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OPA is owed $6.5M by autonomous agencies
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Posted on Apr 02 2008
Autonomous agencies owe $6.5 million the Office of the Public Auditor, it was bared as the House of Representatives passed yesterday a bill exempting the Commonwealth Utilities Corp. and Northern Marianas College from the requirement to contribute 1 percent of their budgets to OPA.
Data from OPA showed that OPA has failed to collect a total of $6.5 million in contributions from autonomous agencies since 1996.
CUC owes the largest amount at $3.95 million. The Commonwealth Ports Authority follows with a debt of $1.3 million. The NMI Retirement Fund and the Tinian Casino Gaming Control Commission owe OPA nearly $500,000 apiece. The Northern Marianas Housing Corporation is also behind in payments, owing nearly $300,000.
The Commonwealth Development Authority is the only agency that is current in its payments to OPA. CDA settled its $174,468 debt to OPA last fiscal year.
The failure of autonomous agencies to contribute to OPA means that OPA has been relying heavily on allotments from the central government, as well as federal aid, for funding.
House Bill 16-33, as passed by the Lower House, will make legal CUC’s nonpayment of the OPA fee. The intent is to save CUC—and ultimately its customers—the $1.17 million that is due OPA.
The bill will also exempt NMC from the payment requirement, potentially saving the college some $50,000 a year.
The bill passed with a 16-2 vote. Rep. Ray Yumul abstained, and Rep. Diego T. Benavente was absent.
Representatives Tina Sablan and Edward Salas voted against the legislation. Salas expressed concern that the bill might set a precedent for other autonomous agencies interested in a similar exemption and leave OPA with insufficient funding.
