NMI Fund wants exemption from salary cap

Program managers at the NMI Retirement Fund are exploring the possibility of getting exempted from the government’s salary cap, said Fund administrator Karl T. Reyes.

This issue is now before the Fund’s board of trustees for evaluation, he said.

Reyes said most of these managers are long-time employees of the agency, or have worked at the Fund for 15 to 20 years now.

“We have some employees who have been here for 15 to 20 years and their salaries have been maintained…so the possible exemption is one question that’s before the board,” said Reyes.

Among the program managers and directors at the Fund are Frank Cabrera of the Workers Compensation Commission, Dolores Moore of the Group Health and Life Insurance, Mark Aguon of the Investments Division, Mario Taitano of the Benefits Division, and comptroller Noel Soria.

Public Law 13-24, the last enacted budget law, sets an annual salary limit of $45,000 to $52,000 for directors and deputy secretaries and $70,000 to $80,000 for heads of agencies and departments.

The law allows an $80,000 annual salary limit for a department head who has a doctorate degree or a law degree, or who is a U.S. certified public accountant.

Other CPAs, attorneys, and engineers employed by the CNMI government who practice their profession and who have been admitted to practice in a U.S. jurisdiction for at least one year may receive up to $70,000 a year.

Secretaries of Community and Cultural Affairs, Labor, Commerce, and Lands and Natural Resources may get up to $52,000 a year.

The annual compensation for resident department heads and unclassified directors who are considered essential services personnel should not exceed $45,000.

The director of the Customs Division, however, may receive as much as $48,000 while deputy secretaries may receive a maximum of $50,000.

Reyes said he himself is not exactly sure how the Fund board of trustees would approve such a salary cap exemption since the agency is tied with the Civil Service Commission.

The only solution would be to become independent of the commission’s coverage, he said.

“The only way to do that is to get out of the civil service,” he said.

He said some autonomous agencies have done it and adopted their own regulations on personnel matters.