THE Marianas Public Land Trust informed Finance Secretary Tracy B. Norita last week that the CNMI government’s outstanding debt for the Super Typhoon Yutu recovery loan amounted to $4,486,186 as of Oct. 28, 2024.
Four years ago, the CNMI government, as authorized by Public Law 21-3, borrowed $15 million from MPLT at an interest rate of 7.5% to pay for the emergency disaster relief and recovery expenses incurred because of the devastation caused by Yutu. The loan is to be paid by MPLT’s annual interest income that is remitted to the government’s general fund.
The interest income of $2.2 million and $2.6 million in fiscal years 2022 and 2023, respectively, were applied to the CNMI government’s debt payments.
The balance of the government’s Yutu loan as of Oct. 1, 2023, was $8,931,943.
Last month, MPLT announced $5.12 million in interest income distribution to the general fund for FY 2024.
In her letter to Norita, MPLT Administrator Bobbie Reyes indicated that, of this amount, MPLT withheld $4,445,756 and applied the amount as payment to the Yutu loan principal pursuant to P.L. 21-3. This brings down the CNMI government’s outstanding Yutu loan balance to $4,486,186.
The other MPLT receivables, according to an FY 2023 audit report, are the $3.8 million in home loan program payments involving various individuals under a settlement agreement with the Northern Marianas Housing Corp. on Dec. 31, 2007, at an interest rate of 2%; $1.2 million from Tinian Shipping Services at an interest rate of 5%; $33,220 from Adelantun Publickun Luta Enteramente Inc. at an interest rate of 5%; and $3,560 from the Commonwealth Healthcare Corp. at an interest rate of 5%.
