The Campinas City Council has finalized the approval of the Municipal Plan for Dejudicialization of Active Debt Collections, known as PMDC-Concilia Campinas. This initiative, endorsed by the local executive, seeks to alleviate the burden on the judiciary by reducing the number of tax enforcement lawsuits through the establishment of administrative and consensual mechanisms for collecting both tax and non-tax debts, including property taxes (IPTU) and service taxes (ISS). The projected increase in municipal revenue is estimated at R$ 120 million annually.

Key features of the approved proposal include emphasizing extrajudicial collection methods, which prioritize administrative collections for at least one year before resorting to judicial action. This strategy involves various measures such as notifications, extrajudicial protests, and community reconciliation efforts aimed at recovering debts without legal action. By steering clear of automatic judicial filings, the city hopes to streamline processes and enhance efficiency in managing outstanding debts.

The approval of this project reflects a growing trend among local governments to seek innovative solutions for debt recovery without placing additional strain on the judicial system. If successful, this initiative could serve as a model for other municipalities facing similar challenges in managing tax collections and could significantly improve the financial health of the Campinas city administration.