According to the proposal, the lottery may be operated directly by the city or granted to specialized companies through public bidding in the form of a competition, in accordance with the New Bidding Law (Federal Law No. 14,133/2021). The concession contracts may have a duration of up to 20 years, with the possibility of renewal, according to the public interest.
The Municipal Finance Department will be responsible for regulating, controlling and monitoring the activity, and may enter into agreements with public or private entities to ensure compliance with the rules. The services provided will be subject to the collection of the Service Tax (ISS), with a rate of 3% on gross revenue.
Mayor Guilherme Gonçalves justified the initiative as an innovative alternative to increase the municipality's revenue without burdening the taxpayer, allowing the generation of additional resources that will be applied exclusively to projects and programs aimed at social development and the well-being of the population. However, the proposal faces legal challenges.
On May 29, the Attorney General's Office (AGU) issued a statement to the Federal Supreme Court (STF) reinforcing the thesis that the creation of municipal lotteries has no constitutional support. According to the AGU, it is the responsibility of the Union, through the Prizes and Bets Secretariat of the Ministry of Finance, to monitor the operation of these fixed-odds bets throughout the national territory.
“As seen, there is no constitutional or legal basis to support the operation of lottery and fixed-odds betting by municipalities, nor the accreditation of companies operating the service that are not linked to the Prizes and Bets Secretariat of the Ministry of Finance, since it is the responsibility of the Union, through the aforementioned Secretariat, to monitor the operation of these fixed-odds bets throughout the national territory,” says the AGU.
If approved, Ourinhos could become one of the first municipalities in the region to establish a municipal lottery, seeking greater financial autonomy and the capacity to invest in strategic public services.
The full text of the project can be read here.
Source: GMB
