To prevent a repeat of questionable election practices we saw in this campaign, his camp should now follow through with pending investigations. To abandon them may create a bigger problem in the future. There is another election in 2012 and all the questions raised during this year’s campaign period must be resolved before voters kick the bums out two years from now.
Voters, in any case, not only rewarded competence on Election Day, they also rejected three initiatives involving millions of dollars. They recoiled from the possible cost of a pension obligation bond that this administration wanted to float. Proponents claimed that no added cost would be borne by the public. Yet a certain percentage of commonwealth assets must be pledged to secure the bond. Moreover, proponents were apparently unaware that the $140 million bond floated nearly 20 years ago was secured by the full faith and credit of the United States government and paid against funds advanced by the feds. The commonwealth government did not really pay that bond, the U.S. did.
The CNMI government, to be sure, has floated smaller bonds and makes diligent payments, but that doesn’t mean that this government, which is facing its gravest financial crisis in CNMI history, is in a position to do the same thing today. Bond advocates point to government payments as a sign that there is a means of repayment. But this is illusory because there is nothing to suggest that such payments will continue. If pressed to make a choice between bond payments and its political hires, it is likely that this administration will opt for payroll, as it has for the last few years.
Public services in jeopardy
NOW that they have rejected this questionable bond proposal, CNMI citizens must take note that the price for keeping the government’s non-essential employees is a decrease in public service that may jeopardize lives.
The hospital recently disclosed that nearly $180,000 was owed to travel agencies for medical referrals and that no referrals could be approved until the debt was settled. It is likely that in addition to this debt there are many others to medical suppliers, pharmaceuticals, blood suppliers, equipment maintenance and other service providers, all of which compromise the quality of health care offered to the general public.
What badly needed supplies or equipment could have been purchased with the $49,000 that the Legislature appropriated for the Youth Congress? What other good purpose could be satisfied with the $392,000 contract allotted for the ARRA czar? By the way, for the administration to claim that the former department head is the only person capable for administering this grant is ludicrous. There are others in the commonwealth who have an established track record of managing grants that exceed the present ARRA funds awarded to the islands without compromising the reputation of the CNMI.
Back to reality
WITH the election over, we can resume watching the CNMI crumble slowly and painfully because neither this administration nor most lawmakers understand the need to take specific actions to avert economic disaster.
Unfortunately, even government retirees will learn, too late, that their benefit package must be pared back to some reasonable level in order for the Retirement Fund to survive long term.
