Degree of dissatisfaction in Congress should increase after Dino maintains tougher rules on amendments; government is in a hurry about fiscal package
The decision by STF (Supreme Federal Court) minister Flávio Dino, handed down this Monday (Dec 9, 2024), by deputies and senators should have an impact on the approval of what is being processed in Congress.
Dino a request for reconsideration from the AGU (Attorney General of the Union) regarding the reservations that the magistrate had made regarding the law approved by Congress with new rules to release the payment of resources. Here is it (PDF – 217 kB).
With the decision, Flávio Dino creates a problem for Planalto: without the money from the amendments to the Budget to lubricate the support base he has in Congress, Lula will have difficulty approving the spending cut package.
The STF minister’s decision poses obstacles to the payment of amendments, even though Congress has approved a law on the subject.
Planalto had reserved R$7.8 billion to make these payments (of the total of around R$25 billion blocked by Dino).
It turns out that in this R$7.8 billion there is R$3.2 billion that cannot be paid because of this Monday’s decision by the STF minister.
All things considered, the atmosphere will be heavy in Congress.
WHAT THE SUPREME WANTS
Flávio Dino’s decision on the amendment law approved by Congress was confirmed 11 to 0 in the STF plenary. There are 3 specific points that AGU asked the minister to reconsider:
- Pix amendments with work plan – the minister demands that this resource allocation plan be approved by the federal government. Pix amendments are a modality in which money goes more quickly to the destination (cities, states or institutions);
- transparency – Dino determined that the names of deputies and senators who suggest amendments made by benches and by the Budget rapporteur be identified on the Transparency Portal;
- readjustment calculation – the minister also demands that the total value of amendments be reduced, stopping the constant increase that has been noted in recent years.
COST CUTTING PACKAGE
Dino’s decision comes at a decisive moment for the government, which is trying to implement its spending cut package in Congress.
Last week, deputies from the main projects. The score was tight.
There is an expectation that the proposals will be put to a vote this week. The president of the Chamber, (PP-AL), said, however, that the .
There is also the time factor against Palácio do Planalto: the congressmen’s recess begins on December 23rd.
This means that the government has two more weeks to approve the measures, all against a backdrop of open dissatisfaction with the amendments.
The rapporteur of the LDO (Budget Guidelines Law), senator (MDB-RO), for example, who “Congress’ mood is not good”.
