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No more payroll outsourcing for CPA
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Posted on Nov 10 2006
To save on costs and avoid any more fund mess, the Commonwealth Ports Authority has decided against outsourcing the agency’s payroll processing to another company.
CPA comptroller George Palican said in an interview Wednesday that the agency has opted to handle its own payroll processing rather than hire a company to do the job, which it used to do with Information Data Services. That company currently faces federal investigation.
And to make the job easier, he said that CPA had just purchased a computer software for accounting.
“We’re not outsourcing. We just want to do an in-house accounting. Its money saving,” said Palican.
IDS allegedly failed to transfer over $350,000 of CPA’s retirement contributions to the CNMI government.
IDS was also handling the payroll processing of other companies on Saipan including Saipan World Resort, Hotel Nikko Saipan, and Pacific Islands Club.
The Office of Public Auditor has joined the investigation, looking in particular whether IDS had paid its clients’ taxes.
Meantime, Palican said that it bought the accounting software MAS 90 for $4,714 from White Coconut Computer Service.
“We asked for quotes from three companies for payroll software. The lowest bid was from White Coconut,” he said.
He said CPA used to pay IDS $431 per payroll from September 2002 up to last month.
CPA employs 220 people.
