House joint committee: AG’s office, OPA should look into BOOST program

THE House Ways and Means chairman, Rep. Donald Manglona of Rota, on Thursday submitted to the House leadership a joint committee report which he said includes findings of possible violations that the Office of the Attorney General and the Office of Public Auditor can look into to determine if there was a violation of the law or misconduct in office on the part of the individuals who implemented and administered the outgoing administration’s $17 million Building Optimism, Opportunity, and Stability Together or BOOST program

Manglona, a newly elected senator, said the 23rd Legislature can continue the work that the fact-finding joint House committee, which conducted public hearings on the BOOST program.

 There is still a lot of work to be done, he added.

He said the joint committee also recommended the enactment of legislation pertaining to the Legislature’s power to appropriate federal funds.

He was referring to House Bill 22-33 which would have required legislative appropriation of American Rescue Plan Act funds that the CNMI received. The BOOST program was funded by ARPA monies.

Heavy heart

The co-chair of the House joint committee, House Judiciary and Governmental Operations Chair Celina R. Babauta, said their fact-finding hearings “provided checks and balances” in the CNMI government.

“That is what we are here for and it is in my heavy heart today that I come out to inform our constituents to brace yourself for the worst storms in 2023. A storm that makes our recovery of Super Typhoon Yutu look like a walk in the park. This storm deals with the deliberate depletion by the [outgoing[ administration of our financial windfall from the hard work of U.S. Delegate Kilili with respect to ARPA funds,” said Babauta who, like Manglona, has been elected to the Senate.

She said it has come to their attention that ARPA funds were being used for expenses that are not in accordance with the rules provided by the U.S. Treasury. 

She said they also learned that, to date, the secretary of Finance had only accounted for $33 million of the $481 million in ARPA funds provided to the CNMI.

 According to Babauta, the secretary of Finance had not reported to the U.S. Treasury since March of last year.

Rep. Edwin Propst, a member of the House joint committee, said the BOOST program was a “golden parachute” for officials of the outgoing administration who anticipated losing their jobs after the election.

Grapevine

Propst is hoping that U.S. Congressman Gregorio Kilili Camacho Sablan would “do what he can in his power to reach out to the U.S. inspector general, to make the phone calls, to ensure that the federal government is on this immediately.”

Propst added, “We have heard through the grapevine that we may be $86 million in deficit in ARPA funding and I’m praying to God every day that’s not true. But if it is, who is responsible for that mismanagement of our taxpayers’ funds?”

That is a huge concern for each member of the Legislature “because we are going to be broke,” he said.

“We are not going to have anything, and that is something that we have to look past partisan politics and focus on this economy. So, we still want answers for that.”

Another member of the joint committee, outgoing Rep. Tina Sablan, said “there must be consequences for [the] BOOST fiasco.”

She said “legislative investigation into the BOOST program is needed, and should continue in the 23rd Legislature.”

“Referrals should be made to the attorney general, the public auditor, and federal authorities for further investigation and prosecution,” she added. “The next Legislature should take up measures to ensure greater transparency and accountability in the expenditures of public funds. And the next administration should support these measures.”

Rep. Donald Manglona reports on the joint committee's investigation of the Building Optimism, Opportunity, and Stability Together or BOOST program.

Rep. Donald Manglona reports on the joint committee’s investigation of the Building Optimism, Opportunity, and Stability Together or BOOST program.

Rep. Celina Babauta comments on the joint fact-finding committee findings regarding the Building Optimism, Opportunity, and Stability Together or BOOST program.

Rep. Celina Babauta comments on the joint fact-finding committee findings regarding the Building Optimism, Opportunity, and Stability Together or BOOST program.

Rep. Edwin Propst delivers his remarks during the final session of the 22nd House on Thursday.

Rep. Edwin Propst delivers his remarks during the final session of the 22nd House on Thursday.

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