Suburban Public Transport Passengers. Fund Financing. Creation.

Original Language Title: Transporte Colectivo Suburbano Pasajeros. Fondo Financiamiento. Creacion.

Read the untranslated law here: https://parlamento.gub.uy/documentosyleyes/leyes/ley/18878

Fund financing of the transport collective suburban of passengers creation in regime of trust the Senate and the Chamber of representatives of the Republic East of the Uruguay, gathered at General Assembly, Decree: article 1.-create the Fund's financing of the transport collective suburban passengers, as a separate and independent patrimony of affectation with destination to: 1) cancel financial liabilities of carriers.

(2) to finance investments necessary for the provision of services by the transport companies.

(3) to cancel debts that were incurred by the Fund to meet the above objectives. Article 2º. The Fund created by the previous article will be financed through a contribution in charge of companies permisarias and concessionaires of suburban collective transport of passengers who choose to participate in the Fund according to the regulations issued, up to 5% (five per cent) of the gross fundraising total of them, coming from the sale of tickets by suburban collective transport of passengers , and the amounts corresponding to the subsidies paid by the national administration of public education, the Ministry of transport and public works, by the trust's administration of the ticket created in pursuance of the Decree No. 347/006, September 28, 2006, by the Ministry of economy and finance in the law No. 18.180 of October 5, 2007 as well as from any other system of subsidy or similar compensation that could be established in the future. The Executive Branch will determine in the regulation that it is issued to this effect, the percentage of contribution to be applied on the total collection of companies, which may not exceed that provided for in this article. Achieved companies will be required to make such contribution from the date determined by the Executive Branch on the regulations that dictate to these effects. Article 3.-will be required to make the contribution established in the previous article: to) all companies that participate initially in the background and currently have permission or the respective concession by the Ministry of transport and public works for the exploitation of suburban collective transport of passengers.

(B) all those who obtain such permission or concession in the future. The Ministry of transport and public works will be notified of this obligation to the new permisarios or dealers of suburban collective transport of passengers, at the time of awarding the permissions or corresponding concessions. Article 4.-the contributions created by article 2 of this law shall be in Uruguayan pesos and must be expressed by companies in suburban collective transport of passengers in a special account, with the name Ministry of transport and public works / Fund financing of the transport collective suburban passengers, will be opened in the Bank of the Eastern Republic of Uruguay. Contributions must be deposited by companies forced to your payment, within the time limit of twenty days running after the end of each month. In case of assignment, involvement in guarantee or securitization of assets of the Fund, the Ministry of transport and public works, as Fund Manager, will indicate the companies account from the financial institution indicated by the assignee or beneficiary of such transferred assets, in which the contributions must deposit. Article 5.-the ownership and administration of the Fund shall be the Ministry of transport and public works, who may act in relation to it, in accordance with provisions in this law and the regulations issued in the future. Article 6.-to comply with the objectives of the Fund, the Ministry of transport and public works, as Fund Manager, may give, offer to guarantee or secure the assets of the Fund, in the terms and conditions and with the guarantees that it deems appropriate. If the Fund's assets had been transferred, affected in warranty or securitized all or part the contributions shall apply until all obligations of the Fund have been met by the operations. The obligation to make the contributions cease at the time that the Ministry of transportation and public works has found full compliance with the obligations assumed by the Fund, with the consent of the assignee or beneficiary of the assets and report accordingly to companies obliged to the payment of the contribution. Article 7.-where the assets of the Fund are sold, securitized or affected in guarantee, the State guarantees under its responsibility the stability of all legal and regulatory standards that have an impact on incomes or affected funds and their corresponding guarantees and which are in force at the time of signing respective contracts. Article 8.-the contributions created by this law shall be unattachable. Article 9.-create a Comptroller Committee comprising a representative of the Ministry of transport and public works, and a representative of each of the companies participating in the Fund, which shall be appointed by the Ministry of transport and public works proposed for each of the companies. Entrusted to this Committee, the controller that ensures the fulfilment of the objectives and obligations of the present and the recommendation for the application of the sanctions established then. The Commission shall inform periodically all the parties concerned, the State of affairs of the Fund. Article 10.-will be beneficiaries of the Fund: to) companies who are currently permisarias or concessionaires of services of suburban collective transport of passengers.

(B) the companies that agreed to participate in the Fund according to what established the regulations issued for this purpose. The amounts that are carriers of the Fund will be considered an equity increase not taxed for the purposes of the tax on the income from economic activities. Article 11.-If the Fund's assets were sold or securitized, funds obtained, after deducted the expenses and costs generated by the operative said, will be distributed among the beneficiary enterprises, bound to comply with the objectives set out in this Act. The Ministry of transport and public works may not have these funds for any purpose other than indicated in article 1 of this law. Article 12.-in the event that the assets or income of the Fund are sold or securitized in favour of a financial trust created for this purpose, the trust will be exonerated of all national taxes created or to be created, receiving the values issued by the trust, the same fiscal treatment who receive the titles of public debt. Article 13.-Regulations issued by the Executive branch shall establish participation for each benefiting company in the Fund benefits and obligations to assume by each of the beneficiary enterprises with respect to the repayment of the sums received from the Fund, on the basis of the participation of each company in the total revenue of all companies participating in the Fund. Article 14.-The Executive power will regulate the way in which these funds will be distributed and used for the purposes set out in article 1 of this law and will monitor the compliance of the beneficiary enterprises in the investment of the funds received from the Fund for the purposes set out. (Article 15.-If any company forced to the payment, not paid them contributions to which is is forced, the Ministry of transport and works public: 1) shall communicate such circumstance to the trust of the trust of administration of the ticket created in compliance of the Decree No. 347 / 006, of 28 of September of 2006, so this deduce them contributions not paid by this company more them fines e interests of mora that correspond of them amounts that the trust have to pay to the company for that.


(2) identify the recipient or transferee of the assets of the Fund and shall notify the trustee of the trust of management of ticket to pay the deducted amounts to such beneficiary or successor in title, in the same way that must be paid contributions not paid by that company. The failure to pay will be generated with the presentation to the Ministry of transport and public works, the proof of payment of the contribution. Article 16.-Passenger suburban collective transport companies must be submitted to the Ministry of transport and public works, as administrator of the Fund, before or within the first three business days of each month, the proof of payment of the contributions paid the previous month, together with the sworn statement of the total collection made by that undertaking by concept of ticket sales in the previous month. This statement must be complemented by the opinion of independent auditors acceptable to the Ministry of transport and public works, which must be presented within twenty calendar days of the month in question. Article 17.-shall be considered violations of this regulation obliged to the payment of the contribution established by this law, the following firms: I) the lack of payment by date of contributions to the Fund.

(II) the differences between the amounts collected by concept of fundraising tickets and the declared in the background.

(III) the omission, falsehood, delay or lack of correspondence of the information or statements that companies need to be addressed or the chosen by the Ministry of transport and public works or the Comptroller Committee. Repetition or relapse in behavior that gives merit to the application of any sanctions, shall be considered an aggravating circumstance of the same. Article 18.-the companies that are forced to pay the contribution created by this law and who commit any of the offences provided for in the numerals I) and II) of the preceding article, shall be punished by the Ministry of transport and public works automatically with a fine of 10% (ten percent) and interests of mora by the non-payment at date calculated at a rate above 50% (fifty per cent) to the last average rate of the previous quarter the infringement issued by the Central Bank of Uruguay for bank loans in currency to businesses and for periods less than one year. This penalty and interest will be calculated on the amounts unpaid since they were enforceable and until its effective cancellation by the companies. Companies that engage in some of the breaches referred to in the paragraph III) of the preceding article, they will be penalized by the Ministry of transport and public works, with a fine of 10% (ten per cent) calculated on the average of the monthly contributions that had be carried out by that company in the previous year, or fraction, a month in which applies such a fine. The Ministry of transport and public works may exonerate through regulatory enforcement of fines and surcharges, when the breach had become inevitable for reasons unrelated to the beneficiary and objective. In the event that the assets of the Fund are assigned, affected in warranty or securitized, fine and surcharges will be paid directly to the assignee or beneficiary of these assets and affected to the repayment, and must the company must prove your payment to the Ministry of transport and public works. Article 19.-in the event of omission or failure to pay on the date of the contribution stated by a company for more than six consecutive months or where the warranty set forth in article 4 of this law is not sufficient to cover the contributions not paid by the company, the Ministry of transport and public works be suspended automatically 5% (five per cent) of permits or concessions granted to the undertaking for the operation of the public service of suburban collective transport of passengers, by each month in arrears in the payment of contributions, until both said company payment total of all contributions, penalties and mora interest owed to the Fund. Once generated the breaches referred to in the preceding paragraph, the Ministry of transport and public works shall notify immediately the suspension of permits or concessions to the company concerned and implement all measures which are necessary for the effective implementation of such suspension. The Ministry of transport and public works may be granted temporarily suspended to another company permits, duration determined suspension and until the sanctioned company demonstrates the total payment of contributions, penalties and mora interest owed to the Fund. The company that will take care of these permissions on a temporary basis will be also obliged to make the payment of the contributions to the Fund, to the percentage determined by the Executive branch. In case of default in the payment of the contributions to the Fund by a company for a period of more than twelve months, the Ministry of transport and public works revoked permanently all permits or concessions granted to that company for the exploitation of the public service of collective transport of passengers. Article 20.-The Executive power will regulate this law within thirty days of its enactment, establishing the necessary mechanisms for the implementation of the Fund.     Hall of sessions of the Senate, in Montevideo, December 27, 2011. DANILO ASTORI, President.
Hugo Rodriguez Filippini, Secretary. Ministry of transport and works Public Ministry of economy and finance Montevideo, December 29, 2011. Met, acknowledge receipt, communicate, publish, and inserted into the national registry of laws and decrees, the law which created the Fund financing of the transport collective suburban passengers. JOSÉ MUJICA.
ENRIQUE PAINTED.
FERNANDO LORENZO.