Law No. 11284, Of 2 March 2006

Original Language Title: Lei nº 11.284, de 2 de Março de 2006

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LEI No. 11,284, OF March 2, 2006.

Disposes on the management of public forests for sustainable production; institutes, in the structure of the Ministry of the Environment, the Service Brazilian Forest-SFB; creates the National Forest Development Fund-FNDF; alters the Laws in the 10,683, of May 28, 2003, 5,868, December 12, 1972, 9,605, February 12, 1998, 4,771, September 15, 1965, 6,938, 31 from August 1981, and 6,015, of December 31, 1973; and gives other arrangements.

THE PRESIDENT OF THE REPUBLIC I know that the National Congress decrees and I sanctiate the following Law:

TITLE I

PRELIMINARY PROVISIONS

SINGLE CHAPTER

OF THE PRINCIPLES AND DEFINITIONS

Art. 1º This Law has on the management of public forests for sustainable production, Institut the Service Brazilian Forest-SFB, in the structure of the Ministry of the Environment, and creates the National Forest Development Fund-FNDF.

Art. 2º Constituents principles of the management of public forests:

I-the protection of ecosystems, soil, water, biodiversity, and associated cultural values, as well as heritage public;

II-the establishment of activities that promote the efficient and rational use of forests and that contribute to the fulfillment of the goals of local, regional and the entire country's sustainable development;

III-respect for the right of the population, in particular from local communities, access to public forests and the benefits arising from their use and conservation;

IV-the promotion of local processing and the encouragement of increment of value aggregation to forest products and services, well as to industrial diversification, technological development, use and empowerment of local entrepreneurs and the regional workforce;

V-the free access of any individual to the information regarding the management of public forests, pursuant to the Act no 10,650, of April 16, 2003;

VI-the promotion and diffusion of forest research, faunistic and edadic, related to conservation, recovery and use sustainable forests;

VII-the fostering of knowledge and the promotion of population awareness on the importance of conservation, recovery and the sustainable manhandling of forest resources;

VIII -the guarantee of stable and safe conditions that stimulate long-term investments in the manhandling, conservation and recovery of forests.

§ 1º The States, the Federal District and the Municipalities will promote the necessary adaptations of their legislation to the prescriptions of this Law, seeking to cater to the peculiarities of the various modalities of public forest management.

§ 2º The States, the Federal District and the Municipalities, in the sphere of its competence and in relation to public forests under its jurisdiction, they will be able to draw up supplements and complementary standards and establish standards related to forest management.

Art. 3º For the purposes of the provisions of this Act, consider:

I-public forests: forests, natural or planted, located in the various Brazilian biomes, in goods under the rule of the Union, of the States, of the Municipalities, of the Federal District or of the entities of indirect administration;

II -forest resources: elements or characteristics of particular forest, potential or effectively generators of forest products or services;

III-forest products: logger products and non-loggers generated by sustainable forest manhandling;

IV-forest services: tourism and other actions or benefits arising from the manhandling and conservation of the forest, uncharacterized as forest products;

V-cycle: period elapsed between 2 (two) moments of harvesting products forest in a same area;

VI-sustainable forest manhandling: forest administration for obtaining of economic, social and environmental benefits, respecting the mechanisms of sustaining the object ecosystem of the manejo and considering whether, cumulatively or alternatively, the use of multiple lumber species, of multiple products and non-lumber by-products as well as the use of other forest nature goods and services;

VII -forest concession: onerous delegation, made by the granting power, of the right to practise sustainable forest manhandling for the exploitation of products and services in a manhandling unit, by bidding, to the legal person, in consortium or not, that meet the requirements of the respective bidding edital and demonstrate capacity for their performance, at their own risk and risk and by a specified time;

VIII-unit of manhandling: perimeter defined from technical, sociocultural, economic and environmental criteria, located in public forests, object of a Forest Manejo Plan Sustainable-PMFS, and may contain degraded areas for recovery purposes by means of forest planties;

IX-batch of forest concession: set of manhandling units to be bid on;

X- Local communities: traditional populations and other human groups, organized by successive generations, with lifestyle relevant to the conservation and sustainable use of biological diversity;

XI-forest audit: act of independent and qualified assessment of forest activities and economic, social and environmental assumed in accordance with the PMFS and the forest concession contract, executed by entity recognized by the governing body, by specific administrative procedure;

XII-samplal inventory: surveying qualitative and quantitative information on particular forest, using sampling process;

XIII-organ manager: organ or entity of the granting power with the competence of discipline and conduct the process of outoring the forest concession;

XIV-advisory body: organ with representation of the Public Power and civil society, with the purpose of advising, evaluating and proposing guidelines for the management of public forests;

XV-power concealer: Union, State, Federal District or Municipality.

TITLE II

OF THE MANAGEMENT OF PUBLIC FORESTS FOR PRODUCTION SUSTAINABLE

CHAPTER I

GENERAL PROVISIONS

Art. 4th The management of public forests for sustainable production comprises:

I-the creation of forests national, state and municipal, in the terms of art. 17 of the Law no 9,985, of July 18, 2000, and its direct management;

II-the targeting of forests public to local communities, in the terms of art. 6th of this Act;

III-the forest concession, including natural or planted forests and the units of manhandling of the protected areas referred to in the inciso I of the caput of this article.

CHAPTER II

OF DIRECT MANAGEMENT

Art. 5th The Public Power will be able to directly exercise the management of national, state and municipal forests created in the terms of art. 17 of the Law no 9,985 of July 18, 2000, sending it, for the execution of subsidiary activities, firming arrangements, terms of partnership, contracts or similar instruments with third parties, observed the bidding procedures and too much relevant legal requirements.

§ 1st The duration of the contracts and similar instruments to which the caput of this article is limited to 120 (one hundred and twenty) months.

§ 2nd In the tenders for the hiring of which treats this article, in addition to the price, could be considered the criterion of the best technique envisaged in the inciso II of the art caput. 26 of this Law.

CHAPTER III

FROM THE TARGETING TO LOCAL COMMUNITIES

Art. 6th Prior to the realization of forest concessions, public forests occupied or used by local communities will be identified for the targeting, by the competent bodies, by means of:

I-creation of extractivist reserves and sustainable development reserves, observed the prescribed requirements of the Act in the 9,985, of July 18, 2000;

II-grant of use, by means of forest settlement projects, of sustainable development, agroextractivists or other similar, in the terms of art. 189 of the Federal Constitution and the guidelines of the National Agrarian Reform Program;

III-others forms foreseen in law.

§ 1st The targeting of which treats the caput of this article will be done in no way onerous for the beneficiary and effected in an administrative act of its own, as provided for in specific legislation.

§ 2nd Without prejudice to the forms of intended targeting in the caput of this article, local communities will be able to participate in the tenders provided for in Chapter IV of this Title, by means of community associations, cooperatives or other legal persons admitted into law.

§ 3rd The Power Public may, on the basis of socio-environmental conditioners defined in regulation, regularize possessions of local communities over areas by them traditionally occupied or used, which are indispensable to the conservation of resources environmental essentials essential for their physical and cultural reproduction, by means of granting of real right of use or other form admitted into law, dispensed bidding.

CHAPTER IV

OF FOREST CONCESSIONS

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Section I

General provisions

Art. 7th The forest grant will be authorized in act of the power conceded and formalized upon contract, which should observe the terms of this Act, the relevant standards and the bidding edital.

Single paragraph. The preliminary environmental reports, environmental permits, environmental impact reports, contracts, audit reports and audits and other relevant documents of the forest grant process will be made available through the World Network of Computers, without prejudice to the provisions of art. 25 of this Law.

Art. 8th The publication of the bidding edital of each forest grant lot should be preceded by public hearing, by region, carried out by the governing body, pursuant to the regulation, without prejudice to other forms of public consultation.

Art. 9th are eligible for the purposes of granting the manhandling units provided for in the Annual Forest Outorga Plan.

Section II

From the Annual Forest Outorga Plan

Art. 10. The Annual Forest Outorga Plan-PAOF, proposed by the governing body and defined by the granting power, will contain the description of all public forests to be subjected to grant processes in the year in which they invigorate.

§ 1st The Paof will be submitted by the governing body to the manifestation of the advisory body of the respective sphere of government.

§ 2nd The inclusion of public forest areas under the rule of the Union in the Paof requires prior manifestation of the Secretariat of Union Heritage of the Union Ministry of Planning, Budget and Management.

§ 3rd The Paof should be previously appreciated by the National Defence Council when they are included areas located in the boundary strip defined in the § 2nd of the art. 20 of the Federal Constitution.

§ 4th (VETADO)

Art. 11. The Paof for forest concession will consider:

I-the policies and planning for the forest sector, agrarian reform, land regularization, agriculture, the environment, water resources, land use planning and regional development;

II-the Ecological-Economic-Economic-ZEE Zoning national and state and too many instruments that discipline the use, occupation and exploitation of environmental resources;

III-the exclusion of the integral protection conservation units, of the sustainable development reserves, of the reserves extractivists, the fauna reserves and the areas of relevant ecological interest, save as to activities expressly admitted to the conservation unit manhandling plan;

IV-the exclusion of indigenous lands, of the areas occupied by local communities and the areas of interest for the creation of units of full protection conservation;

V-the areas of convergence with the concessions from other sectors, as per regulation;

VI-the norms and government guidelines regarding the border strip and other areas deemed indispensable for the defence of the national territory;

VII-the policies public from the states, the Municipalities and the Federal District.

§ First in addition to the provisions of the caput of this article, the Paof of the Union shall consider the Paofs of the States, of the Municipalities and the Federal District.

§ 2nd The Paof is expected to provide restricted use areas aimed at local communities.

§ 3rd The Paof must contain provisions regarding the planning of monitoring and environmental watchdog in charge of the organs of the National Environment System-SISNAMA, including the estimation of the human and financial resources required for these activities.

Section III

From the Outorga Process

Art. 12. The granting power will publicize, in advance to the bidding edital, act justifying the convenience of the forest concession, characterizing its object and the manhandling unit.

Art. 13. The tenders for forest concession will observe the terms of this Law and, supplement, of the legislation of its own, respected the principles of legality, morality, publicity, equality, judgment by objective criteria and binding to the convenatory instrument.

§ § First bids for forest concession will be carried out in the modality competition and bestowing on onerous title.

§ 2nd In the tenders for forest concession, it is vehemended to statement of unchargeability provided for in the art. 25 of the Law no 8,666, of June 21, 1993.

Section IV

From the Object of the Grant

Art. 14. The forest concession will have as an object the exploitation of forest products and services, contractually specified, in public forest manhandling unit, with a Georgian perimeter, registered in the respective public forest enrollment and included in the forest grant lot.

Single paragraph. It is instituted the National Forestry Cadet, interconnected to the National Rural Cadastro System and integrated:

I-by the Cadastro-General of Public Forests of the Union;

II-by the cadasters of public forests of the states, the Federal District and the Municipalities.

Art. 15. The object of each concession will be fixed at the edital, which will define the forest products and services whose exploitation will be authorized.

Art. 16. The forest concession confers to the concessionaire only the rights expressly provided for in the concession contract.

§ First is vetted from any of the following rights in the scope of the forest concession:

I-real estate title or preference in its acquisition;

II-access to genetic heritage for the purposes of research and development, bioprospecting or constitution of collections;

III-use of water resources above the specified as negligible, pursuant to the Act no 9,433, of January 8, 1997;

IV-exploitation of mineral resources;

V-exploitation of fishing resources or wildlife;

VI-commercialization of credits arising from the avoidant emission of carbon in natural forests.

§ 2nd In the case of reforestation of degraded areas or converted to alternative soil use, the right to commercialize carbon credits could be included in the object of the concession, in the terms of regulation.

§ 3rd The manhandling of the wildlife fauna by the local communities will observe the specific legislation.

Art. 17. The products of traditional and subsistence use for local communities will be excluded from the object of the concession and explained in the edict, along with the definition of the constraints and the responsibility for the manhandling of the species of which they derive these products, as well as for possible damage to the environment and to the granting power.

Section V

From Environmental Licensing

Art. 18. The prior licence for sustainable use of the manhandling unit will be required by the managing body by submitting preliminary environmental report to the competent environmental body integral to the National Environment System-SISNAMA.

§ First in the potentially causative cases of significant degradation of the environment, thus considered, between other aspects, depending on the scale and intensity of forest manhandling and the peculiarity of environmental resources, prior environmental impact study will be required for the granting of the prior licence.

§ § 2nd The licentiate environmental body will be able to opt for preliminary environmental reporting and EIA that covers different integral manhandling units of a same forest concession lot, as long as the units are located in the same ecosystem and in the same state.

§ 3rd The costs of the preliminary environmental report and the EIA will be ressarated by the bidder-winning concessionaire in the form of the art. 24 of this Act.

§ 4th The prior license authorizes the drafting of the PMFS and, in the case of manhandling unit inserted into the Paof, the bidding for the forest concession.

§ 5th The beginning of forest activities in the manhandling unit can only be effective with the approval of the respective PMFS by the competent organ of the Sisnama and the consequent obtaining of the operating license by the concessionaire.

§ 6th The environmental licensing process for sustainable use of the manhandling unit comprises of the prior license and the license of operation, not applying to you the requirement for installation license.

§ 7th The minimum contents of the preliminary environmental report and EIA relative to forest manhandling will be defined in specific normative act.

§ 8th The approval of the manhandling plan of the conservation unit referred to in the inciso I of art. 4th of this Act, pursuant to the Act no 9,985 of July 18, 2000, replaces the prior licence provided in the caput of this article, without prejudice to the drafting of EIA in the cases provided for in § 1st article and observance of other requirements of the environmental licensing.

Section VI

From Habilitation

Art. 19. In addition to other requirements set out in the Act no 8,666 of June 21, 1993, it is required for habilitation in forest concession tenders the proof of absence of:

I-debits enrolled in the active debt relative to environmental infringement in the competent bodies of the Sisnama;

II-sentencing decisions, with transit on trial, in criminal action concerning the crime against the environment or the tax order or the previdential crime, observed the rehabilitation of which treats art. 93 of the Decree-Law no 2,848, of December 7, 1940-Penal Code.

§ 1st Only be able to be enabled in the tenders for forest concession companies or other legal persons constituted under the Brazilian laws and which have headquarters and administration in the Country.

§ 2nd the Sisnama's organs will organize unified information system, with a view to ensuring the issuance of the required voucher in the inciso I of the caput of this article.

Section VII

From the Licitation Edital

Art. 20. The bidding edital will be drawn up by the granting power, observed the criteria and general standards of the Act no 8,666, of June 21, 1993, and will contain, especially:

I-the object, with the description of the products and services to be explored;

II-the delimitation of the manhandling unit, with location and topography, in addition to maps and satellite images and the information public available on the unit;

III-the results of the samplal inventory;

IV-the term of the concession and the conditions of extension;

V-the description of the available infrastructure;

VI-the conditions and dates for the achievement of reconnaissance visits of the manhandling units and additional data surveying;

VII-the description of the necessary conditions for the sustainable exploitation of products and services forest;

VIII-the deadlines for receipt of the proposals, trial of the bidding and signing of the contract;

IX-the period, with an opening and closing date, the location and the time at which they will be provided to those interested the data, studies and projects necessary for the elaboration of the budgets and presentation of the proposals;

X-the criteria and the relation of the required documents for the afferition of technical capacity, financial idoneity and legal and tax regularity;

XI-the criteria, the indicators, the formulas and parameters to be used in the trial of the proposal;

XII-the minimum price of the grant and the criteria for readjustment and revision;

XIII-the description of financial guarantees and required insurance;

XIV-the characteristics of the reversible goods, including the conditions under which those are already existing;

XV-the leadership conditions of the company or responsible legal person, in the hypothesis where it is permitted to consortium participation;

XVI-the minuta of the respective contract, which will contain the essential clauses referred to in art. 30 of this Act;

XVII-the conditions of extinction of the concession contract.

§ First of the requirements laid down in the incisos II and III of the caput of this article will be adapted to the scale of the forest manhandling unit, case the requirement of the detailing is not warranted.

§ 2nd the edital will be submitted to the public hearing in advance to its release, pursuant to art. 8th of this Law.

Art. 21. The guarantees provided for in the inciso XIII of the art. 20 of this Act:

I-shall include the coverage of possible damage caused to the environment, to the erarium and to third parties;

II-may include, in the terms of regulation, the coverage of the performance of the concessionaire in terms of forest production.

§ First the granting power will require sufficient and compatible guarantees with the burden and risks involved in forest concession contracts.

§ 2nd are modalities of guarantee:

I-collateral in cash;

II-public debt securities issued in the scriptural form, upon registration in centralized settlement and custody system authorized by the Central Bank of Brazil, and assessed by its economic values, as defined by the Ministry of Finance;

III-insurance-guaranteed;

IV-bank bail;

V-others admitted into law.

§ 3rd For forest concession to the legal person of small size, microenterprises and local community associations, alternative forms of fixation of guarantees and forest prices will be provided for in regulation.

Art. 22. When permitted in the bidding the participation of legal person in consortium, they will additionally observe the requirements referred to in the art. 19 of this Act, the following requirements:

I-proof of commitment, public or particular, of constitution of consortium, signed by the consortiations;

II-indication of the lender-leader, which should to meet the conditions of leadership stipulated in the edict and will be the representative of the consortiations before the granting power;

III-presentation of the documents of which it treats the inciso X of the art caput. 20 of this Law, on the part of each consort;

IV-proof of fulfilment of the constant requirement of the inciso XV of the art caput. 20 of this Act;

V-impediment of participation of consortiated companies in the same bidding, by intermediate of more than 1 (one) consortium or isolatedly.

§ First the winning bidder will be obliged to promote, prior to the conclusion of the contract, the constitution and register of the consortium, pursuant to the commitment referred to in the inciso I of the caput of this article.

§ 2nd The leading legal person of the consortium is responsible for the fulfillment of the concession contract in the face of the granting power, without prejudice to the sympathetic responsibility of the remaining consortiated.

§ 3rd changes in the constitution of the consortia should be submitted in advance to the granting power for the verification of the maintenance of the conditions of habilitation, under penalty of termination of the concession contract.

Art. 23. It is provided to the granting power, provided that it is provided for in the edict, to determine that the winning bidder, in the case of consortium, constitutes itself in company prior to the conclusion of the contract.

Art. 24. The studies, withdrawals, projects, works, expenses or investments already effected in the manhandling unit and linked to the bidding process for concession, carried out by the granting power or with its authorization, will be at the disposal of the interested.

§ First the bidding edital will indicate the items, among those specified in the caput of this article, and their respective values, which will be ressarated by the winner of the bidding.

§ 2nd Small businesses, microenterprises, and local community associations will stay dispensed from the ressarcement provided for in § 1st of this article.

Art. 25. It is assured of any person the access to contracts, decisions or opinions regarding bidding or the concessions themselves.

Section VIII

of the Selection Criteria

Art. 26. In the trial of the bidding, the best proposal will be considered on the grounds of the combination of the following criteria:

I-the highest price offered as a payment to the power of the grant from the forest concession;

II-the best technique, considering:

a) the lowest environmental impact;

b) the largest direct social benefits;

c) the highest efficiency;

d) the largest aggregation of value to the product or forest service in the region of the concession.

§ 1st The application of the criteria described in the incisos I and II of the caput of this article will be previously established in the bidding edital, with precise rules and formulas for environmental, economic, social and financial assessment.

§ 2nd For the purposes of applying the provisions of the inciso II of the caput of this article, the bidding edital will contain parameters and requirements for formulation of technical proposals.

§ 3rd the granting power will refuse manifestly inextricable or financially incompatible with the objectives of the bidding.

Section IX

From the Grant Contract

Art. 27. For each bid manhandling unit, an exclusive concession contract will be signed with a single concessionaire, which shall be responsible for all obligations therein, in addition to responding for the damage caused to the granting power, by means environment or to third parties, without the supervision exercised by the competent bodies excluding or servicing that liability.

§ First Without prejudice to the liability to which the caput of this article is concerned, the concessionaire may hiring third parties for the development of inherent or subsidiary activities to the sustainable forest manhandling of the products and the exploitation of the forest services granted.

§ § 2nd hiring, inclusive of manpower, made by the concessionaire will be governed by private law, not establishing itself any legal relationship between the third parties hired by the concessionaire and the granting power.

§ 3rd The execution of the contracted activities with third parties presupposes compliance with the regulatory standards related to these activities.

§ 4th It is vetted the subconcession in the forest concession.

Art. 28. The transfer of the concessionary's socieal control without prior annuence of the granting power will entail the termination of the contract and the application of the contractual penalties, without prejudice to the execution of the guarantees offered.

Single paragraph. For the purposes of obtaining the annuence referred to in the caput of this article, the suitor should:

I-meet the requirements of the habilitation established for the concessionaire;

II-commit to comply with all clauses of the contract in force.

Art. 29. In financing contracts, dealers will be able to offer in guarantee the emerging rights of the concession, up to the limit that does not compromise the operationalisation and continuity of execution, by the concessionaire, the PMFS or the rest forest activities.

Single paragraph. The limit laid down in the caput of this article will be defined by the governing body.

Art. 30. They are essential clauses of the concession contract as relative:

I-to the object, with the description of the products and services to be explored and of the manhandling unit;

II-to the deadline of the concession;

III-at the maximum deadline for the concessionaire to start the execution of PMFS;

IV-in the form, the shape, the conditions and the deadlines of the realization of forest audits;

V-to mode, the shape and conditions of operation of services and practice of forest manor;

VI-to the criteria, the indicators, the formulas and the defining parameters of the quality of the environment;

VII-to the maximum and minimum criteria for taking advantage of forest resources;

VIII-to the actions of environmental improvement and recovery in the area of the concession and its surroundings taken over by the concessionaire;

IX-to actions aimed at the benefit of the local community taken over by the concessionaire;

X-to prices and the criteria and procedures for readjustment and revision;

XI-to the rights and obligations of the granting power and the concessionaire, inclusive of those related to needs for changes future and modernization, improvement and extension of equipment, infrastructure and facilities;

XII-the guarantees offered by the concessionaire;

XIII-to the form of monitoring and evaluation of the facilities, equipment, methods and practices of carrying out sustainable forest manhandling and operation of services;

XIV-to the contractual and administrative penalties to which the concessionaire is subjected and its application form;

XV-to the extinction cases of the concession contract;

XVI-to the reversible goods;

XVII-to the conditions for review and extension;

XVIII-à compulsion, the form and periodicity of the provision of concessionary accounts to the power of the granting;

XIX-to the bonus criteria for the concessionaire that achieve better socio-environmental performance indices that those provided for in the contract, as per regulation;

XX-to the venue and the friendly mode of solution of contractual divergences.

§ First In the exercise of the audit, the governing body shall have access to the data relating to administration, accounting, resources technical, economic and financial dealership of the concessionaire, respecting the limits of legal or constitutionally foreseen secrecy.

§ 2nd Without prejudice to the assignments of the Sisnama bodies responsible for the control and environmental surveillance, the managing body may suspend the execution of activities developed in disagreement with the concession contract, owing, in that hypothesis, to determine the immediate correction of the identified irregularities.

§ 3rd The suspension of which treats the § 2nd of this article does not exempt the concessionaire from fulfilling the remaining contractual obligations.

§ 4th The obligations laid down in the incisos V to IX of the caput of this article are of relevant environmental interest, for the effects of art. 68 of the Law no 9,605, of February 12, 1998.

Art. 31. It is incumbent on the concessionaire:

I-draw up and execute the PMFS, as provided for in the technical standards applicable contract and specifications of the contract;

II-prevent actions or omissions liable to generate damage to the ecosystem or any of its elements;

III-immediately inform the competent authority in the case of actions or omissions of own or third parties or facts that entail damage to the ecosystem, any of its elements or to local communities;

IV-recover the degraded areas, when identified the causal nexus between their actions or omissions and the damage occurring, regardless of guilt or dolo, without prejudice to the contractual, administrative, civil or criminal liabilities;

V-comply and enforce the standards of forest manhandling, the rules of operation of services and the contractual clauses of the concession;

VI- guarantee the execution of the continuous cycle, initiated within the maximum term fixed at the edict;

VII-seek the multiple use of the forest, at the contractually defined limits and observed the restrictions applicable to the areas of permanent preservation and the remaining requirements of environmental legislation;

VIII-realization of the necessary benfeuals in the manhandling unit;

IX-perform the activities necessary to the maintenance of the manhandling unit and the infrastructure;

X-commercialize the forest product earned from manhandling;

XI-carry out fire prevention and control measures;

XII-monitor the execution of the PMFS;

XIII-ensuring the integrity of the goods and benfeits linked to the manhandling unit granted;

XIV-keep up to date the inventory and registration of the goods linked to the concession;

XV-elaboration and make available the annual report on forest resources management to the governing body, under the terms set out in the contract;

XVI-allow broad and unrestricted access to those in charge of surveillance and auditing, at any time, to the works, to the equipment and the facilities of the manhandling unit, as well as the documentation necessary for the exercise of the surveillance;

XVII-carry out the environmental and social investments set out in the concession contract.

§ § The permanent benefactions will revert without burden to the holder of the area at the end of the contract of grant, re-salvaged the cases provided for in the bidding edital and in the concession contract.

§ 2nd As indispensable requirement for the commencement of the operation of exploitation of forest products and services, the concessionaire should rely on the PMFS approved by the competent Sisnama body.

§ 3rd Findo the concession contract, the concessionaire is obliged to return the manhandling unit to the granting power under the conditions laid down in the concession contract, under penalty of application of the due contractual and administrative penalties, and of accountability in the criminal and civil spheres, including that arising from the Law no 6,938, of August 31 of 1981.

Art. 32. The PMFS should present geographically bounded area intended for absolute reserve, representative of manned forest ecosystems, equivalent to at least 5% (five per cent) of the total area granted, for biodiversity conservation and evaluation and monitoring of the impacts of forest manhandling.

§ 1st For effect of the calculation of the percent provided in the caput of this article, the areas of permanent preservation will not be computed.

§ 2nd The area of absolute reserve will not be able to be the object of any kind of economic exploitation.

§ 3rd The reservation area absolute can be defined by the governing body in advance of the drafting of the PMFS.

Art. 33. For the purposes of guaranteeing the right of access to forest concessions by small legal persons, micro and medium-sized enterprises, they will be defined in the Paof, in the terms of regulation, lots of concession, containing various sizes of manhandling diverse, established on the basis of technical criteria, which should consider the conditions and needs of the forest sector, regional peculiarities, the structure of the productive chains, local infrastructures and access to markets.

Art. 34. Without prejudice to the legislation pertinent to the protection of competition and other requirements set out in regulation, the following safeguards should be observed to avoid economic concentration:

I-in every batch of forest concession, they will not be able to be bestoed to each concessionaire, individually or in consortium, more than 2 (two) contracts;

II-each concessionaire, individually or in consortium, will have a limit maximum percentage of forest concession area, defined in the Paof.

Single paragraph. The limit set out in the inciso II of the caput of this article will be applied on the total area earmarked for the forest concession by the Paof and by the annual outorga plans in execution approved in the previous years.

Art. 35. The term of the forest concession contracts will be established in accordance with the harvest or operating cycle, considering the product or group of products with longer cycle included in the object of the concession, and may be fixed term equivalent to, at minimum, one cycle and, at most, 40 (forty) years.

Single paragraph. The deadline of the exclusive concession contracts for exploitation of forest services will be at least 5 (five) and at most 20 (twenty) years.

Section X

Of Forest Prices

Art. 36. The economic and financial regime of the forest concession, as set out in the respective contract, comprises:

I-the calculated price payment on the costs of realization of the bidding of the forest concession of the manhandling unit;

II-the payment of price, not less than the minimum defined in the bidding edital, calculated depending on the quantity of product or service being earned from the object of the concession or the net or gross billing;

III-the responsibility of the concessionary to carry out other investments provided for in the edict and in the contract;

IV-a unavailability, by the concessionaire, unless contractual provision, of the goods considered reversible.

§ 1st The price referred to in the inciso I of the caput of this article will be defined in the bidding edital and could be parceled in up to 1 (one) year, based on technical criteria and taking into consideration the local peculiarities.

§ 2nd The definition of the minimum price at the edital should consider:

I-the stimulus to competition and competition;

II-the guarantee of conditions of competition of the manejo on private lands;

III-the coverage of the costs of the outorga system;

IV-the generation of benefits for society, awounded inclusive by the income generated;

V-the stimulation to the multiple use of the forest;

VI-the maintenance and the magnification of the competitiveness of forest-base activity;

VII-the applicable international references.

§ 3rd Will be fixed, in the terms of regulation, minimum value to be required annually from the concessionaire, regardless of the production or values by it earned with the exploitation of the object of the concession.

§ 4th The minimum value provided for in § 3rd of this article will integrate the annual payments due by the concessionaire for effect of the payment of the price referred to in the inciso II of the caput of this article.

§ 5th The sum of the values paid on the basis of in § 3rd of this article may not be more than 30% (thirty percent) of the price referred to in the inciso II of the caput of this article.

Art. 37. The price referred to in the inciso II of the art caput. 36 of this Act comprises:

I-the value set out in the concession contract;

II-the values resulting from the application of the review or readjustment criteria, under the conditions of the respective contract, defined in specific act of the manager organ.

Single paragraph. The disclosure of the act referred to in the inciso II of the caput of this article shall precede the date of payment of the price at, at minimum, 30 (thirty) days.

Art. 38. The concession contract referred to in art. 27 of this Law will be able to provide for the concessionary's annual minimum investment commitment, intended for the modernization of the implementation of the PMFS, with views on its sustainability.

Art. 39. The financial resources arising from the forest concession prices of units located in areas of the Union domain will be distributed as follows:

I-the value referred to in § 3rd of the art. 36 of this Act will be targeted:

a) 70% (seventy per cent) to the governing body for the execution of its Activities;

b) 30% (thirty percent) to the Brazilian Institute of the Environment and Natural Resources Renewables-IBAMA, for restricted use in activities of control and environmental surveillance of forest activities, of conservation units and deforestation;

II-the price paid, excluded the value mentioned in the inciso I of the caput of this article, will have the following targeting:

a) states: 30% (thirty percent), intended proportionally to the distribution of the public forest outwarded in their respective jurisdictions, for the support and promotion of the sustainable use of forest resources, where the ent beneficiary complies with the purpose of this aport;

b) Municipalities: 30% (thirty percent), intended proportionally to the distribution of the public forest outwarded in their respective jurisdictions, for the support and promotion of the sustainable use of forest resources, where the ent beneficiary complies with the purpose of this aport;

c) National Forest Development Fund-FNDF: 40% (forty percent).

§ 1st When the financial resources come from the prices of the forest concession of units located in national forests created by the Union in the terms of art. 17 of the Act No 9,985 of July 18, 2000 will be distributed as follows:

I-the value referred to in the § 3rd of the art. 36 of this Act will be intended for the governing body for the execution of its activities;

II-the price paid, deleted the value mentioned in the inciso I of the caput of this article, will have the following targeting:

a) IBAMA: 40% (forty per cent), for restricted use in the management of sustainable use conservation units;

b) states: 20% (twenty percent), intended in proportion to the distribution of the public forest outwards in their respective jurisdictions, for the support and promotion of the sustainable use of forest resources, whenever the recipient comply with the purpose of this aport;

c) Municipalities: 20% (twenty percent), targeted proportionally to the distribution of the public forest outwards in their respective jurisdictions, to the support and promotion of the sustainable use of forest resources, where the recipient shall comply with the purpose of this aport;

d) FNDF: 20% (twenty per cent).

§ 2nd (VETADO)

§ 3rd The resoundment of resources to States and Municipalities provided for in this article will be conditioned to the institution of environmental advice by the respective federative, with social participation, and to the approval, by this council:

I-of compliance with the targets on the application of such resources referring to the previous year;

II-of the programming of the application of the current year's resources.

Art. 40. The financial resources arising from the prices of each Union forest concession will be deposited and busied solely through the mechanisms of the National Treasury's single account in the form of the regulation.

§ 1st The National Treasury, quarterly, will resonate to the States and Municipalities the resources received from agreement with that provided for in paragraphs (a and b of the inciso II of the caput and in paragraphs (b and c of the inciso II of § 1st, both of the art. 39 of this Law.

§ 2nd The Central Accounting Body of the Union will edit the general standards concerning the consolidation of the public accounts applicable to the financial resources arising from the forest concession and its distribution.

Section XI

From the National Forest Development Fund

Art. 41. It is set up the National Forest Development Fund-FNDF, of an accounting nature, managed by the federal governing body, aimed at fostering the development of sustainable forest-based activities in Brazil and promoting technological innovation of the sector.

§ 1st FNDF resources will be applied as a matter of priority in projects in the following areas:

I-research and technological development in forest maneuvering;

II-technical assistance and forest extension;

III-recovery of degraded areas with native species;

IV-rational and sustainable economic exploitation of forest resources;

V-control and monitoring of forest activities and desmapartments;

VI-capacity-building in forest manhandling and formation of multiplier agents in forest activities;

VII-environmental education;

VIII-protection of the environment and conservation of natural resources.

§ 2nd The FNDF will contest with an advisory board, with participation of the federative and civil society, with the function of opining on the distribution of its resources and the evaluation of its Application.

§ 3rd Applying to the members of the council that it treats § 2nd of this article the restrictions provided for in art. 59 of this Act.

§ 4th addition to the resources provided for in paragraph c of the inciso II of the caput and in the paragraph d of the inciso II of § 1st, both of the art. 39 of this Act, constitute resources of the FNDF the reversal of the unapplied annual balances, donations carried out by national or international, public or private entities, and other sources of resources that are specifically targeted, including budgets shared with others from the Federation.

§ 5th It is vetted to the FNDF the provision of guarantees.

§ 6th will be drawn up annual plan of regionalized application of the FNDF resources, and the report of its implementation shall be integrated into the annual report that it treats the § 2nd of the art. 53 of this Act, within the framework of the Union.

§ 7th FNDF resources will only be able to be earmarked for projects of organs and public entities, or from private non-profit entities.

§ 8th The application of the resources of the FNDF in the projects of which it treats the inciso I of § 1st of this article will be done as a matter of priority in public research entities.

§ 9th The application of FNDF's resources in the projects of which it treats § First of this article could cover Indigenous communities, without prejudice to the service of local communities and others beneficiaries and noted the provisions of § 7th of this article.

Section XII

Das Forestry Audits

Art. 42. Without prejudice to the ordinary supervisory actions, the concessions will be subject to forest audits, of independent character, on time limits not exceeding 3 (three) years, whose costs will be the responsibility of the concessionaire.

§ First in exceptional cases, provided for in the bidding edital, in which the scale of the activity forest makes unviable the payment of the costs of forest audits by the concessionaire, the governing body will adopt alternative forms of carrying out the audits, as per regulation.

§ 2nd The audits will present their conclusions in one of the following terms:

I-finding of regular fulfillment of the concession contract, to be properly validated by the manager organ;

II-finding of sanitary deficiencies, which condones the contractual maintenance for sanitation of all vices and irregularities verified, within the maximum period of 6 (six) months;

III-finding of defulfillment, which, properly validated, implies the application of sanctions under its gravity, including contractual termination, as per this Law.

§ 3rd The entities that will be able to conduct forest audits will be recognised in an administrative act of the manager organ.

Art. 43. Any physical or legal person, in a justified and duly assisted manner by habilitated professionals, will be able to make attestation visits to the field forestry operations, without obstinating the regular development of the activities, observed the following requirements:

I-prior obtaining of visiting license in the manager organ;

II-prior programming with the concessionaire.

HTTPS:

Section XIII

From the Extinction of the Grant

Art. 44. Extinguish the forest concession by any of the following causes:

I-depletion of the term contractual;

II-termination;

III-nullification;

IV-bankruptcy or extinction of the concessionaire and the demise or inability of the holder, in the case of individual company;

V-desistance and return, by choice of the concessionaire, of the object of the concession.

§ First Expaint the concession, return to the public forest holder all the reversible goods, rights and privileges transferred to the concessionary, as provided for in the edital and established in contract.

§ 2nd The extinction of the concession authorizes, regardless of prior notification, the occupation of the facilities and use, by the holder of the public forest, of all reversible goods.

§ 3rd The extinction of the concession by the causes provided for in the incisos II, IV and V of the caput of this article authorizes the granting power to perform the contractual guarantees, without prejudice to the civil liability for environmental damage provided for in the Act no 6,938, of August 31, 1981.

§ 4th The devolution of areas will not imply burden for the granting power, nor will it confer on the concessionaire any right to indemnification for the reversible goods, which they will pass on to the property of the granting power.

§ 5th In any case of extinction of the concession, the concessionaire will, by its sole account, the removal of the equipment and goods that are not objects of reversal, by staying obliged to repair or indemnify the damage arising from its activities and practice the acts of environmental recovery determined by the competent organs.

Art. 45. The total or partial inexecution of the contract shall entail, at the discretion of the granting power, the termination of the concession, the application of the contractual penalties and the execution of the guarantees, without prejudice to the civil liability for environmental damage provided for in the Act no 6,938, of August 31, 1981, and of the due penalties in the administrative and criminal spheres.

§ 1st termination of the concession could be effected unilaterally by the granting power, when:

I-o concessionaire disfulfilling contractual clauses or legal and regulatory provisions concerning;

II-the concessionaire uncomplies with PMFS, so that it affects essential elements of protecting the environment and the sustainability of the activity;

III-the concessionaire paralyse the execution of PMFS by term greater than expected in contract, resourced the hypotheses arising from fortuitous case or force majeany, or those, with annuence of the governing body, aim at environmental protection;

IV-unfulfillment, total or partial, of the obligation to pay forest prices;

V-the concessionaire forfeits the economic, technical or operational conditions to maintain the regular execution of PMFS;

VI-the concessionaire does not comply with the penalties imposed by infractions, in due deadlines;

VII-the concessionaire does not heed the notification of the governing body in the sense of regularizing the exercise of its activities;

VIII-the concessionaire is sentenced in sentence transitioned on trial for crime against the environment or the tax order, or for previdential crime;

IX-occurring supervenient fact of relevant interest public that justifies the termination, upon specific authorship law, with indemnification of the still unamortized investment plots linked to the reversible goods that have been realized;

X-the concessionaire submits workers to degrading conditions of work or analogous to the slave or to exploit the work of children and adolescents.

§ 2nd The termination of the concession contract should be preceded by the verification of proceedings administrative, secured the right of broad defence.

§ 3rd will not be instituted administrative proceedings of default prior to the notification of the concessionaire and the fixation of deadline for correcting the faults and transgressions pointed out.

§ 4th Instaurated the administrative and proven process of default, the termination will be effected by act of the granting power, without prejudice to administrative, civil and penal.

§ 5th Rescinded the concession contract, will not result for the governing body any kind of liability in relation to charges, burden, obligations or commitments to third parties or with employees of the concessionaire.

Paragraph 6th The Public Power will be able to institute insurance for coverage of the indemnity provided for in the inciso IX of § 1st of this article.

Art. 46. Desistance is the formal, irrevocable and irretreatable act by which the concessionaire manifests its disinterest in the continuity of the concession.

§ 1st The desistance is conditional on the express acceptance of the granting power, and will depend on prior assessment by the competent body to determine the compliance or non-PMFS, and shall assume the give up the cost of this assessment and, as the case may be, emerging obligations.

§ 2nd The desistance not will unburden the concessionaire of its obligations with third parties.

Art. 47. The concession contract may be terminated at the initiative of the concessionaire, in the case of disfulfilling the contractual standards by the granting power, upon specially intended legal action to that end.

Section XIV

From the National, State and Municipal Forests

Art. 48. Grants in national, state and municipal forests must observe the provisions of this Act, in Law no 9,985, of July 18, 2000, and in the plan of manhandling of the conservation unit.

§ 1st The insertion of manhandling units from the national, state and municipal forests in the Paof requires prior authorization from the organ conservation unit manager.

§ 2nd The forest resources of the forest manhandling units national, state and municipal will only be subject to concession after approval of the conservation unit manhandling plan pursuant to the Act No. 9,985 of July 18, 2000.

§ 3rd For the elaboration of the edital and the forest concession contract of the manhandling units in national, state and municipal forests, the respective advisory board, constituted in the terms of the art, shall be heard. 17, § 5th, of the Law no 9,985, of July 18, 2000, which will accompany all the steps of the outorga process.

Ttitle III

OF THE GOVERNING BODIES RESPONSIBLE FOR MANAGEMENT AND SURVEILLANCE

CHAPTER I

OF THE GRANTING POWER

Art. 49. It is up to the granting power, within the framework of its competence, to formulate the strategies, policies, plans and programs for the management of public forests and, especially:

I-define the Paof;

II-hear the organ advisory on the adoption of public forest management actions, as well as on the Paof;

III- define the areas to be submitted to the forest concession;

IV-establish the terms of bidding and the selection criteria;

V-publishing editions, judging tenders, promoting the remaining procedures licitatories, define the criteria for formalizing contracts for the sustainable forest manhandling and celebrating forest concession contracts;

VI-planning actions aimed at the discipline of the market in the forest sector, when couber.

§ First in the exercise of the competence referred to in the incisos IV and V of the caput of this article, the power of the conceded may delegate to the governing body the operationalisation of the bidding procedures and the conclusion of contracts, pursuant to the regulation.

§ 2nd In the federal framework, the Ministry of the Environment will exercise the skills set out in this article.

CHAPTER II

OF THE BODIES OF THE SISNAMA RESPONSIBLE FOR CONTROL AND ENVIRONMENTAL SURVEILLANCE

Art. 50. It will fit the organs of the Sisnama responsible for the control and environmental surveillance of forest activities in their respective jurisdictions:

I-scrutinize and ensure the protection of public forests;

II-effecting at any time, of offending, by request of the party or by complaint of third parties, supervision of the manhandling unit, regardless of prior notification;

III-apply the due administrative penalties in case of environmental infraction;

IV-exasking the prior license for sustainable use of the manhandling unit of the respective public forests and other licences of its competency;

V-approve and monitor the PMFS of the manhandling unit of the respective forests public.

§ First in federal scope, Ibama will exercise the assignments provided for in this article.

§ § 2nd The Ibama must structure forms of joint acting with the sectional and local bodies of the Sisnama for the monitoring and protection of public forests, and may firm up agreements or agreements of cooperation.

§ 3rd The sectional and local bodies may delegate to the IBAMA, upon convenium or cooperation agreement, the approval and monitoring of the PMFS of the manhandling units of state or municipal public forests and other assignments.

CHAPTER III

FROM THE ADVISORY BODY

Art. 51. Without prejudice to the tasks of the National Environment Council-CONAMA, the Public Forestry Management Committee is established, within the Ministry of the Environment, of a consultative nature, with the functions of exerting, in the federal sphere, the advisory body assignments provided for by this Law and, especially:

I-advise, evaluate and propose guidelines for management of public forest of the Union;

II-manifest on the Paof da Union;

III-exercise the advisory body assignments of the SFB.

Single paragraph. States, the Federal District and the Municipalities disc on the competent organ to exercise the assignments of which it treats this Chapter in the respective spheres of acting.

Art. 52. The Public Forestry Management Committee will be composed of representatives of the Public Power, entrepreneurs, employees, the scientific community, social movements and non-governmental organizations, and will have their composition and their functioning defined in regulation.

Single paragraph. The members of the Public Forestry Management Committee exercise unpaid function of relevant public interest, with precedence, in the federal sphere, over any public office of which they are holders and, when convened, shall jus a transport and daily.

CHAPTER IV

FROM THE MANAGER ORGAN

Art. 53. It will be up to the federal, state and municipal managers, within the framework of their competences:

I- draw up proposal of Paof, to be submitted to the granting power;

II-discipline the operationalisation of the forest concession;

III-request to the competent environmental body the advance licence provided for in the art. 18 of this Act;

IV-elaborating sampled inventory, preliminary environmental report and other studies;

V-publish editions, judge tenders, promote the remaining licitatory procedures, inclusive hearing and public consultation, define the criteria for formalization of contracts and celebrate them with sustainable forest manhandling dealers, when delegated by the granting power;

VI-managing and scrutinizing forest concession contracts;

VII-drive, in the administrative framework, the divergences between concessionaires, independent producers and local communities;

VIII-control and charge the fulfillment of the targets set out in the concession contract;

IX-fix the criteria for calculation of the prices of which it treats art. 36 of this Act and proceed to its review and readjustment in the form of this Act, the relevant standards and the contract;

X-charge and check the payment of forest prices and distribute them in accordance with this Act;

XI -to monitor and intervene in the implementation of the PMFS, in the cases and conditions provided for in this Act;

XII-fixing and apply the administrative and contractual penalties imposed on dealers, without prejudice to the attributions of the Sisnama bodies responsible for environmental control and surveillance;

XIII-indicate to the power granting the need for the extinction of the concession, in the cases provided for in this Act and in the contract;

XIV-stimulate the increase in quality, productivity, yield and conservation of the environment in the areas under forest concession;

XV-dispose of the realization of independent forest audits, know your results and adopt the cableable measures, as the result;

XVI-discipline access to the manhandling units;

XVII-acting in close cooperation with the competition's defence bodies, with seen in preventing economic concentration in forest services and products and promotion of competition;

XVIII-encourage competitiveness and ensure compliance with competition law enforcement, by monitoring and tracking the market practices of forest sector actors;

XIX-effecting prior and posteriori control of acts and legal business to be celebrated among concessionaires, by imponing them restrictions on the mutual constitution of rights and obligations, especially commercial ones, including the abstention of the very act or illegal contract;

XX-know and judge resources in administrative procedures;

XXI-promote actions for the discipline of forest product markets and their derivatives, in particular to control the competition of forest products of non-sustainable origin;

XXII-recognize in administrative act the entities that will be able to conduct forest audits;

XXIII-stimulate value aggregation to forest product in the region in which it is explored.

§ First Compete to the governing body the guard of public forests during the period of set-aside between a concession and another or, when for any reason, there is extinction of the concession contract.

§ 2nd The organ manager should refer to the granting power, the Legislative Power and the environment council, in their respective spheres of government, annual report on the outward concessions, the value of forest prices, the adimpletive situation of the concessionaires, the PMFS and its state of execution, the forest surveys and audits carried out and the respective results, as well as the remaining relevant information on the effective fulfillment of the objectives of public forest management.

§ 3rd The report provided for in § 2nd of this article on forest concessions of the Union shall be forwarded to the Conama and to the National Congress until March 31 each year.

§ 4th Caberah to the Conama, considering the information contained in the report referred to in § 3rd of this article, manifold itself on the suitability of the forest concessions system and its monitoring and to suggest the necessary enhancements.

§ 5th The states, the Federal District and the Municipalities discelled on the competent organ to exercise the assignments of which it treats this Chapter in the respective spheres of acting.

TITLE IV

OF THE BRAZILIAN FOREST SERVICE

CHAPTER I

OF THE CREATION OF THE FOREST SERVICE BRASILEIRO

Art. 54. It gets created, in the basic structure of the Ministry of the Environment, the Brazilian Forest Service-SFB.

Art. 55. The SFB acts exclusively in the management of public forests and has for competence:

I-exercise the function of the manager organ provided for in the art. 53 of this Act, in the federal as well as of the FNDF's governing body;

II-support the creation and management of training programs, capacity-building, research and technical assistance for the implementation of forest activities, including forest manhandling, forest product processing, and forest service exploitation;

III-stimulate and foster the practice of sustainable logging, non-logging, and service forestry activities;

IV-promote market studies for products and services generated by forests;

V-propose sustainable forest production plans in a way compatible with the demands of society;

VI-creating and maintaining the National Forest Information System integrated into the National System of Information on the Middle Environment;

VII-manage the National Cadastro of Public Forests, exercising the following functions:

a) organize and keep up to date the Cadastro-General of Public Forests of the Union;

b) adopt the necessary arrangements to interconnect the state and municipal cadasters to the National Cadastro;

VIII-support and act in partnership with their state and municipal congeners.

§ First In the exercise of its assignments, the SFB shall promote the articulation with the States, the District Federal and the Municipalities, for the execution of their activities in a manner compatible with national planning guidelines for the forestry sector and with the National Environment Policy.

§ 2nd For the granting of public forests under the title of the other members of the Federation, of public bodies and companies and of associations of local communities, will be able to be firmed up with the Ministry of the Environment, represented by the SFB.

§ 3rd assignments provided for in the incisos II to V of the caput of this article shall be exercised without prejudice to activities developed by other bodies and entities of the federal Public Administration that act in the sector.

CHAPTER II

OF THE ORGANIZATIONAL STRUCTURE AND MANAGEMENT OF THE SERVICE BRAZILIAN FOREST

Section I

From the Director Council

Art. 56. The Executive Power will have on the organizational structure and functioning of the SFB, noted the willing in this article.

§ 1st The SFB will be directed by a Director-General Board, composed of a Director General and 4 (four) directors, in collegiate regime, to which it will fit:

I-exercise the administration of the SFB;

II-examine, decide, and perform actions necessary to fulfill the competences of the SFB;

III-edit standards on competence subjects of the SFB;

IV-approve the internal regiment of the SFB, the organization, the structure and the decision-making scope of each board;

V-elaboration and release reports on the activities of the SFB;

VI-know and judge requests for reconsideration of decisions from components of the SFB boards.

Paragraph 2nd Decisions regarding the attributions of the SFB are taken by the Director Council, by an absolute majority of votes.

Art. 57. The SFB will have, in its structure, legal advising unit, observed the pertinent legislation.

Art. 58. The Director General and the remaining members of the Director Council of the SFB will be Brazilians, of an illiberal reputation, proven experience and high concept in the field of specialty of the posts for which they will be appointed.

§ 1st (VETADO)

§ 2nd the SFB regulation will discipline the replacement of the Director-General and the remaining members of the Director Board in their impediments or regulatory detaments and still in the period of Vacancy leading up to the appointment of new director.

Art. 59. It is prevented from exercising direction in the SFB who maintain, or have maintained in the 24 (twenty four) months prior to the appointment, the following links with any legal person dealership or with independent forest producer:

I-shareholder or partner with direct individual participation greater than 1% (one percent) in the social capital or greater than 2% (two per cent) in the social capital of parent company;

II-member of the board of administration, tax or executive board;

III-employee, even with the contract of employment suspended, including from the controlling companies or the provident foundations of which they are sponsor.

Single paragraph. It is also prevented from exercising direction in the SFB member of the board or board of association or union, regional or national, representative of interests of the agents mentioned in the caput of this article, or of the professional category of employees of these agents.

Art. 60. The former leader of the SFB, during the 12 (twelve) months following his or her shutdown of the office, will be prevented from providing, directly or indirectly, regardless of the form or nature of the contract, any kind of service to legal persons dealerships, under regulation or oversight of the SFB, including controlled, collated or subsidiary companies.

Single paragraph. It incurs the practice of administrative law, subjecting itself to the offender to the penalties provided for in art. 321 of the Decree-Law no 2,848, of December 7, 1940-Penal Code, the former leader of the SFB who disfulfill the provisions of the caput of this article.

Art. 61. The positions in committee and gratified functions of the SFB should be exercised preferentially by servers of their effective framework, applying to the constraints of the art. 59 of this Act.

Section II

From Ouvidoria

Art. 62. The SFB will contest with an Ouvidoria, to which it will compete:

I-receive requests for information and clarification, follow up on the internal process of ascertaining the complaints and complaints affected to the SFB and directly responding to those concerned, who will be scientified, in up to 30 (thirty) days, of the arrangements taken;

II-ensure the quality of services provided by the SFB and follow up with the internal process of ascertaining the complaints and complaints of the users, be against the acting of the SFB, be against the actuation of the dealers;

III-produce, semester and when to judge opportune:

a) circumstantial reporting of your activities and forward it to the Director-General of the SFB and to the Minister of State for the Environment;

b) appreciations on the performance of the SFB, referring them to the Director Council, the Public Forestry Management Committee, the Ministers of State for the Environment, Finance, Planning, Budget and Management and Head of the Civil House of the Presidency of the Republic, as well as to the committees of oversight and control of the House of Representatives and the Federal Senate, publishing them for general knowledge.

§ 1st The Ouvidor will act with the Director of the SFB Director, without hierarchical subordination, and shall exercise its tasks without accumulation with other functions.

§ 2nd The Ouvidor will be appointed by the President of the Republic for term of 3 (three) years, without a right to redriving.

§ 3rd The Ouvidor will only be able to forfeit the mandate in case of resignation, judicial conviction transitioned on trial or conviction in disciplinary administrative proceedings.

§ 4th The process administrative against the Ouvidor can only be instituted by the Minister of State for the Environment.

§ 5th The Ouvidor will have access to all subjects and will count on the administrative support that it will need.

§ 6th Applies to the ex-Ouvidor the willing in the art. 60 of this Law.

Section III

From the Gestor Council

Art. 63. (VETADO)

Section IV

From the SFB Servers

Art. 64. The SFB will constitute personnel framework, by means of conducting public evidence competition, or evidence and securities, or the redistribution of organ servers and entities of the direct, local, municipal or the federal administration.

Art. 65. The SFB will be able to apply, regardless of the designation for office in commission or trust function, and without prejudice to the maturities and advantages to which they make jus in the organ of origin, organ servers, and the member entities of the administration direct federal, municipal and fundational federal public, observed the maximum quantitative established in joint act of the State Ministers of Planning, Budget and Management and the Environment.

Single paragraph. In the case of requisition to Ibama, it should be preceded by authorization of the organ.

Art. 66. They are created 49 (forty-nine) positions of the Group Direction and Higher-Advisory Group-DAS, within the framework of the Federal Executive Power, for restructuring of the Ministry of the Environment, with the purpose of integrating the structure of the SFB, thus distributed:

I-1 (one) DAS-6;

II-4 (four) DAS-5;

III-17 (Seventeen) DAS-4;

IV-10 (ten) DAS-3;

V-9 (nine) DAS-2;

VI-8 (eight) DAS-1.

Setion V

From the Administrative Autonomy of the SFB

Art. 67. The Executive Power will be able to assure the SFB administrative and financial autonomy, in the convenient degree to the exercise of its assignments, upon the conclusion of management and performance contract, pursuant to § 8th of the art. 37 of the Federal Constitution, negotiated and firmed between the Ministry of the Environment and the Director Council.

§ First the management and performance contract will be the instrument of control of the administrative performance of the SFB and the evaluation of its performance, as well as an integral element of its accountability as well as the Ministry of the Environment, applied the provisions of the art. 9th of the Law no 8,443, of July 16, 1992, being its non-existence deemed to be lack of formal nature, as disposed of in the inciso II of the art. 16 of the same Act.

§ § 2nd the management and performance contract shall establish, in the annual programmes of work, indicators that allow to quantify, objectively, the evaluation of the SFB.

§ 3rd The contract of management and performance will be assessed periodically and, if necessary, reviewed on the occasion of the partial renewal of the SFB board.

Section VI

From the Revenue and Acquis of the Forest Service Brazilian

Art. 68. They constitute revenue of the SFB:

I-resources arising from the collection of forest concession prices, as intended as intended in paragraph (a) of the inciso I of the caput and in the inciso I of § 1st, both of the art. 39 of this Act, in addition to others concerning the concession contract, including those relating to the costs of the bidding of the bidding and the advent features of application of contractual penalties;

II-ordinary resources of the National Treasury, consigned in the Union Fiscal Budget and in its additional credits, transfers and re-passes that are conferred upon it;

III-product of the sale of publications, material technical, data and information, including for the purposes of public bidding, and of administrative emoluments;

IV-resources from congeniums or agreements concluded with entities, bodies or public companies, or contracts concluded with private companies;

V-donations, legacies, grants and other resources that are destined for it.

TITLE V

TRANSITIONAL PROVISIONS and endings

Art. 69. Without prejudice to the provisions of the incisos VI and VII of the art. 23 of the Federal Constitution, the implementation of the activities related to forest concessions could be delegated by the States, Federal District and Municipalities to the Union, as well as by the Union to the remaining federated ones, upon convennial firming with the organ competent manager.

Single paragraph. It is vetoed to the responsible governing body to demand from the concessionaire under its complementary action of regulation, control and surveillance obligation not previously provided for in contract.

Art. 70. The manhandling units in public forests with approved PMFS and running up to the date of publication of this Act will be surveyed:

I-by the competent organ of the Sisnama, to ascertain the progress of forest manhandling;

II-by the competent funjournal organ, to ascertain the situation of the occupation, in accordance with the parameters set out in the specific legislation.

§ 1st The surveys carried out by the competent funjournal organ will be accompanied by representative of the local Public Power.

§ 2nd In the manhandling units where the correct progress of the forest manor is not verified, the holders of the PMFS will be notified to submit corrections, within the time limit set by the competent body of the Sisnama.

§ 3rd Case is not met the requirements of the notification mentioned in § 2nd of this article, the PMFS will be cancelled and the corresponding area shall be vacated without burden to the Public Power and without prejudice to the remaining penalties provided for in law.

§ 4th The manhandling units where the correct course of forest manhandling is verified or sanded in the terms of § 2nd of this article will be submitted to the tender process, within the period of up to 24 (twenty four) months from the date of the manifestation of the organs regarding the survey envisaged in the caput of this article, as long as no conflict with Local communities by the occupation of the territory and use of forest resources.

§ 5th Will be given intended intended in the art. 6th of this Act to the manhandling units where the correct course of forest manhandling is verified and the holders of the PMFS are local communities.

§ 6th Until they are subjected to the licitatory process, the manhandling units mentioned in § 4th of this article will remain under the responsibility of the PMFS holder, who will be able to give continuity to the manhandling activities upon signing of contract with the conceding power.

§ 7th The contract provided for in § 6th of this article shall have limited duration to the signing of the contract of concession resulting from the licitatory process.

§ 8th Findo the licitatory process, the holder of the PMFS that gives continuity to its execution, on the terms of this article, shall pay the competent body competent value proportional to the price of the forest concession set out in the tender, calculated on the basis of the period elapsed from the verification by the competent organ of the Sisnama to the award of the winner in the bidding.

Art. 71. The bidding for the forest concession of the manhandling units mentioned in the § 4th of the art. 70 of this Act, in addition to observing the terms of this Act, should follow the following determinations:

I-o winner of the bidding, after firming the concession contract, should follow the PMFS in execution, and may revise it under the conditions laid down in regulation;

II-the bidding edital is expected to contain the ressaration values of the benfeits and investments already carried out in the area to be paid to the PMFS holder by the winner of the process of tender, discounted the value of the production earned in advance of bidding in the terms of § 8th of the art. 70 of this Law.

Art. 72. Public forests not intended for forest manhandling or conservation units become unable to convert for alternative use of the soil, until its classification according to the EEZ is officiated and the conversion is fully justified.

Art. 73. Public areas already occupied and converted for alternative land use on the date of publication of this Act will be excluded from forest concessions, provided that it has confirmed its vocation for the current use by means of the approved EEZ according to the relevant legislation.

§ First remaining in the areas provided for in the caput of this article, the Public Power can authorize new Sustainable Forest Manejo Plans, observed the current legislation.

§ 2nd Stay guaranteed the right of continuity of the economic activities carried out, in accordance with the law, by the current occupants in areas of up to 2.500ha (two thousand and five hundred hectares), by the deadline of 5 (five) years from the date of publication of this Law.

Art. 74. The parameters for definition of the sizes of the manhandling units to be granted to the legal persons of small size, micro and medium enterprises, in the form of the art. 33 of this Act, will be defined in regulation, in advance of the approval of the first Paof.

Art. 75. After 5 (five) years of the deployment of the first Paof, evaluation will be made on the technical, economic, social and environmental aspects of the application of this Law, to which it will give publicity.

Art. 76. In 10 (ten) years counted from the date of publication of this Act, the total area with Union forest concessions will not be able to exceed 20% (twenty percent) of the total area of its public forests available for the grant, with the exception of the units of manhandling located in national forests created in the terms of art. 17 of the Law no 9,985, of July 18, 2000.

Art. 77. By the end of the 10 (ten) first years counted from the date of publication of this Act, each concessionaire, individually or in consortium, will not be able to concentrate more than 10% (ten per cent) of the total area of public forests available for the concession in each sphere of government.

Art. 78. Until the approval of the first Paof, it shall be the granting power authorized to carry out forest concessions in:

I-manhandling units in public areas that, summed up, do not exceed 750.000ha (seven hundred and fifty thousand hectares), located in a range of up to 100Km (one hundred kilometers) along the highway BR-163;

II-national or state forests created in the terms of art. 17 of the Act No. 9,985 of July 18, 2000, observed the following requirements:

a) prior authorization of the governing body of the conservation unit;

b) prior approval of the manhandling plan of the unit of conservation pursuant to the Act No 9,985 of July 18, 2000;

c) oitiva of the advisory board of the conservation unit, in the terms of § 3rd art. 48 of this Act;

d) prediction of restricted use zones intended for local communities.

Single paragraph. The concessions of which treat the incisos I and II of the caput of this article should be the object of bidding and obeying the norms laid down in the arts. 8th and 12 a to 47 of this Act.

Art. 79. Civil associations that come to participate, in any way, from forest concessions or direct management of public forests should be constituted under Brazilian laws and have headquarters and administration in the Country.

Art. 80. The inciso XV of the art. 29 of the Law no 10,683, of May 28, 2003, passes to invigorate with the following essay:

" Art. 29. .....................................................................

.....................................................................

XV-from the Ministry of the Environment the National Environment Council, the National Council of the Amazon Legal, the National Council for Water Resources, the Board of Management of Genetic Heritage, the Deliberative Council of the National Fund of the Environment, the Brazilian Forest Service, the Public Forests Management Commission and up to 5 (five) Secretaries;

..................................................................... " (NR)

Art. 81. The art. 1st of the Law no 5,868, of December 12, 1972, passes the increased vigour of the following inciso V:

" Art. 1st .....................................................................

.....................................................................

V-Cadastro National of Public Forests.

..................................................................... " (NR)

Art. 82. The Act No 9,605 of February 12, 1998, passes the increased vigour of the following arts. 50-A and 69-A:

" Art. 50-A. Unkill, exploit economically or degrade forest, planted or native, on public domain lands or returns, without authorization from the competent body:

Penalty-seclusion of 2 (two) to 4 (four) years and fine.

§ First is not a crime the conduct practiced when necessary to the personal immediate subsistence of the agent or his / her family.

§ 2nd If the explored area is greater than 1,000 ha (thousand hectares), the penalty will be increased from 1 (one) year by milhar of hectare. "

" Art. 69-A. Elaborate or present, in the licensing, forestry grant or any other administrative procedure, study, laude or environmental report wholly or partially false or misleading, including by omission:

Pena-seclusion, from 3 (three) to 6 (six) years, and fine.

§ 1st If the crime is culposable:

Penalty-detention, from 1 (one) to 3 (three) years.

§ 2nd The penalty is increased from 1/3 (one third) to 2/3 (two-thirds), if there is significant damage to the medium environment, due to the use of false information, incomplete or deceptive. "

Art. 83. The art. 19 of the Law no 4,771, of September 15, 1965, goes on to invigorate with the following essay:

" Art. 19. The exploitation of forests and successor formations, both of public and private domain, will depend on prior approval by the competent state body of the National Environment System-SISNAMA, as well as the adoption of techniques from driving, exploration, forest reposition and manhandling compatible with the varied ecosystems that the arborrheic cover form.

§ First Compete to the Ibama the approval of which treats the caput of this article:

I-in the public domain forests of the Union;

II-in the conservation units created by the Union;

III-in the potentially causative endeavors of national or regional environmental impact, set out in resolution of the National Environment Council- CONAMA.

§ 2nd Compete to the municipal environmental organ the approval of which treats the caput of this article:

I-in the public domain forests of the Municipality;

II-in the conservation units created by the Municipality;

III-in cases that are delegated to it by convenium or other permissible instrument, ears, when couber, the competent bodies of the Union, of the states and the Federal District.

§ 3rd In the case of forest reposition, projects that contemplate the use of native species should be prioritized. " (NR)

Art. 84. The Act No 6,938 of August 31, 1981, passes to invigorate with the following changes:

" Art. 9th .....................................................................

.....................................................................

XIII-economic instruments such as forest concession, environmental servitude, environmental insurance, and others. " (NR)

" Art. 9o-A. Upon annuence of the competent environmental organ, the rural owner may institute environmental servitude, by which he voluntarily resigns, in permanent or temporary character, wholly or partially, the right of use, exploitation or suppression of existing natural resources on the property.

§ 1st Environmental servitude not if applies to areas of permanent preservation and legal reserve.

§ 2nd A limitation to the use or exploitation of the vegetation of the area under servitude instituted in relation to forest resources shall be, at a minimum, the same set for the legal reserve.

§ 3rd Environmental servitude should be averaged in the competent real estate registry.

§ 4th In the legal reserve compensation hypothesis, servitude should be averaged in the tuition of all the real estate involved.

§ 5th Is vedated, during the term of effective environmental servitude, the alteration of the area's intended destination, in cases of transmission of the immovable to any title, of dismemberment or rectification of the limits of the property. "

" Art. 14. .....................................................................

.....................................................................

§ 5th The execution of the required guarantees of the polluter does not prevent the application of the damages and reparation obligations of damage provided for in § 1st of this article. " (NR)

" Art. 17-G .....................................................................

.....................................................................

§ 2nd The resources raised with TCFA will have restricted use in control and environmental watchdog activities. " (NR)

Art. 85. The inciso II of the art caput. 167 of the Law no 6,015, of December 31, 1973, passes the invigorate increased of the following items 22 and 23:

" Art. 167. .....................................................................

.....................................................................

II-.....................................................................

.....................................................................

22. of the legal reserve;

23. of environmental servitude. " (NR)

Art. 86. This Act comes into force on the date of its publication.

Brasília, March 2, 2006; 185th of the Independence and 118th of the Republic.

LUIZ INACIO LULA DA SILVA

Antonio Palocci Son

Paulo Bernardo Silva

Marina Silva

This text does not replace the one published in the D.O.U. of 3/3/2006