Bordallo Too Stands By Decision To Let Camacho Reprogram Compact Impact Funds To Schools

By Jeff Marchesseault

GUAM - His explanation is short and to the point, but he doesn't say he's sorry. In a statement to island media this morning Assistant Secretary of the Interior for Insular Affairs Tony Babauta said he gave Governor Camacho the authority to reprogram federal funds on Friday in order to save jeopardized jobs at public schools. He said he was responding to a request from Guam Congresswoman Madeleine Bordallo.

In a separate statement from Bordallo this morning, the island's House Rep also clarifies her position but offers no apology for her actions.

Both Babauta and Bordallo stand by their mutual decision to arrange for emergeny reprogramming authority for the governor, just in case he needed the power to borrow funds from previously programmed Compact-Impact reimbursements to the Territory so he could prevent federally-supported educators from being temporarily 'separated' from their jobs.

In an interview broadcast on NewsTalk K57 Radio on Friday, the Governor said he knew nothing about Babauta and Bordallo's plans and wasn't so much as notified or asked whether it was a good idea or a bad one.

According to Pacific News Center, the Governor expressed some annoyance Friday that he was not consulted by either the Congresswoman or Babauta before Bordallo announced that Babauta had granted the Governor authority to use the 2010 Compact Funds.

Since Babauta and Bordallo's 'swift, decisive action,' the Governor has issued an Executive Order preventing the use of previously committed Compact-Impact funds and utilizing other resources to cover the employees' next payroll, and he has vowed to work with the Legislature to develop an interim solution.

Read the Pacific News Center story, "Babauta Issues Statement On His Role In DOE Federal Funding Flap", November 21, 2009.

Read the Guam News Factor blurb, "Governor Axes Compact-Impact Bailout Of Guam DOE" and the Governor's executive order announcement, Friday, November 20, 2009.

Read the Guam News Factor opinion, "Governor's Right On The Money: Guam Superintendent Must Make Tough Decisions NOW!," November 20, 2009.

Here are the two official statements explaining Babauta and Bordallo's joint action:

November 21, 2009 -- "Yesterday, responding to a request from Congresswoman Madeleine Bordallo, I agreed to provide the necessary authority to Governor Camacho to reprogram a portion of Compact Impact funding previously awarded to Guam. Given the circumstances presented and the availability of funding not yet drawn down by Guam I felt it was important to provide the Governor discretionary authority to prevent layoffs in Guam's school system."

November 21, 2009 – Washington, D.C. – Congresswoman Madeleine Z. Bordallo today sent a letter to Governor Felix Camacho clarifying her efforts to assist the Guam Department of Education in its current financial crisis. In her letter, Congresswoman Bordallo states that although a local solution for bridge financing would be ideal, an alternative based on Compact-impact funds is available to the Governor to avert layoffs. The use of Compact-impact funds could serve as a bridge funding until the Guam Department of Education (Guam DOE) receives its FY 2010 consolidation grant or until reprogrammed grants are made available to Guam DOE and would serve as an option that would prevent over 300 federally funded employees from being laid off.

In the letter, Congresswoman Bordallo provides further information on her decision to seek assistance from Assistant Secretary Tony Babauta and also addresses the issue of deferment of Compact-impact grant requests.

"I proceeded with securing Assistant Secretary Babauta's commitment and U.S. Department of Education's (USDOE) cooperation because whether or not (Governor Camacho) used the authority and flexibility offered to (him), or if (he) used local resources instead, it meant that there would always be a safety net for the next few months that would allow Guam DOE to cancel layoff notices," Congresswoman Madeleine Z. Bordallo said in the letter. "I agree with (Governor Camacho) that some Compact-impact grants for health-related needs, court-ordered consent decree obligations and contractual obligations for prior school construction are not available for reprogramming. However, I would disagree that there are no Compact-impact grant requests, such as the Dededo sports complex, that cannot be deferred for a few weeks until the reprogrammed funds are available to Guam DOE. However, if the Compact-impact funds are not needed because local funds are available for bridge financing, then there is no need to make these difficult choices ... In addition, I have also received assurances from USDOE the that they would work expeditiously to provide Superintendent Dr. Nerissa Underwood with the guidance and information she needs to begin the process to contract a third party fiduciary agent."

Congresswoman Bordallo also clarified that USDOE will work with Guam DOE to reprogram FY 2008 and FY 2009 grants. In addition, Congresswoman Bordallo received assurances that USDOE will act favorably on a request by Superintendent Underwood to incur costs prior to the award to the FY 2010 consolidated grant, which would then allow for reimbursement of local or federal funds advanced to Guam DOE.

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Cross-Eyed Parent   |2009-11-21 14:16:17 Governor Camacho, it's an excellent idea and the start of a good Holiday season for the employees (knowing they'll be able to place some presents under the tree). It's because you didn't think of it first and felt left out. I'm proud that the Congresswoman and Babauta are willing to present you a box of solutions. A couple of the projects slated for the Compact Impact money can wait. Meanwhile, our children deserve full staffing and uninterrupted-continued education. Reply | Quote 1   1

hutzelblutz   |2009-11-21 15:17:18 Due to our fine senators in the past, like forbes, pangit and so, the Governor has been removed his power over DOE GuAM, you may not be aware. So please save your stupid comments for something better! Reply | Quote 1   0

cross eyed parent   |2009-11-22 02:55:26 Oh, I'm aware that the Governor has no authority but just a matter of time before he gets that power back if our legislators smarten up. Just a little sarcasm and frustration since I have kids in the public school system and know a lot of wonderful folks associated with DOE. What do you think would be a better solution other than Compact-Impact Funds?? Curious Reply | Quote 0   0

hutzelblutz   |2009-11-22 05:27:06 Fire all the useless employees and run DOE like a business with qualified financial managers. Its that easy! Reply | Quote 2   1

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