Senate approves $2M ‘incentive’ budget for CPA

After contentious deliberations over proposed amendments to the $2 million appropriation bill for the Commonwealth Ports Authority, the Senate finally passed the bill yesterday—without the amendments.

House Bill 14-338 aims to give CPA the money “to provide incentives to the airlines and defray some of the costs of doing business in the Commonwealth.”

The bill was jointly authored by gubernatorial candidates House speaker Benigno R. Fitial and Rep. Heinz S. Hofschneider on May 25 and passed at the lower chamber that same day. In the bill, Fitial and Hofschneider said the additional funding is needed in view of the looming pullout of Japan Airlines from the CNMI this year.

The bill taps funds from the Saipan local delegation.

During yesterday’s session, Saipan senators Pete P. Reyes and Thomas P. Villagomez clashed after Reyes offered to amend the bill to ensure reimbursement of funds to the delegation.

“This is money coming out from [the] Saipan delegation. I have no problem with CPA getting the funds but should we not require the administration to reimburse the local delegation?” asked Reyes, who is chair of the Saipan and Northern Islands Legislative Delegation.

Villagomez said the money had already been identified and that the bill should be passed in its original version. He also suggested that the local delegation better meet first to discuss the matter among themselves.

“We should just decide it ourselves. Why burden the Tinian and Rota lawmakers with this?” asked Villagomez.

Reyes said the delegation needs money to funds important projects. “I want reimbursement,” he said.

Saipan senator Luis Crisostimo then joined the discussion by asking, “Why give this money to CPA, why not CUC?”

He said the government should better give CUC money, especially during the emergency period to resolve the power crisis. He also said that taking the $2 million could jeopardize the scholarship program.

Both Reyes and Villagomez disagreed, saying that the scholarship money has been set aside.

Crisostimo, who is also eyeing the gubernatorial post, then noted that the bill must be very important since “no less than speaker Fitial and [Rep.] Hofschneider introduced it.”

Tinian senator Joseph M. Mendiola, chair of the Senate Committee on Fiscal Affairs, also explored the possibility of dividing the money between CPA and the Marianas Visitors Authority.

“MVA just came here, practically begging for funding but up to now, we’ve not identified such funds. If there’s an agency that should share the funds, it’s MVA,” said Mendiola.

After some more exchanges, Senate President Joaquin Adriano declared a recess shortly after 3pm, putting off the session until 1pm on Monday.

At about 3:30pm, the presiding officer called in the members to resume the session.
They passed the bill without amendments and recessed at about 4pm.