Chamber backs Babauta on CUC concerns

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Posted on Sep 28 2004
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The Saipan Chamber of Commerce supported yesterday Gov. Juan N. Babauta’s move to quiz the Commonwealth Utilities Corp., saying that the governor asked the right questions about CUC’s finances and utility service.

Chamber president Alex Sablan was commenting on Babauta’s letter giving CUC until this Friday to provide him information regarding a long list of issues that concern CUC’s three divisions, as well as the corporation’s finances and administrative policy.

“It is with great pleasure that I read…this morning of your proactive efforts and questions regarding the finances and utility services of CUC,” Sablan told Babauta in a letter yesterday.

“We believe that the questions you are asking are direct and to the point. We stand with you on this matter. We look forward to working with you as you acquire these essential answers from CUC, and as the management and service delivery of CUC improve.”

Sablan also reiterated the business group’s position on the planned privatization of CUC. He said the proposal should be addressed earnestly as a potential solution to CUC’s problems with funding, efficiency, and reliability.

In a special meeting yesterday, CUC executive director Lorraine Babauta assured the board of directors that the management is preparing all the information requested by the governor.

The board and the management set Friday morning as deadline for finalizing all the required documents.

“Please tell me precisely how you plan to fix your combined utility system. Tell me what actions you will take over the next weeks, who will do each thing, and how you will pay for the activity,” Babauta had told CUC chair Francisco Q. Guerrero and executive director Lorraine A. Babauta in his Sept. 21 letter.

Aside from listing all his concerns, the governor had directed CUC to provide him within 10 days relevant documents to show exactly how the corporation plans to address each of his concerns, or tell him why CUC cannot provide the information.

“Tell me what is wrong and the consequences to fix it,” Babauta said repeatedly.

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