Guam - A trio of measures were introduced last week aimed at pushing forward three separate loans for the Guam Memorial Hospital, the Guam Legislature and the Port Authority of Guam. Bills 250, 251 and 252 would amend current law as a result of an attorney general interpretation regarding the waiver of sovereign immunity that raised concern with the Bank of Guam, the single lender for all three loans.
"And so this was the hiccup that was happening in moving the loans forward so this is something that needed to be done so that the lender and the attorney general and also GEDA who is the financial arm of the government will be comfortable in moving forward," said Senator Dennis Rodriguez, Jr.
Along with the Government of Guam not being entitled to immunity from any suit or action in contract upon the loan and guaranty, immunity is also waived as to the award of attorney fees and related costs in connection with any suit brought forth. Rodriguez, who chairs the Committee on Health, hopes for swift action as the $25 million GMH loan for instance would aid in paying off an outstanding obligation to Perry Point, which threatens the hospital's Medicare funding.