TECHNICAL SERVICES

AID LOAN FINANCES FOREIGN EXCHANGE COSTS OF CONTRACTED TECH CONSULTANT EXPERTISE THAT ASSISTS PD IN SELECTION,PLANNING,AND IMPLEMENTATION OF VITAL CAPITAL DEVELOPMENT PROJECTS. REVIEW PARTICIPANTS REPORT THAT OF SEVEN FEASIBILITY STUDIES SELECTED AT THE PROJECT"S OUTSET,ONE STUDY HAS BEEN COMPLETED,TWO HAVE PROPOSAL SOLICITATIONS OUT,AND CONTRACT NEGOTIATIONS ARE UNDERWAY WITH A FOURTH. THE OTHER THREE ARE IN VARIOUS STAGES OF DEVELOPMENT. THE DELAY IN THE PROJECT THUS FAR IS CHARGED TO RELATIVE UNFAMILIARITY OF THE PD AND OF PAKISTANI CONSULTANTS WITH AID REGULATIONS(NOW BEING RECTIFIED) AND TO AN INITIAL CONTRACTING DELAY WITH A US BASIC CONSULTANT(LYON ASSOCIATES) AND THE TURNOVER IN THE BASIC CONSULTANT"SPROJ DIRECTOR THREE TIMES IN EIGHT MONTHS. THE REVIEW TEAM ALSO OBSERVED A LACK OF COORDINATION BETWEEN STUDY SPONSORS AND OTHER RELATED AGENCIES,BUT NOTES WITH APPROVAL THE RAPPORT ESTABLISHED BETWEEN THE CONSULTANT UTILIZED IN THE FIRST COMPLETED STUDY,HIS GOP COUNTERPARTS,NES PAK,AND THE PAKISTANI ENGINEERING COMPANY,WHICH SPONSORED THE STUDY. GOP IS COMMITTING FUNDING FOR THE PROJECT PLANNED,THE MODERNIZATION AND EXPANSION OF A BICYCLE PLANT. THE GOP HAS FINANCED LOCAL COSTS FOR ALL WORK TO DATE AND HAS PROMISED TO MAINTAIN FUNDING AT A LEVEL THAT WILL MEET FUTURE NEEDS. LYON ASSOCIATES HAS PROMISED THE SERVICES OF A PROJ DIRECTOR TO REMAIN THROUGH COMPLETION OF THE PROJECT. THE REVIEW COMMITTEE EXPECTS THAT THE PROJECT PURPOSE WILL BE ACHIEVED,THOUGH BELATEDLY. COMMITTEE DIRECTS LYON/NES PAK/GOP TO PROVIDE DEFINITIVE LIST OF PROPOSED STUDIES WITHIN A MONTH"S TIME. THE COMMITTEE ALSO PROPOSES AMENDMENT OF THE LYON CONTRACT TO ALLOW LYON TO PROCURE ADDITIONAL SPECIALIZED EXPERTISE,WITH LYON EMPLOYEES EXEMPTED FROM SELECTION.