“The invoices that we received first are settled first,” Tenorio said in an interview.
Although majority of MVA vendors are in the key markets of Japan and South Korea, Tenorio said they also have liabilities here.
“We have local vendors as well,” he added.
Like other government agencies, MVA’s budget continues to shrink.
In fiscal year 2009, MVA was appropriated $6.61 million under Public Law 16-32.
“MVA’s total assets exceeded liabilities at the end of FY 2009 by $185,959 compared to $710,709 and $1,580,455 at the end of FY 2008 and 2007, respectively. Unrestricted net assets for the fiscal years 2009, 2008 and 2007 were $138,959, $642,740 and $1,525,645, respectively,” according to MVA’s audited financial report for 2009.
“MVA experienced a decrease in net assets in fiscal year 2009. This is due primarily to a decrease in appropriations from the CNMI government,” it added.
In FY 2010, MVA’s budget was reduced to $6.1 million.
This fiscal year its appropriations were cut anew by 20 percent.
“We’re operating within the authority given to us by the Legislature,” said Tenorio.
MVA is supposed to receive at least $533,000 from the general fund every quarter.
Its allotment, however, was not given in full, causing delays in payments to vendors which were not identified.
But Tenorio said they are trying their best to cope with the situation.
“The administration is trying as best as it can to manage with the limited resources that we have in terms of cash,” he said.
