January 29, 2018
Hagatna – Today, private businessman Simon Sanchez brought alternative solutions to lawmakers: Raise GRT to help GMH.
“As an alternative to Bill 230, I respectfully suggest an interim plan to occur while some of these longer term solutions are well thought out and based on more facts than we know today, are developed, and wisely implemented. First, temporarily raise GRT to 5% for 3 years. To raise an estimated 60 million in annually in tax revenues,” said Simon Sanchez.
Mr. Sanchez also recommended a sunset provision of 3 years. “This will give the Legislature time to study other alternate recommendations, but at the same time, will provide immediate revenues to GMH and Government coffers which will be affected by tax reform.”
Simon’s recommendation is similar to Bill 142-34, which the Governor submitted back in July 2017, and was never afforded a Public Hearing.
“Increasing the GRT is the easiest to implement and it’s revenue impact is more predictable. The proposed GRT increase immediately provides relief as tax cuts impact revenues,” added Sanchez.
“There’s no one single magic bullet. It’s going to take a thoughtful mix of solutions. Some of your decisions will be painful. You’ve all volunteered to do a great job…”
Sanchez supports a dedicated funding to the hospital.