Do I know that the Senate approved, and I, Garibaldi Alves Filho, President, pursuant to art. 48, paragraph XXVIII, the internal regulations, enact the following R E S O L U t I O N° 39 of 2007 Authorizes the city of Uberaba (MG) to hire external credit operation, with guarantee of the Union, by the International Bank for reconstruction and development (IBRD), worth up to $ 17,270, 000.00 (seventeen million and us $ 270,000) , principal, partial financing of the project of Environmental Recovery of the Uberaba River basin and revitalization of Water supply system? Project Living Water (Municipal Lending Program I: Uberaba Living Water Project).
The Senate resolves: Art. first is the city of Uberaba (MG) authorized to hire external credit operation, with guarantee of the Union with the International Bank for reconstruction and development (IBRD), worth up to $ 17,270, 000.00 (seventeen million and 270,000 u.s. dollars).
Sole paragraph. The resources from the external credit operation referred to in the caput are intended for partial financing of the project of Environmental Recovery of the Uberaba River basin and revitalization of Water supply system? Project Living Water (Municipal Lending Program I: Uberaba Living Water Project).
Art. 2 the credit operation referred to in art. 1st should be conducted under the following conditions: (I)-debtor: municipality of Uberaba (MG);
II-creditor: International Bank for reconstruction and development (IBRD);
III-guarantor: Federative Republic of Brazil;
IV-value: up to $ 17,270, 000.00 (seventeen million and us $ 270,000);
V-mode: Fixed Spread Loan (Fixed Margin);
VI-disbursement period: 5 (five) years;
VII-depreciation: in 24 (twenty-four), consecutive semi-annual installments, every 15 maturity of March and September 15 between 15 September and 15 March 2012 2024;
VIII-interest: required semi-annually, on 15 March and 15 September, calculated on the outstanding balance of the loan, the periodical a compound annual rate for six-month Libor for USD, plus a spread being determined by the Bird every fiscal year and fixed at the date of signature of the contract;
IX-Commission of appointment: 0.75% p.a. (75 cents for 100 year) on balances not paid required semi-annually, at the same payment dates of interest, entering into force 60 (60) days after the signing of the contract;
X-Commission in sight (front-end fee): 1% (1%) about the value of the loan, to be debited on the date on which the contract enters into effectiveness, and this fee is subject to a waiver (decrease of the percentage charged).
(1) the loan mode allows the conversion of interest rate applicable to partial or total amount of the loan, floating for fixed and vice versa; the establishment of ceilings and bands to interest rate fluctuation; the change in the reference currency of credit operation to amount already disbursed; and amend the reference currency of credit operation to amount to be disbursed.
(2) the exercise of the options referred to in paragraph 1 shall entail the recovery of costs possibly incurred by the Bird in the realization of the options, and transaction Commission (transaction fee), ranging from 0.125% (125 thousandths per 100) to 0.25% (twenty-five hundredths of a percent).
Art. third is the Union authorized to grant a guarantee to the city of Uberaba (MG) in the operation of external credit referred to in this resolution.
Sole paragraph. The authorization referred to in the caput is conditioned to the city of Uberaba (MG) celebrate the Union contract for the provision of counter-guarantees in the form of linking rights and credits relating to quotas and tax revenue set out in arts. 156, 158 and 159, combined with the art. 167, paragraph 4, of the Constitution, and all other warranties accepted law, and the Federal Government withhold the funds necessary to cover the commitments honored, constitutional transfers directly or centralised the collection accounts.
Art. 4 the authorisation granted by this resolution must be exercised within a maximum of 540 (540) days, counted from publication.
Art. 5 this decision shall enter into force on the date of its publication.
Senate, on 20 December 2007.
Senator Garibaldi Alves Filho Chairman of Senate