Tatiana Coronel, the acting mayor of Guayaquil, Ecuador, has declared her intention to file an unconstitutionality lawsuit against a new law that reforms the Código Orgánico de Organización Territorial, Autonomía y Descentralización (Cootad). This law, recently passed by the National Assembly with 77 votes, mandates that decentralized autonomous governments allocate 70% of their budgets to public works and 30% to current expenditures. Coronel argues that this regulation undermines the autonomy of municipalities, labeling the reform as 'perverse.'

The discussion on the lawsuit emerged during a city council session where the need to address the impacts of the law on local governance was a priority. In that session, the council passed a resolution rejecting the reform, emphasizing that it disrupts the financial autonomy of decentralized autonomous governments (GADs). The council's stance reflects wider concerns among city leaders about maintaining independence in budgetary decisions and government operations.

The upcoming legal challenge by Coronel and the city council highlights the ongoing tension between local and national authorities in Ecuador, as municipalities express alarm over legislative moves perceived to infringe upon their ability to govern and allocate resources according to their specific needs. This incident may spark further legal regimens and debates regarding the balance of power between local and central governments in Ecuador, shaping future policymaking.