Execution of Projects for the Communities

Categories of Projects

The projects that the Trust Fund carries out for the benefit of the resettlement communities fall into three categories. These are:

  1. Special Projects which are carried out generally or for selected townships according to special plans approved by the Board. Such projects include economic, water supply, and other infrastructural development.
  2. Projects selected by resettlement communities themselves in order of priority.
  3. Projects executed for resettlement communities through recognized agencies or organisations such as DANIDA, CWSA, Hunger Project, etc. The Trust Fund pays the cost of communities' contribution on behalf of the communities.

Selection of Projects

Every resettlement township under the supervision of the appropriate MP, appoints a Resettlement Committee which is termed VRA Town Development Committee comprising between five and ten members. These Committees in addition to the Chiefs and the Assemblymen select and prioritize their projects for consideration by the Board of Trustees.


Processing of Applications

  1. On receipt of the project proposals from the communities, the Executive Director of the VRA Resettlement Trust Fund refers them to the Projects Committee for approval in principle for subsequent approval by the Board of Trustees.
  2. Where a standard design of the project is not available, or where the project involves renovation or rehabilitation, the Trust Fund prepares an appropriate design for the project.
  3. The Board of Trustees, as soon as possible holds a meeting for consideration and approval of the project.

Selection of Contractor

  1. After approval of Projects, the Board gives directives for selection of suitable contractors for the projects.
  2. As a matter of policy, all projects are executed through Contractors unless otherwise directed by the Board.
  3. Compiled and classified list of registered contractors with the Trust Fund are invited to tender for approved projects in the communities.

Appointment of Contractor

  1. The Board of Trustees after approval of the recommendation of the Project Committee, appoint and enter into a formal contract with the selected contractors.
  2. Copies of any letter concerning the contracts are sent to the appropriate District Chief Executives and Members of Parliament under which the communities are located.
  3. Payment for the contract prices are based on periodic progress certificates issued by the technical officer assigned to the job. The required and approved mobilization payment is 20% of the total project cost.
  4. The jobs are always required to be carried out in a sound business like manner in accordance with the plans, designs and specifications, and by the use of competent workmen and suitable materials and within the prescribed time.
  5. Unduly delay in the execution of the work attracts liquidated damages.
  6. There is provision for retention fees which the Trust Fund pays only after a stated period after handing over. This final payment shall be subject to a with-holding tax of 5 % of the total contract price.

Project Inspection

  1. Projects initiated/funded by the Trust Fund in the resettlement townships are monitored by the technical department. The Secretariat also arranges with competent District Engineers or technical officers to supervise its projects.
  2. The Technical Officer submits quarterly reports on all on-going projects to the Projects Committee of the Managing Trustees.

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