A bill proposing an out-of-the-box concept for funding the maintenance and repair of village sports facilities was presented to the mayors Wednesday morning.
The author of Bill 50-36, Sen. James Moylan, says that with the government’s financial constraints there are challenges.
He says when the government needs funds for public projects it has the option to go into a private-public partnership.
He says public-private partnerships allow the option for businesses to choose to pay their taxes toward priority public projects in exchange for tax credits over a period of time.
He says the Mayors’ Council of Guam would have regulatory oversight to approve and prioritize projects, as proposed in the bill.
“PPPs will allow for the repairs of facilities under the jurisdiction of village municipalities …you own this… not the legislature or anybody else…it is owned by the mayors’ council,” Moylan said.
Private infusion equals public benefits — that is what it is all about, Moylan said, adding that businesses will raise the moneys for these ongoing projects in a cost-effective way.
“The total bill attributes $2 million coming from different tax sources — BPT and also use tax as well. But we are limiting this to $500,000 per year for a four-year period,” the senator said.
Moylan cited examples of successful public-private partnerships such as the repair of the Harmon Industrial park roadway as well as the upcoming repairs of the Southern High School auditorium.
The mayors passed a resolution supporting the bill. The legislature has yet to schedule a hearing for the bill.