The bill stated that “Palau’s roadways are essential to the economic life of the Republic, and that providing for growth requires a comprehensive plan to maintain all of the nation’s infrastructure. An essential component of such a plan is a mechanism to finance the upkeep of roads. The completion of the Compact Road has only increased the need for stable, reliable funding to ensure the longevity of the nation’s infrastructure.”
It said that for roadway upkeep, the country should recognize the type of vehicle that travel on the roadways, and to create a financial mechanism that will generate funds that can be applied to maintenance purposes and that the money can be used for road repairs.With the opening of the Compact Road, it is estimated $1.3 to $3 million annual upkeep expense.The National Roadway Trust Fund, to be funded by new tax revenues, and earmarking the proceeds of existing taxes.
