WFP Field Level Agreementversion 2012

WFP’s Strategy

WFP's Strategic Plan 2014 – 2017 lays out four strategicobjectives:

1.Save lives and protect livelihoods in emergencies2.Support food security and nutrition and (re)buildlivelihoods in fragile settings and following emergencies3.Reduce risk and enable people, communities andcountries to meet their own food and nutrition needs4.Reduce undernutrition and break the intergenerationalcycle of hunger

WFP aims to bring food assistance to more than 90 millionpeople in 75 countries, guided by these objectives.

Learn more about our work and strategy here.

RESOURCEMANAGEMENT ANDACCOUNTABILITYDEPARTMENT

FINANCE &TREASURY

PERFORM. &MONITORING

MANAGEMENTSERVICES

WFP OrganigramEXECUTIVEDIRECTOR

OFFICE OF THEEXECUTIVE DIRECTOR

OPERATIONSMANAGEMENTDEPARTMENT

OPERATIONS SERVICESDEPARTMENT

PARTNERSHIP ANDGOVERNANCESERVICESDEPARTMENT

BUDGET &PROGRAMM.

BUSINESSINNOVATION

NGOPARTN.SHIPS

STRATEGICPLANNING

SR.NUTRITIONADVISOR

PROCUREMENT

IT

LOGISTICS

POLICY,PROGRAMME &INNOVATION

CENTRE OFEXCELLENCE(BRASILIA)

ROME-BASEDAGENCIES &CFS

ROME-BASEDAGENCIES &CFS

EXECUTIVEBOARDSECRETARIAT

INTER-AGENCYPARTN.SHIPS

PRIVATEPARTN.SHIPSPRIVATEPARTN.SHIPS

GENEVAGOVERNMENPARTN.SHIPS

Addis Ababa,Brussels,Tokyo,Washington,London, Dubai

Beijing, Paris,Berlin, Madrid,Seoul

REGIONAL BUREAUX:Bangkok, Cairo,Johannesburg, Dakar,Nairobi, Panama

EMERGENCYPREPAREDNESS

GENDEROFFICE

FIELDSECURITY

REGIONALBUREUXSUPPORT

COMMUNICATIONS

HUMANRESOURCES

LEGALOFFICE

INSPECTORGENERAL &OVERSIGHT

OFFICE OFEVALUATION

OFFICE OFOMBUDSMAN

ETHICSOFFICE

WFP and NGO Partners

- Partnerships with NGOs or civil society CooperatingPartners are crucial for WFP’s work and theachievement of the organization’s strategic objectives.

- WFP Country Offices manage these partnerships andare the first point of contact for NGOs wishing topartner with WFP.

- WFP Headquarters’ NGO Partnerships Unit providesguidance to Country Offices and partners; managesstrategic partnerships with NGOs at the global level;provides guidance and advice; collates anddisseminates partnership data and organises theAnnual WFP Partnership Consultations.

What is a Field Level Agreement?

- 75% of WFP’s projects are implemented togetherwith Cooperating Partners.

- FLAs are the appropriate agreement format whenthe Cooperating Partnership involves transfer ofWFP resources to the partner organisation or thepartner’s handling of WFP resources.

- One standard FLA is used by WFP globally since2002.

Some FLA History

Emergency Preparedness Mission NepalFebruary 2011

2002: WFP introduces the FLA to help facilitate the alreadyexisting strong cooperation with civil societyorganizations on the ground.

2004: The FLA is revised and a Directive published toprovide guidance to Country Offices and establish somebasic rules surrounding the use of the FLA, particularlyaround budgeting.

2007: A Reinforcement Memo is circulated to ensure theFLA’s consistent application around the world and toclarify key principles guiding programme management,payments, etc.

2012: The FLA template and budget format are revisedin line with WFP’s current strategy and portfolio ofactivities.

FLA Revision 2011-2012

Why? WFP moving from food aid to food assistance withincreasing investments in cash & voucherprogramming and capacity development.

Who? A Working Group with WFP and NGOrepresentatives.

When? The revision took place in 2011 – 2012, with thenew template rolled out at the end of December 2012and made compulsory for all Cooperating Partnershipsin all WFP operations.

Revised Format, Same Principles

Main principles remain largelyunchanged:-Good partnership principles-Main responsibilities and roles ofWFP and the partner, e.g. reporting-Financial procedures-Dealing with pipeline breaksMain changes:-Revised wording and new clauses-Structure split into GeneralConditions & 4 Special Conditions-New budget, payment calculationformulae, 7 % management fee

Structure of the FLA

GENERAL CONDITIONS

ANNEX 2: PLAN OF OPERATIONS

ANNEX 3: PROJECT PROPOSAL

ANNEX 4: BUDGET

ANNEX 1A ANNEX 1B ANNEX 1C ANNEX 1D

ANNEX 5A: AUTHORISATION ANNEX 5B: ADDENDUM

ANNEX 1: SPECIAL CONDITIONS

General Conditions: Clauses

1. purpose and duration2. partner obligations3. WFP obligations4. reporting5. payments6. audit7. liability8. communications;

confidentiality9. prevention of sexual

exploitation andabuse

10. force majeure

11.notices12.anti-terrorism measures;

additional conditions13.anti-fraud and anti-

corruption provisions14.governing law and

settlement of disputes15.privileges and immunities16.other17. termination and

amendments

Blue clauses have been revised, red clauses are new(while they build upon provisions in the previous FLA)

4 Special Conditions

- Meant to accommodate a wider range ofactivities related to food, cash and vouchers.

- One or more are attached to the FLAdocument, depending on the combination ofactivities under the FLA (Note: in special casesno Annex 1 may be necessary)

Annex 1-A Food Distribution and RelatedAnnex 1-B Cash Distribution ActivitiesAnnex 1-C Vouchers MonetizationAnnex 1-D C&V Implementation and Monitoring

Special Conditions: Clauses

Annex 1A Food

1. Special obligations of the CP2. Special obligations of WFP3. Special provisions on reporting4. Cargo losses and damage5. Special provisions on payments

Annex 1B Cash

1. Special obligations of the CP2. Special obligations of WFP3. Status of funds earmarked as

benefits4. Special provisions on reporting5. Losses6. Special provisions on payments

Annex 1C Vouchers

1. Special obligations of the CP2. Special obligations of WFP3. Status of funds earmarked as

Retailer Funds4. Special provisions on reporting5. Losses6. Special provisions on payments

Annex 1D C&V Implem.

1. Special obligations of the CP2. Special obligations of WFP3. Special provisions on reporting4. Losses5. Special provisions on payments

Other Annexes

- Annexes 2-4 always apply- Annex 5 applies only when the cooperating partner

considers it necessary

Annex 2 Plan of Operations: summarises keyfeatures of the agreement, e.g. outputs.

Annex 3 Project Proposal: describes the activities.Annex 4 Budget: composed of an excel workbook

(structure should not be modified) and narrative.Annex 5A&B Letter of Authorisation & Addendum:

fundraising and implementing offices of afederated NGO declare joint responsibility forobligations under the FLA.

Cooperating Partner CostsTools

Food C&V OtherI. Landside transport, storage,handling

N/A N/A

II. Cash and voucher delivery N/A N/A

III. Technical/specialist services

IV. Management andadministration

V. Management fee (7%)

Budget

• 3 columns for 3 ‘tools’ of assistance: food, cash andvouchers, and capacity development (other), in linewith WFP’s new Financial Framework.

• Not all cost types apply to all tools, see below:

Schedule1 - Cooperating Partner's BudgetPartner Int. NGO ABC

Food C&V Other Total CP Total

Transfer Value - Food, Cash, VouchersTransfers - Metric Tons of Food

Cooperating Partner's Costs $ $ $ $ $ $Note A

Handling, casual labour - -Warehouse staff (see schedule 3) - - -Warehouse rental - -Pallets - -Cleaning - -Fumigation - -Other (specify) - -

Food Mgmt & ServicesRebagging - -Reconditioning - -Provision of empty bags/tins/jerry cans, etc. - -Computer equipment for commodity tracking - -Other (Specify) - -

Transport and Distribution ServicesTruck rental - -Truck running costs - -Contracted transport - -Transport and distribution staff (see schedule 3) - - -Other (specify) - -

Total LTSH - - - -LTSH rate per MT -

II. Cash and Voucher Delivery Note BIT hardware and software 19,000 19,000 19,000Consumables 15,000 15,000 15,000Commercial service fees - -Distribution costs 6,000 6,000 6,000Cash & voucher distribution staff (see schedule 3) 35,000 35,000 35,000

Total C&V Delivery 75,000 75,000 - 75,000

III. Technical/Specialist Services (attached detailed budget) Note B Note B Note BAssessments/pre-appraisal 5,000 5,000 5,000Evaluations/surveys - -Studies and missions 15,000 15,000 15,000Capacity development 5,000 5,000 5,000Food Transformation (e.g. Milling) - -Other - describe - -

Total Technical/Specialist Services - 25,000 - 25,000 - 25,000

IV. Management and Administration Note A Note C Note DStaff and related costs

Administrative staff (see schedule 3) - - - - - -Programme staff (see schedule 3) - 24,000 24,000 - 24,000Travel - 6,000 - 6,000 - 6,000Training - 5,000 - 5,000 - 5,000Staff security - - - - - -Other (Specify) - - - - - -

Recurring costsRental of facility - - - - - -Utilities - - - - - -Communications fees - - - - - -Office supplies - - - - - -Light vehicle running costs - - - - - -Office security - - - - - -Other (Specify) - - - - - -

Equipment and OtherLight vehicles - - - - - -Computer and communications equipment - - - - - -Office furnishings and other equipment - - - - - -Non-food Items for beneficiaries (including storage/handling) - - - - - -

Total Management and Administration - 35,000 - 35,000 - 35,000Mgmt and Admin rate per MT -

35% 0%

Total Cooperating Partner's Direct Costs (I + II + III + IV) - 135,000 - 135,000 - 135,000V. Management Fee 7%(Note E) - 9,450 - 9,450 9,450Total Cooperating Partner's Costs (I + II + III + IV + V) - 144,450 - 144,450 - 144,450

Period (No. of Months)

Mgmt & Admin %(see notes C and D)

Funded by WFP

I. Landside Transport, Storage and Handling (LTSH)Storage-related Equipment and Services

Budget: Overview

Three worksheetslinked togetherthrough formulae

-Yellow cells filledin by user-Green cells cannotbe filled in asautomaticallygenerated throughformula, orprotected-Grey cells notapplicable to thetool

Payments

Different methods to calculate payments topartners are used:

Cooperating Partner CostsTools

Food C&V Other

I. LTSH Rate/MT N/A N/A

II. Cash and voucher deliveryN/A Actual

costN/A

III. Technical/specialist servicesActualcost

Actualcost

Actualcost

IV. Management and adminRate/MT % of

II+III% of III

V. Management fee (7%)7% ofabove

7% ofabove

7% ofabove

Guidance

FLA guidance pack•Reinforcement Memo (2013) - for WFPinternal use•Budget Guidance Note (2013) – for WFPand partner use•Frequently Asked Questions (2013) – forWFP and partner useHow to Work with WFP book (2005):outdated, but still a source of guidance,available online for all usersPGM on NGO Partnerships: will be revised– for WFP internal useQuestions or Issues? Contact the NGOPartnerships Office: wfp.ngounit@wfp.org