In July last year, the then-board of CPA approved the 15-year lease contract of Taga Air which wanted to use the airport hangar for its operations and activities.
Taga Air paid only $1,000 a month but failed to show the “developments expected at the site,” according to CPA.
In October last year, the Office of Public Auditor reviewed the contract upon the request of Tinian lawmakers.
They said the contract was awarded by the board without any prior announcement.
“We approached Taga Air and we inquired about the lease contract,” CPA acting Executive Director Lee Cabrera said. “CPA asked about their intention and …they expressed interest to surrender the lease which they did. Now, the place has been surrendered back to CPA.”
Cabrera said Taga Air has already vacated the site which CPA has temporarily leased to another firm for 15 days. He did not disclose the firm’s name.
Taga Air was supposed to use the hangar as its warehouse facility.
CPA wants to sign a long-term lease agreement for the airport hangar which has a standard lease schedule of 15 years subject for renewal every five years.
Variety learned that Freedom Air hoped to use the hangar for its cargo facility, but the previous CPA board gave the contract to Taga Air.
Cabrera said they will review Freedom Air’s proposal once it is submitted to CPA.
“We want to make sure that their activities are accordance with what we expect generally at the airport operation. The lease amount will be determined after the review process,” Cabrera said.
