Bill 472 authorizes $75M in borrowing
Guam - Committee Chair on Transportation Senator Tom Ada has found a way to borrow $75 million for highway improvement projects. The loan is to be paid by future streams of grants received from the Federal Highway Administration, which Guam receives about $18 million annually.
According to Senator Ada the loan would be issued through a mechanism allowed by federal law known as a grant anticipation revenue bond (GARVEE). This allows grant recipients, such a Guam, to draw down on future grants enabling the acceleration of highway projects. If Bill 472 gets the green light, the funding would go toward projects like improvements to Ypao Road, Hamburger Road, Phase I of the Tiyan Parkway, Airport Road, Cross Island Road, Macheche Hill and mass transit improvements.