Axel Kicillof will try to maintain a pool strategy of governors against the national government for the withdrawal of special funds from the provinces and the first step will be to coordinate, with other leaders, the rejection of Javier Milei's DNU in Congress.
The objective was exposed in the Buenos Aires Government, hours after the decree that eliminated the Fiscal Strengthening Fund destined for Buenos Aires was signed.
"The resources of the provinces are stolen," the governor accused the President.
It was at the press conference held in the Golden Room.
Pressing due to the quality of the cut: 231,000 million pesos in 2023 and much more than double if the transfers remained: according to an estimate made by the Congressional Budget Office in a report that it released this Monday,
if the Fund for The Province, Kicillof would have received $873,765 million (0.14% of GDP) during the current year.
A calculation that the technical body made based on the fiscal scenario provided by the Ministry of Economy itself.
Kicillof also needs to demonstrate a capacity to respond to the presidential imprint that, apparently, does not allow delays in his plan to adjust public accounts.
This political dynamic determined that, at noon, in the urgent cabinet meeting, the State Attorney, Hernán Gómez, received the governor's instruction
to present a precautionary measure before the Supreme Court of Justice.
He appeals to the same court punished by Kirchnerism, which throughout 2023 promoted the impeachment of its members in the Chamber of Deputies.
In this way, Buenos Aires joins other districts that are litigating with the Executive for the withdrawal of funds allocated in the administration of Alberto Fernández.
Chubut as the central protagonist.
Justice has already ruled in favor of that district for the withdrawal of the Transportation Fund, which subsidizes the activity of passenger groups.
In addition,
presentations for the Educational Fund
that cover 10% of the sector's salaries continue to be processed.
The Buenos Aires Minister of Economy, Pablo López, sent a note a few days ago complaining about both specific contributions to Luis Caputo.
Unanswered.
Now, by decree 192/2024 came the other pruning.
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The governor of the Province of Buenos Aires will appeal to the Supreme Court of Justice to try to stop the cut of the Fiscal Strengthening Fund.
Kicillof had begun to receive the contribution in 2020. He was satisfied with the reduction that President Fernández made on the co-participation of the Autonomous City of Buenos Aires, when he reduced the coefficient of funds that he should receive from 3.5% to 2.32%. CABA.
At that time, the aid, which led to the judicialization of the issue by the then head of Government, Horacio Rodríguez Larreta, had as its objective the payment of salaries of the Provincial Police.
The measure was resolved with part of the force in a state of protest over salaries.
This Monday, Kicillof explained that the 231,000 million were destined for salaries in the sector, although there were other allocations.
The money is "linked to school cafeterias, to the food module to schools."
"They are also depriving us of funds for school cafeterias. It affects the prison spaces that are being built. The health centers that we continue to inaugurate and the schools. It is health, education, security and food," was the argument.
Whatever the case, the Court will be the terminal of all these conflicts.
In the case of Chubut, it is a conflict that the province has with the Nation over a debt, with federal co-participation as a guarantee of payment.
As there was a delay in the installment, Milei ordered the guarantee to be executed.
The issue could be resolved with refinancing mechanisms or issuance of a three-year debt bond.
In a second line resolution instance, of accountants.
However, the confrontation escalates due to the President's need to concentrate political power differentiated from the institutional sphere of Congress and political negotiation.
The governors are reached in this alleged logic.
This is what opponents say, and even management companions until a few days ago, such as Ignacio Torres from Chubut himself.
"We are facing a president who has decided to set up a State that deserts and abandons its most basic obligations and not only subjects the people to a savage adjustment but also steals the resources of the provinces."
Kicillof's words at the conference.
They were there, in the audience of the Golden Room, Máximo Kirchner, president of the PJ;
Senator Eduardo “Wado” De Pedro;
Pablo Moyano (Truckers), Emilio Pérsico (of the Evita Movement) and mayors such as Julio Alak and Mario Secco.
The party turnout represented organic support for Kicillof.
It is an uncertain struggle.
Milei seeks to accumulate critical mass for its economic reorganization measures with the support of its 56% electoral base.
Limited in time.
It will require some intermediate result such as a sustained reduction in inflation.
Kicillof reminded him that he also won with a 20% difference over the second candidate in Buenos Aires.
Like the other leaders, he claims legitimacy.
Is he enough for the open field fight with the president?
“It's not enough,” they admit nearby.
That is why the appeal is to “national unity with all the provinces to seek a solution that does not imply national dissolution
. ”
That has the form of a deed.
It culminated in the first battle with the “break” of the DNU in Congress “which is in force and allows the withdrawal of funds from the provinces.”
“It cannot continue,” Kicillof called.
This Tuesday he will communicate with his peers.
With Jorge Macri the terms of dialogue would be more complex.
Buenos Aires receives almost the point and a half that Fernández took from CABA for the provincial administration.
The Court resolved that the Nation proceed to return part of that “expropriated” amount granted to the governor's administration.
How will favorable measures be articulated that contain such dissimilar interests?
It would be interesting to listen to the two protagonists.
While this judicial tangle is unraveling, Kicillof must address the shortage.
The treasury begins to have a decrease in collection due to a drop in economic activity.
No doors to hit.
The provincial state will no longer receive aid from the National Treasury Contribution.
In 2023 there were 9,474 million pesos.
Or the 17.8 billion it received for works in the same period.
Another 23,933 million for food assistance and the 231 million from the Fiscal Strengthening Fund that have just been eliminated.
All with an extended 2023 Budget. Due to financial uncertainties that do not clear the horizon.
On March 1, at the Opening of the Ordinary Sessions of Parliament, Kicillof would address, for the first time, how to manage in the midst of a desperate shortage of resources.