Operational HANDBOOK TREF 17-06-2022 - Pre-Final - Updated Sep 20 - 2022 - MEHE Endorsed Final Clean Version

Operational Handbook for
Transition & Resilience Education Fund (TREF)
Operational HANDBOOK
Transition and Resilience Education Fund
(TREF) in support of Lebanon’s 5-Year Plan for
General Education 2021-2025
Final DRAFT
Pre-Final 17.06.2022
Updated 12.09.2022
MEHE final review 20.09.2022
1
Contents
Abbreviations .......................................................................................................................................... 4
Introduction ............................................................................................................................................ 6
A. Purpose and Scope of the Operational Handbook ................................................................. 6
B. Structure of the Operational Handbook ................................................................................. 6
PART I: Purpose & Key Features ............................................................................................................. 7
A. Goals of TREF .......................................................................................................................... 7
B. Key Features.......................................................................................................................... 10
PART II: PARTNERSHIP GOVERNANCE & POLICY CYCLE DIALOGUE ...................................................... 12
A. Management & Implementation Arrangement.................................................................... 12
B. Annual Planning and Budgeting ............................................................................................ 17
C. Technical Dialogue Structure ................................................................................................ 18
PART III: Fund Allocation, Financial Management Arrangement, and Disbursement .......................... 19
A. Two Funding Windows.......................................................................................................... 19
B. Commitments & Disbursements by Contributing Partners .................................................. 21
C. Hybrid Financial Management-Third Party ........................................................................... 22
D. Step-by-Step Flow of Funds Linking Data to Payments ........................................................ 24
E. Financing Cycle & Disbursement Requirements & Payment Linked Indicators ................... 29
F. Costing Model for Enrolment Fees Subsidies in Formal Primary Education......................... 32
G. Procurement ......................................................................................................................... 36
PART IV: ACCOUNTABILITY FRAMEWORK and ASSURANCE MECHANISMS ......................................... 37
A. Disbursement Requirements ................................................................................................ 37
B. General Reporting on progress against agreed upon priority outputs under MEHE’s Annual
Action Plan and Basic Demographic and Academic Data ............................................................. 37
C. Performance for the TREF Urgent Results Framework in Support of the 5-Year Plan ......... 37
D. Harmonized and Unified Reports.......................................................................................... 37
E. Annual Review of Operational Handbook ............................................................................ 39
F. Summary of Assurance Mechanisms under TREF ................................................................. 40
ANNEX ................................................................................................................................................... 41
ANNEX I ................................................................................................................................................. 42
Critical Success Factors: 11 Principles for Effective Education Response ...................................... 42
ANNEX II ................................................................................................................................................ 44
2
TREF Urgent Results Framework for System Readiness ................................................................. 44

ANNEX III ............................................................................................................................................... 53
Policy Cycle & Dialogue System ....................................................................................................... 53
ANNEX IV ............................................................................................................................................... 54
Schedule of Consultation, monitoring and reporting ..................................................................... 54
ANNEX V ................................................................................................................................................ 58
Flowchart of TREF Funds .................................................................................................................. 58
ANNEX VI ............................................................................................................................................... 60
Annual Work Plan and Budget (Priority Outputs) ........................................................................... 60
ANNEX VII .............................................................................................................................................. 61
TREF Synergies with Other Aid Modalities in Support of the 5-Year Plan ..................................... 61
ANNEX VIII ............................................................................................................................................. 66
Terms of Reference for IST ............................................................................................................... 66
ANNEX IX ............................................................................................................................................... 73
The Third-Party Terms of Reference ................................................................................................ 73
ANNEX X ................................................................................................................................................ 94
New Costing Model for Enrolment Fees Subsidies & Sample Costing Exercise ............................. 94
ANNEX XI ............................................................................................................................................. 106
Joint Annual Sector Review ........................................................................................................... 106
ANNEX XII ............................................................................................................................................ 109
Authority Matrix............................................................................................................................. 109
ANNEX XIII ........................................................................................................................................... 110
Reporting Templates ...................................................................................................................... 110
ANNEX XIV ........................................................................................................................................... 119
School Funds & PCF Eligible Expenditures Items & Financial Management SOPs ....................... 119
ANNEX XV ............................................................................................................................................ 120
Terms of Reference Strategic Management Board ....................................................................... 120
ANNEX XVI ........................................................................................................................................... 126
MoU MEHE-UNICEF signed on May 20, 2022 ................................................................................ 126
3
Abbreviations
AER Average Exchange Rate

ALP Accelerated Learning Programme
AR Attendance Rate
ASR Joint Annual Sector Review
AWPB Annual Work Plan and Budget
BDL Banque du Liban – the Central Bank
CAS Central Administration of Statistics
CERD Centre for Educational Research and Development
CCT Coordination Core Team
CIC Currency in Circulation
CNA Capacity Needs Assessment
COA Court of Accounts
CP Contributing Partner
CSO Civil Society Organization
DLP Digital Learning Platform
DG Director General
DGE Directorate General for Education
DMS Document Management System
DOPS Direction d’Orientation Pédagogique et Scolaire
DP Decision Paper
ECE Early Childhood Education
ESP General Education Sector Plan 2021-2025
ESSN Social Safety Net Project
ETF Education Training Foundation
FCDO Foreign and Commonwealth Development Office
FYP-5YP Five Year Plan for General Education
GER Gross Enrolment Rate
GDP Gross Domestic Product
GRM Grievance Redress Mechanism
HACT Harmonized Approach to Cash Transfers
HRM Human Resources Management
IA Internal Audit
ICT Information and Communications Technologies
ILO International Labour Organization
IST Implementation Support Team
IVA Independent Verification Agency
JAD Joint Administrative Directorate
JICA Japan International Cooperation Agency
KfW German Development Bank
LCRP Lebanon Crisis Response Plan
LDP Leadership Development Programme
MEHE Ministry of Education and Higher Education
MENA Middle East and North Africa Region
M&E Monitoring & Evaluation
MYRP Multi-Year Resilience Plan
MOSA Ministry of Social Affairs
NAPRL Lebanon’s National Action Plan for Remote Learning
NER Net Enrolment Rates
NFE Non-Formal Education
NGO Non-Governmental Organization
4
NPTP World Food Programme

OECD Organization for Economic Co-operation and Development
PforR Program for Results
PFR Public Finance Review
PITB CERD’s Pre- and In-service Training Bureau
PISA Programme for International Student Assessment
PSS Psychosocial Support
PVE Preventing Violent Extremism
QITABI Quality Instruction Towards Access and Basic Education Improvement Project
REO(s) Regional Education Office(s)
RACE Reaching all Children with Education in Lebanon
RBM Results-based Management
S2R2 Support to RACE 2
SBBP School-Based Bridging Program
SDGs Sustainable Development Goals
SEN Students with educational needs
SEND Special education needs and disabilities
SIMS Schools Information Management System
SIP School Improvement Plan
SMB Strategic Management Board
SME Small and Medium Enterprises
SOPs Standard Operating Procedures
SUFA Sustainable Facility Management Framework
SWOT Strengths, weaknesses, opportunities, and threats
TIMSS Trends in International Mathematics and Science Study
TP Third Party Financial Management
TPMA Third Party Monitoring Agency

TREF Transition and Resilience Education Fund
TVET Technical and vocational education and training
UNESCO United Nations Educational, Scientific and Cultural Organization
UNHCR United Nations High Commission for Refugees
UNICEF United Nations Children’s Fund
UNRWA United Nations Relief and Works Agency for Palestine Refugees in the Near East
USAID United States Agency for International Development
VASyR Vulnerability assessment of Syrian Refugees
WASH Water, sanitation, and hygiene
WB World Bank Group
5
Introduction
A. Purpose and Scope of the Operational Handbook
1. The purpose of the Operational Handbook (OH) is to describe the objective, governance
arrangements, allocation modalities, and accountability mechanisms of the Transition and
Resilience Education Fund (TREF), as well as detailing the roles and responsibilities of the
stakeholders involved.
2.1 The OH is based on four Decision Papers (1. Implementation Support Team, 2.
Governance and Reporting, 3. Financial Management & Costing, and 4. Requirements and
Performance-Based Components) drafted in the last quarter of 2021 and the MoU between
UNICEF and MEHE regarding the Establishment and Operational Principles & Guidelines of
the Transition and Resilience Education Fund (TREF) signed on May 20, 2022. The OH
stipulates how the decisions made are practically implemented.
2.2 The TREF MoU, which is attached in ANNEX XVI to this Operational Handbook, serves as
the main reference document.
3. Under the direction of the Strategic Management Board, TREF aims to support the timely
and regular disbursement of funds to the most critical humanitarian and priority
development needs as defined by the 5-Year Plan for General Education 2021-2025 (ESP
2021-2025) of the Ministry of Education and Higher Education (MEHE) in Lebanon.
4. In this regard, this OH provides guidance to MEHE, UNICEF, and Key Contributing Donors in
meeting agreed upon requirements and performing relevant roles and responsibilities.
5. The OH contains a set of 16 Annexes developed to guide and support the management,
implementation, and assurance mechanisms of TREF.
6. This Handbook is subject to periodic reviews to adapt to changing circumstances. An

assessment of the implementation of the Handbook will be carried out every 6 months and
recommended changes reviewed and, if adopted, approved by the Strategic Management
Board and integrated into the annually updated version (latest by the end of August) prior
to the new school year. In order to allow for flexibility and efficiency in the management of
TREF, the annexed templates can be modified more frequently should this be recommended
by the Implementation Support Team (IST) and approved by the Strategic Management
Board.
B. Structure of the Operational Handbook

7. Following the introduction, the structure of the Operational Handbook is divided into 4
parts. While Part I covers the Purpose and Strategy of TREF, Part II covers the Governance Set-
Up. Part III focuses on the Planning and Financial Management Procedures and Part IV
describes Accountability, Reporting and Assurance Mechanisms. Therewith it reflects the core
areas of the mechanism as stipulated in the Decision Papers mentioned in paragraph 2.
6
8. The Annex contains the Policy Cycle and Dialogue System, the Annual Calendar of Meetings
and Reports, Flow Chart of Funds, the TREF Urgent Results Framework, TORs for the
Implementation Support Team and the Third-Party Financial Management Firm and planning
and reporting templates. Also, details on a new costing model with upper and lower ceilings
for the exchange rate variation and the inflationary amounts to cap the amount of variation
across the year and an exemplary step-by-step costing exercise are added.
PART I: Purpose & Key Features
A. Goals of TREF
9. A new vision and way forward are required after RACE II has come to an end by December
2021 and in response to the financial, governance and education crisis affecting Lebanese
students, teachers, and schools. The nature of the joint aid modality called Transition and
Resilience Education Fund (TREF) has three dimensions: (1) Planning, Costing, Funding and
Disbursement Modality, (2) Partnership Governance, and (3) Education Service Delivery
and Results.
10. TREF is designed as a joint MEHE-UNICEF aid modality to harmonize and optimize
support to the ministry´s 5-year Plan for General Education 2021-2025 with specific features
in response to the deep crisis the Lebanese education system faces and to address and
overcome the main challenges and concerns of the previous RACE mechanism and
performance. In particular TREF´s purpose is to improve assurances and risk management
through the following objectives:
▪ Implementing annually agreed upon priority programs and outputs in the 5-year
plan (which replaces the former RACE II as the program)
▪ Payments executed outside of government systems by UNICEF with MEHE
providing the accounting details and the payment requests for these payments
▪ Assistance to build up of financial management capacities and functions within
MEHE to gradually transfer functions back to the government on the basis of agreed
upon performance benchmarks
▪ Implementation Support Team (IST) that supports official functions in MEHE to
implement TREF requirements and ensure a networked technical assistance is
provided by all agencies to support the implementation of the 5-year plan
▪ Basic data and reporting requirements (quarterly attendance reports for students
and teachers etc.) as the pre-requisite for payment to beneficiaries
▪ New Costing model (for enrolment support fees in primary education, i.e., payments
to special contract teachers and school-related professionals and payments to
School Funds and Parent Council Funds) that is adjusted for inflation and currency
exchange rate fluctuations to protect the value of the USD contribution and provide
MEHE with a guaranteed minimum amount not vulnerable to market forces.
7
▪ Governance Structure that is inclusive of relevant stakeholders and responds to

implementation challenges without delay
11. UNICEF maintains oversight over the TREF aid modality implementation and engages in
a joint management set-up with MEHE and the Contributing Partners (CPs).
12. The core purpose of TREF is to align, harmonize, and optimize procedures and
governance between MEHE and international and national education stakeholders, to
deliver improved quality education results and offer education opportunities to all children.
TREF acts as a development catalyst for MEHE to manage the deep economic crisis through
good governance, improve on data quality and reporting, institute predictable quarterly
payments to teachers and schools with strong risk assurances, and strengthen joint
planning and programmatic decision making. TREF enables MEHE to provide higher levels
of accountability and transparency toward international donors.
14. To meet this core purpose, the key transformational shifts TREF will support are as
follows:
4. From Input-Driven
to Result &
Performance-Based
& Data.Driven 5. From Very High
Management Transaction Costs and
3. From Nationality to
Risks to Lower
Vulnerability
Transaction Costs &
Risks
6. From ‘outside’ plan

2. From Fee-based
to Education Sector
Unit Costs to Holistic
Plan as Unifying
& Realistic Costing
Framework
All Vulnerable
1. From Parallel
Children join 7. From a divided
Structure to and stay in sector to a whole of
Integrated ONE Schools & system approach led
Management System by MEHE
Better Learning
Outcomes
Figure 1: Transformational Shifts under TREF
1. Investing in building a unified management arrangement and integrating any

external structure under the Office of the DG (i.e., 1st and 2nd shift affairs to be
under ONE management responsibility)
2. Moving from a top-down unit-cost model to a holistic & evidence-based bottom-
up costing methodology in the medium-term (by the mid of 2023) that will
8
determine the specific annual operational and developmental budget needs for
General Education
3. Moving from an input-driven to a results-based management and data driven
decision-making system
4. Shifting from a nationality-based approach that distinguished between Lebanese
and non-Lebanese/refugee children to a vulnerability-driven equity and inclusion
policy for all children in Lebanon
5. Reducing the high number of transaction costs between MEHE, UNICEF and CPs
and risks by building a more effective governance system (such as monthly
meetings with the Strategic Management Board) with clear risk mitigation
strategies
6. Moving to a unifying framework of the 5-Year Plan for General Education
7. Adopting a whole-of-system approach in line with the 5-Year Plan
15. To support these key shifts, urgent interventions need to be made in the following
areas:
1- Access, Equity and Inclusion
2- Policy Cycle Development
3- Strategic Communication
4- Knowledge Management
5- Data Governance and Quality
6- Transition from externally financed consultants to a MEHE public servant-based
community of practitioners
These urgent development objectives constitute the six focus areas of the TREF Urgent
Results Framework to make essential rapid system improvements (see ANNEX II) during
2022 and 2023 to enable the TREF mechanism to operate and meet its short and medium-
term goals in support of the implementation of the Priority Outputs and Programs of the 5-
Year Plan.
16. The achievement of the TREF urgent development objectives is premised on new
principles of engagement with MEHE:
1. Working with the official system to strengthen the institution of the ministry
2. Support establishing new official functions (such as M&E, Planning & Budgeting,
Policy Development etc.) and strengthening existing civil servant roles
3. Supporting the gradual harmonization of policies and management for 1st and 2nd
shift children and schools
4. Ensuring a Networked Technical Assistance across MEHE and CERD that reports to
the DGE
9
B. Key Features
17. Integrated Aid Modality to MEHE’s 5-year Plan for General Education: Several Contributing
Partners (CPs) fund priority outputs of the ministry´s Annual Action Plan and Budget of the 5-
year ESP. The priority outputs/strategic activities are jointly agreed upon between MEHE,
UNICEF, and the CPs. Some of the outputs are linked to high priority reforms of MEHE that
are announced during the Joint Planning and Budgeting Meeting (see Part II Policy Cycle).
18. Two Funding Windows: The first funding window channels funds to the support of access,
quality, and systems strengthening of the public education system. This window includes
payments to PSS/Health Counsellors and other flagship UNICEF funded programmes i.e. Back to
Learning, Inclusive Education for Children with Disabilities, Learning Recovery, and School
Connectivity. The second funding window supports new multiple flexible pathways programs,
such as the School-Based Bridging Program implemented at private schools, aimed at offering
education opportunities for Out-Of-School Children.
19. Soft Earmarking: TREF offers different CPs to allocate their funding to specific priority
outputs of the two windows, while using joint arrangements and common tools (assurance
mechanisms, planning sessions, plans, and reports) to reduce high individual donor
transaction costs.
20. Harmonization: Procedures and Tools for Planning, Reporting, Financial Management and
Monitoring are consolidated for all CPs.
21. Government Leadership: MEHE´s policies and priorities as stipulated in the 5-Year Plan
and its decision-making role as a member of the Strategic Management Board guarantee
government ownership and leadership for all aid channeled through TREF.
22. Partnership Governance: TREF Management Arrangements are an integral part of the
overall 5-Year Plan Governance Structure designed by MEHE. MEHE and UNICEF as well as
Key CPs form a Strategic Management Board to oversee and steer the implementation of
TREF. The Implementation Support Team (IST) is embedded in MEHE and works closely with
ministry staff to meet the requirements of TREF while strengthening key implementation
functions. The principles for an effective partnership and effective education response are
enumerated under Annex I: Critical Success Factors: 11 Principles for Effective Education
Response.
23. Synergy: Synergy is gradually built along financial, programmatic, assurance mechanisms,
and coordination aspects with other agencies and aid modalities, such as S2R2-WB, ECW-
MYRP, USAID-Qitabi, and specific bilateral agreements, to reduce transaction costs and
optimize fund allocation, governance, and procedures. The following diagram offers a
snapshot of TREF´s synergy potential:
10
Figure 2: TREF as Aid Synergy Catalyst
See Annex VII. TREF Synergies with Other Aid Modalities and Financing Instruments.
24. Implementation Support Team: The IST is a form of Technical Assistance that is housed
within MEHE and reports to the DGE and the Strategic Management Board. The main purpose
of the IST is (a) to ensure compliance with TREF implementation and governance
requirements and (b) gradually strengthen key official ministry functions to assume more
responsibility.
24.1 TREF Urgent Results Framework: The IST is responsible to support and lead the delivery
of urgent interventions to build and prepare the ministry system to meet TREF governance
requirements and deliver higher and more equitable quality learning outcomes. The work
plan of the Implementation Support Team is closely aligned with the TREF Urgent Results
Framework and reviewed and adapted every quarter.
25. Third Party & Hybrid Financial Management: The envisaged structure includes a Third
Party (TP) financial management firm responsible for the pre- and post-due diligence
services of data and payment requests and ensuring budget compliance and timely and high-
quality financial reporting as well as capacity building activities for the central, regional and
school-level financial management function and more specifically support schools in issuing
regular school-level financial reports. See Annex IX for a detailed Terms of Reference for the
Third Party.
25.1 UNICEF is responsible for the execution of timely payments to beneficiaries through
Financial Service Providers and/or banks.
25.2 Transitioning responsibilities back to MEHE: The operational set-up of TREF
(Implementation Support Team, Third Party, etc.) and nature of the on-the-job capacity
building engagement with MEHE is designed with the purpose of gradually transferring back
financial management and monitoring responsibilities based on achieved transition triggers.
The specific transition triggers are agreed upon by the Strategic Management Board, and any
other partner invited by MEHE to help in their design. Discussions on transition triggers shall
be initiated by end of SY 2022/2023.
11
25.3. The mechanism applies an Interim New Costing Model for Enrolment Fees Subsidies to
reflect the economic volatile situation by adjusting for historical inflation since 2014 and
ensuring sufficient purchasing power is given at the school level to cover essential operational
costs to keep schools open. Enrolment Fees Subsidies cover HR costs for special contract
teachers, and significant contributions to School Funds and Parent Council Funds.
25.4 A regular Financing Cycle of four times per year ensures predictable payments to all
beneficiaries. October, January, April, and June are the envisioned time periods of executing
direct payments to beneficiaries. For payments to teachers, a monthly payment rhythm may
be adopted in due time. The precise day of payment is agreed upon between MEHE, UNICEF,
and the Third Party at least 3 weeks prior to disbursement to beneficiaries.
26. Assurance Mechanisms: The Accountability Framework includes Data Verification and
Monitoring at the central and local level, UNICEF HACT spot checks, Quarterly Financial
Reports, Quarterly Performance Review Reports, and an Annual External Audit.
PART II: PARTNERSHIP GOVERNANCE & POLICY CYCLE

DIALOGUE
A. Management & Implementation Arrangement
27. The Partnership between MEHE, UNICEF and CPs will be implemented through five (5)
main areas of engagement: a) Finances; b) Policy Dialogue, Planning and Monitoring; c) High
Priority Reforms; d) Implementation Support; and e) System Strengthening (i.e., Capacity
Building).
28. Seven (7) main institutional pillars constitute the Partnership Governance:
1) The Minister, Director General, Directors of Primary and secondary, Head of Private
Education Sector, and heads of Regional Offices-REOs; DOPS and CERD on an ad hoc basis
2) MEHE, UNICEF and the Contributing Partners (CPs) make up the members of the senior
management structure of TREF i.e. Strategic Management Board. The Strategic
Management Board (SMB), which meets once every quarter or, if required, once a month,
is the management body steering and overseeing the planning, implementation, and
assurance mechanism procedures of TREF. Technical representatives of CPs, Chief of
Education of UNICEF, and the DG of MEHE constitute the core members. Upon invitation,
members of the IST and relevant MEHE staff are asked to attend.
12
High-Level SMB Meetings are held twice a year to discuss strategic matters between the
Minister, UNICEF Representative, and ambassadors or country directors of CPs.
3) Implementation Support Team (IST) is a senior-level technical assistance team

embedded in MEHE working closely with civil servant counterparts and functions, such as
M&E, Planning &Budgeting, IT, etc. under the guidance of the DGE to meet TREF
requirements and work in synergy /complementarity with other TAs at MEHE.
4) the MEHE External Fund/Financial Management function under the DGE (which
manages CP funds that are not applied on government budget)
5) the MEHE ICT function is, inter alia, responsible for the proper functioning of the School
Information Management System (SIMS), the exclusive source of data for students and
teachers
(6) Third Party Financial Management & Monitoring Firm envisaged as a financial
management firm responsible for ensuring verification of TREF data reporting on
attendance and enrolment prior to payment request, budget compliance (in line with agreed
Priority Outputs) and timely and high-quality quarterly financial reporting.
(7) Joint Task Forces with members from MEHE and external partners (i.e., data system,
learning recovery)
29. The Strategic Management Board (SMB) meets once a month to oversee and steer the
planning, implementation, and assurance mechanism procedures of TREF.
The Implementation Support Team (IST) is a senior-level TA team embedded in MEHE working
closely with civil servant counterparts under the guidance of the DGE to meet TREF
requirements.
Figure 3: TREF Management Structure
13
29.1 Strategic Management Board

The SMB is composed of the DGE, UNICEF, and representatives of Contributing Partners (CPs)
and deals with all issues related to decisions, requirements and operations of TREF. UNICEF
senior management and MEHE senior management co-chair the SMB. Additional members
can be invited to join specific sessions on a needs basis. CPs with a high interest to join TREF
can also be invited upon joint agreement by UNICEF and MEHE.
29.2. The SMB meets on the last Thursday of every quarter to review progress and endorse
quarterly action plans submitted by the IST and key MEHE technical counterparts. If urgency
requires, such as periods of a deep economic or public health crisis, meetings can be held on
a monthly basis. The meeting agenda and relevant documents are prepared by the IST and
the UNICEF education team in close consultation with the DGE and the Chief of Education of
UNICEF and action points are shared at the latest 1 day after the meeting is held.
29.3 Specifically, the SMB deals with all issues related to:
A. Strategic Decisions
B. Operational Challenges
C. Assurance Mechanisms
D. Performance Reviews of the IST and TP
E. Review of the Operational Handbook (special bi-annual session)
See Annex 15 for more details.

29.4 During the Policy Cycle Dialogue, the SMB decides on the precise funding allocations to
the programs of the 5-year plan (i.e., agreed priority outputs and programs under TREF).
29.5 The SMB can propose new Joint Task Force in close coordination with other sector
partners and agencies. A list of the proposed Joint Task Forces is agreed upon 3 weeks prior
to the start of the school year. The assigned co-leads of the Joint Task Forces are responsible
to develop a work plan, schedule of meetings, and meeting protocol rules 1 week prior to the
first session. Joint Task Forces have a clear list of deliverables and results and operate no
longer than one school year and report to the DG.
29.6 Quarterly Implementation Review Meetings are held together with the IST and MEHE
program managers of the priority outputs of the Annual Action Plan funded by TREF
contributions. These meetings are chaired by the DGE.
29.7 During times of crisis and emergency response needs, the SMB meets on an ad hoc
basis with a frequency determined by the concerned parties to discuss and decide on all
shared challenges and define and execute rapid interventions. Minutes of meetings are
shared with all relevant stakeholders at the latest 2 days after the meeting.
29.8 Decision-making of the SMB on strategic matters (e.g., annual planning and budgeting)
are done with the goal of consent between all members i.e., Minister of Education & Higher
Education, Country Representative of UNICEF and the CP’s Head of Mission. Decisions are
made based on the following principles:
14
a. The MEHE defined priority areas of the 5-year Plan.

b. The Government of Lebanon policies and national priorities
c. The shift from nationality to vulnerability and inclusion in providing access and quality
education to all children in Lebanon.
29.9 If differences on essential programmatic and technical matters (i.e., matters that affect
the beneficiaries of MEHE and programs under TREF) between MEHE and/or UNICEF and/or
CPs during the technical SMB cannot be solved rapidly, the following steps are suggested:
a. Issues of concerns are referred to the Minister of Education & Higher Education who,
in close consultation with UNICEF representative, Ambassadors and country directors,
will make a concrete proposal on a way forward.
b. UNICEF and the CPs will apply their utmost effort to implement the proposal or, if
needed, enter into good faith negotiation.
c. To ensure smooth operation of the TREF, essential issues are to be settled within 2
weeks at the most.
See ANNEX IV: Schedule of Consultation, Monitoring and Reporting

30. High-Level Strategic Management Board
High-Level Meetings are held twice a year (ideally linked to the Joint Planning Sessions) to
discuss high level strategic matters between the Minister, UNICEF Representative, and
Ambassadors or Country Directors of CPs. This meeting can be joined together with other
MEHE sector coordination meetings and be one component of the Joint Annual Sector
Review.
30.1 The technical-level SMB prepares the agenda with the support of the IST and agrees on
the specific dates during the inaugural SMB session.
30.2 The High-Level SMB, which meets every 6 months, discusses matters of system-wide
strategic importance, national priorities, including implementation challenges and critical
rapid interventions, which require a shared approach and strong coordination with other aid
modalities (World Bank, MYRP-ECW etc.).
30.3 The High-Level SMB holds a Joint Annual Sector Review as part of the Policy Cycle
Dialogue as described below under Section B. As recommended below under paragraph 35.1
UNESCO will support MEHE in coordination efforts.
30.4 During times of deep crisis and emergency needs, the High-Level SMB meets on a
more regular basis to discuss and decide on all shared challenges and define and
recommend rapid interventions to the senior management of MEHE.
30.5 The IST together with assigned focal points of the Office of the Minister and the Office
of the DG will act as the Secretariat for the meetings of the Strategic Management Board.
Minutes of meetings are shared at the latest 2 days after the meeting. See Annex 15 General
Terms of Reference for the SMB.
15
31. Implementation Support Team
31.1 The governance of TREF provides a flexible and agile set-up in the form of an
Implementation Support Team (IST). The Terms of Reference are drafted in close
consultation with MEHE staff and are reviewed on a regular basis by the Strategic
Management Board (ANNEX VIII).
31.2 The purpose of the IST is to
(a) Support MEHE in meeting the implementation and governance requirements of
the TREF
(b) Support and accelerate implementation and budget execution across all TREF
priority outputs and programs aligned with the ESP 2021- 2025
(c) Strengthen MEHE educational expertise and educational leadership capacity,
including in time of crisis that require short-term interventions.
31.3 The IST consists of additional capacity to MEHE to implement TREF and deliver agreed
upon results guided by the TREF Urgent Results Framework. During 2022, the IST is of an
interim nature until a long-term set-up has been designed and agreed upon.
31.4 The IST reports to the Strategic Management Board (STB) of TREF on its strategic results
and activities that are defined in the IST Work Plan. Operationally, the IST reports to the DG
of Education and collaborates closely with UNICEF and key funding partners to ensure
compliance with TREF requirements and procedures.
31.5 The IST submits a Quarterly Work Plan to the Strategic Management Board and provides
quarterly progress reports for review. The Work Plan stipulates clear deliverables and
process support work.
31.6 The IST is located within the MEHE and interacts with key counterparts responsible for
finance, data and reporting, and other relevant departments such as CERD, DOPS, and the
Primary Education Directorate responsible for implementing outputs/strategic activities
funded by TREF under the 5-year plan.
31.7 Based on increased MEHE performance of key functions, tasks and responsibilities will
fully transition back to the government on the basis of achieved performance milestones in
accordance with TREF´s long-term development objective number 6 (ANNEX II TREF Urgent
Results Framework).
31.8 The Financing of the IST is funded via a standard proportional fee for donors paying into
the TREF. The standard fee depends on the level of a CP´s contribution to TREF and is agreed
upon with UNICEF. IST size and function will be progressively adapted to other donors’
possible upcoming support for direct technical assistance to the MEHE, with coordination and
complementarity to be ensured through the network of technical assistance to be put in place
under DGE mandate.
16
B. Annual Planning and Budgeting
32. MEHE and UNICEF will prepare an Annual Plan and Budget for all actions and outputs
funded by TREF. These actions and outputs funded by TREF are referred to as Priority
Outputs. The planning process for TREF Priority Outputs will link closely with the planning of
all other external funds that support the Annual Action Plan of the 5-year plan. The Annual
Work Plan and Budget will reflect all external and internal financing to the education sector.
33. All Priority Outputs funded by TREF will be reflected in the sector´s Annual Work Plan
and Budget. The plan will be prepared annually by MEHE with the active participation of the
decentralized institutions, the CPs and other education stakeholders invited by MEHE and will
reflect actions to be implemented at the central and decentralized level.
34. MEHE, UNICEF, and Key CPs, i.e., the Strategic Management Board, will jointly decide
upon the AWPB of the Year n+1 at the Joint Planning Meeting of Year n. Any revision to the
AWPB will be jointly decided upon at the Strategic Management Board meetings and will be
communicated, in a timely manner, to all CPs, and MEHE directorates.
35. The Annual Planning & Budgeting Cycle are captured in the following diagram1:
Figure 3: Annual Planning and Reporting Cycle
35.1 The Annual Sector Review (ASR) meeting is held in May. The responsibilities and
required documents shared for and produced during the ASR are outlined in ANNEX XI. MEHE,
with the support of UNESCO, coordinates the Annual Joint Sector Review ASR.
1
Please note that the precise timing may be adjusted on an annual basis to accommodate specific funding and
planning cycles by CPs and MEHE´s own planning calendar.
17
35.2 The first Joint Planning Meeting is held in June or, in case of delays, no later than 5
working days after the ASR.
35.3 The second Joint Planning Meeting, including a specific session on Budgeting, is held in
early September prior to the start of the new School Year producing a pre-final AWPB.
35.4 The final Joint Planning Meeting is held in late October/early November endorsing a
final AWPB.
C. Technical Dialogue Structure
36. The Annual Planning and Budgeting Cycle is supported through a structured dialogue
with two technical level working groups:
36.1 High Priority Joint TASK Forces:
Depending on most urgent sectoral topics as determined by the Strategic Management
Board, technical working groups can be instated. For the year 2022, it has been agreed to set
up the High Priority Joint Task Forces on Learning Recovery, Data & SIMS, Multiple Flexible
Pathways, and 2nd shift. These High Priority Task Forces are of a joint nature with both MEHE
staff and international partners attending where possible and necessary.
36.2 Education Sub-sector Working Groups
These groups reflect the direct services delivered by MEHE, i.e.: sub-sectors. Details and
dates for the operation of the Education Sub-Sector Working Groups are agreed upon during
the first Joint Annual Planning Meeting and designed in close coordination with all relevant
program managers (Director of Primary etc.) and international agencies and donors.
Both groups are technically supported by the IST and other relevant technical assistance
consultants, such as the 5-Year Plan Coordinator that reports to the DG.
36.3 The participation in the High Priority Task Forces and Education Sector Working Groups
are determined and communicated during the first Joint Planning Meeting or, if done on an
urgent basis, at least 5 working days prior to activating a new Task Force.
37. Decisions on Annual Planning and Budget Allocations for TREF are made at the Strategic
Management Board meetings during the Joint Planning Meetings.
38. The Terms of Reference for the Policy Dialogue System shall be drafted by the IST in close
consultation with all relevant stakeholders and submitted to the inaugural Strategic
Management Board for review and endorsement. ANNEX III of this OH will incorporate the
adopted Policy Dialogue System after the endorsement.
18
PART III: Fund Allocation, Financial Management

Arrangement, and Disbursement
A. Two Funding Windows
39.The TREF offers two funding windows with specific programs under each:
(I) Supporting and Upgrading Public Education System
(II) Multiple Flexible Pathways (School-Based Bridging Program)
19
Figure 4: Two TREF Funding Windows
40.The first funding window allocates funding to specific agreed upon program result areas
of the 5-year sector plan, for example student enrolment support, cash for education,
supplies, and school rehabilitation and construction with regards to access goals, as well as
HR development, school support systems (supervisors and counsellors), and digital teaching
skills concerning quality goals. Assuming that the 5-year sector plan will have a traditional
sector plan direct service delivery structure (i.e., ECE, Primary, Secondary, TVET,
Administration Programs), integration of external partners’ programming can be done more
effectively to achieve system strengthening and upgrading on a national scale.
41.The second funding window covers the portfolio of programs to offer quality
learning opportunities to out of school and out of learning children through so called multiple
flexible pathways, such as the school-based bridging program and other learning programs
currently being designed with the goal to reach as many children as possible to either attract
them into or back to education. This funding window also includes community-based
education programs during times of school closures.
42. Contributing Partners stipulate the allocation preferences in their bilateral agreements
with UNICEF. A contribution can be channeled through one or both windows.
43. The management arrangements outlined in this Operational Handbook refer to the first
funding window of support to the public education. The management arrangements for the
second funding window will be added as an Annex once fully finalized.
20
44. The due diligence and financial reporting services of the Third Party as well as the financial
management architecture of processing payments cover both TREF windows.
B. Commitments & Disbursements by Contributing Partners
45. The CPs will make their annual disbursement against their commitments and dependent
on fulfilled requirements (data, governance etc.), which are specified in their bilateral
contribution agreements, on the basis of the Annual Plan and Budget to be jointly decided at
the Final Joint Planning Meeting. If such joint decision cannot be reached due to different
donor specific planning and funding cycles, the CPs may decide to defer their disbursements
until such a time as the joint decision has been reached.
46. In case of multi-year bilateral agreements between a CP and UNICEF, UNICEF and CPs will
agree in their contract on annual disbursement schedules, specifying the intended amount of
disbursement of each CP, based on the commitments made and in line with the AWPB as a
way to ensure the liquidity of funds. Commitments are dependent on the fulfillment of TREF
requirements stipulated in the MoU signed on May 20, 2022, and this Operational Handbook.
47. The funding envelope of donor contributions to UNICEF for year n+1 will be agreed upon
to the maximum extent between UNICEF and the CPs and, after all TREF governance and
reporting requirements are met, communicated to MEHE at the Special Budget Session of
the Second Joint Planning Meeting.
48. For disbursement for funds from UNICEF to the beneficiaries via the Financial Service
Providers, the step-by-step process and stipulated requirements are outlined under
paragraph 60. UNICEF will immediately inform the CPs in case of any deviation from or delay
of the outlined fund flow mechanism and inherent accountability measures.
49. The CPs will ensure the agreed upon annual disbursement of their committed funds
according to the jointly decided upon timeframe and in accordance with the stipulated
requirements and assurance mechanism. UNICEF will immediately inform MEHE if a CP
decides to terminate payments and call for a joint meeting and discuss a possible coordinated
position on the measures, remedial or otherwise, required to ensure a process of correction,
rather than disruption.
50. The CP funds are deposited into a UNICEF bank account as per their contribution
agreement.
51. UNICEF will, within 15 days, acknowledge receipt of the funds into the foreign exchange
account, in writing, to the depositing CP, with a copy to the Third Party, specifying the date of
receipt.
52. Funds will be transferred from the UNICEF account to Financial Service Providers for
execution of payments on the basis of payment requests submitted by MEHE in line with the
step-by-step operational procedures outlined below under paragraph 60. UNICEF will
21
maintain full oversight how much of each CP´s grant- as stated in bilateral agreements with
UNICEF- is disbursed for what priority output.
C. Hybrid Financial Management-Third Party
53.1 The envisaged hybrid financial management structure includes a Third Party (TP)
management firm selected and contracted by UNICEF. The role of the TP will ensure (a)
higher levels of transparency and accuracy due to pre-and post-due diligence service es, (b)
transparent financial reporting and file management, and (c) gradual capacity built for the
external fund management function at MEHE and school level financial reporting. The TP
will work closely with the relevant finance staff of MEHE through a hybrid management set-
up.
53.2 While MEHE will prepare the program budgets and payment requests with all accounting
details, UNICEF will execute payments directly to beneficiaries through existing and
authorized financial service providers (i.e., OMT, banks).
53.3 The TP will perform ex ante and ex post due diligence and verification actions, issue
quarterly financial reports (which are reviewed by MEHE) and undertake financial
reconciliation after the annual payment cycle.
53.4 The TP will conduct capacity building activities for the central, regional and school-level
financial management function and more specifically support schools in issuing regular
school-level financial reports.
53.5 As relevant, depending on contractual dispositions between UNICEF and CPs, the CPs
may exercise a Non-Objection for payments to special contract teachers and transfers to
schools and agree on the Payment Linked Indicators.
53.6 For the second funding window, the TP will work closely with the relevant UNICEF team
that executes payments directly to beneficiaries (i.e., around 250-400 private school
accounts). The payment items consist of lump sum to each school including enrolments, and
support cost for operational and administration. More details for the 2nd window will be
added during October 2022.
53.7 The IST, which reports to the DGE, will support MEHE staff in meeting TREF requirements
and translate them into internal MEHE procedures. The following diagram provides a high-
level overview of the roles and responsibilities:
22
Figure 5: Hybrid Financial Management Set-Up
54. In addition to the above-mentioned functions, the Third Party is responsible for the
following actions:
▪ Design operational working relationship with MEHE fiduciary and data
management counterparts
▪ Set up a beneficiary and vendor data management system and validate bank
information through verbal and formal direct confirmation from the banks
▪ Track and report the use of funds against approved plans and programs and
maintain up to date and complete accounting records and carry out routine
checks
▪ Develop reporting dashboards, reports, and tools to support reporting of the
overall program, including tracking of actual versus planned spend and, if
required, at programmatic level related to KPIs and other metrics
▪ Provide templates to schools to strengthen school-level financial monitoring
▪ Work with technical and financial personnel of MEHE and UNICEF to establish
a set of procedures for requesting and making payments
▪ Provide all data necessary for the annual external audit of TREF
▪ Provide capacity development in financial management and reporting for
MEHE, regional offices, and schools
▪ Perform assigned procurement services according to UNICEF guidelines
ANNEX IX details the specific Terms of Reference for the Third Party Risk and Financial
Management Firm
23
55.The ministry´s External Fund Management unit under the leadership of the Senior
Financial Manager, with the support of the IST, is responsible to enable the work of and
cooperate with the Third Party and perform the following actions:
▪ Preparing and submitting Payment Requests in line with steps outlined under
paragraph 60 in section D
▪ Providing Accounting Details for Verification of Payments to Beneficiaries by the TP
▪ Approval of Payments
▪ Review and approval of Quarterly Financial Reports
▪ Support Procurement Planning and Budgeting of Annual Work Plan
56. The TP will produce and submit to UNICEF and the CPs quarterly financial progress
reports regarding the execution of the TREF funds 15 days after the end of the respective
quarter. Specifically, these reports will focus, inter alia, on the expenditures of funds
transferred to School Funds and Parent Council Funds and special contract teachers and
school-related professional staff. These include monthly flow of funds financial statements
together with bank account statements. Financial reports are expected to reflect foreign
exchange losses/gains, bank charges and interest accrued, if any. Any gains are expected to
be reinvested in TREF after agreement with respective CP and the SMB on individual measures
to be financed has been reached.
57. Also, the TP will provide a monthly extract of the transaction files with classification by
budget codes, to facilitate analysis, monitoring and reporting. The structures, formats,
content and modes of presentation of financial reports will be jointly decided upon each year
in a special meeting during the Final Joint Planning Meeting.
58. The TP supports MEHE and UNICEF to provide an explanatory note that sets out how cash
flow will be managed within the context of multiannual planning, and how any balances may
be reprogrammed (including any gains/losses). The final decision on reprogramming is the
responsibility of the Strategic Management Board.
59. The TP will develop a Procedures Manual in line with this Operational Handbook. This
manual will include a Simple Checklist for Financial Management and Reporting and it will be
shared widely with all Program Managers, as well as CPs, at the central, provincial and district
levels to facilitate the better understanding by non-technical staff with basic knowledge of
finance and disbursement-linked data requirements
D. Step-by-Step Flow of Funds Linking Data to Payments
60. Step-by-Step Financial Operations for the Formal Education System (First TREF Window)
24
Figure 6 TREF Data and Fund Flow Steps
The above flow chart consists of the following operational steps:

60.0 The activation of the financial system of TREF to disburse funds to beneficiaries is
conditional on a MEHE-UNICEF agreement endorsing the proposed set-up and objectives of
TREF and expressing a commitment to apply its features and principles.
60.1 Donors sign an agreement with UNICEF specifying the TREF funding window and priority
outputs and programs for their contribution and the distribution of funding to both windows.
60.2 Donor contributions are transferred to the UNICEF Foreign Currency Account according
to the agreed upon schedule and amount as per the specific agreement signed.
60.3 The Strategic Management Board agrees on the priority outputs and allocated budgets
in the Annual Work Plan and Budget to which CPs funds are allocated.
60.4 Schools ensure that data for 1st and 2nd shift students and schools required for
disbursement is entered into the unified MIS: (A) Attendance Figures of Students, (B)
Enrolment Figures of Students, (c) Student & Teacher Absences, (D) Number and Attendance
of teachers and the number of hours of teaching. Monthly reports are produced and
submitted to Senior M&E Manager or specifically assigned M&E staff that is supported by the
IST.
25
60.5 Senior M&E manager and IST consolidate and validate monthly reports into quarterly
attendance reports and submit for endorsement by the DGE.
60.6 Independent Review is performed by the Third Party (see Annex IX TOR for the Third
Party)
60.7 The TP submits verified quarterly attendance reports for teachers and students to the
MEHE fiduciary team to prepare the accounting details and payment requests for the
beneficiaries.
60.8 MEHE Fiduciary Team with the support of the IST prepares the payment request
according to the New Costing Model and submits the payment request to the Third Party.
60.9 The Third Party performs a budget compliance check according to the priority outputs
and allocated budgets in the AWPB
60.10 If stipulated in the contribution agreement, UNICEF requests a Non-Objection from
the relevant Contributing Partner on the exchange rate used for the payment to
beneficiaries.2
60.11 After the NO is received from the relevant Contributing Partner, UNICEF instructs the
Financial Service Providers to execute the payments to beneficiaries in accordance with the
business procedures agreed upon.
60.12 The Third Party monitors and verifies the payments to beneficiaries.
60.13 The Third Party issues Quarterly Financial Reports of the payments made and shares
them with UNICEF before submission to the Strategic Management Board for review. A
consolidated Annual Financial Report is submitted no longer than 6 weeks after the last
quarterly disbursement.
60.14 Annual External Audit is performed for the TREF financial management set-up, which
includes transfers to the School and Parent Council Fund as well as the overall implementation
mechanism and TREF governance aspects. UNICEF procures the international audit firm
through a competitive bidding process. The TP supports in providing all relevant
documentation to the external audit firm.
See Annex XII. Authority Matrix-Roles and Responsibilities for some of the key steps outlined above.
61.1 Detailed Steps under TREF for Special Contract Teacher Payments including a FSP and
TP3
1. TP reviews and validates teacher attendance data received from unified ministry
information management system as basis for payment request preparation (3 days)
2. MEHE prepares quarterly payment request (PR) for teacher payments including (first
name, father name, last name in English and Arabic, date of birth, nationality and
phone number, ID number and address (governorate and district)). (5 days)
2
Provisions 60.10 and 60.11 only apply to KfW as per KfW`s contribution agreement with UNICEF.
3
Detailed steps for the payments to School Funds and parent Council Funds will be added by July 2022.
26
3. MEHE sends payment request to UNICEF Education specialist (i.e., relevant program
manager for special contract teacher payments) in a digital and encrypted format
together with a cover letter asking UNICEF to process payments. Education specialist
will forward the Excel sheet to TP for budget compliance review and verification of
the data and clean-up. (4 hours)
4. TP reviews data and clean up in communication with MEHE and verifies in line with
the TREF data requirements as stipulated in the TOR. (2 days)
5. TP sends the cleaned data to UNICEF Education specialist. (1 hour)
6. Education specialist reviews the cleaned PR and solicits and receives approval from
the chief (budget owner) through email and sends the list to Financial Service
Provider for paying the teachers. (1 day)
7. After receiving UNICEF instruction of payment, Financial Service Provider (as OMT
and/or banks) processes the payment to teachers. (2 days)
8. Financial Service Provider sends invoice request for reimbursement and detail of
withdrawal by beneficiaries to UNICEF finance specialist to reconcile with the
instruction sent and review the invoice to rectify if there are any discrepancies. (2
days)
9. After issues are rectified with Financial Service Provider, Finance specialist sends to
Program associate to process the reimbursement in ZHACT (UNICEF´s Harmonized
Approach to Chas Transfer) for the teacher payments and sends to education
specialist and chief for certification and approval in ZHACT (VISION)4. (1 day)
10. Finance verifies the reimbursement and Global Shared Services Center (GSSC)
process the payment run
11. TP reaches out to beneficiaries to perform end user monitoring ensuring right
amount of payments reached right beneficiaries (5 days)
12. TP consolidates quarterly financial reports of the amounts paid to beneficiaries in
line with MEHE payment request. (2 days)
Diagram 1: Pre-Disbursement Financial Management Process for Teacher Payments
9.Financi
6. 7. Edu al
Education specialist 8. Service
2.MEHE specialist sends Financial Provider
prepares 3. 4. TP 5. TP
1. TP reviews the Service sends
verifies and sends Education reviews sends
approve Provider reimburs
teacher PR to specialist and verified cleaned PR
d list to disburses ment
attendance UNICEF sends PR PR to and gets
verifies education Financial the request
data education to TP PR approval service payment with
sepcialist sepcialist from provider to detail to
section for teachers finance
chief payment specialist
Diagram 2: Post-Disbursement Financial Management Process for Teacher Payments
4
VISION is UNICEF´s financial management system
27
1. Finance
Specialist 4. PA sends
2. Finance 5. Education 6.
reviews the to
Specialist 3. Program specialist and Program
invoice, educations
reconciles
sends to Associate section Chief Associate 7. Finance 8. GSSC
Program creates specialist
with initial and section
certifies and sends verifies pays to
Associate reimbursm approves approved reimburs OMT
list and chief for
for ent invoice reimbursment FACE and ment
rectify issues certificatio
reimburse in ZHACT invoice in PRQ to
with Financial n and
ment ZHACT finance
Service approval
Provider
61.2 Detailed Financial Management Steps under TREF for Payments to School Fund and
Parent Council Funds including a FSP and TP
1. MEHE sends teacher and student attendance data to TP for verification

2. TP reviews and validates teacher and student attendance data received from
unified ministry information management system as basis for payment request
preparation as per the agreement in TREF
3. MEHE prepares payment request (PR) for transfer to school and parent council
funds with a cover letter and a list of the schools to be paid with the amount for
each school fund and parent council fund account. The payment request should
be in line with the verified attendance data by TP. This payment request should
be signed
4. MEHE sends payment request to UNICEF Education specialist for review and
certification of payment request.
5. Education specialist reviews and certifies payment request and forwards to
section chief for approval
6. Section chief (budget owner) approves payment request and forwards to finance
specialist
7. Finance specialist forwards to OMT/bank for transfer of funds to school and
parent council bank accounts
8. After receiving UNICEF instruction of payment, OMT/bank processes the
payment to schools per instruction
9. OMT/bank sends invoice request for reimbursement and proof of deposit to
school accounts to UNICEF finance specialist to reconcile with the instruction
sent and review the invoice to rectify if there are any discrepancies.
10. After issues are rectified with OMT/bank, Finance specialist sends to Program
associate to process the reimbursement in vision
11. Finance sends to Global Shared Services Center (GSSC) to process the payment
12. TP reaches out to schools to perform end user monitoring ensuring right number
of payments reached the school bank accounts
28
13. TP consolidates quarterly financial reports of the amounts paid to beneficiaries in

line with MEHE payment request.
5. 7.
3. MEHE 4. MEHE educati
2.TP shares Financ 8. FSP 9.FSP sends
prepares sends on e
1. TP verifies the verified 6. disburs reimbursment
cover payment speciali Special request with
teacher data to section es the
attendance MEHE letter and request to st ist detail to
detail reviews chief payme
data through UNICEF sends nt to Finance
payment education and approves payme
UNICEF schools Specialist
request specialist certifie nt list
s to FSP
1. Finance 2. Finance
3. Program
Specialist reviews Specialist
Associate 4. Finance
the invoice, sends to
processes submits to
reconciles with Program
invoice and GSSC and GSSC
initial list and Associate for
sends to pays to FSP
rectify issues with payment
finance
FSP processing
E. Financing Cycle & Disbursement Requirements & Payment Linked Indicators
62.1 The proposed financing/payment cycle is 4 times per year. The proposed dates are the
last calendar day of (1) October, (2) January, (3) April, and (4) July. Since TREF will not be
operational before mid-2022, disbursements for October, January, and April will be missed
for the School Year 2021/22. Disbursement will only be operationalized after the TREF
mechanism is endorsed and officially in place. Thus, for the first year of TREF SY 2021/2022,
disbursements will be made retroactively along envisaged structures and rules once in place.
The aim is to be able to move gradually to a monthly payment schedule for special contract
teachers as of the SY 2022/2023.
62.2 Disbursement along the foreseen financing cycle is linked to the prior submission and
validation of required reports and data.
62.3 As of the school year 2022/23, payments for teachers may be executed on a monthly
basis if data flows, staff capacity and assurance mechanisms allow.
29
63. MEHE is required to report at the beginning of school year the number of days that are
officially required for schools to operate each quarter (i.e., expected days of operation). At
the end of each Quarter, MEHE is expected to report the exact total number days of actual
operation when students were in school and teaching-learning activities were taking place
(i.e., actual days of operation). Additionally, MEHE will submit Quarterly Student Attendance
Figures, Enrolment Figures, student and teacher absences, numbers and attendance of
teachers, and, in due time, school-level expenditure reports as the basis of disbursement.5
64.1 The first step in calculating the disbursements based on the Payment Linked Indicators
will be to estimate what is the percentage of actual days of operation in relation to the
expected days of operation. The ceiling of the disbursements for the Quarter will be the
proportion of the total eligible disbursement. The eligible disbursement is the percentage of
the budgeted disbursement, proportional to the actual days of operation (i.e., days when
students were in school and teaching-learning activities took place)67. The minimum
acceptable percentage of actual days of operation for a full disbursement will be determined
by the Strategic Management Board. Once the ceiling of the disbursement has been
estimated in relation to the actual days of school operation, further estimations will be made
based on the Payment Linked Indicators.
64.2 The Payment Linked Indicator triggering disbursements of fees to special contract
teachers are total number of teachers and the recorded hours of teaching per teacher. The
teaching hours are recorded in the SIMS for both 1st and 2nd shift special contract teachers
and related administrative staff. Thus, payments to teachers vary based on their validated
teaching hours and the total disbursement will be a function of the number of teachers and
their working hours.
64.3 The Payment Linked Indicator triggering disbursement to School Funds and Parent
Council Funds are based on quarterly student attendance reports extracted from SIMS,
validated and verified first by the MEHE and then by the Third Party. School attendance will
be collected per day and per student. For disbursement purposes, it will be reported as a
categorical result based on a double rule: (a) A rule determining which students have reached
a minimum level of attendance (i.e., individual attendance threshold); and (b) the percentage
of the students that have reached the individual attendance threshold in relation to the total
student population (i.e., aggregated attendance threshold). The minimum thresholds will be
determined by the Strategic Management Board before the start of the school year. A
5 The definition of what constitutes attendance is based on the government´s legal definition and agreed upon by the
Strategic Management Board prior to the beginning of the School Year. During volatile periods of repeated school closures
resulting in inconsistent attendance periods, a letter with updated regulations on the official open school days during the
previous month is issued by the DGE and shared with UNICEF senior management and all relevant parties (Third Party
Financial Management Firm, IST, etc.). This letter is issued on the last official school day of the concerned month.
6 For example, assume the donors have provided US$ 1,000,000 based on the budget. Assume also that out of 100 days the
MEHE said the school would operate that Quarter, there was teaching and learning only 80 days. In this case, the
disbursement ceiling will be US$ 800,000 (0.8 operating days X 1,000,000 = 800,000).
30
framework regulating how the individual attendance threshold is estimated will be validated
on a yearly basis and added as an Annex to this OH.
64.4 The first quarterly payment in October for School Funds and Parent Council Funds will
be considered an advance payment and will be based on final enrolment figures of the
previous school year. Future disbursements will be based on SIMS data of the current School
Year. It is expected that there will be differences between the previous year’s enrolment and
the current year’s enrolment, but this will only be detected once SIMS data is available. When
SIMS data is available, adjustments to future disbursements can be made based on the over-
or under-payment caused bay considering last year’s enrolment. The second quarterly
payment is to be disbursed in January of the following year and will be based on first report
of enrolment that includes all registrations, including late enrolments, and student
attendance data. The enrolment and attendance figures will be used to estimate the amount
of the disbursement according to the disbursement ceiling (see paragraph 64.1) The third,
and fourth quarterly payments will be triggered, and the amounts of their disbursements
estimated based only on student attendance data according to the disbursement ceiling (see
paragraph 64.1.
64.5 For the initial TREF operations during the School Year 2021/2022, which suffered from
prolonged school closures and teacher strikes, the ceiling of the disbursement will be
determined by the actual days of operation. Details of the criteria and indicators applied to
calculate the proportion within that ceiling that will be the payment amounts to School Funds
and Parent Council Funds will be agreed upon during the first SMB meeting and added to the
OH as an Annex.
64.6 The function and requirement of the School Expenditure Reports as a Payment Linked
Indicator will be defined by the end of the 2022/2023 school year.
64.7 For handling complaints related to payments to teachers, a help desk is set up within
MEHE.
65. School-level expenditure reports record the spending of the School Funds and Parent
Council Funds according to the legally eligible expenditure items as per ministerial decree
1945 dated December 23, 2006, and ministerial decree 2152 dated October 3, 2007,
respectively. The submission of quarterly school-level expenditure reports is not a pre-
requisite for disbursement until the reporting templates and the proper capacity building has
been conducted for all the schools by the Third Party. Though not applied as a disbursement
requirement per se during the inception phase of TREF, schools are required to submit school-
level financial reports as part of the TREF Accountability Framework and Assurance
Mechanism. As a key priority of TREF´s Urgent Results Framework, both the IST and the TP
will continuously work to ensure school level financial reporting is fully operational, including
the soon to be developed module for school-level financial management system as part of
SIMS.
31
65.1 Schools provide their expenditure plans to the Regional Education Offices for approval
and School Inspectors verify school level financial expenditures as part of MEHE´s internal
control system.
65.2 Updated SOPs for School Fund and Parent Council Fund financial management
operations, including planning and financial reporting, will be developed until September
2022 prior to the start of the School Year 2022/23 and complement this OH. The TP will
conduct quality assurance and enhance the updated SOPs.
65.3 in case schools are able to open USD accounts for the SF and PCF to overcome the
withdrawal limits set by banks, SOPs need to be customized accordingly by the IST.
See Annex XIV for details on eligible expenditures under the School Fund and Parent Council
Fund as per existing MEHE decrees. Due to length, these annexes are shared as separate
documents.
F. Costing Model for Enrolment Fees Subsidies in Formal Primary Education
66. Adapted Unit Cost Model 2021/2022

66.1 The previous unit cost model included 4 components: Human Resources, School Fund,
Parent Council Fund, and depreciation costs. The adapted new costing model for TREF will no
longer contain depreciation costs.8
66.2 The enrolment fee subsidies under TREF cover the following categories:
▪ HR costs for special contract teachers (for those teaching non-Lebanese students in
1st and 2nd shift)
▪ School Fund contributions to 2nd shift schools (non-Lebanese students)
▪ Parent Council Fund contributions for both 1st and 2nd shift (Lebanese and non-
Lebanese students)
66.3 The legally set government values for the categories under 66.2 are communicated
clearly to UNICEF and the CPs prior to the start of the School Year.
66.4 Any changes made to the legally set values for the categories during an ongoing school
year are communicated by MEHE to UNICEF and the CPs with an official notification and
justification of the changes made. There is no guarantee that agreed upon budget values in
the agreements UNICEF has with the CPs will be affected by these changes. MEHE will provide
the full funding picture for General Education with the sources of funding (external and
government) clearly stipulated.
67. The New Costing Model under TREF ensures beneficiaries receive sufficient support and
increases the predictability of payment schedule for planning. To this end, the New Costing
8
Depreciation can be covered under TREF window 1 through specific school construction and rehabilitation
activities
32
Model considers the high exchange and currency rate volatility and inflation caused by one
of the worst financial crisis in the past 150 years worldwide and applies an upper and lower
ceiling that keeps payment calculations within bounds estimated on the basis of inflation
and exchange rate LBP-USD projections from authoritative sources.
67.1 Since 2019 in Lebanon there has been significant inflation and currency fluctuations. This
has impacted on the support provided by donors – with the support paid in LBP to the parent
council fund, the school fund, and to human resources, being devalued in terms of the USD
amounts, but also in terms of its purchasing power at the school level. This means that the
baseline amounts are too low, as they do not adequately capture the inflation of the last
few years. This creates a risk that the support is insufficient to maintain education
services/quality.
This has also led to significant savings in donor funds, which were accumulated due to a
rapidly rising exchange rate, and the lack of an agreed government-wide mechanism how to
adjust contributions and transfers to beneficiaries. Thus, there is a need to adjust
contributions to the school fund to allow inflation and exchange adjusted payments being
made to schools to enable them to purchase goods and services at market relevant price
levels.
Further, forecasts suggest that the period of high inflation and currency fluctuations is likely
to persist for upcoming school years, meaning that future payments may fluctuate. To avoid
the repetition of previous years and ensure beneficiaries receive sufficient support during any
periods of hyper-inflation and high volatility of exchange rates, a new model for calculating
and disbursing of donor funds to schools and contractual teachers is designed. This model
takes the forecasts provided by the Economist Intelligence Unit for inflation and currency
fluctuations and models out ‘high’ and ‘low’ scenarios to agree a maximum and minimum
contribution amount, giving stability for planning purposes.
67.2 The model forecasts the likely implications of inflation (and currency depreciation) on
the US dollar values that are contributed by donors, to identify a sensible corridor for
contributions, and mitigate against fluctuations in the exchange rate leading to high variation
in contributions over the year. This corridor is used to set a ceiling and floor for the
contributions, to allow for more certainty of the amount of support.
67.3 Within the model, the Lebanese pound values of the School Fund contributions are
allowed to increase in line with inflation - as schools will have to pay increased amounts to
ensuring the costs for delivery. Furthermore, for some items, schools will in essence have to
pay the dollar values (or the Lebanese price is directly determined by the market exchange
rate) – for these items, a fixed USD amount is accounted separately and allocated for the
period.
It takes as its starting point the current agreed contributions, which are shown below using
the initial rates (at 1,500:1) the latest LBP rate, and the latest USD rate (at 20,000:1)
Previous First Shift Latest Previous Second Shift Latest
First-Shift LBP First-Shift Second- LBP Second
33
USD @ actual Shift USD Shift USD

1,500 USD @1,500 @20,000
value
@20,000
Parents $60 375,000 18.75 $60 375,000 18.75
Council Fund
School Fund $100 150,000 7.50 $100 150,000 7.50
Human $203 304,500 15.23 $340 510,000 25.50
Resources
Total $363 829,500 41.48 $500 1,035,000 51.75
Table 1 Contribution Values by Component and high differential in exchange rates
67.4 The new costing model:
• takes the Lebanese value of the human resource contribution and parent council
fund as fixed – that is, it does not adjust in line with inflation.
• Allows the School Fund to increase with inflation. This is important to ensure that
goods and services required by schools can be procured.
• Two scenarios are estimated: high and low to have a corridor for the amounts
• A high inflation/devaluation scenario as one where the EIU forecasts are exceeded
by 40%; and a low scenario as one where they are 40% lower.
67.5 The new adapted model takes into account the dramatic fall in the Lebanese Pound
and rapid inflation. This was done differently for each contributing factor:
▪ School Fund: the school fund was adjusted to take into account historical inflation
AND to dollarize 30% of its value
▪ HR costs were held the same in 2021, and updated in Feb 2022 (increase from
20,000 to 40,000 LBP/teaching hour) by the Council of Ministers9
▪ The PCF amount is fixed by ministerial decree at 375,000 LBP per student
67.6 The values for HR and PCF components are set by decree – and are thus taken as inputs
into the model. The LBP amount does vary, but by decree of Council of Ministers/MEHE. The
model does not apply inflation to these. The amount request is in LBP – so USD amount
varies depending on prevailing rate.
67.7 The values of the School Fund are more complex as many components (fuel/ink) rely on
imported goods. Thus, the first step is to compensate for historical inflation. The second step
is to ensure continued purchasing power by locking the purchasing power for an inflated
(2014-2019) School Fund amount at 1,500:1 exchange rate. Since the estimated share of
‘dollar’ goods was 30-40% - a ‘fixed’ 30% of the value is secured. This approach yields a fixed
component of $112.5 USD – which is fixed in USD for the model and paid at prevailing LBP
rate. The other 70% of the SF is allowed to increase with inflation – then paid at prevailing
rate.
9
Please note that this increase is still subject to the provision of 63.4 and CPs have not yet agreed to adopt the
new values. This matter is part of the agenda of the first SMB meeting.
34
67.8 This model aims to agree a corridor of the amounts of contributions to provide a
consistent quality of education, by forecasting scenarios where inflation and currency
devaluation are “high” and where they are “low”. It also updates the contribution for previous
inflation, yielding higher USD contributions than in previous years. This model yields a higher
overall per child amount than the latest contributions – with substantial increases in the
school fund; and with the inflationary pressures of the coming year managed for the PCF and
HR contributions, giving relative stability.
67.9 The following table is an illustrative example and does not reflect the actual values, which
will be calculated at the time of disbursement:
Latest Contribution (USD Estimated average contribution from November

actual value) 2021 to 2022 (USD actual value)
School Fund 7.50 137.27-141.6

Parent Council Fund 18.75 15.81-17.26
HR First Shift 15.23 12.83-14.02
HR Second Shift 25.50 21.50-23.48
Table 2: Comparison of actual USD values without and with the New Costing Model
67.10 A customized web application- https://fabdata-svelte-unicef-leb-

tref.azurewebsites.net/ - taking into consideration above points is used to calculate the
values for each category when preparing the payment requests and executing
disbursements. The default settings of the web application are managed by UNICEF staff.
67.11 The actual time of making payment calculations on the basis of the prevailing exchange
rate is mid-day of the 28th of the month when payment requests are prepared.
67.12 MEHE Senior External Fund Manager applies the web application to make payment
calculations on the basis of verified data. The Third Party will provide technical support if
requested.
67.13 Once estimations of the total amounts to be paid have been finalized, transfers will be
operated. Transfers to individuals will be operated through local financial service providers,
such as the Online Money Transfers (OMT). The mechanism for transfer to school funds will
be decided at the beginning of the school year by the Strategic Management Board. If banks
continue to impose withdrawal limits on school bank accounts, the SMB will explore options
that include, but might not be limited to mobile payments, Programme Cooperation
Agreements, Direct Payments to suppliers, and Vouchers. Most of these options might not be
practicable at the moment. Therefore, a process to secure authorization for schools to open
USD accounts has been initiated. The SMB will decide whether this mechanism is feasible and
recommend it if appropriate.
67.14 The New Costing Model requires updating for the new school year 2022/23 and
subsequent ones to account for the changes in inflation and currency depreciation and, if
applied, customize to USD accounts opened at school level that would enable transfers in USD
rather than LBP.
35
68. Moving from Top-Down Unit Costs to Actual Bottom-Up Budgeting

68.1 The modified unit cost model will only be applied until a proper fact-based line item
and activity-based budgeting is done. MEHE and UNICEF will design a clear road map that
will lead to a revised costing methodology. Thus, the adapted student unit cost model will be
phased out and substituted with an actual budget that reflects the actual costs for inputs into
the education system. For the School Year 2022/23 an actual costing of education expenses
shall be applied. This shift from a top-down unit cost method to a bottom-up costing and
budgeting approach is supported by the Implementation Support Team.
See ANNEX X New Costing Model for Enrolment Fees Subsidies
G. Procurement
69. UNICEF will do procurement. TP will support preparatory work on procurement (lists,
technical specs, distribution plans, end user monitoring etc.). UNICEF Procurement
Guidelines apply to all services and goods procured with contributions to TREF.
69.1 UNICEF may agree with the Third Party which parts of its Annual Work Plan to outsource
to the Third Party to perform procurement services on behalf of UNICEF and which parts to
be procured by UNICEF directly.
69.2 The Third Party develops and submits an Annual Procurement Plan of the outsourced
items to UNICEF Head of Operations for review and approval.
69.3 Semi-Annual Procurement Schedules are developed and disaggregated by category and
procurement process.
69.4 The Third Party develops relevant operational procedures for the inclusion of MEHE
procurement and supplies in case coordination activities with the ministry are required.
69.5 Semi-Annual Procurement Updated Reports are prepared and shared with assigned focal
points of UNICEF Education Section and UNICEF Operations and Supplies as well as the
Strategic Management Board.
69.6 An Annual Procurement Report is prepared and submitted by the Third Party to the
Strategic Management Report.
36
PART IV: ACCOUNTABILITY FRAMEWORK and

ASSURANCE MECHANISMS
A. Disbursement Requirements
70. For every quarterly payment to special contract teachers, School Funds and Parent Council
Funds, relevant data, reports, and implementation of governance structure need to be
complied with.
B. General Reporting on progress against agreed upon priority outputs under MEHE’s
Annual Action Plan and Basic Demographic and Academic Data
71. Minimum General Reporting Requirements for Access to Education (i.e.: Enrolment Fees
Subsidies) for 1st and 2nd shift students:
▪ Enrolment disaggregated by gender, nationality, grade, governorate, disability

▪ Attendance by nationality, gender, grade, governorate, disability
▪ Completion by cycle/grade, gender, nationality, children with disabilities
▪ Exam passing rate by nationality, grade, gender, disability, passing, failing, not participating
in end-year exams
▪ Transition from NFE to FE by class, nationality, gender, disability
▪ School closure- number of days schools were closed
72. Programmatic reporting
For all UNICEF programs that are funded through TREF contributions, the agreed upon reporting
requirements apply.
C. Performance for the TREF Urgent Results Framework in Support of the 5-Year Plan
73. Quarterly and Annual Reports are issued by the IST to report against the outcome and
output levels of the TREF Urgent Results Framework.
D. Harmonized and Unified Reports10
74. Reporting under TREF
10
Individual donor funding cycles need to be considered in the final M&E and reporting section of this OH.
37
74.1 To the extent possible, reporting under TREF will be unified and harmonized to issue one
report for several CPs. The IST, in close collaboration with the Senior M&E Manager that leads
the M&E function for the 5-year plan, provides relevant templates and steps aimed at
unification and harmonization.
74.2 UNICEF ensures that the harmonized and unified reports meet the stipulated individual
CP reporting requirements as per the bilateral agreements signed.
75. The reporting calendar is aligned with the consultation and meeting calendar and the
annual planning and budgeting procedures.
76. Critical Path for Accountability and Reporting. The following diagram illustrates the
critical path for annual reporting and the assigned responsibilities:
Table 3: Critical Path for Annual Reporting
77. Types of Reports & Responsibilities
a. Quarterly FINANCIAL Reports
The QFRs reflect all expenditures related to agreed priority outputs/programs under both
windows of TREF (formal education and Multiple Flexible Pathways). They are prepared by
the Third Party and reviewed by MEHE External Fund Management Function and submitted
38
by the Third Party to UNICEF to be cleared prior to the official submission to the Strategic
Management Board.
b. Quarterly Attendance Reports for Students and Teachers of 1st and 2nd shift schools
These reports are extracted from the unified MIS of MEHE. They form a basic requirement for
quarterly disbursements to beneficiaries and are prepared by MEHE with the support of the
IST and verified by the Third Party.
c. Annual Narrative PROGRESS Reports on TREF Priority Outputs and Programs
Prepared by MEHE staff with the support of the IST.
d. Annual M&E Report on TREF Priority Outputs and Programs
Prepared by MEHE staff with the support of the IST. The specific indicators that need to be
reported on are agreed upon during the Joint Planning Sessions.
e. Annual External Audit Report
Prepared by international independent audit firm, which is selected and contracted by

UNICEF, on TREF mechanism and shared with SMB for review and follow up on
recommended improvement actions.
f. Annual Procurement Report
Prepared by UNICEF with the support of the Third Party, the IST and MEHE.
g. Internal Audit Report
Prepared by MEHE internal audit function.

h. Quarterly Performance Report of Implementation Support Team
Prepared by Team Leader of IST and submitted to the SMB.

i. Monthly dashboards from a unified data system
E. Annual Review of Operational Handbook
78. This Operational Handbook is a dynamic document adapting to changed and

improvements. A review is scheduled in September each year to integrated necessary
modifications. The modified sections are submitted to the Strategic Management Board for
review and approval.
39
F. Summary of Assurance Mechanisms under TREF
79. In sum, the key assurance mechanisms under TREF are the following
▪ UNICEF Direct Payments to Beneficiaries
▪ Data Verification and Monitoring through the Third Party
▪ Annual External Audit contracted by UNICEF
▪ Internal controls, IA and compliance e.g., UNICEF´s HACT Harmonized Approach to
Cash Transfers
▪ Quarterly Performance Review Reports on IST deliverables
▪ Social Safeguards and Grievances Redressal
▪ Annual reports referred to under point 77
The following diagram summarizes the Accountability Framework:
TREF ACCOUNTABILITY FRAMEWORK
Table 8: Accountability Framework under TREF
40
ANNEX
41
ANNEX I
Critical Success Factors: 11 Principles for Effective Education Response
42
ANNEX I_TREF Principles and Critical Success Factors
A new vision and way forward are required after RACE II has come to an end by December 2021. The
focus of the new aid modality called Transition and Resilience Education Fund (TREF) has three
dimensions: (1) Funding and Disbursement Modality, (2) Partnership Governance, and (3) Education
Service Delivery and Results. TREF is designed as a joint aid modality in support of the ministry´s 5-
year Education Sector Plan 2021-2025 with specific features to address and overcome the main
challenges and concerns of the previous RACE mechanism and performance.
These critical success factors for a sustainable and effective new mechanism can be called Principles
for a Partnership for an Effective Education Response (or simply PEER principles) and are as follows:
Figure: PEER principles
PEER principles 1-3 are of a more structural nature, referring partially to the internal governance
among international partners aimed at sharing roles and risks and ensuring to leverage every
partner’s strategic ‘value added’. For example, UNESCO may be providing technical support to the
TVET sector program, while UNICEF may be supporting the development of digital teaching skill
building for teachers. PEER principles 4 to 7 are of a normative nature, informing the dynamic
relationship between MEHE and international partners, as well as implementing actors (such as
NGOs). Critical Success Factors 1-7 largely inform the nature of the Partnership Governance and
guiding principles of a Funding Mechanism.
Finally, criteria 8 to 11 constitute the strategic enablers for an effective education response to achieve
equitable and inclusive education service delivery results in response to the multi-layered crisis and
deepening vulnerabilities of children in Lebanon.
These 11 principles, which have emerged through stakeholder consultations, have influenced the
design of the new aid modality. They are both design and action principles informing the
implementation of TREF and the Operational Handbook detailing all key features and procedures.
43
ANNEX II
TREF Urgent Results Framework for System Readiness
44
45
The TREF Urgent Results Framework

Apart from funding from several donors in support of the priority outputs of the MEHE 5-year plan
and harmonizing planning and reporting as well as strengthening assurance mechanisms, TREF has
four principles of engagement and partnership between UNICEF and MEHE:
1. Working with the MEHE official system to strengthen the DGE of the ministry in general
2. Support institutionalizing official functions such as M&E, Planning & Budgeting, Policy
Development etc.) and strengthening existing civil servants´ key results areas.
3. Supporting the gradual harmonization of policies and management for 1st and 2nd shift
children and schools
4. Ensuring a Networked and Harmonized Technical Assistance across MEHE and that reports
to the DG of education
Six Priority areas have been identified as urgent to strengthen the education system in 2022 and 2023
and build the capacity of the MEHE to deliver TREF and the 5-year Education sector plan 2021-2025;
these priority areas constitute the framework of the TREF Urgent Results Framework:
• Priority Area 1 – Access, Equity and Inclusion

• Priority Area 2 – Policy Cycle Development
• Priority Area 3 – Strategic Communication
• Priority Area 4 – Knowledge management
• Priority Area 5 – Data Governance and Quality
• Priority Area 6 – Transition from consultants to a MEHE public servant-based community
of practitioners
Development objectives and deliverables for each priority area are identified to ensure that they are
developed, gradually implemented and in place by the MEHE over the course of 2022/23 with close
collaboration between DGE, Key Partners, the UNICEF team and the TREF Implementation Support
Team (IST) deployed at MEHE. The TORs of the IST members are designed to contribute to the
implementation of the TREF Results Framework. Quarterly performance reviews are expected to be
shared for each focus area to track progress and mitigate any risks and challenges.
Under the guidance of the DGE, TREF will work closely with other aid modalities to build synergies
across funding, programmatic, and coordination areas in support of the implementation of the 5-year
plan. For more information, See Annex VII on Synergies.
TREF Urgent Results Framework

Please note that only for Focus Area number 6 a five-year timeframe is applied. All other focus areas
adopt a 2-year timeframe. After the 1st year of the implementation of this results framework, targets
and indicators for Year 3 and 4 will be defined for all focus areas and the framework refined and
updated.
Area 1 – Access, Equity and Inclusion
46
Access, Equity and inclusion have been identified as a priority focus area. Ensuring both 1st and 2nd
shift students and teachers receive financial support & equitable treatment is a core policy objective
of the 5-year plan. The intended results from supporting access, equity and inclusion at MEHE are to
base support interventions on the principle of vulnerability for all children regardless of their
status/nationality.
Development Objectives
1.1 Outcome: Access for all students secured and Education equity established regardless of nationality
and status
1.2 Output: A. Enrolment fee subsidies (HR, PCF, SF payments) delivered to provide access, retention and transition in
public schools
1.3 Output: Unified MEHE management arrangement for all external funds to the public education system (both first
and second shift) established and gradually strengthened
1.4 Output: Policy on equity for all students designed and multi-year implementation plan (regulations etc.)
1.5 Output: Administrative guidelines and SOPS for 1st and 2nd shift developed and communicated with the education
community in a timely manner and without bottlenecks on attendance, exam participation, and transition to next SY
1.6 Implementation of Effective Teachers Standards including on SEN and Streamlining SEN screening tools and
processes at school level
Timeframe OUTCOME Indicators Baseline Target MOV
Year 1 & Year 2 A: % increase in public schools’ 78% TBD CERD statistical Bulletin
transition grade
SIMS Quarterly
B: % increase in attendance rate in TBD in Yr 1 % Increase Attendance Reports
public schools (for Lebanese and non- based on a from & TP Monitoring
Lebanese) realistic
forecast/
targets
MEHE internal
C: Policy and costed plan formulated NA Yes circular/decision
and consulted upon with internal and
external actors
School records & SIMS
D: % points increase in transitioning NA 10% reports on 2nd shift
nd
rate for 2 shift students
E: Annual School Plan & Guidelines NA Roll-out before Endorsed Plan by

established and rolled-out to all the beginning MEHE- published on
beneficiaries of the SY MEHE website
F: % increase in highly qualified TBD in Yr 1 % Increase Annual teachers’

teachers performance
evaluation-CERD
G: % of SEN students screened and % TBD in Yr 1 % of screened SEN summary reporting

enrolled in public schools SEN students published on MEHE &
that are CERD websites
enrolled
Area 2 – Policy Cycle Development & Partnership Governance
47
Designing and activating a policy development cycle for the 5-year plan, the main reference
document for TREF, and the implementation of TREF Governance Pillars have been identified as a
priority focus area. Key functions of the Policy Development Cycle are joint and consolidated Planning
and Budgeting as well as Monitoring and Evaluation, to arrive at an Annual Action Plan and Resource-
Based Budget agreed upon between MEHE and international partners.
The intended results from supporting policy development at the MEHE are to have relevant
functions, especially Planning and Budgeting as well as Monitoring and Evaluation, designed and
institutionalized.
Outcome 2.1: Steps in policy cycle management, including partnership governance, and key functions (M&E and
Planning) are institutionalized and practiced by professional staff and education reform policies agreed upon
Output 2.2: TREF Governance Pillars (Strategic Management Board, Third Party, IST etc.) implemented according to
the MoU & Operational Handbook
Output 2.3: Joint Task Forces and MEHE-only Task Forces established to manage the 2nd shift, NFE, and undertake
urgent system-wide rapid reforms (data etc.)
Output 2.4 New M&E function supported/activated in line with TREF reporting requirements
Output 2.5 New Annual Planning and Budgeting function supported
Output 2.6: New bottom-up costing methodology based on actual costing figures developed to phase out the unit
cost model for budgeting purposes.
Output 2.7: Education reform policies directly linked to the 3 Pillars of the 5-Year Plan are prioritized, designed,
sequenced, and delivered
Output 2.8: School Level Financial Reporting to account for PCF and SF contributions
Deliverables Indicators Baseline Target MOV
Year 1 A: TREF Governance Minutes of Programmatic Consolidated Function
&2 & M&E function Meeting SMB & Reporting Sector Reports institutionalized by
activated M &E reports Ministerial Decision
available
Delayed Timely Function
B: Planning and endorsement of consolidation / institutionalized by
Budgeting function AWP & Budget AWP and endorsement at Ministerial Decision
activated consolidated Budget beginning of the and AWP & Budget
SY signed before the end
of the fiscal Yr. and
published on MEHE
website
NA Min 2 Papers Papers published on

C: Policy Papers & MEHE 7 CERD
status report # of white papers websites
produced
internally by MEHE
NA Three High level Dashboard

D: Dashboard # of Key Data and Layers that developed and used
info Layers support by DGE and Minister
evidence-based for decision making
decision making
NA Level 3 i.e., Measurement

E: Engaged Knowledge instrument such as
stakeholders Level attained on the CPMA change
ADKAR change management scale
48
management
model
Area 3 – Strategic Communication

Linked to having a proper policy cycle development system, strengthening internal and external
communication has been identified as a priority focus area.
The intended result from supporting communication at the MEHE are to have a professional and
impactful communication function institutionalized.
3.1 Outcome: Impactful Communication function institutionalized & Positive perception and
behavioural change mobilized and sustained
3.2 output: TREF principles, requirements and system shifts clearly and consistently communicated to and role
modelled for all operational and recipient stakeholders
3.3 output: Communication function adequately resourced and performed in timely manner

Year 1 A: TREF principles Internal: % of MEHE NA >90% MEHE survey
&2 and 5YP system shifts staff with adequate carried out by
communicated to all knowledge of the 5 M&E function
stakeholders Year Plan
(internal & external)
B: Communication Function NA Endorsed Ministerial

function adequately institutionalized by Annual decision
resourced Ministerial Decision Communication
Plan and MEHE Com
C: Support the strategy Strategy executed
Implementation
parental % Increase of NA 50% Reports on SIP and
communication schools with parents analytics reports
programmes to participating in on reach and
promote enrolment communication & engagement
of all children, outreach programs
regardless of age,
gender, or special
needs
D: Positive % Increase in positive NA 50% Perception Audit &
perception and perception communication
behavioural change analytics reports
actions
Area 4 – Knowledge management
49
Knowledge management has been identified as a priority focus area because quality knowledge
and information guide educational planning and the management of various processes
(performance management) and resources (physical, human, financial). This also requires
good collaboration with stakeholders. The intended results from supporting knowledge
management at the MEHE are to have a research and knowledge management function
institutionalized within MEHE.
4.1 Outcome: Research and knowledge management function institutionalized within MEHE & Policies and Plans
systematically informed by well-founded Knowledge Products and Research
4.2 Output: Knowledge & content management tool established and applied
4.3 Output: Civil servant staff assigned to perform new function
Year 1 A: Knowledge & % of educational and NA 50% of resources # of users accessing
&2 content mgmt. tool resource data are available at the Content
provided available and of good the start of management tool
quality for planning school year
B: Civil servant staff # of educational NA 2 research papers MEHE & CERD

assigned to perform research published published at website
new function by MEHE minimum
Area 5 – Data Governance and Quality

Data integration management has been identified as a priority focus area to elevate and scale up the
standards of availability, transparency and accountability and provide higher quality and timely data
for financial, programmatic, and reporting purposes.
5.1 Outcome: System wide data governance & quality management institutionalized to support data-
informed evidence-based policies and plans
5.2 Output: TREF data requirements translated into SOPs, system changes, and Technical Assistance-TA
assigned to perform SOPs at school and regional education Offices
5.3 Output: Revised IT Audit and ICT improvement Plan including the transition from SIMS into a unified
EMIS serving all students and (1st and 2nd shift) designed and implemented
5.4 Output: Measurement guidelines and tools for data quality policies, procedures and guidelines for
data access, security, sharing and publishing
Year 1 A: Transition Plan EMIS architecture None SIMS integrated Modules for
&2 from SIMS into an and Business into an EMIS Attendance DMS,
EMIS processes designed with basic FMS, 2nd Shift, and
functions, Teachers are
# of new modules architecture operational at
developed and and business schools and
activated processes centralized levels
% of civil servants Ministerial

B: Transition Plan qualified and 1 >5 decision
from project-based IT executing key ICT
function to full- functions
fledged
50
institutionalized IT
department Policies developed Annual IT Audit
and endorsed as per NA 50 % information
C: Revised IT Audit recommendations technology
infrastructure,
Measurement policies and
guidelines and tools No Yes operations) and/or
D: Policies, for data quality M&E reports
procedures and
guidelines for data
access, security,
sharing and
publishing.
Area 6– Transition of Responsibilities from Consultants & Third Party to MEHE public servants
Transition performance management has been identified as a priority focus area. The intended results
from supporting transition performance management at the MEHE are to gradually build up key
functions within MEHE that will be led by civil servants and no longer by externally financed
consultants. The new TREF feature of the Implementation Support Team (IST) will play a crucial role
to support the DGE in managing the transition phase through supporting organizational development,
including function analysis, and capacity development through on-the-job coaching and management
shadowing.
6.1 Outcome: Key Functions led by MEHE selected civil servants; advisory role for IST key staff after 2-3 years
AND fiduciary functions transitioned from Third Party to External Fund Management Unit.
6.2 Output: TREF Joint MEHE-Donor Policy Dialogue and Coordination Structure set up.
6.3 Output: Functional Analysis to determine Key Results Area-KRA for delivery (tasks knowledge, skills and
abilities Review and update of Capacity Needs Assessment- CNA).
6.4 Output: Framework for streamlining and harmonizing planning, M&E and Financial reporting for the
different external funds’ programs and projects.
6.5 Output: Operational Manual for Developing Annual Plans and Budgets.
6.6 Output: Framework designed for streamlining and harmonizing planning, M&E and Financial reporting
for the different external fund’s programs and projects
6.7 Output Transfer of 2nd shift management, field coordination and monitoring to REOs and Directorate
of Primary of the official ministry system formalized and operationalized
6.8 Output Capacity built for External Fund Management function to gradually assume role of Third Party
after 2-3 years
A: TREF Joint MEHE- # of performance 0 Semi-annual Strategic
Donor Policy reports submitted to Review Reports Management Board
Dialogue and SMB Minutes
Coordination
Structure
B: Function Analysis % of updated 25% 95% MEHE Function

to determine Key functions and KRA Analysis Report
Results Area-KRA for identified
delivery (tasks
knowledge, skills and
abilities)
51
C: Review and # of reviews and CNA 2019 CNA 2022 Endorsed updated
update of Capacity adjusted CNA document
Needs Assessment- functions/jobs
CNA
D: Operational OM with annual NA OM drafted and MEHE endorsed OM

Manual for reviews endorsed and annual reviews
Developing Annual
Plans and Budgets
E: Framework for % of key donors Multiple 50% of Key Endorsed reports

streamlining and adopting unified Reporting partners published on MEHE
harmonizing reports formats and adopting website
planning, M&E and # of successful frameworks Unified Reports
Financial reporting training conducted to
for the different selected MEHE staff
external funds’ and ICT tools
programs and developed to support MEHE & Counterparts
projects policy development
cycle (planning,
budgeting, M&E)
F: Transfer of 2nd % Decrease in the Unified

shift field number of different Reporting
coordination and reports
monitoring to REOs
through ministerial
decision
G: Capacity % Point increase in 10% 90% RACI Matrix reporting

Development of Civil the share of civil for Planning,
Servants servants in Progress, M&E
Program/Project fiduciary tasks carried
management key out by Civil Servants
tasks
Legal framework No Yes Official Gazette

towards supporting
legacy and
institutional memory
within MEHE
52
ANNEX III
Policy Cycle & Dialogue System
TO BE ADDED AFTER FORMATION OF THE SMB and Decisions Made on Annex
53
ANNEX IV
Schedule of Consultation, monitoring and reporting
54
Responsible Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec
A Consultations
1 AWPB plan and MEHE JOINT First Round Second Annual

review meetings Annual Joint Round Work Plan
Sector Planning Joint and Budget
Review Planning (AWPB)
(ASR) (High (Draft meeting
meeting Priorities Budget)
set)
2 Strategic IST supports 1st Thu 1st Thu 1st 1st Thu 1st Thu 1st Thu 1st Thu 1st Thu 1st Thu 1st Thu 1st Thu 1st Thu
Management DGE and Thu
Board Chief of
Education
UNICEF to
prepare
3 Joint TASK Forces Assigned

MEHE-
Agency Co-
leads, IST
B Reporting
1 Annual Work Plan MEHE Draft Final AWPB

and Budget AWPB including
procurement plan
2 Disbursement UNICEF Indicative Secured Disbursement

schedule UNICEF commitmen commitmen schedule from JFPs
Forex Account ts ts
55
Responsible Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec
3 Cash UNICEF 4th=annual 1st quarter 2nd quarter 3rd

reconciliation report report report quarter
Forex account report
4 Quarterly Third Party QFR QFR QFR QFR

Financial Reports
5 Updated MEHE Annual

procurement plan Report
6 Annual Narrative MEHE Annua

Progress Report l
Repor
t
7 Annual TREF Annual

Progress Report Perform
ance
report
8 M&E Report on MEHE Semi- Annual M&E report

outcomes Annual
M&E annual
report
9 Annual External External Audit

Audit report Audit Firm report
10 Quarterly IST QPR QPR QPR QPR

Performance
report
56
Annual Work plan and Budget (AWPB) meeting: A meeting to review draft work plan and budget for TREF Priority Outputs
and Programs for General Education. Separate session with Contributing Partners will be held as basis for final decision on
next year commitments. The MEHE budget process starts by formulation of next year budget following an internal MEHE
consultation. A first draft budget is submitted by MEHE to the Strategic Management Board usually by end of September.
Subsequent consultations are then made between the members of the Strategic Management Board and MEHE program
managers before the final budget is submitted to UNICEF and CPs.
Joint Annual Sector Review (JASR) meeting: A meeting to review TREF performance with all Contributing Partners. This ASR
can be linked to the sector-wide ASR with all stakeholders if held by MEHE. Separate closed session of the SMB will be held
related to compliance with the Operational Handbook of TREF.
Disbursement schedule to UNICEF Forex Account: Schedule of Joint Financing Partner disbursement presented with
presentation of each Joint Financing Partner planned disbursement to the Forex Account.
Annual Work plan and Budget: Presentation by IST of program objective, targets and outputs and link to the TREF Results
Framework with a work-plan showing planned annual target for each output.
Cash Reconciliation Forex Account: Statement showing inflows to UNICEF Forex Account from Contributing Partners and
outflows to Financial Service Providers for budget releases supported by copies of bank statements.
ESP Financial statement by cost item and ESP activity: Statements of ESP expenditure by ESP output.
Updated Procurement Plan: Procurement Plan and progress report from MEHE showing details of planned procurements
and actual execution.
Narrative Progress Report: Report on progress in implementation of priority outputs and programs and delivering them as
per work plan and statement of expenditure.
Annual M&E Report: Report on outcomes as measured by TREF Urgent Results Framework and programmatic goals
Annual External Audit Report: Annual report from financial and compliance audit of TREF mechanism by external auditors
Joint Tech. Review Report: Report from joint technical reviews conducted by external review team from analysis of specific
themes/issues decided upon in AWPB or JASR meeting
57
ANNEX V
Flowchart of TREF Funds
58
59
ANNEX VI
Annual Work Plan and Budget (Priority Outputs)
added annually
60
ANNEX VII
TREF Synergies with Other Aid Modalities in Support of the 5-Year Plan
61
TREF Synergies with Other Aid Modalities in Support of the 5-Year Plan
The 5 Year Plan has put forth the foundations to create a stronger strategic framework for synergies
among the different Key education actors and among different instruments and external funds
available for the education sector. Synergies shall optimize the resources made available to support
MEHE’s 5- Year Plan. Facilitated by MEHE, synergies could help harnessing the benefits of alignment
of policies and programmatic objectives, and alignment of funding modalities and implementation
approaches.
The goal of strengthening synergies is aid effectiveness through optimization of processes and flow
of information at the strategic and operational levels and via creating financial economy & reduction
in expenses, which will ultimately contribute to (a) more shared responsibility, (b) shared risk
management, and (c) jointly focused interventions for the benefits of children, teachers and the
education community, and (d) government ownership and stewardship for the education reforms and
externally funded interventions.
Funding synergies should not only to support priorities set out in emergency responses but also
optimize the support to the education sector development objectives and reforms. A joint and
robust management system to reduce political and fiduciary risks to key education partners
increases accountability and transparency of resource allocation. Maximizing synergies between the
TREF and other aid modalities/financing instrument supporting MEHE 5 Year Plan is paramount to
improve efficiencies, i.e.: reduce the timing and efforts of the preparation of policies, strategies
and the drafting the 5 Year Plan implementation plans and arriving at a multiyear financing
scheme to increase aid predictability in support of the 5 Year Plan.
This section identifies the main areas of synergies that are advanced by TREF through a two phased
approach. The first phase of the synergy building focuses on alignment and complementarity in
planning and budgeting to avoid overlaps and duplication and/or double financing. The second phase
shall work towards fully coordinated efforts in the design, planning and implementation of education
programs under the 5 Year Plan.
The aid modalities and financing instruments relevant for possible synergies are S2R2 (WB), TREF
(UNICEF), ECW, etc.
More specifically the TREF shall support MEHE in advancing the following synergies:
1. Funding Synergies: among different instruments and external funds available for the
education sector; this shall optimize the resources made available to support MEHE’s 5 Year
Plan.
2. Governance Synergies: Coordination frameworks and harmonization of management
arrangements and reporting
3. Programmatic synergies and implementation approaches
Part of the TREF strategic review is to assess the performance synergies to elicit what went right and
what went wrong, draw lessons and adjust accordingly.
1. Programmatic synergies and Coordinated implementation approaches
62
TREF would work towards a long-term goal i.e., shifting from disparate programming by
different aid modalities to a higher degree of interrelatedness. This shift requires education
partners and MEHE working jointly in the design, coordinated planning and implementation
of education initiatives under the 5-Year plan for General Education, resulting in higher return
on investment for learning outcomes and education reforms.
Recommended Actions:
▪ Developing a common language, raising the level awareness and improving the
efficiency of sharing information are the pre-requisites for
▪ Creating feedback loops, progress updates and the active engagement and
participation of internal and external stakeholders through an institutionalized
participation in the Policy Cycle of MEHE.
Output Indicator:
• Joint Coordination
• Consolidated Annual Work Plans-AWPs
• Reduction in Administrative and implementation cost
Challenges:
Competing interests and differences among education actors and their respective Agenda.
Underfunding
2. Funding Synergies: By combining resources and consolidating the different interventions and
activities MEHE and key partners could realize more efficiencies such as reduced costs of
producing outcomes (when such outcomes achieved separately exceed the costs of a
collaborative intervention) or decreased reporting load of financial transactions.
Recommended Action:
This could start through with key education actors designing with MEHE joint frameworks
that supports the strategic priorities of the 5 Year Plan; this will have direct implications for a
better allocation of funding sources made by key donors to each priority and programs
Output Indicator:
a. Aligned funding among Key education actors

b. Strategic Management Board to include extended sector review
c. Secured multi-year funding and sustainability
d. Resource based annual plan and budget
e. Directly Managed funds by MEHE
3. Governance: Coordination frameworks and harmonization of internal and joint

management arrangements and reporting
63
Coordination is a process by which donors share information about or identify their

respective resources, goals, processes and timelines to each other in order to reduce
duplication and increase complementarity (Ref EU, Directorate General for Internal Policies).
This should translate into a unified reporting system (M&E, financial…) at least among key
partners in the education Sector, namely, the World Bank, EU, ECW, USAID, KFW, UNICEF,
UNESCO. This will increase the efficiency of allocated resources
Funding Synergies shall stress the delineation of policy Cycle management and
implementation structures, the identification of tasks and responsibilities to avoid overlaps,
duplication and/or double financing. This shall also mitigate those ad-hoc interventions put
forth by external actors usually in response to an emerging situation, where outcomes and
impacts of results are difficult to measure when executed “in Silo”.
How to:
The TREF is supporting the establishment of a unified Technical Assistance at MEHE General
Directorate of Education
Unification and simplification of processes in alignment with international standards and

best practices (M&E, financial, procurement, …)
Output Indicator:
Unified approach and complementarity among the different technical assistance
Unified management arrangements within MEHE for managing external funds to the public
education system
Joint Audit, financial and progress reporting
64
Types of Synergies Components for Synergies Quick wins 1st year TREF
Governance Planning and Budgeting Process Joint Planning Meeting to kick
Program off the Annual Policy Cycle
Funding
Financing needs and gaps
identified via unified costing
methodology
Implementation of System-Wide Joint Checklist on

Interventions Implementation Bottlenecks
(school funds, withdrawal
limits, exchange rate, …)
Technical Assistance
Shared Risk Mitigation

Framework
Risk Management
Shared TA strategy/resources
M&E for the functions
Audit ONE unified annual external

audit report?
IVA
Linking results of one IVA
process with other verification
processes
Sector Reviews Joint Sector Review Meeting
Data & Information Shared TA strategy/resources

for the function
Research Shared outputs
Communication Shared TA strategy/resources

for the function
Reports Unified narrative progress,

M&E, and financial reports
65
CONFIDENTIAL DOCUMENT -NOT FOR CIRCULATION
ANNEX VIII
Terms of Reference for IST

Implementation Support Team
1. Background and Purpose
The Operational Handbook11 of the Transition and Resilience Education Fund (TREF) provides
the architecture of the institutional and implementation arrangements for how external funds
are channelled and managed to support the implementation of Lebanon’s new Education
Sector Plan for 2021-2025 of the Ministry of Education and Higher Education (MEHE). A new
feature of the envisioned governance provides a flexible and agile set-up in the form of an
Implementation Support Team (IST). The IST is a form of Technical Assistance financed by
TREF/UNICEF managed funds with the purpose to
(a) Support MEHE in meeting the implementation requirements of the TREF modality
(b) Support and accelerate implementation of the TREF program aligned with the ESP 2021-
2025
(c) Strengthen MEHE educational expertise and educational leadership capacity, including in
time of crisis that require short-term interventions
Given the current deepening socio-economic crisis in Lebanon with severe impacts on the
operations of the education system in the country, the establishment of the IST may precede
the formal finalization of the TREF Aid Modality, which is planned to be finalized by the end
of this year.
The IST acts as an implementation catalyst and coach to MEHE staff at the central and district
level to strengthen implementation management skills and accelerate the implementation
of the planned and budgeted outputs of the TREF program requirements linked to the ESP
2021-2025 as defined in the Annual Work Plans and Budgets (AWPB). Second, IST supports
specific coordination tasks, especially in the field of Technical Assistance and cross-
departmental work, to ensure a higher level of synergy and alignment. The IST will swiftly
mobilize technical assistance if requested from any unit within MEHE.
An important function IST plays is to reinforce horizontal linkages between Planning,
Budgeting, Financial Management, Procurement, M&E, Reporting, and (Program) Service-
Delivery Departments. These functions are performed by MEHE’s Technical Team (i.e. civil
servant staff when possible). As part of this function, IST will guarantee that Technical
Assistance is responding to MEHE’s HR Development and Capacity Building Plan (partially
based on OPM’s Capacity Needs Assessment) that highlights clear gaps and needs across the
central and district levels of the ministry. The IST is in charge to coordinate and ensure
interconnectivity and regular exchange between all Technical Assistance that is provided
across MEHE. Given the intended gradual shift from predominantly investing in quantity (i.e.,
number of students) to a targeted focus on quality through education reforms, reinforcing
open exchange and joint learning is essential in this regard.
11
This Operational Handbook is currently being developed in close coordination with MEHE and Key Funding
Partnes of UNICEF.
The IST has no decision-making authority on government issues and does not constitute a
separate formal unit of the MEHE organizational structure. The IST is embedded within key
MEHE functions that report to the DG. The IST is a team of highly qualified coaches that
support MEHE in building implementation management capacity and responds to pre-
defined MEHE needs. The main counterpart of the IST are the Program Managers (Directors)
heading the main MEHE programs (primary, secondary, etc.) as well as the Directors leading
Reforms of High Priority (for example Teacher Training, Curriculum Reform etc.). MEHE
decides every year on the Reforms of High Priority.
The IST ensures the implementation of the requirements of the TREF Funding modality in
close cooperation with the MEHE. The anticipated impact of IST’s presence is rapid on-the-
job skill development in implementation management and a gradual closing of the gap
between what is planned and budgeted and what is implemented. Close coordination with
the S2R2 program is required.
2. Tasks & Responsibilities
Tasks and responsibilities of the IST are directly related to the assumption that an improved
central and district governance produces better learning outcomes in schools.
Thus, the Implementation Support Team (IST) will be established to strengthen staff capacity
and accelerate implementation and budget execution across all programs. The specific
Terms of Reference (ToR) and the time-bound nature for the IST will be jointly decided upon
and updated annually by the Management Team of the TREF. The operations of the IST will
be financed by the TREF funding contributions, and the performance of the IST will be
monitored and reviewed jointly on a regular basis. Relevant stakeholders of the wider sector
governance directly involved in the implementation of the ESP may also be invited for the
review of the IST.
As one of the institutional pillars of the new governance proposed by the TREF modality, the
IST will adapt to reality and be focused on Crisis Management Support as well as Reform,
Implementation Support and Institution Building as needed.
Furthermore, the IST
▪ will assume delegated coordination tasks from MEHE and UNICEF in addition to its primary
mandate of acting as an implementation catalyst, coaching MEHE staff to effectively manage
the planning, financial, procurement, and reporting requirements.
▪ will work closely with CERD, DOPS, and the Sector Program Managers on key policies and
programming, including planning of joint initiatives and events.
▪ will ensure that all TA interventions funded Joint Financing Partners and other connected
third parties (such as WB) are embedded within an interconnected network of information
sharing and feedback cycle and will meet regularly with relevant MEHE staff to strengthen
cross-boundary and cross-departmental Management.
▪ will be financed through TREF funds as a form of TA and budgeted accordingly in the Annual
Plan and Budget.
Thus, based on the above, the general tasks of the IST can be defined as follows:
I. TREF requirements and Support to MEHE Key Policy Cycle Management Functions to
implement 5-Year Plan
II. Support Program Managers and other relevant staff in managing the implementation of
budgeted outputs in the AWPB 2021-2022 (extracted from the Five-Year Plan) through on-
the-job coaching
III. Prepare technical assistance to initiate and lead pieces of work with all relevant departments,
including the design of tools and instruments. This requires close coordination efforts with
S2R2.
IV. Support in designing and implementing educational and governance Reforms of High Priority,
including institution development and capacity building interventions
V. Ensure Networked Technical Assistance (i.e., exchange between all relevant technical
experts) across MEHE in close consultation with the DG
VI. Provide targeted support to decentralized levels of MEHE
VII. Coordinate with the Specialized Management Agency to meet the provisions of the Financing
Agreement with regards to financial management, procurement, and financial reporting.
The intended outcome of the engagement of the IST is a gradual build-up of capacity of MEHE
staff in key education sector management functions with a particular emphasis on timely
and efficient implementation of the Annual Work Plan and Budget and strengthened
accountability and transparency performance. The below figure summarizes the 6 general
focus areas of the IST.
ToR Third Party Risk Management Firm Transition and Resilience Education Fund-TREF
3. Team Set-Up and Structure
In terms of set-up and staffing, the IST is composed of a team of socially dynamic and agile
international and national consultants and coaches that perform on-the-job training in a
very applied manner. Based on needs and requirements, specific members with specific skill
sets and subject matter expertise (project management, financial management,
procurement, etc.) can be added after a joint agreement between UNICEF and MEHE.
A specific Terms of Reference is drafted in response to MEHE’s capacity development needs
(as defined in the Annual Human Resource Development Plan) for each year.
As to the structure, a senior team made up of a Team Leader qualified in executive coaching
and senior level consulting and 2 senior staff with strong public sector management and
service delivery background are envisioned. In addition, IST team members can be placed in
relevant departments according to the support and implementation needs.
Apart from the Team Leader, two senior members are well qualified in the area of data
management and data integration across various platforms and reporting as well as the
development and implementation arrangements of operational plans and budgets
extracted from the Five-Year Plan. Specific detailed TORs are developed closely with MEHE.
4. Modes of Collaboration
The IST will act as a key facilitator and catalyst between MEHE and UNICEF to ensure proper
implementation and management of TREF requirements. To do so, IST will liaise and
collaborate closely with the Senior Financial Officer and the Head of IT and SIMS development
as well as the key functions of planning, budgeting, M&E, and reporting. Also, IST will interact
regularly with the Specialized Management firm to ensure efficient cooperation with MEHE
on all financial matters and ensure third party monitoring is performed in a timely and
effective manner. Specific ToRs of the specialized management firm will make reference to
the role of the IST.
5. Reporting Arrangement and Regular Performance Review
To have sufficient authority and the ability to support various departments based on need,
the IST will report directly to the Director General providing daily support to Program
Managers and working closely with Finance, Planning, Procurement, and Construction areas
as coaches with a specific task list and a time-bound mandate. Special attention will be given
to the cross-cutting issues to ensure their full integration into programming and
implementation.
While on a strategic level the IST will report to the Director General, in operational and day-
to-day terms the IST reports directly to the Directorate/Organizational Unit requesting its
support.
71
To ensure proper and effective performance, the IST will be subject to a ‘Quarterly
Performance Review conducted as a part of the Quarterly TREF Performance Review held by
the Management Team (UNICEF, MEHE, Key Partners).
The regular IST performance review allows for mutual exchange about and course correction
of the engagement of the IST. Relevant counterparts that requested and benefitted from IST
support can be invited to the performance review meeting.
6. Qualifications
The senior team members of the IST need to have the following general background:
▪ Leadership and change management in public administration, especially education
▪ Designing and managing internationally financed joint aid modalities with annual
disbursements of up to 100 million USD
▪ Strengthening policy design, program development, and implementation management skills
of senior public sector staff
▪ Foster innovation and transparency via the use of data and digital applications
▪ Knowledge of decentralization processes and citizen-oriented service delivery
Education: Master’s degree in public administration/public affairs, political science, public

policy, law or a related area
Experience:
▪ Minimum 10-15 years of professional experience in institutional reform, 5 years of which is
spent as advisor to government preferably in countries undergoing significant reform, with a
particular focus on teacher development, curriculum reform and implementation, and 21 st
century skill building
▪ Extensive experience in initiating, developing and implementing reform programmes in the
public sector, preferably in the area of public service delivery and innovation in public
administration and public education
▪ In-depth knowledge of public administration organisation, leadership in the civil service and
human resource management, and building the capacity of national institutions and general
administrative framework
▪ Extensive experience as adviser to, or interlocutor with, ministers and senior civil servants,
and other key stakeholders, especially in the design and development of policies, as well as
implementation planning and budgeting
▪ Excellent coaching skills and relationship management skills in complex political environments
▪ Experience of Public Administration in Lebanon or a similar country context
Language: Excellent command of written and spoken English required; Arabic desirable
72
ANNEX IX
The Third-Party Terms of Reference
73
TERMS OF REFERENCE
Section: EDUCATION Date: 16 Aug 2022

Risk & Financial Management Support
Title:
for New Fund Modality, TREF, for the Duty
Lebanese Education Sector station: Beirut
Reporting Education Section Contract Institutional
to: type: Contract
Duration: 2 years Start date: July/August 2022
Section Content
Background According to the World Bank, the economic and financial crisis in Lebanon is among
the worst the world has seen. Moreover, the economic impact from Ukrainian
conflict is exacerbating Lebanon’s situation, particularly its imports of oil, and wheat
which is reliant on Russia and Ukraine. “The share of the Lebanese population under
the national poverty line is estimated to have risen by 9.1 percentage points by the
end of 2021. The real GDP is estimated to have declined by 10.5% in 2021, on the
back of a 21.4% contraction in 2020 as policymakers have still not agreed on a plan
to address the collapse of the country’s development model” (World Bank, 2022).
Monetary and financial turmoil continue to drive crisis conditions, under a multiple
exchange rate system. The sharp deterioration in the Lebanese lira continues to
persist, depreciating by 90 percent against the US$. This has resulted in the sharp
decline of household purchasing power and increasing poverty rates across
population groups. The 2021 Vulnerability Assessment of Syrian Refugees (VASyR)
found that 90 per cent of the Syrian households are living in extreme poverty. In
addition, around 36 per cent of Lebanese households are estimated to have fallen
below the extreme poverty line in 2021.
In addition, the economic crisis contributed to a gradual breakdown of public

services such as health care, water, hygiene and sanitation (WASH), and education,
further worsened by the fuel crisis, which began during the summer of 2021. It has
largely impacted the country’s electricity supply since, with critical consequences
for the health, water, transport, and telecommunication sectors. While the fuel
crisis eased toward the end of 2021, this situation has stretched public finances and
service delivery and exacerbated existing vulnerabilities, which will likely become
protracted as households struggle to satisfy basic needs as subsidies of staple foods,
commodities, and medical items are progressively removed.
74
Over 1.2 million school-aged children (enrolled in public, private, semi-private, and
UNRWA schools) were affected by COVID-19 related school closures mandated by
the Ministry of Education and Higher Education (MEHE) and the Ministry of Public
Health for the 2020/21 school year. An additional 50,000 children attending non-
formal education suffered disruptions. The 2021 Vulnerability Assessment of Syrian
Refugees in Lebanon found that only 11% of Syrian children aged 3 to 5 years and
53% of Syrian children aged 6 to 14 years were attending school. In the case of
primary education, this represents a drop of 14% compared to the previous year.
The most common reason reported for not attending school is cost and it is notable
that as age increases the rate in the frequency of children missing school for work
also increases.
The Beirut explosion of August 2020 had an impact on the infrastructure of schools
and learning centers. Results of the rapid needs assessment conducted with the
technical support of UNICEF and released by the MEHE indicate that 94 public, 132
private and 22 Technical and Vocational Education and Training (TVET) schools
sustained minor to significant damage, affecting more than 100,000 children, of
which around 40,000 children are in public schools.
The impact of the pandemic and economic crisis in Lebanon are likely to have long-
lasting impacts on household coping mechanisms, that in turn have an impact on
the family support provided to children. A survey released in 2021 by UNICEF,
entitled “Lebanon: Children’s future on the line” indicates a worsening of the
situation. Nine per cent of families residing in Lebanon sent their children to work,
15% stopped their children’s education and 60% had to buy food on credit or borrow
money. The situation is worse for Syrian households as 22% sent their child to work,
35% stopped their education and 100% had to buy food on credit or borrow money.
Lebanon is grappling with economic and financial meltdown, COVID-19, the
disastrous impact of the Beirut Port explosions and continued impact of the Syrian
crisis. In addition, political deadlock fuels popular protests and hampers meaningful
reform and recovery efforts. In this context, the situation of ordinary people in
Lebanon is worsening day by day.
Children across Lebanon are the worst hit. With no end in sight to the devastating
crisis, their health and safety are at risk and their very future is at stake. Across
Lebanon’s population, every group is affected, Lebanese, Syrians and Palestinians.
The compounding crises affect just about every aspect of children’s lives, including
education, nutrition and mental health. Eighty per cent of children in Lebanon are
75
worse off than they were at the beginning of 2020, according to the Child-Focused
Rapid Assessment (CFRA)12 conducted by UNICEF in April 2021.
Transition and Resilience Education Fund (TREF)
UNICEF and MEHE, with the financial support from KfW and EU, entered into an
agreement to set up and operationalize the new aid modality called Transition and
Resilience Education Fund (TREF). An MoU was signed on 20 th of May 2022. TREF is
established in two phases, with phase 1 focusing primarily on enrolment fee
subsidies (i.e., HR costs, funds to schools) for vulnerable children in primary
education and priority interventions and policy/program development support to
the Ministry of Education & Higher Education (MEHE) to address the deep education
crisis. Phase 2 will expand funding coverage across all pillars and priority programs
of the 5-year plan with additional funding to be mobilized. TREF acts as a
development catalyst for MEHE to manage the deep economic crisis through good
governance, improve on data quality and reporting, institute predictable quarterly
payments to teachers and schools with strong risk assurances, and strengthen joint
planning and programmatic decision making. TREF enables MEHE to provide higher
levels of accountability and transparency toward international donors than in the
past years.
The principles of the new aid modality call for a resilient and effective financial
management system with high standards of risk management and proper financial
reporting mechanisms in place. The estimate of the annual funding envelope for
TREF amounts to about 150 million USD/year. A third of this amount (up to 50
million USD per year) makes up payments to around 12,000-14,000 special contract
teachers (6.5 million USD per year) as well as School Fund (23.5 million USD per
year) and Parent Council Fund (20 million USD per year) accounts to about 1,200
schools. The TP will work closely with the relevant data & finance staff of MEHE
through a hybrid management set-up as depicted further below in Figure 1.
The role of the Third-Party firm will ensure (a) higher levels of predictability,
regularity, and speed of payments to beneficiaries, (b) transparent financial
reporting and file management, and (c) gradual capacity built for the external fund
management function at MEHE.
TREF includes a significant focus on applying assurance and risk management

mechanisms to improve transparency and accountability of programme
interventions, increase efficiency of payments and results. Specifically, key general
principles and objectives to improve assurances and risk management include:
12 https://www.unicef.org/lebanon/media/6541/file
76
o Implementing annually agreed upon priority programs and outputs in

the 5-year plan (which replaces the former RACE II as the program)
o Payments executed outside of government systems by UNICEF with
MEHE providing the accounting details and the payment requests for
these payments
o Assistance to build up of financial management capacities and functions
within MEHE to gradually transfer functions back to the government on
the basis of agreed upon performance benchmarks
o Implementation Support Team (IST) that supports official functions in
MEHE to implement TREF requirements and ensure a networked
technical assistance is provided by all agencies to support the
implementation of the 5-year plan
o Basic data and reporting requirements (quarterly attendance reports for
students and teachers etc.) as the pre-requisite for disbursement
o New Costing model (only for enrolment fees in primary education) that
is adjusted for inflation and currency exchange rate fluctuations to
protect the value of the USD contribution and provide MEHE with a
guaranteed minimum amount not vulnerable to market forces.
o Governance Structure that is inclusive of relevant stakeholders and
responds to implementation challenges without delay
The TREF offers two funding windows with various programs under each:
(I) Supporting and Upgrading Public Education System (through the Ministry
of Education)
(II) Supporting Out of School Children through the School-based Bridging
Program (Complementary Interventions through Non-Public Institutions)
The first funding window allocates funding to specific agreed upon program result
areas of the 5-year sector plan, for example student enrolment support subsidies,
supplies, and school rehabilitation and construction with regards to access goals,
as well as HR development, school support systems (supervisors and counsellors),
and digital teaching skills concerning quality goals.
The second funding window covers the portfolio of programs to offer
quality learning opportunities to out of school and out of learning children
through school-based bridging programs and other learning programs currently
being designed with the goal to reach as many children as possible to either attract
them into or back to education.
The precise set-up with two funding windows and the fund flow steps are described
in Annex I.
Purpose and The hybrid financial management set up between the company, MEHE, UNICEF, and
Objectives the IST for the first funding window is depicted as follows:
77
Figure 1: TREF Hybrid Financial Management Set-Up
While MEHE will prepare the program budgets and payment requests with all
accounting details, UNICEF will execute payments directly to beneficiaries through
existing and authorized mechanisms (i.e., OMT, banks). The TP will perform ex ante
and ex post due diligence and verification actions, issue quarterly financial reports
(which are reviewed by MEHE) and undertake financial reconciliation after the
annual payment cycle. Also, the TP will conduct capacity building activities for the
central, regional and school-level financial management function and more
specifically support schools in issuing regular school-level financial reports. The IST,
which reports to the DGE, will support MEHE staff in meeting TREF requirements
and translate them into internal MEHE procedures.
For the second funding window, the TP will work closely with the relevant UNICEF
team to enable relevant UNICEF staff to execute payments directly to beneficiaries
(i.e., around 400 private school accounts). The payment items consist of lump sum
to each school including enrolments, and support cost for operational and
administration. The final budget estimates for the second funding window will be
confirmed before the contract is issued for the selected bidder.
The key responsibility of the Third Party is to implement the relevant procedures of
the Operational Handbook13 of TREF in accordance with the UNICEF-MEHE
13
The Operational Handbook will be presented and shared during the pre-bid meeting phase.
78
Agreement and the Bilateral Agreements between UNICEF and the Contributing
Partners. The responsibilities apply to both TREF funding windows.
UNICEF will be responsible for oversight of the program and processing of payments
to beneficiaries in line with donor conditions while the company´s responsibility will
be to review and verify data in line with the details in this TOR and perform capacity
development interventions at central and school level (i.e., financial reporting)
UNICEF education section chief will be responsible for the overall management of
the program while the TP will be working directly under the supervision of the
education manager.
Scope of The Third Party (TP) risk & financial management firm will be responsible for
work performing pre- and post-due diligence steps, ensuring timely and high-quality
financial reporting, and building capacity for MEHE at central and school-level.
UNICEF seeks the services of a Third Party that performs a risk management and
due diligence function for the TREF aid modality
Stakeholder The Third Party will work closely with the Implementation Support Team, especially
s the Senior Finance Manager, UNICEF Education and Finance Team, and members of
the Education Support Team
Reference • TREF Operational Handbook & Annexes
List
• TREF Costing Model Updated March 2022
Deliverables
and
Tasks Deliverables Expected
Schedules
working time
1. Perform ex ante data Provide verified reports on 5 days per
verification steps, teacher and student month
especially the review and attendance data for Q 2, 3,
verification of MEHE and 4 to MEHE for preparing
student and teacher the payment request on the
attendance data extracted basis of the definitions and
exclusively from SIMS requirements of the
(School Information Operational Handbook.
Management System) and Interim Reports are
related modules (DMS, submitted on monthly basis
FMS etc.) and used by (which later are used for
MEHE for preparation of quarterly reports)
quarterly payment
requests for special
contract teachers, School
Funds and Parent Council
Funds before UNICEF
79
processes payment. It is
expected that all teacher
attendance is verified
before payments.
2. Review payment request Provide budget compliance 3 days per
from MEHE and clean up in report and verified and quarter
communication with MEHE cleaned payment data (after
and verifies in line with the MEHE submitted the official
TREF data requirements as payment request) to UNICEF
well as in line with the education specialist
information requirement of
UNICEF to process the
payment to teachers and
School and Parent Council
Funds.
3. Reach out to 10% of the Submit verification report on Initial 30 days
payees (i.e., special the receipt of cash to the of
contract teachers, other right payees with the right the contract
school-related amount
professionals, and School
Funds) to monitor if cash
was received in the right
amount to cross-check
Financial Service Provider
(FSP) report that is
reconciled with UNICEF
and monitor potential
discrepancies or fraud risk.
4. Support the improvement Submit interim reports to Initial 90 days
of the data entry and MEHE and UNICEF and of
collection system at MEHE quarterly reports to the SMB the contract
(especially at the school on interventions (accuracy
and regional level) to and completeness) and
ensure digital recording improvements made for
and reporting of student data entry and collection, at
and teacher attendance the school and regional level
data is done properly and as well as relevant
timely. Directorates on the basis of
recently developed SOPs for
data entry, collection, and
validation.
5. Develop unified and Submit developed and Initial 90 days
standardized templates MEHE-approved templates of
and support capacity the contract
development for the TREF
overall funding of Priority
Outputs of the 5-Year Plan
80
on the use of templates

reporting of the overall
program, including tracking
of actual versus planned
spend and, if required, at
programmatic level related
to KPIs and other metrics.
6. Support MEHE in review of Report to MEHE and UNICEF 5 days per
annual program budgets on the review of budgets 6 months
and workplans related to and workplans and identified
TREF funding of Priority inconsistencies and
Outputs of the 5-Year Plan inaccuracies
for consistency and
accuracy and identify key
activities and reporting
lines.
7. Support in forecasting Submit a report to MEHE on 5 days per

routines as well as any forecasting routines quarter
other ad hoc reporting implemented
required from time to time
if requested by MEHE
8. Support School Level • Provide school level Initial 90 days

Financial Reporting reporting templates of
through templates, for expenditure the contract
recommended procedures, planning as well as
and rapid capacity building school level financial
interventions at the expenditure
schools and REOs levels. • Support training on
These interventions include the templates and
the provision of templates the newly designed
for school expenditure financial
planning as well as school- management module
level financial reporting. for school level
Close cooperation with the financial
ministry´s ICT team and management
External Fund
Management unit with
regards to the newly
designed financial
management module
added to the School
Information Management
System is required
81
9. Work with technical and • Provide a written Initial 90 days

financial personnel of procedure for requesting of
MEHE and UNICEF to and making payments the contract
establish a set of and
procedures for requesting • Write and provide
and making payments to detailed financial
payees and for gathering procedures manual for
and submitting accounting the 1st and 2nd window of
documentation. Designing TREF
a detailed Financial
Procedures Manual for the
first and second funding
window of TREF is part of
this responsibility.
10. Ensure all internal financial Provide a report to the 5 days per
controls as pertains to the SMB on the effective quarter
program are operating functioning of the internal
effectively and efficiently. control system
Provide specific support in
the preparation and
implementation of an
overall procurement plan
for the program.
11. Support preparatory work a) Submit Yearly 5 days annually

on procurement (lists, Procurement plan with
technical specs, technical specifications
distribution plans, end user and distribution plan
monitoring etc.) in close b) Report on result of end
collaboration with MEHE´s user monitoring is 5 days per
procurement team delivered. month
12. Coordinate semi-annual Report on semi-annual 5 days per

procurement schedules procurement schedules quarter
against the work plans and against work plan and
budgets that are budget disaggregated by
disaggregated by category category and procurement
and procurement process process
13. Set up and/or improve a) Improved Usage of Initial 90 days
master data management internal Management of
system in close Information System at the contract
coordination with MEHE, UNICEF to record
UNICEF and other UNICEF accounting details for
beneficiaries and ensure payees and progress
accounting information for report on 3 days per
all eligible beneficiaries are customization and quarter
updated on a regular basis.
82
This will include ensuring usage shared with

all documents required MEHE
under due diligence and
know your client (KYC) b) Provide regularly
process are obtained and updated data to MEHE
securely filed for reference and UNICEF with
when making payments. validated bank
• Validate bank information information and
for beneficiaries provided appropriate supporting
by MEHE through verbal documents for
and formal direct payments in line with
confirmations from the agreed processes and
banks and beneficiaries. procedures
• Ensure that the payment
processes align to
UNICEF´s internal control
processes and procedures
and that the controls are
operating effectively to
maintain a solid control
environment
• Ensure payments are
made within the agreed
contract terms between
UNICEF and the TP
contract.
• Ensure request for
payments are adequately
supported in accordance
with agreed processes
and procedures
14. Undertake reconciliation of Report to UNICEF on 5 days per
the payments and other reconciled payment data quarter
bank activities as required with expenditure detail and
by UNICEF in compliance bank statement
with UNICEF and /or the
local applicable regulatory
requirements
15. Track and report the use of a) Report to the SMB on 5 days quarter
funds by schools, especially use of funds by schools
for School Funds and against approved budget
Parent Council Funds, and disbursement
against approved budgets schedule
and disbursement b) Reconciliation report to
schedules. Reconcile actual the SMB on actual
83
spending vs. supporting spending vs supporting

documentation provided. documents
16. Prepare and submit a) Submit Quarterly financial 5 days per

quarterly financial reports report to the Strategic quarter
(for payments to special Management Board after
contract teachers, School first submitting to MEHE and
Funds, and Parent Council UNICEF for review
Funds and other
expenditures under TREF) b) Review report for MEHE
to support the monitoring and UNICEF if MEHE´s SAGE
of the utilisation of the software can be customized
funds and rolled out to the school
level
17. The TP will undertake a) Submit monthly Reports 5 days per
monthly visits to schools to MEHE and UNICEF on month
(on a sample basis) and the physical verification
draft reports to share with of delivered outcomes;
UNICEF, MEHE, and, if confirmation of the
approved by MEHE, other fund receipts;
UNICEF program certification of school
counterparts attendance figures
• The specific component
tasks can include physical b) Submit report to MEHE
verification of delivered and UNICEF on receipt
outcomes; confirmation of of amount as per
the fund receipts; eligibility and agreed
certification of the student criteria
attendance figures
submitted by MEHE on a c) Submit report to MEHE
quarterly basis and UNICEF on
• Determining whether deviations identified
sampled Emergency Cash
Transfer (ECT) beneficiaries
are receiving the amount
as per their eligibility and
agreed criteria
• Reviewing a sample of
areas identified as outliers
to better understand
reasons for their
occurrence
18. Support External Fund Detailed capacity Initial 90 days
Management Unit at MEHE development plan and of
as well as regional offices report on the capacity the contract
and schools in building up developments undertaken
84
capacities to be able to
gradually assume more Reports submitted to MEHE
fund management and
disbursement
responsibilities. A detailed
capacity building plan for 2
years is to be developed in
close coordination with
MEHE during the first 3
months of engagement.
19. While UNICEF manages FSP Submit program monitoring 5 days per
contracts and and verification report to the quarter
reconciliations, the TP will SMB
support verification of
payments, KPIs,
monitoring, and reporting,
including financial
reporting for school
accounts, and program
monitoring and verification
20. Contribute to MEHE´s If required by MEHE, provide 10 days
effort in moving toward a advisory inputs to the
more harmonized data process of unifying data
verification and validation validation requirements
system that can serve all
external aid programs and
requirements supporting
MEHE as defined during
the inception phase
*** Materials under this assignment are the property of UNICEF.

***UNICEF needs to approve deliverables prior to moving to a next phase).
Timing The timeframe for the services will be for a period of 2 years starting in
July/August 2022 based on a performance review by UNICEF and MEHE. The TOR
will be reviewed regularly by the SMB and, if needed, amendments are made.
Performan The Contractor will report directly to UNICEF education manager who will
ce share all reports directly with the DGE at MEHE. The following reports are
Reporting essential for measuring performance of the Contractor
Requireme
nts • Quarterly performance reports are submitted to the SMB
• Monthly reports to DGE on Capacity Development components and
support to MEHE Financial Management Concrete improvements to
school-level financial management practices are consulted closely with
the DGE
85
A technical and financial proposal should be resubmitted by the Supplier. The

technical and financial proposals should be submitted in separate envelopes. No
financial information should be included in the technical proposal.
Below is a list of items that should be submitted in the separate technical and
financial proposals.
Technical Proposal should include the following:
• Company Profile & registration documents
• List of previous similar project undertaken
• Minimum 3 reference from previous clients (UN agency or other
international organisations if available)
• Samples of previous mobile application developed.
• Workplan for implementation of the contract
• Methodology
• Team Composition
• CVs of all proposed team members
Financial Proposal should include all costs associated with implementation of the
TOR, including:
Bidders are expected to submit a lump sum financial proposal to complete the
entire contract based on the terms of reference. The lump sum however be
broken down to show the above detail.
a) Resource Costs: Daily rate multiplied by number of days
b) Content development: Include all operational costs
c) Testing and delivery
UNICEF does not provide transport, accommodation, insurance or other logistical
support for the Suppliers’ staff and all costs should be included in the lump sum
financial proposal.
These lines of communication and liaison will remain open for regular contact
throughout the assignment, and staff will remain available to assist and participate
in the assignment as necessary or appropriate. Ultimately however, the institution
is expected to have the self-sufficiency to work independently in Lebanon.
Profile The institution consists of a team of full-time individuals who will be coordinating
Requireme directly with the Education Team at UNICEF LCO. The applicants should have a
nts combination of both experience and technical knowledge.
The company is an internationally reputable financial & risk management firm.
The main qualification requirements are as follows:
• Bidders must have a proven track record of having performed similar roles
in the context of a large-scale aid modality in the development context.
• Bidders must be duly registered in line with the Lebanese regulation and
having required technically qualified personnel on board who can fulfil the
requirements and conditions of the agreement Bidders must be an
accredited financial institution in Lebanon for either banking, microfinance,
86
remittance, or other relevant services as authorized by the Government of

Lebanon
• Bidders must have appropriate data protection policies in place or be able
to implement data protection policies, including:
▪ Encryption of any database providing details of beneficiaries.
▪ The policy of processing and management of personal or project data.
▪ A clear retention period for programme or beneficiary data records
• Bidders must detail these security and data protection processes to be
followed during the execution of their duties.
• Bidders should maintain proper records and documentation of funds
received and disbursed under this Contract. Bidders should produce all
records to UNICEF as and when requested.
• Bidders must describe their customer services systems and procedures for
both UNICEF and beneficiaries, including Hotlines and service desks.
• Bidders must clearly describe the reporting process.
• Bidders must provide access to data platform they are using to UNICEF to
monitor real time data
• Bidders must sign a Non-Disclosure Agreement detailing the permitted
purposes to use personal data shared by UNICEF.
• Bidders must describe their COVID prevention measures at sites and during
field visits
Languages:
Mastering Arabic and English reading, writing, and speaking.
Evaluation Technical Evaluation Criteria:

Process • Service Providers are encouraged to ensure they meet the below requested
and evaluation and qualification criteria.
Method • Technical evaluation is composed of 70 points.
• Minimum successful score for the technical evaluation is 49 points.
Evaluation criteria
Criteria Marks Benchmarks Comments
Overall Response (10 points): 10 • Briefly outline the proposed
methodology for the
• Understanding of, and assignment including a specific
responsiveness to UNICEF timeline vis a vis the assignment
requirements. deliverables
• Understanding of scope,
objectives and
completeness of
response.
• Overall concord between
UNICEF requirements and
the proposal.
87
Expertise of the company 10 • Describe professional expertise,

knowledge and experience with
similar projects, contracts,
clients and consulting
assignments
• Briefly outline coverage and
network across Lebanon
• Financial status, audited
financial reports of last 2 years
should be submitted to UNICEF
as part of the documentation for
the bid
Previous experience working with 10 • Provide reference letters or

UN agencies or NGO on similar project reports/ evaluations of
projects previous partnership with
agencies on similar projects.
Proposed Methodology, 40 • Quality of the proposed
Approach and System approach and methodology.
• Quality of proposed
implementation plan, i.e., how
the bidder will undertake each
task, and time-schedules.
• Risk assessment and mitigation
mechanism- recognition of the
risks/peripheral problems and
methods to prevent and manage
risks/peripheral problems.
Total 70
Financial Proposal (30 points)
Financial Evaluation Criteria:

• Only bidders obtaining the minimum pass mark in the technical evaluation
(49 points) will be considered for the financial evaluation.
• Financial evaluation is composed of 30 points. The lowest financial offer will
obtain 30 points
Admin Administrative issues:
Issues & • The overall review process will be led by the UNICEF LCO with the
Logistical participation of MEHE.
Activity • The contractor will be working directly with UNICEF LCO and report to this
organization for technical guidance and approval of draft and final products.
88
• The contractor should have a team leader who will closely coordinate with
the education manager at UNICEF LCO and an appointed focal point at
MEHE.
• Assignment to be a combination of office/desk work and field work; with
frequent consultations, meetings and site visits throughout Beirut and the
rest of Lebanon.
• The Contractor is expected to be able to work independently to ensure the
smooth running of the assignment.
• The Contractor will need to organize its logistics for meetings and
workshops, as well as transport means needed for the field visits and local
level consultations.
• The Contractor is required to provide his/her own computer and
communications equipment (laptops, telephones, etc.).
• The Contractor is not entitled to payment of overtime. All remuneration
must be within the contract agreement.
• UNICEF staff, facilitators and NGOs are allowed to be present at the agent
premises/sites for monitoring of bidder activities related to this contract
• No contract may commence unless the contract is signed by both UNICEF
and the Contractor and cleared by MEHE.
Logistical Activity:
Any travels shall be included in the costed proposal, data collection related or others.
The unit cost for each travel shall be stated in the financial proposal.
All the meetings, consultations and interviews will be organized by the Contractor
together with UNICEF Lebanon and its partners who will support in organizing and
coordinating relevant meetings with partners and other key stakeholders (trainees,
etc.,).
89
ANNEX I: TREF Set-Up and Fund Flow Diagram
1. Two Funding Windows
The TREF offers two funding windows with various programs under
each:
(I) Supporting and Upgrading Public Education System (through the Ministry of
Education)
(II) Supporting Out of School Children through Multiple Flexible Pathways and
additional Support Programs (Complementary Interventions through Non-Public
Institutions)
The first funding window allocates funding to specific agreed upon program result areas
of the 5-year sector plan, for example student enrolment support, supplies, and school
rehabilitation and construction with regards to access goals, as well as HR development,
school support systems (supervisors and counsellors), and digital teaching skills concerning
quality goals. Assuming that the 5-year sector plan will have a traditional sector plan direct
service delivery structure (i.e., ECE, Primary, Secondary, TVET, Administration Programs),
integration of external partners’ programming can be done more effectively to achieve
system strengthening and upgrading on a national scale.
The second funding window covers the portfolio of programs to offer quality
learning opportunities to out of school and out of learning children through school-
based bridging programs and other learning programs currently being designed with the
goal to reach as many children as possible to either attract them into or back to education.
Though MEHE is committed to include Multiple Flexible Pathways as part of its program
structure, the second funding window refers to (a) the lead role that UNICEF will play with
regards to out of school children and the (b) preference by some contributing donors to
invest mostly in this window. Some of the programming for Out of School Children will be
implemented directly by UNICEF, the private sector, or non-governmental organizations.
The following diagram visualizes the two funding windows and the possible programs to
be supported:
90
While the first window supports the public education system within the framework of the 5-
year plan, the second window focuses on practical interventions for Out of School Children,
such as the School-Based Bridging Program implemented in private schools. For the first
window KfW and EU will contribute to ensuring access for vulnerable Syrian and Lebanese
children through enrolment fee subsidies.
2. Step-by-Step Fund Flow Diagram

The following fund flow diagram illustrates the data verification and financial management
steps required for disbursements made by UNICEF to beneficiaries under the first TREF
window. Donor funds are disbursed to a UNICEF account and executed following rigorous risk
management procedures and a non-objection by donors. Similar assurance steps will be
applied to the second TREF window, the details of which will be presented during the pre-bid
meeting.
91
92
93
ANNEX X
New Costing Model for Enrolment Fees Subsidies & Sample Costing Exercise
94
A New Costing Model for External Assistance to Lebanon´s Education Sector
Executive Summary
Problem Statement
In recent years in Lebanon there has been significant inflation and currency fluctuations. This has
impacted on the support provided by donors – with the support to the parent council fund, the school
fund, and to human resources, being devalued in terms of the USD amounts, but also in terms of its
purchasing power at the school level. This means that the baseline amounts for this year are too low,
as they do not adequately capture the inflation of the last few years. This creates a risk that the
support is insufficient to maintain education services/quality.
This has also led to significant savings in donor funds, which were accumulated due to a rapidly rising
exchange rate, and the lack of an agreed government-wide mechanism how to adjust contributions
and transfers to beneficiaries. There is a need to adjust contributions to the school fund to allow
inflation and exchange adjusted payments being made to schools to enable them to purchase goods
and services at market relevant price levels.
Further, forecasts suggest that the period of high inflation and currency fluctuations is likely to persist
for this school year, meaning that future payments may fluctuate. To avoid the repetition of previous
years and ensure beneficiaries receive sufficient support during any periods of hyper-inflation and
high volatility of exchange rates, a new model is proposed for calculating and disbursing of donor
funds to schools and contractual teachers. This model will take the forecasts provided by the
Economist Intelligence Unit for inflation and currency fluctuations and models out ‘high’ and ‘low’
scenarios to agree a maximum and minimum contribution amount, giving stability for planning
purposes.
Solution
This model aims to agree a corridor of the amounts of contributions to provide a consistent quality of
education, by forecasting scenarios where inflation and currency devaluation are “high” and where
they are “low”. It also updates the contribution for previous inflation, yielding higher USD
contributions than in previous years. This model yields a higher overall per child amount than the
latest contributions – with substantial increases in the school fund; and with the inflationary pressures
of the coming year managed for the PCF and HR contributions, giving relative stability.
Estimated average contribution from November

Latest Contribution (USD)
2021 to 2022 (USD)
School Fund 7.50 137.27-141.6

Parent Council Fund 18.75 15.81-17.26
HR First Shift 15.23 12.83-14.02
HR Second Shift 25.50 21.50-23.48
95
This remodelling was driven by a need to update the baseline values for the school fund based on the
observed changes in the prices between 2014 (when values were agreed) and now. By updating the
values and attempting to forecast the likely evolution of the USD values of contributions, it is hoped
that the amounts transferred will continue to be sufficient to provide a quality education.
For the school fund, as some school costs are de-facto dollarized – that is they are paid in dollars, or
in LBP at the prevailing market rate as and when schools purchase them, we look to both update this
for the increased USD costs, and then allow for a fixed USD contribution to the school fund (which will
not be subject to inflation in Lebanese pounds and currency fluctuations).
Once we have updated the starting values, we then simulate two scenarios – looking at a 40%
deviation (positive and negative) from the Economist Intelligence Unit’s forecast for Lebanon. This
gives us corridors for the contribution after every quarter.
It is recommended that once agreed, this corridor forms the maximum and minimum contribution
that will be made – in essence capping the amount of fluctuation that is permissible over the year.
This limits risks on both sides – if the inflation and depreciation is higher than modelled, then the lower
amount will be contributed irrespective of the USD amount at the time of transfer; equally if inflation
is lower than expect and the currency gains in value, then the USD value contributed will be capped
at the modelled rate.
Benefits of the Model
The key benefit of this model is improved stability of the USD contribution, while ensuring that the
amounts provided are able to maintain the key inputs into education through the school fund. By
protecting against inflation, it allows for the school fund component to maintain its purchasing power
over the coming year.
The results of the model vary depending on the component, and if they are protected against inflation.
As the currency depreciation is forecast to be lower than inflation, for the components where they
are adjusted over the year (that is the School Fund LBP component) the USD value will rise if inflation
is high. For the components which are held fixed in LBP values (the PCF and HR contributions), the
USD value will continue to fall, and fall by a greater amount when inflation is high.
The amounts below are those which are estimated after one year, on a quarterly basis – with estimates
made for each quarter from the current time period – the table also highlights the average
contribution for planning purposes.
For the first and second shift students the amounts contributed are forecast to increase substantially
under the new model, driven by the updated baseline of the school fund. Under the updated model
the impact of future inflation/depreciation is also lower, as a share of the school fund will take a fixed
USD value, and not be subject to fluctuations over the period.
The implications of this model for each quarter’s disbursement are shown in the table below.
The table below shows the LBP disbursements over the coming year – which are forecast to be held
constant – for PCF and HR - or to increase substantially over the period.
96
Lebanese Pound disbursements (Nb. does not include the fixed SF

USD contribution)
School Fund School Fund
Quarters HR
(LBP (LBP Parent HR First
(from Second
component) component) Fund Shift
now) Shift
- Low - High
0 393,750 393,750 375,000 304,500 510,000
1 457,966 515,154 375,000 304,500 510,000
2 532,655 673,991 375,000 304,500 510,000
3 619,525 881,802 375,000 304,500 510,000
4 720,562 1,153,688 375,000 304,500 510,000
Looking at what this means for USD contributions, after adjusting for inflation and projected
devaluations we get the following amounts for the vulnerable Lebanese, first and second shift
children.
Total estimated contribution for each time period (USD) under High/Low scenarios
Vulnerable Lebanese First Shift Second Shift
Quarter Existing High Low Existing High Low Existing High Low
(from
now)
0 18.75 18.75 18.75 41.48 166.16 166.16 51.75 176.44 176.44
1 18.75 17.15 17.97 41.48 167.13 167.02 51.75 176.52 176.87
2 18.75 15.68 17.23 41.48 169.1 168.2 51.75 177.69 177.64
3 18.75 14.34 16.52 41.48 172.2 169.72 51.75 180.06 178.78
4 18.75 13.11 15.84 41.48 176.61 171.62 51.75 183.79 180.3
Average 18.75 15.81 17.26 41.48 170.24 168.54 51.75 178.90 178.01
The full component values in USD, including the fixed USD component for the SF is show below.
Quarters HR HR HR HR SF SF
Exc.rate Exc. rate SF PCF PCF
(from First First Second Second variable variable
(High) (Low) fixed (High) (Low)
now) (High) (Low) (High) (low) (High) (Low)
- 20,000 20,000 15.23 15.23 25.50 25.50 19.69 19.69 112.50 18.75 18.75
1 21,870 20,862 13.92 14.60 23.32 24.45 23.56 21.95 112.50 17.15 17.97
2 23,914 21,762 12.73 13.99 21.33 23.43 28.18 24.48 112.50 15.68 17.23
3 26,150 22,700 11.64 13.41 19.50 22.47 33.72 27.29 112.50 14.34 16.52
4 28,596 23,680 10.65 12.86 17.83 21.54 40.34 30.43 112.50 13.11 15.84
Average 24,106 21,801 12.83 14.02 21.50 23.48 29.10 24.77 112.50 15.81 17.26
97
Introduction
This note sets out the rationale and technical methods behind a model of adapting donor contributions in education to reflect the current economic challenges
in Lebanon. This is needed to mitigate against a real risk that the purchasing power of amounts contributed are diminished over time due to substantial
inflation and exchange rate losses. If this is the case, then the schools will be unable to purchase the goods and services required to deliver education.
It does this in two steps – first, by updating the 2014 values for the school fund to adjust for inflation over the period; then by splitting out which components
of the school fund track the USD value more explicitly (to hold this amount fixed); and then by trying to model out the evolution of the USD values of the
Lebanese pound transfers over the coming school year.
Specifically, it tries to forecast the likely implications of inflation (and currency depreciation) on the US dollar values that are contributed by donors, to identify
a sensible corridor for contributions, and mitigate against fluctuations in the exchange rate leading to high variation in contributions over the year. This
corridor is then used to set a ceiling and floor for the contributions, to allow for more certainty of the amount of support.
Within the model, the Lebanese pound values of the School fund contributions are allowed to increase in line with inflation - as schools will have to pay
increased amounts to ensuring the costs for delivery. Furthermore, for some items, schools will in essence have to pay the dollar values (or the Lebanese price
is directly determined by the market exchange rate) – for these items, we account separately and allocate a fixed USD amount for the period.
It takes as it’s starting point the current agreed contributions, which are shown below using the initial rates (at 1,500:1) the latest LBP rate, and the latest USD
rate (at 20,000:1)
Previous First Shift Latest Previous Second Shift Latest

First-Shift LBP First-Shift Second- LBP Second
USD @ USD Shift USD Shift USD
1,500 @20,000 @1,500 @20,000
Parents $60 375,000 18.75 $60 375,000 18.75
Council Fund
School Fund $100 150,000 7.50 $100 150,000 7.50
Human $203 304,500 15.23 $340 510,000 25.50
Resources
Total $363 829,500 41.48 $500 1,035,000 51.75
98
As can be seen from the table above, the rapid devaluation of the currency has resulted in a substantial fall in the USD value of contributions. Going
forward, this model aims to provide more certainty around these amounts and set a minimum amount for payments – so if the USD value of the Lebanese
amount falls below this, then the minimum amount will be paid in USD.
While this model looks at the average amounts paid per child (and can be scaled by the number of children supported) the actual human resource costs vary
in each period depending on the number of teachers who worked in that period, and for how many hours. As such, the amount transferred may vary from
this estimate.
Assumptions
We use the latest Lebanese Pound figures as the baseline values for our simulation. We first adjust these for historical inflation, then try to forecast scenarios
for possible values for the future inflation rates, and future exchange rates, to estimate what the LBP and USD values would be after each quarter.
This is estimated for low and high scenarios to give a window of possible values. The model is flexible and can be adapted to model any ranges of
inflation/exchange rates. We use as the central scenario the estimates produced by the Economist Intelligence Unit (EIU), which are:
• Inflation in 2022 at 138.1%

• Exchange rate devaluation of 30.7% between 2021 and 2022.
For the exchange rate, the latest exchange rate figure at the time of writing is higher than the EIU predictions, so we use their estimated magnitude of the
depreciation rather than the raw figures.
Specifically, we have to calculate this from their forecasted average exchange rates in 2021 and 2022 – where they have a figure for 2021 of 14,525; and an
average in 2022 of 18,995.
We converted this to a percentage change using the formula:

(𝑃𝑟𝑒𝑑𝑖𝑐𝑡𝑒𝑑 𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒2022 −𝑃𝑟𝑒𝑑𝑖𝑐𝑡𝑒𝑑 𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒2021 )
𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑅𝑎𝑡𝑒 𝑐ℎ𝑎𝑛𝑔𝑒 = 𝑃𝑟𝑒𝑑𝑖𝑐𝑡𝑒𝑑 𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒2021
The model:
99
• takes the Lebanese value of the human resource contribution and parent council fund as fixed – that is, it does not adjust in line with inflation.
• Allows the School Fund to increase with inflation. This is important to ensure that goods and services required by schools can be procured.
We estimate these values for two scenarios, high and low to get a corridor for the amounts. We define a high inflation/devaluation scenario as one where the
EIU forecasts are exceeded by 40%; and a low scenario as one where they are 40% lower.
For inflation, this means:
• Low is 83% per year

• High as 193% per year
We take this annual rate and apply it on a quarterly basis using the following formula
𝑄𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦 𝐼𝑛𝑓𝑙𝑎𝑡𝑖𝑜𝑛 𝑟𝑎𝑡𝑒 = ((1 + 𝐴𝑛𝑛𝑢𝑎𝑙 𝐼𝑛𝑓𝑙𝑎𝑡𝑖𝑜𝑛)1/4 − 1)
The exchange rate will be:
• Low as 18.4% depreciation per year (so a 20,000 exchange rate becomes 23,680)
• High as 43% depreciation per year (where a 20,000 exchange rate becomes 28,590)
We then convert this to a quarterly rate of change:
𝑄𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦 𝑒𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒 𝑐ℎ𝑎𝑛𝑔𝑒 = ((1 + 𝐴𝑛𝑛𝑢𝑎𝑙 𝑒𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒 𝑐ℎ𝑎𝑛𝑔𝑒)1/4 − 1)
Which we use to estimate the exchange rate values in each quarter:
𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒𝑄+1 = 𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒𝑄 ∗ 𝑄𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦 𝑒𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒 𝑐ℎ𝑎𝑛𝑔𝑒
For the exchange rate, this gives the following predicted values:
Forecasted evolution of exchange rate at each quarter.
Exchange Rate –
Quarters (from now) Exchange Rate (Low)
(High)
100
0 (now) 20,000 20,000
1 20,863 21,870
2 21,762 23,915
3 22,701 26,151
4 (one year from now) 23,680 28,596
What this means for the contributions
First updating for historical inflation
The first step is to update the values for inflation since they were first agreed – this has been done for the Parent Council Fund, which increased from 90,000
to 375,000 LBP; but not the school fund.
Over the period between September 2014 and September 2021, the CPI has increased14 by approximately 375%, so we simply inflate the school fund by this
amount to get a new starting amount. This means that the historical 150,000 baseline conversion amount gives an equivalent of 562,500LBP which at the
original 1:1,500 exchange rate would have been equal to $375.
Ensuring vital components are protected
Within the school fund there are items, such as fuel, ink, papers, batteries, and other running cost expenses which rely on imported goods, which are tied
very closely to the USD market exchange rate. Here, while we can estimate the scenarios based on inflation and currency adjustment, it makes more sense
to evaluate these at the USD rate, as this will move more precisely than our estimates. From discussions with school-stakeholders, it is estimated that these
expenses are approximately 30-40% of the total school fund contribution. We take the lower end of this value – at 30% of the expenditure and hold it fixed
in USD in the contribution at the long run exchange rate of 1,500:1. We do this to lock in the historical purchasing power of the component rather than the
14
Estimated using the latest available figures from the IMF and the Central Administration of Statistics (via Trading Economics) – we take the average CPI over 2014 (at 119.4) and the end of August CPI figure of 567.
We translate this to an inflation rate by taking ((Pricet+1-Pricet)/Price) x 100, which yields an inflation rate of 375%
101
updated purchasing power (which has been depleted by the rapid devaluation). Specifically, this means that of the school fund amount, $112.50 will be
fixed throughout the year in USD, while the remainder (70%) will be allowed to vary at the forecasted rates.
Modelling the evolution in Lebanese Pounds
The evolution of the Lebanese pound values of the contributions is shown below – looking at the Parent Fund, the HR contributions (for the first and second
shift) and the components of the school fund that are not dollarized.
For the parent council fund and HR contributions the LBP contribution is fixed throughout the year – so does not increase or decrease.
For the part of the school fund component, which is allowed to vary, we do this calculation based on the updated starting value for the school fund – so
excluding the fixed $112.50 contribution to the school fund and calculating from a base of the remaining the 70% of School fund expenditures that are in
Lebanese pounds.
So, we take the updated school fund amount (562,500 LBP) and calculates 70% of this. This component will vary in the coming year from its starting value of
393,750 LBP.
We then estimate this for each time period using the following equations for our scenario modelling:
𝐿𝐵𝑃 𝑐𝑜𝑛𝑡𝑟𝑖𝑏𝑢𝑡𝑖𝑜𝑛𝑄+1 = 𝐿𝐵𝑃 𝑐𝑜𝑛𝑡𝑟𝑖𝑏𝑢𝑡𝑖𝑜𝑛𝑄 ∗ 𝑄𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦 𝐼𝑛𝑓𝑙𝑎𝑡𝑖𝑜𝑛 𝑟𝑎𝑡𝑒
This part of the school fund contribution is forecast to rise to approximately 720k LBP after a year in the low inflation scenario; but to 1,153k LBP in the high
inflation scenario. The Human resource and parent council fund contributions are fixed, so do not increase over time.
These figures are shown in the table below:
Lebanese Pound disbursements (Nb. does not include the fixed SF USD contribution)
Quarters (from School Fund (LBP School Fund (LBP HR Second

Parent Fund HR First Shift
now) component) - Low component) - High Shift
0 393,750 393,750 375,000 304,500 510,000
1 457,966 515,154 375,000 304,500 510,000
102
2 532,655 673,991 375,000 304,500 510,000
3 619,525 881,802 375,000 304,500 510,000
4 720,562 1,153,688 375,000 304,500 510,000
What are the estimated USD values of each component under the different scenarios?
This model gives the following values for each period of the year, presented for each of the components. We show the high and low scenarios (which are
the EIU estimates +/- 40%) and for ease, we show the estimated exchange rate in each period.
We obtain the USD figures by taking the LBP values above and converting them back to USD using predicted market exchange rates, using the following
equation:
𝐿𝐵𝑃 𝑐𝑜𝑛𝑡𝑟𝑖𝑏𝑢𝑡𝑖𝑜𝑛𝑄+1
𝑈𝑆𝐷 𝑐𝑜𝑛𝑡𝑟𝑖𝑏𝑢𝑡𝑖𝑜𝑛𝑄+1 =
𝐸𝑥𝑐ℎ𝑎𝑛𝑔𝑒 𝑟𝑎𝑡𝑒𝑄+1
For the table below, we again exclude the fixed USD contribution to the school fund, which is the same in each period.
USD equivalents in each period
Quarters (from Exchange Rate Exchange Rate HR Second HR Second SF variable SF variable
HR First (High) HR First (Low) SF fixed PCF (High) PCF (Low)
now) (High) (Low) (High) (low) (High) (Low)
0 20,000 20,000 15.23 15.23 25.50 25.50 19.69 19.69 112.5 18.75 18.75
1 21,870 20,862 13.92 14.60 23.32 24.45 23.56 21.95 112.5 17.15 17.97
2 23,914 21,762 12.73 13.99 21.33 23.43 28.18 24.48 112.5 15.68 17.23
3 26,150 22,700 11.64 13.41 19.50 22.47 33.72 27.29 112.5 14.34 16.52
4 28,596 23,680 10.65 12.86 17.83 21.54 40.34 30.43 112.5 13.11 15.84
103
The estimated contributions for the components that are fixed are forecast to continue to fall, but not as dramatically as in the previous period. This is
because the gap between the forecasted depreciation and inflation is not as predicted to be as stark as in recent years. Where the model allows for the
Lebanese currency values to fluctuate, we see the contributions increase as the rate of inflation is projected to be higher than the rate of currency
depreciation.
Here we see that the HR contributions will fall over the year (quarter 4 being a year ahead) – for the first shift from $15 to between $10.65 and $12.86; and
for the second shift from $25.50 to between $17.83-$21.54.
We also see the PCF contribution fall from $18.75 to between $13.11 and $15.84. For the school fund, we see substantial increases – from the variable
component (the 70% that covers LBP) rising from $19.69 at current exchange rates to between $30-40.
Estimating the overall contributions
To estimate the total contributions, we take the estimated values (in USD) from the scenario modelling above and, for the school fund, add back in the
$112.50 fixed USD contribution. These estimates are shown in the table below:
Total estimated contribution for each time period (USD) under High/Low scenarios
Vulnerable Lebanese First Shift Second Shift
Quarter Existing High Low Existing High Low Existing High Low
(from
now)
0 18.75 18.75 18.75 41.48 166.16 166.16 51.75 176.44 176.44
1 18.75 17.15 17.97 41.48 167.13 167.02 51.75 176.52 176.87
2 18.75 15.68 17.23 41.48 169.1 168.2 51.75 177.69 177.64
3 18.75 14.34 16.52 41.48 172.2 169.72 51.75 180.06 178.78
4 18.75 13.11 15.84 41.48 176.61 171.62 51.75 183.79 180.30
Average 18.75 15.81 17.26 41.48 170.24 168.54 51.75 178.90 178.01
104
For both the first and second shift support, the value increases noticeably, due to the increased support to the school fund from the fixed USD contribution.
For these two groups, we see a narrow range for the scenarios on average over the year– as there are two counter-acting factors, with the PCF and HR costs
falling, while the SF is rising. In addition, the inflation compounds over time, meaning the small differences after the first quarter will grow to a wider range
at the end of the year.
Overall, for vulnerable Lebanese children, holding the PCF constant leads to a decline in the contributions in USD, while for first shift children we see a rise
from $41.48 now to between $171-177 over the year; and for second shift we see a rise from the current amount of $51.75, to up to $180-184 by the end of
the year.
105
ANNEX XI
Joint Annual Sector Review
106
Documents Resp. Timeframe Functionality
Agenda, schedule and consolidated reports of

the working groups. Ensure rigorous
Joint Coordination
performance review
MEHE &
Once a Year of programs and
UNESCO
Aide Memoire outputs of the MEHE
5 Year Plan
Basic sector performance report for the year n- MEHE One week Condition to enable
1, which will include review of: before the the ASR to take place.
ASR (April
Main documents for the meeting
Extent of compliance with the Result

each year).
Framework of annual targets.
Progress in achieving the specific objectives
Follow-up on previous ASR recommendations.
Annual ME&L Report (first baseline report in

2023); on subsequent years the M&EL will be
part of an Annual Performance Report of year
n-1.
Budget Execution Report for year n-1. Third Party- February, Facilitation of the
TP/MEHE year n-1. performance report
preparation.
Facilitation of the
Quarterly Financial Reports (first three quarters TP/MEHE 2 weeks joint performance
of the year n-1). after end of assessment of the
Basic documents for the performance report
each quarter sector during the year

n-1.
Annual External Audit for the year n-1. MEHE 6 months
after end of
Reforms of High Priority Updates
year n-1.
Joint visits reports MEHE & 1 month

Partners after visit.
Annual Field Perspective Report (REOs)
Other relevant documents MEHE, Always

Partners when
available.
107
Report of the meeting, which includes: MEHE, CPs Draft, 15 Contribution for the
days after Joint Annual Sector
Assessment of performance during year n-1 in
the ASR Review
terms of degree of compliance with the annual
targets & progress made in achieving the Basis for the CPs
specific results. pledges for year n+1.
Final
assessment of the implementation of the version, Contribution to
recommendations from the previous ASR approved in update the AWPB.
1st SMB
Recommendations for implementing AWPB of Documented
meeting
n+0 (current year) based on results achieved in recommendations.
after the
implementing AWPB n-1
ASR.
ME&L recommendations feeding into new
planning cycle.
Expected outcomes
CPs’ indicative commitments to TREF for year CPs By July 31, Contribution for the
n+1. year n. preparation of the
plan and budget for
year n+1.
108
ANNEX XII
Authority Matrix
See Excel file
109
ANNEX XIII
Reporting Templates
110
TREF REPORTING TEMPLATES
Template A. Schedule of CONTRIBUTING Partner deposits to UNICEF in support of agreed Priority Outputs of the 5-Year Plan for the fiscal year <YEAR>.
Contributing Currency Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Total USD Total %
Partner exchange in of
rate USD total
‘Amount’ ‘Amount’ ‘Amount’ .......
‘Amount’ ‘Amount’ .......
Total
Prepared and submitted by: _____________. Date: ____________
111
Template B. Quarterly Statement of fund flows from UNICEF FOREX Account to Financial Service Providers covering [date] to [date]
Exchange Amount in
Currency Amount
Rate (USD)
Balance of Advance
1 not expended
(From previous
year & due for
refund)
2 Receipt of Funds
Contributing
Partner
Contributing
Partner
.............
.............
3
Total Cash
Received
3 Less:
Bank
commissions/fees
4 Closing Balance
Prepared and submitted by: _____________. Date: _________

Copy of bank statement annexed to the report.
112
TEMPLATE C Quarterly Budget Performance Report Third Party Financial Management Firm
For month
up to (insert
Fiscal Year quarter)
Expenditure USD-LBP Accumulated
Budget Head/ Budget for the Accumulated Expenditure/
from <date> Ex Rate Expenditure to
Cost Item Code/Type of Expenditure year Budget (%)
to <date> date
XX-X-XXX
Sub-
Total
XX-X-XXX
Sub-
Total
XX-X-XXX
........
.....
Total
113
TEMPLATE D. BUDGET AND EXPENDITURES BY 5-Year Plan Priority Outputs (all figures in USD)
Budget Performance Report Third Party FM

Fiscal Year YYYY For month up to
Expenditure Accumulated
Budget for Accumulated Expenditure/
ESP Priority Output Code from <date> to Expenditure to
the year Budget (%)
<date> date
XX-X-XXX
........
........
........
Sub-
Total
XX-X-XXX
........
........
........
Sub-
Total
XX-X-XXX
........
........
Grand Total
Of which total TREF
priority activities

114
Template E. 5-Year Plan PRIORITY OUTPUTS based Progress Report
OUTLINE OF 5-Year Plan for General Education PRIORITY OUTPUT BASED ANNUAL PROGRESS REPORT
1. Programme achievements
A brief assessment of achievements in relation to programme Goal and Purpose
2. Programme results for the period

A description of actual outputs compared to planned outputs (as defined in the work plans). An explanation of major deviations from plans,
including deviations between planned and actual progress in activities and delivery of outputs.
3. Assessment of budget versus expenditure

A brief summary of the use of funds compared to budget and comments to major deviations between budget and expenditure.
4. Assessment of efficiency in resource use

An assessment of the efficiency of the Programme (how efficiently resources/ inputs are converted into outputs),
5. Risk assessment
An assessment of problems and risks (internal or external to the Programme) that may affect the success of the Programme. Include findings by
IVA and External Audit Firm
6. Proposed adjustments to program design and plans

An assessment of the need for adjustments to activity plans and/or inputs and outputs, including actions for risk mitigation and other issues
that may be relevant to review and discuss in the Joint Planning Sessions and the Joint Annual Sector Review meeting.
115
Template F. Annex to the 5-Year Plan Priority Output based progress report for fiscal year [] from [date] to [date] (all figures in USD)
Budget Actual Actual/Budget

Activity Planned
Actual output Comments
Code activity/output Total Gov Donors Others Total Gov Donors Others Total Gov Donors Others
Total all activities

Total TREF priority
activities
116
TEMPLATE G. Procurement plan and progress
TREF Procurement Plan/Progress Report for fiscal year [] from [date] to [date]
BASIC DATA Bidding Period Bid Evaluation Contract Finalization Contract Implementation
Inspection Final Acceptance

Submission Bid Eval Report
Contract Amount in USD
Actual payments in USD

Date Contract Signature
Opening of Let of Credit

Date Contract Award
No Objection Tender
Prior or Post Review
Bid Closing-Opening
Bid Invitation Date
No-objection Date
Arrival of Goods
Estimated USD
Proc. Method
ESP
Package Lot
Activity Description Lot No.
Number Description
Code
Sub total
Sub total
Total
117
TEMPLATE H. Performance assessment Framework from <Date> to <DATE>
ESP Service-Delivery
Sector Policies Implementation Key Performance Indicators Baseline Reporting Year Target Year
Programs
1. Ensuring safe, Leb Non- Total Leb Non- Total Leb Non- Total
equitable, and (examples) (examples) Leb Leb Leb
inclusive access M F M F M F M F M F M F M F M F M F
to education at Gross Enrolment Rate (GER)
all levels of the Pre-School in Early Childhood (ECD)
system
Net Enrolment Rate (NER) in
basic stage
2. Developing a
Basic
student- Education
Students’ performance in
centered national and international
teaching and standardized tests
learning Passing Rates per Grade
pedagogy and
Number of school-aged
improved children transitioning from
quality learning Non-Formal NFE/Multiple Flexible
environment Education Pathways to FE (including
TVET)
Level of the ministry’s

consideration of good
Management governance aspects and
3. Enhance management accountability
Accountable Administration
Institutionalize Functions of
and Results- Planning, M&E, and Internal
Based Audit
Leadership, Data and reports are publicly
Governance and available
Equity policies for all
Management
students designedin the
Cost per students
education sector
Unified Management System
for 1st and 2nd shift students
and schools
118
ANNEX XIV
School Funds & PCF Eligible Expenditures Items & Financial Management SOPs
(To be added in separate documents)
119
ANNEX XV
Terms of Reference Strategic Management Board
120
Strategic Management Board
TREF Partnership Governance
1. Purpose & Composition

The TREF Management Structure is composed of the following components:
According to the TREF MoU 4 (ii) 2,

“MEHE, UNICEF and the Contributing Partners (CPs) make up the members of the senior
management structure of TREF i.e. Strategic Management Board.
The Strategic Management Board (SMB), which meets once a month, is the management body
steering and overseeing the planning, implementation, and assurance mechanism
procedures of TREF. The SMB is composed of technical representatives of CPs, Chief of
Education of UNICEF, and the DG of MEHE constitute the core members. Upon invitation,
members of the IST and relevant MEHE staff are asked to attend. The SMB is the continuation
of what used to be the Assurance Working Group (AWG).
High-Level Meetings are held twice a year to discuss strategic matters between the Minister,
UNICEF Representative, and ambassadors or country directors of CPs.”
This document describes the main role and responsibilities of the SMB and the meeting
protocol of its monthly sessions.
121
2. Main Role and Responsibilities
The SMB discusses matters of system-wide importance, including planning and
implementation challenges as well as critical rapid interventions.
Specifically, the SMB deals with all issues related to:
F. Strategic Decisions
G. Operational Challenges
H. Assurance Mechanisms
I. Performance Reviews of the IST and TP
J. Review of the Operational Handbook (special annual session)
A. Strategic Decisions
The following decisions are of a strategic nature that are discussed and decided during SMB
meetings:
1. Terms of Reference of the SMB

2. Priority Outputs and Programs under the 5-Year Plan
3. Allocation of Budgets to Priority Outputs and Programs under the 5-Year Plan
4. Annual Work Plan and Budget
5. Priority Reforms and Policy Changes (quality, inclusion, equity policies)
6. Programmatic design decisions, including reprogramming decisions
7. Approval of Monitoring and Evaluation Framework, including the TREF Urgent Results
Framework
8. Approval of the IST Work Plan
9. Establishing new Joint Task Forces and Providing Strategic Direction
10. Agenda for Annual Sector Review
11. Agenda for Joint Planning Sessions
12. Action Plan responding to findings of Annual External Audit
13. Management Arrangement for Networked Technical Assistance for MEHE
14. Advise on the set-up and operations of the sector-wide Policy Dialogue and Dialogue
System, including the Local Education Group
15. Strategic Communication Messages involving all members of the SMB
16. Terms of Reference and Compensation Arrangements for extra work for civil servants
on MEHE internal Task Forces
17. Definitions and Criteria for Payment Linked Indicators
B. Operational Challenges/Improvements/Interventions
1. Attendance Data Provision through SIMS: Interventions to the data supply chain to
ensure complete, timely and accurate quarterly attendance data provision linked to
payments to special contract teachers and schools.
122
2. General Education Data: Provision of basic educational data (demographics and
academics) for 1st and 2nd shift
3. Beginning of School Year Data: Accurate Enrolment Data for 1st and 2nd shift at the
beginning of the school year
4. Financial Reporting: School-Level Financial Expenditure Reports
5. Annual Planning & Budgeting process
6. Key functions: ICT, SIMS operators at school level and SIMS coordinators at Regional
Education Offices, External Fund Management function, 2nd shift management,
Planning, M&E, Strategic Communications etc.
7. Operational Set-Up and Relations between Third Party and MEHE functions (due
diligence, capacity building, school-level financial reporting etc.)
8. Operational Set-Up and Relations between Implementation Support Team (IST) and
MEHE staff
C. Review of Assurance Mechanisms
The SMB requests and reviews the following reports:
1. Quarterly FINANCIAL Reports

All expenditures related to agreed priority outputs/programs under both windows of TREF
(formal education and Multiple Flexible Pathways).
Prepared by the Third Party and reviewed by MEHE External Fund Management Function.
2. Quarterly Attendance Reports for Students and Teachers of 1st and 2nd shift schools
Prepared by MEHE with the support of the IST, verified by the Third Party, and used as the
basis for preparing payment requests.
3. Annual Narrative PROGRESS Reports for Priority Outputs/Programs of the 5-Year
Plan
4. Semi-Annual M&E Report15
5. Annual Procurement Report
Prepared by UNICEF with the support of the Third Party.
6. Annual External Audit Report
Prepared by international independent audit firm on TREF mechanism and shared with SMB
for review and follow up on recommended improvement actions.
15
The first semi-annual report is issued for the SY 2022-23 in March 2023 and August 2023 respectively
123
D. Performance Review of the main operational pillars of TREF
The SMB reviews the performance of main operational pillars of TREF, the Implementation
Support Team, the Third Party Risk & Financial Management Firm, and the Priority
Output/Program Managers.
1. Quarterly Performance Reports of the Implementation Support Team (IST)

The Implementation Support Team (IST) is a senior-level technical assistance team
embedded in MEHE working closely with civil servant counterparts and functions, such as
ICT, External Fund Management, M&E, Planning &Budgeting, Strategic Communication
etc. under the guidance of and reporting to the DGE to meet TREF requirements and work
in synergy /complementarity with other TAs at MEHE. Every quarter a performance report
is submitted to the SMB for review. The SMB reviews the performance against the TREF
Urgent Results Framework and the IST Work Plan.
2. Semi-Annual Performance Reports of the Third Party
The Third-Party Financial Management & Monitoring Firm is responsible for ensuring
verification of TREF data reporting on attendance and enrolment prior to payment request
preparation by MEHE, budget compliance (in line with agreed Priority Outputs) and timely
and high-quality quarterly financial reporting. Also, capacity building interventions for
central, regional and school level are carried out.
3. Semi-Annual Implementation Review Meetings with Priority Output and Program
Managers
The SMB invites MEHE program managers of the priority outputs and programs of the
agreed Annual Work Plan and Budget to jointly review implementation performance.
4. Review of Joint Task Forces

Based on need and urgency, the SMB invites the Heads of the JTFs (Learning Recovery,
Data etc.) to provide an overview of the progress made according to their Terms of
Reference.
E. Review of the Operational Handbook
Based on inputs from A to D, the SMB reviews the Operational Handbook of TREF on an annual
basis and instructs the IST to make necessary amendments. This review is done by the end of
August each year.
124
3. High-Level Meetings
High-Level Meetings are held twice a year (ideally linked to the Joint Planning Sessions and the
Annual Sector Review) to discuss high level strategic matters between the Minister, UNICEF
Representative, and ambassadors or country directors of CPs.
The SMB prepares the agenda with the support of the IST and agrees on the specific dates
during the inaugural SMB session.
4. Meeting Protocol
To ensure efficient use of time and effective decision making during monthly SMB sessions,
the following meeting management rues are suggested:
▪ The SMB meets every quarter or month depending on urgency
▪ DG of MEHE can invite other agencies, donors, and ministry staff as he sees fit to
discuss a particular point of the agenda
▪ The IST will take meeting minutes and prepare the agenda in close coordination with
all participants at least 3 days before the meeting.
▪ The meeting is structured as follows:
1. Agreement on the agenda
2. Acceptance or corrections/amendments to previous meeting minutes
3. Decisions made about each agenda item and recording of any relevant comments
4. Issues that are “parked”, i.e., need further inputs, data and follow-up before
decisions can be made
5. First draft agenda for the next meeting
▪ Minutes of Meeting are shared and circulated for all SMB participants for review two
days after the meeting
125
ANNEX XVI
MoU MEHE-UNICEF signed on May 20, 2022
Shared as separate document
126

Operational HANDBOOK TREF 17-06-2022 - Pre-Final - Updated Sep 20 - 2022 - MEHE Endorsed Final Clean Version

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Operational HANDBOOK TREF 17-06-2022 - Pre-Final - Updated Sep 20 - 2022 - MEHE Endorsed Final Clean Version

Uploaded by

Copyright:

Available Formats

Operational Handbook for

Transition & Resilience Education Fund (TREF)

TREF Urgent Results Framework for System Readiness ................................................................. 44

AER Average Exchange Rate

NPTP World Food Programme

TPMA Third Party Monitoring Agency

A. Purpose and Scope of the Operational Handbook

6. This Handbook is subject to periodic reviews to adapt to changing circumstances. An

B. Structure of the Operational Handbook

PART I: Purpose & Key Features

▪ Governance Structure that is inclusive of relevant stakeholders and responds to

6. From ‘outside’ plan

Figure 1: Transformational Shifts under TREF

1. Investing in building a unified management arrangement and integrating any

Figure 2: TREF as Aid Synergy Catalyst

PART II: PARTNERSHIP GOVERNANCE & POLICY CYCLE

A. Management & Implementation Arrangement

3) Implementation Support Team (IST) is a senior-level technical assistance team

Figure 3: TREF Management Structure

29.1 Strategic Management Board

See Annex 15 for more details.

a. The MEHE defined priority areas of the 5-year Plan.

See ANNEX IV: Schedule of Consultation, Monitoring and Reporting

31. Implementation Support Team

B. Annual Planning and Budgeting

Figure 3: Annual Planning and Reporting Cycle

C. Technical Dialogue Structure

36.2 Education Sub-sector Working Groups

PART III: Fund Allocation, Financial Management

A. Two Funding Windows

Figure 4: Two TREF Funding Windows

B. Commitments & Disbursements by Contributing Partners

C. Hybrid Financial Management-Third Party

Figure 5: Hybrid Financial Management Set-Up

D. Step-by-Step Flow of Funds Linking Data to Payments

Figure 6 TREF Data and Fund Flow Steps

The above flow chart consists of the following operational steps:

Diagram 2: Post-Disbursement Financial Management Process for Teacher Payments

1. MEHE sends teacher and student attendance data to TP for verification

13. TP consolidates quarterly financial reports of the amounts paid to beneficiaries in

E. Financing Cycle & Disbursement Requirements & Payment Linked Indicators

F. Costing Model for Enrolment Fees Subsidies in Formal Primary Education

66. Adapted Unit Cost Model 2021/2022

USD @ actual Shift USD Shift USD

67.4 The new costing model:

Latest Contribution (USD Estimated average contribution from November

School Fund 7.50 137.27-141.6

67.10 A customized web application- https://fabdata-svelte-unicef-leb-

68. Moving from Top-Down Unit Costs to Actual Bottom-Up Budgeting

PART IV: ACCOUNTABILITY FRAMEWORK and

▪ Enrolment disaggregated by gender, nationality, grade, governorate, disability

72. Programmatic reporting

D. Harmonized and Unified Reports10

74. Reporting under TREF

Table 3: Critical Path for Annual Reporting

77. Types of Reports & Responsibilities

a. Quarterly FINANCIAL Reports

c. Annual Narrative PROGRESS Reports on TREF Priority Outputs and Programs

Prepared by MEHE staff with the support of the IST.

d. Annual M&E Report on TREF Priority Outputs and Programs

Prepared by international independent audit firm, which is selected and contracted by

Prepared by MEHE internal audit function.

Prepared by Team Leader of IST and submitted to the SMB.