By Emmanuel T. Erediano
emmanuel@mvariety.com
Variety News Staff
LAWMAKERS and the Marianas Public Land Trust met again on Monday in the hope of reaching an agreement on the terms and conditions of a proposed $29 million loan, while the House Ways and Means Committee prepares to revise the fiscal year 2026 budget.
Public Law 24-13 authorizes the CNMI government to borrow $29 million from MPLT at an annual interest rate of 7.5%, with the net annual public land income distributable to the general fund pledged as repayment. However, MPLT has yet to approve the loan, citing the need for legal authority to enter into a margin account transaction.
House Bill 24-68, authored by Rep. John Paul Sablan, conditionally authorizes MPLT to establish a margin account solely to facilitate the loan. The bill is now before the Senate, but MPLT, through its attorney Robert T. Torres, has stated that “it will not work and will fall short of moving the transaction forward.”
In an interview on Monday, Sablan, who chairs the Ways and Means Committee, said he and his panel have met with officials from the Department of Finance, the Office of Management and Budget, and the Office of Grant Management in preparation for the FY 2026 budget revision. He said the committee has requested financial documents from those agencies to support the revision, adding that while some have been received, others are still pending.
Once all the necessary documents are received, the committee will reconvene to review them “and look into how we go about the revision of the budget,” he said.
Sablan reiterated the importance of MPLT’s approval of the $29 million loan, saying the House has already granted MPLT the authority it requested. “We did our part,” he said.
The House Ways and Means and Senate Fiscal Affairs panels, he added, continue to meet with MPLT to “navigate” the possibility of securing the $29 million loan. “The Legislature,” Sablan said, “is hopeful that we can strike a deal.”
MPLT Chair Philip Mendiola-Long said he would withhold comment as discussions continue.
Emmanuel “Arnold” Erediano has a bachelor of science degree in Journalism. He started his career as police beat reporter. Loves to cook. Eats death threats for breakfast.
