Yesterday, the Port Authority of Guam Board of Directors passed a resolution that authorizes management to present to both the Governor and the 36th Guam Legislature Oversight Committee chairperson. The resolution was a request to introduce proposed legislation to amend Public Law 35-44 which is relative to projects funded by revenue bonds.
Here is PNC’s Don Sulat with the report
The Port of Guam’s recent resolution seeks to not only authorize Port Management to have reprogramming authority, but to also propose a removal of the caps set on Port projects in accordance with Guam Coded Annotated.
According to the Port Authority of Guam – the Port, through Public Law 34-70 obtained $71,445,000 in revenue bonds to finance certain capital improvements and to refinance all or a portion of outstanding loans to the Port – as part of their modernization program.
Public Law 35-44, is an amendment to the aforementioned P.L.34-70, and authorizes the reprogramming of the Port Authority revenue bonds proceeds and amending the capital improvement projects.
However, according to the Port, the construction cost estimates outlined in the revenue bond mandates that were obtained in 2014, have “always been severely underfunded.”
But, according to Port General Manager Rory Respicio in an interview with PNC, says that the first time that they approached the Guam Legislature to remove the caps, there was “no appetite” to do so, but given recent data, they hope for a change.
Here is an estimated list of some of the figures and projects that the port are working on, according to Respicio and the statute: Hotel Wharf, without the tiger grant is around $13M. Warehouse 1 which is around $4M. Golf Pier which is around $2M. However, Respicio highlights that the spending or budget that they are allowed to are “up to.”