GUIDELINES FOR PLAN OF OPERATION
Food for Progress

 

Use this link to access the sample format: Sample

1. Name and Address of Applicant

Please provide the legal name of the organization and include U.S. headquarters and in-country contact information, if applicable.

2. Country of Donation

Please provide the official name of the country.

3.  and 4. Kind and Quantity of Commodities Requested and Delivery Schedule

Please complete the following table:

Commodity	Use of Commodity (monetization, barter, food for work, direct feed)	Quantity in Metric Tons (MT)	Requested Package Size	Requested delivery date at U.S. Port	(bulk only)   Are bags /needles/ twine (BNT) requested? (yes/no)	(bulk only) Are extra bags requested? (yes/no)

Note:  Tonnage must be in multiples of 10.  Minimum amount per commodity is 50 tons.  Please split out tonnages by use if the same commodity is being requested for multiple uses.

5. Program Description

(a) Activity Objectives

(1) Provide a short paragraph of program objectives.  A bulleted format is acceptable.

Briefly state what you plan to accomplish with the monetization proceeds for this program.

(2) For activities that use USDA commodities for direct feed, barter or food for work only, please provide details of each activity, specifically addressing the bulleted questions/issues below.   For activities involving monetization of USDA commodities, please skip to section 6(e) to provide details. 

·         What is the duration of this activity?

·         Identify the use of commodity for each activity, e.g. direct feed, barter or food for work.

·         Who are the direct or indirect beneficiaries?  How many will be targeted?

·         Who will implement or oversee the food product distribution or work, e.g., your organization, consultant, local government or nongovernmental organization?

·         How will the food products be handled under each activity, i.e. movement of commodity from storage to place of use, etc.?

·         Will there be a recipient agency agreement?

·         If direct feed, include the ration size per direct beneficiary.  Number of beneficiaries multiplied by frequency of feeding multiplied by ration size should equal the total metric tons listed in items 3 and 4 above, under the use of commodity for direct feed.

·         How will your agency monitor the implementation of the activities to ensure that activity objectives are met?

If monetization proceeds will cover costs of distribution or other related expenses related to the activities described above, please make brief mention here in one or two sentences and explain in further detail in Section 6(e).

(b) Method of Choosing Beneficiaries

In a couple of paragraphs please identify the criteria and methodology used to target the geographic area(s) and the beneficiary group(s).  A bulleted format is preferred. Criteria and methodology should help to distinguish why some regions or beneficiary groups will receive resources (funds or agricultural products) while others will not.  The following questions will help you. 

·         Why did you select the particular geographic area(s), institutions and/or beneficiaries?

·         Which methodology did you use to select targeted beneficiary group?  Which sources of information did you use, e.g., government agency, computer database, interviews, assessments, etc.?

·         With whom did you collaborate to target a particular region, institution or beneficiary?

(c) Program Administration

Please complete the following table and include positions critical to the implementation of the activities.    Include U.S. headquarters positions, if applicable, as well as positions in country.  This section should not be used to describe the background or expertise of the people expected to fill these positions.

Title	Percent of Time	Main Responsibilities

(d) Activity Budgets

In a short paragraph, please list the contributions of any other donors that will be needed to implement the activities under this program.  Please include the statement, “All other costs for this program not covered by resources provided by CCC will be borne by (name of your organization)".

(e) Recipient Agency

Please identify any entity located in the importing country that will receive commodities or commodity sale proceeds from you, the applicant, for the purpose of implementing program activities.  Describe each entity’s qualifications and capability to perform its program responsibilities.  (Note: The applicant is expected to enter into an agreement with any recipient agency listed and hold it responsible for properly using the commodities or proceeds. See 7 C.F.R. section 1499.11).

(f) Governmental or Nongovernmental Entities

Please specify any governmental or nongovernmental entities in the country that will be involved in the program and explain how the program will strengthen or increase the capabilities of such entities to further economic development in the country. Please use a bulleted format.

(g) Method of Educating Consumers

Please state the means of notifying consumers in the recipient country of the source of donated commodities.

(h) Criteria for Measuring Progress

Please complete the proposed table as appropriate for the type of commodity use for each activity,  e.g. Direct Feed, Food for Work, Barter or Monetization.   Complete only those columns that are applicable but "Intended Output" must be filled in for each major activity. 

(1)     Key measurable or identifiable activities should be pulled from Section 5(a) if barter, direct feed or food for work, or from Section 6(e) if monetization. And example is "micro-credit program".

(2)     Describe the type and number of beneficiaries, if applicable. Please break-out beneficiaries by those directly benefiting from the activity and those indirectly benefiting from the activity. An example is "2,000 business owners" as direct beneficiaries and "10,000 employees and owner family members" as indirect beneficiaries.

(3)     Describe the output that is expected from the undertaking of the activity.  This is the direct result of the activity.  An example is "2,000 loans disbursed" under the activity "micro-credit program".

(4)     Describe the outcome that is expected from the undertaking of the activity. This would be how the activity will improve the lives of the beneficiaries.  An example is "direct beneficiary income will increase by 50%" under the activity "micro-credit program".  

Activity	Beneficiaries				Intended Output	Intended Outcome
	Type	# Direct	Type	# Indirect
example: micro-credit loans	business owners	2,000	employees and owner family members	10,000	2,000 loans disbursed	direct beneficiary income will increase by 50%

Please describe in detail the methods that will be used in monitoring and evaluating each activity (i.e. comparison with baseline data, etc.), how progress will be measured.

Please provide one paragraph that summarizes the impact of the program activities on private sector development in the country.  This might include number of jobs generated, changes in agricultural infrastructure, improved marketing of select agricultural products, etc.

Please give the following information for the entire program you are proposing (all of the activities together).  Please do not multi-count, i.e. if a business owner will receive a loan and receive technical training, they should only be counted once.

        Total Direct Beneficiaries of the program _____________

        Total Indirect Beneficiaries of the program_____________

                    Total Beneficiaries (direct and indirect) of the program____________

        Anticipated Monetization completion date (month and yr)_____________

        Anticipated Project completion date (month and yr)______________

6. Use of Funds or Goods and Services Generated

(a) Quantity and Type of Commodities - no action needed (captured in sections 3 & 4)

(b) Impact on Other Sales

Please provide a paragraph or two that provides assurances that the current commercial markets will not be adversely affected by the sale or barter of the commodities.  Include information on trade of the same and similar commodities from the U.S. and other countries into this market.  Discuss current trading partners.  Include both commercial as well as traditional regional stakeholders.  Discuss the optimal timing of the sale in terms of periods of heightened demand, seasonality, harvest time, etc. 

(c) Amount of Sale Proceeds Anticipated

In the table below, please list the commodity, tonnage per shipment, estimated sales price per ton (taking into account packaging requirements or bulk delivery), and estimated proceeds in U.S. dollar equivalency.  Following the chart, please note the date and the exchange rate used.  Please include an estimate of any interest that is expected to be earned and provide the estimated interest rate and estimated investment time period.

Barter or Food for Work Value.  In the table below, please provide an estimated value for any goods and/or services received through barter or food for work. For example, if 5,000 MT of wheat is to be bartered for 200,000 loaves of bread, please put “loaves of bread” in the first column, the number 200,000 in the quantity column and an estimated dollar value for the 200,000 loaves of bread if they were to be purchased locally.

(d) Private Sector Participation in the Sale of the Commodities

Please provide a paragraph or two that describes how the commodities will be sold.  Indicate who are the potential buyers given the market for the commodities.  Discuss how the private sector buyers will be encouraged to participate in the sales process.  Discuss any constraints that may hinder or aid in the sales process, e.g., number of buyers, number of banks, letter of credit fees, storage facilities at processing plants, etc.  Indicate which measures the applicant will undertake to guard against an unfair disadvantage based on limited potential buyers.

(e) Use of Sales Proceeds

This section should account for how the proceeds from the monetization of commodity will be used.  Total direct costs (ITSH, activity costs, and other direct costs) and indirect costs must not exceed the estimated proceeds as listed in Section 6(c).  Also, please include a statement of how unexpected increases or decreases in proceeds or additional funds due to reduced ITSH costs will be distributed across activities.  All Other Costs (including administrative) and ITSH costs may not be increased.   

 

Expense Category	Estimated Dollar Amount of Monetization Proceeds
Direct Costs:
- ITSH	$
- Activity 1	$
- Activity 2	$
- Activity 3	$
- All Other Costs	$
Indirect Costs:
- Applied in accordance with the NICRA*	$
TOTAL DIRECT and INDIRECT COSTS	$

*Must conform to any negotiated indirect cost recovery agreement with a U.S. government agency.

Following the chart, please provide a detailed description of each activity that will be funded with monetization proceeds.  A concise, informative paragraph or two per activity should suffice.  Please include the following:

·         Explain how your organization will use resources identified to carry out the program activities.

·         Indicate each major expenditure and the amount or percentage of proceeds to be used (e.g., equipment procurement, recipient agencies, training consultants, training materials, storage, distribution, etc.)

·         Provide a description of what each entity will do to implement key activities (e.g., your organization, consultant, food processor, local government or non-governmental organization).

·         Explain how your organization will monitor implementation of the activities to ensure that the objectives are met (e.g., site visits, recipient agency agreements with third parties, training of collaborators, etc.)

(f) Procedures for Assuring Receipt and Deposit of Sale Proceeds

Please provide one or two paragraphs that describe how the applicant will ensure that it receives payment for the sales and that the proceeds are deposited into a separate interest-bearing account.  Discuss how and when the proceeds will be disbursed from the account for program activities.  Discuss who will have access to the funds and how the accounts will be monitored and audited.  If special banking issues are involved, the applicant should describe any actions needed to safeguard deposits.

7. Distribution Methods

(a) Description of Transportation and Storage, (b) Description of Any Reprocessing or Repackaging, and (c) Logistics Plan

The main purpose of this section is to provide assurances to USDA that the port, transportation infrastructure, and storage facilities are sufficient to prevent undue spoilage or waste.

Please provide one or two paragraphs that describe in a logical sequence the following:    

(1) the discharge port facilities in the importing country, including offloading and storage capacity, number of discharge berths, depth of draft, and who will receive the commodities at the discharge port, (2) the mode of transport used to move the commodities from the discharge port to your warehouse, (3) storage capacity, structure and level of security, (4) any processing or repackaging that you, the applicant, will arrange prior to the sale of the commodities, or a short statement declaring that no reprocessing or repackaging will take place, and (5) steps taken to prevent undue spoilage or waste. 

8. Duty Free Entry

Please be familiar with and provide information about local customs, duties, and taxes that may be applicable for the commodities to enter the country.  The applicant should list any special laws or taxes that may apply and explain how these laws and/or taxes will affect either distribution and/or monetization. 

For programs that include direct feeding,  the applicant must indicate that the commodities will be imported and distributed free from all customs, duties, tolls, and taxes.  Please refer to, or if possible, quote from any written documentation that supports duty-free entry. 

For programs that include monetization, if the commodities will not enter duty free, indicate who will be responsible for paying applicable customs, duties, or taxes and how this payment will affect the amount of sales proceeds realized from the sale.  For example, if the buyer will pay the duty, is the sales price representative of a fair market price given this stipulation? 

9. Economic Impact

Please provide information indicating how the commodities were selected.  Describe why the commodities can be imported and distributed without a disruption to local production and marketing patterns along with no adverse affect on prices of the same or like products (substitutable commodities) within the importing country.  Highlight current local agricultural risks, aberrations, and marketing practices for locally produced foods. Discuss how these factors have been considered in the commodity selection process and monetization plan.   Please include recent production and consumption statistics along with sources to support these statements.  Do not repeat information provided in sections 6(b), 6(c) or 6(d) of this document.