This will be the case once the governor signs into law a measure that gives CUC flexibility in partnering with the private sector.
Introduced by an administration ally, Rep. Stanley T. Torres, Ind.-Saipan, House Bill 17-80 was passed by the Senate yesterday.
H.B. 17-80 amends Public Law 16-17 by taking out the requirement that only a U.S. certified contractor can forge a private sector assistance agreement with CUC.
The 2008 law, which was enacted by the Legislature after overriding the governor’s veto, allows for the privatization of CUC.
Torres’ bill states that all private sector assistance agreement invitation to bids “shall be subject to pre-qualification of bidders.”
A private, business entity that is licensed in the commonwealth for at least 10 years, and has been engaged in business that is closely related to the utility will be deemed qualified to submit a bid.
In evaluating bids, CUC will only have to appoint an independent review panel “comprised of five members who shall be U.S. citizens, three of whom shall have utility management experience and not more than two members shall be CUC employees.”
Torres said P.L. 16-17’s restrictions “lead to inefficiencies that translate directly into higher costs to consumers.”
“So it is the purpose of this [bill] to remove the impediments and inefficiencies and restore CUC’s procurement authority so it will be able to enter into agreements with providers to ensure efficient delivery of services at reasonable rates to consumers,” the bill stated.
All the nine senators voted to pass the bill.
