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Ex-water task force executive sues CUC
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Posted on Nov 08 2006
The former program manager of the CNMI Water Task Force Program filed a lawsuit against the Commonwealth Utilities Corp. yesterday for allegedly ignoring his request for payment of $11,709 that CUC owes him.
Don E. Smith, through counsel John D. Osborn, sued CUC for breach of agreement.
Smith asked the Superior Court to order CUC to pay him $7,309.68 in transportation expenses, $4,200 in per diem allowance, and $200 in shipping allowance.
Former Gov. Juan N. Babauta created the CNMI Water Task Force in March 2003.
To support the task force and its plan of action, Osborn said the panel identified Smith, a CUC employee on Rota, as knowledgeable and qualified to act as program manager.
Osborn said the utility agency temporarily assigned Smith to act as the task force’s program manager, based on a memorandum of agreement executed on Nov. 6, 2003 by Babauta, the CUC executive director and on Nov. 8, 2003 by the chairman of CUC board.
Smith’s assignment required that he leave Rota and reside on Saipan while serving as program manager.
Osborn said it was agreed that CUC would pay Smith a monthly transportation allowance of $1,100 starting July 1, 2005, and continuing monthly while he remained assigned to the task force.
In addition to the transportation allowance, Osborn said, Smith was entitled to receive reimbursement in the amount of $709.68 for expenses related to the vehicle he used during his tenure.
On Dec. 29, 2005, Smith was told by CUC that his term as program manager would not be extended and that the agency was assigning him to the Office of the Governor at a reduced salary level, which Osborn said was substantially lower than Smith’s salary as program manager.
As a consequence, Osborn said, plaintiff is entitled to receive a per diem allowance for 24 days in the amount of $4,200.
Smith is also entitled to $200 in shipping allowance, he said.
Osborn said that CUC is indebted to Smith for a total of $11,709.68.
He added that Smith has repeatedly demanded payment, but CUC ignored him.
