FPM: Union transfers more than 4 billion to municipalities, this Monday (30)

According to public budget specialist, Cesar Lima, this upward trend indicates that the scenario has improved in relation to 2023, which contributes to the increase in the amount transferred to municipalities.

“We have a great result, 70% higher than in the middle ten years of this month. So, we have confirmation that this year will be much better in terms of resources transferred. Now, let’s wait until this month closes to make an overview of the fifth two months of the year”, he points out.

Cesar Lima also explains that there is a limit on the amount that each municipality can receive from the FPM. This ceiling is calculated by a percentage coefficient that varies according to several factors.

“The limit is that coefficient given by several factors, between per capita income, HDI, among others. For some municipalities, the FPM is practically the only revenue the municipality has, apart from some other small things, such as IPTU. Due to its low economic dynamism, it practically needs and survives on FPM”, he highlights.

Among the capitals that will receive the highest amounts this Monday are Fortaleza (CE), with R$40,350,662.26; Salvador (BA), with 36,315,596.03; and Manaus (AM) and Recife (PE), with 25,420,913.53, each.

Among the states, the one that will receive the largest portion is São Paulo, with a total of R$568,814,689.65, which will be divided between municipalities such as Taubaté, Sorocaba and São José do Rio Preto, for example. Minas Gerais appears next, with an amount of R$ 565,727,727.30, which will be allocated to cities such as Sete Lagoas, Teófilo Otoni and Uberlândia.

See the values ​​transferred to your municipality in this ten-year period on the map:

Blocked municipalities

Until September 26th, 13 municipalities were blocked from receiving FPM amounts. The list appears in the Federal Government’s Integrated Financial Administration System (Siafi). Check out the list:

• BELA CRUZ (CE)
• PENAFORTE (CE)
• ITAUÇU (GO)
• ITINGA DO MARANHÃO (MA)
• VILA NOVA DOS MARTÍRIOS (MA)
• HIGH TASTINGS OF NORWAY (MG)
• JEQUERI (MG)
• TAPIRA (MG)
• CANARANA (MT)
• CAPTAIN OF CAMPOS (PI)
• MONTE ALEGRE DO PIAUI (PI)
• GUARAQUEÇABA (PR)
• CABO FRIO (RJ)

What is FPM

FPM is considered the main source of revenue for approximately 80% of Brazilian municipalities. This is a transfer provided for in the Federal Constitution, corresponding to 22.5% of what the Union collects from Income Tax (IR) and Tax on Industrialized Products (IPI).

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The amount received by municipalities varies according to the number of inhabitants and, each year, is updated based on data released by the Brazilian Institute of Geography and Statistics (IBGE).

Payments are made on the 10th, 20th and 30th of each month. If the date falls on a weekend or holiday, the transfer is made on the first business day before. Normally, the amounts are used to pay employee payroll, basic municipal expenses, suppliers and — when there is any resource left over — it is used for investment in infrastructure.