The Chamorro Land Trust Commission has issued no rent abatements or rent deferrals in light of the COVID-19 pandemic, the Office of the Public Auditor stated in its latest report.
According to the public auditor, CLTC management believes their revenues will remain steady despite COVID-19 because they are fixed income in nature and that lessees will have adequate time within the next fiscal year to pay their rental dues.
CLTC is continuing to invoice commercial leases and licensees and has not granted any rent abatement or rent deferrals.
According to OPA, CLTC did see a minor decrease in revenues from commercial lease rentals ($4K), agricultural and residential lease rentals ($3K), and collections from Land for the Landless Program ($17K).
A separate letter was issued by OPA to CLTC management citing control deficiencies pertaining to leases, special fund revenues, and office lease.
These deficiencies are:
- Commercial leases did not have formal lease agreements, were expired, or did not have appraisals when renewed and extended;
- Two agricultural lessees hold two separate leases in separate villages;
- A residential lease was transferred without meeting the seven-year requirement as per CLTC rules;
- Special revenue fund collections totaling $404,000 were recorded, however, no cash transfers were made to the respective fund bank accounts; and
- CLTC’s office lease did not explicitly disclose terms stipulating the commencement date.