‘Abbreviated contracts not out of ordinary
In light of the economic situation, shorter contracts for government employees are not out of the question, says press secretary Charles Reyes
Contracts are normally for a year at a time but 90-day contracts have been going on for several months. In fact, Reyes said, the administration was forced to negotiate some contracts for six months because of the difficult financial situation in the CNMI.
“Everyone knows the serious financial situation in the government. Everyone has known this from the start,” the press secretary said.
The CNMI is poised to soon receive $43 million in funds as part of the American Recovery and Reinvestment Act. The majority of the stabilization money will go to the Public School System. But 18 percent, or $8 million—available at the governor’s discretion—will go toward funding government salaries, Finance Secretary Eloy Inos said last week. The earmarked funds should be available in 30 to 45 days.
This is one more reason for shorter contracts to be negotiated, Reyes said.
While the government is confident they will receive the stimulus funds, Reyes said there is never any guarantee.