Guam – Governor Calvo has announced that $1.8 million dollars will be provided to GMH for the payment of previously frozen salary increments.
The funds will come from certain departmental debt payments. GMH Management must agree to use the transferred funds only for employee increments, according to a release from the Governor’s Office.
The release also touts the Governor’s signing of Bill 132 Monday which authorizes GMH to take out an additional $13 million dollar loan to pay down its vendor debt which is roughly $20 million.
READ the release from the Governor’s Office below:
“This administration is committed to helping Guam’s most vulnerable. The Guam Memorial Hospital serves everyone – the insured and uninsured, those who can pay and those who cannot. Granting this loan to GMH will help save lives. It’s also important to give its hardworking employees what they are due. They save lives every day. ” –Governor Eddie Baza Calvo
Vendors to be Paid; Governor Calvo Focuses on GMH Finances
Hospital vendors who supply blood products, medicine, and other supplies, equipment and services to GMH soon will see major relief. With the news that the deficit has been replaced by an historic surplus in the government, Governor Calvo turned his attention to helping the hospital with its financial problems. Yesterday afternoon, Governor Calvo signed Public Law 32-043, authorizing a $13 million loan to the GMH to pay vendors. Governor Calvo agreed to use Compact-Impact funds as the repayment source for this loan.
$1.8 Million for Employee Increments
Governor Calvo also directed the payments of certain departmental debt to GMHA providing $1.8 million for the payment of GMHA employees’ previously frozen salary increments. This transfer is subject to GMH management agreeing to use the money only for its obligations for employees’ increments.
Sustainable Revenue Generating Solutions for GMH
Governor Calvo has always been in favor of legislation that will help the hospital with its financial obligations. He will continue looking at sustainable revenue generating solutions for Guam’s only public hospital.