CERTIFIED TRANSLATION 

I, Juan E. Segarra, USCCI #06-067/translator, certify that the foregoing is a true and accurate

translation, to the best of my abilities, of the document in Spanish which I have seen.

(H.J.Res. 1105) 16th LEGISLATIVE 5th ORDINARY

 ASSEMBLY SESSION

J. Res. No. 60

(Approved on July 1, 2011)

JOINT RESOLUTION

To amend Sections 2, 4; add a new Section 5 and renumber Sections 6 and 7 of Joint 

Resolution No. 168 of August 11, 2005, as amended, to authorize the Director of the

Office of Management and Budget and the Government Development Bank to, from 

Fiscal Year 2011-2012, turn into a revolving line of credit the line of credit established 

during Fiscal Year 2005-2006, to incur obligations up to the amount of one hundred and 

fifty million (150,000,000) dollars, for the purpose of dealing with disasters or emergency 

situations affecting the Island, as provided in the Law which created the Emergency 

Fund, Law No. 91 enacted on June 21, 1966, as amended; and in Law No. 211 enacted 

on August 2, 1999, as amended, known as the “Puerto Rico State Agency for 

Emergency and Disaster Management Act;” and to provide the manner in which the 

incurred obligations will be paid.

STATEMENT OF PURPOSE

The Emergency Fund was created by Law No. 91, enacted on June 21, 1966, as 

amended, for the purpose of collecting the necessary resources to deal with unexpected and 

unforeseen public needs, caused by calamities, such as wars, hurricanes, earthquakes, 

droughts, floods, plagues, and for the purpose of protecting life and property, among others. 

Said Fund may also be used to finance the operational expenses of the State Agency for 

Emergency and Disaster Management.

Furthermore, Law No. 91, supra, provides that the Emergency Fund will be capitalized 

annually by an amount of at least one fifth of one percent (0.2%) of the total of the Joint 

Resolution of the Budget. It is established that the above-referenced contribution will be at least 

one percent (1%) of the total net income for the previous fiscal year. It is also established that 

the balance of said Fund will never exceed one hundred and fifty million (150,000,000) dollars, 

whichever is higher.

In accordance with the foregoing, the purpose of creating the Emergency Fund was to 

establish a liquid reserves fund to handle unexpected and unforeseen public needs, such as the 

ones described above.

However, during the past fiscal years, the capitalization provided by Law No. 91, supra,

has not been done; instead, a line of credit has been used

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CERTIFIED TRANSLATION 

I, Juan E. Segarra, USCCI #06-067/translator, certify that the foregoing is a true and accurate

translation, to the best of my abilities, of the document in Spanish which I have seen.

2

as financial instrument to deal with and solve emergency situations. So, Joint Resolution No. 

168 of August 11, 2005, as amended, authorized the Director of the Office of Management and 

Budget to establish a line of credit to incur obligations up to the amount of one hundred and fifty 

million (150) dollars, a financial instrument that has been used for the past fiscal years. Said 

instrument has guaranteed the availability of resources to deal with disasters or emergency 

situations which have affected Puerto Rico.

This Joint Resolution authorizes the Director of the Office of Management and Budget

to, from Fiscal Year 2011-2012, turn into a revolving line of credit the line of credit established

by Joint Resolution No. 168, supra, to incur obligations up to the amount of one hundred and 

fifty million (150,000,000) dollars. This has exactly the same purpose, in other words, dealing 

with disasters or emergency situations affecting the Island, as provided in the Law which 

created the Emergency Fund, Law No. 91, supra; and in Law No. 211 enacted on August 2,

1999, as amended, known as the “Puerto Rico State Agency for Emergency and Disaster 

Management Act”.

We believe that this revolving line of credit financial instrument is the most efficient 

manner in which to ensure the necessary resources to comply with the extremely important and 

necessary purposes carried out by this Fund. In addition, said instrument promotes using 

resources when they are necessary and prevents Funds from being automatically separated 

from the General Fund if there is no immediate use for the same.

THE PUERTO RICO LEGISLATIVE ASSEMBLY HEREBY DECREES:

Section 1.-Section 2 of Joint Resolution No. 168 of August 11, 2005, as amended, is 

amended to read as follows:

“Section 2.-The Director of the Office of Management and Budget and the 

Government Development Bank are authorized to, from Fiscal Year 2011-2012, turn into 

a revolving line of credit the line of credit established during Fiscal Year 2005-2006, to 

incur obligations up to the amount of one hundred and fifty million (150,000,000) dollars. 

This is done for the purpose of dealing with disasters or emergency situations affecting 

the Island, as provided in the Law which created the Emergency Fund, Law No. 91 

enacted on June 21, 1966, as amended; and in Law No. 211 enacted on August 2,

1999, as amended, known as the “Puerto Rico State Agency for Emergency and 

Disaster Management Act”.”

Section 2.-Section 4 of Joint Resolution No. 168 of August 11, 2005, as amended, is 

amended to read as follows:

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Exhibit B Page 2 of 3
CERTIFIED TRANSLATION 

I, Juan E. Segarra, USCCI #06-067/translator, certify that the foregoing is a true and accurate

translation, to the best of my abilities, of the document in Spanish which I have seen.

3

“Section 4.- The Government of Puerto Rico will pay, by budgetary assignments made 

by the Legislative Assembly in the operating budgets of each Fiscal Year, starting on Fiscal 

Year 2012-2013 and ending on Fiscal Year 2021-2022, the obligations herein authorized. For 

this purpose, for Fiscal Years 2012-2013 to 2021-2022, the Director of the Office of 

Management and Budget is ordered to include in the operating budgets of the Government of 

Puerto Rico, submitted annually by the Governor of Puerto Rico to the Legislative Assembly, the 

amount agreed upon with the Government Development Bank in order to amortize the 

obligation authorized in Section 2 of this Joint Resolution and pay for interests accrued each 

year. If, at any point, the budgetary assignments are not sufficient to pay for the obligations 

herein authorized and the interests accrued each year, the Secretary of the Treasury will 

withdraw from any available funds in the General Fund of the Government of Puerto Rico the 

amounts that are necessary to cover the deficiency in the amount required for payment of said 

obligations and interests, and order that the amounts so withdrawn be applied to said payment 

and purpose.”

Section 3.-A new Section 5 is added to Joint Resolution No. 168, as amended, to read 

as follows:

“Section 5.-The Office of Management and Budget will file annually in the Clerk’s Office 

of each Legislative Body a report containing a list of the transfers carried out from the Fund 

herein established, the measures taken to ensure payment of the line of credit within the 

established period, and annual contributions made and to be made in order to ensure the 

solvency of the Emergency Fund.”

Section 4.-Sections 5 and 6 of Joint Resolution No. 168, as amended, are renumbered 

as Sections 6 and 7, respectively.

Section 5.-This Joint Resolution will come into effect on July 1, 2011.

DEPARTMENT OF STATE

Certifications, Regulations, Notary 

Registry and Law Sales

I certify that it is a true and exact copy of the original.

July 7, 2011

 [signature] President of the House

 President of the Senate Signature:

 Eduardo Arosemena Muñoz

 Deputy Services Clerk 

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