1. The subject of the contract is: Granting a long-term loan in the amount of PLN 2,000,000.00 to the Municipality of Libiąż, to finance the planned budget deficit of the Municipality of Libiąż and to repay previously incurred liabilities under loans and borrowings on the terms and conditions set out in the SWZ and procurement documents.
1) Credit will be granted and settled in Polish zlotys (PLN).
2) The loan amount is PLN 2,000,000.00. The Ordering Party reserves the right not to use the loan granted in full without incurring additional commissions and fees in this respect.
3) Planned Lending Period: Until December 31, 2035
4) The credit shall be placed at the disposal of the Contracting Authority at the time limits and tranches specified by the Contracting Authority.
c.d. description in section 2.4)
5) The loan tranches will be released and paid out – on the basis of written instructions of the Ordering Party within 5 business days from the date of their transfer to the Contractor in electronic form, to the e-mail address indicated by the Contractor in the contract – to the bank account number indicated by the Contracting entity in the draft provisions of the contract – Appendix No. 7 to the SWZ.
6) To calculate the gross offer price, it should be assumed that the loan will be disbursed in two tranches: the first tranche on 29 September 2023 in the amount of PLN 500,000.00, the second tranche on 20 November 2023 in the amount of PLN 1,500,000.00. The indicated dates of disbursement of loan tranches and the amount of tranches are not binding and may change. The dates and amounts of tranches given above are used only to calculate the gross offer price.
7) Repayment of the loan (capital) from 2026. Repayment of principal in the years 2026-2035, quarterly, by 31 March, by 30 June, by 30 September and by 31 December each year.
Installments in the years 2026 - 2027 in the amount of PLN 15,000.00, in 2028 in the amount of PLN 20,000.00, in the years 2029 - 2033 in the amount of PLN 50,000.00, in the years 2034 - 2035 in the amount of PLN 100,000.00 each.
The amount of quarterly principal repayments may change depending on the actual use of the loan. If the loan granted is not used in full, the installments will be reduced in proportion to the amount of the loan, while taking into account the rounding of new installment sizes up to one thousand zlotys.
8) The Ordering Party reserves the right, during the term of the contract, to make changes in the extension of the loan repayment period. All changes will be made after prior agreement on a new loan repayment schedule between the parties to the contract. The prerequisite for changing the loan repayment schedule will be conditions resulting from the obligation of the Contracting Authority to comply with the requirements contained in Article 243 of the Act of 27 August 2009 on public finances (i.e. Journal of Laws of 2022, item 1634, as amended) or the occurrence of other legal, economic or technical circumstances resulting in the inability to perform or properly perform the contract in accordance with the SWZ, resulting in a change in the essential provisions of the contract.
9) Interest will be calculated on the basis of the actual debt balance. When calculating interest, it is assumed that the month has the actual number of days and the year 365 days.
10) Interest on the used loan will be calculated quarterly on the amount of current debt and will be repaid on the basis of a notification issued by the Contractor at the earliest on the last day of the quarter for which interest will be calculated and sent to the Ordering Party without charging additional fees. Interest will be paid within 7 days of receipt of the notification in the month following the end of the quarter for which it is calculated. The last interest will be payable until 31.12.2035.
(11) Interest may not be capitalised.
12) The interest rate on the loan on the actual debt will be variable, depending on the three-month WIBOR rate, calculated as the arithmetic mean of quotations between the first and the last day of the quarter preceding the quarter for which interest is calculated, adjusted by the Contractor's margin fixed throughout the loan period specified in the "Expected cost of credit" – Annex 1.1. to the SWZ.
13) If the three-month base rate WIBOR is negative, until it reaches positive values, the base rate equal to zero shall be used for the calculation of interest.
14) To calculate the gross offer price, the WIBOR 3M rate of 06.02.2023, i.e. 6.91%, should be used.
15) The cost of the loan is interest on the loan granted. The Ordering Party shall not incur any other costs and fees related to the preparation, granting, insurance and servicing of the loan than indicated in the offer form.
C.D. DESCRIPTION IN SECTION: III.1.2)