Norita says $200M in invested ARPA funds depleted in 2022
Department of Finance Secretary Tracy B. Norita said on Monday that the $200 million of American Rescue Plan Act funds was indeed invested in 2021 and depleted in 2022.
Norita said during a press conference that to address the Senate’s concern and inquiry regarding the $200 million in invested ARPA funds, she would like to finally put this issue to a close.
She said the $200 million was indeed invested by the previous administration in 2021, however, the entire amount was withdrawn and depleted in 2022.
“This was a finding of the fiscal response committee back in 2023. It is old news. However, we’d like to close this issue since it has resurfaced again,” said Norita during the press briefing held in the Office of the Governor’s conference room.
Senate President Edith E. DeLeon Guerrero (D-Saipan) recently requested Norita for information on the $200 million ARPA funds that the previous administration deposited in a trust account.
DeLeon Guerrero also requested Bank of Guam to provide her with all information relating to the trust account at BOG that was opened by the previous administration with former Department of Finance secretary David DLG. Atalig.
The president said with the current financial condition of the government, it is important to know that funds are available.
Norita said on Monday that the administration continues to manage what ARPA funds they were able to recover.
Norita said those funds are used primarily on critical obligations or things that have already been obligated and must be paid for.
She said they have also identified costs that they must take care of such as utilities, fuel, and communications.
“Those are critical expenditures,” said Norita, adding that they are focusing on recovering 1% of remaining ARPA funds.
She said recovering those funds looks like going after any contracts that maybe canceled.
The secretary said as they recover those funds, they pay outstanding balances and outstanding contracts.
Norita said they are expecting a Federal Emergency Management Agency reimbursement.
She said the FEMA reimbursement has been announced already, however, those funds again will be going towards obligated funds.
Norita said the largest obligation that they have for ARPA funds is the Group Health & Life health insurance contract that they have with Aetna Life Insurance Co.
She pointed out that although they are expecting a $15-million reimbursement from FEMA, those funds are already obligated toward things such as the health insurance plan, which costs $13 million for this year alone plus arrears that were not paid in the past.
Tracy B. Norita
