Catholic Social Services Employees Go Unpaid; GovGuam Owes Agency More Than $2 Million

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Guam- Since December 30, Catholic Social Services (CSS) hasn’t been able to pay its employees because the Government of Guam owes the non profit agency over $2 million dollars.

Executive Director Diana Calvo says CSS is a government contractor for programs that service children, the elderly and the disabled. In fact, over 80% of its operations relies heavily on government contracts. However, the agency hasn’t received reimbursements since October for most of these programs.

Calvo also says from from July to November 2010, Govguam owes them over $1.5 million. She mentions if they continue not to make payroll, Catholic Social Services may be forced to opt out of contractual obligations with the government.

“We were not able to make the payroll because we did not have enough funds available to cover our full payroll” said Calvo. “And we have been following up with Department of Administration because we do have invoices that have already been processed and we’re wanting to find out if we’re be able to receive any kind of payments soon.”

Calvo says so far, they haven’t heard back from DOA on their reimbursements. She mentions they are not asking for the entire payment, but enough money to continue paying their hard working employees. She adds she understands the government’s cash shortfall situation, but believes there needs to be a system of payment priorities for its vendors.

The next payroll for Catholic Social Services (CSS) is due next Friday, January 14.