AS MEMORIALS TO HONOR THEIR WAR DEAD IN THE NORTHERN MARIANAS. AMERICANS, IT IS ONLY MOST PROPER AND FITTING THAT A SIMILAR MEMORIAL BE BUILT BY OUR OWN NATION. IF THIS SUBCOMMITTEE WOULD URGE THE FULL CONGRESS TO CONSIDER AN OVERCEILING REQUEST TO HONOR THE MANY THOUSANDS OF AMERICAN SERVICEMEN WHO DIED FOR FREEDOM ON OUR ISLANDS, FUTURE GENERATIONS WILL BETTER REMEMBER THE SIGNIFICANCE OF THAT GREAT CONFLICT. WAIVER OF FEMA CONTRIBUTION IN THE PAST 18 MONTHS, SEVERAL MAJOR TYPHOONS HIT OUR ISLANDS RESULTING IN PRESIDENTIAL DECLARATIONS OF THE COMMONWEALTH AS A DISASTER AREA. ASSISTANCE FROM THE FEDERAL EMERGENCY MANAGEMENT AGENCY (FEMA) WAS IMMEDIATELY IMPLEMENTED, WHICH WAS PREDICATED UPON A 25% LOCAL ASSISTANCE CONTRIBUTION. HOWEVER, WHILE WE RECOGNIZE THE FAIRNESS OF THE 25% REQUIREMENT, THE IMPACT OF THESE REPEATED TYPHOONS, PARTICULARLY ON OUR INFRASTRUCTURE, HAS LEFT OUR GOVERNMENT IN A VERY DIFFICULT FINANCIAL POSITION. IN ADDITION, BECAUSE WE ARE LOCATED IN A TYPHOON-PHRONE AREA, IN THE LONG RUN MANY FEDERAL DOLLARS COULD BE SAVED IF EXISTING FEMA REGULATIONS COULD BE MODIFIED TO ALLOW CONSTRUCTION OF A MORE PERMANENT TYPE OF HOUSING, RATHER THAN THE "TEMPORARY" HOUSES WHICH ARE ALWAYS VULNERABLE TO THE NEXT TYPHOON. BECAUSE OF THE FREQUENCY OF SUCH MAJOR TYPHOONS IN THE WESTERN PACIFIC, WE SHOULD SPEND THESE FEDERAL DOLLARS FOR THE SAFEST, MOST DURABLE AND LONG LASTING HOUSING AVAILABLE. TO OUR PEOPLE, THIS IS THE BEST COMMON SENSE SOLUTION TO THIS EVER-PRESENT THREAT. IN ADDITION, WHILE FEMA REGULATIONS COMPENSATE DAMAGES TO HOMES AND PERSONAL PROPERTY, OUR PEOPLE FULL-TIME SUBSISTENCE FARMERS SUFFER TREMENDOUSLY FROM MAJOR TYPHOONS. IN THIS CONNECTION, IF FEMA ASSISTANCE COULD BE MADE AVAILABLE IN THE FORM OF SEEDS, FERTILIZER, DUSTING SERVICES, IT WOULD GREATLY AID OUR PEOPLE IN RECOVERING FROM SUCH NATURAL DISASTERS. RECAPITULATION MR. CHAIRMAN, WE ARE FULLY AWARE OF THE DIFFICULT STRUGGLE WITH THE FEDERAL DEFICIT. AT THE SAME TIME YOUR SUBCOMMITTEE HAS ALWAYS BEEN RECEPTIVE TO OUR URGENT AND MOST PRESSING NEEDS. TO BRIEFLY RECAP, THE FOLLOWING KEY AREAS ARE WHERE THE COMMONWEALTH HAS CRITICAL CONCERNS THAT NEED TO BE INCLUDED IN CONCLUSION MR. CHAIRMAN, YOUR SUBCOMMITTEE HAS ALWAYS BEEN VERY RECEPTIVE AND UNDERSTANDING TO OUR NEEDS IN THE PAST IN ASSISTING OUR NEW COMMONWEALTH IN PROVIDING VITAL PUBLIC SERVICES TO OUR PEOPLE AND GROWING PRIVATE SECTOR. IT IS IN THIS SPIRIT THAT WE CONFIDE TO YOU OUR SPECIAL NEEDS AND CONCERNS WHICH HOLD THE KEY EQUALLY IMPORTANT ARE TO OUR CONTINUED GROWTH AND DEVELOPMENT. THE FRANK AND CANDID DISCUSSIONS REGARDING THE DIFFICULTIES WE ARE NOW EXPERIENCING WITH OUR RELATIONSHIP WITH THE FEDERAL GOVERNMENT IN GENERAL, AND THE DEPARTMENT OF THE INTERIOR IN COMMONWEALTH COVENANT AGREEMENT. INDEED, WE WISH TO CONTINUE OUR RELATIONSHIP WITH THE UNITED STATES, BUT CERTAINLY NOT AS A CONTINUAL SUITOR FOR PROMISED FUNDING. THE PAYMENTS THAT WE HAVE REQUESTED TODAY ARE MORAL AND LEGAL OBLIGATIONS OF THE UNITED STATES. WE CONSIDER THEM TO BE BASIC NECESSITIES THAT ARE VITAL FOR OUR CONTINUED DEVELOPMENT, UPON WHICH RESTS AMERICA'S PRIMARY INTERESTS OF PEACE AND SECURITY IN THE WESTERN PACIFIC. ON BEHALF O THE PEOPLE OF THE ISLANDS OF THE NORTHERN MARIANAS - THE NEWEST MEMBERS OF THE AMERICAN POLITICAL FAMILY PLEASE ACCEPT OUR DEEPEST THANK YOU AND "SI YUUS MA'ASE." CNMI BOND ISSUE Mr. MURTHA. What was the size of your bond issue and when was it issued? Mr. TENORIO. We have a bond issue in the amount of $140 million which was issued about 1986. This bond issue is in two forms, a $44 million first escrow, and the second was about Mr. MURTHA. And how is that money being used? Mr. TENORIO. That money is being used for capital programs both for revenue type projects, as well as for non-revenue which are public facilities projects. We have prepared an interim expenditure plan for the projects and the funding. Mr. MURTHA. If you would send us a list of the projects for the record, we'll put it in our files. Mr. TENORIO. Yes. Mr. MURTHA. Thank you very much, Governor. TUESDAY, APRIL 26, 1988. THE REPUBLIC OF THE MARSHALL ISLANDS WITNESSES OSCAR DE BRUM, CHIEF SECRETARY ALLEN FOWLER, SECRETARY OF FINANCE JOEY OKUM, BUDGET OFFICER PETER OLIVER, COMPACT IMPLEMENTATION ASSISTANT INTRODUCTION OF RMI OFFICIALS Mr. MURTHA. The Republic of the Marshall Islands? Mr. MURTHA. All right. Come on up here. Mr. DeBrum, if you will introduce your colleagues for the record. Mr. DEBRUM. I will be very happy to do that, sir. To my right is our Secretary of Finance, Mr. Allen Fowler; to my immediate left, Mr. Joey Okum. He is our Budget Officer. And to his left is Mr. Peter Oliver, the Compact Implementation Assistant. Mr. MURTHA. And your entire statement will appear in the record. If you will summarize your testimony for us. Mr. DEBRUM. Thank you, Mr. Chairman. Also, I thought I would mention that from the different groups of people who are here, I would assume that they will be testifying. We have a representative of the leadership of Bikini and Utrik and Rongelap Thank you, Mr. Chairman. It is always a pleasure to appear before this Committee and once again I bring to you the greetings from our President, His Excellency Amata Kabua, and the people of the Marshall Islands. I thank you for inviting my nation to offer testimony on the Federal budget for fiscal year 1989. The budget prepared by the Administration, Mr. Chairman, falls far short of the assurances given to the Marshall Islands, the Compact legislation, Public Law 99-239. And these shortcomings are addressed in detail in my written statement which you accepted for the record. I will summarize the main point of these statements, Mr. Chairman. BIKINI ATOLL VISIT First, I would like to start by commenting on a recent visit to the Marshall Islands by Representative Barbara Vucanovich and several congressional staff, including Ms. Johnson of your Committee, an official from OTIA and from the Freely Associated States Affairs Office. I believe that Mrs. Vucanovich's visit to the Bikini Atoll was the first visit by a member of the Congress to Bikini since the test of Operation Crossroads right after the Second World War. During the few days that the Congresswoman and her party were in my country, they participated in the ground-breaking ceremony at Eneu Island on Bikini Atoll. They received briefings on the remedial technologies being developed by the BARC committee and they inspected the relief effort at Ebeye where many people were left homeless by the storm Roy in January. Incidentally, Mr. Chairman, FEMA came right in immediately and helped. They did an outstanding job. We would be remiss if we didn't say how grateful we are for their effort. FEMA was one of the programs that was authorized to us by the Compact of Free Association, and we appreciate their help. We are also very grateful to you for authorizing Ms. Johnson to visit the Marshalls. She is a fine representative of your nation, and her visit greatly facilitated the exchange of information between my nation and this Committee. REPORT ON FIRST YEAR OF COMPACT Mr. Chairman, attached to my written statement you will find a copy of a report about the first year of the Compact relationship which my government submitted to the Interior Subcommittee last November. It is our view that the Compact has been very good for the Marshall Islands. The communities affected by the nuclear testing program are receiving compensation for the hardship they have endured. The private sector is prospering. Local government is assuming greater responsibility for the management of their own affairs. We are developing as a nation. We are meeting the obligations we assumed under the Compact, and we feel that the United States has generally done well in meeting its obligations under this new relationship. The guarantees of the Compact for certain financial assistance are absolutely crucial to the development of my nation. My written statement suggests several legislative actions that the Congress might take to improve the Compact relationship especially in the area of support for the communities affected by the nuclear tests and the improvement of our school system. RMI ADDITIONAL FUNDING REQUESTS In the main body of my written testimony I have asked for the appropriations that were authorized by Congress but have not been requested by the Administration. This list is very much like the one we submitted to this Committee last year. There are certain features of the Compact agreements endorsed by the United States |