‘Board policies, standards confusing’
CNMI government boards have a confusing set of policies and standards, requiring necessary legislative action, the House of Representatives said.
In its findings, the House special committee on House Bill 14-154 or the proposed streamlining of boards said that presently, the enabling statutes have created boards of different memberships and compensation rates.
For instance, it said that the Commonwealth Utilities Corp. has an eight-member board while the Commonwealth Ports Authority and Retirement Fund have seven members each. The Marianas Public Lands Authority and the Commonwealth Telecommunications Commission are governed separately by five-member boards.
In terms of compensation, MPLA board members receive $300 each per day for meeting attendance while other boards are authorized to set their own rates or follow “the standard” $60 per day pursuant to 1 CMC section 8247.
Further, the special committee said that several of the boards have authorized allowances for board committee meetings while others do not.
“The end result is a confusing set of operating policies and standards. Clear legislative mandates are therefore necessary,” said the report.
Under the revised H.B. 14-154, all boards except MVA would be composed of five members, including the representatives from Rota and Tinian.
The bill also calls for specific qualifications for board membership: appointees must have an Associate of Arts degree from an accredited postsecondary institution and five years of management experience.
The bill, which originally aimed to reduce government boards from being a governing body to a mere advisory council, provides that boards “will have the important role of prescribing the rules and regulations to implement …and the authority to monitor the implementation.” All the administrative and management functions remain with the executive directors of the agencies.
This way, the legislative special panel said, public corporations would work at greater efficiency and operate in a more business-like manner.
It said that protecting the executive directors from capricious dismissal by the board guards against politicization of public corporations.