BRAZIL RESPONSE TO HIGHWAY ADMINISTRATION MEMORANDUM OF

UNCLAS SECTION 01 OF 04 BRASILIA 000361

SIPDIS

USDOC WASHDC

EB/TRA FOR JEFF HORWITZ
TRANSPORTATION FOR MICHAEL AVERY
USDOC FOR 3134/USFCS/OIO/WH/EOLSON
USDOC FOR 4332/ITA/MAC/WH/OLAC/MWARD

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: ELTN EWWT ECON BR
SUBJECT: BRAZIL RESPONSE TO HIGHWAY ADMINISTRATION MEMORANDUM OF
COOPERATION


1. (U) During their visit to Brazil in July of 2005, Federal Highway
Administration (FHWA) representatives expressed interest in
deepening ties between Brazilian and American transport authorities.
The message was reinforced by Department of Transportation (DOT)
Undersecretary for Policy Jeffrey N. Shane during the Western
Hemisphere Transportation Initiative (WHTI) meeting in Brazil in
August 2005. Subsequently, at the request of the FHWA, post sent a
draft Memorandum of Cooperation to the Brazilian Ministry of
Transport on August 30, 2005. On February 10, Emboffs met with
Executive Secretary of the Ministry of Transport (MOT) Paulo Sergio
Oliveira Passos and General Coordinator Jose Newton Barbosa Gama to
discuss the MOT's written reactions to the Memorandum of Cooperation
with the Federal Highway Administration.


2. (U) Post's review of the MOT's counter-draft shows a number of
small changes, primarily re-ordering of text. The most substantive
change is the MOT's deletion of language in the USG version of
Paragraph 7 which specifically noted that separate memoranda of
cooperation or plans could later be embodied in the Memorandum. In
discussing this edit with econoff, Gama said that Brazil had no
specific objection to the language, but did not see any pending
issues that necessitated its inclusion.


3. (SBU) Our February 13 meeting came after months of pursuing a
response from the Brazilians. The MOT's renewed interest in the MOC
appears to have been occasioned by the December 12 visit of a GOB
technician to the U.S. Army Corps of Engineers Research and
Development Center in Vicksburg, Mississippi (which apparently came
about as a result of a Corps engineer's participation in a
conference in Brazil circa August 2005). MOT officials said that
technical assistance on the integration and interoperability of
waterways, roadways and rail systems is what interests them most,
especially as it relates to emergency planning, drainage, and
environmental protection. The Ministry is interested in pursuing
accords with the U.S. Army Corps of engineers in this area.

Comment
--------------


4. (SBU) The Ministry of Transportation is enthusiastic about the
prospects of planning studies, technical training, and technician
exchanges. (We were not previously aware of these interactions
between the GOB and the Army Corps of Engineers.) While emboffs
explained that such assistance would come at a price and not form
part of the FHWA umbrella agreement, Passos' and Gama's interest was
primarily motivated specifically by potential cooperation with the
Corps. However, we reiterated that the FHWA memorandum is only the
starting point for initiating the more technical areas of
cooperation with FHWA. We all agreed that it would be best to move
forward on two parallel tracks rather than combine the two areas of
cooperation, though this could be a sticking point in moving forward
on the FHWA umbrella agreement. End Comment.


5. The text of the original document sent from the Federal Highway
Administration to the Brazilian Ministry of Transportation is below.


Begin Text:

MEMORANDUM OF COOPERATION BETWEEN FEDERAL
HIGHWAY ADMINISTRATION,DEPARTMENT OF TRANSPORTATION OF THE UNITED
STATES OF AMERICA AND REPUBLIC OF BRAZIL, MINISTRY OF TRANSPORTATION


Whereas the Federal Highway Administration (FHWA),United States of
America Department of Transportation (USDOT),and the Republic of
Brazil, Ministry of Transportation (MDT),(hereinafter referred to
as "the Participants");

Recognizing that new developments in the field of highway
transportation can make important contributions toward promoting,
encouraging, and advancing safe, secure, efficient highway
transportation systems; and

Desiring to promote technology exchange and information sharing and
cooperation and collaboration in the field of highway transportation
set forth in this Memorandum of Cooperation as follows:

Article I
The Participants intend to undertake cooperation and collaboration

BRASILIA 00000361 002 OF 004


in technology exchange and information sharing in the field of
highway transportation on a mutually beneficial basis.

Article II
The Participants intend to identify specific activities for
cooperation and collaboration in highway transportation and
establish communication links between our highway experts to develop
a framework for technology exchange and information sharing in the
following areas as well as others of mutual interest:

1.Sharing of information such as infrastructure financing, road
safety and the use of Intelligent Transportation Systems;

2.Sharing of scanning reports which includes information learned by
the FHWA in conjunction with the American Association of State
Highway Transportation Officials in response to high priority
transportation needs in the United States;

3.Share experiences in developing transportation solutions in
Brazil;

4.Offer training courses with the FHWA National Highway Institute
according to an established fee schedule; and

5.Facilitate the formation of ongoing cooperative relationships
resulting in technology exchange and information sharing between the
U.S. and Brazil.

Article III
The Participants may pursue cooperation and collaboration through
exchange of technical information on subjects of mutual interest and
other fora of cooperation and collaboration as mutually agreed.

Article IV
The Participants may allow, as appropriate, other transportation
stakeholders to participate in activities resulting from this
Memorandum. These entities may include relevant governmental
agencies, researchers, organizations, national laboratories,
universities and the private sector.

Article V
To coordinate the cooperative and collaborative activities, each
Participant may designate a representative to be responsible for
determining the particular directions of cooperation and for
ensuring the effectiveness of exchange. The representatives of the
Participants or their designated coordinator should consult with
each other and define the cooperative activities and other related
matters. When necessary, they may meet to consider matters related
to the implementation of this Memorandum.

Article VI
The cooperation is subject to the availability of funds and
personnel.

Article VII
Specific cooperative and collaborative projects and activities may
be embodied in separate memoranda or plans, between the
Participants, which may cover the subject, procedures and terms of
cooperation to be undertaken, the entities involved, funding, and
other appropriate matters related to the conditions of such
cooperation.

Article VIII
Technical information of a non-proprietary nature derived from the
cooperative and collaborative activities conducted under the
Memorandum may be made available to the public through customary
channels and in accordance with the normal procedures of the
Participants and other government entities involved in the
activities.

Article IX
Information transmitted by one Participant to the other under this
Memorandum should be accurate to the best knowledge and belief of
the transmitting Participant but the transmitting Participant does
not intend to warrant the suitability of such information for any
particular use or application by the receiving Participant.

Article X
The activities under this Memorandum should commence on the date of
signature below. Either Participant may end its cooperation under
this Memorandum at any time, but should attempt to provide sixty

BRASILIA 00000361 003 OF 004


(60) days prior written notification to the other Participant. The
Participants should endeavor to complete or continue specific
activities then underway if they so choose.

FOR THE FEDERAL HIGHWAY ADMINISTRATION, THE DEPARTMENT OF
TRANSPORTATION OF THE UNITED STATES OF AMERICA
Signed

FOR THE REPUBLIC OF BRAZIL MINISTRY OF TRANSPORTATION
Signed

End Text.


6. An informal translation of the Brazilian response to the Federal
Highway Administration is provided below:

Begin Text.

MEMORANDUM OF COOPERATION BETWEEN THE FEDERAL
HIGHWAY ADMINISTRATION OF THE U.S. TRANSPORTATION DEPARTMENT AND THE
MINISTRY OF TRANSPORTATION OF THE FEDERATIVE REPUBLIC OF BRAZIL FOR
COOPERATION IN THE AREA OF HIGHWAY TRANSPORTATION

The Federal Highway Administration of the Transportation Department
of the United States of America and The Ministry of Transportation
of the Federative Republic of Brazil (hereafter denominated "the
Participants")

Recognizing that new developments in the area of highway
transportation can bring important contributions for the promotion,
incentive and advance of safe, secure and efficient transportation
systems; and

Desiring to promote an interchange of technology and information
sharing, as well as collaboration and cooperation in the area of
highway transportation,

Agree to the following:

ARTICLE I

The participants will promote cooperation in the area of highway
transportation, with regard to its technological aspects, based on
the principle of mutual benefits, equality and reciprocity.

ARTICLE II

This Memorandum of Understanding , hereafter denominated
"Memorandum", is for the purpose of sharing experiences and
information in the following areas:

a) Financing of Infrastructure, Constructive Technology, Highway
Cooperation and Safety, Terminology, Environment and Intelligent
Transportation Systems;

b) Other matters mutually agreed between the Participants.

ARTICLE III

The forms of cooperation covered in this Memorandum will be:

a) Sharing of systematic reports including information collected by
the Federal Highway Administration together with the U.S.
Association of State Highway Transportation Employees, in answer to
the needs of high priority transportation in the United States;

b) Sharing of experiences in the development of solutions for
transportation in Brazil;

c) Certification and Training for Brazilian specialists at the
National Highway Institute of the Federal Highway Administration, in
accordance with an established schedule of costs; and

d) Other forms of cooperation mutually agreed between the
Participants.

ARTICLE IV

The Participants may allow, when necessary, the involvement of
transportation agents from other government agencies, researchers,
national laboratories, universities and the private sector.

BRASILIA 00000361 004 OF 004



ARTICLE V

To coordinate cooperation activities, each Participant will
designate a representative who shall determine the specific
cooperation directives and assure the effectiveness of the
interchange. The representatives of the Participants, or
coordinators named, will conduct reciprocal consultations and define
the activities of cooperation and other pertinent subjects. When
necessary, they will meet to analyze subjects related to the
implementation of this Memorandum.

ARTICLE VI

Unless mutually decided otherwise, each Participant will finance his
own expenses for the cooperation activities described in the present
Memorandum.

ARTICLE VII

Non-proprietary technical information resulting from the cooperation
activities conducted under this Memorandum, can be made available to
the public through the usual channels and according to normal
procedures of the Participants and other government agencies
involved.

ARTICLE VIII

Information transmitted from one Participant to another under the
scope of this Memorandum, should be precise, credible and
unequivocal. The Participant sending this information will not be
obliged to guarantee that it is perfectly adequate for a specific
use or application by the receiving Participant.

ARTICLE IX

This Memorandum will enter into effect on the date of its signing
and will continue in force unless one of the Participants decides to
terminate it, notifying the other Participant of his decision, in
writing, with sixty days notice.

Done on _________, the ______ day of the month of _______, ______,
in two equally authentic original copies, in the Portuguese and
English languages.

End Text.

Chicola