Housing project faces further delay

The Koblerville housing project faces further delay after the Senate insisted on amending a $2.4 million House appropriation to install sewer, power and water as well as road infrastructure to complete the infrastructure project.

Northern Marianas Housing Corporation Executive Director Marylou S. Ada lobbied strongly in the leadership meeting to the Senators for them to immediately act on the measure so that the contractors can begin work on the expansion project.

In a 6-1 vote, the Senate passed HB 12-301 but inserted a provision which commits $1 million in interest expected to be earned from the $60 million bond flotation of the Commonwealth Development Authority will be divided equally to fund Capital Improvement Projects on Rota and Tinian.

Senate Floor Leader Pete Reyes expressed disappointment that his colleagues changed their earlier decision during the leadership meeting to support the measure without any amendments.

He asked his fellow legislators not to put the project in jeopardy as there are people waiting to immediately transfer to their new homes.

“We should not associate the development for the island of Saipan only. I view this as a development for the whole Commonwealth,” he added.

Although the Senators did not reduce the amount of the project, NMHC cannot begin work on the project as scheduled since the measure would have to go back to the House of Representatives for approval of the amendment.

This means that the 45 families may have to wait until June the completion of the much-needed infrastructure improvement. Ms. Ada noted that there is no assurance at all that the bond proceeds will earn $1 million in interest within one year.

The decision of the Senators to amend the bill stemmed from earlier expressed fears that the CIP appropriations have been divided in favor of Saipan, leaving behind Tinian and Rota with very little share.

Senators Joaquin Adriano and Edward Maratita have sent a letter to Mike Sablan, then the Governor’s Special Advisor for Finance and Budget, expressing what they believe was a disproportionate distribution of the CIP funding.

Mr. Sablan, however, assured the Legislative leaders of Tinian and Rota that the funding allocations of $30.8 million each for the First and Second Senatorial Districts will remain.