Senate rejects House-passed budget

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Posted on Mar 28 2008
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The Senate rejected yesterday the House-passed appropriation bill to pave the way for new legislation addressing the government’s budget for the current fiscal year.

Six senators held an emergency session Friday afternoon to act on the bill at the insistence of some members of the House of Representatives.

Upper House members present at the session were Senate President Pete P. Reyes, Vice President Felix Mendiola, Fiscal Affairs Committee chairwoman Maria T. Pangelinan, Sen. Paul A. Manglona, Sen. Paterno Hocog, and Sen. Henry San Nicolas.

The Senate previously entertained the budget bill, House Bill 16-51. But no action was taken because the Fiscal Affairs Committee raised concerns about the measure. Instead of voting on the bill, the Senate asked to form a joint panel with the House to sort out disagreements on the bill’s provisions.

But in a meeting between the Senate Fiscal Affairs Committee yesterday, the House Ways and Means Committee pointed out technical problems with the Senate’s proposed approach.

A joint conference committee is formed when the two chambers have passed different versions of a bill. The committee’s task is to negotiate a compromise bill that both houses can accept.

Thus, the House committee noted, a joint committee cannot be formed with the budget bill still officially pending before the Senate.

Reyes said the Senate agreed to reject the bill to get technicality issues out of the way. He said the Senate wanted to eliminate any excuse that might be used for further delaying the long overdue budget.

The first half of FY2008 will be over on Monday, March 31, 2008.

Pangelinan said the House is now looking at an alternative budget bill recently submitted by the Fitial administration.

The Saipan Tribune learned that the latest plan may involve adopting last fiscal year’s budget, with some modifications. It is expected to provide for the 397 employees facing furlough and a reduced retirement contribution rate.

The new bill will be introduced in the House of Representatives early next week.

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