Public Consortia are based on voluntary cooperation between Federation entities (federal, state and municipal levels) for joint action on common interest matters, as regulated by the Law of Public Consortia (LCP on its Portuguese acronym). They are present in different sectors such as health, transport, regional development, tourism, sanitation, solid waste, among others.
Horizontal: Same sphere of government (municipality-municipality or state-state)
Vertical: different federal entities (municipality-state or municipality-state-Union).
Steps defined by law LCP5
1) Protocol of Intentions (initial document, published on the official paper, defines purpose and area performance)
2) Ratification of the Protocol of Intentions (made by Law in the Legislative Houses of each federative entity-federal state or municipal)
3) Notice of General Meeting (Sets Regulations, all decisions are taken).
Objectives for the SWM
For SWM can act to develop Integrated Plans, in the provision of regular collection services, implement composting and recyclable units, build and operate sanitary landfills for final disposal, share tools and equipment, carry out exchange of experience and information, among others.
In addition, the Public Consortia can have multiple ends, like meet different objectives or sectors in the same contract. In this case, the Consortium can provide any type of service that is of interest to the municipalities in other areas of public policy such as education, health, security, etc., as a Consortium for SWM that also has the objective of health issues and tourism or a Consortium of Water Resources, which also includes in its objectives the SWM.
Types of provision of SWM services
May receive ownership of the services provided (directly) or as a contracting entity (delegate), both under contract:
§ Concession or Public-Private Partnership (PPP)
§ Sanitation Company of the State
§ Consortium itself-Program Contract (each municipality conducts a program contract with the Public Consortia)
Ways of obtaining revenue
1) In carrying out the provision of services:
§ Program Contract-performed by each consortium member when the Consortia itself provides the services to members;
§ Operation Contract for provision of services-carried out with entities of not Consortium members; and
§ Charging and collection fees- for the provision of services;
2) Regardless of the provision of services:
§ Apportionment Contract-compulsory form of budget funds transfer of each member of the Consortia for the maintenance of its infrastructure. The funds cannot be used for general expenses; and
§ Agreements or transfer contract or transfer fund to fund-transfers of funds carried out by members of the Federation that are not consortium members (examples of this Government Funds and Programs will be explain in the next section).