Resolution No. 47/T of 2006 issuing the Implementing Directives for Legislative Decree No. 91 of 2005 regulating the Fund for Financing the National Project on Shifting to Modern Irrigation

Syrian Arab Republic Ministry of Agriculture & Agrarian Reform Decree No: 47 T Including Executive Instructions for the legislative Law No. 91/2005 regulating the fund of financing the Project "Shifting to Modem Irrigation" Minister of Agriculture and Agrarian Reform With reference to the basic law of the Country employees No:50 /2004, and legislative Law No. 91/2005 and the requirements of Public Goodwill, the following is decided: Article 1 In applying this decree, the following words express the meaning as described: The Ministry = The Minister = The Bank The Fund Ministry of Agriculture and Agrarian Reform. Minister of Agriculture and Agrarian Reform. Agricultural Cooperative Bank. Fund financing the national project on shifting to modem irrigation established by legislative law 91/2005. Board of Directors= Board of Directors of fund financing the national project on shifting to modem irrigation. The Director = Director of fund financing the national project on shifting to modem irrigation. The Directorate = Directorate of the national project on shifting to modem irrigation. The Project = National project on shifting to modem irrigation. Project Manager= Project Manager, national project on shifting to modem irrigation. The Beneficiary = Any one invests in agriculture, whether an owner, a beneficial, a tenant or a farmer Article 2 The working centre of the fund is decided to be at the Ministry in Damascus. Article 3 The fund will perform the task of financing the equipments and expenditures of shifting to modem irrigation within the framework of the national project on shifting the irrigation of Agricultural land of the beneficiary, from conventional methods to modem methods. Article 4 First: The beneficiaries of the project are financed as follows: a) The fund contributes, in a percentage defined by the board of directors, and in accordance to the endorsed annual plan, in supporting projects on shifting to modem irrigation, and bears the commissions of loans granted to beneficiaries. b) The beneficiary is granted the balance of project cost, after deducting the above contribution and commission, as a long-term interest free loan, to be reimbursed on equal annual installments within ten years. The payment dates are defined to match with the dates of harvesting the main crop of the beneficiary. c) The loan is granted once only for the same site. Second: The mechanism of granting loans is defined as follows: a) The beneficiary submits an application for shifting to modem irrigation, to the concerned directorate's branch along with the following documents: 1. Investment document: Real estate registration in case of land owner. Original endorsed tenancy contract accompanied by approval of Agriculture and Land Reform Directorate, iri case of state land tenants. Endorsed original rent contract or crop sharing contract along with approval of the landlord in case of tenants and farmers farming land owned by individuals. A beneficial statement from Directorate of Agriculture and Agrarian reform for beneficiaries not registered by real estate registration body. A conduction Certificate for the undefined and cleared land endorsed by the concerned Administrative Authority and the Agriculture and Agrarian reform Directorate. Original rent contract endorsed with the approval of the Governor for land belonging to Turkish people. Original endorsed Court Decision or a statement of real estate departments for frontier lands governed by the legislative law number 41, year 2004. 2. A Statement of Land Area. 3. A license to install a pumping apparatus ( on all water resources), valid and endorsed by the concerned authority along with a pledge to renew the license until the expiry of loan period. 4. A special study for the network endorsed by the Directorate including executive plan for the project site showing its borders, location, and the district to which it belongs. Also, a drawing for the net, the area to be irrigated according to the plan and a table showing quantities and characlerisLics of equipment, and its sources which should be licensed factories, or imported but carry data card and already tested according to endorsed standards. b) The bank undertakes the following measures for implementation: 1. The applications endorsed by the directorate are referred to the concerned branch of the bank along with the documents mentioned under paragraph (a), in the form of table to contain: ( owner of the project, location of the project and estimated cost of the project). 2. The concerned branch of the bank receives the applications refened to the branch, investigates the enclosed documents and after verification, arranges for a loan request according to form used by the bank and requests the appropriate warrant from the beneficiary as follows: Loan value E Up-to one million Syrian Lire Personal, bank or real estate warrant according to loans provisions, indicated in the bank's working system and applied instructions. More than one million Syrian Lire Real Estate warrant exclusively. The bank then submits to the directorate, a list of applications entitled to receive loans. 3. The directorate arranges the transfer of the total amount required for the approved projects to the Damascus Branch of the Bank, c/o the Central Bank of Syria in Damascus which will in tum performs the distribution of these amounts amongst the concerned branches of the bank. 4. The concerned branch of the Bank arranges the preparation of the loan contract, after finalizing the loan granting procedures, and informs the Directorate Branch and the authorized bodies for execution, according to the study, in order to start the installation of the irrigation net work. 5. Granting loan is not allowed to those already have an irrigation net work of the same technique as the one proposed for installation. 6. The beneficiary right to receive this support is voided, if he installs the irrigation net before receiving the approval of the bank, 7. The concerned branch of Lhe Bank will not be responsible for the execution of any net before fulfilling the provisions mentioned in item (4), and no firm or Engineering Office is authorized to install any net before receiving approval of the Bank. c) After installation of the net by executing body, the technical investigation is arranged by the directorate in the presence of a Bank representative. d) The loan is delivered to the executing body according to endorsed technical statements and in line with actual implementation stages based on agricultural plan. e) The loans are subject to the monitoring system of loan investment applied by the agricultural cooperative Bank. In case of reimbursing the full amount of the loan before its 1 Oyears term, the monitoring of using the irrigation net continues by the national project on shifting to modem irrigation, until the original expiry date of the loan. In case of cancelling the irrigation net or not renewing it when necessary before the end of the fixed period, the beneficiary is obliged to pay back the subsidy amount paid to him from the project management. Article 5 The loans are collected from the beneficiaries as follows: Article 6 1. The bank applies the system of money collection practiced by the bank, and transfers the collected amounts to the account fund of the national project of shifting to modem irrigation not later than 31 December of each year. 2. The beneficiary who does not pay each installment in due date as defined in the loan contract, has to pay late payment fees and interests calculated on the due amounts not yet paid, in accordance with the mechanism and standards applied by the bank. 3. A book keeping system is established for the loans under this project ( loan registry + collection registry + loans contracts registry + special support books) 4. No interest is credited to the fund account for money transferred from the fund to the bank for granting loans to shift to modem irrigation. The Directorate of the project prepares an annual plan for shifting to modem irrigation according to the defined priorities, and endorses the plan from the board of directors for implementation. Article 7 The accounting procedures of the fund are applied as follows: 1. The fiscal year of the fund starts on 1st January of each year and ends on 31 December of the same year. 2. A numerical special registration endorsed book is open for the fund to include all operations of inputs and outputs conducted to the fund. 3. A comparison is conducted monthly between the special registration and the bank statement to confirm similarity. 4. Each operation of crediting or debiting is registered separately and should be supported by numerical documents easy to access for verification and confirmation. 5. The rules of accounting system of Administrative Organizations are applied in whatever not included in this decree. Article 8 This decree should be disseminated and distributed to bodies responsible for its enforcing. Damascus on 26.2.2006 Copy to: Office of the Minister Minister of Agriculture and Agrarian reform Dr Adel Safar. Office of the Assistant Minister Ministry of Finance with request to disseminate General Association of Farmers General Organization for Agricultural scientific research. General Organization of Forestry Management and Development General Institutions General Directorate of Real Estate Departments Central Directorates Directorates of Agriculture and Agrarian Reform in Govemorates Directorate of Administrative and Legal Affairs -Administrative Development Division - Studies Unit. Correspondence. ~v-.r.J \½~I½,--~ \ ✓IJjl i:.'j...p~IJ ~1,)1 !Jlj, 7-V ..::-> I I ~J J'.;JI !Y •• 0 J rw /., , / iJ J ~ ,.;...11 r..,.... ..,.JJ ~~' ~~, ~' ~JJ..I ~)\ J} J ,.dl e. 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