June 2, 2025

Four agencies identified as Y2K critical

A Y2K project team composed of local and federal computer experts has identified four government offices as the most critical agencies which must receive the federal government's million grant for computer system upgrading program.

A Y2K project team composed of local and federal computer experts has identified four government offices as the most critical agencies which must receive the federal government’s million grant for computer system upgrading program.

Identified as Y2K critical agencies are the Commonwealth Health Center, the Commonwealth Utilities Corp., the Department of Finance, and the Public School System.

The CNMI is receiving a total of $1.38 million from the Y2K grant which will come from the Office of Management and Budget.

The Department of Interior said that upon instruction from OMB, it will have to monitor and scrutinize the disbursement of Y2K funds, which are given only to US. insular territories.

Insular Affairs acting Director Danny Aranza said the “authority of OIA to pay for project work already underway or completed is severely restricted by OMB.”

In a letter to Gov. Pedro P. Tenorio, Aranza said OIA has been required to “develop and implement comprehensive plans for maximum accountability over the expenditure of these funds.”

Aranza said the fund monitoring task will be performed by the General Accounting Office and the DOI’s inspector general.

The Y2K project team, meanwhile, noted that since CHC is the only government hospital and the primary provider of health care in the CNMI “health care would be severely compromised” if its system failed to operate.

As for CUC, the project team observed that utility billing and accounting system software and some hardware components used by the agency are not Y2K compliant.

“As revenues necessary to pay for fuel, repair parts and personnel are generated from the sales of utility services it is critical to ensure that this system be functional until year 2000,” the report said. “CUC has been modernizing the system over the past year, but the funding is needed for the final upgrades.”

The other critical agency identified by the project team is DOF, which needs a replacement for old hardware platform which still carries the old system.

“CNMI has been gradually reprogramming portions of their tax system and pulling it off the old hardware but funding for this effort has been depleted,” the report added.

PSS, has also been determined to be a recipient of the federal grant, as its system was originally funded by the federal government when it was first installed.

Aranza said OIA will be hiring qualified computer experts as its Y2K site managers for insular areas.

He said the site managers, who are expected to arrive in 30 days, will work with local officials to establish repair priorities and to facilitate federal contracts or grants as necessary for procuring the hardware, software and services.

DOI encouraged the local government to purchase computers from qualified local vendors.

“Where local vendors are not available or cannot perform the required services, OIA will arrange for the work to be accomplished by outsider vendors certified by the Government Services Administration,” Aranza said. (MCM)

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