THE CNMI now has the strength and promise to grow beyond pre-pandemic life, Finance Secretary David DLG Atalig told the House Ways and Means Committee on Tuesday.
Chaired by Rep. Donald A. Manglona, the committee invited Atalig to discuss, among other things, the fiscal year 2021 financial report as well as reports on the expenditures of federal financial assistance such as those provided by the American Rescue Plan Act.
Present in the meeting aside from Manglona were the committee vice chair, Rep. Corina Magofna, and members, Reps. Leila Staffler, Tina Sablan, Edwin Propst, Richard Lizama and Vicente Camacho.
With Atalig was his department’s financial services manager, Vinnie Hocog, and fiscal analyst Travis Calvo.
In his opening remarks, Atalig told the lawmakers that the past two years have been unprecedented on many fronts. “Never had we witnessed a collapse in the economy as we saw in 2020 when international flights ceased arriving into the CNMI. Never had we witnessed the impact to employment and business retention as a result of a global pandemic. And never have we been given such a large amount of federal resources to respond to this challenge.”
Today, while the Commonwealth remains at the stage of response and recovery, Atalig said due to the efforts of the administration and the Covid-19 Task Force, “we are in a position of great strength and promise to be able to rebuild and grow beyond our circumstances prior to the pandemic.”
He added, “It was through the efforts of the Torres administration that the CNMI remained one of the safest places in the nation during the heights of this pandemic. It was through this administration that the delivery of vaccinations was made efficient and widespread, leading to a total vaccination rate of more than 99% across eligible individuals in our community today. It was through the early work of this administration that laid the foundations for a recovery of not just our tourism industry, but the wider possibilities of entrepreneurs and businesses throughout our islands. It was through this administration that our first responders and our taxpaying residents received compensation that would allow them to mitigate the impacts of this pandemic and support the wider economy seeking normalcy. And it was the Torres administration that continued to keep its promises of full pension benefits to our retirees even during the worst of financial conditions.”
Leadership and ability
According to Atalig, all this was accomplished through leadership and the ability to utilize the available resources to respond and keep the community safe.
“It is critical to realize that our successes against this pandemic cannot be separated from our progress in our economic recovery and our ability to rebuild the basis for this government’s revenue generation is founded on the expenses we have made to keep the community safe,” he added.
Atalig presented the report with a lengthy list of items “that paint the picture of the cost of this tremendous success for our community.”
“I have made this information available to you and look forward to clarifying any questions you may have on the expense of funds and the activities of the Department of Finance,” he told the committee members.
Modern financial management system
Atalig also talked about his department’s modern financial management system which he said will help bring the CNMI government into the 21st century.
He said during this pandemic, Finance has launched a modern financial management system that replaced a decades-old, outdated and obsolete platform.
This new system, he said, will ensure greater accountability and efficiency in the management of the CNMI’s finances, and will be the foundation of new and modern methods for residents to interact with their government in a transparent and accountable manner.
“We are the first administration to allow for the payment of Business Gross Revenue Tax — the largest of the CNMI’s revenue sources — online, creating new and time-saving methods for businesses to pay their taxes and support government services,” Atalig said.
He also said that Finance is in the process of simplifying the business development process with the creation of the “energov” platform that will streamline government permitting and pave the way for new business development, economic growth, and greater revenue generation possibilities.
Making life easier
Atalig said the administration will continue to “make life simpler for residents throughout these islands,” adding that this goal is “built on the realization that the government cannot legislate business growth, it cannot legislate job creation, and it cannot mandate recovery.”
“We have endeavored to recognize that government must make the process of doing these things, by hardworking men and women in the private sector, easier. We are well on our way to doing these things for the first time in generations,” he said as he expressed hope that they, the lawmakers “can allot time to understand and hear about the road ahead, the accomplishments we have put into place, and the monumental leaps we have made to see these islands prosper.”
David DLG Atalig
