Saipan mayor downgrades pay by 10%
The Office of Saipan Mayor will implement a 10 percent salary rollback on May 1, 1999 until the year 2000 to cope with the shrinking revenue brought about by the slowdown on the island’s tourism economy, according to chief budget officer Ray Diaz.
According to Diaz, the budget for fiscal year 2000 in the Mayor’s Office will remain at $2.4 million. Of this, $1.9 million will go to salaries and wages of some 65 employees while $169,000 has been allotted for operations.
The Mayor’s Office consulted the employees to inform them of the financial crisis besetting the government where about 95 percent opted for a 10 percent salary rollback, he said.
Gov. Pedro P. Tenorio met with local officials of three island-municipalities last Friday to explain why he will not approve a budget increase to many government offices except the Department of Public Safety and Public School System. Amid the economic crisis, Tenorio said department heads would have to operate their offices within their limited budget.
Even with the 10 percent salary cut, Diaz still raised the possibility of laying off some employees as the Mayor’s Office is still evaluating the position in various departments.
“We are cutting down on services in areas that are not mandated by the statute. I hate to see people lose their jobs, that’s why if there is sufficient funding with the 10 percent rollback, I would not allow that,” he said.
Aside from the salary cut, the Mayor’s Office has already implemented a freeze in hiring, promotion and purchase of office equipment. The Mayor’s Office need some $500,000 a year for road maintenance alone.
Due to the budget crunch, the request for bigger dump trucks for more efficient operation may not even be granted. Currently, the three dump trucks being used for hauling of materials in the quarry are already old. Aside from this, the office’s two graders and D7 bulldozers are used for repair of road projects.