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PROJECT ADMINISTRATION INSTRUCTIONS
PAI No. 5.08
Revised on June 2024

ADMINISTERING TECHNICAL ASSISTANCE1
      1 This PAI applies after TA commitment.

A. Introduction

1. This Project Administration Instruction (PAI) provides guidelines for administering technical assistance (TA) financed or administered by the Asian Development Bank (ADB).2

      2 For delegated TAs, refer to Staff Instruction on Business Processes for Technical Assistanceand Staff Instruction on Business Processes for Financial Reporting, Auditing, Management, and Monitoring in Sovereign Operations.

2. These guidelines apply to both sovereign and nonsovereign TAs. Sovereign TAs, including ongoing TAs, are classified under developing member country (DMC)-specific TA, regional TA (one region), or multiregion3 TA. Nonsovereign TAs follow business procedure for multiregion TAs in this PAI except for regional head, operations coordination (RHOC) consultation/concurrence. Nonsovereign TAs require consultation/concurrence from regional head, private sector development in lieu of RHOC. TAs administered by the Office of Markets Development and Public-Private Partnership follow the business procedure for nonsovereign TAs regardless of sovereign TA requirements.

      3 Multiregion TAs typically include regional research and training TAs without any specific activity in a country. If there is a specific activity in a country, it should be tagged in eOperations.

3. These guidelines do not cover
      4 After the approval of the New Products Policy (3 July 2018), the TA loan modality has been retired. This is applicable for any ongoing TA loans.

4. For TAs funded by the Japan Fund for Prosperous and Resilient Asia and the Pacific (JFPR), this PAI will be applied in conjunction with the JFPR Implementation Guidelines,as amended from time to time.

B. Roles and Responsibilities in TA Administration

5. The head of the department/office supervises the TA supervising unit (TASU), which is composed of TASU director or head, TASU project administration unit (PAU) head (if any), TA team leader, and support staff within the unit. The TASU director or head provides high level guidance of supervising and monitoring TA administration and is responsible for TA completion report (TCR)5 circulation. The TASU PAU head monitors the TA performance and provides quality assurance support in all aspects of TA administration and TCR circulation. Table 1 below shows the composition of TASU Head of Department/Office and TASU.

      5 See PAI 6.08 (Technical Assistance Completion Report).

6. The TA team leader manages the administration of the TA and prepares and obtains approval of TCR under the guidance of the TASU director or head and TASU PAU head. The TA team leader retains the overall responsibility for ensuring compliance with relevant due diligence requirements.

Table 1: TASU Head of Department/Office and TASU
TASU Head of Department /
Office
TASU Director or Head
TASU PAU Head
    • Directors General, RDs
    • Directors General, BPMSD/
      CCSD/ CSD/ IED/ ITD/
      PPFD/ PSOD/ SPD
    • General Counsel, OGC
    • Principal Director, DOCK
    • Controller, CTL
    • Treasurer, TD
    • Auditor General, OAG
    • Heads, OAI/ OMDP/ ORM/
      OSFG
    • Chief Economist and Director General, ERDI
    • Director General, SG
      (in case TASU is SG-OD)
    • Senior Sector Directors, SG
      (in case TASU is sector office)
    • Senior Director
    • Special Project Facilitator,
      OSPF
    • RHOC or equivalent, RDs
    • Country Directors, RMs
    • Regional Directors, regional offices
    • Sector Directors, SG
    • Head, Sector Operations
      Coordination (in case TASU is SG-OD)
    • Directors/Heads or equivalent
    • Assistant Controllers or equivalent, CTL
    • Assistant Treasurer or equivalent, TD

    If the above positions do not apply, the TASU HOD assumes the responsibility or may delegate the responsibility to at least director level.
    • Sector PAU Head, SG
      (for project-related TAs)
    • COH or CD-assigned TASU PAU Head, RMs
    • TASU PAU Head designated by TASU Director or Heada

    If there is no TASU PAU Head, TASU Director or Head assumes the responsibility of TASU PAU Head.
    In cases where the TASU PAU Head is the TA team leader, the authority remains with the TASU Director or Head.
BPMSD = Budget, People, and Management Systems Department; CCSD = Climate Change and Sustainable Development Department; CD = country director; COH = country operations head; CSD = Corporate Services Department; CTL = Controller's Department; DOCK = Department of Communications and Knowledge Management; ERDI = Economic Research and Development Impact Department; HOD = head of department; IED = Independent Evaluation Department; ITD = Information Technology Department; OAG = Office of the Auditor General; OAI = Office of Anticorruption and Integrity; OGC = Office of the General Counsel; OMDP = Office of Markets Development and Public-Private Partnership; ORM = Office of Risk Management; OSFG = Office of Safeguards; OSPF = Office of the Special Project Facilitator; PAU = project administration unit; PPFD = Procurement, Portfolio, and Financial Management Department; PSOD = Private Sector Operations Department; RD = regional department; RHOC = regional head, operations coordination; RM = resident mission; SG = Sectors Group; SG-OD = Office of the Director General and Group Chief, SG; SPD = Strategy, Policy, and Partnerships Department; TA = technical assistance; TASU = TA supervising unit; TD = Treasury Department.
Note: If the TASU is not listed in Table 1, the Portfolio Management Division (PFPM) of PPFD will provide the guidance by request.
aThe designation of TASU PAU head should be published on each respective department/office website.

C. One ADB Team Approach

7. The TA team leader is responsible for the overall TA administration, supported by the TA team members, as applicable. The TA team is composed of staff from various departments/offices following the Staff Instruction on Business Processes for Technical Assistance.

8. The TA team, as applicable, regularly reviews the TA progress in accordance with the design and monitoring framework, if applicable, to achieve outputs and outcomes. The TA team member responsible for each functional area should coordinate with the respective departments/offices, if needed, in accordance with applicable policies and guidelines.

9. The TA team leader and TA team members assigned during processing continues to administer the TA. The TASU director or head6 may change the TA team leader and TA team member(s), if needed. When TASU director or head changes TA team members from other departments/offices, the TASU director or head requests nominations from the concerned director/head of office. The concerned director/head of office may also request to change the assigned TA team member. Alternatively, the TA team leader may propose a TA team member and should obtain approvals from TASU director or head and concerned director/head of office by email.

      6 In case of the Sectors Group, the TASU director or head is the sector director, not the regional sector PAU head.

10. For TAs with components or outputs involving two or more departments/offices, a primary TASU will be identified which will serve as the coordinator and supervisor responsible for TA administration, including monitoring outputs, contracts of consultants,7 requests for payments, fund source allocation, and TA completion reports for circulation.

      7 In this PAI, the term “consultants” also refers to knowledge partners, suppliers or service providers. The term “executing agency” also refers to implementing agencies unless the context requires otherwise.

D. TA Administration Missions

11. For most TA operations, the first administration mission is an inception mission which has a significant effect on the performance of the TA.8 The TA team, as applicable, conducts the mission in collaboration with the executing agency (EA) and/or implementing agencies (IAs),9 and consultants and prepares an aide-mémoire or memorandum of understanding (MOU) upon completion of the mission (if necessary). The purposes of the inception mission include:

      8 Refer also to PAI 6.02 (Project and Technical Assistance Administration Missions)for TA administration missions.
      9 For nonsovereign TAs, the EA and/or IAs are equivalent to the recipients in this PAI.
12. The TA team fields review missions as required to check the progress of TA implementation including consultant’s performance, reassess the expected TA completion date, and review the TA’s finances.

13. The TA team arranges tripartite meetings with the EA and/or IAs, stakeholders, and consultants to ensure common understanding of the progress of the TA and follow a participatory approach in reviewing the consultants’ outputs. The TA team usually schedules a tripartite meeting shortly after receiving each major report. The anticipated schedule of tripartite meetings is shown in the consultant’s work plan and staffing schedule. For TAs delegated to the recipient country, the EA arranges tripartite meetings with the IA, stakeholders, ADB, and the consultant.

E. Monitoring TA Progress

14. The TA team updates information in eOperations to record the progress of implementation at least quarterly. For cofinanced TAs, the TA team provides progress reports to donors as agreed.

15. If the progress is not satisfactory, a reminder will be shown in eOperations or an email alert will be sent to the TASU depending on the disbursement and age thresholds.10

      10 Examples of age and disbursement thresholds are but not limited to: TA reached age 1 without disbursement, TA reached age 2 with less than 10% disbursement, TA reached age 3 with less than 30% disbursement, and TA reached age 4 with less than 50% disbursement.

F. Disbursement

16. TA disbursement will follow the TA Disbursement Handbook, as amended from time to time, and special provisions in the TA report, if any.

17. A TA is typically financed in US dollars, unless otherwise specially approved. Ideally, contracts under the TA are to be signed in US dollars or other currencies that ADB can settle, for which the TA team should consult with the Treasury Department.

G. Financing and Monitoring of Goods and Services

18. At TA processing stage, the TA team needs to discuss with the EA and/or IAs whether goods and services need to be provided under the TA. If they are needed, the implementation arrangement section of the TA report should state the goods and services to be procured under the TA and indicate the institution/s (government [EA and/or IAs]/recipient, consultant, or ADB) which will procure them. If the consultant will procure the goods and services under the TA, the consultant’s TOR attached to the TA report should include the procurement arrangement for goods and services.11

      11 Contract variation is needed to change the procurement arrangement.

19. All TA-financed goods and services should be procured in accordance with ADB Policy documents12 stated in the approved TA report and/or cofinancing agreement for donor-funded TAs administered by ADB. TASU, the DMC government, or consultants may procure goods and services for TAs. Procurement of goods and services should be limited to indispensable items that the TA needs to finance. It is generally recommended that goods be leased for administrative efficiency to avoid additional procedures for monitoring and disposal.

      12 Policy document refers to either ADB Procurement Policy and Regulations, Guidelines on Use of Consultants by ADB and its Borrowers, or ADB Procurement Guidelines.

20. At least three quotations are required when procuring goods and services below $100,000. When procuring items in a remote area with few suppliers, the consultant or TA team should try to obtain at least one or two quotations locally, and, if practical, obtain additional quotations from the capital or a regional city. The purchase order should be issued for each procurement contract if applicable. Signing authority of the contract is defined in line with the TA report and Administrative Order 1.03 on Signature of Written Instruments. Appendix 1 provides an overview of the standard procurement and asset management procedures.

21. Goods purchased under the TA remain as ADB property except when they are procured by the government. If usage of goods is under the control of the government, it is recommended that the government procures them using TA funds. Goods procured by the government will be owned by them upon delivery, under the condition that the goods will be used for TA activities until the completion of the TA. This arrangement should be confirmed by the government through a signed MOU during the TA processing stage and as described in the TA report. The government is responsible for monitoring the goods based on agreement with ADB.

22. The TA assets to be monitored are non-consumable goods with an acquisition cost of $500 or more. Non-consumable assets include physical assets, software, licenses, electronic documents, websites, and social media.

23. It is not recommended for ADB to procure goods under TAs. In case it is indispensable for ADB to purchase goods, the TA team needs to establish a plan to monitor goods during TA implementation and disposal plan at TA completion. In exceptional cases when such arrangements are needed, the TA team leader will follow the ADB Procurement Policy after consultation with the assigned Procurement, Portfolio, and Financial Management Department (PPFD) procurement specialist. The TA team should ensure eligibility of procurement of goods and services in line with the approved TA report, and cofinancing agreement for externally-funded TAs administered by ADB. If ADB procures the goods, the TA team should monitor the assets and report losses of non-consumable goods immediately to the TASU director or head.

24. When the consultant procures goods, the ownership of the procured goods should remain with ADB until the end of the consulting contract. The consultant will be able to use such goods without charge during TA implementation period. Consultants should cover equipment with appropriate insurance in case of damage or loss. The cost of such insurance is an eligible expense under TA consulting contract. The consultant should monitor non-consumable assets and report any losses immediately to the TA team leader. The TA team leader should report losses to the TASU director or head. If the consultant causes damage or loss to goods, then the consultant should shoulder the cost of the loss.

25. Goods procured by ADB or consultants remain ADB’s property until transferred to the government or disposed by ADB even after Loan Administration Division (CTLA) of the Controller’s Department (CTL) closes the TA account.

26. Compliance with safeguards requirements for civil works. If a TA has civil works procured as part of pilot testing, the status of safeguards compliance is assessed under the safeguards tab of the eOperations.

H. Use of TA Funds

27. The TA team is responsible for ensuring that adequate due diligence is carried out, and that conference, event and hospitality expenditures are in line with the approved scope of the TA.

28. TAs are essentially for direct assistance to eligible recipients (as defined under Staff Instruction on Business Processes for Technical Assistance).Only direct and identifiable costs are charged to the TA, including but not limited to TA consultants, training, seminar materials including mailing, cost of publications, conference room charges, and eligible participants’ costs (travel expenses as required). In cases where ADB staff act as resource persons13 for purpose of effectiveness, travel costs are charged to the TA but their salaries and benefits are absorbed by ADB’s internal administrative expense budget. Support services (travel and related costs for secretarial and administrative services) by ADB staff for assisting TA implementation and administration can be covered by the TA only when clearly specified in the TA report and included within its cost components.

      13 ADB staff acting as a resource person is someone (i) having a sector, thematic, or specific technical expertise, and (ii) engaged as a facilitator, speaker, trainer, or panelist in a conference, workshop, or seminar, financed under a TA.

29. Generally, all travel to and from a conference or event should be arranged by the most economical and direct route possible. In cases where deviations from benchmark routes are requested for personal reasons, the cost difference will need to be charged to the event participant. Subsistence allowances payable to out-of-town event participants may be adjusted if meals are provided as part of the accommodation booking or conference package. The TA Disbursement Handbookprovides guidance on computation of allowance.

30. Meals may be provided when it is integral to the structure and the purpose of the event; the participants’ dispersal at mealtimes including breaks would be counterproductive to the efficiency and effectiveness of the event, and the standard of the meal or hospitality is appropriate for a development institution.

31. The TA team is expected to supervise conference and hospitality events funded by ADB TAs. Where such direct supervision is not possible, the TA team will record a proper completion report with clear evidence for all expenditure items.

32. Representation may be charged to the TA, only if directly identifiable to the TA and clearly specified in the TA report including costs in its budget estimates. The cost of representation should be kept at minimal level and the TA recipient should follow the TA Disbursement Handbook, ADB’s guidelines for representation provided in Administrative Order 4.03 on Representationand the guidelines for beverage services subsidy for field offices. If not included in the TA report, the TA team should process a change in scope to include the costs to be incurred for approval of the TASU director or head. The TA team is responsible for verifying and validating the eligibility and reasonableness of the costs.

33. Costs of rental for office space and related overhead expenses (e.g., cost of utilities) directly identifiable to the TA can be covered by TA funds when clearly specified in the TA report and included within its cost components.

34. UN agencies’ indirect management fees directly identifiable to the TA can be covered by TA funds when clearly specified in the TA report or a memorandum and included within its cost components.

I. Increase in TA Amount

35. To increase the TA amount, the TA team submits a memorandum, after consultation with CTL and the Partner Funds Division (CCPF) of the Climate Change and Sustainable Development Department if the TA is cofinanced, to the concurrer(s) and decider as set out in the Staff Instruction on Business Processes for Technical Assistance. If the increase in TA amount will involve a major/minor change, the increase in TA amount and major/minor change should be processed together and procedures in paras. 38–45 also apply.14 The memorandum should include the matter for consideration, background information, status of TA implementation, change in TA scope and/or implementation arrangements, increase in the TA amount, and staff views. For an increase in TA amount which requires Board approval, refer to the Office of the Secretary Information Access Unit’s SharePoint site: Board Document Templates. The TA team should immediately send the Technical Assistance Milestone and Change Event (TMCE) form and attach a copy of the Board paper or approved memorandum to CTLA to update the TA record in the Integrated Disbursement System (IDS).

      14 If the approval authority of the major/minor change are in the same department/office line with the approval/concurrence authority of the increase in TA amount as indicated in the Staff Instruction on Business Processes for Technical Assistance, the TA team seeks approval only from the higher approval/concurrence authority.

J. Changing the Scope or Implementation Arrangements

36. A TA’s scope or implementation arrangements may need to be changed in order to achieve the TA’s objectives. A change in a TA’s scope or implementation arrangements is classified as ‘major’ or ‘minor’.15 A ‘major’ change substantially affects the TA’s outcome, components, benefits or implementation arrangements. A ‘minor’ change does not substantially affect the TA’s outcome, components, benefits or implementation arrangements. The memorandum should include the matter for consideration, background information, status of TA implementation, change in TA scope and/or implementation arrangements, and staff views.

      15 When changes occur regarding implementing arrangements, the Office of Anticorruption and Integrity should be consulted on the integrity due diligence requirement.

37. The TASU PAU head decides if a change is ‘major’ or ‘minor’. If necessary, the TASU PAU head may consult with Portfolio Management Division (PFPM) of PPFD, Office of the General Counsel TA team member, and CCPF if cofinanced, on whether the change of scope is ‘major’ or ‘minor’. If the consultation is inconclusive, the TASU director or head decides whether the change is ‘major’ or ‘minor’. 38. For major change, the TA team leader drafts a memorandum with support from TA team members on their respective functional areas. The TA team members proactively contribute to and take responsibility within their functional area. The TA team members will seek guidance and clearance from their functional reporting line, where necessary. The TA team leader retains the overall responsibility for compliance with relevant requirements.

39. In addition to the contribution from the TA team members in their respective functional areas, the TA team leader should consult with the respective country operations head (COH) for DMC-specific TAs and CCPF if the TA is cofinanced. The TA team leader should consult with other supporting departments/offices16 as necessary. The role of other supporting departments/ offices is to provide advice and support to the TA team in their respective functional areas.

      16 For other supporting departments/offices, refer to Staff Instruction on Business Processes for Technical Assistance.

40. If there are remaining unresolved issues between the TA team leader and the concerned department/office, the TASU director or head convenes a resolution meeting at the request of the TA team leader or director/head from concerned department/office to resolve the issues. The TASU director or head will chair the resolution meeting, facilitate the resolutions and make the decision to proceed with the proposed change or instruct the TA team to take further actions.

41. If there are no remaining issues, the TA team leader will submit the memorandum through the TASU director or head to the country director (CD) for DMC-specific TA or RHOC for regional TA for approval. TASU director or head approves for multiregion TAs17 (footnote 14). The TA team sends a copy of the approved memorandum to PPFD, CTLA (including the TMCE form), and CCPF if cofinanced. PPFD reports the outline of the approved major change to the Board through the Quarterly Portfolio Updates.

      17 For multiregion TAs with specific activity in a country(ies), concurrence is required from the concerned RHOC(s) related to the proposed major change.

b. Minor Change

42. For minor change, the TA team leader should consult with TA team members on their respective functional areas. The TA team leader retains the overall responsibility for ensuring compliance with relevant requirements.

43. The TA team leader should consult with other supporting departments/offices,18 if necessary. If the TA was initially cofinanced or later through additional financing from the special funds and/or ADB-administered external funds, CCPF should be consulted.

      18 CTL may be consulted on matters relating to financing plan, cost allocation/reallocation, funds flow (advance, etc.), disbursement currency, and others.

44. The TA team leader submits a memorandum to the TASU PAU head for approval (footnote 14). The TA team sends a copy of the approved memorandum to PPFD, CTL, and CCPF if cofinanced. In case the change will not affect the TA activities significantly and the TA is fully-funded by TASF, the TA team leader may seek approval from the TASU PAU head by email in lieu of a memorandum. In case the change is limited to revising the cost estimates and financing plan (reallocation) and clarification on eligible expenditures, for fully TASF-funded TAs, the TA team leader may decide and report the change to the TASU PAU head by email. The email should be copied to the relevant departments/offices similar to the memorandum and recorded in the TA folder.

45. After approval of major and minor change, the TA team should update the TA eOperations record and immediately send the TMCE form to CTLA to update the IDS TA record.

46. When a stand-alone TA is converted to a TA cluster or a DMC-specific TA to a regional or multiregion TA, or a regional TA to a multiregion TA, the change memorandum would need to confirm fulfillment of the requirements specified in the Staff Instruction on Business Processes for Technical Assistance.

K. Transfer of TA Administration and Supervision

47. When the TA administration and supervision need to be transferred from the current TASU to another TASU, the TASU directors or heads of the current and the successor TASUs should agree by email in consultation with CD for DMC-specific TAs or RHOC for regional TAs,19 with copy to the respective heads of departments/senior sector directors; PFPM; CTLA (including TMCE form); Strategy, Policy, and Partnerships Department; and CCPF if cofinanced. The email should be recorded in the TA folder.

      19 For multiregion TAs with specific activity in a country(ies), consultation is required from the concerned RHOC(s) related to the proposed transfer of TA administration and supervision.

L. Full Cancellation of a TA

48. When a TA requires cancellation of the entire amount after the effectiveness date, the TA team prepares a memorandum.

49. For DMC-specific and regional TAs, if the TA became effective upon ADB’s receipt of the TA signed letter or upon expiration of the period specified in the TA letter, the TA team leader needs to confirm no-objection from the government before the cancellation in consultation with CD for DMC-specific TAs or RHOC for regional TAs, and CCPF if cofinanced. Once confirmed, the TA team leader seeks approval, through the TASU director or head, from CD for DMC-specific TAs or RHOC for regional TAs.

50. For multiregion TAs, TASU director or head approves in consultation with CCPF if cofinanced20

      20 For multiregion TAs with specific activity in a country(ies), concurrence is required from the concerned RHOC(s).

51. The TA team should immediately send a copy of the approved memorandum to PFPM, CTLA (including TMCE form to update IDS TA records), and CCPF if cofinanced. If the TA is cancelled, the TA funds are no longer available for any disbursements.

52. For a TA that was cancelled without any disbursement, a Board information paper is prepared outlining the reasons for cancellation and lessons learned, if any.

M. Partial Cancellation of a TA

53. At least once every 6 months, the TA team monitors the financial progress of a TA to identify the funds needed to achieve the expected outputs. Surplus funds are uncommitted funds that are not planned to be used for a specific purpose or are not needed to successfully complete the TA.21 When a surplus is identified, after the TA team leader consults the government (for DMC-specific and regional TAs), the TASU PAU head approves the cancellation, in consultation with COH for DMC-specific TAs or RHOC for regional TAs, and CCPF, if cofinanced.22 The TA team should immediately send a copy of the approved memorandum to RHOC (as applicable), PFPM, CTLA (including TMCE form to update IDS TA records), and CCPF, if cofinanced. This is applied in cases where part of TA committed funds are cancelled but the TA is kept active. Cancelled TA funds may not be reinstated.

      21 Excess funds after TA completion are treated as savings and will not go through the partial cancellation approval process.
      22 For multiregion TAs with specific activity in a country(ies), consultation is required from the concerned RHOC(s) related to the proposed partial cancellation.

N. TA Completion

54. The TA completion date (which is indicated in the TA report or latest extension memorandum) is the date on which all the activities financed by the TA are completed. The TA completion date determines the eligibility of TA funded activities. Any costs incurred and paid after the TA completion date are not eligible for TA financing. The TA financial closing date (normally 90 days after TA completion date) is the date on which all TA-related financial transactions are finalized and the respective TA account is closed in ADB’s books. Requests for reimbursements, liquidation of advances and refunds must be received by ADB and processed prior to TA financial closing.

55. The contract completion date of a consultant engaged under the TA must fall within the TA completion date. For example, the TA team should receive the consultant’s acceptable final report by the TA completion date, if applicable.

56. If the TA will require an extension, the following procedure is required. If the TA implementation period (including the proposed extension) is 5 years or less from the TA effectiveness date, the TA team leader submits a memorandum for extension to seek approval from the TASU director or head, in consultation with COH for DMC-specific TAs or RHOC for regional TAs.23 If the TA implementation period (including the proposed extension) exceeds 5 years from the TA effectiveness date, the TA team leader submits a memorandum to seek approval from the head of department/office or senior director with the concurrence24 of CD for DMC-specific TAs or RHOC for regional TAs (footnote 23). The TA team leader needs to consult with CCPF on proposed extensions for cofinanced TAs and need to obtain concurrence of cofinanciers if required.

      23 For multiregion TAs with specific activity in a country(ies), consultation is required from the concerned RHOC(s) (for extensions with total implementation period of 5 years or less) or concurrence from the concerned RHOC(s) (for extensions with total implementation period of more than 5 years) related to the proposed extension.
      24 Concurrence is not required for TAs administered by regional departments.

57. If the TA extension will involve a major/minor change, the TA extension and major/minor change should be processed together and procedures in paras. 38–45 also apply.25

      25 If the approval authority of the major/minor change are in the same department/office line with the approval/concurrence authority of the TA extension, the TA team seeks approval only from the higher approval/concurrence authority.

58. The TASU director or head should request the TA team to review and financially close TAs that have been implemented for more than 5 years from effectiveness date and has uncontracted balance of less than $100,000.26

      26 For TAs with more than 5 years implementation period and uncontracted balance of less than $100,000, an eOperations reminder is sent annually to the TASU director or head, TASU PAU head, TA team, and TA front office focal.

59. After the extension of the TA completion date is approved, the TA team processes or requests PPFD to process the consultant’s contract variation following the Procurement Staff Instructionsand provides a copy of the TA extension approval and variation order to CTLA. An extension of a consultant’s contract beyond the TA completion date first requires approval of TA extension.

60. The TA team immediately advises CTLA of extensions through a TMCE form to update the IDS TA record and ensure final payments are disbursed before the TA financial closing date.

61. Upon completion of assignment, the TA team promptly advises the consultant to submit their final claim and, if applicable, certificate of turnover or disposal of goods purchased under their contract. The TA team will resolve outstanding payment issues. In the event of a dispute between the TA team and the consultant, the TA team leader should consult with the TASU PAU head or TASU director or head to amicably resolve the dispute with the consultant. If it appears that the dispute will be submitted for arbitration, the TA team leader will consult with PPFD and Office of the General Counsel to seek appropriate advice.

O. Turn Over or Disposal of Assets at TA Completion

62. The consultant must promptly turn over any purchased goods to the government. It is recommended that the consultant submits the certificate of turnover within 2 weeks of completing the assignment, together with consultant’s final claim. If the consultant does not submit the certificate by the deadline but has confirmed in writing (e.g., email) compliance with required turnover of goods and equipment, the TA team confirms the turnover and completes the certificate.

63. When goods are intended to be procured by ADB, the TA team leader should consult with the assigned PPFD procurement specialist about procurement and disposal arrangements for such goods before initiating procurement. Any funds realized from disposal of items should be returned to the fund that financed the purchase of the item. The TA team should coordinate with CTLA and consult with CCPF on return to the fund (if the fund is cofinanced). If ADB hosted a website or social media account procured by ADB and there is no maintenance and financing plan beyond the TA completion date, the websites and/or social media will be automatically deactivated by the Department of Communications and Knowledge Management and/or Information Technology Department within 3 months after the TA completion date. Appendix 1 provides an overview of the standard asset management procedures including the disposal.

P. Financial Closing of the TA Account

64. Once all requirements for financial closing are met, the TA team leader sends a memorandum to close the TA account to CTL through the TASU director or head. CTLA will close the TA account after the closure of contracts have been completed as set out in PAI 2.06 (Consultant Contract Management) and Procurement Staff Instructions.

65. When there is no disbursement under a TA during a continuous period of 12 months, CTLA notifies the TA team that the TA has an inactive disbursement status, and requests the TA team’s confirmation whether to close the account 30 days after the notice or not.

66. CTLA can no longer disburse funds after closing the account. CTLA makes the cancelled funds available for new commitments.

67. TAs that remain active after 90 days of TA completion date are reported in the Quarterly Portfolio Update circulated by PFPM.

Q. Recording the TA Milestone and Change Event

68. The recording of the TMCE is essential for portfolio and financial reporting as well as for the implementation of the required business processes upon TA effectiveness, suspension, cancellation, and in case of change in technical assistance implementation and disbursement arrangements.

69. The TMCE form is available in the Forms Management Database. The TA team should submit the TMCE form as early as possible but not later than 2 working days after the milestone or change event.27 CTLA updates the relevant information in IDS.

      27 Milestone events such as approval and signing which have online notification from eOperations are emailed directly to CTLA do not require submission of a TMCE form.

Appendix 1
Financing, Monitoring and Disposal of Goods and Works (for pilot testing) Procured Under Technical Assistancea
Type of Goods or Works
General
Procurement organizations
Government
Government
ADB
Goods Procurement
    During TA processing stage, the TA team should discuss with the EA and/or IA whether goods need to be provided under the TA. If they are needed, the TA report should state goods to be procured under the TA and how they are to be procured (by the government, consultant, or ADB).
    If usage of goods is under the control of the government, it is recommended that the government procures them using TA funds. The government will own the goods they procured upon delivery, under the condition that they should be used for TA activities until the completion of the TA. This arrangement should be confirmed by the government through a signed MOU during TA processing stage and as described in the TA report
    It is recommended that goods be leased. Goods should not be procured by consultants except when the government requests ADB to procure through the consultants and the government agrees that the goods are turned over to the government after the completion of the TA.
    It is not recommended for ADB to procure goods under TAs. In exceptional cases when such arrangements are needed, the TA team leader will follow the ADB Procurement Policy after consultation with the assigned PPFD procurement specialist.
Monitoring
    TA assets to be monitored are non-consumable goods with an acquisition cost of $500 or more. The non-consumable assets include, in addition to physical assets, software, licenses, electronic documents, websites and social media.
    The government will monitor non-consumable goods as per the agreement with ADB.

    It is recommended that software licensing and similar intangible assets are procured directly by the EA to avoid problems where such ownership rights are not transferable to other parties. The EA should follow ADB Procurement Policy if procurement is conducted by EA.
    Until the end of the consulting contract, the ownership of procured goods should remain with ADB. Consultants should cover equipment with appropriate insurance in case of damage or loss. The cost of such insurance is an eligible expense under TA consulting contract. The consultant should monitor non-consumable assets and report any losses immediately to the TA team leader. The TA team leader should report losses to the TASU director or head. If the consultant causes damage or loss to goods, then the consultant should shoulder the cost of the loss.
    The TA team should monitor the assets and immediately report losses of non-consumable goods to the TASU director or head.
Disposal
    Government will be responsible for disposal of goods.
    The consultant must promptly turn over any purchased goods to the government. The consultant should submit the certificate of turnover within 2 weeks of completing the assignment, together with their final claim. If the consultant does not submit the certificate by the deadline but has confirmed in writing (e.g., email) compliance with required turnover of goods and equipment, the TA team confirms the turnover and completes the certificate.
    When goods are intended to be procured by ADB, the TA team leader should consult with the assigned PPFD procurement specialist about procurement and disposal arrangements for such goods before initiating procurement.
Vehicles Procurement
    It is recommended that vehicles be leased. If vehicles are needed for occasional meetings and workshops, hiring vehicles only for these days should be considered. When vehicles need to be purchased, the TA team makes sure they are appropriate for the TA activities and within the budget.

    ADB does not finance the purchase of luxury vehicles (for example, more expensive sedan or saloon cars, multipurpose vehicles, and 4-wheel-drive vehicles with luxury accessories) under the TA.

    When vehicles need to be purchased, the TA team must justify its purchase in the TA report, why it is necessary for TA activities, and should keep cost within the approved budget. The TA team makes sure that registration fees and insurance premiums for vehicles are paid during the TA implementation.
    It is recommended that vehicles be leased. If the purchase of vehicles is indispensable for TA activities and they are to be used under the control of the government, it should be procured by the government
    Vehicles should not be procured by consultants. If needed, vehicles should be leased
    Vehicles should not be procured by ADB. Vehicles should be leased if they are needed.
Disposal
    N/A
    The ownership was already transferred to the government at the time of delivery. Disposal procedure will be decided by the government.
    N/A
    N/A
IT equipment (mainly computers and printers) Procurement
    It is preferable that IT equipment be leased. The type of the IT equipment must be defined in the TA report.
    If IT equipment is to be used under the control of the government, it is recommended that the government procures them.
    Consultants are expected to use their own computers.
    IT equipment including computers should not be procured by consultants except when the government requests ADB to procure IT equipment through the consultants and the government agrees that the IT equipment is turned over to the government after the completion of the TA.

    If IT equipment is required (e.g., projector or printer), it should be leased, or supplied by consultants.
    It is not recommended for ADB to purchase IT equipment. However, if ADB needs to purchase IT equipment and use them at the ADB premises, the TA team leader will follow the ADB Procurement Policy after consultation with the assigned PPFD procurement specialist.
Disposal
    The ownership was already transferred to the government at the time of delivery. Disposal procedure will be decided by the government.
    The ownership will be transferred to the government after the completion of the TA as per the agreement.
    When goods are intended to be procured by ADB, the TA team leader should consult with the assigned PPFD procurement specialist about procurement and disposal arrangements for such goods before initiating procurement.
Websites and social media Procurement
    The TA report should provide a maintenance and financing plan beyond the date of TA account closing.
    If websites and social media accounts are to be maintained by the government, it is recommended that the government procures them.
    The maintenance and financing plan beyond the date of TA account closing should be agreed through the signed MOU during TA processing stage and described in the TA report. The agreement should also include that the ownership of the websites and social media belongs to the government under the condition that websites and social media are used for the TA activities.
    “Software-as-service” option is preferred, where provision of IT services is based on periodic fee and ownership is not transferred to the user. The data, however, should be transferable to the government without further charge.
    The consultant contract should include the maintenance and financing plan during the TA implementation and beyond the date of TA account closing. This arrangement should be confirmed by the government through the signed MOU during TA processing stage and described in the TA report.
    If websites and social media are to be maintained by ADB, ADB may procure them. It is recommended that the maintenance and financing plan beyond the date of TA account closing be included.
Monitoring
    The ownership of procured websites and social media is the government. The government will monitor them as per the agreement with ADB.
    The consultants should maintain websites and social media as per the contracts.
    The TA team should monitor the websites and social media.
Disposal
    The government will maintain or dispose as per the agreement.
    The ownership will be transferred to the government after the completion of the TA or deactivated as per the contract.
    If there is no maintenance and financing plan beyond the TA completion date, the websites and/or social media account hosted by ADB will be automatically deactivated by the Department of Communications and Knowledge Management and/or Information Technology Department within 3 months after the TA completion date.
Goods procured as part of pilot testing activity Procurement
    Goods and services required for the pilot testing are listed in the implementation arrangements described in the TA report.
    If usage of goods is under the control of the government, it is recommended that the government procure them under TA funds. The government will own the goods they procured upon delivery, under the condition that they should be used for TA activities until the completion of the TA. This arrangement should be confirmed by the government through a signed MOU during TA processing stage and as described in the TA report.
    It is recommended that goods be leased. Goods should not be procured by consultants except when the government requests ADB to procure through the consultants and the government agrees that the goods are turned over to the government after the pilot testing (even if the government agrees to this arrangement, consultants are not allowed to purchase vehicles). Consultants may assist the government/TA beneficiary in the procurement process.
    It is not recommended for ADB to procure goods. If there is no EA, goods should be procured by the consultant as part of pilot testing. If goods are installed within the ADB premises and ADB procures goods for pilot testing, the TA report should indicate that ADB Procurement Policy will be followed.
Monitoring
    The ownership of procured goods is the government. The government will monitor them as per the agreement with ADB.
    The owner of procured goods is ADB. However, the consultant uses procured goods without charge during the pilot testing period. The consultant should monitor non-consumable assets and report item losses immediately to the TA team leader. If the consultant causes damage or loss to goods, then the consultant should shoulder the cost of the loss.
    TASU should monitor the procured goods immediately report losses of non-consumable goods to the TASU director or head.
Disposal
    The government will be responsible for the disposal of goods.
    The consultant must promptly turn over any purchased goods to the government/ recipient after the pilot testing. The consultant should submit the certificate of turnover within 2 weeks of completing the assignment, together with their final claim. If the consultant does not submit the certificate by the deadline but has complied with required turnover of goods, the TA team confirms the turn over and completes the certificate.
    When goods are intended to be procured by ADB, the TA team leader should consult with the assigned PPFD procurement specialist about procurement and disposal arrangements for such goods before initiating procurement.
Civil works procured as part of pilot testing Procurement
    Civil works procurement under TA funding should be avoided, unless essential.
    The major consideration for avoidance is the need for obtaining permits, licensing which should only be done by the government/TA recipient.
    Procedures necessary for making civil works feasible need to be covered by the MOU between ADB and the government/TA recipient. All necessary permits, licenses, land ownership or associated issues need to be resolved prior to the civil works procurement. ADB reviews procurement procedures/ procurement documents and assists the government/recipient in payment procedures (reimbursement or direct payment in accordance with TA Disbursement Handbook).
    The consultant should not procure any civil works directly.
    The consultants may assist the government/TA recipient in preparation of the procurement documents and procurement support (bid evaluation or similar activities).
    ADB should not procure civil works within the ADB premises.
Monitoring
    Monitoring method of the infrastructure after civil works during pilot study should be confirmed with the government/TA recipients by MOU before the procurement.
Disposal
    The infrastructure after civil works should belong to the government/TA recipient. It should be confirmed by MOU.
ADB = Asian Development Bank; EA = executing agency; IA = implementing agency; IT = information technology; MOU = memorandum of understanding; N/A = not applicable; PPFD = Procurement, Portfolio, and Financial Management Department; TA = technical assistance; TASU = technical assistance supervising unit.
a In case of discrepancy with the Staff Instruction on Business Processes for Technical Assistance, the provisions set out in the Staff Instruction will apply.
Source: Asian Development Bank.