Senate Holds Final Vote on Mega-Reform Amidst Compensation Debate

The Senate is currently engaged in the final vote on a significant government reform, often referred to as a "mega-reform." The most recent discussions have centered on a crucial article concerning compensation for municipalities affected by tax exemptions granted to senior citizens.

The core of the debate revolves around how the state will reimburse local governments for the estimated $190 million in revenue they will forgo due to these exemptions. The Executive's proposal outlines a division of these funds: $110 million would be allocated to the Municipal Common Fund, while the remaining $80 million would be distributed directly to individual communes.

However, this proposed formula has created divisions among senators and raised concerns among those whose votes are critical for achieving the required qualified quorum of 26 votes. The outcome of this specific article is seen as pivotal for the advancement of the government's flagship project.

Earlier in the day, senators Matías Walker from the Coquimbo Region and Sergio Gahona from the UDI party reportedly reached an agreement related to this matter, potentially influencing the final vote.