LAW No. 116 of 16 October 1996 concerning the granting of compensation to farmers for agricultural disaster areas in 1995-1996, the PARLIAMENT published in ISSUING the OFFICIAL GAZETTE NR. 255 of 22 October 1996 the Romanian Parliament adopts this law.
Article 1 shall be granted compensation to agricultural producers-regardless of the form of ownership and occupancy of the land-cover for damage recorded as a result of natural disasters produced in crop year 1995-1996, subject to a maximum amount of 500 billion lei.
Crops which are subject to compensation are: wheat, barley and corn, orzoaica, sugar beet, sunflower, soybean, peas, beans, lentils, potatoes, vegetables, fruit and vine plantations.
Outstanding natural phenomena which have caused the natural calamities have plagued production to be performed per hectare more than 60% and which are subject to compensation are: Frost, drought, hail, torrential rain accompanied by storm, flooding and negative action of climatic factors from the previous winter.
If the drought phenomena shall be granted compensation to holders of land equipped with irrigation systems in working order.
Article 2 the provisions of this law shall enjoy the individual agricultural producers, agricultural associations and societies, agricultural firms, legal holders of leaseholders and farmland.
Article 3 the amounts due to farmers under this law will be awarded as follows: a) by taking the credit and debt owed to commercial banks the interest expenditures related to the disaster areas, in case of farmers who have received such credits;
b) through payments from budget of the Ministry of agriculture and food for 1996 and 1997, for farmers who have not benefited from loans or loans whose volume is less than the amount due as compensation;
c) farmers who have repaid loans and related interest will receive in full the amount of damages for disasters, established on the surface;
d) compensation may be at the request of the manufacturer, and agricultural in nature, by offsetting the amount due with chemical fertilizers, fuels or seeds.
Article 4 the provisions of budget of the Ministry of agriculture and food for 1996 shall be increased by the amount of EUR 230 billion, of which it can regulate and influences of some economic agents ' financial consequence.
The Government, on the proposal of the Ministry of finance will establish the financial resources necessary to carry out the payments referred to in the preceding paragraph and will introduce the appropriate changes in the volume and in the structure of the State budget for 1996.
Article 5 acquisition of the public debt of the State credits and interest under art. 3 (a). He) will do based on the protocols concluded to that end by the territorial bodies of the Ministry of agriculture and food and the Ministry of finance, as well as the financing by commercial banks.
The influences upon the internal state debt, resulting from the application of this law, will fly through government bonds in favour of the creditor banks, for which you will pay monthly interest negotiated with the respective banks.
Article 6 the amount of damages on the HA cultivated calamitat, for crops mentioned in this law under compliance with the amount referred to in article 1. 1, and the methodological norms for the granting of compensation shall be approved by the Government on the proposal of the Ministry of agriculture and food and the Ministry of finance.
This law was adopted by the Chamber of deputies at its meeting on 2 October 1996, in compliance with the provisions of art. 74 para. (2) of the Constitution of Romania.
PRESIDENT of the CHAMBER of DEPUTIES ADRIAN NASTASE this law was adopted by the Senate at its meeting on 2 October 1996, in compliance with the provisions of art. 74 para. (2) of the Constitution of Romania.
p. SENATE CHAIRMAN V.S.-MORRIS — — — — — — — — — — — — — — — — — — — — —