Lula government does not present new priorities to Congress – 06/18/2023 – Power

Lula government does not present new priorities to Congress – 06/18/2023 – Power

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The Lula government (PT) has not yet communicated to the National Congress what its priorities will be after the conclusion of the vote on the new fiscal framework and the tax reform, the first two major flags that it presented to the Legislative.

Still without a minimal support base in the Chamber of Deputies —although with a better scenario in the Senate—, Lula has devoted greater effort at this time to trying to solve problems in political articulation and to attract center and right-wing parties that are now independent or more inclined to opposition.

As a result, both government and allied party leaders as well as members of the Planalto Palace were unable to answer the question about what will happen from now on.

Questioned by SheetSecretariat for Institutional Relations and Treasury presented a list of proposals that they promise to defend in the second semester.

“We delivered everything to the Chamber, everything!”, said the leader of the government in the House, José Guimarães (PT-CE), when asked about what would be the priority from now on. “The next [ciclo] it’s August, August is another world”, he added, referring to the month that opens the second semester in Congress.

Guimarães expresses a common discourse among government supporters, which is that the approval of the new fiscal framework by the Chamber, still pending a vote in the Senate, and of a tax reform, which has not yet been voted on, would be more than enough for this start of Lula 3.

“We voted for everything in the Chamber. You paint that this is hell, but only Carf is missing, which will be on Wednesday (21),” he added.

The reasoning does not contemplate the fact that the framework and tax reform are guidelines also defended and worked on by Arthur Lira’s center (PP-AL), mayor, and that the fragility of the Lula base has already led to defeats and setbacks.

Among them is the issue of Carf (Administrative Council of Tax Appeals), mentioned by Guimarães.

The resumption of the so-called quality vote in the council, which was overthrown in 2020 by Congress, is one of the flags of Fernando Haddad (Finance) to expand the federal government’s sources of revenue, having been instituted by Lula in a provisional measure.

Congress, however, allowed the MP to lapse (losing its validity because it was not analyzed within 120 days) and now the government is trying to approve the measure through a bill.

Lira and the President of the Senate, Rodrigo Pacheco (PSD-MG), have not yet reached an agreement on the model for processing the provisional measures, which has hindered the progress of this, which is the main instrument that the government has to legislate.

“There is no sign of any project after the tax reform, at least that has arrived for us. But I think that for the year, having the fiscal framework approved and having approved a tax reform that several presidents of the Republic have tried and never succeeded in, will be an extraordinary advance for the country”, says the leader of Arthur Lira’s bloc, deputy Felipe Carreras (PSB-PE).

The parliamentarian, who will pass the leadership of the bloc this Monday (19) to André Figueiredo (PDT-CE), said that the union of left-wing acronyms such as PSB and PDT to centrão parties, such as PP de Lira, was important in setting up governance in this first semester.

He argues that it is essential that Lula take the next steps towards attracting center and right-wing parties to his orbit, especially the PP.

Lula’s allies point out that the government managed to fulfill campaign promises by recreating programs such as Bolsa Família, the Food Acquisition Program, Farmácia Popular and Minha Casa Minha Vida —and indicate that the Executive should focus efforts on the new PAC (Program of Acceleration and Growth), which has not yet left the drawing board.

The national president of the PT, federal deputy Gleisi Hoffmann (PR), says that the government managed to replace all the agendas that it had as priorities, but that, now, it is necessary to “look ahead”.

In her assessment, the Executive should still look into the month of July about the possible bets for the second semester. “We are discussing with the parties [da base aliada de Lula]with social movements, union movement”, he says, adding that the Executive should focus on the creation of new programs to “rescue the Brazilian industry”, in addition to investing in education, health and science and technology.

The leader of the PT in the Chamber, Zeca Dirceu (PR), mentions as examples of proposals for which he will commit himself the project to encourage the adoption of full-time teaching in basic education and the initiative for the regulation and taxation of sports betting, which has not yet been submitted to Congress.

In a note, the press office of the Secretariat for Institutional Relations states that the government “will continue to prioritize the economic and social agenda”.

“The priorities will be: conclusion of the Tax Reform, approval of MPs that deal with the increase in the exemption limit of the Individual Income Tax, readjustment of the minimum wage, improvement of the rules of the Food Acquisition Program, pact for the resumption of works and engineering services for basic education, discounts for purchasing sustainable vehicles, and the Desenrola Brasil Program.”

The Treasury sent a list of 22 projects and themes as a priority, including proposals to increase the minimum wage and the provisional measure of Desenrola, for the renegotiation of debts of individuals.

Read the farm’s list in full:

  1. Tax Reform (Monday)
  2. PLP 101/2023 – Cooperative Insurance
  3. PL 2249/2023 – Loss of Goods
  4. PL 2250/2023 – Insurance Credit Guarantee
  5. PL 2384/2023 – Return of the casting vote at Carf
  6. PL 2385/2023 – Minimum Wage Appreciation
  7. PL 2551/2023 – Issuance of debentures
  8. PL 2820/2023 – Credits to financial institutions
  9. PEC 45/2019 and PEC 110/2019 – Tax Reform
  10. PLP 164/2022 – Identification and control of persistent debtors
  11. PLP 93/2023 – Sustainable Tax Regime
  12. PL 4188/2021 – Framework of Guarantees
  13. PL 2920/2023 – Food Acquisition Program
  14. PL 2925/2023 – Minority Investors in Capital Markets
  15. PL 2926/2023 – Infrastructure Operator Institutions
  16. PL 3025/2023 – Gold Trade
  17. MP 1176/2023 – Unroll Brazil
  18. MP 1175/2023 – Discount for sustainable vehicles
  19. MP 1172/2023 – Minimum Wage Appreciation
  20. MP 1171/2023 – Taxation of Offshores
  21. MP das Bets (not yet sent to Congress)
  22. Ecological transition (still under study at the Farm)

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