1. The subject of the contract is to grant a long-term loan in the amount of PLN 9,000,000.00 to finance the planned budget deficit.
2. Credit period from the date of signing the credit agreement until 31.12.2038.
3. Grace period in repayment of loan installments until 30 March 2024.
4. The Ordering Party has the right to use the credit in the amount lower than PLN 9,000,000.00 without incurring additional costs (fees, commissions, etc.).
5. The security of the credit will be a promissory note “in blanco” along with a promissory statement.
6. The loan (principal) will be repaid in 60 quarterly instalments, on the last business day of each quarter starting from 31 March 2024. The repayment schedule is presented below: (...)
1) the first instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 31 March 2024,
2) the second instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 30 June 2024,
3) third instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 30 September 2024,
4) the fourth instalment in the amount of PLN 150,000.00 (one hundred and fifty thousand zlotys) payable by 31 December 2024,
5) V instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 31 March 2025,
6) VI instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 30 June 2025,
(...)
59) LIX instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 30 September 2038.
60) LX instalment in the amount of PLN 150,000.00 (say: one hundred and fifty thousand zlotys) payable by 31 December 2038.
7. Interest on the loan is calculated quarterly starting from the date of disbursement of the first tranche of the loan. Interest will be repaid on a quarterly basis in amounts resulting from the current debt until the end of the quarter for which the interest was accrued.
8. The credit will be used until December 31, 2023. ("upon request", i.e. after a written instruction to disburse the loan to the account of the City).
9. The Contracting Authority does not allow commissions or any additional fees for the services provided by the Contractor.
10. The interest rate on the loan will be calculated based on the WIBOR 3M rate (as of 21 September 2023 for the purposes of the offer survey).
11. The interest rate will be calculated according to the variable average, calculated as the average of the 10 business days preceding the given interest period, of the WIBOR 3M rate.
12. The loan may not be charged with fees other than those listed in the Terms of Reference.
13. The Ordering Party has the right to early repayment of the loan in whole or in part, without additional costs (fees, commissions, etc.). The interest rate will then be calculated for the period of actual use of the loan.
14. The actual calendar should be used to calculate interest.
15. The interest rate on the loan instalments not repaid on time will be calculated in the amount specified for statutory interest. (for delay).
16. The Contracting Authority does not agree to sign a declaration of submission to enforcement in accordance with Article 97 of the Banking Law Act of 29 August 1997.
17. The municipality does not submit a declaration of submission to enforcement pursuant to Article 777(1)(5) of the Civil Procedure Code
18. The Contracting Authority agrees to the Treasurer's countersignature on the loan agreement, promissory note and promissory note declaration.
19. The Contractor shall transfer the funds to the Contracting Authority's account in a timely manner.
20. All settlements between the Ordering Party and the Contractor shall be conducted in the Polish currency (PLN).
21. There are no garnishments on the City's accounts.
22. The City did not have a recovery programme within the meaning of the Public Finance Act of 27 August 2009.
23. The Contracting Authority has no liabilities under bonds, redemption of receivables, forfaiting, factoring, eFinancing or leasing.
24. The Contracting Authority does not have any signed public-private contracts.
25. The City has granted a loan guarantee from the National Fund for Environmental Protection and Water Management for Otwock Water and Sewage Company Sp. z o.o. (date of granting 26.08.2008, maturity date 31.12.2032), liabilities as at 31.08.2023 amount to PLN 10,690,220.00.
26. The City has a debt due to loans to finance the budget deficit in the amount of PLN 26,074,690.00 and loans from the National Fund for Environmental Protection and Water Management for the modernization of street lighting in the amount of PLN 3,067,508.92. In addition, it has a liability in the amount of PLN 5,553,522.20 due to deferred payment, repayment date 28.02.2041.
27. The Contractor shall have a full range of rights related to the control of the use and repayment of the loan.