The Brazilian democratization took place between 1985 and 1988. In 1985, the authoritarian power holders transferred political power to civilians, and in 1988, a new democratic constitution was enacted, thus finalizing the transition. The end of the transition triggered processes of participation in different Brazilian cities, such as São Paulo, Belo Horizonte, Recife, and Rio de Janeiro. However, only in Porto Alegre could the political context in the postdemocratization period generate a process of reverting priorities, that is to say, of inverting the pattern of democratic participation and the pattern of public investment at the urban level. In this article, I show the social conditions of the poor in the city of Porto Alegre in 1985, explain the emergence of participatory budgeting in the city, and show how democracy made a difference in the living conditions of the urban poor in the city of Porto Alegre. In the second part of the article, I analyze the recent expansion of participatory budgeting in Brazil and its recent expansion to midsize cities. In the final part of the article, I show how new participatory institutions are being introduced at the federal level of government. Participation at the local and national levels is making a difference in the living conditions of the Brazilian poor.