by Krystal Paco

Guam - Senator Judi Guthertz's Bill 437 may have received high marks from the Calvo Administration, but it didn't get as good feedback from the Attorney General's Office during a public hearing this morning. According to chief deputy attorney general Phil Tydingco, the legislation is looking to achieve the impossible by setting a fifteen-day deadline for the Guam Economic Development Authority.

"You guys know we can't get anything done in fifteen calendar days," he explained. "This is a multi-million dollar RFP - it took us a year or two to do JFK. There's just no way and why put these timelines on there? Let the development of a proper RFP with the proper input from the proper experts not be rushed. We have thirty-six schools, it ain't going to be done in thirty-six months, much less."

It was last week Adelup announced the Governor's Education Task Force's Finance Committee reviewed Bill 437 with GEDA's bond counsel and found that with some revision, the measure will provide financial solutions for the capital needs of the Department of Education. The Attorney General's Office, however, sees Bill 437 as creating the potential for many JFK High Schools to go up. JFK as we've been reporting did not meet its project completion deadline and contractor IBC has not paid a penny in liquidated damages.

Said Tydingco, "This would be JFK times however many schools you need repaired and financed this way. There's no assurances built into this so we put you on notice about that you make those policy decisions about the risk and benefits."

Bill 437 would consolidate procurement for the remainder of the non-contracted American Reinvestment and Recovery Act funds, and allow tax credit financing for more repairs and building of public schools. According to a facilities capital action plan completed in 2010 by Sodexo Services Guam, initial repairs total $140 million, $60 million of which is supposed to be paid for with ARRA funding. DOE has until September to obligate the federal stimulus money or lose it.

Senator Guthertz understood the AGO's concerns and will work with them as well as with the Administration and her colleagues. "I feel comfortable with the intent of this bill," she shared. "I wanna work with the chairman of the committee to ensure the intent is met with the revised version and I would like to see us go forward as soon as possible with all the protections that been discussed to look at the options available."

According to GEDA administrator Karl Pangelinan, a revised version of Bill 437 would require the Department of Education to make some $7 million more in cuts to finance the renovations of schools. During Monday's weekly address Governor Eddie Calvo blasted DOE for failing to "even make an attempt to try implement cost saving measures, set money aside and be frugal with its resources."

Guthertz responded be saying, "Well, obviously DOE would have to tighten up its expenditures. Right now they've been hiring people even with the financial difficulties that they claim they have and asking for and the release of the balance of the monies that have been kept in reserve in their budget. DOE has been hiring people - school aides, project coordinators for the last two months and I don't understand how can they keep hiring people and say they don't have money."

There were no DOE representatives present for the hearing.