By Gemma Q. Casas
Variety News Staff

THE Retirement Fund has yet to receive from the Office of the Governor its $10,700 surplus from the fiscal year 2006 budget, according to Rep. Stanley T. Torres.
Torres, Ind.-Saipan, said his office was advised by the Retirement Fund that the surplus has yet to be remitted.
On April 4, Torres wrote Fund Administrator Mark Aguon to inquire about the surplus.
“As you know already, the governor made it public that the commonwealth government was in the black by approximately $10,700 for fiscal year 2006 and he had intended to keep the money until his office was reminded of P.L. 15-15, which the administration authored itself,” Torres said in a letter to Aguon.
Signed into law on June 16, 2006, Public Law 15-15 allows the cash-strapped government to suspend its employer contributions to the Retirement Fund up to the end of fiscal year 2007, or until Sept. 30th this year.
However, P.L. 15-15 has a clause which requires the central government to remit any budget surplus to the Retirement Fund.
“In the event that a budget surplus is realized, the secretary of finance shall remit the identified surplus to the Fund to cover the employer contributions suspended under this Act with interest based on the current prevailing rate,” part of P.L. 15-15 reads.
The Retirement Fund’s unfunded liability to current and future retirees under the defined benefit pension plan is estimated at $470 million.
The government is obliged to remit more than $800,000 every pay period to the Fund as its share of the employee retirement package.
However, this obligation was suspended under P.L. 15-15 because of the government’s in ability to collect sufficient revenue as the islands’ economy continues to worsen.