Provisional Measure No. 2078-36 Of January 25, 2001

Original Language Title: Medida Provisória nº 2.078-36, de 25 de Janeiro de 2001

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PROVISIONAL MEASURE # 2.078-36, OF January 25, 2001

Institution the Special Financing Program to combat the effects of estimation in the area of acting of the North-East Development Superintendency-SUDENE, and gives other providences.

THE PRESIDENT OF THE REPUBLIC, in the use of the attribution that confers you the art. 62 of the Constitution, adopts the following Interim Measure, with force of law:

Art. 1º It is hereby instituted the Special Funding Program to rural producers who have their activities impaired by the effects of the estimation that assorts the area of acting of the North East Development Superintendence- SUDENE.

§ 1º The Special Financing Program that treats this article will be operated by the Bank of Northeast Brazil S.A. and will count on features of R$ 450,000,000.00 (four hundred and fifty million reais) coming from the following sources:

I-R$ 280,000,000.00 (two hundred and eighty million reais) of the North East-FNE Financing Constitutional Fund, established by Law No. 7,827 of September 27, 1989 ;

II-R$ 120,000,000.00 (one hundred and twenty million reais) of the Amparo Fund to Worker-FAT, instituted by Law No. 7,998 of January 11, 1990 ;

III-R$ 50,000,000.00 (fifty million reais) of programs run by the National Bank for Economic Development and Social-BNDES.

§ 2º Fifty per cent of the resources allocated to the Special Financing Program that treats this Provisional Measure should be earmarked for the mini and small producers exploring areas of up to four rural modules and, cumulatively, be framed in the criteria applicable to the National Agricultural Strengthening Program-PRONAF.

§ 3º Based on the annual gross revenue obtained in the previous financial year, in rural activity, it is considered, for the purposes of this Provisional Measure:

I-major producer, the one with revenue exceeding R$ 500,000.00 (five hundred thousand reais) ;

II? medium producer, the one with revenue of over R$ 80,000.00 (eighty thousand reais) and up to R$ 500,000.00 (five hundred thousand reais) ;

III? mini and small producer, the one with revenue equal to or lower than R$ 80,000.00 (eighty thousand reais).

Art. 2º Rural financing contracted to the ampal of the Special Financing Program will have the following conditions:

I? interest:

a) of three per cent per year, in the custi operations ;

b) of six per cent per year, in investment financing ;

II? deadlines:

a) of up to four years, included up to two of deficiency, in the custio operations ;

b) up to twelve years, included up to four of deficiency, when it comes to credits for investment ;

III? limits of funding:

a) mini and small producers: R$ 15,000.00 (fifteen thousand reais) ;

b) average producers: R$ 35,000.00 (thirty-five thousand reais) ;

c) major producers: R$ 50,000.00 (fifty thousand reais).

Single Paragraph. The funding given to the mini and small rural producers will have rebates of fifty per cent on the depreciation of the plots of the credit used.

Art. 3º Stay the federal official banks authorized to grant extension of the maturity of rural credit operations contracted until May 13, 1998, by the two-year period, provided that the producer proves the loss of the revenue of the exploitation of their rural property, due to the effects of the estimation, and provided that the real estate is located in Municipality that meets the requirements set out in the following article.

Single Paragraph. The administrators of the resources mentioned in § 1º of the art. 1º will suit the return of their credits to the new deadlines for return on extended funding in the form of the caput.

Art. 4º Will be beneficiaries of the object funding of the Program that treats this Provisional Measure the rural producers whose productive units are situated in Municipalities located in the area mentioned in the art. 1º, recognized in emergency in accordance with the legislation in force.

Art. 5º Will be of responsibility:

I-of the FNE, the rebate of fifty per cent of the main of the financing referred to in the single paragraph of art. 2º

II-of the National Treasury, the differential between the interest rates set in the inciso I of the art. 2º and the Long-term Interest Rate-TJLP, in the financing carried out with resources of the FAT and BNDES.

Single Paragraph. In carrying out the financing of which this Provisional Measure is concerned, federal financial agents will waiver the service commissions usually charged in the operations of the species.

Art. 6º In the periods of state prevalence of public calamity of Municipalities located in the polygon of the droughts, declared by the Executive Power, will be able to the competent federal public bodies, with their own resources, or complementing resources provided by third parties, drill, install, equip, including with desalinators, recover and extend wells in urban and rural clusters that count over two hundred inhabitants, where there is no such thing, within a radius of five kilometers counted from the highest spatial concentration of dwellings, public sugar, drinking water course in availability for the normal consumption of residents and animals.

Single Paragraph. The works of which it treats the caput can be carried out in areas of public domain unavailable, of common use, regardless of the existence of title of ownership of the area.

Art. 7º For the purpose of the preceding article, it is the Executive Power authorized to purchase, receive in donation or disown, by social interest, the rural area that is necessary, regardless of its size, no if applying to you the minimum limit set for the rural module.

Art. 8º For the purposes of which it treats art. 6º, state public powers, located in the polygon of the droughts, are allowed to raise areas of real estate, rural or urban, of unknown possession, upon publication of office of convocation of eventual owners or third parties interested in the area of which it is, observed the legislation of its own on return land.

Art. 9º Stay convalidated the acts practiced on the basis of the Provisional Measure No. 2.078-35 of December 27, 2000.

Art. 10. This Provisional Measure comes into force on the date of its publication.

Brasilia, January 25, 2001 ; 180º of Independence and 113º of the Republic.

FERNANDO HENRIQUE CARDOSO

Silvano Gianni