According to the 2008 CNMI government motor vehicle physical inventory report prepared by the Division of Procurement and Supply, Palacios’ office purchased for $17,131 a white 2004 Ford Ranger and is leasing for $595 a month a 2008 Honda CRV.
Palacios, Covenant-Saipan, said the listed purchased car was actually acquired by then-Rep. Jesus SN. Lizama, Covenant-Saipan, during the previous Legislature and was transferred to his office.
“I did not purchase that car. The vehicle in question was assigned to me by House Minority Leader Oscar M. Babauta, Covenant-Saipan, from the office of former Rep. Lizama,” he told Variety.
Lizama did not seek re-election.
Palacios, a freshman lawmaker, said he was not familiar with the process regarding transferring vehicles and so he took Babauta’s offer.
He said he will keep the purchased vehicle for his staff’s use to do errands and community service for his constituents.
Palacios will use his own car instead of the leased vehicle.
“I will return the leased vehicle. I tried returning it earlier (but I was told it would be best to do so after the current fiscal year is over). We are suffering financially and I think even the Legislature should do its share to (observe austerity measures),” he said.
The cash-strapped government is paying at least more than $10,000 a month or $120,000 every year to lease cars for 16 lawmakers.
Rep. Justo S. Quitugua, D-Saipan, said they have “to give business to businesses.”
It’s more cost-effective for the CNMI government, he added, to lease vehicles than buy a fleet of cars.
Some members of the public, however, said lawmakers should just use their own vehicles.
