The governor of Rio de Janeiro, Cláudio Castro (PL), said this Wednesday (9) that most of the differences with the Ministry of Economy for the state’s entry into the fiscal recovery regime are resolved and only a few points remain in dispute. discussion.
According to him, aspects related to an additional period of service for servers (called a triennium) and the spending cap for the state are still being debated – just two of more than 30 initial points of divergence.
“After a lot of negotiation, a lot of conversation, the state of Rio gave up some points and the Ministry of Economy understood some other points”, he said after the meeting with Minister Paulo Guedes (Economy).
One of the main differences concerned the forecast of salary readjustments for public servants in the coming years. According to the governor, the increases were not banned in the new version – but Rio will have to re-discuss annually with the federal government the possibility of raising salaries.
“Rio de Janeiro had made the annual readjustment mandatory and then they [Economia] We were asked to make it not mandatory, but optional, that we could, year by year and according to the recipe, re-discuss. And Rio de Janeiro accepted that point [de negociar] year by year according to the collection”, he said.
Castro stated that, this year, the readjustments will be granted. “This year, nothing will be changed, it is given and ready. As it is the contract between a debtor and a creditor, they will sit down annually to understand what can be done”, he said.
According to the governor, the teams from the State Attorney’s Office and the Attorney General’s Office of the National Treasury will also discuss the possibility of defining a mediator for discussions between the federal and state governments. His expectation is that in 15 days the state can enter the tax recovery regime, on the eve of the Carnival holiday.
The meetings took place after the National Treasury and PFGN took a stand in January against the fiscal recovery plan presented by Rio de Janeiro – as anticipated by the leaf in season.
The tax recovery regime is a relief program designed for indebted states. Rio de Janeiro was the first to enter, in 2017 (in the Temer government), and is now seeking a new membership.
Upon joining the regime, the state has immediate relief in the payment of debts with the Union and other creditors, in exchange for the implementation of fiscal adjustment measures.
The state government is committed to items such as concessions, privatizations and other actions to improve collection and reduce expenses. At the same time, it needs to respect the prohibitions on creating new positions, granting raises and raising expenses.
At the beginning of the year, the Treasury criticized the Rio de Janeiro plan because the state foresaw the granting of salary readjustments in all years of the recovery regime. This year alone, personnel expenses would rise 17.1% in 2022, with the application of retroactive increases.
The National Treasury classified the plan at the beginning of the year as precarious and based on “fragile technical assumptions”. The document warned of the high risk that the execution of the project will not result in the expected recovery of the state’s finances.
In January, after the economic team took a stand against the accession, the governor negotiated with Guedes a period of 15 days for a redesign. Alignment is necessary because, without the support of the technicians, Guedes cannot recommend to President Jair Bolsonaro (PL) the approval of the rescue plan.
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