Flashback April 28, 1999-2003

Legislators to cut retirement perks[/B]

In yet another casualty of the continuous financial difficulties besetting the Commonwealth, the Legislature is expected to pass measures that would eliminate some retirement benefits for future civil service employees in a bid to reduce the government’s monthly contributions to the Retirement Fund. Lawmakers stressed, however, the removal of the benefits will only affect new employees who will join the government work force after the proposal becomes law. The move comes on the heels of government’s failure since last year to remit its share of the retirement contributions for its nearly 5,000 employees due to the serious cash-flow problems facing the Tenorio administration.

In a move to ease worries of retirees over potential delay in their monthly pension, the government yesterday settled portion of its back contributions to the Northern Marianas Island Retirement Fund and promised to settle the rest under a payment plan. Gov. Pedro P. Tenorio, along with his finance managers, met with Retirement Fund officials and key members of the Legislature to draw up a plan that would reduce the government’s obligation amounting to $21 million. In the meeting, NMIRF received a check worth over $200,000 representing partial payment for the CNMI government’s unpaid contribution, which the administration has failed to settle due to financial woes.

CPA seeks OIA support on protest vs Continental[/B]

The Commonwealth Ports Authority is bringing its protest against Continental Micronesia’s treatment of Guam and Saipan as co-terminals at a higher gear as it seeks backing by the Office of the Insular Affairs. In a letter to Insular Affairs Director Danny Aranza, CPA Board Chair Roman S. Palacios said the Northern Marianas suffered tremendous economic losses due to Continental Micronesia’s decision to abandon direct flights between Saipan and two Japanese cities. At the same time, Ports Authority Executive Director Carlos H. Salas underscored the agency’s opposition on the application of the carrier to renew its authority to operate on Route 171, Segment 9, or between Saipan/Guam and Sapporo/Sendai, Japan.

The Public School System currently spends less than $4,000 to send one child to school, Education Commissioner Rita H. Inos recently disclosed, noting a decline in the education cost per student in the last three years. According to Dr. Inos, this has been due to certain adjustments PSS has had to contend with based on availability of funds. In School Year 1996-97, PSS spent some $4,629 for each student with over 9,954 students to subsidize. The following school year, PSS student enrollment recorded some 9, 246 where average cost per child lowered to $4,500.

Power bill aid for Saipan residents[/B]

Saipan Mayor Juan B. Tudela yesterday announced the availability of funds under the Mayor’s Utility Assistance Program to help qualified residents pay for one month of their overdue power bill. This is a federally funded program available to Saipan residents who are unable to bring their power account current with the Commonwealth Utilities Corporation. Applications can be picked up at the Saipan Mayor’s Office at Afetnas Square in San Antonio beginning Thursday, May 1, 2003. For more information, call 234-6208 or 234-6280 and ask for John Cruz.

The U.S. Department of Education has agreed to release the financial aid money allotted for the Northern Marianas College a little earlier than was scheduled amid sanctions stemming from the college’s failure to submit timely audit reports. NMC financial and administrative services director David Atalig said he recently met with federal authorities to plead for the lifting of the sanction imposed on the college this year, but they objected to it. Instead, Atalig said, the federal agency agreed to release refund money for NMC students a little earlier. The NMC received the Pell Grant financial aid only now, or several weeks away from the spring enrolment last January. Some 530 NMC students are expected to claim the money beginning today.