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Limiting the budget freeze is not an easy topic, says TCU president

According to Bruno Dantas, there is a risk that the limit on this year’s expense contingency could violate the Fiscal Responsibility Act; The Public Prosecutor can be heard

New York – The president of Federal Audit Office (TCU), Bruno Dantasstated that the government’s proposal Lula place a limit on the contingency (preventive block) of expenses in Balance of 2024 “is not an easy thing”. According to him, the public ministry can be heard on the topic.

The technical area of ​​the TCU warned, in an opinion, of the risk that the limit on the contingency of expenses this year violates the Fiscal Responsibility Act (LRF) and the law on crimes against public finances. The analysis was carried out in response to a Department of Planning consultation in January. The request came from the minister herself, Simone Tebet, according to Dantas.

The Ministry of Planning questioned the TCU whether the device included in the Budget Guidelines Law (LDO) of 2024, which determines a maximum contingency value of R$25.9 billion in expenditure, could violate any fiscal rules.

He said the topic had been assessed by three auditors, a requirement of TCU governance, and that they had presented “different opinions” on the topic, which shows how controversial it is. “There is such a big controversy that the three auditors, in three different instances, expressed three different opinions, with slight differences, but distinct, which shows that this is not an easy issue,” Dantas told Broadcast and CNN, in a pass through New York.



For this reason, according to Dantas, the specialized audit unit of the TCU proposed that the Public Prosecutor be heard on the question posed by the Ministry of Planning to give a fourth opinion on the matter. According to him, such a step is “uncommon” and only afterwards will the issue be analyzed by the rapporteur of the case, the minister Jhonatan de Jesus.

“I don’t know what the plenary will say. The plenary is the only pronouncement of the TCU,” Dantas said, asking whether the TCU will follow the vision of the technical area, which highlighted the risk of violating the budget freeze limit.

“The auditors have an opinion. The Prosecutor’s Office has an opinion. But the only person who decides on behalf of the TCU is the plenary. Not even the speaker alone decides. What we will have is the vote of the speaker which will be discussed , voted and decided in the plenary session”, added the TCU president.

It is not possible to measure the duration of the debate on the topic, he said. According to him, there are still procedural steps to be taken, such as the rapporteur’s decision whether to forward the matter to the Public Prosecutor’s Office so that it can rule on the matter. In case of activation, the agency has up to 15 days to respond. Subsequently, the rapporteur analyzes all the opinions, for the time he deems necessary, and finally presents his interpretation in plenary.

Source: Terra

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