Teno: Leave CIP plan intact

Gov. Pedro P. Tenorio has prodded lawmakers not to switch capital improvement projects listed under the Section 702 Covenant infrastructure program with other pet projects in order to maintain the integrity of the master plan drawn up by his administration.

“As we continue to move projects efficiently and progressively throughout this fiscal year, I ask for your continued commitment in maintaining the integrity of our CIP Projects Plan,” he said in a letter to presiding officers of the Legislature.

“Any unconsidered changes would compromise the integrity of the CIP Plan and the effective application of our limited resources to the CNMI as a whole,” added the governor.

The island government has been provided with $77 million in federal construction grants as part of the Covenant/CIP program for FY 1996 to FY 2002, which the CNMI must match dollar-for-dollar.

This means that the Commonwealth has a total of $154 million in both federal and local funds for massive infrastructure development that officials hope will help spur economic growth on the island.

Out of that money, Saipan corners $92.4 million, while both Tinian and Rota share the remaining balance at $15.4 million each.

The master plan, completed in December 1998 by a group of administration officials and representatives from the community, has set aside use of the CIP funds for such projects as the new prison facility, the Marpi landfill, a new Public Health building and other important projects.

In the past, lawmakers have altered the plan to favor other projects not part of the original list when they appropriated the money in their bid to expedite construction of public structures they felt were needed by the community.

But Mr. Tenorio said the integrity of the plan is at stake if such changes are made without consideration on the priority list agreed upon by all quarters.

In fact, his administration has managed to earmark over $115.6 million out of the funds to begin construction on the various projects when matching funds were identified.

In 1998 alone, projects worth $39.5 million were given the green-light — a record achievement in the history of the Covenant/CIP program, according to the local chief executive.

“It is important to understand that expending these funds and building these projects is a long process which may take some time to complete,” he said.

With the passage of a recent law authorizing a $60 million bond float, the CNMI is expected to match the rest of the federal grants, while providing sufficient funds to complete those that have been left unfinished when initial appropriation ran out.

“The implementation of the CIP Plan is crucial to the CNMI in terms of our infrastructure needs and because of its bolstering effect on our economy,” said Mr. Tenorio.
Washington had threatened to cut its financial assistance to the island in the past two years to funnel to other insular areas because of CNMI’s earlier failure to source matching funds.

Bogged down by the economic difficulties confronting the island, the Commonwealth was only able to avail of the federal funds in 1998 when it approved flotation of bonds worth $16 million for the Public School System.