HOUSE Floor Leader Edwin Propst wants the House Special Committee on Federal Assistance and Disaster-Related Funding to subpoena Grace Pitu Sablan-Vaiagae, Kevin C. Guerrero and James Michael Petite.
Citing documents obtained from the Department of Finance, Propst said an “extraordinary” amount of American Rescue Plan Act funds were provided to the non-profit organization of Sablan-Vaiagae, a former Republican House candidate.
Propst said documents showed that Sablan-Vaiagae received a total of $200,000 for Second Wind, and $50,000 for Women of Destiny from the ARPA-funded Building Optimism, Opportunities, and Stability Together or BOOST Program.
Propst said another document indicates that Sablan-Vaiagae received an additional $450,000 for Second Wind and an additional $150,000 for Women of Destiny.
These monies “were outside of the BOOST program,” Propst said.
He also mentioned two other non-profit organizations that received BOOST funds: Covid Care Micronesia in the name of Kevin C. Guerrero, who received a total of $250,000; and One Marianas Initiative in the name of James Michael Petite, who received a total of $250,000.
Propst asked the House committee to subpoena Sablan-Vaiagae, Guerrero and Petite.
“We are looking at extraordinary amounts given to these non-profits,” he said.
He added that Second Wind and Women of Destiny have already been “dissolved.” Propst said he has copies of the articles of dissolution of the two non-profit groups.
He said the House committee must know how these non-profits spent the federal monies. He said he wants to know what these organizations intended to do with the funds they received, and if there was an actual delivery of service.
The people of the CNMI want to know why certain individuals got paid so much, Propst said.
Many of the awardees only started their businesses when they were given federal funds while many of those who had been in business for a long time and were actually affected by the Covid-19 pandemic did not receive any federal funds, he added.
ARPA funds were supposed to help those that needed help and were actually affected by the pandemic, Propst said.
Rep. Ralph N. Yumul, the special committee chairman, scheduled another meeting for Monday to vote on Propst’s motion.
