GOVERNMENT agencies are in violation of the CNMI Planning and Budgeting Act for reprogramming local funds to finance federally funded programs, the Office of the Public Auditor said.
Acting Finance Secretary Frank B. Villanueva, in response to OPA’s finding, ordered all government department and activity heads to comply with the law.
In a one-page memorandum, Villanueva said “local funds shall not be reprogrammed to finance federally funded programs if the local funds are used to supplement funds which are no longer funded by the federal government.”
He added, “Please be advised that expenditure authorities are responsible for ensuring that their department adheres to this provision of the Planning and Budgeting Act.”
Rep. Stanley Torres, R-Saipan, said the House Ways and Means Committee which he chairs will bring up this issue during a scheduled session on Wednesday.
Meanwhile, Procurement and Supply Director Herman S. Sablan has called on all government department and activity heads to comply with the CNMI Procurement Regulations on purchase orders.
In an April 17 memorandum, Sablan said all purchase orders should only be used for procurements worth $10,000 or less.
Any procurement in excess of $10,000 will be procured pursuant to Section 2-104 of the Procurement Regulations.
