By Emmanuel T. Erediano
emmanuel@mvariety.com
Variety News Staff
THE House of Representatives will consider House Bill 24-88 in its next session, a measure that would mandate a comprehensive, independent, third-party audit of the Commonwealth Utilities Corporation to ensure financial integrity, operational accountability, and public confidence, according to the bill’s author.
Authored by Rep. Vincent “Kobre” Aldan, the legislation — formally titled the CUC Independent Utility Audit, Decennial Review, and Accountability Act of 2026 — would also require the Commonwealth Public Utilities Commission to open and docket an audit review, conduct a transparent public process, and implement a corrective plan, a ratepayer impact matrix, and a public audit implementation dashboard. The bill sets strict timelines with limited extensions, mandates decennial audits, and establishes compliance reporting and civil penalties for missed deadlines payable to the CNMI Treasury.
In a WhatsApp interview Friday, Aldan said a third-party utility expert, rather than CNMI auditors or anyone with ties to CUC personnel, should conduct the audit. “We need real utility audit professionals, not just regular financial auditors,” he said.
Aldan noted that CUC provides essential electric, water, and wastewater services that affect public health, safety, economic stability, and quality of life. He outlined the key goals of the legislation:
• Ensuring accurate financial reporting, verifiable asset records, effective internal controls, prudent procurement, and transparent performance metrics.
• Validating financial integrity, verifying assets and capital planning, testing billing and collections controls, and identifying deficiencies that materially affect customer bills, system reliability, and public confidence.
• Addressing persistent operational deficiencies, delayed responsiveness, and failures to operate in a businesslike manner through mandatory independent verification with enforceable deadlines and measurable corrective action.
The bill would also require CUC to fund the independent audit and related obligations using legally available revenues.
Aldan said these measures are critical to ensuring the utility operates efficiently and transparently while protecting ratepayers and supporting economic stability across the CNMI.
“The utility provides services that touch every aspect of life in the Commonwealth,” Aldan said. “Independent audits will ensure accountability and restore public confidence in CUC’s operations.”
Emmanuel “Arnold” Erediano has a bachelor of science degree in Journalism. He started his career as police beat reporter. Loves to cook. Eats death threats for breakfast.
