Sen. Jude U. Hofschneider, left, delivers his comments on H.B. 23-95 during a Senate session on Tuesday.
THE Senate on Tuesday referred House Bill 23-95 to its Fiscal Affairs Committee. The measure would amend Public Law 23-12, which authorized a $15 million line of credit with Marianas Public Land Trust to be used as “bridge financing” for the costs related to federally funded capital improvement projects.
All the senators present voted for the motion of Senate Floor Leader Corina Magofna to refer H.B. 23-95 to the Fiscal Affairs Committee. Sen. Paul A. Manglona was excused.
Senate Vice President Donald Manglona, who chairs the committee, said a hearing will be held on Wednesday, Jan. 24, 2024, to which MPLT and the Palacios-Apatang administration will be invited.
Authored by Rep. Blas Jonathan Attao, H.B. 23-95 would allow MPLT to withhold interest income due to the general fund as security and repayment for the line-of-credit, which has an annual interest of 5.5%.
The line-of-credit measure as originally introduced by Attao and passed by the House last year also pledged the public land interest income as payment for the loan. But the Senate amended the bill to remove the provision while designating the funds to be reimbursed from the U.S. Economic Development Authority as the pledge to repay the loan.
Sen. Jude U. Hofschneider “respectfully asked” that H.B. 23-95 be referred to the committee because he wanted to include a provision to ensure that Tinian and Rota can also “engage” with MPLT in the future.
MPLT Trustee Alvaro Santos and Administrator Bobbie Reyes were in the gallery during the Senate session. They support H.B. 23-95.
In an interview, Santos said MPLT needs that security clause. Without it, MPLT will have to raise the interest rate on the loan, he added.
