American Samoa
Notes
Costs
Of War U.S. Army recruitment, a significant source of income and employment for American Samoa, has been down lately. Commentators believe the drop is due to the war in Iraq and the unfavorable publicity arising from the number of deaths sustained to date by American Samoan servicemen and women. Five American Samoans, including one female, have died so far. "On a per capita basis, we have the highest death rate in the U.S. military at present," Governor Togiola says. One of the governor's own daughters is serving with the U.S. Army in Iraq. "She was wounded not long ago, but only slightly, and has returned to her unit," Governor Togiola adds with obvious pride but also an obvious touch of wistfulness. "She is doing what she wanted to do and her mother and I fully respect and support her choice. She is happy, is proud of the uniform. We have seen a big transformation in her since she joined the army. She loves what she is doing and building things as her trade in the army is carpentry." Some 3,000 American Samoans are already serving in the U.S. armed forces, says Governor Togiola, although the government is carrying out a survey to find out the exact numbers. It is also negotiating with the U.S. Army about health benefits when service men and women return after serving their time, as well as about the balance of taxes due to American Samoa. Remittances from servicemen and women and monies they are paid after returning home are an important source of revenue for American Samoa. Risky Business In a blow to American Samoa, the U.S. Department of Interior's Office of Insular Affairs (OIA) in June designated the territory as a "high risk" grantee on all federal grants, despite progress already made by the American Samoa government in its financial reforms. Interior's Deputy Assistant Secretary for Insular Affairs, David B. Cohen, said that the designation is "a tool to bring other federal agencies in, to do their fair share to support the fiscal reform process." "American Samoa had dug itself into a deep hole in the past, and it is still working to recover," said Cohen. "It has made significant and commendable progress, but the task is a considerable one and there is still a great deal of work to do. "Our intention is to use the high-risk declaration as a tool, not to stigmatize American Samoa," said Cohen. "We intend to bring other federal agencies into the effort and see what positive contributions they can make in terms of improved oversight of their grants and technical assistance." To be removed from the high risk category, Cohen says American Samoa would have to complete single audits by the statutory deadline, resulting in materially clean opinions, for two consecutive years; and have a balanced budget for two consecutive years, without regard for nonrecurring windfalls such as insurance settlements. Governor Tulafono said during a weekly radio program that by June 30, his government will release the FY 2003 audit per agreement with DOI, and by Dec. 31, the territorial government will issue the FY 2004 audit. "As we move to 2006, when the 2005
books will be audited and also in future years, the audits will be done in a regulated,
timely manner," he said. |
