To date, the CNMI is still waiting on the Federal Emergency Management Agency to reimburse $32.5 million in costs associated with the devastation brought by Super Typhoon Yutu in 2018, according to Finance Secretary David DLG Atalig yesterday, although some of that amount may be deemed \u201cunallowable expenditure.\u201d<\/p>\n
Testifying before the House of Representatives Committee on Ways and Means chaired by Rep. Donald M. Manglona (Ind-Rota), Atalig said their system reflects that the CNMI\u2019s running expense balance for Yutu\u2019s devastation is $32.5 million, pending FEMA reimbursement.<\/p>\n
\u201cThis is my running balance in my system that we either need reimbursement or deemed unallowable expenditure,\u201d the secretary told Saipan Tribune when asked for clarification.<\/p>\n
In response to Rep. Leila Staffler\u2019s (D-Saipan) question for clarification, Atalig said the CNMI spent over $100 millions for Yutu if they include all expenditures, including costs from component units. <\/p>\n
Atalig said it\u2019s all recorded as one huge disaster account. <\/p>\n
To date, he said, the CNMI has received $29.7 million in reimbursements for Yutu. <\/p>\n
Atalig said Yutu and COVID-19 are two different disasters and are accounted for separately. <\/p>\n
He said in the first quarter of fiscal year 2021, the Commonwealth received $5.4 million in reimbursements for Yutu expenses.<\/p>\n
\u201cWe are still continuing to press on reimbursements from Yutu,\u201d said Atalig, adding that to date they have many requests for reimbursement for that typhoon\u2019s expenses.<\/p>\n
He said they also submitted a request to reconsider those expenses that have been classified as non-reimbursable, although he said he does not have the details of the total number of what are deemed non-reimbursable.<\/p>\n
\u201cI am aware of one line item that\u2019s very clear. And that\u2019s the payroll of Yutu overtimes and response costs. Strictly on payroll,\u201d said Atalig, citing that the CNMI incurred a total of about over $16 million for Yutu overtime payments. He said the CNMI only received $8 million as reimbursement.<\/p>\n
\u201cSo in my book, it\u2019s about 50%, half of that is being non-reimbursable and which the central government is liable,\u201d he said.<\/p>\n
Atalig said they do have a lot of project awards that are still pending to be completed such as the hazard mitigation projects. He said they\u2019re looking at over $100 million worth of projects still waiting to get off the ground. Some of those projects are with the Commonwealth Utilities Corp.\u2019s power division.<\/p>\n
\u201cI believe it\u2019s over 1,000 more concrete poles that are still pending through hazard mitigation program,\u201d he said.<\/p>\n
Atalig said there is also this underground power project from the power plant in Lower Base to the Commonwealth Healthcare Corp. He said he believes CUC is still working on getting the underground power project to the airport.<\/p>\n
He said the projects are going through a lot of permitting requirements that take time such as environmental assessments and reports.<\/p>\n
Atalig said it\u2019s a challenge for the CNMI to contract out these projects, especially with the labor shortage. \u201cThe administration is working on different avenues to find ways to bring in construction laborers,\u201d he said.<\/p>\n
Unfortunately with the pandemic, it is not helping the CNMI\u2019s progress. \u201cBut it has not been forgotten. There\u2019s a lot of projects and more projects that can help our economy and also harden our CNMI,\u201d he added.<\/p>\n","protected":false},"excerpt":{"rendered":"
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