The committee’s chairwoman, Rep. Tina Sablan, Ind.-Saipan, solicited testimony from CUC officials about Public Law 15-40, which created CPUC.
One of its major functions is to set water and power rates for CUC.
“What I’ve seen with CPUC is it is actually superior than a board of directors. It keeps the utilities corporation on its toes. I think this is an excellent arrangement to take over the functions of the board,” said Malae, who helped solve the power crisis in American Samoa.
He said the CPUC acts like a judge to settle a dispute about the utilities corporation unlike a board whose members may be “swayed” to influence their decisions.
CPUC members are also appointed by the governor.
CUC is supposedly an autonomous government agency governed by a board of directors, who are also gubernatorial appointees.
But Gov. Benigno R. Fitial dissolved the CUC board a few years ago and took over the utilities corporation. Tony Muna, as CUC executive director, reports directly to the governor.
Sablan earlier noted that decisions made by CUC “are unduly and inexcusably influenced by political pressures from the very top, and gravely endanger public health.”
