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Transition Initiatives Country Programs: Honduras

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Program Summary (May 1999)

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Transition Initiatives: Honduras Program Summary (May 1999)

Helping To Rebuild

Hurricane Mitch swept through Honduras in October 1998, devastating the country. Helping Hondurans recover from the severe damage caused by the hurricane required an extraordinary relief effort and large-scale reconstruction assistance. The dire nature of the situation was dramatically illustrated by the hundreds of families living in temporary shelters like the Honduran Olympic Stadium, where they lived below bleachers, in changing rooms, and in tents on the playing fields.

In the capital, where the largest number of people were left homeless, OTI worked closely with the local government to find a permanent housing solution for families who lost their homes in storm flooding. OTI coordinated donor and NGO meetings and provided technical assistance and funding to overcome hurdles that might otherwise have impeded replacement housing activities.

OTI funded a national evaluation of short-term employment needs in the worst-hit areas outside the capital. Analysis showed that immediate repairs of key rural roads and bridges would restore private investment and replace lost jobs. OTI also funded the initial implementation plan for that activity.

In April 1999, an innovative, hybrid voucher/grant program was initiated by OTI, in cooperation with USAID/Honduras and the International Organization for Migration, to help 2,000 displaced families living in "macro-shelters" like the Olympic Stadium. Beneficiaries of this program received a voucher for an amount of money that could be applied toward a more permanent housing solution. The amount was insufficient to pay for a complete solution, but motivated NGOs with housing programs to prioritize shelter for voucher recipients. The NGOs "cashed-in" the vouchers and used the funding to improve their projects and infrastructure.

OTI and the mission also worked with other multilateral donors to design an effective oversight mechanism to identify and report on potential misuse, abuse, and fraud associated with reconstruction activities.

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