I do know that the FEDERAL SENATE has approved, and I, ANTONIO CARLOS MAGALHÃES, PRESIDENT, pursuant to art. 48, item 28, of the Rules of Procedure, promulgated the following

RESOLUTION NO. 3, FROM 2000.

Authorizes the Union a hiring external credit operation, amounting to up to US$ 15, to 000, 000.00 (fifteen million U.S. dollars), from principal, to the International Bank for Reconstruction and Development-Bird, intended for partial financing of the Second Project pertaining to the National Environment Programme-PNMA II.

THE FEDERAL SENATE resolves:

Art. 1º It is the authorized Union, in the terms of art. 52, V, of the Federal Constitution, and of Resolution No. 69, of 1995, of the Federal Senate, to hire external credit operation to the International Bank for Reconstruction and Development-Bird.

Paragraph single. The resources referred to in this article will be used in the partial funding of the Second Project pertaining to the National Environment Programme-PNMA II.

Art. 2º Must be proven by the runner, before the formalization of the contractual instruments, upon prior manifestation of the Bird, the fulfilment of the conditionalities contractual that are listed in Section 12.02 (C) of the General Conditions and Section 5.01 of the Minute of the Loan Agreement.

Art. 3º The credit operation mentioned in the art. 1º presents the following financial characteristics:

I-value intended: US$ 15, 000, 000.00 (fifteen million U.S. dollars);

II-modality of loan: basket of currencies ("currency pool");

III-term: approximately fifteen years;

IV-carence: approximately five years and six months;

V-amortization: twenty semester plots, consecutive, in the value of 750, to 000.00 (setecent and fifty thousand us dollars), winning the first one on March 15, 2005 and the last no later than September 15, 2014;

VI-interest: required semestically, calculated on the basis of the Bank's catchment cost, ascertained during the six months prior to the respective maturities, plus a margin of 0.75% a.a. (seventy-five hunduths per cent per year);

VII-commission of commitment: 0.75% a.a. (seventy-five hundrths per cent to the year) required semester (on the same dates as the interest payment) on undisbursed debtor balances, entering into force sixty days after the signing of the Contract;

VIII-commission in sight: 1% (one percent) balconies of the loan account after the signing of the Contract.

Art. 4º The authorization granted by this Resolution is to be exercised within five hundred and forty days, counted from the date of its publication.

Art. 5º This Resolution enters into vigour on the date of its publication.

SENATE FEDERAL, on January 21, 2000.

Senator ANTONIO CARLOS MAGALHÃES

PRESIDENT