Act 141 1994

Original Language Title: LEY 141 de 1994

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LAW 141 1994
(June 28)
Official Gazette No. 41.414, of July 30, 1994
Whereby the National Royalties Fund was created, the National Royalties Commission, the law regulates State to receive royalties from the exploitation of non-renewable natural resources, the rules for liquidation and distribution are established and other provisions. Summary

Term Notes
THE CONGRESS OF COLOMBIA,
DECREES: CHAPTER I.


National Royalties Fund Effective Notes


ARTICLE 1o. CONSTITUTION OF THE NATIONAL FUND OF ROYALTIES. Create the National Royalties Fund with revenues from royalties not assigned to departments and municipalities producers and port municipalities in accordance with the provisions of this Act.

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The Fund will be a system of separate management accounts without legal status. Its resources will be allocated in accordance with Article 361 of the Constitution, to promote mining, environmental preservation and financing of regional investment projects defined as priorities in the development plans of the respective local authorities. PARAGRAPH 1.
. During the fifteen (15) days following the enactment of this law years, the Fund will allocate fifteen percent (15%) of its resources to finance regional investment projects in energization submit territorial entities and are defined as priority in the respective development plans.
Of these, twenty percent (20%) will be allocated to finance regional projects of investment in distribution infrastructure for the provision of public service fuel gas in strata 1 and 2. In the case
power project resources can be applied to the generation, transmission, processing, network expansion and remodeling, maintenance, control and reduction of energy losses, distributed as follows:
1. Forty percent (40%) for interconnected areas. Eight percent (8%) of these resources to finance the implementation of hydropower regional projects in the Department of Santander, approved through its power company, sie mpre and they are included in the national plan of expansion and defined as priorities in the regional development plans. The surplus of these resources will be allocated to rural electrification, with priority for areas with lower coverage in service until a similar regional coverage throughout the country, and
2. Forty percent (40%) for non-interconnected areas.
The regulations shall provide the criteria for project selection. In any case, the implementation of these projects require the approval of the Ministry of Mines and Energy, based on the development plans of companies in the sector. Effective Notes

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PARAGRAPH 2.
. The total resources of the National Royalties Fund, after deducting the allocations referred to in Article 1o., Article 5. paragraph, the 8th article. numeral 8, this that will rise to one percent (1%) of the actual collections made by the National Royalties Fund, taking into account for calculating the income of the immediately preceding semester and revenue projections estimated for the following effective percentage and Article 30 of this law, will be used to promote mining, preservation of the environment and the financing of regional investment projects, applying the following percentages at least 15% for promoting mining, 30% for the preservation of the environment, 54% for financing regional investment projects defined as priorities in the development plans of the respective local authorities. The third part of the resources allocated to the preservation of the environment, be used only for the execution of basic sanitation projects water and sewage, primarily in areas of the country where the provision of such services are below the national average up both reach this average, in which case the resources will be allocated to the treatment and reuse of wastewater. Effective Notes

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PARAGRAPH 3.
. Resources for financing or co-financing of regional investment projects should be distributed equally among integrated by regional, or by entities that substitute Corpes regions, taking into account population density, the unmet basic needs of the population and other poverty indicators, according to the criteria laid down in this Act and the regulations issued for this purpose the National Royalties Commission *. Editor's Notes


When the National Royalties Fund receives royalties resources originating from holdings in indigenous territories that do not belong to any municipality, separate from the amount received the part that would have corresponded to this municipality have existed, and used to finance projects promoting mining, environmental protection and regional projects identified as priorities in the development plans of the respective department or indigenous territory, and that directly benefit the communities that inhabit the departmental judges, departmental inspection or territory Indian where exploitation royalties originating comes forward.
PARÁGRAFO 4o. One hundred percent (100%) of the resources to promote mining should be applied under the terms of Article 62 of Law 141 of 1994. Of these, thirty percent (30%) will be implemented by the Institute research and Information Geoscientists, Mining Environmental and Nuclear, Ingeominas, mainly the lifting of the basic geological mapping of the entire national territory in scale 1: 100,000 (one hundred thousand scale). Seventy percent (70%) remaining for the National Mining Company, Minercol Ltda., Or his substitute, which will distribute it according to the priorities of the national government and development needs of the three (3) mining subsectors , namely metals and precious stones, minerals and industrial materials and energy minerals.
Annual resources administered by the National Mining Company, or his substitute, forty percent (40%) for the implementation of individual and community mining projects and those referred to in Article 62 of the Law 141 1994. the local authorities will be implementing projects for the promotion of mining, provided they are approved by the mining authority, as follows: If they develop within the jurisdiction of a municipality, will be executed by this; if abarcaren the territory of more than one municipality, the execution will be in charge of the respective department.
Local authorities may bring forward projects and program promotion mining directly, through agreements with other public bodies or by private contractors.
Over the next five (5) years from the enactment of this law, even with the zero point three percent (0.3%) of the allocation of resources from the National Royalties Fund, aimed at promoting and promoting small and medium coal mining projects for rectification, improvement and adaptation of road infrastructure in the area of ​​coal mining influence of the departments of Boyaca, Cundinamarca, Antioquia and Norte de Santander will be co-financed. "
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PARÁGRAFO the 5th. two-thirds (2/3) of the resources allocated to the preservation of the environment have the following destination :
1 No less than twenty percent (20%) will be channeled to financing environmental sanitation in the Amazon, Choco, San Andrés and Providencia, the Ciénaga Grande de Santa Marta, Laguna. sauso in Valle del Cauca, the reservoir Guájaro in the Atlantic, Tayrona National Park, Lake Tota and the Cienaga de Sapayá, and environmental sanitation and sustainable development of lands of indigenous reserves located in areas of special environmental significance .
2. No less than twelve percent (12%) for the recovery and conservation of watersheds across the country. The sixth part of this 12% will be applied to finance research projects, management and development of drylands and combating desertification and drought are affecting local authorities and / or Autonomous Regional Corporations.
3. No less than twenty percent (21%) to finance programs and projects for the decontamination of the Bogotá River.

4. No less than three percent (3%) for the decontamination of the Cauca River. These resources shall apply only to help pay the debt service Cañaveralejo WWTP project until it is covered. Failing that, these resources will be applied to finance additional works that allow treat one hundred percent (100%) of wastewater from the city of Santiago de Cali.
5. No less than two point five percent (2.5%) for decontamination, preservation and reconstruction and environmental protection in the area of ​​La Mojana.
6. No less than seven percent (7%) for reconstruction and environmental protection of renewable natural resources in the Colombian Massif preservation. Of these, two percent (2%) will be allocated to environmental projects that advance the Regional Autonomous Corporations in the departments of Cauca, Huila, Nariño, Tolima, Caqueta, Putumayo and Valle, and over, ie five percent (5%) to municipalities located in the Colombian Massif in the departments of Cauca, Huila and Nariño, under the coordination of environmental policy for the Colombian Massif. The projects will be implemented by municipalities.
7. Not less than one point five percent (1.5%) for the municipality of San Fernando and zero point five percent (0.5%) for the municipality of Santa Rosa del Sur, to finance environmental recovery projects department of Bolivar.
8. The zero point five percent (0.5%) for the department of Sucre for the conservation and decontamination marshes of San Benito Abad, Caimito and San Marcos.
9. The zero point five percent (0.5%) for the protection, preservation, reforestation and decontamination of Cusiana, Charte, Upía, Join, Cravo Sur, clunky, Pauto, Ariporo, Tua, Casanare rivers, and basic sanitation urban centers of influence.
10. Over, to complete one hundred percent (100%) will be allocated to finance environmental projects that advance the Regional Autonomous Corporations in the territorial entities, and will be distributed as follows:
a) Not less than forty five percent (45%) of these resources for projects submitted by municipalities under the jurisdiction of the fifteen (15) Autonomous Regional Corporations of lower tax revenues in the previous budgetary effect;
B) Not less than twenty five percent (25%), for projects submitted by the municipalities of the Autonomous Regional Corporations with special regimes;
C) The surplus to complete the hundred percent (100%) for environmental projects in municipalities belonging to the Regional Autonomous Corporations other than the above. Effective Notes

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Article 2.
. Authorized operations. The Commission, with resources from the National Royalties Fund, through reimbursable or not allocations, finance or co-finance the eligible projects will be presented by local authorities.
When assignments are to be redeemed, the corresponding lending operations shall be implemented by granting credit lines to financial institutions rediscount.
PARÁGRAFO. Territorial entities benefiting from allocations from the fund will generate counterpart funds with own revenues or by borrowing under the ordinary rules governing its indebtedness.
When they are territorial entities with natural resources exploitation whose contributions to the National Royalties Fund is greater than five percent (5%) of the annual Fund's own revenue, may guarantee the counterparties with partial pledge of future royalties. Effective Notes


ARTICLE 3. ELIGIBILITY OF PROJECTS. For a regional investment project is eligible shall be submitted by the joint or in associations territorial, or Indian reservations entities, individually or through the Regional Councils of Economic and Social Planning, Corpes or entities performing their duties, to the concept of the relevant ministry, which shall be issued within one month, and submission to the National Royalties Commission *, according to regulations issued by the Government. Editor's Notes


These projects should be identified as priorities in the corresponding Territorial Development Plan and be accompanied by the pre-investment feasibility studies or, as the case including the social, economic and environmental impact. Effective Notes

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PARAGRAPH 1.
. Once you are approved the allocation for projects under consideration by the Commission, these are entered in the Bank of Investment Projects that Law 38 of 1989. Effective Notes
concerns
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PARAGRAPH 2.
. For purposes of this law, is defined as those regional project to run, benefit groups of municipalities from different departments or the same department.
In the case of road investments, the department Archipelago of San Andres, Providencia and Santa Catalina, who can define the type of track to which it will apply its investment excepted. Effective Notes

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PARAGRAPH 3.
. In exceptional cases, projects considered by the Government as one of national interest have the proper application of local authorities and which have been approved by the National Commission Royalties * may be supported from the national budget. Editor's Notes


PARÁGRAFO 4o. The National Royalties Commission, in accordance with the provisions of Article 10 paragraph 2 of Law 141 of 1994, in order to control and monitor the proper use of royalties and compensation under the terms of Articles 14 and 15 of the mentioned law may provide for the financial and administrative contracting with public entities or private firms or entities interventorías, to monitor the use of the units of royalties and compensation from the respective local authorities. The value of such contracts may not exceed one percent (1%) of these resources.
The National Royalties Commission * request the collecting entity, the discount of this concept. Effective Notes

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PARÁGRAFO 5O. The annual surpluses that they approach to result from resources of the National Fund uncommitted Royalties will be used by the National Royalties Commission * to finance regional investment projects. Editor's Notes


PARÁGRAFO. In the case of the secondary road network are considered regional impact of secondary roads connecting Backbone Network and Tertiary connecting the municipalities of more than one department. Effective Notes


ARTICLE 4. INVESTMENT OF RESOURCES AND FINANCING LINE. Cash surpluses National Royalties Fund may only be placed on documents debt securities issued by the Government or the Bank of the Republic, or financial papers from abroad, which have market yields and high liquidity, according to the regulations issued to the effect that the national government.
The departmental assemblies and municipal councils of local authorities producing and port municipalities, shall regulate in the same direction regarding excess liquidity from royalties and compensation. Effective Jurisprudence


With resources from the National Royalties Fund financing line will be created to support pre-investment studies and feasibility of possibly eligible projects in accordance with the provisions of article 3. of this Law.
The National Royalties Commission * shall regulate the functioning of the financing facility that can operate non-reimbursable basis for territorial or regional entities less developed, which have priority, and by trust contract with Fonade. Editor's Notes


The 5th ITEM. DISTRIBUTION OF RESOURCES BETWEEN ELIGIBLE PROJECTS. To distribute the resources among eligible projects and establish the magnitude of allocations relative to the total value of each project, the Commission shall take into account, inter alia, the following criteria:
1. regional balance based on the unmet basic needs of the population.
2. harmonious development of the country and the regions; as well as the provisions contained in the National Development Plan.
3. Distribution of resources among National Royalties Fund to finance projects submitted promoting mining, environmental protection and regional investment projects in the country, in accordance with the provisions of article 1. of this Law.
4. environmental, social and economic impact of the projects.
5. Degree of participation of the Regional Councils for Economic and Social Planning, Corpes, and the Autonomous Regional Corporations in the study, design and implementation of projects.

6. Effects caused to the respective territorial entity as a result of exploration activities, transportation, handling and shipping of nonrenewable natural resources or their derivatives.
7. Financing of the development plans of the respective territorial entity.
8. Population density.
PARÁGRAFO. The National Commission Royalties * assign the fifteen point five percent (15.5%) of the annual revenues of the Fund for projects submitted by local authorities in accordance with the provisions of this law and for the sole purposes stipulated in Article 361 of the Constitution, distributed as follows:

Editor's Notes
1. The one point five percent (1.5%) for the department of Cordoba until 2010 inclusive, for regional investment projects defined as priorities in their respective development plans of the local authority.
2. One point five percent (1.25%) to the municipalities in the area of ​​environmental influence of cement factories, distributed proportionally according to the production volume of each, bound for the preservation of the environment.
3. One percent (1%) to the municipalities in the area of ​​environmental influence of iron and steel production, distributed proportionately according to the production volume of each, bound for the preservation of the environment.
4. Replacing obligations under articles 3., 4o. and 5th. Decree 1246 of 1974, two point seventy-five percent (2.75%) to the municipalities where processes of petrochemical refining of crude oil and / or gas are made, distributed in proportion to its volume, bound for the preservation of the environment and the execution of works of development defined in Article 15 of Law 141 of 1994
5. One point five percent (1.25%) to the metropolitan area of ​​the municipality of Barranquilla intended for decontamination of residual waters of the Magdalena river in that area.
6. One point five percent (1.25%) to the municipality of Buenaventura, for the decontamination of the environment in the municipality.
7. The zero point five percent (0.5%) for the decontamination of residual waters of the Bay of Tumaco and the defense of the ecosystem that beginning in its basin extends to the Desert of Las Papas.
8. The zero point one hundred twenty five percent (0.125%) in the municipality of Caucasia, for the decontamination of rivers where gold is mined.
9. The zero point one hundred twenty five percent (0.125%) for the municipality of Ayapel, for the preservation and decontamination of the swamp.
10. The zero point one hundred twenty five percent (0.125%) distributed as follows: For the municipality of Pasto (Nariño), thirty percent (30%) and the municipality of Aquitaine (Boyacá), seventy percent (70%), for the conservation, preservation and decontamination of the waters of Laguna de Cocha and Lake Tota.
11. The zero point five percent (0.25%) bound, in equal parts, for municipalities across jurisdictions including Natural Parks, the Nevados del Ruiz, Santa Isabel, Quindio, Tolima and Central; for the preservation, conservation and environmental decontamination.
12. The zero point one hundred twenty five percent (0.125%) for the municipality of Lorica, for the preservation and decontamination of Cienaga Grande.
13. The zero point one hundred twenty five percent (0.125%) for municipalities between jurisdictions Lagoon Fúquene for the preservation, conservation and decontamination of the lagoon.
14. The zero point five percent (0.25%) for the municipality of Puerto Boyaca bound for the preservation of the environment.
15. One percent (1%) distributed as follows: zero point five percent (0.5%) for the department of Chocó to recover the areas affected by mining barequeo and to promote small-scale mining, and zero point five percent (0.5%) intended to Vaupes and Guainia departments for the same purposes.
16. The zero point five percent (0.25%) for the departments of Antioquia, Nariño and Risaralda for the promotion of gold mining projects in municipalities gold producers.
17. The zero point eight hundred seventy-five percent (0.875%) to 2010 inclusive, for the department of Sucre, for the decontamination and channelization of streams and sewers.

18. The zero point fifty percent (0.50%) to the municipalities Chimichagua, Chiriguaná Curumaní, Tamalameque, Cesar Department and the Bank, Magdalena department, by proportional to their territorial participation in the swampy system for the conservation parts, preservation and decontamination of the Bog of Zapatosa. Effective Jurisprudence


19. The zero point fifty percent (0.50%) for the municipality of Montería until 2010 inclusive, for projects: investment priority, preferentially basic sanitation.
20. The zero point fifty percent (0.50%) to the city of Neiva, Huila, for the recovery and preservation of the river basin Las Ceibas.
21. The zero point five percent (0.5%) for projects to improve the environment and infrastructure for the areas of small and medium mining coal and gold in the department of Antioquia.
22. The zero point five percent (0.5%) for the recovery of Guaitiquía river dike in the city of Villavicencio, resources shall be implemented by the government of the department.
The area of ​​environmental influence will be that defined by the Environment Ministry.
The provisions of this Article does not exempt in any case pollutants to repair the damage caused to the environment or compliance with their environmental obligations. Effective Notes

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ARTICLE 6o. Conditionality of disbursements. Disbursements of resources from the Fund shall be subject to compliance with the financial and technical conditions set out in the act approving the respective project. Effective Notes


CHAPTER II. NATIONAL COMMISSION FOR ROYALTIES


Editor's Notes
ARTICLE 7. NATIONAL COMMISSION FOR ROYALTIES. Create the National Royalties Commission, as a special administrative unit without legal status, under the Ministry of Mines and Energy.
The Commission will aim, within the terms and parameters set out in this Act, control and monitor the proper use of resources from royalties and compensation caused by the exploitation of non-renewable natural resources owned by the state and management of resources from the National Royalties Fund. Effective Notes

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Article 8. FUNCTIONS OF THE NATIONAL COMMISSION FOR ROYALTIES. The functions of the Commission as follows:
1. Monitor, by itself or commission to other public or private entities, that the use of the holdings and allocations of resources from the National Royalties Fund, they are entitled to local authorities, meets the requirements of the Constitution and in this Act.

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2. In the cases provided for in paragraph 4o. Article 10 of this Law, apply to the respective collecting entity (administrative and planning regions, or regions as territorial entity producing departments and municipalities and municipalities retention port rotation of the resources required for the implementation of such projects. | Effective

|| Jurisprudence. 3 in the cases provided for in paragraph 3o. Article 10 of this Law, order the National Royalties Fund total or partial withholding of rotation of the resources required to implement such projects.


Effective Jurisprudence 4. approve the Technical Committee prior concept that is paragraph 12 of article 8. the projects submitted by local authorities receiving allocations from the National Royalties Fund, with obligation to ensure equitable allocation of resources according to the parameters outlined in the second paragraph of article 1. of this Law. Jurisprudence Effective


5. Establish control systems project implementation. Effective Jurisprudence


6. Designate for cases of regional investment projects, the executor of the project in accordance with the local authorities. Effective Jurisprudence


7. Distribute shares in royalties and compensation corresponding to the port, sea and river towns, ordinarily used in the loading and unloading of nonrenewable natural resources or products derived from non-renewable natural resources; and those within its radius of influence, according to the rules established in the paragraph of Article 26 and Articles 29 and 55 of this Law. Jurisprudence Effective



8. To approve the draft annual budget of the National Endowment Fund. Operating costs shall not exceed the annual zero point five percent (0.5%) of the Fund's own revenues. Effective Jurisprudence


9. Authorize the temporary investment of surplus liquidity in the National Royalties Fund. Effective Jurisprudence


10. Appoint and remove the staff of the Commission. Effective Jurisprudence


11. Review by itself or commission to other public or private entities, when determined, liquidations of investments made by the servicers of royalties and other compensation, and take appropriate measures. Effective Jurisprudence


12. Create a technical committee consisting of five experts with recognized expertise in project evaluation, appointed by the President of the Republic for five (5) years, have dedicated and will accrue the remuneration set by the Government. In such appointments the President of the Republic which will involve different regions of the country.
The technical committee will aim to ensure through analysis and technical study the quality of investment projects seeking for funding from the National Endowment Fund. The committee will, in all cases, prior opinion on the technical and financial feasibility of the projects under consideration.
The technical committee generally indicate the parameters for social, economic and environmental assessment of the projects financed and co-financed with funds from the National Endowment Fund.
The first appointment of the experts will be as follows: Two (2) experts for a period of three (3) years and three (3) for a period of five (5) years. Experts may be reappointed.
The technical committee will issue its own regulations. Effective Notes

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13. Appoint an auditor petroleum which will be responsible for the verification of compliance with this law, especially with regard to the settlement, payment and allocation of resources from royalties and compensation; his term shall be four (4) years and accrued remuneration assigned by the commission. The controller may be reelected. Effective Notes

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14. Enact their own regulations.
15. Other necessary for the proper fulfillment of the objectives of the Commission.
PARÁGRAFO. According to Law 80 of 1993 authorize the Commission for the conclusion of contracts of Fiducia, custom trustee or other similar nature, when deemed necessary for the efficient use of financial resources from the National Royalties Fund. Effective Notes

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Article 9. INTEGRATION OF THE NATIONAL COMMISSION FOR ROYALTIES. The Commission shall be composed as follows:
1. The Minister of Mines and Energy, who will preside, or failing that the Deputy Minister.
2. The Head of the National Planning Department, or in his absence, the Deputy Head.
3. The representative to the governing body of the environment and renewable natural resources, or its delegate national level.
4. The Minister of Transport, who may delegate his participation in the Deputy Minister. Effective Notes



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5. Sendos Governors Department of each Regional Council for Economic and Social Planning, Corpes, three (3) of them from non-producing departments, and two (2) of them producing departments, elected by the Governors that make up each Corpes. Act as alternates two separate mayors, three (3) of them from non-producing departments, and two (2) of them producing departments, elected by the municipalities of the region, who will prevent the regions that make up the respective Corpes of which They are part of the governors.
6. A mayor of Port municipalities as a principal member and one (1) as an alternate, elected by the National Federation of Municipalities. Effective Jurisprudence


7. The Mayor of the Capital District of Bogota as principal and one (1) as deputy mayor, elected the latter by the National Federation of Municipalities.
Mayors alternates may attend all committee meetings with voice and vote in the absence only have the corresponding governor or principal mayor. PARAGRAPH 1.
. Among those elected, principal or alternate members to the National Commission Royalties, there can be, in any case, more than one (1) originating from the same department.
PARAGRAPH 2.
. It is defined as one whose Department Producer income from royalties and compensation, including its producing municipalities, is equal to or greater than three percent (3%) of total royalties and compensation generated by the country. shall not be taken into account assignments own resources from the National Royalties Fund, or those received by departments as a result of reallocations set out in Article 54 of Law 141 of 1994 Notes Effective

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ITEM 10. MECHANISMS TO ENSURE THE PROPER USE OF UNITS IN ROYALTIES AND REMEDIES. Developing the powers of inspection and control over the proper use of royalties and compensation the Commission shall have the following powers:
1. Practice, directly or through representatives, visits to local authorities beneficiaries of royalties and compensation and suspend disbursement of them when it is established that the territorial entity is using them inefficiently or inadequate, until stay overcome the situation. Editor's Notes

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2. Having hiring financial and administrative interventorías to monitor the use of the holdings and allocations from the National Endowment Fund. Effective Jurisprudence


3. Order the implementation of projects financed with allocations from the Fund is ahead by other public bodies, when, directly or through contracts with third parties, territorial entity receiving these allocations are running projects irresponsibly or negligently without giving effect to the terms and conditions set forth in the act of approval of allocations. The Commission will order the public body who is in charge of project implementation will give him the financial resources provided for this purpose. Effective Jurisprudence


4. Request that the implementation of funded projects involving royalties and compensation forward by other public entities, administrative and planning regions, regions as a territorial entity, departments and municipalities, as appropriate, when the territorial entity beneficiary of those shares or compensation, directly or through contracts with third parties, or running projects being administered irresponsibly or negligently or not to comply with the terms and conditions set forth in the respective contracts. The Commission, in such cases, may refrain from approving new investment projects to the responsible local authorities, until the corrective measures are not taken and request that the entity who is in charge of project implementation will deliver resources financial provided for this purpose. Effective Notes

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ARTICLE 11. DECISIONS ADOPTED BY THE COMMISSION. Decisions shall be taken by the Commission, by resolutions issued by its president and countersigned by the secretary, against which only the remedy of reinstatement under the terms provided in the Administrative Code. The Executive Secretary shall authorize and sign the acts to be performed in developing the Fund's operations. Effective Notes

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ARTICLE 12. COMMISSION STAFF. The Commission will be professional, technical and administrative staff necessary for the performance of their duties, according to what the government determines and taking into account the provisions of the 8th paragraph. of Article 8. of this Law.
The Commission shall have an Executive Secretary, of free appointment and removal, who will have the character of public employee. His salary scale shall be fixed by the Government. Effective Notes

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CHAPTER III.
COMPENSATION SYSTEM GENERATED BY ROYALTIES AND EXPLOITATION OF NATURAL RESOURCES
NONRENEWABLE
ARTICLE 13. GOVERNMENT OF ROYALTIES. Effective Notes

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ARTICLE 14. USE BY DEPARTMENTS OF UNITS SET FORTH IN THIS LAW. Resources royalties and monetary compensation distributed to producers departments, will be allocated as follows:

A) Ninety percent (90%), and investment in priority projects that are listed in the General Development Plan Department or development plans of municipalities, and of these, no less than fifty percent (50%) for priority projects that are covered by the Development Plans of municipalities in the same department, who do not receive direct royalties, which may not be used more than fifteen percent (15%) to the same municipality. In any case, priority projects that will benefit two or more municipalities. Of this, the beneficiary organizations must allocate at least one percent (1%) of these resources Investment projects in nutrition and food security for which they will sign inter-administrative agreements with the Colombian Institute of Family Welfare - ICBF;
B) Up to ten percent (10%) for technical auditing of projects implemented with these resources.
Case of resources that are not from hydrocarbon projects, 7.5% for technical auditing of projects implemented with these resources and 2.5% to the costs of management and administration entities that have allocated order national whose position is the function of collection and distribution of royalties and compensation.
While departmental entities do not meet minimum coverage in infant mortality indicators, basic health coverage and education, potable water and sewerage, the corresponding departmental entity shall allocate not less than sixty percent (60%) of the total royalties for these purposes. In the annual budget resources from the royalties allocated to the sectors mentioned here they are clearly separated.
The National Government shall regulate terms of minimum coverage. PARAGRAPH 1.
. For the purposes of this article, also have investment transfers do departments of the shares of royalties and compensation for the Regional Councils of Economic and Social Planning, CORPES, or the entity that replaces it, and Regional Investment funds, FIR. PARAGRAPH 2.
. Shall survive all transfers of shares to public entities under laws, decrees and previous agreements with, been effected departments and municipalities. PARAGRAPH 3.
. For all purposes, the Comptroller General of the Republic shall exercise fiscal control over these resources. Effective Jurisprudence

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ARTICLE 15. USE BY THE MUNICIPALITIES OF UNITS SET FORTH IN THIS LAW. Resources royalties and monetary compensation distributed to municipalities and port producers municipalities will be allocated as follows:
a) Ninety percent (90%) investment in development projects Municipal and District contained in the Plan development, with priority for those aimed at the construction, maintenance and improvement of tertiary network by local authorities, productive projects, environmental sanitation and those for investment in health services, primary, secondary education and public higher, electricity, potable water, sewage and other essential basic public services, without prejudice to Article 129 of the Mining Code (Law 685 of 2001). Of this, the beneficiary organizations must allocate at least one percent (1%) of these resources Investment projects in nutrition and food security for which they will sign inter-administrative agreements with the Colombian Institute of Family Welfare - ICBF;
B) Up to ten percent (10%) for technical auditing of projects implemented with these resources.
Case of resources that are not from hydrocarbon projects, 7.5% for technical auditing of projects implemented with these resources and 2.5% to the costs of management and administration that have national order to be used whose position is the function of collection and distribution of royalties and compensation.
While municipal entities do not meet minimum coverage in the areas of health, education, potable water, sewage and infant mortality, allocate at least seventy-five percent (75%) of its total shares for these purposes. In the annual budget resources from royalties intended for the above purposes are clearly separated.
The National Government shall regulate terms of minimum coverage.

PARÁGRAFO. For all purposes, the Comptroller General of the Republic shall exercise fiscal control of these resources. Effective Jurisprudence

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ARTICLE 16.
amount of royalties. Establécese as royalty for the exploitation of non-renewable national property, the value of production in mouth or mine or pit edge natural resources, as appropriate, the percentage resulting from applying the following table:
Coal (greater exploitation to 3 million tons per year) 10%
Coal (less than 3 million tons annual operating) 5% 12%

Iron Nickel and copper 5%
Gold and silver 4%
alluvial gold concession contracts 6% to 5% Platinum


Sal 12% limestone, gypsum, clay and gravel radioactive ores
1% 10% 5% metal ores

nonmetallic minerals 3% building materials

Establécese as 1% royalty for the exploitation of hydrocarbons of national ownership of the value of production at the wellhead, the percentage resulting from applying the following scale: || | daily production Percentage
average month for a production equal to or less than 5 KBPD 8% higher production
For 5 KBPD and exceeding 125%
KBPD X where X = 8 + (production KBPD - 5 KBPD) (0.10)
For increased production to 125 KBPD and less than or equal to 400 KBPD20%
For increased production to 400 KBPD not exceeding 600 KBPDY%
Where Y = 20 + (production KBPD - KBPD 400) (0,025)
For increased production to 600 KBPD 25%

Effective Decisions PARAGRAPH 1.
. For all purposes, the term "production KBPD" month average daily production of a field, expressed in thousands of barrels per day.
One (1) barrel of oil equivalent to five in 1700 (5,700) cubic feet of gas: For the calculation of royalties applied to the exploitation of gaseous hydrocarbons, the following equation applies.
The royalty regime for gas exploitation projects will read:
for exploitation in fields located onshore and offshore up to a depth less than or equal to one thousand (1,000) feet shall apply eighty percent (80%) of the equivalent for the exploitation of oil royalties; for exploitation in fields located offshore at a depth greater than one thousand (1,000) feet, a royalty of sixty percent (60%) of equivalent to the exploitation of oil royalties apply. PARAGRAPH 2.
. This standard applies to new discoveries of hydrocarbons in accordance with article 2. Act 97 of 1993 or the rules that complement, replace or repeal, which are made after the date of enactment of this Act. PARAGRAPH 3.
. This provision also applies to incremental production from incremental production contracts previously approved by the Ministry of Mines and Energy and discovered undeveloped fields. It shall mean incremental production to that from the contracts signed by Ecopetrol with third parties which have as their object obtained from existing fields, new reserves from new investments oriented application technologies for enhanced recovery in the subsoil that increase recovery factor of deposits, or addition of new reserves. shall also include incremental production projects developed by Ecopetrol with the same purposes.
PARÁGRAFO 4o. The percentage of royalties and compensation agreed in the current contract for the exploitation of nickel in Cerromatoso, Montelíbano municipality shall apply the first four percent (4%) royalties and four percent (4%) remaining compensation. For future contracts or extensions, if any, the royalty percentage established in this article shall apply and be distributed as follows: Seven percent (7%) by way of royalties and five percent (5%) remaining to compensation.

PARÁGRAFO 5O. In the partnership contract between Carbocol and Intercor, the legal regalia will be fifteen percent (15%) by Intercor or the acquirer of its shares, as stipulated by the contract, which will be distributed as laid down in Article 32 of this law. In the event that the company Carbocol is liquidated, privatized or is the subject of a process of private capitalization, the entity that acquires the rights of the company must pay a ten percent (10%) on the value of production in mouth mine, which will be settled as follows: the first five percent (5%) shall be applied as royalties and distributed under the terms of Article 32 of this law; five percent (5%) remaining will be applied as offsets to be distributed as follows: fifty percent (50%) for the Autonomous Regional Corporation on whose territory the operations are carried out; twenty-five percent (25%) for administrative planning region or the region as a territorial entity belonging to the respective department, and twenty-five percent (25%) for coal producing municipalities in the same department. The settlement, collection and distribution of these royalties and compensation for the Ministry of Mines and Energy entity or its delegate.
While Planning Administrative Region or region is created as a territorial entity, the resources allocated to it will be administered and implemented by the Regional Autonomous Corporation in whose territory the operations are carried out. Effective Notes

Effective Jurisprudence


PARÁGRAFO 6o. The tax provisions of existing contracts or licenses for coal mining will be replaced by a royalty equal to an amount of that charge, by the contractor, licensee or operator.
PARÁGRAFO the 7th. In cases which operates the integration of mining rights for small mining before December 31, 2005, holders of such integration will be required to pay for the twenty-five (25) years from the date thereof, the thirty percent (30%) of the total percentage of royalties and compensation that are required by application of this law.
PARÁGRAFO the 8th. For purposes of liquidating the royalties from the exploitation of salt mines the price of product realization, net of freight and costs amiento proces will be taken. It is taken for realization price, the sale price of the Concession Salinas or the company in its stead.
PARÁGRAFO the 9th. The value of gram gold, silver and platinum in Minehead to settle royalties, will be eighty percent (80%) of the average international price of last month, published by the London Metal Exchange in the past Meridiano version.
CLAUSE 10. For the operation of heavy hydrocarbons of an API gravity equal to or less than fifteen degrees (15th.), Royalties shall be seventy-five percent (75%) of the royalty applied for light and semilivianos hydrocarbons. This provision shall apply to production from new discoveries, incremental production contracts or discovered undeveloped fields. Effective Notes

Effective Jurisprudence



Previous legislation
ARTICLE 17. ROYALTIES FOR A ESMERALDAS AND OTHER PRECIOUS STONES. Royalties for emeralds and other precious stones. Corresponding to the exploitation of emeralds and other precious stones royalties will be one point five percent (1.5%) of the value of exploited material placed in the mouth or edge of mine, it will be settled by the Ministry of Mines and Energy or by the entity designated by him and declared and paid in accordance with the distribution established in Article 35 of this law. Effective Notes

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Previous legislation
ARTICLE 18. APPLICABLE TO OTHER MINERAL ROYALTIES. Nonrenewable natural resources that are not would be subject to royalties or specific taxes because of their exploitation, in advance of the effective date of this Act, the pay at the rate of three percent (3%) on the gross value of production mine mouth or edge, as appropriate.

ARTICLE 19. DETERMINATION OF PRICES BASE FOR THE LIQUIDATION OF ROYALTIES. Effective Notes

Effective Notes

Legislation Previous

ARTICLE 20.
BASE PRICE FOR THE LIQUIDATION OF ROYALTIES GENERATED BY OIL EXPLOITATION. Effective Notes

Effective Jurisprudence

Legislation Previous


ARTICLE 21. BENCHMARK FOR THE LIQUIDATION OF ROYALTIES GENERATED BY THE EXPLOITATION OF HYDROCARBONS.
...
PARAGRAPH 1.
. For purposes of determining the royalty for exploitation of gas will not be taken into account that reinject the fields, nor the gas used for the operation of the field. Effective Notes

Legislation Previous

ARTICLE 22.
BASE PRICE FOR THE LIQUIDATION OF ROYALTIES GENERATED BY COAL EXPLOITATION. ...

PARÁGRAFO. The collection of royalties for the exploitation of coal and limestone for consumption of thermal power, to cement industries and iron industries will be in charge of them, according to the price for the effect set these minerals the Ministry of Mines and Energy taking into account the average cost of exploitation and transportation. Effective Notes

Legislation Previous

ARTICLE 23.
BASE PRICE FOR THE LIQUIDATION OF ROYALTIES AND REMEDIES CASH GENERATED BY THE EXPLOITATION OF NICKEL. In the new concessions or extensions of the current contract, if any, for fixing the basic price in mouth or edge of mine for settlement of royalties and monetary compensation, the weighted average FOB price will be based in ports Colombians in the immediately preceding quarter, less seventy-five percent (75%) of the costs of processing furnace, handling costs, transport costs and port. Effective Jurisprudence


ARTICLE 24. COLLECTION OF ROYALTIES. Effective Notes

Legislation Previous

ARTICLE 25. ARRANGEMENTS
COLLECTION OF ROYALTIES. Effective Notes

Legislation Previous


ARTICLE 26. TAXES AND SPECIFIC economic considerations. Specific taxes under the mining legislation for holdings of gold, platinum and coal will continue burdening farms nonrenewable nationally owned natural resources, which shall be subject only to royalties set out in this Act and compensation Executed industrial and commercial enterprises of the State or under this regime.
PARÁGRAFO. Effective Notes

Editor's Notes

Effective Jurisprudence

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ARTICLE 27. PROHIBITION TERRITORIAL ENTITIES. Except the provisions contained in the current regulations, local authorities may not establish any tax on the exploitation of non-renewable natural resources. Effective Jurisprudence


CHAPTER IV.
INTERESTS IN ROYALTIES AND REMEDIES

ARTICLE 28. RIGHT OF DEPARTMENTS AND MUNICIPALITIES IN WHOSE TERRITORY HOLDINGS be brought forward. Departments and municipalities will participate in royalties and monetary compensation from the exploitation of non-renewable natural resources held in their respective territories.

ARTICLE 29. RIGHTS OF MUNICIPALITIES PORTUARIOS. For the purposes of the third paragraph of Article 360 ​​of the Constitution, the beneficiaries of the shares in royalties and monetary compensation from the transport of non-renewable natural resources are the municipalities in whose jurisdiction located permanent, land and sea facilities are located, built and operated for loading and ordinary and usual in boats of such resources or its derivatives discharged. Editor's Notes


For purposes of the distribution of the share royalties and compensation corresponds to each of the maritime port municipalities shipment of non-renewable natural resources and their derivatives for export, shall be based on the volumes transported and the storage capacity used, land and sea, in each of them. Effective Jurisprudence


There shall be a redistribution of royalties related to maritime port municipalities, environmental factors such as maritime and ecological impact determines that the area of ​​influence of a port comprising several municipalities or departments. The Commission will review and determine the cases at the request of the municipalities of the catchment area concerned and once only, within the year following the enactment of this Act year, redistribute the percentages (%) of participation between municipalities and departments . In any case the rights of the municipality or ports or departments municipalities, as applicable, are preserved and he or they will all royalties, as set out in the preceding paragraph, while not operate redistribution, or once the year after the deadline referred to in this Article, without any separate decision presented by the Commission.
Effective Jurisprudence


For purposes of the distribution of the share royalties and compensation corresponds to each of the municipalities river boarding and nonrenewable natural resources derivative thereof, the Commission, within the year following the enactment of this Act, determine its distribution taking into account the following criteria:
1. Volumes transported.
2. Environmental impact.
3. UBN.
4. Influence zone. PARAGRAPH 1.
. Royalties and compensation caused by the transport of non-renewable natural resources or their derivatives, seaports municipalities in the departments of Cordoba and Sucre will be distributed within the next area of ​​influence as well:
a) For municipalities Sucre department 50%
b) for municipalities of the Department of Córdoba 50%
Total a) + b) = 100%
all of these resources will be invested by local authorities benefit in terms Article 15 of Law 141 of 1994.
fifty percent (50%) corresponding to the municipalities of Sucre will be drawn directly as follows:
1. Eight percent (8%) for the seaport city of Sucre where nonrenewable natural resources or its derivatives carried.
2. Six point five percent (6.5%) for the coastal town of Santiago de Tolu.
From the effective date of this law and for the first three years, divided into semesters, the percentages to be distributed to the seaport city of Sucre where nonrenewable natural resources or its derivatives are carried, and the coastal town of Santiago de Tolu, are as follows: Year 1Year 2year 3


Semestre1Semestre2Semestre3Semestre4Semestre5Semestre6 port 6.5% 6.5% Municipal 7.0% 7.0% 7.5% 8.0%
coastal municipality of Santiago de Tolú8. 0% 8.0% 7.5% 7.5% 7.0% 6.5%
three percent (3%) corresponding to the municipalities of Sucre resources will be drawn directly by the collecting entity Sucre department, who must devote to the funding programs decontamination of pipes and streams located in its territorial area, with special emphasis on the Arroyo Grande Corozal and to maintain their watersheds.
In the event that the seaport city of Sucre where nonrenewable natural resources or its derivatives disappeared from the legal system and the municipality of Santiago de Tolu regain its status port town are transported, the corresponding royalties will be distributed as follows:
the fourteen point five percent (14.5%) for the seaport city of Sucre where natural resources and their derivatives or transported.
This fourteen point five percent (14.5%), the third party must be reversed within the area of ​​influence of the port, in the municipality of Covenas, which will be handled in separate account. Failure to comply with this mandate is grounds for misconduct, punishable by dismissal.
3. Three percent (3%) equally among the remaining port maritime coastal municipalities of Sucre in the Gulf of Morrosquillo, except for the municipality of Santiago de Tolu.
Surplus to complete fifty percent (50%), ie the twenty point five percent (29.5%) will be distributed among the remaining municipalities of Sucre not covered in the preceding paragraphs, or producers of large mining , using the following mechanisms weighting:
a) twenty-five percent (25%) are equally distributed among all municipalities in the department, not referred to in the preceding paragraph, or large mining producers;
B) Thirty-two point five percent (32.5%) of the same allocation will be distributed proportionally tending the population census of each beneficiary municipality;
C) Forty-two point five percent (42.5%) remaining will be distributed in direct proportion to the number of inhabitants with unsatisfied basic needs of each beneficiary municipality.
To obtain figures to be distributed among the municipalities the following formula is used:
RCM = T * [(0.25 / NOM) + 0.325 (PM / PT) + 0.425 PMNBI / PTNBI)]
RCM = Resources that corresponds to each municipality.
T = Total resources to be distributed.
PT = Total population benefit municipalities.
PM = population of the municipality.
PTNBI = Total population with NBI benefit of municipalities.

Proportionality used in relation to population and unmet basic needs will because of the sum to shed the beneficiary municipalities, excluding the data of the seaport city of Sucre where non-renewable natural resources are transported or their derivatives and other coastal maritime port municipalities of Sucre in the Gulf of Morrosquillo.
Fifty percent (50%) corresponding to the municipalities of Córdoba will be drawn directly as follows:
1. Eleven point five percent (11.5%) for port and maritime town of Córdoba where nonrenewable natural resources or their derivatives are carried.
2. Nine percent (9.0%) equally among the remaining coastal maritime port municipalities in the department of Cordoba.
3. Twenty-seven point five percent (27.5%) equally among the remaining municipalities in the department of Cordoba not covered in the preceding paragraphs or large mining producers.
4. The surplus to complete fifty percent (50%), ie two percent (2%), towards the Cordoba department to be transferred to the Autonomous Corporation of Valleys of the Sinú and San Jorge "CVS "for reforestation.
In the event that have been constituted in the same department (Cordoba and Sucre), two (2) or more maritime coastal port cities, through which non-renewable resources or their derivatives are carried, the percentage allocated to these municipalities apply to the volumes transported by each of them.
Staggering laid down in Article 53 of Law 141 of 1994, shall apply independently for each port town where the oil or its derivatives are carried.
Of the amount or total amount of royalties and compensation referred to in this paragraph to each municipality shall be deducted the sums that the Colombian oil company Ecopetrol or the nation have been delivered or delivered to them by way of loans or advances. Effective Notes

Effective Jurisprudence



Previous legislation PARAGRAPH 2.
. If non-renewable natural resources are not transported through sea and river ports, the percentage of the distribution of royalties and compensation assigned to them will go to the department in whose jurisdiction the respective resource exploitation was made. Effective Notes

Legislation Previous

PARAGRAPH 3.
. In the event that a nonrenewable natural resource of national production, or derivative thereof, is transported between sea and river ports, municipalities or districts where the operation load is performed and download receive royalties for the volume transported in accordance with the rules and parameters set by this Law.

ARTICLE 30. RIGHTS OF COASTAL MUNICIPALITIES OF RIO MAGDALENA. The Regional Autonomous Corporation of Rio Grande de la Magdalena, Cormagdalena receive ten percent (10%) of the annual income own National Royalties Fund.
As a special enforcement mechanism for resources from the National Royalties Fund, projects funded with these resources will be prioritized and approved by the Board of Cormagdalena prior concept of viability of the competent Sector Ministry. The Corporation shall inform the National Royalties Fund, within five (5) business days following the approval of the projects, indicating the ratio and the amount thereof. Based on this information, the Fund will issue the respective administrative allocating resources, within five (5) business days upon receipt thereof.
Of the resources appropriated in each fiscal year investments for environmental protection programs, fish resources and other renewable resources in the municipalities of the subregion Colombian Massif, within the jurisdiction of Cormagdalena will be prioritized.
Allocations National Royalties Fund, corresponding to the approved investment projects will turn to a single account for the effect Cormagdalena aperture.
The control and monitoring of the correct use of these resources shall be exercised by the National Planning Department and the rotation thereof will be subject to the established mechanisms for the proper use of resources from the National Royalties Fund.
This provision applies to other assignments that the National Royalties Fund, run Cormagdalena. Editor's Notes

Effective Notes

Effective Jurisprudence

Legislation Previous


ARTICLE 31. DISTRIBUTION
royalties from oil exploitation. Notwithstanding the provisions of Articles 48, 49 and 50 of this law, the royalties from the exploitation of hydrocarbons will be distributed as follows:
TABLE 1


Departments productores47.5% municipalities or districts productores12.5% ​​
municipalities or districts portuarios8.0% National Fund

PARAGRAPH 1. Regalías32.0%. In the event that the total production of a municipality or district is less than ten thousand (10,000) monthly average daily barrels, the corresponding royalties will be distributed as follows: TABLE 2


Departments productores52% municipalities or districts productores32 %
municipalities or districts portuarios8%
National Fund Regalías8%
if the total output of a municipality or district exceeds ten thousand (10,000) barrels, and less than twenty thousand (20,000) monthly average daily barrels, royalties for the surplus over ten thousand (10,000) monthly average daily barrels will be distributed as follows: TABLE 3


Departments productores47.5% municipalities or districts productores25%
municipalities or districts portuarios8% National Fund

PARAGRAPH 2. Regalías19.5%. When the total production of hydrocarbons from a municipality or district is more than twenty thousand (20,000) and less than fifty thousand (50,000) monthly average daily barrels, royalties corresponding to the first twenty thousand (20,000) barrels will be distributed according to the preceding paragraph and over in the manner set forth in Table 1 thereof. Effective Notes

Effective Jurisprudence

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ARTICLE 32. DISTRIBUTION OF royalties from coal mining. Notwithstanding the provisions of Articles 51 and 52 of this Law, royalties from coal mining will be distributed as follows:

A) Holdings over three (3) million tons per year: ........................... 42.0 producers Departments
%
municipalities or districts producers .................. 32.0%
municipalities or districts port ............... .... 10.0%
National Royalties Fund .......................... 16.0%
b) Farms under three (3) million tons per year:
producers Departments ........................... 45.0%
producers municipalities or districts. ................. 45.0%
municipalities or port districts ................... 10.0%
Effective notes
Effective Jurisprudence


ARTICLE 33. DISTRIBUTION OF ROYALTIES DERIVED FROM THE EXPLOITATION OF NICKEL. Royalties from the exploitation of nickel will be distributed as follows:
Departments producers

............................ 55.0% or producing districts Municipalities ........ ........... 37.0%
municipalities or districts ..................... 1.0% port
National Fund Photos Notes ............................ 7.0% Effective

Effective Jurisprudence


ARTICLE 34. DISTRIBUTION OF ROYALTIES DERIVED FROM THE EXPLOITATION OF IRON, COPPER AND OTHER METALS MINERALS. Royalties from the exploitation of iron, copper and other minerals will be distributed as follows:

A) Iron and other metal minerals producers
|| Departments .............................. 50.0% | Municipalities or producing districts ..................... 40.0%
municipalities or districts port ............... ........ 2.0%
National Royalties Fund .............................. 8.0% | || b) Copper:
producers Departments ............................. 20.0%
producers municipalities or districts. ................... 70.0%
municipalities or districts port ...................... 2.0%
............................ National Royalty Fund. 8.0% Effective Notes

Effective Jurisprudence


ARTICLE 35. DISTRIBUTION OF ROYALTIES DERIVED FROM THE EXPLOITATION OF PRECIOUS STONES.

Cundinamarca Department

10% 10% Boyacá Department Muzo Municipality

6% 6% Quípama Municipality
Municipality of San Pablo de Borbur 6%
Municipality of Maripí 6 % Municipality of Pauna

6% Municipality of Buena Vista Township 3%

Otanche 5% 3% Coper Municipality Municipality Briceño

Township 3% 3% Tunungua
Municipality of La Victoria 3% Municipality

Chivor 6% 3% Municipality of Macanal Almeida Municipality

3% 3% Somondoco Municipality Municipality
Chiquinquirá 3% | Municipality of Caldas ||
2% 3% Ubalá Municipality Municipality

Gachalá 3% 2% Guvetá Municipality
National Royalties Fund 2% Total 100%

Notes Effective
Effective Notes

Effective Jurisprudence



Previous legislation

ARTICLE 36. DISTRIBUTION OF ROYALTIES DERIVED FROM THE EXPLOITATION OF GOLD, SILVER AND PLATINUM. Royalties for the exploitation of gold, silver and platinum will be distributed as follows:


Producer Department Municipalities 10% or 87% producing districts
National Royalties Fund 3%

Term Notes Effective Jurisprudence

Legislation Previous


ARTICLE 37. DISTRIBUTION OF ROYALTIES DERIVED FROM THE EXPLOITATION OF SALT. Royalties for export salt will be distributed as follows:
Departments producers

............................. 20.0% or producing districts Municipalities .......
............. 60.0% or port districts Municipalities ....................... 5.0%
National Royalties Fund Notes ............................ 15.0% Effective

Effective Jurisprudence


ARTICLE 38. DISTRIBUTION OF ROYALTIES DERIVED FROM THE EXPLOITATION OF LIMESTONE, GYPSUM, CLAY, GRAVEL AND NON-METALLIC MINERALS OTHER. Corresponding to the exploitation of limestone, gypsum, clay, gravel, and other non-metallic minerals, royalties will be distributed as follows:
Departments producers

.............................. 20.0% or producing districts Municipalities ...... ............... 67.0%
port districts Municipalities or 3.0% ........................
National Royalties Fund Notes ............................. 10.0% Effective

Effective Jurisprudence


ARTICLE 39. DISTRIBUTION OF ROYALTIES DERIVED FROM MINERAL EXPLOITATION OF RADIOACTIVE. Royalties from the exploitation of radioactive minerals, will be distributed as follows:
Departments producers

................................ 17.0% Municipalities or producing districts .... ................... 63.0%
municipalities or districts port ...................... ... 5.0%
National Royalties Fund ............................... 15.0% Notes
effective
Effective Jurisprudence


ARTICLE 40. DISTRIBUTION OF MONETARY COMPENSATION DERIVED FROM COAL MINING. The monetary compensation stipulated in the contracts for the exploitation of coal, will be distributed as follows:
Departments producers

.............................. 12.0% or producing districts Municipalities ...... ................ 2.0% or port districts Municipalities
...................... 10.0% | || State Industrial and Commercial Company,
Ecocarbón, or his substitute ..................... 50.0%
regional Corpes or entity
replace that in whose territory
holdings made .................................. .... 10.0% Autonomous Regional Corporation

in whose territory the operation is carried out ................... 10.0%
development fund coal ............................ 6.0%
PARÁGRAFO. In the absence of Regional Autonomous Corporation, compensation for such increase assigned to the Development Fund for Coal. Effective Notes

Effective Jurisprudence


ARTICLE 41. DISTRIBUTION OF MONETARY COMPENSATION RESULTING FROM THE EXPLOITATION OF NICKEL. The monetary compensation stipulated in the contracts for the exploitation of nickel, will be distributed as follows:


Departments productores42.0% productores2.0% municipalities or districts or districts Municipalities

portuarios1.0% Regional Autonomous Corporation in whose territory the explotación55.0%
PARÁGRAFO is made. The monetary compensation for the exploitation of nickel assigned to the department of Cordoba as producing department, will be distributed among municipalities no producers in the area of ​​San Jorge as well:
Municipality of Puerto Libertador Municipality
9.0% 8.0% Ayapel | || Municipality of Planeta Rica Municipality
8.0% 7.0% Pueblo Nuevo Municipality of Buenavista

5.0% Municipality of La Apartada 5.0% Total 42.0%


Term Notes Effective Jurisprudence



Previous legislation
ARTICLE 42. DISTRIBUTION OF MONETARY COMPENSATION RESULTING FROM THE EXPLOITATION OF IRON, COPPER AND OTHER METALS MINERALS. The monetary compensation stipulated in the contracts for the exploitation of iron, copper and other metallic minerals owned by the State, they shall be distributed as follows:

A) Iron and other metal minerals producers
|| Departments .............................. 10.0% | municipalities or districts ..................... 4.0% producing municipalities or districts
collection .............. ..........
50.0% Industrial and Commercial State ........ 36.0%
b) Copper:
producers Departments ....... ....................... 28.0%
municipalities or districts producers .................. ... 70.0%
municipalities or districts collection ........................ 2.0%

PARÁGRAFO. Compensation for exploitation of iron in Boyaca Department will be distributed as follows:
Municipality of Nobsa ............................. ................. 17.0%
Municipality of Sogamoso ......................... .............. 17.0%
Municipality of Paz del Rio .......................... ............ 17.0%
Municipality of Gámeza .............................. ............. 1.0%
Municipality of Corrales ............................. .............. 1.0%
Municipality of Tópaga ............................ ................ 1.0%
Municipality of Iza .......................... .......................... 1.0%
Firavitoba Municipality of ................ .......................... 1.0%
Tibasosa Municipality of ................ ........................... 1.0%
Municipality Fishing ............... ................................ 1.0% Municipality of Cuitiva ..........
.................................... 1.0% Municipality of Monguí ......
....................................... 1.0%
Municipality Mongua ... ......................................... 1.0%
Municipality of Tasco. .............................................. 1.0% || | Municipality of Sativanorte ..................................... 1.0%
Sativasur Municipality.
........................................ 1.0% Commercial and Industrial Company State ........
Total ................................... 36.0% .................................. 100.0% Notes Effective

Effective Jurisprudence


ARTICLE 43. DISTRIBUTION OF MONETARY COMPENSATION RESULTING FROM THE EXPLOITATION OF ESMERALDAS AND OTHER PRECIOUS STONES. The monetary compensation from the exploitation of emeralds and other precious stones are distributed as follows:

Cundinamarca Department

10% 10% Boyacá Department Muzo Municipality

6% 6% Quípama Municipality
Municipality of San Pablo de Borbur 6%
Municipality of Maripí 6 % Municipality of Pauna

6% Municipality of Buena Vista Township 3%

Otanche 5% 3% Coper Municipality Municipality Briceño

Township 3% 3% Tunungua
Municipality of La Victoria 3% Municipality

Chivor 6% 3% Municipality of Macanal Almeida Municipality

3% 3% Somondoco Municipality Municipality
Chiquinquirá 3% | Municipality of Caldas ||
2% 3% Ubalá Municipality Municipality

Gachalá 3% 2% Guvetá Municipality
National Royalties Fund 2% Total 100%

Notes Effective
Effective Jurisprudence



Previous legislation
ARTICLE 44. DISTRIBUTION OF MONETARY COMPENSATION DERIVED FROM OPERATING other precious stones. The monetary compensation stipulated in the contracts for the exploitation of other gemstones owned by the state, will be distributed as follows:
Departments producers

........................... 45.0% or producing districts Municipalities ......... ......... 40.0%
Business Enterprise and Industrial State,
Mineralco SA, or his substitute ............. 15.0%
Effective notes
Effective Jurisprudence


ARTICLE 45. DISTRIBUTION OF MONETARY REMEDIES DERIVED FROM THE EXPLOITATION OF SALT. The monetary compensation stipulated in the contracts for the exploitation of the salt will be distributed as follows:

-
Producers Departments 10.0% - producing districts Municipalities or 85.0%
- Municipalities port districts or 5.0% Effective Notes

Effective Jurisprudence

Legislation Previous


ARTICLE 46. DISTRIBUTION OF MONETARY COMPENSATION RESULTING FROM OTHER EXPLOITATION OF NATURAL RESOURCES nonrenewable. The monetary compensation stipulated in the mining and petroleum contracts aimed at the exploitation of non-renewable natural resources owned by the state, not expressly regulated in this Act, shall be distributed as follows:
Departments producers

........................... 10.0% or producing districts Municipalities ......... ......... 65.0%
municipalities or districts .................... 5.0% port
Regional Investment Fund FIR .. ................... 10.0% Autonomous Regional Corporation

territory whose holdings are made ............ 10.0
PARÁGRAFO%. In the absence of Regional Autonomous Corporation compensation for these increase the assigned Regional Investment Fund FIR. Effective Notes

Effective Jurisprudence

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