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Last updateTue, 22 Oct 2019 12am

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    Sunday, October 20, 2019-8:22:33A.M.

     

     

     

     

     

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CUC official proposes CPA payment scheme

WHILE the Commonwealth Utilities Corp. is working on a memorandum of agreement with the Commonwealth Ports Authority, which owed CUC $17.7 million as of March 31, CUC board member Ignacio Perez said they should also come up with a payment scheme.

The payment schedule will serve as an “internal control,” he said, adding that the MOA should stipulate a fixed monthly payment.

CUC Executive Director Gary Camacho said they will impose deadlines.

At Wednesday’s board meeting, Camacho reported that he and CUC’s management team recently met with CPA’s executive team to discuss the proposed MOA.

“Everything seems to be going very well,” he said, but they’re still trying to establish an “accounting methodology” that will accommodate both parties.

Once the MOA is finalized, it will be presented to the CUC board for review and determination, Camacho added.

The Commonwealth Utilities Corp. board met on Wednesday with the CUC management team headed by executive director Gary Camacho.  Photo by Junhan B. TodiñoThe Commonwealth Utilities Corp. board met on Wednesday with the CUC management team headed by executive director Gary Camacho. Photo by Junhan B. Todiño

He said CUC will also discuss with CPA the reactivation of Power Plant 3 at Isley Field on Saipan, a proposed lease agreement under which CPA will provide CUC access to 46 water wells located within CPA property for a certain period of time in exchange for $10 million of outstanding water charges.

Originally, Camacho said CUC was negotiating for a 40-year lease, but they are now proposing an indefinite number of years or as long as CUC needs it.

Regarding the Commonwealth Healthcare Corp.’s unpaid utility bills now amounting to $27.7 million, Camacho said based on their last discussion, CHCC can only afford to pay $71,000 a month.

“That’s all according to their [CHCC] calculation — that’s all they have left in the pocket on a month to month basis,” he added.

CHCC monthly utilities usage amounts to $400,000.

The central government’s unpaid utility bills amount to $6.5 million.