Pacific Magazine > Magazine > September 1, 2006

Government Briefs

Government Briefs

Sept/Oct 2006

The first half of 20 families moved into their newly completed homes at the end of June, courtesy of the U.S. Department of Agriculture Rural Development program and the Marshall Islands Development Bank. The new “self-help” loan program involves families in building their $39,000 houses, reducing overall costs. “These are the kinds of programs we need more of—programs that enable people to help themselves,” said U.S. Ambassador Greta Morris, who praised Rural Development manager Zed Zedkeia and MIDB manager Amon Tibon. Majuro is the first U.S.-affiliated island in the Pacific to initiate the self-help housing program. “Majuro is a model for the rest of the Pacific,” said Washington, D.C.-based Rural Development official Larry Fleming. Kosrae recently broke ground to start its program, and Guam and Palau are getting organized to launch their programs. - GJ

Kessai Note

President Kessai Note and Man Won Jung, the head of SK Networks, signed an agreement in late June in South Korea aimed at significantly expanding this Asian energy giant’s business involvement in the Marshall Islands. SK Networks, which since January has been supplying fuel to the Marshalls Energy Company, immediately dispatched a team to the Marshalls in late July, which visited Wotje Atoll, where they expressed interest in developing a mega-tourist resort replete with golf courses and hotels. The agreement between Note and Jung says SK Networks will attempt to provide other petroleum products, such as gas and jet fuel—fuel items currently provided by Mobil Oil Micronesia. The agreement mentions interest in deep sea mining and consideration of “a vast range of the country development projects.” - GJ

A year after the Marshall Islands Environmental Protection Authority rejected downtown Uliga Island in Majuro as a location for a proposed $18 million Taiwan floating dry-dock, the dry-dock plan is back on the table with the EPA. Ching Fu official Steve Chen was in Majuro in late July to present a revised proposal to the EPA for consideration. Ching Fu still wants to locate the football field-sized facility next to the commercial Uliga Dock. But the EPA rejected it in 2005 following strong public opposition to the proposed location. Taiwan Ambassador Lien-gene Chen expressed his hope that there will be “favorable consideration” of the new Ching Fu plan. “It’s too important for the Marshall Islands to ignore it,” he says. - GJ


Palau’s national patrol boat, PSS President H.I. Remeliik, was involved in a futile rescue attempt while attempting to escort an illegal fishing vessel back to Koror for inspection. During the trip, a fire broke out on the apprehended vessel. The fishermen onboard the ship were moved to the Remeliik to ensure their safety.  A short time later it was discovered that one fisherman was missing. The fire could not be extinguished and the vessel eventually sank. Despite repeated attempts at recovery by the crew of the Remeliik, and substantial air support from a U.S. Navy aircraft, the missing man was not found. - BP

Palau’s Senate recently approved a long-term tourist visa act that will allow up to 1,000 foreign nationals residency in Palau for 10 years. The requirements for the visa include a non-refundable fee of $10,000 and purchase  or rent of a dwelling for $100,000 for 10 years. While the bill looks to encourage economic development by welcoming an elite class of non-citizens, critics believe that Palau’s infrastructure cannot support such additional foreigners and that the money brought into the country by them would be minimal. - BP


The FSM Supreme Court on June 22 granted President Joseph Urusemal’s motion to dismiss a congressional appeal of vetoes he issued after a legislative special session earlier this year. The court cited lack of jurisdiction over the matter. Congress, the opinion said, is the only avenue through which to seek override of a veto. Urusemal vetoed six of eight measures passed during the February special session in Kosrae, alleging violation of a constitutional provision requiring first and second readings of proposed measures take place on separate calendar days. The president cited concern about hasty passage of bills. The FSM Congress contested the validity of the vetoes, arguing a day could legally comprise any 24-hour period. - JC

The fate of FSM Ambassador to the United States Jesse B. Marehalau remains uncertain pending further investigation of a former embassy employee for passport fraud as well as possibly questionable financial management practices at the Washington, D.C. embassy. A special congressional committee convened to oversee the investigation revealed in June the likelihood of a recall of the ambassador by President Joseph Urusemal. According to FSM government officials, a former driver for the embassy was arrested and charged in early January with conspiracy to import illegal aliens to the U.S. A subsequent investigation by the FSM Department of Finance also raised questions about the embassy’s finance records and procedures. A U.S. Department of Homeland Security investigation of the illegal passports is ongoing.  - JC

FSM Department of Justice prosecution of sitting FSM Senator Roosevelt Kansou on corruption, conspiracy and other charges can resume, according to an FSM Supreme Court ruling issued in mid-June. The department was severed in March from trying the senator due to unauthorized involvement of a former prosecutor. The case, filed in late 2003, charged Kansou and others with theft of more than $1.2 million in government funds. Former FSM Senators John Petewon and Simeon Innocenti were convicted and sentenced to jail time earlier this year for charges leveled against them in the suit.  - JC

 
The Guam public school system seemed to be on its way out of a financial crisis at the end of July. The U.S. federal government had threatened to withhold $37.5 million in grant money after the school board had reduced the amount of time schools were to spend on the reading program funded by the grant (the time was reinstated after nine weeks) and suddenly terminated school superintendent Juan Flores. As a result of the threat, administrators began instituting cost-cutting measures and considered reducing the number of employees. Legislation was passed on July 20 that removed the board’s control over federally funded programs and set out due-process guidelines for the termination of the superintendent. The schools also narrowly escaped two payless paydays when local funds to meet payroll were identified at the last minute. - FW

Felix Camacho

The Guam Legislature unanimously passed, and Governor Felix Camacho signed, a law to increase the territory’s minimum wage from $5.15 to $5.75 effective July 2007. The legislation was opposed by the island’s business community and the final bill was a modification of earlier proposals that would have raised the minimum wage to as high as $6.25 and made effective within a month. - FW


The new dialysis center on Navy Hill still under construction has been named “Dr. Jose T. Villagomez Center for Public Health and Dialysis” in honor of the late pediatrician who contributed much in the area of public health in the CNMI and the Pacific region. Villagomez died last year at age 72. His oldest son, Kevin, is currently the secretary of the Department of Public Health. His other son, Timothy, is the current lieutenant governor who signed a bill naming the new building after his father in a short ceremony July 18 at the House chamber. - FSR

The executive branch is selling its fleet of government cars to reduce gasoline use as well as to rid the government of most of its vehicles. As Pacific Magazine went to press, the governor’s office has identified more than 300 cars for sale, out of the 500 it owns. However, some cars submitted directly to the governor’s office are not recorded at the government’s procurement and supply office. Once the records are reconciled, the governor’s office will sell most of its vehicles. Governor Benigno R. Fitial is also encouraging the legislative and executive branches to follow suit. - FSR


The Asian Development Bank will give the Papua New Guinea government over $2 million to fund a nationwide demographic and health survey. The package includes $1.32 million from Australia, $662,000 from New Zealand and a $250,000 grant from the Japan Special Fund. The funds will be administered by the Manila-based ADB. The PNG government will contribute about $1 million in counterpart funding for the project, which will be crucial for monitoring relevant to PNG’s medium-term development strategy and the United Nations’ millennium development goals. - AR

The Papua New Guinea Defense Force will deploy a patrol craft to Vanimo in Sandaun province to guard the country’s sea border with Indonesia. PNGDF commander Commodore Peter Ilau said the craft will carry out quasi-maritime patrols and watch out for illegal fishing and poaching. “There have been numerous reports alleging organized smuggling by sea along the northern border between Djayapura and Vanimo, hence the patrol boat will enable security and defense,” says Ilau. The continuous guarding of PNG’s maritime as well as 750-kilometer land border with Indonesia had been abandoned in recent years. - AR

Laisenia Quarase [photo: PIFS Media]

Prime Minister Laisenia Qarase dismissed a report by the Fiji Human Rights Commission on his government’s affirmative action program for indigenous Fijians, calling it one-sided. The report said several aspects of the program could be deemed unconstitutional. But Qarase publicly accused the report’s authors of a political agenda saying they tried to make his government look bad on the eve of May’s general election. - RM

The Fiji Police Force and the government were embarrassed by two breaches of security during a visit in early July by Britain’s Princess Anne. A man was charged with throwing a steel mortar that damaged the princess’ vehicle, which she was in at the time. But it was the reaction of an arresting officer, who was seen on national television punching the suspect—a known psychiatric patient—that raised an outcry. The officer has appeared in court and an inquiry is underway. In a separate incident, a man received a suspended sentence after he pleaded guilty to wandering around the compound of the colonial home the Princess Royal was staying in while he was drunk. Officials maintained she was not in any danger in both instances but apologized officially to her. - RM


The United Nations Least Developed Country Conference in West Africa in June has graduated Samoa, Kiribati and Vanuatu from Least Developed Country (LDC) to Developing Country (DC) status, to take effect in 2007. The change for Samoa has been in the pipeline for some time following sustained gross domestic product growth averaging 4 percent annually since the late 1990s. The increase boosted Samoa’s per capita income to US$2,000 by 2005, well above the threshold for graduation. The conference also moved Papua New Guinea in the other direction, from Developing Country to Least Developed Country status. - AT

---

Contributors: Giff Johnson, Blaire Phillips, Jessica Chapman, Frank Whitman, Frank S. Rosario, Alex Rheeney, Afamasaga Toleafoa, Alison Ofotalau and Ricardo Morris.