tsunami.

Grant Approval Summary

Project Type Grants Cleared Jan - Mar 2007 Estimated Budget for Cleared Grants Jan - Mar 2007 Total Grants Cleared Since March 2003 Total Estimated Budget for Cleared Grants Since March 2003
Peace Support 10 $ 1,330,686 439 $13,767,351
Tsunami Infrastructure 30 $2,965,560 116 $ 9,362,195
Tsunami Livelihoods 5 $   738,696 43 $ 3,130,533
Tsunami Information 3 $   145,527 24 $ 1,576,266
Tsunami Relief     73 $ 2,004,816
TOTAL 48 $5,180,469 695 $29,841,161

C. Indicators of Success

Photo: A fishing boat enters Kirinda harbor, rehabilitated with assistance from USAID/OTI, through the newly dredged harbor mouth - a passage that would have been impossible a few months earlier.
A fishing boat enters Kirinda harbor, rehabilitated with assistance from USAID/OTI, through the newly dredged harbor mouth - a passage that would have been impossible a few months earlier.

A Collaborative, Problem-Solving Approach - Prior to the December 2004 tsunami, Kirinda Fisheries Harbor was a major economic focal point in the South. Despite problems with the accumulation of sand in the harbor's basin and mouth, the fisheries authorities kept it open with continual dredging because of the considerable economic activity it generated. The harbor supported fishing and related activities that provided livelihoods for more than 6,000 people.

The tsunami, however, deposited an estimated 100,000 cubic meters of sand in the harbor, completely closing the entrance. The tsunami also destroyed many of the machines used to keep the harbor open, bringing the ongoing dredging activities to an end. The local economy was severely disrupted, as all of the local multiday fishing boats had to find harbor elsewhere.

Working with the Ceylon Fisheries Harbor Corporation, OTI brought all the relevant local stakeholders together to reopen the harbor and revitalize the local economy. During the effort, harbor management, harbor staff, local leaders, and fishermen from the area - both Sinhala and Muslim - demonstrated an exceptional capacity to work together. With OTI's assistance, the harbor was dredged, and it reopened to traffic on December 8, 2006. The harbor is once again functioning as a community economic resource, but the real story lies in the successful mobilization and empowerment of the fishing community, which came together to proactively solve a common problem in a collaborative effort with the appropriate government agency.

Forging Links between Citizens and Local Government in Ampara - In Sri Lanka, local government bodies are often disconnected from and unresponsive to the needs of local communities. The lack of transparency and accountability is indicative of the larger issues that have divided the country during the last 25 years. OTI recognizes the need to forge connections between local government and community members, and, toward this end, OTI's Ampara office has undertaken initiatives with local government entities, making tsunami recovery funds available to agencies that have a vision but lack the capacity and resources to implement programs.

Photo: A citizen speaks at a participatory planning meeting with local government officials.
A citizen speaks at a participatory planning meeting with local government officials.

OTI implemented a series of participatory planning activities in a number of towns along the eastern coast, an area of mixed Tamil and Muslim populations. Participants identified a number of priority projects, including the need for well-equipped public libraries, a community bus stand, a lighthouse renovation, and the rehabilitation of a public market. To include the public in the planning and development process, community consultations were held for each of the projects, and many of the ideas generated were incorporated into grants.

OTI's aim is to raise public awareness regarding local government initiatives, generate community involvement in the planning process, and build better relationships between tsunami- and conflict-affected communities and local governmental organizations. Through these activities, community members have come to recognize their ownership stake in public resources, and local governments have been able to provide better services. As a young woman from Kathankudy said during a consultation meeting, "We feel the library belongs to us. We had a say in what it would look like."

D. Program Appraisal

The team responded admirably to a series of overlapping demands that made the first 3 months of 2007 extremely challenging. The project underwent a 4-week audit by the Regional Inspector General's office as well as an independent final evaluation. In addition, the team organized and facilitated a one-and-a-half-day program development meeting and a visit from OTI Acting Director Rob Jenkins and Assistant Administrator Mike Hess from the Bureau of Democracy, Conflict and Humanitarian Affairs. Despite these demands, and as it prepared to hand over program responsibilities to the USAID Mission, OTI awarded 48 grants valued at nearly $5.2 million, committing the balance of the tsunami supplemental funding. Some of the non-tsunami grants awarded provide support for human rights activities and partners, signaling a strategic shift that sets the stage for longer term Mission programming.

NEXT STEPS/IMMEDIATE PRIORITIES

During the next 3 months, the USAID Sri Lanka Transition Initiatives Program will:

  • Focus on the timely closeout of ongoing grant activities in order to restore anticipated savings to the program budget;
  • Adjust and enhance monitoring systems to ensure continued and adequate oversight of the increasing number of ongoing small-scale infrastructure rehabilitation projects; and
  • Finalize 6-month work plans for April through September 2007 and begin implementing activities that will set the stage for future USAID Mission programming.

For further information, please contact:
In Washington, D.C.: Christie Sunwoo, Sri Lanka, 202-712-1417, csunwoo@usaid.gov

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