Senate passes bill for $15M MPLT line of credit

The Senate passed yesterday with some amendments a bill that authorizes the CNMI government to negotiate a revolving line of credit with the Marianas Public Land Trust in the amount of $15 million.

With all six senators present at a special session voting “yes,” House Bill 23-77, in the form of Senate Draft 1, passed the Senate. The legislation goes back to the House of Representatives for action.

Sens. Donald M. Manglona (Ind-Rota), Celina R. Babauta (D-Saipan), and Corina L. Magofna (Ind-Saipan) were absent but excused from the session.

Senate President Edith E. DeLeon Guerrero (D-Saipan) thanked acting Office of Planning and Development director Elizabeth Balajadia, OPS senior civil engineer Mariano Iglecias, and Finance Secretary Tracy B. Norita for joining the session. DeLeon Guerrero said they had a thorough conversation and clarification from the three Executive Branch representatives.

Sen. Francisco Q. Dela Cruz (R-Tinian) said he was concerned at the start why Tinian and Rota are not included in the proposed Economic Development Authority projects, but understands that this bill is critical. He said he supports something that would benefit the CNMI and not only Saipan.

“I hope that we can spend all those $97 million and not lose the opportunity,” the senator said.

When asked how many construction companies are affected by the touchback provision of the NMI U.S. Workforce Act, Balajadia said she believes all construction companies in the CNMI are affected by this. The touchback provision requires foreign workers in the CNMI to exit prior to the renewal of their third consecutive work contract.

Balajadia said, however, that majority of EDA projects right now are in the design phase. “Even if we complete the design, we’re going to have to bid it out for construction and design may take up to six months to eight months,” she said.

Balajadia said they would like to finish some of these projects in maybe four months from now.

“But yes. To answer your question, I think all of them are affected by the touchback,” she said.

In their Aug. 14, 2023, letter to MPLT board of trustees chair Phillip Mendiola-Long, Gov. Arnold I. Palacios and Lt. Gov. David M. Apatang said the revolving line of credit will facilitate the construction progress of federally funded capital improvement and broadband infrastructure projects.

They said movement on these projects will also facilitate revenue generation from construction activities, thus supporting revenue generation and tax collection.

Marianas Public Land Trust office on Capital Hill.