CUC reviewing $333K contract with USGS
The Commonwealth Utilities Corp. is currently studying whether or not to renew its $333,000 contract with the U.S. Geological Survey for a water-drilling project at Mt. Tapochao.
The USGS sent CUC a draft agreement on Sept. 16, asking the corporation to renew the contract under the cost of $333,000, the same as fiscal year 2004. This amount is shared equally between both agencies, with each paying $166,500.
If CUC approves, the agreement would be effective Oct. 1, 2004 through Sept. 30, 2005.
But in an interview yesterday, CUC chair Francisco Q. Guerrero said the CUC board of directors has yet to decide on the contract. He noted concerns raised by some sectors that CUC’s contract with the USGS may no longer be necessary.
The USGS is also working with the CNMI Water Task Force on an exploratory drilling program. Last May, Gov. Juan N. Babauta signed an $835,911 contract for a water well drilling rig. The equipment would be used to drill as many as 60 new wells on Saipan within the next two years to provide for about 2 million gallons of water per day.
“We will try to entertain [the contract renewal] with the board. Then, we’ll decide whether we still [require] the USGS’ services or not,” Guerrero said.
Initiated in 1989, the cooperative program between CUC and the USGS aims to better understand the groundwater resources of Saipan and water resources on tropical islands in general, according to a USGS report issued in 2003.
“The objective of the program is to assess the groundwater resources of Saipan and to make hydrologic information available to the CUC in support of their ongoing efforts to improve the quality and quantity of the municipal water supply,” a portion of the report reads.
In a letter to CUC executive director Lorraine Babauta, USGS district chief Gordon Tribble said work performed with funds from the agreement will be conducted on a fixed-price basis.
“We look forward to another year of working with CUC to improve our knowledge of water resources in the [CNMI],” Tribble said. “With the new drill rig on the way, we are excited to assist CUC in determining the extent and thickness of water resources in the upland areas of the island, including the Mt. Tapochao sites.”