President José Antonio Kast will introduce the "National Reconstruction Law"—an omnibus bill—this Tuesday during a ruling coalition summit at Cerro Castillo Palace in Viña del Mar. The proposal, which will be submitted as a single, unified package, includes approximately 40 measures focused on post-fire reconstruction, economic revitalization, fiscal discipline, and public safety.
The administration is working to rally support from its coalition partners to ensure the bill's passage. To this end, Finance Minister Jorge Quiroz met with ruling party lawmakers on Monday to lay the groundwork ahead of the formal introduction of the initiative.
Internal Tensions and Opposition Criticism
Despite coordination efforts, the government is facing resistance from both the opposition and within its own coalition. Senator Paulina Vodanverso (PS) and Representative Marcos Barraza (PC) criticized the lack of dialogue and demanded transparency regarding the law's impact, noting that while the bill reduces corporate tax from 27% to 23%, it could also lead to higher fuel prices.
Minister Quiroz dismissed these criticisms, arguing that the tax cut should not be "caricatured" as a benefit exclusively for high-income sectors. Meanwhile, relations with the left remain strained following the cancellation of a meeting between Minister José García Ruminot and the Socialist Party due to scheduling conflicts.
Even within the ruling coalition, there are differing views on the package's contents. Speaker of the House Jorge Alessandri (UDI) stated that the proposal lacks measures providing immediate relief to the middle class. Similarly, Representative Ximena Ossandón (RN) suggested splitting the bill into smaller parts to facilitate its passage through Congress.
The bill's success will hinge on Kast's ability to secure votes from strategic groups such as the Libertarian National Party and the People's Party (PDG). PNL leader Johannes Kaiser expressed his willingness to engage in dialogue, noting that he agrees with the administration's general guidelines. The PDG, however, has proposed conditions such as removing VAT from medicines and diapers.
The government will hold a national broadcast this Wednesday at 9:00 PM to formally detail the full scope of the reconstruction initiative.