The Commonwealth Development Authority passed a \u201cceremonial approval\u201d on a loan that will be entered in by the Public School System with the U.S. Department of Agriculture.<\/p>\n
In January, PSS was authorized to enter into a guaranteed loan through a law passed by Legislature and signed by Gov. Ralph DLG Torres the amount of up to $5 million from the federal agency.<\/p>\n
The issue comes to CDA because it needs the agency\u2019s approval as the authorized entity to transact with USDA-Rural Development.<\/p>\n
During the discussion, the CDA board clarified if the board would have liabilities on the loan if they approved it. <\/p>\n
Director Ignacio Kiyoshi also raised the concern on PSS\u2019 ability to pay. <\/p>\n
\u201cAlready we have experienced a pattern with PSS and NMHC,\u201d Kiyoshi said. \u201cI know for a fact PSS has been approved for certain millions by the Department of Interior for ABC project.\u201d<\/p>\n
\u201cI\u2019m in favor of PSS, I have no problems with that. But my concern here is the ability of that agency to pay back that copious amount of money,\u201d he added.<\/p>\n
According to CDA management, there will be no liability for CDA should PSS fail to pay its obligations. <\/p>\n
The board passed the motion to \u201capprove the PSS-USDA Rural Development program loan with the exceptions that were noted that the cap is $3 million and that it would exonerate CDA from any defaults or guarantee.\u201d<\/p>\n
\u201cIt\u2019s a ceremonial approval because we don\u2019t have any liability on that,\u201d CDA board chair Ignacio Perez said.<\/p>\n
With this, PSS will be allowed to have $3-million loan agreement with USDA-RD which will be a 10-year term and with an interest of 3.75 percent.<\/p>\n
PSS said the money will be used to construct additional 10 classrooms that are needed as school population rise.<\/p>\n
Two new kindergarten classrooms will be built in Garapan, Koblerville, and Oleai elementary schools as well as another two classrooms for Dandan Middle School.<\/p>\n
Parking lots for Tinian Elementary School, Sinapalo Elementary School on Rota, and the PSS head start center in Garapan will also be paved.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Commonwealth Development Authority passed a \u201cceremonial approval\u201d on a loan that will be entered…<\/p>\n","protected":false},"author":23,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[54,366,40,3972],"class_list":["post-221985","post","type-post","status-publish","format-standard","hentry","category-local-news","tag-agency","tag-cda","tag-pss","tag-sinapalo-elementary-school"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/221985","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=221985"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/221985\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=221985"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=221985"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=221985"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}