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Florida firm interested in giving loan to CUC
The Commonwealth Utilities Corp. board disclosed Tuesday that a Florida-based financing firm has expressed interest in providing CUC with a possible loan to fund its projects.
CUC executive director Alan Fletcher said that Capital Projects Finance Authority has gotten in touch CUC about possibly loaning CUC the funds it needs for some of its stalled projects.
Fletcher told board members that, as far as financial organizations are concerned, CUC is interested.
“We are interested but there are many issues involved so we need to discuss this with CPFA on the loan they are offering,” he said.
CPFA describes itself on its website as “a public body corporate and politic” based in Haven, Florida, that was created for the purpose of making loans to qualified public agencies in Florida or the United States. They provide financing for capital projects.
Fletcher said CUC would also need to do some sort of request for proposal.
CUC board member Adelina Roberto recommended that they should at least write to CPFA about their proposal.
CUC board chair David Sablan Jr. said they could review the plan and its terms and conditions and discuss it before making any decision.
Sablan said that they have invited CPFA representatives but due to the unavailability of a local representative for the company, no discussion or presentation was ever made.
“We have to consider. If we start talking with these people and start talking in details, we could jeopardize their chance in participating in any loan proposal to us because it would be a conflict of interest on their part,” Sablan said.
According to Sablan, CPFA has a representative in Guam and he has invited them to present their terms and conditions last Tuesday but no one was available.
“We need to look at how we fund our projects and if we want to go down that road in getting a loan, then that decision needs to be made by the board or we put out an RFP,” Sablan said.
