Legislative Decree No. 114 of 2011 establishing a fund to mitigate the effects of drought and natural disasters.

This Legislative Decree consisting of 18 articles aims at establishing at the Ministry of Agriculture and Agrarian Reform a Fund to mitigate the effects of drought and natural disasters on the agricultural production. The Fund will compensate those affected for material losses and damage due to drought, natural disasters, or climatic conditions, provided that the losses exceed 50% of the agricultural production, as well as exceeding 10 percent of the area of the administrative unit for plant production. The Fund's resources are also allocated for administrative expenses, publications, bonuses.
The Board of Directors of the Fund shall determine the percentage of damage and the consequent compensation. Main tasks of the Board of Directors are (i) proposal of policies, plans and programs of the Fund; (ii) proposal of the principles and amounts of the contribution of the Fund in providing compensations and the conditions of granting them; and (iii) administrative and procedural issues related to the Fund. The Fund Manager has implementation powers. Fund funds are allocated to: A. Compensation for damage and material losses to agricultural production resulting from drought and natural disasters.