Vol. 34 No.253
       ©2007 Marianas Variety
Thursday, March 8, 2007 www.mvariety.com
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Borja: Administration assures PSS its budget will not be cut

By Moneth G. Deposa
aVariety News Staff

EDUCATION Commissioner David M. Borja, in a statement, yesterday, said he has been assured by the administration that the Public School System’s fiscal year 2007 budget will not be cut.
Gov. Benigno R. Fitial earlier informed lawmakers that tdue to a $30 million decline in the revenue projection, the FY 2007 budget set at $193.5 million will have to be cut by 15.6 percent.
Borja, in a letter to lawmakers, said cutting the PSS budget will result in the laying off of 957 staff members.
Yesterday, Borja thanked both the governor and the Legislature for their “continued support.”
Under the Planning and Budget Act, when revenues are going down, the governor is authorized to issue a revised quarterly allotment for all agencies and departments based on the revenues collected.
No agency is exempted but the governor may reprogram and provide a “return or restoration” of the reduced budgets for essential services like public health, public safety and public education.
According to Vice Speaker Justo S. Quitugua, D-Saipan, lawmakers “have not seen the revised allotments for each department but before we vote on approving them, there are questions that need to be answered — including whether we are expecting any additional funds or revenues other than the revenues being collected. It is important for us to know where we can get the funding for the restoration of the essential services’ budgets.”
Quitugua said that there is a source that the governor can tap for the budgets of the essential services — the projected savings from the austerity holiday law, or Public Law 15-24.
The law imposes a 10 percent cut in the wages of government employees.