“From 2004 through 2010, the affected jurisdictions’ report to Interior showed more than $1 billion in costs for services related to compact migrants,” the GAO report stated citing an approximately 111 percent and 108 percent increase for Guam and Hawaii respectively.
Of the said $1.010 billion costs, the affected jurisdictions spent $517,569,475 on educational services; $313,963,456, health services; $81,065,558; and $98,219,187 on social services.
The report, however, noted a 53 percent decrease in the CNMI’s reported costs reflective of a decline in compact migrant population.
Despite the report not adjusted for inflation, the impact costs for the CNMI totaled $55,516,104.
Of this amount, the CNMI spent $25,426,059 for educational services; $10,700,277, health services; 17,862,038, public safety services; and $1,527,730 for social services.
However, these costs were miniscule as these were only 17 percent of what Guam spent and 8 percent of what Hawaii spent on compact migrants for the same duration.
Guam reported spending a total costs of $326,549,292.
Providing educational services took the biggest portion of the expenditure pie with $201,080,392 spent between 2004 to 2010.
The next biggest expense was for health services, $65,374,486; $55,561,983; public safety services; and $4,532,431, social services.
However, Guam’s expenses paled in comparison with the State of Hawaii which was twice that of Guam’s.
The report stated Hawaii spent $628,752,280: $291,063,024, education services; $237,888,693, health services; 7,641,537, public safety services; and $92,159,026, social services.
The above-stated figures showed an increase in annual costs for educational and health services, with 93 percent increase in education and 66 percent increase in health services costs across all jurisdictions.
Based on its report and mirroring previous surveys, GAO found out through the interviews it conducted in 2011 from compact migrants and officials from the Freely Associated States embassies and consulates the growing migration to the affected jurisdictions was due to employment and educational opportunities, access to healthcare and the need to accompany their relatives.
GAO also reported the contributing factors affecting the jurisdictions incurring increased costs for education and health services.
The report cited that the poor quality of FAS schools, limited language skills and experience with a school environment and language barriers make Compact migrant children lag academically.
According to officials from the affected jurisdictions, the Department of Interior, and service providers, these factors increase the required resources to provide educational services to compact migrants relative to other students.
The Department of Interior Inspector General has reported inadequate health systems in the FAS that led to the prevalence of health issues among FAS citizens. This in turn results in the FAS citizens seeking access to the U.S. healthcare system.
But as these citizens continue to migrate into the affected jurisdictions where a majority of them end up with low household incomes, many tend to rely on public health services, the report also stated.
The report also underscored the concern by affected jurisdictions that these compact migrants are more often ineligible to some federal programs, particularly Medicaid.
These citizens, the report noted, are generally ineligible for Social Security Supplemental Security Income or SSI, Medicaid and Children’s Health Insurance Program.
However, the Children’s Health Insurance Program Reauthorization Act of 2009 or CHIPRA allows states to cover children and pregnant women in both Medicaid and CHIP who are lawfully residing in the United States — which should cover Compact migrants.
Moreover, Compact migrants are also ineligible for Supplemental Nutrition Assistance Program and Temporary Assistance for Needy Families benefits.
The CNMI, Guam and Hawaii, however, provide funding for medical services to the migrants.
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 withdrew the Medicaid eligibility that FAS citizens gained when the compacts were signed.
The migrants, however, are eligible for emergency Medicaid, Medicare, Social Security Old Age, Survivors, and Disability Insurance, school lunch programs and Section 8 Housing subsidies.
The GAO report acknowledged that although there’s a rising costs in basic services as reported by the affected jurisdictions, it recognized that estimates of the costs have weaknesses that affect reliability.
The agency recommends that the Secretary of the Interior to fully consider the strengths and limitations of its preliminary approach for 2013 in order to select the most appropriate approach for its next enumeration of compact migrants, weighing the cost of the approach with the need for data that’s both fair and useful to the affected jurisdictions.
The GAO also called on the Interior to disseminate guidelines to these jurisdictions addressing concepts essential to producing reliable impact estimates.
The report also asked that the jurisdictions follow these recommended guidelines in making compact impact reports.
To optimize the use of compact impact grants, Interior was also asked by GAO to work with the jurisdictions in evaluating the current use of grant funds and seek alternative uses to reduce compact impact.
In order to better assist the migrant FAS citizens, Interior was asked by GAO to work with the U.S.-FSM and US-Marshalls joint management committees to consider uses of sector grants to address the FSM and Marshallese migrants’ concerns as well as those of the jurisdictions involved.
Based on data from the U.S. Census Bureau’s American Community Survey and required enumeration data in 2008, there were about 56,000 compact migrants living in the U.S.
Based on the 2008 estimates, there were 18,305 compact migrants on Guam, 12,060 in Hawaii and 2,100 in the CNMI.
Under the Compact-Impact agreement, the FAS citizens, those from Palau, Federated States of Micronesia and the Marshalls, are allowed to migrate to the U.S. without regard for visa and labor certification requirements.
In 2004, the US Congress had appropriated $30 million every year for 20 years to help defray costs of Compact Impact migrants.
The GAO report looked into compact migration, enumeration approaches, impact reporting, Interior grants related to compact impact.
Interior agreed with GAO recommendations but disagreed with working with the affected jurisdictions to evaluate the use of compact impact grant funds.
Both Guam and the CNMI agreed with the GAO findings and recommendations. The CNMI, however, would like to be consulted by Interior on developing cost guidance based on Interior Inspector General, Office of Management and Budget and GAO guidance.
