CPA, which is in charge of all airports and seaports throughout the commonwealth, was stripped of its autonomy on May 13 amid fears that its $20 million revenue bond indenture payment would be declared in technical default.
From the initial declaration through Sept. 3, when CPA’s autonomy was reinstated, no public fund was transferred to settle its bond payment.
The governor, in a report to the Legislature, said the financial measure that were put in place during that period were enough to prevent a technical default declaration from the bond’s bank trustee.
“The state of disaster emergency did not require reprogramming or new appropriations for the CPA…. The actions I took during the state of disaster emergency were necessary to protect the health and safety of CNMI residents and visitors from the consequences of a failing CPA, as described in my executive orders,” Fitial said.
He said his actions were constitutionally mandated.
House lawmakers are questioning the governor’s constant use of his executive powers to suspend the autonomy of agencies and procurement rules.
They said the governor’s action may be construed as abuse of authority.
They have since supported a measure that will prevent the governor from using financial troubles as a reason to declare any government entity under a state of emergency.
