1

Terms of Reference

National Consultant to Conduct Analysis of Municipal Revenue Collection Local Empowerment for Accountability and Decentralization (LEAD)

1. Background

The USAID Liberia Local Empowerment for Accountability and Decentralization (LEAD) Activity was awarded to DAI Global LLC for a period of five year, from May 19, 2023 to May 18, 2028.The goal of this Activity is to improve the capacities of targeted ministries, agencies, and commissions (MACs), and

local government to formulate and administer sound tax policies, improve budget transparency, deepen decentralization, and deliver much-needed quality services at the sub-national level through the following objectives:

1. Objective 1: Domestic Resource Mobilization (DRM) Improved,
2. Objective 2: Budget Transparency Improved, which comprises of three sub-objectives. 3. Objective 3: Local Development and Service Delivery Improved

LEAD Activity is seeking the services of an independent consultant to conduct a comprehensive analysis of municipal revenue collection for the Buchanan, Ganta, and Gbarnga City Corporations; and to derive operational cost estimates and revenue generation estimates of Counter Service Centers (CSCs) in Buchanan, Gbarnga and Sanniquellie cities. The results of this analysis will serve as a baseline for measuring future progress in municipal own-source revenue mobilization and to inform GOL/subnational budgetary allocation for running the CSCs. The baseline revenue estimates for city corporations and CSCs will cover the period 2023 and 2024; while the CSCs operating cost estimates will be based prevailing prices or market conditions.

1. Objectives

The primary objective of this consultancy is to:

1. Baseline revenue estimates of the city governments

• Analyze the current state of municipal revenue collection, including sources of revenue, rates and realized revenues in the cities.
• Establish a baseline estimate of municipal own-source revenue for the years 2023 and 2024. • Provide recommendations for improving revenue collection processes and strategies.

1. Operating cost and revenue generation estimates of the CSCs

2

• Identify and analyze the various cost drivers of running the CSCs and organized on the GOL’s budget classification system.
• Estimate the dollar values of the identified cost drivers using the prevailing market prices or conditions.
• Produce analysis report presenting findings in word documents and cost estimates in excel file. • Establish a baseline estimate of CSCs revenues for the years 2023 and 2024.

1. Scope of Work

The consultant will be responsible for:

• Reviewing existing revenue collection data and processes in the cities.
• Reviewing existing revenue generation data from services rendered by the CSCs. • Conducting interviews with key municipal staff and stakeholders.
• Conducting interviews with various revenue generating services at the CSCs • Analyzing revenue trends and identifying gaps and inefficiencies for both city corporations and CSCs.
• Establish a template for yearly reporting by the relevant city corporations.
• Preparing detailed reports for:

o City Corporations Baseline revenue estimates for 2023 and 2024.

o County Service Centers Baseline revenue generation for 2023 and 2024

• Presenting findings and recommendations.

1. Qualifications

The ideal consultant should have:

• A minimum of 5 years of experience in public finance, tax policy or municipal revenue analysis. • Understanding of Liberia’s tax system and regulatory framework.
• Proven track record of conducting similar studies.
• Strong analytical and report-writing skills.
• Excellent communication and presentation skills.

1. Application Process

Interested consultants are invited to submit their applications, which should include:

• A cover letter outlining their suitability for the assignment.
• A detailed CV highlighting relevant experience.
• A technical proposal detailing the approach and methodology.
• A financial proposal outlining the cost of the consultancy.

1. Duration & Work Schedule

3

The duration of the Consultancy is estimated to be for 35 days extending over a period of three months from date of signature. The consultancy begins with an inception report that outlines work schedules and activities.

1. Deliverables

• Inception Report: Outline of the methodology and work plan.
• Draft Report: Preliminary findings and baseline revenue and cost estimates. • Final Report: Comprehensive analysis with baseline estimates and recommendations. • Presentation: Summary of findings and recommendations.

All interested candidates are encouraged to send their resume and cover letter to (LiberiaLEADRecruitment@dai.com.) Please indicate in the subject line of your mail, application for the position.

Deadline for the submission of applications is October 25th, 2024 at 5:00 PM.