j m °! ', ,. ,U.S. ECONOMIC ASSITANCEI-PROGRAM IN EGYPT

A.I.D. Project Number 263-0132

SEVENTH AMENDMENT

TO

GRANT AGREEMENT

BETWEEN

THE ARAB REPUBLIC OF EGYPT

AND THE

UNITED STATES OF AMERICA

FOR

IRRIGATION MANAGEMENT SYSTEMS

D a t e d : J U L 0 3 19 9 1 OD

Loan and Grant A-.r. e .t .M, ij k'if Loan)

GC/ANE ANE/DesA-ANE/T, Off'Icer PE/PD Officer & File

1/AC/CDIE/DI

Seventh Amendment, dated JUL 03 1991 to the Grant

Agreement, dated September 22, 1981, between the Arab Republic

of Egypt ("Grantee") and the United States of America, acting

through the Agency for International Development ("A.I.D.") for

Irrigation Management Systems.

SECTION 1. The Grant Agreement as amended on August 29,

1984, May 13, 1985, December 31, 1985, July 30, 1987, June 23,

1988, and August 21, 1990, is hereby further amended as follows:

A. Section 3.1 is amended by deleting "Two Hundred

Seventy Five Million United States ("U.S.") Dollars

($275,000,000)" and by substituting "Two Hundred Ninety Million

United States ("U.S.") Dollars ($290,000,000)" therefor.

B. Section 5.16 is deleted in its entirety.

C. Section 5.17 is deleted in its entirety and replaced

by the following:

SECTION 5.17. Authority for National Irrigation Improvement Program (NIIP). The Grantee agrees to complete, prior to completion of improvements in the first 150,000 feddans to be improved under the Irrigation Improvement Project, the steps necessary to propose the establishment of an authority to carry out the activities of NIIP. The steps to be completed include, but are not limited to, detailed institutional and financial analysis and preparation of draft legislation required to establish the authority. The authority will be of the same status as the present Drainage Authority and will comprise a multi-disciplinary technical staff including engineers, economists, sociologists, and agricultural scientists, as well as essential support staff.

D. Section 5.18 is deleted in its entirety and replaced

by the following two sections:

2-

SECTION 5.18. Payment by the Ministry of Public Works and Water Resources (MPWWR) of Taxes, Tariffs, Duties and Other Levies.

(a) To the extent that (i) any contractor financed under the Grant, (ii) any personnel of any such contractor, (iii) any personal effects (including personal vehicles) of any such personnel, (iv) any equipment, mater-ials or other property provided or used under the Grarn, (v) any work or services performed under the Grant, or vi) a~i transaction (including any commodity procurc- "nz) financed under the Grant, is not exempt from identiiiable taxes, tariffs, duties or other levies (including social insurance assessments) imposed under the laws in effect in the Arab Republic of Egypt, MPWWR shall, unless otherwise expressly provided in Project Implementation Letters, pay or reimburse the same with funds other than those provided under the Grant.

(b) For purposes of this Section 5.18, (i) each reference to "contractor" shall be deemed to include any individual or organization performing work or services, or supplying commodities, under any agreement financed under the Grant (including contracts, grant agreements, cooperative agreements, subcontracts, and subagreements under grants and cooperative agreements); and (ii) each reference to "personnel" shall be deemed to include all individuals (whether contractors or employees of contractors) performing work or services, or supplying commodities, under any agreement referred to in the preceding clause who are not citizens or permanent residents of the Arab Republic of Egypt, and all family members of such individuals.

SECTION 5.19. Documentation Required for Duty-Free Importation of Commodities and Personal Effects. The Grantee agrees that the Ministry of Public Works and Water Resources (MPWWR) shall provide to the Egyptian Customs Authority letters of guarantee and any other documentation required for the duty-free importation of (i) equipment (including vehicles), materials and supplies (hereinafter collectively referred to as "commodities") financed under the Grant; (ii) commodities imported for use in connection with work or services to be performed under the Grant; and

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(iii) the personal effects referred to in clause (iii) of Section 5.18(a) hereof. Such letters of guarantee shall provide for payment by MPWWR, with funds other than those provided under the Grant, of all customs duties and other taxes imposed on such commodities and such personal effects which are not exempted from customs duties or re-exported.

E. Tables 1 and 2, as modified by the Sixth Amendment to

the Grant Agreement, are deleted in their entirety, and 1, 2

and Tables attached hereto are substituted in their place.

SECTION 2. The Grantee will take all necessary action to

complete all legal procedures necessary to ratification of this

Amendment and will notify A.I.D. as prcmptly as possible of the

fact of such ratification.

SECTION 3. This Amendment is prepared in both English and

Arabic. In the event of ambiguity or conflict between the two

versions, the English language version will control.

SECTION 4. Except as specifically amended 'ormodified

herein, the Grant Agreement shall remain in full force and

effect in accordance with all of its terms.

SECTION 5. This Amendment shall enter into force when

signed by both parties hereto.

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IN WITNESS WHEREOF, the Arab Republic of Egypt.and the

United States of America, each acting through its respective

duly authorized representatives, have caused this Amendment to

be signed in their names and delivered as of the day and year

first above written.

ARAB REPUBLIC OF EGYPT UIE

BY ,-~LYBY NA4E Dr. Maurice Makramallah NAME : Wesley W. an

TITLE: Minister of State for International Cooperation

TITLE: Charge d'Affaires

BY : BY :

NAME : Dr. Hassan Selim NAME : Geo ge A. Wachtenheim

TITLE: Administrator of the TITLE: Acting Director Department for Economic USAID/Egypt Cooperation with U.S.A.

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ImplementinQ Organization

In acknowledgement of the foregoing Amendment, a repres

of the implementing organization has subscribed his nam

MINISTRY OF PUBLIC WORKS AND WATER RESOURCES

BY : 9,Z~ QN< NAME : H.E. Eng. Essam Radi

TITLE: Minister

IRRIGATION MANAGEMENT SYSTEMS PROJECT USAID PROJECT NO. 263-0132

GRANT AGREEMENT AMENDMENT NO. 7

OBLIGATION SCHEDULE ($1,000)

COMPONENT

IRRIGATION IMPROVEMENT PROJECT

STRUCTURE REPLACEMENT

PREVENTIVE MAINTENANCE

MALN SYSTEMS MANAGEMENT

PLANNNG STUDIES ANDIMODELS

PROFESSIONAL DEVELOPMENT

WATER RESEARCH CENTER

PROJECT PREPARATION DEPARTMENT

SURVEY AND MAPPING

MISCELLANEOUS

TOTAL

Grant Agreement

Amendment #6

53,500

80,800

22,630

26,800

10,000

14,000

27,200

11,800

21,000

7,270

275,000

Grant Agreement

Amendment #7

43,500

75,800

29,000

40,800

10,000

14,000

28,850

12,000

28,500

7,550

290,000

IRRIGATION MANAGEMENT SYSTEM USAID PROJECT NO. 263-0132

GRANT AGREEMENT AMENDMENT NO. 7

PLANNED GOE CONTRIBUTION (L.E. 1,000)

G(.E

Fiscal Cash In-Kind Total .Year Contribution Contribution Contribution

Thru

1990-91 123,402 73,770 197,172

1991-92 57,557 11,095 68,652

1992-93 51,380 12,715 64,095

1993-94 25,887 9,695 35,582

1994-95 26,259 10,795 37,054

1995-96 16,575 1,870 18,445

TOTAL 301,0601 119,9401 4,'217000

Note: Cash contribution includes the L.E. equivalent of the $15 million FY 91 allocation from the Special Account.

TABLE 3 "

IRRIGATION NIANAGEMENT SYSTEM PROJECT USAID PROJECT NO. 263-0132 GRANT AGREEMENT AMENDMENT No. 7

PROJ ECrED USAID EXPENDITURES BY COMPONENT - ($1,000)

CCMPONENT THRU $FX

FY90 $LC

FY 91 $FX $LC

FY 92 $FX $LC

FY 93 $FX $LC

FY 94 $FX $I.C

FY95 SFX SLC

TOTAL $FX $LC

GRAND TOTALS

IRIGATIONIMPROVEMENTPROJECT 22.225 721 4.319 1.200 3.200 3,073 5.200 8.352 2.200 15.400 800 10.310 37.944 39.056 77.000

STRUCTJREREPLACEMENT 18.400 54.807 2.593 18.400 57.400 75.800

PREVENTIVE M.ATL''ENANCE

NIALN SYSTEMS MANAGEMENT

4.119

4.800

930

1.000

5.008

5.430

600 10.083

595 9.420

724

600

7,036

13.000

500

400 7.055 300

26.246

39.705

2.754

2.095

29,000

42.600

PLANNING STUDIES AND MODELS 1.564 232 1.124 100 1.444 100 2.012 100 1.800 100 1.324 100 9.268 732 10,000

PROFESSIONAL DEVELOPMENT 4,424 1.627 3.300 360 2.000 489 1.300 300 200 11.024 2.976 14.000

WATER RESEARCH CENTER 10.232 449 6.505 400 3,690 500 3.487 400 2.887 300 26.801 2.049 28.850

PROJECT PR.EPARATION DEPARTMENT 8.251 1.439 855 100 291 100 864 100 10.261 1.739 12.000

SURVEY AND MAPPING 2.597 357 7.448 275 9.860 260 4,103 300 3.100 200 27.108 1.392 28.500

MISCELLANEOUS 2,127 368 19 127 1,0001 1,500 100 1,300 100 509 100 6.455 795 7.250

TOTAL

AKNJAL TOTALS

78,739 61,930 34. 08

1COIltNED140669

6350

40,3581

49 848 5.,842

46,8341

38 1,12iI0,50

49,0541 34,942

2,63

13,1431

11,12211118 325000

Note: Prolected expenditures reflect a $15 million seduction In USAID LOP funding resulting lom the FY 91 allocation from the Special Account to lund local currency construction costs under me litigation Improvement Project and Structure Replacement components.

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