Government of AM proposes to use resources from the fund intended for small businesses to pay expenses until the end of 2026
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Headquarters of the Government of the State of Amazonas.
Headquarters of the Government of the State of Amazonas.
g1 AM
The Government of Amazonas sent to the State Legislative Assembly (Aleam) a Proposal for Amendment to the Constitution (PEC) that authorizes, on an exceptional and temporary basis, the reallocation of part of the resources from the Fund to Support Micro and Small Businesses and Social Development of the State of Amazonas (FMPES) for the payment of current expenses until the end of 2026.
According to the message sent to state deputies, the measure aims to create a legal instrument to face situations considered extraordinary that could compromise the State's budgetary and financial execution, the continuity of public services and the balance of public accounts.
The proposal, which will still be analyzed and voted on by state deputies at Aleam, amends article 63 of the Transitional Constitutional Provisions Act of the Constitution of Amazonas and provides that FMPES resources intended for financing small and medium-sized companies and cooperatives may be used for current expenses of the state government until December 31, 2026.
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In the justification presented to the Legislature, the government states that the 2026 fiscal scenario is marked by budget restrictions, economic instability, increased pressure on mandatory expenses and the need to adapt expenses to the collection actually made.
The document also cites a reduction in tax revenue recorded in the first four months of this year. According to the Executive, the drop in revenue requires greater caution in financial planning and the adoption of preventive measures to ensure the sustainability of fiscal management.
According to the proposal, the reallocation of resources can only occur "when there is an extraordinary need arising from a relevant fact of an economic, social, technological nature or related to the defense of the State's interests".
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Temporary measure
The government highlights that the authorization will be transitory in nature and will not allow the permanent or automatic use of the fund's resources. The text establishes that the use of the values will depend on the existence of an exceptional situation and prior communication to the Legislative Assembly.
The PEC also provides that relocation carried out within the established conditions will not be considered a crime of responsibility. According to the Executive, the measure seeks to provide legal certainty to the public administration in extraordinary situations, without removing the need to comply with fiscal and budgetary rules and control mechanisms.
Fund will continue with original purpose, says government
In the message sent to parliamentarians, the government states that the FMPES will continue to be an important instrument for strengthening micro, small and medium-sized companies and cooperatives in Amazonas.
However, it argues that, in the face of exceptional and temporary fiscal circumstances, it is legally appropriate to allow part of the resources to be directed to covering current State expenses when the measure is considered necessary to preserve the public interest, fiscal stability and the continuity of government actions.
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