PUC meeting this evening to discuss bond
The fate of the Guam Waterworks Authority's recent bond lies with the decision that the Public Utilities Commission will make during its meeting this evening.
By KUAM NewsGuam - The fate of the Guam Waterworks Authority's recent bond lies with the decision that the Public Utilities Commission will make during its meeting this evening. A recent administrative law judge found that GWA must use a portion of its bond proceeds to comply with public law mandating that it pay back what it owes to the General Fund.
GWA argues that would be in contravention to its agreement with bond holders that requires the money be used strictly for capital improvement projects. We should note these same CIPs were approved by the PUC. Commissioners are expected to decide this evening whether to accept the ALJ's recommendation or reject it.
If it's accepted by the PUC, GWA and the Consolidated Commission on Utilities have publicly stated they will it appeal it, and if that fails they may take the matter to court. Lawmakers plan to use the GWA reimbursement to pay for cola and tax refunds.