By Gina Tabonares
Variety News Staff

GOVERNOR Felix P. Camacho says he will keep a tight rein on government spending while trying to get lawmakers to support an increase in the debt ceiling amid low revenue and the U.S. Supreme Court ruling curtailing his ability to float bonds.
“We will have further cuts. Whatever is cut now, we will have to go further. We will look at every possible expense whether it is cellular phone use or gas, we will look into it,” he said.
The cuts also may involve additional furloughs to save on payroll costs of $3 to $4 million but the governor said that laying off personnel will be the last option.
He said however that he has already instructed the Department of Administration and the Bureau of Budget and Management Research to go over the procedures for furloughing some government employees.
While he said he respects the decision of the U.S. Supreme Court, he said the issue could have been resolved in the local legislature.
Camacho said he will sit down with lawmakers and his financial team to discuss the idea of increasing the debt ceiling so he can borrow at least $200 million more.
He said one of his proposed measures is the amendment of the Guam Organic Act debt limitation provision so that the amount of the credit can go up.
Camacho said he will adjust real property taxes in order to get a ceiling that will allow the government to float bonds.
“We need more flexibility. We need to plan and study our alternatives,” he added.
Another plan is to re-finance some government debts and put in moratorium some of the laws that put the government at risk of being sued.
He suggests the suspension of former Sen. Bob Klitzkie’s bill, the Every Child is Entitled to an Adequate Public Education, which could put the government at risk for legal sanctions because of the Guam Public School System’s financial inadequacy to comply with the law.