Consultancy Services to Conduct a Study on Own-Source Revenue Allocation Between Lower Level Governments (LLGs) and Local Government Authorities and Development of the LLGs' Own-Source Revenue Administration Guidelines under the TACTIC Project

THE UNITED REPUBLIC OF TANZANIA PRIME MINISTER’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

TANZANIA CITIES TRANSFORMING INFRASTRUCTURE AND COMPETITIVENESS PROJECT IDA CREDIT NO. 7151 -TZ

TENDER NO. 56/2026/2027/C/12 FOR PROVISION OF CONSULTANCY SERVICES TO CONDUCT A STUDY ON OWN-SOURCE REVENUE ALLOCATION BETWEEN LOWER-LEVEL GOVERNMENTS AND LOCAL GOVERNMENT AUTHORITIES AND DEVELOPMENT OF THE LOWER-LEVEL GOVERNMENTS’ OWN-SOURCE REVENUE ADMINISTRATION GUIDELINE REQUEST FOR EXPRESSIONS OF INTEREST (CONSULTING SERVICES – FIRMS SELECTION) 1. This request for expressions of interest follows the General Procurement Notice for the Tanzania Cities Transforming Infrastructure and Competitiveness (TACTIC) Project that appeared in the United Nations Development Business (UNDB) online Notice No. OP00215554 of February 21, 2023. 2. The Government of the United Republic of Tanzania has received financing from the International Development Association (IDA) towards the cost of the Tanzania Cities Transforming Infrastructure and Competitiveness (TACTIC) Project, implemented by the Prime Minister’s Office – Regional Administration and Local Government (PMO-RALG). Part of the proceeds of this financing will be applied to eligible payments under the contract for the provision of consultancy services to conduct a study on own-source revenue allocation between Lower-Level Governments (LLGs) and Local Government Authorities (LGAs) and to develop the LLG Own-Source Revenue Administration Guideline (LLG-RAG). 3. The overall objective of the assignment is to conduct a rigorous, evidence-based study across ten selected Local Government Authorities in Tanzania to determine which sources of own-source revenue should remain administered at the Lower-Level Government level and which should be collected at the LGA level, thereby providing the evidentiary foundation for a comprehensive and contextually appropriate Revenue Administration Guideline for LLGs. 4. The specific objectives of this assignment are to: (i) map and catalogue all existing sources of own-source revenue collected formally and informally at LGA, Ward, and LLG levels; (ii) analyse local economic drivers and link them to appropriate revenue sources for urban Mitaa, Rural Villages, and Ward centres; (iii) review legal, regulatory, and procedural gaps affecting fiscal jurisdiction between LGAs and LLGs under the applicable local government and finance legislation; (iv) assess administrative capacity, internal controls, financial infrastructure, staffing, and bookkeeping systems at Village and Mtaa levels; (v) develop objective criteria for allocating revenue sources between LGAs and LLGs; (vi) examine the integration of Development Control Guidelines and related by-law requirements, including fee definition, payment timelines, penalties, and revenue-sharing arrangements; and (vii) prepare a practical LLG Own-Source Revenue Administration Guideline for adoption and implementation. 5. The scope of services will include, but not be limited to: reviewing of relevant constitutional, statutory, regulatory, policy, guideline, audit, and comparative fiscal decentralization instruments; development of an inception report and detailed methodology; stakeholder engagement with PMO-RALG, Regional Administrative Secretariats, Council Directors, Financial Management Officers, Ward Executive Officers, Village Executive Officers, Mtaa Executive Officers, and other relevant stakeholders; field data collection in selected councils; revenue mapping and economic-revenue profiling; statutory and institutional gap analysis; assessment of LLG administrative and financial management capacity; analysis of revenue sharing, by-law, Development Control Guideline, and accountability arrangements; preparation of evidence-based recommendations; and preparation, validation, and finalization of the LLG Own-Source Revenue Administration Guideline. 6. The detailed Terms of Reference (TOR) can be found at the following website: https://www.tamisemi.go.tz. Requests for clarification should be sent through the following e-mail addresses: [contact details removed] or [contact details removed], and the Client will send responses to clarifications through the same e-mail addresses. 7. The Permanent Secretary, PMO-RALG, now invites eligible consulting firms to indicate their interest in providing the above services. Interested consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the services. The short-listing criteria are: (a) Type of core business and at least 10 years in relevant business; (b) Relevant similar experience, which should specifically include the following: (i) Experience in similar assignments - information to be provided should include the name of the assignments, the names and full contact addresses of the clients, the contract value (in equivalent US dollars), the period (month/year) of execution of the assignments, and the role played in the assignments (Lead or JV Partner); (ii) Demonstration of experience working in similar conditions; and (c) The firm's technical and managerial capability (provide only the organizational structure, and the general qualifications, field of expertise and number of key personnel). Do not provide the CVs of the staff. Experts will not be evaluated at the shortlisting stage. Consultants may associate with other firms to enhance their qualifications, but they should indicate clearly whether the association is in the form of a Joint Venture (JV) and/or a Sub-Consultant. In the case of a joint venture, all the partners in the joint venture shall be jointly and severally liable for the entire contract, if selected. Therefore, each member of the JV shall independently meet the requirements of the evaluation criteria. The experience, technical & managerial capability of the sub-consultant shall not be evaluated to enhance the qualification of the Lead Firm or J