SENATE President Edith Deleon Guerrero on Friday created a special committee to investigate the expenditures of Community Disaster Loan funds that the CNMI government received from the Federal Emergency Management Agency during the Torres administration.
Deleon Guerrero earlier requested the Office of Public Auditor to look into the $93 million that FEMA awarded the CNMI government in 2021 for which then-Gov. Ralph DLG Torres was the expenditure authority.
The Senate president wants OPA to know which of the CDL funds were recorded and accounted for, how they were spent, the total amount of reimbursements made, and which activities or programs received reimbursements, among other things.
In her memorandum on Friday, Deleon Guerrero named Senate Vice President Donald M. Manglona as chair of the committee, while Senate Floor Leader Corina L. Magofna will be the vice chair and Sen. Jude U. Hofschneider is the member.
Deleon Guerrero tasked the special committee to review all related financial transactional expenditures of the $93 million FEMA disaster loan funds.
She said an “in-depth review from inception of receipt of the $93 million is necessary so that we can…understand and validate the corresponding financial transactions in relation to these funds to include the need for public transparency and accountability of the funds.”
She said OPA has also received her request to audit Torres’ expenditures of FEMA funds.
Deleon Guerrero said “the need for this review is pressing” considering the CNMI’s dire financial situation, and Gov. Arnold I. Palacios’ decision to line-item veto Section 705(c) of the revised fiscal year 2023 budget or Public Law 23-4, which proposed to reserve $7.2 million in CDL monies for Medicaid matching.
She wants the special committee to report back to her within 60 days.
A similar committee was formed by the House of Representatives to investigate Torres’s spending of federal funds.
Chaired by Rep. Ralph N. Yumul, it will meet at 10 a.m. on Tuesday in the House chamber.
Senate President Edith Deleon Guerrero speaks during a recent Senate session.
