Bill that changes debt calculation is approved.
The Brazilian Chamber of Deputies approved a bill that changes the index used to adjust debts of states and municipalities with the federal government, reducing the debt amounts. According to the proposal, instead of the IGP-DI plus 6%, 7,5%, or 9%, the National Consumer Price Index (IPCA) plus 4% or the Selic rate, whichever is lower, will be used. Deputy Ronaldo Caiado from Goiás accused the federal government of favoring states and municipalities governed by allies. An amendment by Deputy Carlos Sampaio, which could benefit Goiás, is expected to be vetoed by the government. The vote now goes to the Senate.
Chamber Agency The plenary approved on Wednesday a bill that changes the index used to adjust debts of states and municipalities with the federal government, reducing the amounts of the debts.
According to the proposal, instead of the IGP-DI plus 6%, 7,5% or 9%, the National Consumer Price Index (IPCA) plus 4% or the Selic rate, whichever is lower, will be used. And the new calculation will be retroactive, starting from January 1, 2013.
The leader of the DEM party, Ronaldo Caiado from Goiás, accused the government of favoring cities controlled by its base, especially São Paulo, in the renegotiation.
"This is a selective operation. It chooses the survivors and determines those who will go bankrupt and remain unviable in their administrations. Of the debt being renegotiated, 88% is concentrated in the states of the South and Southeast. In other words, it's complete discrimination. This bill is called the Haddad bill. That is, it's not bill 238, it's the Haddad bill."
But Congressman Afonso Florence, from the PT party in Bahia, refuted the accusations.
"When the congressman comes here to defend the consolidated amendment number 2 and says that São Paulo will have a larger rebate, that it has a total debt to pay that is greater than that of other states, he is stating the obvious. It's the same as saying that São Paulo, because it has the largest GDP and the largest population, contracted the largest loans."
An approved amendment extended the change of indexer to the Selic rate to other debts, benefiting more states, including Goiás.
The bill that renegotiates debts of states and municipalities with the federal government is going to the Senate.
Controversy
In another vote, the Plenary approved, by 264 votes to 111, an amendment by Congressman Carlos Sampaio (PSDB-SP) that limits the indexation of debts refinanced under Law 8.727/93 to the Selic rate.
The amendment was approved despite the government's disagreement, which is expected to veto this point. The adjustment based on the Selic rate affects a total of R$ 11 billion in debts owed by various states to federal banks, renegotiated under this law. This would benefit states such as Goiás, Maranhão, Espírito Santo, Rio Grande do Sul, Alagoas, Rio de Janeiro, Mato Grosso, Bahia, Pernambuco, São Paulo, Santa Catarina, Minas Gerais, and Pará, as well as the Federal District.
The DEM party obstructed proceedings until the amendment was approved. The party leader, Representative Ronaldo Caiado (GO), criticized what he considered a targeting of the project towards allied governments. "This amendment is directed towards cities and states handpicked by the government for its governors and allies," he stated.
According to Caiado, of the total R$ 474 billion to be recalculated by the project, R$ 408 billion will benefit São Paulo, Rio de Janeiro, Rio Grande do Sul, and Minas Gerais (84% of the total).
Regarding the municipalities, Caiado argued that, of the R$ 66 billion in renegotiation, approximately 82% benefits the city of São Paulo (R$ 54 billion).