By Gemma Q. Casas
Variety News Staff

GOVERNOR Benigno R. Fitial yesterday told lawmakers that they must reduce the government’s current budget of $193.5 million by 15.6 percent or he will be forced to exercise his emergency powers to avoid a complete shutdown of basic public services.
These emergency powers include reprogramming authority.
During the Saipan Chamber of Commerce’s annual membership meeting yesterday, Fitial said he will push for the transfer of government workers to the private sector as part of the administration’s plan to implement a reduction in force.
Fitial said the cash-strapped government can no longer sustain a bloated workforce.
In his transmittal letter to the Legislature, the governor reiterated the need to reduce by 15.6 percent the government’s FY 2007 budget because the islands’ resources are not enough.
“An amended budget is the only real solution to restoring cuts for essential services. An approved amended budget will allow for the disproportionate distribution of the reduction in resources of $30.198 million in order to restore cuts to essential services,” he said.
“Every day that we delay, adds to the accelerated exhaustion of budget authority and may lead to exercising emergency powers pursuant to (Planning & Budgeting) Act 7403 to avoid a complete shut down of government operations prior to the end of the fiscal year,” he added.
In an interview, Speaker Oscar M. Babauta said they were willing to accommodate the administration’s budget revision so long as it would guarantee that not a single employee or agency branch would get an increase.
“I will kill any bill that has a salary or budget increase, including (for the Public School System),” said Babauta, Covenant-Saipan.
Exemptions
Based on the administration’s revised budget proposal, about 15 programs and agencies will be spared from the new 15.6 percent across-the-board cuts.
These include Corrections, Public Health, Public Safety, PSS, the Marianas Visitors Authority, Youth Services, the Rota Health Center, Dental Services, Police, Protection and Property-Fire, the Tinian Health Center and Northern Marianas College.
“Despite a 15.6 percent reduction in resources for FY 2007, I advise that essential services for health, welfare, public safety and education continue to be provided,” said the governor.
Agencies of the executive branch will bear the biggest cuts. From $12.995 million, their budget would be slashed to $7.856 million.
The legislative and judicial branches will bear cuts as well of up to 39.55 percent in all, according to the new budget proposal.
The judicial branch’s original appropriation of $4.433 million will be reduced to $2.680 million by the end of FY 2007.
The legislative branch’s $7.626 million budget this fiscal year will be down to $4.61 million if the administration’s revised FY 2007 budget is approved.
The Attorney General’s Office, which has 131 employees, will end up with $2.983 million instead of $4.935 million.