01/07/2016 12h10 - Updated 1/07/2016 12h10

Temer signs law banning political indication for state positions in

The law provides rules for the management of state-owned enterprises.
Photo: reproduction
Photo: reproduction

President Michel Temer in exercise sanctioned the night of Thursday (30), the law passed last week by Congress providing rules for the management of state-owned enterprises. The penalty was published in the early hours of Friday, in the edition of July 1 of “Official Diary of the Union” ten vetoes.

Despite the vetoes, Fear kept points considered controversial, like prohibiting people with partisan activities or who are in political office occupy the state leadership positions. The restriction limits political statements to the state command and was deadlock target during the course of the proposal in Congress.

Among the vetoed items, It is an Article excerpt 13 of law, prohibiting the accumulation of director positions or CEO and board member by the same person, even temporarily.

Known as the State Law, the project sets, among others, criteria for the appointment of directors of these companies; adopting measures such as those provided in the Fiscal Responsibility Act to give greater transparency to accounts; and within ten years for all state joint stock maintain at least 25% capital in the stock market.

With the purpose of “depoliticize” the indications for these companies, Temer came to determine, in the beginning of the month, that appointments in the government were suspended until the project was approved by Congress and sanctioned by the Presidency. In this ocasion, the incumbent president argued that it is necessary to secure the appointment of people “highly qualified technical”.

Usually, political parties making up the government coalition in the House and Senate lead to the ministers of the joint information policy for the so-called positions “second and third echelons” government. Normally, the party that commands a folder usually also define who will lead the organs linked to it.

The text amends the composition of boards of directors and boards of state.

According to the approved text, 25% members of boards of directors must be independent, that is, They may not have ties to the state, or be office holders relatives in the management in the business, as President of the Republic, ministers or secretaries of states and municipalities.

The Chamber had reduced the percentage of 25% for 20%, but the Senate changed.

Besides that, the independent members may not be employees of the company - in a period of three years before the appointment to the board - or are suppliers or state service providers.

Experience to integrate advice

The proposal also sets minimum requirements for the appointment of other members of management boards. Among the requirements, the member must have at least four years of experience in the area of ‚Äč‚Äčoperation of the state-owned company, have a minimum three years experience in management positions and have academic training compatible with the position.

This was one of the points changed by the Chamber which was accepted by the Senate. Initially the senators wanted the term experience in the area of ‚Äč‚Äčoperation of the state-owned company was at least 10 years.

Link with parties and trade unions

The bill prohibits members of such boards have been members of decision-making structures of political parties, as campaign coordinators, the last three years before the appointment to the board.

The rules also apply to whoever is occupying vacancies on the board of state-owned enterprises. This three-year grace had been removed from the text approved in the House, but it resumed in the Senate.

According to the approved text, a political candidate in the last elections should also meet three-year grace before you can take seat on the board of state-owned enterprises.

non-public employees with commissioned positions of public administration also may not be part of the state's board of directors. If the commissioner wants to be part of the board, You need to be removed from the post he has held before joining the board.

In the special committee that examined the project, union members also could not be part of the boards. However, the passage was removed by Senator Tasso Jereissati (PSDB-CE), proposal of rapporteur.

Thereby, union members can be part of the boards, with the exception of union leaders, that while exercising mandate the union may not be members of the councils.

The aim of the measures, second proponents of the project, It is to prevent the executive sectors and political parties interfere in state management, which would prevent the rigging of companies, as well as, the use of state for possible deviations of public money, like those that occurred in Petrobras and are investigated in Operation Lava Jato.

The article also prohibits the accumulation of the state director-president and the chairman of the board of directors.

Transparency of State accounts

The new legislation was created in the same manner as the Fiscal Responsibility Law and aims to give greater transparency to the state of the accounts. Companies should prepare a series of reports - budget execution, scratchs, project execution, etc. - and make them available to the public consultation.

Annually, the state must disclose, the shareholders and society, letter containing financial data of the company's activities. The article also states that companies should establish an evaluation committee of state administrators. This committee will be led by an independent member, no history of ties to the state, the company's board of directors.

outstanding shares in the market

The text also states that, within ten years, all state-owned joint stock must maintain at least 25% of its outstanding shares in the market.

O initial text, prepared by the Joint Committee which reviewed the project, provided that the deadline for compliance would be even shorter, only five years, but the determination was made more flexible in the face of criticism from pro-government.
Before the bill, there was a minimum percentage of shares that should be kept in circulation in the market.

Source: G1

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original = 'summary_large_image' and lang = 'en' 398 | 0 | enabled | cached | 1116 | SELECT translated, source FROM wp_translations WHERE original = 'Temer assina lei que pro√≠be indica√ß√£o de pol√≠ticos para cargos em estatais' and lang = 'en' 399 | 0 | enabled | cached | 1112 | SELECT translated, source FROM wp_translations WHERE original = 'O presidente em exerc√≠cio Michel Temer sancionou na noite da quinta-feira' and lang = 'en' 400 | 0 | enabled | cached | 1180 | SELECT translated, source FROM wp_translations WHERE original = 'a lei aprovada na semana passada pelo Congresso Nacional que prev√™ regras para a gest√£o das empresas estatais' and lang = 'en' 401 | 0.0002 | enabled | not cached | 335 | SELECT translated, source FROM wp_translations WHERE original = 'A san√..' and lang = 'en' 402 | 0.0001 | enabled | cached | 976 | SELECT translated, source FROM wp_translations WHERE original = 'http' and lang = 'en' 403 | 0 | enabled | cached | 997 | SELECT translated, source FROM 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