LAW 1707 OF 2014

(January 20)

Official Journal No. 49.039 of 20 January 2014

CONGRESS OF THE REPUBLIC

By means of which the quota for the promotion of the potato is established, a Fund of Promotion is created, rules are established for its collection and administration and other provisions are dictated.

THE CONGRESS OF THE REPUBLIC

DECRETA:

ARTICLE 1o. OBJECT. This law aims to establish the Pope's Development Fee, to create the Fund for the Promotion and to determine the main definitions of the bases for its collection, administration and destination, in order to contribute to the development of the of the potato subsector in Colombia.

ARTICLE 2o. OF THE SUBSECTOR OF THE POTATO. For the purposes of this law, the subsector of the potato is understood as the component of the agricultural sector of the country, constituted by natural persons, legal entities or societies in fact, dedicated to the production, collection, conditioning, processing, marketing and related activities of the potato.

ARTICLE 3o. ESTABLISHMENT OF THE QUOTA FOR THE PROMOTION OF THE POPE. Set up the Pope's Development Fee, as a parafiscal contribution by the producer, which is equivalent to one percent (1%) of the sales value of potato production national.

PARAGRAFO. The Pope's Development Fee will be caused for once at any stage of the marketing process, and once paid, the parafiscal quota management entity will issue a peace and save, in which it shall be stated that the contribution has already been paid, which is the only evidence that exempts those involved in successive stages of their marketing from the obligation to collect the quota.

ARTICLE 4. PERSONS FORCED TO PAY THE POTATO PROMOTION FEE. The potato producers, whether natural persons, legal entities or companies in fact, will be obliged to pay for the Pope's Development Fee.

PARAGRAFO. When the potato producer is its exporter, it will also be subject to the payment of the Pope's Promotion Fee and will act as a collector.

ARTICLE 5o. PARAFISCAL AGRICULTURAL CONTRIBUTION. According to the provisions of Law 101 of 1993, the Pope's Development Fee is a contribution of a parafiscal agricultural character, imposed for reasons of general interest, for the benefit of your taxpayers.

ARTICLE 6o. PERSONS OBLIGED TO RAISE THE QUOTA FOR THE PROMOTION OF THE POPE. Natural persons, legal entities or companies in fact that buy potato of national production of any variety to use it as seed, to condition it, to process it, To industrialize, commercialize or export it, they are obliged to retain, for one time, the value of the Pope's Development Fee at the time of the transaction or the corresponding payment.

ARTICLE 7o. FROM THE TRANSFER OF THE QUOTA TO THE PROMOTION FUND. The persons obliged to the collection of the Pope's Development Fee will keep these resources in separate accounts and will be obliged to credit them in the special account of the Fund for the Promotion of the Pope within the first ten (10) days of the month following his collection.

PARAGRAFO 1o. In exercise of the audit function, the fund's managing entity will be able to conduct inspection visits to the accounting books of the fee collectors to ensure due payment of the same.

PARAGRAFO 2o. The fee collectors will be required to supply the managing entity with all the information it requires, in order to make the application of this law more efficient.

ARTICLE 8o. SANCTIONS ARISING FROM NON-COMPLIANCE WITH THE FEE COLLECTION. Producers and collectors of the Pope's Development Fee who do not fulfil their obligation to collect the quota or to transfer it in a timely manner to the entity that administers it, shall be made creditors to the penalties set out below:

a) Assume and pay the value of the fee left to raise;

b) Pay the moratory interest that is caused in the terms of article 3or Act 1066 of 2006.

The above, without prejudice to the criminal, tax and administrative penalties to which it has occurred, as well as the payment of the sums due for any concept to the fund.

PARAGRAFO. The managing entity of the Pope's Development Fee may advance the legal processes for the collection of the fee and the moratorical interests, when there is a place.

ARTICLE 9o. CREATION OF THE FUND TO PROMOTE THE POPE. Create the Fund for the Promotion of the Pope as a special management account, under the name "National Fund for the Promotion of the Pope", constituted with the resources from the collection of the the Pope, whose exclusive destination shall correspond to the objectives set out in this Law.

ARTICLE 10. OBJECTIVES OF THE POPE ' S PROMOTION FUND. The resources of the Pope's National Development Fund will be used, in addition to the provisions of article 31 of Law 101 of 1993, to:

a) Support processes that promote the organization of the potato chain, its links and, in particular, the producers;

b) Support actions leading to the regulation of potato supply and demand, to protect producers against abnormal price swings and to provide them with a remunerative income;

c) Support the financing of plans, programs and projects for innovation, research and technology transfer;

d) Support the financing of plans, programs and projects aimed at strengthening and implementing plant health control measures for the protection of national production in the face of the globalization of the potato markets;

e) Support the financing of value aggregation plans, programs and projects, especially those aimed at improving efficiency levels in the post-harvest, transformation and industrialization processes;

f) Support the financing of plans, programs and projects aimed at designing, implementing and making more efficient the information systems of the sub-sector, with the purpose of providing instruments for the planning of production and Potato markets in the public and private sector;

g) Support the financing of plans, programs and training and training projects for the technological modernization of the production, processing and marketing of the potato;

h) Support the financing of plans, programs and projects that tend to conserve and recover the ecological environment where the potato crop is developed;

i) Discovering plans, programs and projects funded from the National Fund for the Promotion of the Pope.

PARAGRAFO 1o. For the achievement of these objectives, the managing entity, after authorization of the Board of the Fund, shall advance contracts of execution or association with third parties, whether natural or legal persons, public, private or mixed, national or foreign.

PARAGRAFO 2o. The Board of Directors of the Fund will provide for an adequate regional allocation of resources among the different producing areas.

PARAGRAFO 3o. The Pope's Development Fund and the managing entity of the Pope, according to the provisions of Law 99 of 1993 and Law 1450 2011, will not encourage potato cultivation in areas of special ecological importance such as moors and wetlands. To this end, the managing body, together with the Ministry of Agriculture and Rural Development and the Regional Autonomous Corporations, will verify that no benefit is received from the quota for the promotion of the potato grown in these areas. They shall not permit cultivation on the same.

ARTICLE 11. FUND OWNERSHIP ASSETS. Assets that are acquired from the Fund's resources shall be incorporated into the Fund's special account. In each transaction, it must be established that the asset is owned by the Fund, represented by the managing body.

PARAGRAFO. In case it is removed, all of its assets, including cash-in-box funds or banks, once the liabilities are cancelled, will be delivered to the Ministry of Agriculture and Development. Rural, in order to invest in the same objectives as those set out in this law.

ARTICLE 12. RESOURCES OF THE POPE ' S PROMOTION FUND. In addition to the Parafiscal Development Fee, pursuant to article 32 of Law 101 of 1993, the National Fund for the Promotion of the Pope will be able to receive and channel internal and external credit resources that the Ministry of Agriculture and Rural Development subscribes for in order to meet the objectives set out in this Law, as well as contributions and investments from the National Treasury and natural persons and legal, national and foreign, for the same purpose and those set out below.

ARTICLE 13. THE NATIONAL GOVERNMENT through the Ministry of Agriculture and Rural Development, will contract with the most representative entity of the potato producers at the national level, and the administration of the National Fund for the Promotion of the Pope or in its absence through a trust company.

PARAGRAFO 1o. The resources collected by the National Fund for the Promotion of the Pope should be administered, in accordance with the principles of efficiency, effectiveness, accountability and transparency and under guarantees of representation real and effective democratic of all taxpayers and beneficiaries.

PARAGRAFO 2o. The collection of the Pope's Development Fee established by this law requires that the contract between the Ministry of Agriculture and Rural Development and the entity be in force. Fund manager.

PARAGRAFO 3o. The special administration contract will point to the managing entity regarding the management of the Fund's resources, management and management criteria, definition and establishment of plans, programmes and projects, the powers and prohibitions of the managing body, the term of the contract which will initially be for five (5) years and the value of the consideration by the administration and collected from the quota which will be up to 10% (10%) of the annual collection, as well as the other requirements and conditions to be specified for meeting the objectives.

ARTICLE 14. SUPERVISION AND MONITORING OF THE POTATO PROMOTION FUND. The Ministry of Agriculture and Rural Development will make the evaluation, control and inspection of plans, programs and projects that will be developed with the resources of the Fund. The managing body shall provide semi-weekly reports on the resources obtained and their investment.

PARAGRAFO. The Ministry of Agriculture and Rural Development may verify these reports by inspecting the books and other documents that the managing body must retain from the Fund's management.

ARTICLE 15. OVERSIGHT AND SURVEILLANCE FUNCTIONS. The following are the monitoring and surveillance functions of the Ministry of Agriculture and Rural Development:

a) Track and evaluate the plans, programs and projects of the Pope's Development Fund;

b) Approve or improve the annual revenue and expense budget;

c) Take control of the execution of resources and issue concept on quarterly spending agreements;

d) Track and evaluate compliance with high standards of real democratization and transparency.

ARTICLE 16. INVESTMENT AND EXPENDITURE PLAN. The managing body, in accordance with the guidelines of the Board of Directors, shall draw up before 1 October each year the Investment and Expenditure Plan for the following financial year, which may only be executed once it has been approved by the Board of Directors of the Fund, with the favorable vote of the Ministry of Agriculture and Rural Development.

ARTICLE 17. FISCAL CONTROL OF THE POPE ' S PROMOTION FUND. For all legal purposes, the fiscal control over the investment of the resources of the Fund to Promote the Pope will be exercised by the Comptroller General of the Republic, in accordance with the appropriate rules and regulations, appropriate to the nature of the Fund and its managing body.

ARTICLE 18. ADDRESS OF THE POPE ' S PROMOTION FUND. The address of the Pope's Development Fund will be in charge of a Board of Directors.

ARTICLE 19. INTEGRATION OF THE BOARD OF DIRECTORS. The Board of Directors of the Pope's Development Fund will be composed of:

(a) The Minister of Agriculture and Rural Development or his Delegate, who will chair it;

b) One (1) delegate of the national order producer organizations, with current legal representation;

c) Three (3) delegates from regional level producers ' organizations, with legal representation in place.

PARAGRAFO. The Ministry of Agriculture and Rural Development will regulate the mechanisms for selecting and designating delegates to the Board of the Pope's Development Fund.

ARTICLE 20. DUTIES OF THE BOARD OF DIRECTORS OF THE POPE ' S PROMOTION FUND. The Board of Directors of the Fund shall have the following functions:

(a) Bring about general policies to ensure compliance with the Fund's objectives and objectives, establishing short, medium and long-term priorities;

b) Approve the annual plan of investments and expenditures and the budgetary transfers submitted to their consideration by the managing body, with the favorable vote of the Ministry of Agriculture and Rural Development;

(c) Approve the contracts of association, co-financing, or of any other kind which, for the purpose and purposes of the Fund, propose to hold the managing body;

d) Vellar for the proper and efficient management of the Fund by the managing entity;

e) Establishing appropriate mechanisms to ensure democratization in representation and management of parafiscal resources;

(f) The others that are inherent in its quality as the Fund's highest management body, and those that are assigned to it in the current legal norms and in the special management contract of the Fund and raised from the fee;

g) Give yourself your own regulation.

ARTICLE 21. TRANSFER OF RESOURCES FROM THE NATIONAL FUND FOR HORTICULTURAL PROMOTION TO THE POTATO PROMOTION FUND. Within four (4) months of the current law, the managing body of the National Fund for Horticultural Development The resources collected from the Pope's parafiscal contribution, not executed or committed, which are under his administration, must be transferred to the managing body of the National Fund for the Promotion of the Pope.

In the same way, the managing body of the National Fund for Horticultural Development must move within four (4) months of the current law, to the managing body of the National Fund for the Promotion of the Pope, the database that you have from your potato collectors.

PARAGRAFO 1o. As of the current law, the agents collecting the Pope's Development Fee shall only transfer the aforementioned contribution to the National Fund for the Promotion of the Pope.

PARAGRAFO 2o. The potato sector in the field of parafisquality is regulated exclusively by this law. The provisions laid down and contained for that sector in Law 118 of 1994 shall not apply to it.

ARTICLE 22. VALIDITY. This law governs from its enactment and repeals all provisions that are contrary to it.

The President of the honorable Senate of the Republic,

JOHN FERNANDO CHRIST BUSTS.

The Secretary General of the honorable Senate of the Republic,

GREGORIO ELJACH PACHECO.

The President of the honorable House of Representatives,

HERNAN PENAGOS GIRALDO.

The Secretary General of the honorable House of Representatives,

JORGE HUMBERTO MANTILLA SERRANO.

COLOMBIA-NATIONAL GOVERNMENT

Publish and comply.

Dada en Bogotá, D. C., a 20 de enero de 2014.

JUAN MANUEL SANTOS CALDERÓN

The Minister of Finance and Public Credit,

MAURICIO CÁRDENAS SANTAMARIA.

The Minister of Agriculture and Rural Development,

RUBEN DARIO LIZARRALDE MONTOYA.