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Yumul: Investigate reports of housing benefits abuse
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Posted on Mar 19 2009
Rep. Ray Yumul has asked Public Auditor Michael Pai to look into allegations that some government employees are receiving housing benefits contrary to the law.
“The concerns coming out within government is that certain off island hires, specifically expats are being given housing benefits,” Yumul said.
The representative said on Sept. 30, 2005, Public Law 14-91 established a sunset provision, repealing housing benefits or allowance of $600 per month for an employee without dependents or $800 per month for an employee with dependents. The provision said regulation in effect on Aug. 1, 2005 should remain in effect for not more than two years.
“Therefore, all new government employment contracts after October 1, 2007 should not have included housing benefits,” Yumul wrote in a letter to Pai. “However, it has come to my attention that many contracts executed after October 1, 2007 included benefits.”
Also, he wrote, even if employees are authorized to receive benefits notwithstanding PL 14-91, there is a five-year restriction. But there are reports some employees are receiving benefits in excess of five years, he added.
“This matter is of great importance considering the declining economy and government resources,” Yumul said. “Moreover, it is not fair for resident employees in similar positions that do not receive housing benefits for their off-island hire counterparts to receive housing benefits if it’s in violation of the law or if there is no regulation authorizing such an entitlement.”
More importantly, the representative added, Gov. Benigno Fitial has indicated a need to furlough employees due to budget reductions.
“Accordingly, housing benefits for each government office could be better spent on operational needs or on personnel needs of the office,” he said.
