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CPA directed to follow govt salary caps
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Posted on Jul 04 2008
The Commonwealth Ports Authority has been ordered to follow government salary caps.
CPA executive director Lee Cabrera said in a memorandum that all personnel on contract who are making higher than the $50,000 ceiling would have their pay rate brought down to $50,000 a year.
Cabrera’s memorandum comes after meetings with Gov. Benigno R. Fitial, who had opposed exemptions to the salary cap law.
“Not only is CPA being cited for [violating the Compensation Adjustment Act] by the auditors, but more importantly is that that this is a violation of the law,” said Cabrera.
“I understand everyone’s sentiment on past management’s salary violations and or gratification; however, please note that that our previous staff attorney and present legal counsel have provided legal opinions and are strongly recommending that CPA immediately comply with the law,” he added.
The adjustment went into effect in the pay period beginning July 22, 2008.
It is not known how many employees were affected by the salary reduction. Telephone calls to Cabrera were not returned at press time.
Fitial also recently ordered the ports authority to adhere to the per diem rate scale established by the Department of Finance. Prior to the governor’s order, CPA paid higher rates to employees traveling on public funds.
CPA has said the higher per diem rates were needed because “current rates are no longer realistic and … rates conforming to those established by the Federal Aviation Administration more equitably cover costs incurred by employees of the Commonwealth Ports Authority during off-island travel.
But Fitial said there should be consistency in the per diem rates paid by all government agencies, including the autonomous agencies.
CPA is currently under a state of emergency because of its problems with meeting the requirements of its airport revenue bond. CPA management reports directly to the governor.
