SHEFA billed $24K for utilities; dispute in the offing

Board members of the Saipan Higher Education Financial Assistance, SHEFA, expressed surprise yesterday upon being told that their office’s utility billing amounts to $24,679.

The outstanding obligation, based on the billing issued by the Commonwealth Utilities Corp., reflects arrears from 2005 through February 2012.

Board chair Jose Mafnas, surprised by what he said is an unexpected unpaid obligation, made an initial review of the record and expressed himself dissatisfied with the billing statement, hinting that a dispute is in the offing with the utilities company.

According to administrator Henry Hofschneider, prior to SHEFA’s transfer to its current office—a building unit of the Northern Marianas Housing Corp.—the tenant occupying the space had incurred outstanding obligations for both power and water. He did not disclose the figures, citing the need for more clarification.

He recommended to the board that they seek clarification first with both CUC and NMHC on the status of the former tenant prior to offering a dispute with CUC.

Hofschneider said that based on the billing statements, their utility consumption varies “tremendously” every month.

Saipan Tribune learned that SHEFA has only two desktops and three air-conditioning units since it first moved to the housing unit, using the same meter used by the old occupant. SHEFA has only one administrative assistant and is not exempted from the government’s austerity measure, which means there are occasions when the office is also closed for operation.

CUC, based on the billing statement, assigned a Feb. 16 due date for SHEFA to pay the arrears.

Hofschneider refused to comment when asked if the previous mayor’s office failed to pay for the obligations.

During the board’s deliberation, Hofschneider disclosed that based on his inquiry with SHEFA’s former consultants, the office did not receive CUC bills directly because these were automatically issued to and paid for by the Saipan Mayor’s Office.

Hofschneider hinted that, although the present SHEFA board takes responsibility for the prior board’s obligations, the scholarship office cannot afford and has not enough money to pay the $24,000 bill.

This fiscal year, SHEFA was allocated only $100,000 for its operation including utilities and supplies and other needs. Compared to previous administrations, Hofschneider said the utility billing will now be paid for using SHEFA’s operational budget.