President Luiz Inácio Lula da Silva (PT).| Photo: EFE/Andre Borges.

President Luiz Inácio Lula da Silva (PT) sanctioned this Tuesday (17th) the 2023 Annual Budget Law (LOA). The sanction was published in an extra edition of the Official Union Gazette (DOU). A total of BRL 4.266 billion in proposed expenditures were vetoed, in addition to filling 512 federal positions.

Most of the vetoed resources (R$ 4.18 billion) would go to the National Fund for Scientific and Technological Development (FNDCT), for research promotion actions, contracts with social organizations and works. The reason for the veto, according to the Executive, is a breach of the proportion between reimbursable and non-reimbursable operations, something required by the legislation that regulates the FNDCT.

Another BRL 60 million would go to the Ministry of Economy, to encourage associations and cooperativism. The argument for the veto is that these areas are under the competence of the Ministry of Labor. The veto also focuses on funds destined to the National Institute of Colonization and Agrarian Reform — Incra (R$ 15 million); the General Tourism Fund — Fungetur (R$ 8 million); and to the National Penitentiary Fund — Funpen (R$ 250,000).

Lula also vetoed the provision for filling 512 positions, 417 of which in six federal universities in five states and 95 at the National Mining Agency (ANM). Another 1,829 positions at the same universities that would be created were also vetoed. The justification for the veto of positions in universities is that this measure would “significantly” impact the planning and management of the Executive’s permanent staff.

In the case of ANM, Planalto recalled that devices that supported an increase in personnel expenses at the agency had been vetoed in a 2022 law. from ANM. With information from the Senate Agency.