Governor to lift reserve for DOE

by Krystal Paco

Guam - Governor Eddie Calvo may have implemented a 15% reserve throughout GovGuam earlier this fiscal year, but is making an exception for the Department of Education. According to DOE interim superintendent Taling Taitano, the 15% reserve (which equates to $30 million for the agency's budget), won't be going to improving school facilities or building new schools, but making payroll.

 "$30 million is about five pay periods," she stated.

Governor's director of communications Troy Torres says the island's chief executive will lift the reserve despite his disappointment in DOE, saying, "When the 15% reserve was implemented throughout the government it was meant as a financial tool so that agencies could do what they can to cut costs, get rid of wastes, and take a hard look at their budget. Tthese are our most critical functions core to our mission." He added, "The governor is disappointed that the department has not taken up that call or made even the smallest of efforts to save on costs at these austere times and with DOE is different it's not about saving costs its about reinvesting those savings into classrooms because we know that's not happening."

Torres adds there were many opportunities to cut costs, looking to federal grants to cut costs for the Free and Reduced Lunch Program, implementing a performance-based contract for maintenance, and implementing suggestions from the 2009 Evergreen Solutions audit report, which outlined recommendations that if implemented, doe could realize a savings of over $156 million over a five-year period.

"Many agencies have done a very good job at cutting down on costs and living within the spirit of the 15% reserve," said Torres. "Look at the Department of Public Works - they opened a Agat bus station and they saved hundreds of thousands of dollars in fuel costs. At the Department of Public Health, Jim Gillan worked out a deal with the mayors and saved hundreds of thousands of dollars with the Senior Citizen Center Program."

According to Committee on Education chairperson Speaker Judi Won Pat, it's not entirely DOE's fault for not being able to cut costs when mandates from the Legislature, Public Health, and doe are not streamlined. Won Pat even cites that past legislation like former senator Robert Klitzkie's "Every Child is Entitled to An Adequate Public Education Act", which sets 14 benchmarks for DOE to follow.

"I'm definitely working closely with the department for them to seriously look at. Where is it that they need to cut?" she said. "But they also and I've asked them to do this and to this day I haven't gotten is it that what laws do we have in place; that's really tying your hands or is causing you as a department to say, 'Well, I need all this money because you've mandated it for us.'"

Taitano assures the governor that cost-saving measures are being looked into, including the possibility of downsizing school aides, sharing nurses within schools, and salary cuts. Earlier this year the governor and his senior staff took 5% salary cuts to set an example for the rest of GovGuam.  

"Certainly, I'd like to thank the governor for his continuing support of the Department of Education and I think that the team here at DOE continues to look at ways to cut costs."