It’s been 10 days since 11 Senators stripped GMH, DOE and GovGuam of a funding source

July 27, 2018

Hagåtña — It has been 10 days since 11 Senators rolled back the revenue source needed to address the $145 million shortfall caused by federal tax cuts, and stripped the Guam Memorial Hospital and Department of Education of $40 million in dedicated funding source.

Currently, government services are operating normally — funded through an adjusted budget that includes a $30 million reduction in expenditures and a 1 percentage point increase in the BPT. The government continues to pay its obligations including tax refunds – $4 million of which is being processed today. Additionally, the economy is growing, and we have an unemployment rate of 4.4%.

But that could change in October after Senators repealed Public Law 34-87 but provided no solution of their own to fill the anticipated revenue gap for Fiscal Year 2019. Their actions place the government and the economy in jeopardy.

But you don’t have to take our word for it:

Chief Economist Gary Hiles of the Guam Department of Labor said if the sales tax is removed and not replaced the shortfall would require a reduction in GovGuam employee work hours or layoffs, then employee wages would decline significantly enough to adversely affect the economy.

“And that would remove the growth in the economy,” he said. (As quoted by the Pacific Daily News)

One of the Legislature’s two jobs is passing a budget. Contact the Senators today and tell them that the Legislature needs to pass a responsible budget.

Speaker BJ Cruz: 477-2520/1;

Vice Speaker Therese Terlaje: 472-3586;

Sen. Regine Biscoe Lee: 472-3455;

Sen. Thomas Ada: 473-3301/02;

Sen. Joe S. San Agustin: 989-5445;

Sen. Telena Cruz Nelson: 989-4678;

Sen. Michael F.Q. San Nicolas: 472-6453;

Sen. Dennis G. Rodriguez, Jr.: 649-8638/0511;

Sen. Frank B. Aguon: 475-4861/2;

Sen. James Espaldon: 475-4546;

Sen. Tommy Morrison: 478-8669;

Sen. Mary Torres: 475-6279;

Sen. Louise B. Muna: 969-9852/9853;

Sen. Wil Castro: 969-1225/6;

Sen. Fernando B. Esteves: 969-3376;

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