The PSD/CDS majority bench has announced it will reject a PS proposal aimed at granting municipalities a share in VAT revenue.
Brício Araújo of the PSD described the legislative decree project as "inopportune, senseless, incoherent, and irresponsible," citing an ongoing study on the financial package to be allocated to municipalities based on transferred responsibilities.
The PSD argues that current law is based on the proportional transfer of all national revenue, while the PS proposal would withdraw revenue from the region. Paulo Cafôfo of the PS maintains the measure is fair for regional municipalities, which he considers "disadvantaged" compared to those on the mainland and the Azores, and that the transferred money "would remain in the region."
