USDA: Large ENAP, NAP balances trouble CNMI

Delegate Gregorio Kilili C. Sablan’s (Ind-MP) request for information made him fear for food assistance program funding after a federal agency pointed out the large leftover balances from grants issued to the CNMI from the previous fiscal year for the same purpose.

Sablan, in a press conference Wednesday, said that significant carried over balances from fiscal year 2017 could hinder the CNMI’s block grant funding for the Nutritional Assistance Program grant and the Enhanced Nutritional Assistance Program Farm Bill grant.

The delegate said he fears that the current $22-million ENAP Farm Bill grant could be reduced after finding out from the U.S. Department of Agriculture Food and Nutrition Services informed his office that about $18.4 million was carried forward into fiscal year 2018.

ENAP grant funding totals at $27 million for fiscal year 2018.

The Farm Bill, which Sablan said is now in discussion at the U.S. House of Representatives, is a large bill that authorizes the use of monies set aside for the specific bill. Reauthorization is set at five-year intervals, Sablan explained.

Because of this, Sablan fears that with the significant balance carried over from fiscal year 2017, funds might not be fully expended by the time the U.S. House completes the deliberation on the reauthorization of the Farm Bill, potentially cutting CNMI ENAP grant allocations.

“I am trying to get additional money; I am trying to ask for $42.5 million for authorization under the Farm Bill. If we don’t do that, we will not get money for [ENAP] the next five years,” said Sablan.

He explained that the CNMI was able to secure about $32.5 million back in 2014 for pilot funds from the previous Farm Bill authorization. Sablan said this was one of USDA’s ways to conduct a feasibility study.

Fiscal year 2017 carried over funding from the NAP grant was also high. According to a USDA response to Sablan’s office, the CNMI from the beginning of fiscal year 2018 carried over $4.1 millions of the base CNMI annual NAP block grant of $12.1 million from fiscal year 2017.

“This number is significantly higher than usual and likely represents a cost allocation issue between NAP and ENAP grants. FNS is working with the CNMI to address this issue and expects this balance will adjust downard to between $1.5 million and $2 million, which is the typical level of carry over for the NAP,” USDA specified in an unnamed response to Sablan.

According to Sablan, his office reached out to local offices administering the NAP and ENAP for data but to no avail. His office also reached out to the Region IX office of the FNS, but also to no avail. He said his office had to contact USDA itself for the data.

“The reason the [U.S. House committee] cannot support my request is because there is that money sitting there,” said Sablan. “[U.S. Congress] will give me the money if they can see that it is being spent. They won’t give you money in Congress if they don’t see you spending money,” he added, in response to media reports stating that local government offices are penny-pinching the funds for it to last longer.

Increase benefits, eligibility standards

Sablan said the logical way to go for expending the funds is to increase benefits as well as the eligibility standard. By increasing benefits and eligibility standards, participation in NAP and ENAP programs would also rise.

He pointed out that since there is a constant rise in minimum wage annually up to the federal level of $7.25, NAP and ENAP income eligibility standard must rise along with it in order to encompass a higher number of eligible participants.

Sablan said the plan was to allow the funds to be used up to fiscal year 2019. However, with the current projections of the grant funds, it would not happen.

With the increase in benefits and eligibility standards, it could be projected that the funds would soon be expended based on increased participation in the programs; therefore making a more compelling argument for the $42.5 million grant Sablan yearns.

A Marianas household of five must earn a combined less than $1,656 gross income per month in order to avail of $1,061, $880, and $811 in monthly benefits for Rota and the Northern Islands, Tinian, and Saipan, respectively. For Guam, which uses the Supplemental Nutrition Assistance Program, or the SNAP, a household must earn a combined less of $3,118 in order to receive monthly benefits amounting to $1,121.

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