Members of the transition team of the elected government are working to leave two alternatives triggered in a possible failure of the PEC (Proposed Amendment to the Constitution), which authorizes an overflow of more than R$ 200 billion in the spending ceiling. They go through solutions presented by the STF (Federal Supreme Court) and by the TCU (Union Court of Auditors).
The extra resource will be used to pay for promises made by the president-elect, Luiz Inacio Lula da Silva (PT), during the election campaign, including the Auxílio Brasil of R$600.
Approved in the Senate, the text is stuck in the House due to difficulties in negotiating between the PT transition team and members of Centrão. Voting was scheduled for Tuesday (20.Dec.2022).
O Power360 found that the judgment by the STF (Federal Supreme Court) of the rapporteur’s amendments –which directly benefit deputies and senators– and the elected government’s lack of definition about the ministries hinder support for the proposal.
The last conversations of the PT transition team with members of the Chamber and Centrão command were not good either. Those following the process assessed that there was a tone of threat on both sides.
The leader of União Brasil in the Chamber, Elmar Nascimento (BA), responsible for the opinion, even delivered the report of the PEC, but the President of the House, Arthur Lira (PP-AL), made an appeal for the ally not to abdicate the function. Lula’s future finance minister, Fernando Haddad (PT), tried to arrange a conversation with Nascimento, but was unsuccessful.
In case the proposal is barred by the deputies, the PT members prepare two ways out: via the STF or TCU, in both cases with the opening of extraordinary credit.
stf
The PT is considering appealing a decision on the injunction order 7,300 of April 2021 (read the full – 937 KB), whose author of the judgment was Minister Gilmar Mendes.
THE Supreme Court decision was about law 10,835, of 2004, authored by the elected state deputy Eduardo Suplicy (PT-SP) (read the full – 128 KB). The rule required the government to pay 1 minimum wage for each Brazilian. After comings and goings, the Supreme decided the following in the writ of injunction:
🇧🇷[Determina] that the Federal Executive Power implement, in the fiscal year following the conclusion of the judgment on the merits (2022), the setting of the value provided for in art. 2 of Law 10.835/2004 for the stratum of the Brazilian population in a situation of socioeconomic vulnerability.”
The vote prevailed in the judgment in order to determine the payment of the benefit from 2022, but without fixing the amount.
The Executive branch argued that, by having zeroed out the queue of subscribers to receive the Brazil Aid, it complied with the Court’s determination. Now, Lula will be able to rely on that decision to keep the R$600 as an extraordinary credit — and not a constitutional amendment.
TCU
The exit via TCU would be through the opening of extraordinary credit via provisional measure under the justification of unpredictability and emergency.
An explicit authorization by the Federal Court of Auditors could free the future government from legal risk. Without this, the extraordinary credit can still be requested, but the responsibility would fall on whoever signs the MP.
In early December, the Civil House of the government of Jair Bolsonaro (PL) consulted the TCU regarding the possibility of releasing BRL 22.3 billion in extraordinary credits to pay mandatory social security expenses off the roof.
TCU responded on December 7. Denied the possibility by imposing a condition: “Provided that the conditions of relevance, urgency and unpredictability of the expense are met”🇧🇷 In practice, the Court buried the suggestion made by the current management.
#PTists #exits #STF #TCU #aid