Executive Decree PCM-049-2020 through which Article 23 of Executive Decree PCM-064-2019 is reformed regarding the prioritization of the Airport Concession Project

This decree changes how Honduras will implement the non-intrusive customs inspection project. Instead of allowing a private company to manage it through a public-private partnership, the Honduran Customs Administration, with support from the National Logistics Council, will now directly execute it using standard government procurement procedures. This affects importers and exporters by enabling faster and non-invasive customs inspections.

Whereas in accordance with Article 245, numerals 2, 11, 19, 20, and 45 of the Constitution of the Republic, it corresponds to the President of the Republic, among other powers: to direct the general policy of the State and represent it, to issue Agreements, Decrees, and to enact Regulations and Resolutions in conformity with the Law, as well as to administer public finances and such other powers as are conferred upon him by the Constitution and the Laws.

Whereas in accordance with Article 11 of the General Law of Public Administration, the President of the Republic has under his charge the supreme direction and coordination of the Centralized and Decentralized Public Administration, who in the exercise of his functions may act by himself or in Cabinet Council.

Whereas by Executive Decree Number PCM-064-2019 published in the Official Journal "La Gaceta" on December 17, 2019, it was decreed to suppress and liquidate the Commission for the Promotion of the Public-Private Partnership (COALIANZA), within a maximum period of six (6) months counted from the effective date of said Decree. Likewise, in Article 7 of said Decree, the Superior Council for Public-Private Partnership is created, hereinafter "The Superior Council APP", an entity that is the highest authority of the System and shall exercise its coordination.

Whereas Article 23 of Executive Decree Number PCM-064-2019 provides that priority is given to the evaluation, definition, and structuring of the following Projects: i) Concession of Airports; and, ii) Project of the Comprehensive Non-Intrusive Customs Inspection System.

Whereas in accordance with Article 19 of the Law for the Promotion of Public-Private Partnership, COALIANZA, now the Superior Council-APP, shall determine which public initiative projects may be executed under public-private partnership schemes, within those that form part of the National System of Planned Public Investment.

Whereas in the exercise of its powers, the Superior Council-APP, in EXTRAORDINARY SESSION No. SO-002-2020, held on the twenty-fifth (25) day of the month of May of the year two thousand twenty (2020), resolved unanimously to reject the Project of the Comprehensive Non-Intrusive Customs Inspection System as a project susceptible to being executed under public-private partnership schemes.

Whereas the Regulation of the Central American Uniform Customs Code establishes the use of non-intrusive or non-invasive controls. This regulation provides that when customs services exercise control using non-intrusive or invasive inspection equipment, they shall be applied taking into account, in addition to the results of risk analysis, other mechanisms that allow users of the Customs Service to effect rapid dispatch of their merchandise, with timeframes and operational costs that do not constitute a barrier to commerce.

Whereas in accordance with Article 198 of the Tax Code, the Customs Administration and Tax Administration have, among others, the following powers: 1) To comply with and enforce the provisions of the Constitution of the Republic, International Treaties in Tax or Customs matters, the Tax Code, the Laws and other tax or customs regulations, as applicable; 2) To audit compliance with tax and customs obligations, in order to combat infractions and tax crimes; 3) To establish and operate agile and simplified procedures and systems to facilitate voluntary compliance with tax and customs obligations; as well as to implement and operate expedited processing of tax or customs operations, formal or material.