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Senate tackles 2005 budget today
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Posted on Aug 04 2004
The Senate is holding a session today primarily to discuss preliminary reports on the administration’s proposed $226-million budget for 2005.
“This is our priority. Both the Senate and House committees have been meeting to discuss the budget. We expect at least a preliminary report today,” said Senate president Joaquin Adriano in an interview.
Adriano expressed confidence that the estimated revenues by the administration can be worked out.
Earlier, Senate minority leader Pete Reyes said the budget proposal was good as dead, saying it was unrealistic and based on an exaggerated revenue estimate.
But Adriano projects enhanced revenue collection and an improved economy for the next fiscal year, given the anticipated influx of Chinese tourists on the islands.
Reyes, for his part, cited that for this year alone, the administration failed to meet several financial obligations in a timely manner, including the 2002 rebate and refund payments.
Further, reports said that the CNMI’s debt to public and private vendors rose to over $100 million in the current fiscal year, including the over $75 million in outstanding employer’s contributions to the Northern Mariana Islands Retirement Fund.
It also includes some $5.3 million in remaining balance owed the Commonwealth Health Center, over $16 million in unpaid utility bills to the Commonwealth Utility Corp., and over $4 million for goods and services from private vendors.
The Department of Finance has reported that it collected only $107.3 million in the first seven months of fiscal year 2004, which is way below the $213 million projection.
