REPRESENTATIVE Arnold I. Palacios, who is a member of the Solid Waste Task Force, recently asked House Speaker Heinz S. Hofschneider to support earmarking the excise tax collections on beer and malt beverage for solid waste management.
In a June 19 letter, Palacios told Hofschneider, R-Saipan, that the proposed source of funding for solid waste management appears to be “stable.”
“The funding source must…have at least a five-year revenue history, as a portion of the funds will be used for repayment of bond issue to finance the $10 million estimated cost of the closure of Puerto Rico dump. The balance of the funds will be used in conjunction with tipping fees to pay the annual operating costs. The proposed source is the excise tax on beer and malt beverages that has, over the last five years, averaged $3.4 million (in collection),” said Palacios, R-Saipan.
He said the beautification tax was considered as another source of funding but it was rejected “because it is a value-added tax that is considered regressive.”
The mission of the Solid Waste Task Force, which is chaired by Lt. Gov. Diego T. Benavente, is to ensure the maximum protection of air, land, ground water and coastal water of the CNMI. It also aims to minimize the potential source of pollution through an integrated solid waste management program.
Palacios said the task force needs the following budget to accomplish its projects: $3.4 million a year for the operations of the Marpi landfill and the Puerto Rico transfer station; $10 million for the closure of the Puerto Rico dumpsite and its transformation into a park; $240,000 to operate improved disposal facilities on Tinian; and another $240,000 for the improved disposal facilities on Rota.
