# Brazilian public funding of music events under scrutiny > Live situation record from CLSTR: https://clstr.news/situations/bahia-so-joo-festival-fee-caps > Updated: 2026-08-07T00:00:00.000Z. Sources: 38. Developments: 14. In June 2026 the Bahia State Secretariat of Culture adopted a fee‑cap formula for São João festivals, tying artist payments to 2025 averages and publishing contracts on a new transparency panel. The move prompted several high‑profile disputes: forró singer Flávio José withdrew after his fee was cut by R$45,000, and municipalities substituted local acts such as Mestrinho and Santana. The Bahia Public Prosecutor’s Office (MP‑BA) also highlighted outlier payments, notably a R$1.5 million fee for Gusttavo Lima, and urged municipalities to lower contracts that exceed reference parameters by more than 10 %. MP‑BA’s Transparency Panel recorded over R$615 million allocated to 4,393 performances across 410 municipalities for the Junine (São João) celebrations, while a separate audit flagged R$784 k for a Vaquejada contract and sought court suspension. A Bahia court later lifted an injunction that had limited contracts for the São João de Quijingue festival, preserving local economic benefits. Parallel investigations revealed a concentration of public music spending on a small group of artists and production companies linked to agribusiness and betting firms, with the top three earners receiving more than R$390 million combined. The same reports noted a modest decline in Bahia’s festival spending to R$659 million after fee‑cap recommendations. Legislative action continued: Minas Gerais enacted a law capping state‑funded artist fees at R$700,000 (R$500,000 for municipal funds) and imposing transparency and local‑artist participation rules. Pernambuco disclosed R$310 million spent on June festivals, underscoring a nationwide push for tighter oversight of cultural expenditures. ## Timeline ### 2026-08-07: Brazil curbs public spending on artist fees in Minas Gerais, Pernambuco Brazil's Minas Gerais limits public artist fees to R$700k (state) and R$500k (municipal), while Pernambuco spent over R$310 million on June festivals, hiring 3,300 artists. 4 sources. https://clstr.news/cluster/brazil-curbs-public-spending-on-artist-fees-in-minas-gerais-pernambuco ### 2026-07-19: Brazilian states legislate caps on public spending for artistic performances Minas Gerais approved a bill capping public art fees at R$700k (state) and R$500k (municipal) with transparency rules, while Bahia's draft law seeks similar hiring guidelines and cost disclosures for publicly‑s 3 sources. https://clstr.news/cluster/brazilian-states-legislate-caps-on-public-spending-for-artistic-performances ### 2026-07-14: Minas Gerais Sets R$700,000 Cap on Publicly Funded Artist Fees Minas Gerais lawmakers approved a bill capping state‑funded artist fees at R$700,000 per show, with lower limits for municipal events, transparency rules and possible higher caps for major cultural celebrations 3 sources. https://clstr.news/cluster/minas-gerais-sets-r700000-cap-on-publicly-funded-artist-fees ### 2026-07-14: Brazilian municipalities under scrutiny for multimillion‑real‑R$ public contracts to music acts São Paulo paid R$ 2.3 million to four cover bands amid transparency concerns, while a nationwide probe shows over R$ 5 billion funneled to artists—especially agribusiness‑linked performers—without proper bids. 3 sources. https://clstr.news/cluster/brazilian-municipalities-under-scrutiny-for-multimillionrealr-public-contracts-to-music-acts ### 2026-07-10: Brazil scrutinizes public funds for music festivals and artist contracts Brazilian reports reveal concentrated public spending on a few musicians tied to agribusiness, politics and betting, while Bahia cuts São João festival costs after prosecutor guidance. 3 sources. https://clstr.news/cluster/brazil-scrutinizes-public-funds-for-music-festivals-and-artist-contracts ### 2026-07-09: Brazil's Culture Minister Margareth Menezes Investigated Over Alleged Rouanet Law Misuse Brazil's Culture Minister Margareth Menezes faces a federal probe over a suspected R$ 290k Rouanet Law payment for a 2026 Salvador carnival show; the ministry denies any misuse. 3 sources. https://clstr.news/cluster/brazil-mpf-probes-alleged-rouanet-law-misuse-in-margareth-menezes-carnival-performance ### 2026-06-21: Bahia invests over R$150 million in power upgrades for São João festivals Neoenergia Coelba invests >R$150 M in electricity upgrades for Bahia’s São João festivals; Amargosa expects up to 100 k daily visitors and R$50 M economic impact; Salvador releases full festival programme with 3 sources. https://clstr.news/cluster/bahia-invests-over-r150-million-in-power-upgrades-for-so-joo-festivals ### 2026-06-15: Bahia allocates over R$615 million for São João concerts amid massive festival crowds Bahia's São João festivals see a sold‑out João Gomes concert in Salvador and a state‑wide commitment of over R$615 million to artist fees for 2026, covering thousands of performances across most municipalities. 5 sources. https://clstr.news/cluster/bahia-allocates-over-r615-million-for-so-joo-concerts-amid-massive-festival-crowds ### 2026-06-14: Bahia Court Lifts Ban on São João de Quijingue Festival Performers Bahia's top court suspended a ban on festival performers, restoring contracts for São João de Quijingue 2026 and safeguarding the town's cultural and economic benefits. 2 sources. https://clstr.news/cluster/bahia-court-lifts-ban-on-so-joo-de-quijingue-festival-performers ### 2026-06-13: Bahia Public Ministry reports over R$615 million spent on Junine festival attractions Bahia’s Public Ministry reports over R$615 million spent on Junine attractions, questions R$3 million in contracts, and notes cultural anti‑racism events in Salvador. 9 sources. https://clstr.news/cluster/so-desidrio-renegotiates-festival-contracts-after-mp-ba-recommendation ### 2026-06-11: Bahia replaces Flavio José with Mestrinho and Santana for June São João festivals Flávio José cancelled his Bahia shows over fee cuts; Bahia cities replaced him with Mestrinho (Vitória da Conquista, June 24) and Santana (Feira de Santana, June 27) to keep São João festivals alive. 2 sources. https://clstr.news/cluster/bahia-replaces-flavio-jos-with-mestrinho-and-santana-for-june-so-joo-festivals ### 2026-06-11: Bahia's São João Festival Faces Public Scrutiny Over High Artist Fees Bahia's prosecutor urges municipalities to cut soaring artist fees for the 2026 São João festival, spotlighting a R$ 1.5 million payment to Gusttavo Lima and criticism from singer Del Feliz. 2 sources. https://clstr.news/cluster/bahia-mp-seeks-cuts-to-record-r15-million-cache-for-singer-gusttavo-lima-at-so-joo ### 2026-06-03: Flávio José cancels São João shows in Bahia after MP-BA cuts fee Flávio José will skip all São João performances in Bahia after the MP‑BA ordered a fee cut of about R$45 k, prompting cancellations of up to 15 shows and sparking municipal disputes. 5 sources. https://clstr.news/cluster/flavio-jos-cancels-bahia-so-joo-shows-over-fee-dispute ### 2026-05-25: Bahia sets caps on artist fees for São João festivals Bahia's culture secretary backs a fee‑cap recommendation for São João festivals, and MP‑BA signs a deal with 22 artists to apply the cap in 2026, aiming to save about R$ 5 million and increase transparency. 3 sources. https://clstr.news/cluster/bahia-sets-caps-on-artist-fees-for-so-joo-festivals --- Cite as: Brazilian public funding of music events under scrutiny. CLSTR, https://clstr.news/situations/bahia-so-joo-festival-fee-caps