Creation of Subaccount for Emergency Mitigation
On April 15, 2020, by means of Decree 559 of 2020, the President of the Republic ordered the creation of the Sub-account for emergency mitigation – Covid 19- within the National Fund for Disaster Risk Management. Its purpose will be to finance the provision of goods, services and works required to contain, mitigate and prevent the spread of the adverse effects derived from the COVID-19 pandemic in the Colombian population in condition of vulnerability.
Additionally, the contracts entered into by the trust company for the execution of the assets, rights and interests of the Sub-account for Emergency Mitigation-COVID19, will be subject only to the requirements and formalities required by law for private procurement.
The National Government may, with the resources of this sub-account, enter into agreements with foreign governments or with multilateral agencies or organizations, which purpose is directed to mitigate the adverse effects derived from the pandemic caused by the Coronavirus COVID-19 in the vulnerable population that resides in Colombia.
In addition to the abovementioned, a specific Administrative Board was created to execute the procedures related to the Sub-Account for Emergency Mitigation - COVID19, which will have, among other functions, to indicate the use of resources and the order of priorities to which such resources will be allocated, according to the purpose for which such Sub-account was created.
It is important to highlight that the administration and use of such resources will be exempt from all kinds of taxes, fees, contributions, and fines, in accordance with the provisions of article 10 of Decree Law 1547 of 1984.
Finally, the National Fund for Disaster Risk Management was authorized to contact international agencies, in order to acquire the health goods, services and technologies required to contain and mitigate the COVID-19.
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