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Pesticide approved, with conditions

To the core: Anvisa decided to uphold the use of pesticide 2,4-D in Brazil. 2,4-Dichlorophenoxyacetic acid was a component of Agent Orange, a chemical weapon used by the United States in the Vietnam war. Currently, it has been used in the control of weeds, particularly in pastures, allegedly in a manner which is not severely dangerous, yet toxic nonetheless. As a result of this toxicity, Anvisa established “measures to mitigate health risks
and changes in the registration as a result of its toxicological re-evaluation.&#8221; The agency sets a series of technical criteria to be followed, including specific time intervals to be followed for the application of 2,4-D in individual plantations.</span></h5> <h5><b>Other important aspects to bear in mind:</b></h5> <p><span style="font-weight: 400;">In the maximum term of six months, companies which sell the pesticide &#8220;must instate or improve programs of education and management to users as a way to spread the safe use of these products.&#8221; They will also have to monitor the result of these programs and &#8220;elaborate annual reports with sales records during the period, the risk mitigation measures carried out and the results obtained, including data of intoxications reported during the period and monitoring of food and water, among other data considered pertinent.&#8221;</span></p> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução RDC nº 284, de 21 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">BANK AND FINANCIAL SYSTEMS</h2> <h4><b>Freezing accounts</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Continuing from a law sanctioned in March on the freezing of assets suspected to be used for terrorism and other crimes, according to deliberations of the UN Security Council, the Central Bank issued a letter with guidelines to be followed by all Brazilian banks and other institutions authorized by the Central Bank. As of June 6, they must carry out measures established by the UN and block the funds of people, companies, and investment funds, even if the person is not the direct account holder. </span></h5> <p><span style="font-weight: 400;">Banks must also alter their internal control systems to fit these new rules and moniter them, without having to wait for correspondence from the Central Bank. In the case of freezing assets of identifying attempts to transfer these funds, banks must immediately report the Central Bank, Ministry of Justice, and the Brazilian money laundering enforcement agency (COAF).</span></p> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Circular nº 3.942, de 21 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">CRIME AND CORRUPTION</h2> <h4 style="text-align: left;"><b>Amnesty for political parties</b></h4> <h5 style="text-align: left;"><b>To the core: </b><span style="font-weight: 400;">Jair Bolsonaro may well have opened the Federal Register this week and found out that, unlike what he said last weekend, he really did sanction a law giving amnesty to political parties with irregularities in their accounting. The new provision states that the civil and criminal liability of parties&#8217; debts falls on the party chairperson responsible for the problems at the time, and not the party itself. Therefore, in the case of irregularities, parties may continue to receive public funds from the political party fund. Another aspect is that, even when accounts are rejected by electoral courts, party chairpersons will not be registered on the government&#8217;s list of delinquent debtors.</span></h5> <h5 style="text-align: left;"><b>Other important aspects to bear in mind:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">Since 2015, at least 5 percent of the resources transferred by the party fund must be invested &#8220;in the creation and maintenance of programs to promote and divulge the political participation of women.&#8221; Now, if the parties use these funds to finance female candidacies (which is different from the obligation provided by law), the parties will be free from punishment. And even if the funds are not used to finance female candidates in the last elections, it will not lead to the party accounts being rejected.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The law also allows parties to define the length of terms for its chairpersons.</span></li> </ul> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Lei nº 13.831, de 17 de maio de 2019</span></a></p> <hr /> <h4><b>Human trafficking</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Almost a year after instating the 3rd National Plan to Combat Human Trafficking, the government created an inter-ministerial group to monitor the progress of the established goals. The group will be made up of representatives of seven ministries, coordinated by the Ministry of Justice. They will meet twice a year to evaluate activities. The plan and the objectives were instated for four years in July last year. The first plan was launched in 2008. Every six months, the group will have to submit progress reports on each defined objective.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.796, de 20 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">DEFENSE AND FOREIGN POLICY</h2> <h4><b>One eye on Africa</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">The government made up a working group comprising the Ministry of Foreign Affairs, Ministry of Defense, and the Navy, to &#8220;monitor, plan, and debate issues related to the Gulf of Guinea.&#8221; The specific objectives are unclear, but the gulf is an important region in Africa, with countries such as Nigeria, Côte d&#8217;Ivoire, and Cameroon. The Brazilian navy already took part in an operation in the area in 2017, to control illegal fishing and drug trafficking. The working group will meet twice a year. Private entities may take part in the meetings.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.800, de 23 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">FOOD SAFETY</h2> <h4><b>Prohibition of aluminum in food</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">With a delay of almost three months, Anvisa incorporated incorporates a Mercosur resolution from last year prohibiting the use of aluminum-based food additives. This is no trivial matter: there are suspicions that these additives provoke neurodegenerative diseases, such as Alzheimer&#8217;s, autoimmune diseases, and breast cancer. Until now, these have been permitted by Anvisa for use in day-to-day products such as salt, gelatin, flans, soluble coffee, and yeast used to make bread, biscuits, and pizza dough. </span></h5> <p><span style="font-weight: 400;">This doesn&#8217;t mean that all of these products contain aluminum, however. These additives have been prohibited, but the question remains over whether products will have a year to adapt to the new rules. Mercosur rules gave until October 1 of this year for this transition period.</span></p> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução RDC nº 285, de 21 de maio de 2019</span></a></p> <hr /> <h4><b>Safety of foods and vegetables</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">More rules on the control of food products. Now, the Ministry of Agriculture has established regulations for the inspection of fruits and vegetables. These inspections will be carried out simply, meaning that they may be held without the need for a &#8220;qualified classifier&#8221; and the examination will be based purely on visual and touch tests. Twelve criteria will be analyzed, among them whether the item is clean, firm, if it has any visible disease, if it has strange smells, if they are not withered, etc. </span></h5> <p><span style="font-weight: 400;">Still, the quantity of items which will effectively be inspected is low. In the case of fruits and vegetables, in a batch of up to one ton, the sample to be verified is just 15 kg. If the quantity reaches 5 tons, the sample will be 21 kg (0.42 percent of the total). Above 5 tons, the minimum sample size is 30 kg. In the case of packaged products, if the batch has between 500 and 1,000 packages, the sample should analyze at least 10 of them (1 percent of the total). There are other exceptions which may make the proportion of inspected fruit and vegetables even smaller.</span></p> <h5><b>Other important aspects to bear in mind:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">In each batch, up to 10 percent of the fruit and vegetables (in units or weight) which do not meet the minimum quality standards will be permitted, as will 3 percent of fruit and vegetables which are &#8220;rotten.&#8221;</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The inspection of the 12 criteria will be held in an almost informal manner. The analysis will be oral, and then a form will be filled out to be signed by the inspector and the owner of the product. Appeals may also be verbal, and the conclusion of the appeal is also oral. In practice, the entire evaluation will be conversation-based.</span></li> </ul> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Instrução Normativa nº 7, de 13 de maio de 2019</span></a></p> <hr /> <h4><b>Tequila Day</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Tequila has become a serious topic in Brazil. As of this week, the name can only be used for Mexican tequila, produced in accordance with that country&#8217;s legislation and by authorized manufacturers. A decree was issued this week to formalize an agreement signed back in 2016, the so-called &#8220;Cachaça-Tequila Agreement.&#8221; According to law, tequila is a drink &#8220;obtained by way of the distillation of wort, prepared directly and exclusively from Agave plants of the Weber Azul variety, hydrolyzed or cooked, and submitted to alcoholic fermentation with yeast, cultivated or otherwise.&#8221; Now, with this requirement for certificates of origin, tequila shots are expected to become more expensive.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.799, de 23 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">HEALTHCARE</h2> <h4><b>New structure of Health</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">More digitization in the execution and planning of health services, and less social participation in establishing public policies. In essence, this is the core of the changes set this week in a decree to alter the structure of the Ministry of Health and the responsibilities of the department&#8217;s internal agencies. The digitization of treatment appears several times in the new set of responsibilities, especially with the creation of the Department of Digital Health. </span></h5> <p><span style="font-weight: 400;">It will be tasked with &#8220;stimulating digital health activities, including teleconsultations, telediagnosis, and tele-education, among others, such as strategies for treatment support in the scope of the SUS.&#8221; While this is already being applied in the private and public service, it is a controversial point among the medical class, with the Federal Medicine Board repealing a rule published this year to regulate distance health care. </span></p> <p><span style="font-weight: 400;">This new department will lead the implementation of the &#8220;National Digital Health and Telemedicine Policy,&#8221; as well as &#8220;encouraging the exchange of knowledge and experiences with public and private entities, the technical-scientific community, and international organizations working with telemedicine and digital health.”</span></p> <hr /> <h5><b>Potential loophole:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">All references to &#8220;social control&#8221; have disappeared in the new structure, indicating that the ministry&#8217;s executive officials will make the sector&#8217;s important decisions. The Department of Support for Participative Management and Social Control, for instance, no longer exists. This sector was tasked with &#8220;supporting initiatives of social movements in the formulation of management policies for the public health system,&#8221; among other responsibilities. None of the department&#8217;s roles have been inherited by other offices, and simply no longer feature in the Ministry of Health. </span></li> </ul> <h5><b>Other important aspects to bear in mind:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">The More Doctors program appears in a disguised form in the new structure, indicating that there will be more profound changes to the rules. It will now be up to the powerful Department of Family Health to &#8220;formulate, implement, and evaluate permanent and sustainable strategies for the training and recruitment of health professionals for primary health care in areas with an increased rate of professional turnover or difficulty in allocating these professionals.” </span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The new rules open the possibility for the adoption of financial incentives for public servants who complete objectives. Among the responsibilities of the Department of Family Health is to establish monitoring and quality assessment mechanisms for primary health care, with a focus on its essential attributes, and inducing the implementation of remuneration mechanisms and performance incentives.”</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The Ministry of Health now sees private hospitals as potential partners. Previously focused on non-profit institutions, the reformed Department of Certification and Articulation with Philanthropic and Private Hospitals will be responsible for &#8220;formulating policies and setting guidelines for articulation and contracting between the Ministry of Health, federative bodies, and private health establishments, either for-profit or non-profit, in the offer of health actions and services in the public health service.&#8221; </span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">In the area of indigenous health, there is a provision to integrate the treatment of this population into the public health system. It is unclear, however, how this integration will take place, and how this will impact the Indigenous Peoples Healthcare Policy (which foresees differentiated treatment to these populations).  </span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">In the field of digitization, electronic patient records will have their use expanded, as the Department of Family Health will be tasked with &#8220;developing and perfecting healthcare information systems, along with the executive department, with an emphasis on the computerization of Basic Health Units and the availability of information for the establishment of electronic health records.” </span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">More strategic use of data also gains steam in this new structure, with a concern for the management of information &#8220;for making decisions&#8221; on actions of the entire ministry and states and municipalities on the public health system.</span></li> </ul> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.795, de 17 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">IMPORTS AND EXPORTS</h2> <h4><b>Government assets at ports</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">The National Agency of Water Transportation (ANTAQ) established new rules to be applied to government property at port terminals all over the country, with the definition of specific procedures for the evaluation of these assets, the incorporation of new assets to the government&#8217;s property, the sale, exchange, donation and return of property to the government at the end of port operating contracts. In immediate terms, within six months, companies working at ports around the country must submit a complete inventory of government assets and the list of returnable items. This deadline may be extended for six months. The inventory must include all details of the property, such as, for example, brand, quantity, time of use, rate of depreciation, residual value, among others.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução Normativa nº 29, de 20 de maio de 2019</span></a></p> <hr /> <h4 style="text-align: left;"><b>Exporting lobby</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">It is already a tradition of Brazil&#8217;s export policy to have direct assistance from the federal government for companies who sell their products to other countries. This government support is conditioned by the Committee of Financing and Guarantee of Exports (Cofig). Previously, decisions were made by a consensus between government agencies represented on the committee, and other federal agencies could take part in meetings, without the right to vote. </span></h5> <p><span style="font-weight: 400;">A new decree has changed these rules. Decisions will be made by a majority vote and private companies and &#8220;international organisms of the economic area&#8221; will also be able to take part, without having the right to vote. In theory, however, these companies and &#8220;organisms&#8221; cannot be present during votes, but only and &#8220;the time of presenting specific issues of interest to the Cofig, related to the institution it is a part of.&#8221;</span></p> <h5><b>Other important aspects to bear in mind:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">The decree includes the Ministry of Defense among the members of the Cofig, which could mean increased attention to exports of military products. </span></li> </ul> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.798, de 22 de maio de 2019</span></a></p> <hr /> <h4 style="text-align: left;"><b>Heavy cargo</b></h4> <p><b>To the core: </b><span style="font-weight: 400;">Specific imported cargo stored in cargo terminals in airports is exempt from automatically paying airport taxes, without needing authorization from the Air Force Command, whenever this cargo is stored in terminals for less than 30 days. Among these types of cargo are health products, such as vaccines, and other chemical products used in this sector, and other specific cargo (including Argentinian newspapers and magazines&#8230;). </span></p> <p><span style="font-weight: 400;">The deadline for automatic dispensation has been reduced to just five days. According to the Civil Aviation Agency, &#8220;exempt cargo makes up over 50% of the total cargo processed in some Infraero terminals.&#8221; Often, this cargo ends up staying throughout the entire 30-day period, &#8220;overloading cargo terminals, and therefore affecting the efficiency of the use of a scarce infrastructure.&#8221; </span></p> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução nº 519, de 23 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">INFRASTRUCTURE AND LOGISTICS</h2> <h4><b>More breaks for truck drivers</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Since at least 2015, the fine applied by the ANTT to truck drivers and transport companies who impeded inspections during cargo transport was BRL 5,000. The same penalty was applied to drivers who prevented access &#8220;to the premises, information, and documents requested by inspectors.&#8221; These fines have been reduced to just BRL 550. The ordinance also removes the obligation of registered cargo vehicles to circulate with a sticker showing they are registered. Furthermore, it is worth remembering that truck drivers now have the right to carry guns, meaning they could impede inspectors in different ways&#8230;</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução nº 5.847, de 21 de maio de 2019</span></a></p> <hr /> <h4 style="text-align: left;"><b>Fiber-optic internet in the Amazon </b></h4> <p><b>To the core: </b><span style="font-weight: 400;">In 2015, the Ministries of Defense, Communications, and Science and Technology created the Connected Amazon project, which involved installing cables underneath Amazonian rivers to allow for digital inclusion and improve military communications, among other aspects. This network of cables will now be called the Vitória Régia Network (Water Lily Network). It will be made up of fiber-optic cables, &#8220;anchoring boxes,&#8221; and other components. Within 90 days, the management committee of the project must draft the operating rules for the Vitória Régio Network, which will be examined by the Ministry of Defense.</span></p> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Portaria Normativa nº 30/GM-MD, de 9 de maio de 2019</span></a></p> <hr /> <h4 style="text-align: left;"><b>Digital transformation</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">The government created the Consultative Board for Digital Transformation, made up of &#8220;renowned specialists and representatives of the scientific community, civil society, and the productive sector.&#8221; This board will be part of the National Digital Transformation System (SinDigital), which manages the so-called Brazilian Strategy for Digital Transformation (E-Digital). Created in March last year, E-Digital is intended to guarantee the &#8220;harmonization of initiatives of the Executive branch linked to the digital environment, with the objective of making use of the potential of digital technologies to promote sustainable and inclusive social and economic development, with innovation, increased competition, productivity and levels of jobs and income in the country.&#8221; This description involves a wide range of actions, in practice, spanning from the expansion of broadband internet and connection of schools, to support for technology startups, the offer of digital public services, and the strengthening of cybersecurity.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.804, de 23 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">MINING AND ENERGY</h2> <h4><b>Petrobras in auctions</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Petrobras officially declared interest in participating in some areas to be auctioned for exploiting of the pre-salt oil fields—one part concerning the transfer of rights surplus, and another in the blocks listed for the Sixth Round of Auctions. The state-owned company exercised its right of first refusal and will take part with 30 percent in the areas of Búzios and Itapu (transfer of rights) and Aram, Norte de Brava, and Sudoeste de Sagitário (Sixth Round). There are other areas scheduled for the auctions, but in these cases, Petrobras may take part in an equal dispute with other oil companies.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução nº 10, de 21 de maio de 2019</span></a><span style="font-weight: 400;"> and </span><a href=""><span style="font-weight: 400;">Resolução nº 11, de 21 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">PHARMACEUTICALS</h2> <h4><b>Control against carcinogenic substance</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Nitrosamines are carcinogenic substances which may be formed in such cases as when sodium nitrate (commonly used as a preservative in meats) reacts with certain bacteria present in the meat. Now, Anvisa has established a protocol to be followed by pharmaceutical companies to eliminate nitrosamines from medications used to treat high blood pressure and heart failure. These companies must evaluate whether reagents, solvents, and other elements permit the formation of nitrosamines, looking to certain impurities in pharmaceutical inputs. If contaminants are found above the established limits, the companies must suspend the entire production chain of the medication (manufacture, distribution, sale, and use), notifying Anvisa within 48 hours.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução RDC nº 283, de 17 de maio de 2019</span><b> </b></a></p> <hr /> <h2 style="text-align: center;">PRIVATIZATIONS</h2> <h4><b>Works for sale</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">This week, the government published the list of works and projects which will either be carried out in partnership with the private sector through the Investment Partnerships Program (PPI) or will be awarded fully to private actors. There are also other interesting elements to the resolution, reported previously but now made official. Another novelty is a specific timetable for some of these actions. First, the forecast privatizations:</span></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">Twenty-two airports, including Curitiba, Manaus, São Luís, Teresina, Palmas, Porto Velho, and Rio Branco. These may be awarded individually or in a block. Auction at the end of 2020.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Sale of equity held by Infraero in the airports of Galeão, Belo Horizonte, Brasília, and Guarulhos. Infraero approval will still be required. The auction is forecast for Q4 2020. This had been recommended in 2017, but at the time it was established that the BNDES should oversee the process. This supervision is now left open.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Sale of government equity in IRB Brasil Resseguros S.A.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Sale of government debentures held in Vale.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Auction of ten sections of highway, across the country. The largest part of the sale will only take place in Q1 2021.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Auction of four fuel transport terminals at the Port of Itaqui.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Auction of a solid bulk cargo (particularly salt and fertilizers) transport terminal at the Port of Santos.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Auction of the Organized Port of São Sebastião, scheduled for Q2 2021.</span></li> </ul> <h5><b>Other important aspects to bear in mind:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">The transposition of the São Francisco River is included in the PPI. A company will be hired both for carrying out studies to conclude the works and for the &#8220;operation and maintenance&#8221; of the transposition. The plan is that both the studies and the operating contract will be awarded before the end of the year.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The textbook example of delays and corruption in Brazilian public works, the Angra 3 nuclear plant project will be carried out via the PPI, with a private partner. The legal and operational model is still to be evaluated, and Eletronuclear will be able to hire independent consultants to carry out this service. The PPI board will have to approve this mode. An inter-ministerial committee was set up and will have 180 days, with fortnightly meetings, to finalize a report to propose the plant&#8217;s legal and operational model to the PPI board. Another detail is that this legal model will have to be submitted to the TCU before the private partner is selected.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Another point of the plan is the hiring of a private partner to carry out studies on the concession of over 4,000 km of federal and state highways in Paraná, and over 7,000 km of federal roads split into 15 lots, spanning 13 states. Among them is the BR-101 Northeast (from Bahia to Rio Grande do Norte). Studies must be delivered in Q3 2020.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Another study to be made in the PPI concerns the Libra Terminal, an area of over 180 sqm of warehouses in the Port of Santos.</span></li> </ul> <p><b>Source:</b><span style="font-weight: 400;"> Resoluções nº </span><a href=""><span style="font-weight: 400;">52</span></a><span style="font-weight: 400;">, </span><a href=""><span style="font-weight: 400;">53</span></a><span style="font-weight: 400;">, </span><a href=""><span style="font-weight: 400;">54</span></a><span style="font-weight: 400;">, </span><a href=""><span style="font-weight: 400;">55</span></a><span style="font-weight: 400;">, </span><a href=""><span style="font-weight: 400;">56</span></a><span style="font-weight: 400;">, </span><a href=""><span style="font-weight: 400;">57</span></a><span style="font-weight: 400;">, </span><a href=""><span style="font-weight: 400;">58</span></a><span style="font-weight: 400;"> e </span><a href=""><span style="font-weight: 400;">59</span></a><span style="font-weight: 400;">, de 8 de maio de 2019</span></p> <hr /> <h4><b>Privatizations</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Another measure from the government to stimulate privatizations across Brazil, in states and municipalities. The government will not analyze the ability to pay of state and municipal governments for the concession of federal guarantees for loans and financing with the IMF, World Bank, and other multilateral credit organizations, as long as these operations are aimed at &#8220;supporting privatization processes&#8221; where the revenues from sales will be used to pay for pre-existing debts, or for the &#8220;restructuring and recomposition of the principal.&#8221; The requirement of proving the ability to pay is common practice for the government, and it involves a combined analysis of debt, savings, and liquidity. The same conditions will also be granted for operations with these international organizations which are aimed at improving management (regarding the administration of revenue and fiscal, financial and asset management).</span></h5> <h5><b>Other important aspects to bear in mind:</b></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">Among the minimum requirements to obtain federal guarantees for external credit operations are, beyond the ability to pay for states and municipals classed as level A and B (on a scale from A to D), the submission of counter guarantees to the federal government at a level considered technically sufficient, the approval of the effective cost of the credit operation, and the compliance with potential fiscal adjustment programs and debt renegotiation agreements.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The government will also waive the need to approve the effective cost of credit which is aimed at restructuring the principal debt amount previously guaranteed by the federal government.</span></li> </ul> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Resolução nº 5, de 23 de maio de 2019</span><b> </b></a></p> <hr /> <h2 style="text-align: center;">PUBLIC ADMINISTRATION</h2> <h4><b>Control on cultural projects</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">The Department of Management of Funds and Transfers of the Ministry of Citizenship now has the power to decide on the approval of accounts in general covenants (with other federal bodies or NGOs), bills to encourage sporting activity, culture, and the Rouanet Law.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Portaria nº 942, de 17 de maio de 2019</span></a></p> <hr /> <h4 style="text-align: left;"><b>Control of contracts</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">In the Ministry of Women, Family, and Human Rights, any contract worth more than BRL 2 million must now, before being signed, be analyzed by the Special Department of Internal Control. Initially, this analysis was only carried out by the ministry&#8217;s legal department. However, the internal control evaluation must be strictly technical, without going into the merits of formal legal matters, which are analyzed by the legal department. At the start of her term, Minister Damares Alves said she would be more rigorous with the department&#8217;s contracts. This is the first measure taken to this end.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Portaria nº 1.075, de 22 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">PUBLIC SECURITY</h2> <h4><b>The Wild West continues</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">Jair Bolsonaro backtracked on some points of his gun decree, foreseeing problems in Congress and the Judiciary branch. While some controversial points were removed, others were included. Let&#8217;s begin with the part not included in government propaganda:</span></h5> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">The new decree increases the number of professionals who may obtain carry permits, including port guards. It also leaves space for the Federal Police to authorize carry permits for other professionals involved in risky activities not included in the decree. The analysis will be subjective, due to a lack of regulation. Would a door attendant in a luxury apartment building be considered a dangerous occupation? A bank manager? A bus driver? An Uber driver?</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">While the decree upholds carry licenses for residents of rural areas, it has now been established—in something of an anti-landless movement amendment—that the rural property where the person resides must be the result of &#8220;fair possession,&#8221; classified by law as that which is &#8220;not violent, clandestine or precarious.&#8221; In other words, the person must be lawfully living on the land.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The new decree establishes an acquisition limit of guns for collectors, hunters, and recreational shooters. The latter may own 30 guns, hunters may own 15, and collectors can have up to 5 firearms of each model. Still, the Federal Police may authorize increasing the number of guns above these limits.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Members of police forces, the armed forces, the Brazilian Intelligence Agency (Abin), and correctional officers may have up to five weapons of restricted use. No limits were established for municipal guards, perhaps due to a wording error. Regardless, the Army may authorize increasing the number of guns above these limits.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Municipal guards will be able to attest to their own technical capacity and mental aptitude, a privilege previously restricted to other areas of public security. </span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Hunters and shooters may acquire ammunition above the limit of 5,000 per year for each firearm, by way of a request to be analyzed by Army commanders. In return, the guns which make up collections may not be considered for the acquisition of ammunition. In other words, purchasing ammunition for these firearms will not be permitted.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Members of the Armed Forces will be authorized to import guns, ammunition, accessories, and other controlled products.</span></li> </ul> <p><strong>Now, to the new restrictions:</strong></p> <ul> <li style="font-weight: 400;"><span style="font-weight: 400;">Carry permits now no longer include rifles. This is because these licenses will only apply to handguns. There is an exception for hunters registered with the Army.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">If someone with a carry permit is caught armed while under the influence of alcohol or drugs, he/she will lose the license. If the person is found using the gun in an ostensive manner, the firearm will be seized and the carry permit will be suspended for a year. To reobtain their carry license after this ban, the person must once again prove their technical capacity and mental aptitude. If the person is caught a second time using the gun ostensibly, they will lose their carry license indefinitely.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">License renewals have become stricter. Now, applicants must prove they are in gainful employment, as well as attesting to their technical capacity and psychological aptitude. Previously, this was not required for renewals.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">Shooting practice is now permitted only for those over 14, with authorization from parents or guardians. Previously, anyone under 18 would be allowed to practice shooting with the permission of only one parent or guardian.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The new decree completely removes the article which opened loopholes for people to carry guns on flights, which caused concern among airlines, particularly those from abroad.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">In the case of rural residents, carry licenses will only be allowed within a specific territory, to be defined by the officials who grant the permit.</span></li> <li style="font-weight: 400;"><span style="font-weight: 400;">The new decree is more specific about restricted ammunition and also lists &#8220;forbidden&#8221; forms of ammunition. In this case, incendiary and chemical ammo is now prohibited.</span></li> </ul> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Decreto nº 9.797, de 21 de maio de 2019</span></a></p> <hr /> <h2 style="text-align: center;">TOURISM</h2> <h4><b>Tourism on the coast</b></h4> <h5><b>To the core: </b><span style="font-weight: 400;">In another step to facilitate the expansion of tourism in the coastal regions of the country, the Department of Coordination and Governance of Government Assets will now have the power to decide on the sale, concession or transfer (even to foreigners) of government land and property  on borders or within 100 meters from the coast, and around military forts.</span></h5> <p><b>Source:</b> <a href=""><span style="font-weight: 400;">Portaria nº 225, de 16 de maio de 2019 </span></a></p> <p>

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