MIÉ 15 DE MAYO DE 2024 - 07:12hs.
Mixed Committee

Vote of report on lotteries and sports betting PM finally scheduled for today

The vote on the report of Provisional Measure 846/2018, the Lottery MP that includes the permission for the Union to legalize and create the sports betting modality (fixed quota), was postponed to this Wednesday (7) at 19h. The president of the mixed committee responsible, Evandro Roman (PSD-PR), suspended Tuesday’s (6) afternoon session, in the face of doubts expressed by members and senators about the text.

The rapporteur, Senator Flexa Ribeiro (PSDB-PA), convened a meeting in his office at 8am this Wednesday, for committee members to agree on possible changes to the report, in order to speed up the vote. He recalled that the PM is valid until November 28.

Flexa reported that 41 amendments were tabled, of which 12 were used, in whole or in part. Among these amendments, appears the Nro 32 by the author Otávio Leite, which authorizes the Federal Executive Branch to institute lottery modality by fixed quota (sports bets) on the result and events associated with sports competitions of any nature linked to legally organized entities.

The PM of the Lotteries was published in August as a new version of MP 841/2018, published in June and no longer valid. The new text was born out of an articulation of the Ministries of Culture and Sports, after pressures from entities of both sectors, since the previous PM reduced the onlending of lotteries to these areas to increase the resources of the National Public Security Fund FNSP). The government foresees that the Lotteries PM will guarantee the annual transfer of about R$ 1 billion (US$ 270m) for public safety, R$ 630 million (US$ 170m) for sports and R$ 443 (US$ 120m) for culture.

Security and Culture

Flexa Ribeiro said that, during last week, he has tried to meet, as far as possible, the demands of deputies, senators and representatives of entities linked to sports and culture. He added that 41 amendments have been tabled, of which 11 have been used in full or in part.

The Flexa report modifies the percentages established by the PM to be passed on to culture, safety, sports and social entities. Of the funds raised from sports lotteries, Flexa proposes to transfer to the FNSP 11.49% this year and 2% from 2019. The fund will also receive 5% of federal lottery funds. For the National Fund of Culture (FNC), the transfer will be 1% of the resources of sports lotteries. Of the funds from the federal lotteries, the crop will also receive 0.5% from next year.

Sports and social entities

The report also states that the participation of the Ministry of Sports in the collection of sports lotteries will be 10% in 2018, falling to 3.1% from 2019. The quota of the Brazilian Olympic Committee (COB) is set at 1.63%, while the Brazilian Paralympic Committee (CPB) holds 0.96% of the resources of the sports lotteries. According to the report, the percentage allocated to sports lottery prizes is 37.61% in 2018 and rises to 55% from next year.

By PM, which is in force, two social entities must be benefited: annually, the income from two competitions of the Sports Lottery should go to the National Federation of Associations of Parents and Friends of the Exceptional (Fenapaes) and the Red Cross. In the report, Flexa allocates the income of three contests per year to social entities, by including the National Federation of Associations Pestalozzi (Fenapestalozzi) as beneficiary.

Flexa Ribeiro also deals with distribution percentages of the product of the prognostic lottery collection, benefiting areas such as public safety, health and the National Fund for the Rights of Children and Adolescents. The rapporteur also proposes changes to the betting rules associated with horse racing results, including sweepstakes (in which the numbers related to horses are drawn), and suggested the establishment of a lottery mode called fixed quota bettings - which may occur in physical or electronic way.

Education

For the state, district and municipal departments of education, Flexa suggests the transfer of 1.53% of the proceeds from lottery collections. It is estimated that at least R$ 200 million (USD 54m) per year will be earmarked for the benefit of schools that achieve the results proposed by the Ministry of Education.

According to the rapporteur, the transfer to public education will come from reducing the percentage allocated to the costing of the expenses of the operator agent. Caixa Federal's participation in the collection of numerical prognostic contests will increase to 17.6%, "which will continue to be higher than the world average for this type of lottery."

Source: GMB / Agência Senado