Government tries to reallocate BRL 130 million to change Auxílio Brasil card and remove Bolsa Família mark

Less than five months before the elections, the Jair Bolsonaro government (PL) is discussing how to obtain funds for the new Auxílio Brasil cards. Most of the 18 million beneficiaries of the social program, considered the flagship of the reelection campaign, receive the money through models with the Bolsa Família brand, associated with the PT.

The search for resources for the cards is prioritized while there are reports of a waiting list in the program. According to a study by the CNM (National Confederation of Municipalities), more than 1 million families are waiting to enter Auxílio Brasil.

Issuing the cards is seen by the government as a strategy to reinforce the brand of the new program among families. Bolsonaro’s campaign identified that many still withdraw funds with the old card, making it difficult to associate payments to the current president. In addition, new beneficiaries have not yet received their copy.

An impasse between the Ministry of Citizenship and Caixa Econômica Federal has made the change difficult. Initially, the department responsible for the program tried to get the bank, which handles the payments, to issue the new cards on its own, in consideration of the contracts that the government already has with the institution.

Caixa, however, pointed out technical problems for this and charges about R$ 18 per card issued.

The Ministry of Citizenship asked the Economy for resources. The request was taken to the Federal Budget Secretariat, which presented it to the JEO (Budget Execution Board, made up of the Economy and Civil House). But, as there was no space in the spending ceiling, a rule that limits government spending, Citizenship chose to seek money within its own budget.

The folder now tries to reallocate internal resources to fund the new model. At the end of last week, the National Secretary for Citizenship Income, Átila Brandão Junior, sent a new letter to the Ministry of Economy questioning the possibility of relocation.

In the document, obtained by Sheet, the secretary asks if it is possible to use R$ 130 million from an item originally intended for “data processing, information and other activities necessary for the operationalization of benefits”. The amount would be enough to pay for the issuance of around 7.14 million chip cards for program beneficiaries.

This means that more than half of the families covered by the program, created by Bolsonaro to be the social brand of his government, can reach October, the month of the elections, with the program card created by the main opponent, Luiz Inácio Lula da Silva (PT ).

Originally, the government’s contract with Caixa to operate Auxílio Brasil –including the issuance of cards– is funded with resources from another action, called “Federal Charges”.

The bank has also signaled in the negotiations that the amount charged for each new issue, already considered high by the ministry, could be even higher for the others depending on the chosen model. Interlocutors in the government say that there is still great difficulty in finding resources to pay for the issuance of other cards.

Furthermore, they see an obstacle in the deadline: even if the funds are obtained, they would have received signals from Caixa that it would be difficult to manufacture all the other millions of cards in a timely manner.

The government’s main technical justification for changing cards is for them to have a chip and password. The change, according to these interlocutors, would include beneficiaries in the banking system, since they could, for example, use the card in a market instead of being limited to withdrawing money.

With the creation of Auxílio Brasil, in 2021, beneficiaries already have more choices when they can move funds through the Caixa Tem app — including the availability of transfers and payments via Pix.

Sought, Caixa said in a note that, in relation to the issuance of cards, “the Ministry of Citizenship is in talks with the bank on the subject”. The folder did not respond to a request for comment.

At a time of high disapproval rate for Bolsonaro among people receiving Auxílio Brasil, the new card is considered a possible asset for the president to improve his image. The diagnosis led the campaign center to establish measures focused on the group of beneficiaries as a priority to reverse the bad numbers.

Such as Sheet As shown, Bolsonaro’s campaign outlined a strategy to intensify the program’s brand in television spots and billboards in the most critical regions.

Bolsonaro’s allies identified that in the Northeast and in Minas Gerais, mainly, the Bolsa Família brand is still very strong.

In addition, members of the PL claim that surveys commissioned by the party also show that a range of those who receive the benefit do not link the payment of R$ 400 to the federal government, but to state and municipal administrations.

Involved in the Bolsonarista campaign say that there is still a portion of beneficiaries who noticed a reduction in the amounts paid by the government, which reached R$ 600 at the time of emergency aid.

Another important measure for this portion of the electorate that is at a standstill and worries allies of the president is the MP (provisional measure) to allow the contracting of payroll loans by beneficiaries of Auxílio Brasil and BPC (Benefício de Prestação Continuada).

The MP was published in the Official Gazette on March 18. In theory, it could already be valid, but it would need an ordinance with regulations – which, so far, has not occurred.

Government officials also credit the impasse between Citizenship and Caixa for the slowness in putting this measure into effect.