MISSION PLAN FOR ADVANCING DEMOCRATIC REFORMS IN

C O N F I D E N T I A L RABAT 001392

SIPDIS

NOFORN
SIPDIS

STATE FOR NEA/OFI, NEA/MAG AND DAS CARPENTER

E.O. 12958: DECL: 07/21/2016
TAGS: EAID ECON KDEM PGOV SCUL KMPI MO
SUBJECT: MISSION PLAN FOR ADVANCING DEMOCRATIC REFORMS IN
MOROCCO: STATUS REPORT #5

REF: A. 05 STATE 806071

B. RABAT 668

Classified By: DCM WAYNE J. BUSH FOR REASONS 1.4 B & D


1. (U) Per ref A Action Request, Post submits the
following quarterly assessment of its Democratic Reform
Strategy as outlined in ref B. Our report is keyed to
the Milestones (M) and Tactics (T) outlined in our
strategy and provides an update through June 30, 2006.
Update narratives contain both a summary of GOM progress
towards the Milestone and executed or pending post
activities to implement the Tactics.

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2. (C) Objective One: Competent,
Effective, Responsive Government
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M: Morocco maintains MCA eligibility by meeting reform
criteria for FY 06, October 2005.

-- Assessment: On November 8, 2005, the USG announced
that Morocco had successfully maintained its MCA
eligibility for FY06. Consistent lobbying by post and
consultation with the GOM helped lead to the successful
completion of this milestone.

M: Political parties implement the political party law
currently under consideration in parliament making parties
more transparent, effective, democratic and responsive,
December 2005.

T: Direct post and MEPI implementer engagement with
political parties to encourage adoption and application of
the new law.

-- Assessment: We have achieved substantial progress in
this field. While the new political party law has been
passed by Parliament, post continues to work with
political parties to help them understand the law and
implement it more fully. Ambassador Riley has advocated on
this subject repeatedly, most recently with leading
political parties from March to May 2006. Previously,
Ambassador raised this issue with the Speaker of the
Parliament and the Minister of Justice, and post helped
organize two roundtable debates with Members of Parliament
(MP),civil society, and academics on the political party
law. MEPI/USAID implementer NDI is preparing a training
seminar on implementation of the new law.

M: Parliament improves its capacities to meet its
constitutional responsibilities by 1) adopting a new
external communication strategy, December 2005; 2)
asserting its authority to review, adopt, and monitor
the national budget, December 2006.

T: MEPI implementers and USAID's Parliament Support
Project provide the technical assistance required.

-- Assessment: Post has been successful in these efforts
and both indicators specified in this milestone have been
achieved. Drawing upon project-funded oversight training,
the Finance Chairman of the lower house successfully
challenged the GOM when it introduced an amendment to the
budget that neither house had approved. The Parliamentary
Support Project has assisted with the development of a
communications strategy for Parliament and the procurement
of communications advisory services. The Chamber of
Representatives has recently approved the recommended
communication strategy to use as an internal roadmap to
improve its public dialogue.

M: Enhance the availability and delivery of local
government services in response to citizen priorities by
improving access to private financial markets through a

municipal credit rating system, December 2006.

T: Implement USAID Local Governance and Transparency
Program providing specific performance measures to
strengthen the management and financial capacity of local
governments.

-- Assessment: Mission has made limited progress in this
field to date. It has used the detailed performance
measures developed by Research Triangle Institute to
assess the program and initial assessments will soon be
conducted to identify pilot municipalities. Progress
has been made in the development of information systems
through the USAID project, promoting public access to
information used for decision making. This milestone
will not be achieved by December 2006.

M: Coordination between public authorities and civil
society improves as evidenced by MCA national compact
consultations, January 2006.

T: Use MEPI and Mission events to promote coordination
between Moroccan government and civil society.

-- Assessment: Partial progress has been achieved as
the consultative process expanded to the national level.
On March 28-29, the GOM hosted a national consultative
workshop with 400 participants including civil society,
universities, and the private sector. Several regional
meetings were subsequently and attended by MCC Associate
Director for Morocco. MCC also visited Morocco in April
and June to discuss the consultative process with the
GOM and NGOs.

M: Parliamentary passage of banking sector reform law,
2005; implementation of banking reform law and Central
Bank reform law, January 2006; parliamentary passage of
anti-money laundering legislation, January 2006.

-- Assessment: The bank reform bill and the Central Bank
reform law have been passed and are in the implementation
stage. However, this milestone is only a partial success
because Anti-Money Laundering (AML) legislation has not
yet been passed. However, after a three-year delay, the
GOM's Council of Government approved AML legislation.
Next, it must be approved by the Council of Ministers and
the Parliament. Ambassador has met and discussed the
importance of AML legislation with the presidents of
Morocco's leading banks.

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3. (C) Objective Two: Inclusion and Opportunity
-------------- --

M: Increased awareness of family code reforms on the part
of citizens, judges and other public authorities,
especially in rural areas as witnessed through increased
use and application of the provisions of the family code,
December 2006.

T: Use MEPI and small grants programming to disseminate the
new reforms in imaginative and effective ways; signed the
USAID/MEPI Grant program for the development of
learner-friendly literacy materials on the family code in
July 2005; support an extension of current MEPI-funded
activities.

-- Assessment: Post's reform programs have achieved partial
success in supporting implementation of the Family Law Code
(Moudawana). However, no systematic GOM effort to raise
awareness of the law, particularly amongst rural women,
exists and civil society activists are concerned the
reforms are not "trickling down." MEPI programs are
helping to fill the gap. For example, the judicial
training program will ensure that Moudawana awareness is
incorporated into the continuing legal education system and

the training of new judges. However, this program is at
its inception. Post was successful in its efforts to
obtain an additional USD 300,000 in MEPI and ESF funding
for the next phase of the Global Rights' project of working
with local NGOs and associations to raise awareness of the
Moudawana.


M: Expand the number of literate Moroccans, including
adults, October 2005.

T: The USAID MEPI-funded Literacy program, launched in July
2005 with classes focusing on literacy for adults,
particularly women in rural areas beginning October 2005.
Open ESF-funded new girls' homes enabling rural girls to
continue education beyond the sixth grade.

-- Assessment: Post awarded grants to four NGOs in
different parts of the country to open dormitory-style
girls homes. In December 2005, AED awarded MEPI-funded
grants to 16 Moroccan NGOs for literacy programs. Each NGO
is training 100 women and will participate in the
development of literacy training material based on the
Moudawana. Additionally, 1050 women are receiving literacy
training from ALEF.

M: Increase the relevance of education opportunities for
Moroccan young people (as measured by decreased student
drop out rate in the educational system, through 9th grade,
especially among girls and by access to vocational
training),November 2005.

T: USAID's integrated basic education and vocational
training program.

-- Assessment: The basic education and vocational training
program is on track however, the milestone
indicator will take more time to achieve. The CISCO
network training program has shown promising results after
the first cycle. CISCO has delivered job preparedness
training to 300 students. Of these students, 238
completed the training and 35 percent of them found a job
within three months. An additional 10 percent are
continuing their education. One hundred recipients of
Women in Technology scholarships are taking CISCO network
training at the USAID-supported CISCO Academies with the
first students having graduated in summer 2005.

M: FTA Implementation begins, January 2006.

T: MEPI and USAID-funded technical assistance ongoing. A
USD 1 million MEPI-funded Commercial Law Development
Program (CLDP) Legal Review has been completed and a second
one for USD 1 million will be implemented this fiscal year.

-- Assessment: This milestone has been successfully
completed as the FTA went into effect on January 1, 2006.
CLDP designing programs to maximize effectiveness of
additional USD 1 million MEPI FTA implementation funds.
These will focus largely on transparency and customs
facilitation. USAID has launched its largely ESF-funded
New Business Opportunities, New Business Environment and
Agro-Business programs. Nearly USD 10 million in MEPI FTA
implementation technical assistance distributed. USPTO
IPR training and the final year of IESC Morocco Fast Track
Trade Program still pending completion.

M: Expanded understanding and enforcement of Morocco's new
labor code and labor requirements of U.S. Free Trade
Agreement, December 2006.

T: USD 3.0 million in DOL/ILAB grants to ILO to train labor
inspectors, labor unions and employers in new labor code
and disseminate public information concerning new code.
MEPI USD 500,000 grant for Moroccan-hosted regional
conference to promote labor standards and explain FTA labor

requirements and to defray costs of Moroccan participation
in December 2005 conference in Oman.

-- Assessment: Programs within this milestone are underway.
A chief technical advisor (CTA) selected by USDOL and ILO
conducted an intensive training program of the GOM Labor
Inspectorate in 2005. USDOL joined with the GOM and USTR
in hosting a MEPI-sponsored North Africa Middle East Labor
Dialogue in Rabat and a total of 65 Middle East
representatives took part. The first phase of a labor code
training project ended in June 2005 with 310 labor
inspectors and 43 regional employment representatives
receiving training. As a result, the number of successful
labor mediations has increased and the number of days lost
to strikes diminished by 27 percent in 2005 compared to 2004.


The second phase, to teach 30 inspectors how to train
others in inspection methods, is now underway. An
inspection strategy has been designed and published and
training sessions are being coordinated on how to conduct
a physical inspection. Phase three of the project,
mediation and negotiation training, is now in the planning
stage. Inspectors who have received training say it was
very successful. Between April and June, plans for a study
tour, and conducting seminars in Fez and Tanger were
developed.

M: MCA Compact concluded and MCC-funded reform projects
begin, January-December 2006.

T: U.S. Embassy and Washington visitors monitor and
actively support MCA dialogue and compact finalization.
MCC provides in-country permanent staff to support
implementation and monitoring of MCA projects.

-- Assessment: The GOM submitted its third compact proposal
in May 2006. Negotiations continue with MCC to develop
clear and measurable action plans that produce economic
growth to qualify to use MCC funding. MCC personnel
continue to visit Morocco on a regular basis to consult
with the GOM, NGOs and other donors.

M: Improve English Language instruction in Moroccan high
and middle schools, September 2006.

T: Regional English Language Office and Bureau of ECA
exchange programs to "train the trainer" in modern,
content-based ELT methods that focus on practical language
skills that enhance the marketability of graduates.

-- Assessment: This milestone has been successful in a
number of different ways. The 2005, PAS's Summer Institute
trained 54 Moroccan English teachers and it plans to teach
80 more in 2006. The English Language Specialists project
is a low-cost program that reaches hundreds of Moroccan
teachers and exposes them to U.S. best practices at
workshops throughout Morocco. The E-Teachers program
allows seven Moroccan English teachers to enroll in
graduate level classes at American universities.

The MEPI-funded "English in a Box" program provided 44
sets of materials to youth centers throughout Morocco and
11 sets to English ACCESS Micro-scholarship schools. This
innovative placement of materials brought excellent
results including the most positive comments from students
in the history of the program. PAS and ECA funded English
language specialist Kathy Nyikos to conduct workshops on
"Teaching in Large, Resource-challenged classes" to nearly
400 teachers in five Moroccan cities.

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4. (C) Objective Three: Freedom of Expression
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M: Legislation is passed to revise the existing press code

and decriminalize libel. Journalists previously jailed for
libel freed, December 2005.

T: Provide MEPI-funded programs and IV programs on media
law; distribute IIP products promoting a free press, design
speaker programs to address press ethical practices and
confidence building between the press and politicians, and
advocate at all levels of Moroccan government for press
freedom.

-- Assessment: We have had very limited progress in this
field. Revision of the press code is not moving forward
and the GOM has not yet submitted this legislation to
Parliament. Work on the legislation is under way with
discussions ongoing between the national press union, the
Federation of Moroccan Publishers, and the Ministry of
Communications. Journalists are out of prison, but heavy
fines continue to be imposed on others.

The Ambassador has conducted advocacy on this issue with
the Ministers of Communications and Justice. Ambassador,
DCM and members of PAS continue to conduct advocacy related
to press freedom with GOM officials and members of the
press. Embassy is working with MEPI to target IREX
activities at this reform objective.

M: Journalists adopt uniform, national, professional
standards for journalism ethics leading to enhanced
professional performance in media coverage, July 2006.

T: Renew Mission outreach and training programs to
professionalize the Moroccan media. Work with professional
associations to encourage adoption of journalistic ethical
standards.

-- Assessment: This milestone has had limited progress.
Legislation for the new press code, which is to establish
a National Press Council to address ethics cases, has not
been drafted yet. The current ethics committee of the
National Press Union appears to be moribund. Moroccan
newspapers have suffered a spate of libel cases that have
resulted in disproportionately large damages. In some
cases this threatens the financial viability of the papers.
Morocco has relatively few libel cases, but it appears
that the Moroccan judicial system is targeting independent
print media.

In 2005, PAS conducted extensive outreach activities
offering journalism and ethics training, sent 15 Moroccan
journalists to the U.S. on various exchange programs and
plans to send 10 to 15 more in 2006. In February 2006, a
week-long speaker program brought top press editors,
politicians and human rights advocates together to debate
press freedom, as well as professional training to
broadcast media students. In April 2006, a speaker program
provided on-line investigative reporting training to
regional correspondents in the Fes/Meknes region. MEPI
contractor IREX is working to implement a regional media
program, and will hold a conference in Morocco in September
2006 on Arab media and the media sustainability index.

M: New licenses granted to radio and television outlets
signaling liberalization of the broadcast media sector,
February 2006.

T: Utilize MEPI-funded programs to teach marketing and
technical training for small radio station operators;
implement IV program to encourage broadcast entrepreneurs;
obtain training opportunities through IBB and Department of
State programs to enhance professionalism among private and
public broadcasters.

-- Assessment: This milestone has been fully achieved. The
governing body that is responsible for issuing licenses to
new radio and television stations, Haute Autorite de la
Communication Audiovisuelle (HACA),granted 11 new radio

licenses (including Radio Sawa) and one new television
license in May 2006, heralding in a new era for the
Moroccan broadcast media sector. More licenses are
expected to be issued in approximately one year after the
GOM has had a chance to gauge the effects on the Moroccan
public of the first wave of new radio stations.

M: Women prepare to launch candidacies for 2007
parliamentary elections, December 2006.

T: MEPI and small grants to support women's representation
in the formal political system, September 2005-April 2006.

-- Assessment: Partial progress has been achieved,
although it is still early to assess results. Women's
groups have announced a goal of reserving 33 percent of
parliamentary seats for women. USAID requested ESF support
for women's political participation. MEPI has indicated
there is support for encouraging women's participation in
political processes, but no funding has been provided.

M: Civil society organizations (CSO) assume their role in
defining, expressing and addressing the priority policy
concerns of organized groups of citizens, October 2006.

T: Promote CSO participation in international and regional
dialogues, including the Forum for the Future in Bahrain;
Design and launch a USAID program for institutional
capacity building and policy advocacy to support public
participation (unfunded); MEPI grants to support activities
aimed at building institutional capacity in civil society.

-- Assessment: Post's programs have registered partial
progress in this field. A MEPI SPA Grant partially funded
Tanmia.ma, an NGO web portal that established focal point
centers to get grassroots organizations "on-line."
There was strong Moroccan participation in the Democracy
Assistance Dialogue (DAD) for civil society meeting in
Venice in July 2005, and Morocco hosted the DAD in October
2005 with strong civil society participation (and strong
support from Embassy Rabat). This brought NGOs and
government representatives from around the region together
for a discussion of democracy. Three Moroccan NGOs
attended the Forum for the Future, hosted by Bahrain, which
offered civil society organizations an opportunity to share
their work and recommendations. The GOM has worked for
continued prominent roles for civil society in future Forum
for the Future meetings. The consultative process for
MCC's Compact proposal expanded from the regional level to
a national one that included a March 28-29 conference
including universities, the private sector, NGOs, local
associations, and the GOM.

M: Youth acquire the civics knowledge and organizational
skills to constructively contribute to democratic life in
Morocco, December 2006.

T: Design and launch a USAID program for creating
youth organizations and civics education (unfunded); MEPI
grants to support creation of youth organizations, civic
education and the political participation of young people.

-- Assessment: Progress in this milestone has been limited
by a shortage of funds. USAID has made an initial proposal
to USAID/Washington on youth support/participation programs
focused on youth centers and organizations (this initiative
is dependent on the availability of ESF funding). Arab
CIVITAS has trained over 3,500 middle and high school
students on its "Project Citizen" modules in addition to
teachers and some university level students. This project
was completed in January 2006, but received bridge funding
through April. A three-year extension is under review, but
can only move forward with adequate ESF funding, which was
drastically reduced in FY06. USAID has been advocating for
a pilot project for the use of alternative electronic media
(podcasts and streaming audio/video ) to promote youth

participation/civics education under a program that
supports innovative IT programming.

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5. (C) Diplomatic Strategies
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M: Ongoing dialogue and advocacy on reform efforts by
Ambassador, DCM and other Embassy officers with Moroccan
officials and civil society.

-- Assessment: This milestone has been achieved and it
continues to produce results. Ambassador and DCM have
demarched key GOM interlocutors (including the MFA, the
Prime Minister, and other Ministers) on reform objectives.
Post organized roundtable exchanges between four separate
Codels (Smith, King, Lugar and Lantos) and Parliamentarians
on democracy and reform. Embassy conducted strong advocacy
on freedom of expression with Ministries of Justice,
Foreign Affairs and Communications. Ambassador lobbied key
legislative and executive branch officials on FTA-related
legislation, MCA, AML, and press freedom. MCC CEO
Danilovich, the Ambassador and DCM met with civil society
members in January. Also in January, Representative Lantos
met with reformers.

M: Vigorous public diplomacy programs targeting reform
priorities.

-- Assessment: Post has been successful in this field.
PAS continues to expand its outreach program to outlying
areas through the Internet and speakers programs. Post
used the Karen Hughes visit to reinforce the use of Dar
America for youth-oriented outreach.

Previous efforts include PAS conducting regular outreach
activities including guest speakers (such as one in
February on freedom of expression in television reporting
and confidence building between journalists and
politicians),IV programs, media placements and targeted
information distribution. Using PAS funding, provided
Internet training for conducting research to journalists
in seven smaller Moroccan cities. Dar America in
Casablanca has organized one or more discussion programs
each month on topics related to our overall reform strategy.
In the first quarter of 2006, topics included the role of
diversity in American society, the Civil Rights movement in
the United States, the role of press in U.S. society, and
the changing role of women in the America. The Ambassador
has spoken in a variety of public venues (including formal
speeches and media interviews) advocating our reform agenda.
During the first three months of 2006 public diplomacy
efforts included the following: numerous meetings with
senior level GOM officials, private sector representatives,
Moroccan reformers and a press conference to discuss reform
issues during the Lantos visit; the Ambassador's interview
with L'Economiste newspaper to discuss the economic reforms
of the FTA and its related political implications, the
Ambassador's hosting of a meeting for 20 civil society
representatives to discuss their participation in the
formulation of the GOM's MCA compact proposal and the need
for reform; a reception for the GOM's FTA negotiating team
that was well attended by local media; and numerous
interviews and press conferences during the visit of MCC's
Danilovich to address reform issues.

M: Semi-annual convening of the Assistant Secretary level
strategic dialogue to set benchmarks and evaluate progress.

-- Assessment: Ongoing. In May 2006, NEA Assistant
Secretary Welch discussed reconvening the strategic

SIPDIS
dialogue with Minister of Foreign Affairs Benaissa. In
March, Deputy Secretary Zoellick and Assistant Secretary
Welch met with Deputy Foreign Minister Fassi Fihri and
Moroccan Permanent Representative Sahel in Washington.
Reform issues were discussed, especially freedom of

expression.

M: CODEL and congressional staff involvement in visits to
Parliament.

-- Assessment: Post has been successful in this milestone.
In FY-05 CODEL Smith lobbied for banking reform and AML
Legislation, and conducted a successful roundtable with
Parliamentarians on a range of political and economic
issues. CODEL King discussed Morocco's democratic
transition with Parliamentarians. Senator Lugar met with
reformers, and the National Congress of State Legislators
(NCSL) held a seminar for 40 parliamentary staff to
improve research and communication. In FY-06 NCSL held a
regional parliamentary workshop, bringing legislators and
staff from Morocco, Algeria, and Tunisia together with
three state senators from the legislatures of Alaska,
Illinois and Nevada. In addition, a delegation from the
American Council of Young Political Leaders met with
parliamentary leaders and youth groups. In January 2006,
Representative Lantos met with Parliamentarians, and in
March Staffdel Phelan the House International Relations
Committee/House Democracy Assistance Commission staffers
met with Parliamentary staffers.

M: MCC engagement with GOM and civil society on compact
negotiations.

-- Assessment: There has been progress in the consultative
process. The MCC has visited Morocco 12 times (three times
this quarter) and regularly promotes the consultative
process between the GOM and civil society members. In
March 2006, the GOM hosted a national workshop on the
consultative process that included universities, NGOs, the
private sector and other donor organizations. The GOM has
hosted several other regional consultative meetings since
then. Post continues to promote the consultative process
to the GOM and it was the major subject of Jettou's visit
to Washington in March.

M: Regularly Scheduled USTR/MFA Meetings to review FTA
implementation per the agreement text.

-- Assessment: Progress has been very limited. The USTR
needs to convene a series of meetings with the GOM
(possibly starting with a Shaun Donnelly-Taib Fassi Fihri
meeting),beginning with the agricultural committee
(tentatively scheduled for summer 2006). Previously, Post
facilitated regular contact between USTR and the GOM, which
led to the FTA's entry into force on January 1, 2006.

M: Intervention by senior officials on the margins of
international fora to reiterate importance of reform in the
region.

-- Assessment: Post's efforts have been successful in this
milestone. In May, the Ministry of Foreign Affairs'
Director for Bilateral Affairs, Yousef Amrani, attended
the Forum for the Future preparation meeting in Moscow.
Previously, U/S Burns met FM Benaisa in 2005 on the
margins of UNGA and discussed reform issues. NEA DAS
Carpenter met with Deputy Foreign Minister Taib Fassi
Fihri on the margins of the DAD to discuss progress on
Moroccan political openness. At the Forum for the Future,
U.S. and Moroccan representatives consulted on the Fund
for the Future. In January 2006, the Ambassador
participated in a roundtable on reform organized by the
Center for Strategic and International Studies.

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6. (C) Programs Conducted with Additional Resource
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M: English-Language Training: Provide English language
training to up to 2,000 underprivileged young Moroccans,
similar to the current English Access Micro-Scholarship

Program, in 10 of Morocco's cities where the
disappointment, disaffection and disengagement of a
large number of urban poor is a growing problem. In
addition to the practical and marketable language skill
this would provide, the program would also connect the
students to the world outside of their disadvantaged
neighborhoods, introduce them to American culture and
values and, both through lesson content and targeted
programs, encourage their participation in civil society.

-- Assessment: This field has been very successful due to
a variety of different programs. English Access
Microscholarships provided English training to 576 young
people, making Morocco's program the second largest in the
world. AMIDEAST and Peace Corps-instructed summer camps
also provided successful English instruction to Moroccan
youth.

M: Additional Media training.

-- Assessment: We have had partial progress in this field.
PAS secured funding for English language training for
approximately 100 journalists in eight cities: Agadir,
Casablanca, Fes, Marrakech, Meknes, Rabat, Tangiers and
Tetouan through the American Language Centers. While
some journalists are still enrolled in English courses
and have made significant improvement, the drop out rate
remains high.

M: Increased civil society capacity building

-- Assessment: Limited progress. MEPI RO conducted
Strategic Planning for Local Organizations for Moroccan
NGOs in Casablanca September 2005. USAID civil society
programming assessment done in November 2005. Activities
are being delayed due to a lack of funding. However, a
new one-million dollar USAID ESF-funded civil society and
elections program is in the design process.

M: Additional Youth organizing/civic participation

-- Assessment: Partial progress. Under Secretary for
Public Diplomacy and Public Affairs Karen Hughes conducted
extensive youth outreach during her visit in June. NDI is
forming cadre of young officials by involving party youth
movements in training programs. The embassy hosted an
informal gathering of Moroccan youth in August 2005 to
elicit views on issues of concern. Recommendation to
include youth issues into broader public participation
project including civil society. Further activities are
postponed due to a lack of funding.
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RILEY