Legislature: Governor should tackle garment downsizing and inflation

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Posted on May 10 2005
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The leaderships of both the House of Representatives and the Senate want Gov. Juan N. Babauta to discuss the current downsizing in the garment industry, inflation, and tourism prospects, among others, when he delivers his annual State of the Commonwealth Address on May 19.

“The governor should talk about the next step in the economy. What’s the contingency plan to replace what’s going out in terms of garment downsizing? Let’s talk about the tourism industry in terms of our marketing. How are we doing in the international market?” asked Senate President Joaquin G. Adriano.

“By addressing these issues, we would know how to allocate and best spend our budget,” he added.

The Babauta administration has submitted a $225.8 million proposed budget for fiscal year 2006. The government currently operates on a $213-million continuing resolution.

House Speaker Benigno R. Fitial, through spokesman Charles Reyes Jr., said the governor should account what his administration has accomplished so far for the CNMI.

“The governor should tell the people what he has done so far, what he is doing, and what will he do in his remaining term,” said Reyes.

Reyes said the issue that has always been of importance to the CNMI is the economy.

“What we are concerned about is the economic situation of the CNMI. That’s an issue that’s always been of paramount importance—the decline of the garment industry. As you can see, factories are closing down. Likewise, people are suffering from the rise in inflation,” he said.

Further, the government cannot seem to find effective solutions in addressing its financial woes, he said.

For one, he said, the Commonwealth Utilities Corp. continues to suffer from severe financial woes despite its recent decision to impose surcharge fees of up to 3.5 cents per kilowatt per hour.

Babauta and Washington Rep. Pete A. Tenorio are to deliver their respective annual reports to the Commonwealth on May 19 at 10am at the Multi-Purpose Center in Susupe.

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