USAID CBJ FY 2002: Honduras

Summary: USAID's environmental management activities are focused on improving sustainable management of the natural environment and protecting biodiversity. Poor management of protected areas and watersheds contributed to the high level of damage and destruction caused by Hurricane Mitch. Deforested hillsides became landslides or failed to hold water, thereby contributing to flash floods and heavy siltation of rivers. Experience with sustainable environmental management is limited and Honduras has few trained professionals in this field. Many hillside farmers and even some foresters operating in key watersheds are not familiar with soil and water conservation methods. Municipal governments and community organizations have limited technical and financial capacity to properly address their natural resource management problems. Though growing in number and strength, environmental groups are few and relatively weak. While the Government of Honduras (GOH) is taking some positive steps, e.g., declaring numerous "protected areas," the budget to actually "protect" them is lacking because environmental protection is still a low priority. Primary beneficiaries are both the current and next generation of Hondurans who must depend upon the country's natural resource base for their future economic well being, as well as those who might be subject to future disasters.

Key Results: Activities in this area will focus on: 1) increasing the number of non-governmental organizations (NGOs) working directly in watersheds and protected areas, and 2) improved forestry and watershed management in targeted areas, including a greater number of communities and municipalities collaborating on forestry/watershed management.

Performance and Prospects: USAID provides support to strengthen Honduran institutions and finances sub-grants for environmental protection through the Honduran Environmental and Development Foundation (Fundacion VIDA). Several sub-grants link U.S. environmental NGOs, such as the Wildlife Conservation Society and the Center for Tropical Conservation, with local organizations to improve protected areas and watershed management. These organizations are developing improved management plans for selected areas within the Honduran National System of Protected Areas. Improved management of these areas includes definition of area limits, legal declaration of the park or reserve, demarcation of boundaries, assignment of institutional responsibilities, preparation of management plans, and infrastructure development. Sustained implementation involves mobilizing public and private resources and economic incentives for wise resource use. With USAID assistance, protected areas under improved environmental management have increased from one area, covering 5,000 hectares, in 1993 to eighteen areas, covering 193,873 hectares, in 2000.

During the past decade, USAID's forestry development activity had a major impact on Honduras' forestry sector by helping to move it from a state of unmanaged exploitation to a managed system of public and private harvesting practices and open standing timber sales. This activity has now been oriented toward improved watershed management that complements hurricane reconstruction activities carried out through NGOs and municipalities. It is implemented through the National School of Forestry Science (ESNACIFOR), which teaches forestry practices that directly contribute to proper management of Honduras' watersheds. The training courses emphasize the use of practical, hands-on exercises that allow municipal officials, community members, and forest technicians to identify factors that negatively affect the watersheds under their jurisdiction. ESNACIFOR also instructs participants on how to request and/or enforce legal and technical actions regarding protection of the watersheds.

With USAID assistance, ESNACIFOR has established a unit responsible for providing technical assistance and support to municipalities and regional municipal associations. ESNACIFOR's assistance to municipalities includes: 1) in-the-field direct technical assistance to municipal staff responsible for environmental matters; 2) analysis of specific environmental issues as requested by the municipalities or as identified by ESNACIFOR technicians; and 3) water quality analysis. ESNACIFOR has ongoing field activities in Guanaja Island, the Río Calán watershed in Siguatepeque, and ESNACIFOR's pine forest. This fieldwork not only contributes to effective watershed management in these selected areas, but also functions as on-the-ground models for training purposes. Additionally, because uncontrolled fires expose mineral-rich soil and increase vulnerability to both water and wind erosion, USAID is supporting ESNACIFOR's fire prevention and fire control activities, including the use of prescribed burns.

FY 2001 funds will be used to: improve environmental management of protected areas ($1,255,000); increase technical capacity in watershed management ($325,000); improve municipal environmental units ($167,840); and increase the area covered by improved watershed management practices ($125,000). In addition, $1,818,160 in FY 2001 funds and $2,800,000 in FY 2002 funds will be used to finance a new water resources and watershed protection activity.

Possible Adjustments to Plans: Hurricane Mitch supplemental funds have been used to initiate a comprehensive approach to watershed management in targeted watersheds damaged by Mitch. USAID is putting in place important partnerships between NGOs, municipalities, and communities that will be critical to promoting improved watershed management practices such as use of hillside agriculture technologies, reforestation, and protection of designated forest areas and water sources. In order to have full and lasting impact, however, these partnerships will require support for a longer period than what is possible under supplemental funding. The first (supplemental-funded) phase focuses on emergency rehabilitation, planning, and development of watershed management plans and provides training for key actors involved in watershed management. Follow-up activities will implement the plans developed in the first phase (although supplemental funds will be used to help implement existing municipal watershed plans developed under previous USAID and other donor initiatives). USAID will focus on crosscutting water management issues by working with local governments and water-user groups to identify pressing water resource needs. Technical assistance will support the creation of appropriate public policies and problem resolution. Technology transfer and a focus on increased awareness will contribute to improved water resource management. Building on a productive partnership with NGOs and municipalities to carry out these activities will help address the complex relationships between agricultural production, rural migration pressures, and land use, bringing about a real and sustained impact.

Central America, including Honduras, is experiencing an alarming increase in the incidence of Pine Bark Beetle, a very destructive insect when populations reach epidemic proportions. Belize has reported a loss of 30,000 hectares - more damage than was caused by Hurricane Mitch. USAID is providing technical assistance in assessing the population growth and level of threat to Honduran pine forests, and is coordinating possible response strategies with the Food and Agriculture Organization (FAO) and other donors. If the threat becomes an epidemic in Honduras, USAID will need to consider providing additional funds for a control program.

Other Donor Programs: Close technical cooperation between USAID, the World Bank, the United Nations Development Program, German Agency for Technical Cooperation, FAO, other donors, and environmental NGOs, is helping the GOH to fulfill its role as guardian of the country's environment.

Principal Contractors, Grantees, or Agencies: U.S. organizations include the Biodiversity Support Program Consortium. Honduran organizations include Fundacion VIDA and ESNACIFOR.

Honduras: 522-002

U.S. Financing

(In thousands of dollars)

	Obligations		Expenditures		Unliquidated
Through September 30, 1999	26,067	DA	23,663	DA	2,404	DA
	0	CSD	0	CSD	0	CSD
	0	ESF	0	ESF	0	ESF
	0	SEED	0	SEED	0	SEED
	0	FSA	0	FSA	0	FSA
	0	DFA	0	DFA	0	DFA
Fiscal Year 2000	1,200	DA	1,162	DA
	0	CSD	0	CSD
	0	ESF	0	ESF
	0	SEED	0	SEED
	0	FSA	0	FSA
	0	DFA	0	DFA
Through September 30, 2000	27,267	DA	24,825	DA	2,442	DA
	0	CSD	0	CSD	0	CSD
	0	ESF	0	ESF	0	ESF
	0	SEED	0	SEED	0	SEED
	0	FSA	0	FSA	0	FSA
	0	DFA	0	DFA	0	DFA
Prior Year Unobligated Funds	0	DA
	0	CSD
	0	ESF
	0	SEED
	0	FSA
	0	DFA
Planned Fiscal Year 2001 NOA	3,691	DA
	0	CSD
	0	ESF
	0	SEED
	0	FSA
	0	DFA
Total Planned Fiscal Year 2001	3,691	DA
	0	CSD
	0	ESF
	0	SEED
	0	FSA
	0	DFA
			Future Obligations		Est. Total Cost
Proposed Fiscal Year 2002 NOA	2,800	DA	6,000	DA	39,758	DA
	0	CSD	0	CSD	0	CSD
	0	ESF	0	ESF	0	ESF
	0	SEED	0	SEED	0	SEED
	0	FSA	0	FSA	0	FSA
	0	DFA	0	DFA	0	DFA

Honduras

Activity Data Sheet

Honduras: 522-002

U.S. Financing