Senate rejects Fitial appointees to PUC, MPLT

Gov. Benigno R. Fitial may have been paying for his controversial remarks calling Rota and Tinian senators “stupid” over the defeat of a Saipan casino bill as the Senate rejected yesterday the governor’s nominees to the Commonwealth Public Utilities Commission and the Marianas Public Land Trust.

A nominee to the NMI Retirement Fund could face the same fate. The Senate earlier rejected another MPLT board nominee.

By a vote of 4-3, the Senate rejected yesterday the reappointment of Viola Alepuyo to serve another four-year term on CPUC.

Even though the House of Representatives is likely to confirm Alepuyo to CPUC, her reappointment won’t go through because the consent of both houses of the Legislature is needed, officials said yesterday.

Senators also rejected by a vote of 4-2, with one abstention, the reappointment of Gregoria Fitial-Omar to the MPLT board of trustees. Fitial-Omar is the governor’s younger sister.

Senators also debated at length the re-appointment of Sixto Igisomar to the Fund, but ended up not acting on his nomination until the Senate Committee on Executive Appointments and Government Investigations completes its report.

The senators who rejected Alepuyo’s reappointment were Sen. Frank Cruz (R-Tinian), Sen. Jovita Taimanao (Ind-Rota), Sen. Henry San Nicolas (Cov-Tinian), and Senate President Paul Manglona (Ind-Rota).

Senate Vice President Jude Hofschneider (R-Tinian), floor leader Pete Reyes (R-Saipan) and Sen. Ralph Torres (R-Saipan), supported Alepuyo’s reappointment.

Sen. Luis Crisostimo (Ind-Saipan) and Sen. Juan Ayuyu (Ind-Rota) were absent. They were both not feeling well.The four senators who rejected Fitial-Omar’s reappointment were Cruz, Hofschneider, Taimanao, and Manglona.

Torres and Reyes supported her reappointment, while San Nicolas abstained.

Reyes repeatedly apologized—on behalf of the governor—to Rota and Tinian senators and asked that they confirm the nominees to CPUC and MPLT, saying these are critical boards that need sufficient number of members.

Reyes also offered to kneel down in front of the senators if that would make them confirm the nominees. Most of the senators voted to reject the nominees.

Press secretary Angel Demapan, when asked for comment, said the governor finds the Senate’s rejection “very disappointing, but certainly not unexpected.”

“The administration strives to nominate individuals who are highly qualified and armed with the expertise that is needed to support the functions of the CNMI’s boards and commissions. The rejection of Ms. Alepuyo does not benefit our community in any way. Rather, it will just prolong the standstill of the CPUC until such time that members are confirmed to serve and carry out its functions and duties,” Demapan said.

Lt. Gov. Eloy S. Inos, when he was acting governor, nominated two others to PUC on March 14. These nominees are Joseph C. Guerrero to represent Saipan and Zenie P. Mafnas to represent Tinian.

The Senate, meanwhile, approved yesterday by a vote of 7-0 the reappointment of Adelina Roberto to serve on the Fund board, even though the EAGI panel held a public hearing on Igisomar and Roberto’s nominations at the same time on Tuesday.

Senators also earlier rejected the governor’s reappointment of Alvaro Santos to serve another term on the MPLT board.

Reyes during a heated debate on the nominations, questioned his fellow senators about what he described as a “pattern” to reject Fitial’s Saipan nominees who are also known supporters or associates of the governor.

Fitial called Rota and Tinian senators “stupid” after the Senate rejected yet again a House bill legalizing casino gambling on Saipan. The governor said a casino industry will help the CNMI’s ailing economy because of the “new” money it could bring.

“Who’s next?” Reyes asked.

Cruz, chairman of the EAGI Committee, belied all the accusations hurled by Reyes, saying the committee’s recommendations to reject the reappointment of Alepuyo, Fitial-Omar, and Santos are supported by findings of questionable decisions and conflicts, and not because of the governor’s controversial remarks.

Cruz, as well as other senators, asked Reyes to stop accusing Rota and Tinian senators of singling out Saipan nominees when it comes to rejecting appointees.

Reyes was up in arms with the majority of the senators, saying the nominees to CPUC, MPLT, and the Fund are qualified to continue serving on the boards.

Cruz said the EAGI panel does not question the qualifications of the nominees.

The EAGI Committee said Alepuyo currently holds positions for many relevant agencies in the CNMI and although her service is beneficial, “it conflicts with her position on CPUC.”

The committee also said during Alepuyo’s tenure, “there has been an apparent lack of control on LEAC rates and the price of utility services.”

“Accordingly, members have expressed their disappointment with Ms. Alepuyo’s performance,” said the committee report recommending rejection of her reappointment.

House Speaker Eli Cabrera (R-Saipan), who was in the Senate chamber during the Senate deliberation on Alepuyo’s reappointment, later told reporters that the House leadership supports Alepuyo’s nomination.

But the speaker, after consulting with House legal counsel John Cool, said both houses need to consent to the PUC nomination.

“But the House will still do its part and confirm her. It’s just unfortunate that the Senate rejected her reappointment so she won’t be able to serve another term,” Cabrera said.

Rep. Stanley Torres (Ind-Saipan), chairman of the House Committee on Public Utilities, Transportation and Communication, said what Rota and Tinian senators did was “revenge” against the governor for calling them “stupid.”

The EAGI Committee said it was poised to recommend confirmation of Fitial-Omar’s reappointment but it later on said she was “equally responsible” for the decision to buy a private property for $272,000.

The Senate rejected former MPLT chair Alvaro Santos’ reappointment mainly because of the private land purchase.

Cruz said politics is not behind the idea to reject Fitial-Omar’s reappointment, but was based on questionable decisions MPLT made.

The committee said the MPLT board had given approval for Santos to find a suitable property upon which to build an MPLT office building. But the board no longer had a quorum to approve and finalize the preliminary findings of Santos and Fitial-Omar’s at the time the purchase was made.

“As a result, their actions are null and void and without legal authority as the board did not have quorum,” the EAGI Committee said.

Demapan said while the Senate’s rejection of Fitial-Omar does not result in a standstill for MPLT, it had hoped that she would be confirmed to serve another term as she has the experience of having served her first term as a trustee.

He said the administration had hoped that the Senate would act favorably to ensure compliance with the requirements to have a representative from Saipan, Tinian and Rota, as well as representation for Carolinians and women.

“The rejection of Fitial-Omar and Alepuyo deprives both Carolinians and women from the representation they deserve,” he said.

Demapan also said the administration will have to consider other options and submit nominations with qualities that will be beneficial to the affected boards and commissions.

“Nonetheless, despite the senate’s trend of action, Gov. Fitial will continue to ensure that he abides by the requirements to submit nominees who will represent women and Carolinians,” he added.

The administration also made special mention of Reyes, one of three senators from Saipan, who was seeking the support of his colleagues to confirm the nominees who are from his constituency.

“The administration is grateful for Sen. Reyes’ support and for his will to defend the interests of his constituents. The administration hopes that the EAGI, and the Senate as a whole, will consider the qualifications and the assets that each nominee brings to the table when deciding their next course of action,” Demapan said.

Senators debated Igisomar’s reappointment, with the EAGI Committee chair questioning Igisomar’s own admission that he spends 60 percent of his time on Retirement Fund issues rather than as a Commerce secretary.

But Igisomar explained that most of the time he spends dealing with Fund issues are during after office hours or after 4:30pm and during austerity Fridays. He said only when there’s an emergency matter that he works on Fund issues during regular government hours.

Reyes, during session, said he’s losing respect for the EAGI Committee chairman for his panel’s inability to report on Igisomar’s nomination.

“Is there personal animosity?” he asked. “I’m beginning to feel there’s no respect for appointees from Saipan. Now it’s Tinian and Rota reject people from Saipan. This is ‘bad practice’,” he said.

Cruz said there’s nothing personal or animosity on this issue.

Senators took turns responding to Reyes’ accusations.

Igisomar went to the Senate chamber yesterday after senators debated his reappointment and went into recess so that the EAGI Committee would complete its report and recommendation.

However, when the session resumed, a move was made not to act on his appointment until the EAGI Committee completes its report. The motion mustered enough votes to pass.

Igisomar, in an interview, he leaves it all up to the Senate to decide on his nomination.

But Igisomar said the Senate’s action will not be about him, but about the fate of the NMI Retirement Fund facing receivership if nothing is planned and done in 90 days. He said in line with judge Kenneth Govendo’s recent decision, a so-called “Super Fund Committee” should be formed in the soonest possible time to address the pension agency’s financial crisis.

“It’s not really about myself but about putting people in thee (Fund board)… If you’re not going to approve me, then just remove me and immediately ask the governor to appoint someone else. Just don’t drag it. Don’t make me the person who is going to drag the issue,” he told reporters.

The EAGI Committee also asked Igisomar to provide documents and explanation on what the Fund board has done on a controversial computer system contract with Gary Sword.

Igisomar also thanked Reyes for strongly advocating his reappointment.