Administration to submit spending plan to feds

GOVERNOR Ralph DLG Torres said once it is completed, his administration’s spending plan for the $515 million in American Rescue Plan Act funds will be submitted to the federal government.

He said the U.S. Congress and the U.S. Department of the Treasury will review the plan, adding that the CNMI must also meet the other federal requirements as has been done in the past with the previous federal funds provided to the Commonwealth.

In drawing up a spending plan, Torres said, “we do intend to look at our deficit, what are we mandated to address, where else can we spend the money, and then we’ll go from there.”

His first priority is to bring back the government’s furloughed government employees and the restoration of the 80-hour work week.

Disaster recovery funds

In addition, the governor said, the CNMI needs to spend $244 million in Community Development Block Grant-Disaster Recovery funds to help stimulate the local economy.

“We need to spend that immediately. We cannot wait six months to a year for a project because of pending permits. That’s why we are hiring more skilled professionals to [expedite the permitting process],” he said.

The CDBG-DR funds were approved  by the U.S. Department of Housing and Urban Development following the onslaught of both Typhoon Mangkhut and Super Typhoon Yutu in September-October 2018.

Of these funds, $110 million will go toward housing programs on Saipan and Tinian.

The governor said is hoping that the federally funded projects will also provide opportunities to the younger generation to participate in rebuilding the CNMI.

Because the CNMI does not have enough construction workers, the governor is hoping that the federal government will give the Commonwealth more flexibility in acquiring the workforce it needs to implement federally funded projects.

The ultimate goal is to build local capacity, he added, which is why the Northern Marianas Technical Institute will be funded and prioritized.

Torres said he has been meeting with NMTI board chair Mario Valentino and interim chief executive officer Jodina Attao to discuss workforce training and other related issues.

“I believe that we do have the manpower here — it may not be enough, but we will continue to create career opportunities for our unemployed and the local youth,” the governor said, adding that construction can be the next big career path for the next generation with starting wages of up to $15 an hour.

LWA

The governor said he is also grateful to President Joe Biden for approving the CNMI’s request for a 100% waiver of the local match requirement for the Lost Wages Assistance or LWA program.

In September, the CNMI was approved for over $7 million for the LWA, but with a 25% cost share requirement.

The governor then submitted a request for the cost share requirement, but it was turned down by the outgoing Trump administration.

Torres then appealed to the new Biden administration, which approved it.

The program will provide an additional $300 in weekly unemployment assistance for those who lost their jobs as a result of the Covid-19 pandemic and are eligible for the program.

Meetings have already commenced among the governor, the CNMI Department of Labor, the CNMI Department of Finance, the Public Assistance Office, and the Office of Management and Budget regarding the disbursement of the $7.5 million in LWA funding.

In previous statements, the CNMI DOL said those who received Pandemic Unemployment Assistance funds will also benefit from the LWA program.

“We’ll be pushing that out as soon as we can,” the governor said.

          

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