Bolsonaro sanctions law that creates Brazil Aid with vetoes

President Jair Bolsonaro (PL) sanctioned the law that creates the Auxílio Brasil program, which replaces Bolsa Família.

The measure signed by the president and published in the Official Gazette of the Union this Thursday (30) also institutes the program Alimenta Brasil.

The plan informed by the government was to start paying at least R$ 400 to more than 17 million families registered with Auxílio Brasil as of November, but it was postponed, as shown by the leaf.

This is because the administration of President Bolsonaro did not fulfill its promise to expand the number of families assisted by the program in 2021. There is also no provision for the beneficiaries of the social program to receive retroactive compensation, as was announced.

Bolsonaro vetoed two articles. One of the devices established targets for poverty rates that should be achieved in the next three years. In a statement, the General Secretariat of the Presidency said that the measure “would generate burdens to the federal Executive Power, in misalignment with responsible fiscal management”.

The president also blocked an excerpt that stated that the aid expenses should be sufficient to cover all eligible families to receive benefits.

“This was because the linking of service to all eligible, automatically, changes the nature of the expense of the federal government’s income transfer program and, consequently, entails an increase in expenses without the proper budget forecast”, states the note of the government justifying the veto.

“The service to potential beneficiaries of the Program, therefore, will depend on available budget allocations, with a view to complying with fiscal responsibility rules”, says the same statement.

The order to guarantee the payment of R$ 400 to all subscribers came from Bolsonaro in October, which publicly repeated, several times, the promise of boosting the replacement social program of Bolsa Família, raising the income transferred to the vulnerable population (de R $190 per month to R$400) and expand the number of families served (from 14.5 million currently to over 17 million).

There is also no longer any forecast that families will receive a supplement retroactive to November that would serve to match the benefit to the amount of R$400 promised by the president.

When contacted, the Ministry of Citizenship informed that “the portfolio’s expectation is to reach around 18 million in the next regular payroll [em janeiro], clearing the waiting list, which demonstrates the federal government’s commitment to guaranteeing and continuously expanding the service provided in social protection actions for the most vulnerable citizens”.

The biggest difference between Auxílio Brasil and Bolsa Família is the government’s intention to increase funding for the program.

With an eye on the 2022 elections, Bolsonaro was advised by allies to allocate more resources to that area. This is one of the government’s main bets in the reelection campaign.

A decree signed by Bolsonaro was also published in the Official Gazette of the Union, extending the “Extraordinary Benefit” until December 2022. It is an amount paid to guarantee the distribution of R$ 400 per family enrolled in the aid.

According to a government note, the family needs to meet certain conditions to receive the benefit.

“Such as performing the prenatal exam, following the national vaccination calendar, and ensuring that children respect the minimum school attendance. The Executive will define in regulations criteria for the fulfillment of conditionalities by families and the consequences in case of non-compliance”, he says the statement.

The MP (provisional measure) that gave rise to the aid law was published in August. The benefit started to be paid in November.

The government’s plan is to allocate a budget of approximately R$89 billion for Brazil Aid in 2022. In recent years, the Bolsa Família budget has been close to R$35 billion.

The Ministry of Citizenship states that, as of January 2022, resources are guaranteed to serve almost 18 million families with a minimum benefit of R$400.

The payment of Auxílio Brasil was made possible with the approval of the PEC (proposed amendment to the Constitution) of the Precatório, which postpones the payment of debts of the Union already recognized by the Justice and, thus, frees space in the Budget for promises made by the president.