E6-12156. Notice of Quarterly Report (April 1, 2006-June 30, 2006)

AGENCY:

Millennium Challenge Corporation.

SUMMARY:

The Millennium Challenge Corporation (MCC) is reporting for the quarter April 1, 2006 through June 30, 2006 with respect to both assistance provided under Section 605 of the Millennium Challenge Act of 2003 (Pub. L. 108-199, Division D (the Act)), and transfers of funds to other federal agencies pursuant to Section 619 of that Act. The following report shall be made available to the public by means of publication in the Federal Register and on the Internet Web site of the MCC (www.mcc.gov) in accordance with Section 612(b) of the Act.

Assistance Provided Under Section 605

Projects	Obligated	Objectives	Quarterly disbursements	Measures
Country: Madagascar  Year: 2006  Quarter 3  Total obligation: $109,733,000
Entity to which the assistance is provided: MCA Madagascar  Total Quarterly disbursement: $5,392,000
Land Tenure Project	$37,803,000	Increase Land Titling and Security	$5,392,000	Legislative proposal (“loin de cadrage”) reflecting the PNF submitted to Parliament and passed. Percentage of land documents inventoried, restored, and/or digitized. Average time and cost required to carry out property-related transactions at the local and/or national land services offices. Time/cost to respond to information request, issue titles and to modify titles after the first land right.
				Number of land disputes reported and resolved in the target zones and sites of implementation.
				Percentage of land in the zones that is demarcated and ready for titling.
				Promote knowledge and awareness of land tenure reforms among inhabitants in the zones (surveys).
Finance Project	$35,888,000	Increase Competition in the Financial Sector	$0	Submission to Parliament and passage of new laws recommended by outside experts and relevant commissions. CPA Association (CSC) list of accountants registered. Maximum check clearing delay. Volume of funds in payment system and number of transactions. Public awareness of new financial instruments (surveys). Report of credit and payment information to a central database.
				Number of holders of new denomination T-bill holdings, and T-bill issuance outside Antananarivo as measured by Central Bank report of redemption date.
				Volume of production covered by warehouse receipts in the zones.
				Volume of MFI lending in the zones.
				MFI portfolio-at-risk delinquency rate.
				Number of new bank accounts in the zones.
Agricultural Business Investment Project	$17,683,000	Improve Agricultural Projection Technologies and Market Capacity in Rural Areas	$0	Number of rural producers receiving or soliciting information from ABCs about the opportunities. Zones identified and description of beneficiaries within each zone submitted. Number of cost-effective investment strategies developed. Number of plans prepared. Number of farmers and business employing technical assistance received.
Program Administration* and Control, Monitoring and Evaluation	$18,399,000		$0

Projects	Obligated	Objective	Disbursements	Measures
Country: Honduras  Year: 2006:  Quarter 3  Total obligation: $215,000,000
Entity to which the assistance is provided: MCA-Honduras  Total Quarterly disbursement: $0
Rural Development Project	$72,195,000	Increase the productivity and business skills of farmers who operate small and medium-size farms and their employees	$0	Hours of technical assistance delivered to Program Farmers (thousands). Funds lent by MCA-Honduras to financial institutions (cumulative). Hours of technical assistance to financial institutions (cumulative). Lien Registry equipment installed. Kilometers of farm-to-market road upgraded (cumulative).
Transportation Project	$125,700,000	Reduce transportation costs between targeted production centers and national, regional and global markets	$0	Kilometers of highway upgraded. Kilometers of secondary road upgraded. Number of weight stations built.
Program Administration* and Control, Monitoring and Evaluation	$17,105,000		$0

Projects	Obligated	Objectives	Quarterly Disbursements	Measures
Country: Cape Verde  Year: 2006  Quarter 3  Total obligation: $110,078,000
Entity to which the assistance is provided: MCA Cape Verde  Total Quarterly disbursement: $0
Watershed and Agricultural Support	$10,848,000	Increase agricultural production in three targeted watershed areas on three islands	$0	Productivity: Horticulture (tons per hectare). Value-added for farms and agribusiness (millions of dollars).
Infrastructure Improvement	$78,760,000	Increase integration of the internal market and reduce transportation costs	$0	Volume of goods shipped between Praia and other islands (tons). Mobility Ratio: Percentage of beneficiary population who take at least 5 trips per month. Savings on transport costs from improvements (million dollars).
Private Sector Development	$7,200,000	Spur private sector development on all islands through increased investment in the priority sectors and through financial sector reform	$0	Value added in priority sectors above current trends (escudos). Volume of private investment in priority sectors above current trends.
Program Administration* and Control, Monitoring and Evaluation	$13,270,000		$0

Projects	Obligated	Objective	Disbursements	Measures
Country: Nicaragua  Year: 2006  Quarter 3  Total obligation: $174,925,000
Entity to which the assistance is provided: MCA Nicaragua  Total Quarterly disbursement: $1,483,000
Property Regularization Project	$26,400,000	Increase Investment by strengthening property rights	$99,000	Automated registry-cadastre database installed. Number of parcels with a registered title, rural and urban (total of 21,000 and 22,000, rural and urban, respectively). Projected areas demarcated. Number of projected area management plans implemented. Number of conflicts resolved by program mediation.
Transportation Project	$92,800,000	Reduce transportation costs between Leon and Chinandega and national, regional and global markets	$0	N-1 Road: Kilometers of roads upgraded. Secondary Roads: Kilometers of secondary road upgraded.
Rural Business Development Project	$33,500,000	Increase the value added of farms and enterprises in the region	$307,000	Rural business development centers: Value of TA and support services delivered to program businesses. Improvement of water supply for farming and forest production: Watershed Management Action Plan. Funds disbursed for improvement of water supply for farming and forest production projects.
Program Administration,* Due Diligence, Monitoring and Evaluation	$22,225,000		$1,077,000

Projects	Obligated	Objective	Disbursements	Measures
Country: Georgia  Year: 2006  Quarter 3  Total obligation: $294,693,000
Entity to which the assistance is provided: MCA Georgia  Total Quarterly disbursement: $3,603,000
Regional Infrastructure Rehabilitation	$211,700,000	Key Regional Infrastructure Rehabilitated	$1,379,000	Reduction in journey time: Akhalkalaki-Ninotsminda-Teleti (hours). Reduction in vehicle operating costs (cumulative). Increase in internal regional traffic volumes (cumulative). Decreased technical losses. Reduction in the production of greenhouse gas emissions measured in tons of CO2 equivalent. Increase in collection rate of GGIC. Number of household beneficiaries served by RID projects (cumulative). Actual operations and maintenance expenditures (USD).
Regional Enterprise Development	$47,500,000	Enterprises in Regions Developed	$346,000	Increase in annual revenue in portfolio companies (in 1,000 USD). Increase in number of portfolio company employees and number of local suppliers. Increase in portfolio companies' wages and payments to local suppliers (in 1,000 USD). Jobs created. Increase in aggregate incremental net revenue to project assisted firms (in 1,000 USD and cumulative over five years). Direct household net income (in 1,000 USD cumulative over five years). Direct household net income for market information initiative beneficiaries (in 1,000 USD cumulative over five years). Number of beneficiaries.
Program Administration,* Due Diligence, Monitoring and Evaluation	$35,493,000		$1,878,000

Projects	Obligated	Objective	Disbursements	Measures
Country: Vanuatu  Year: 2006  Quarter 3  Total obligation: $65,690,000
Entity to which the assistance is provided: MCA Vanuatu  Total Quarterly disbursement: $1,127,000
Transportation Infrastructure Project	$60,690,000	Facilitate transportation to increase tourism and business development	$0	Traffic volume (average annual daily traffic). Days road is closed (number per annum). Number of S-W Bay, Malekula flights cancelled due to flooding (per annum). Time of wharf (hours/vessel).
Program Administration,* Due Diligence, Monitoring and Evaluation	$5,000,000		$1,127,000
*Program administration funds are used to pay items such as salaries, rent, and the cost of office equipment.

619 Transfer funds—U.S. Agency to which funds were transferred	Amount	Country	Description of program or project
USAID	$20,000,000 FY04 funding	Threshold Countries	Implementation of Threshold Country Plan.
USAID	$135,000,000 FY05 funding	Threshold Countries	Implementation of Threshold Country Plan.

Dated: July 25, 2006.

Frances C. McNaught,

Vice President, Congressional and Public Affairs, Millennium Challenge Corporation.