The Guam legislature appears close to approving the governor's proposed 22% across-the-board pay raise for General Pay Plan employees. Senators grilled Department of Administration officials on the specifics of the plan during a special session called by the governor.

Governor Lou Leon Guerrero has been pushing hard for the pay raise bill to be passed before April 1. The increases are the fourth in a series of salary adjustments for government employees that began with nurses, then law enforcement, and teachers.

In support of the pay hikes DOA testified that the pay plan hasn't been updated in ten years, it brings GovGuam closer to mainland pay scales, and it will help avert the costly out-migration of employees seeking better paying federal work or mainland jobs.

DOA director Ed Birn says GovGuam can afford it, because of millions more in rebated income taxes when the U.S. Marines relocate from Okinawa, and in earned income tax credits that Washington is now covering instead of GovGuam.

"I don't have definite amounts of expected economic activity," Birn said. "I've given you some examples of additional revenue that the government is able to bring in because of changes in conditions - most of which are permanent changes, like the $120 million that I mentioned before. I don't think its unreasonable to suspect or even estimate that 5,000 people, 5,000 additional people living on this island is not going to bring some benefit to the local economy."

But Senator Joanne Brown was among those who asked if we can we really afford it. The government is flush with cash now because of the billions in federal pandemic assistance, but can all the spending commitments be justified?

"This is unprecedented," said the senator. "Not so much about this pay increase - the increases that have been added over the last several years - it's unprecedented at this level. Not talking about a few million dollars here, we're talking $30, $40, $50, $60, $70, $80, $90, a $100 million adding on as if it's nothing."

"I also want to make sure moving forward that when we obligate our people to these large amounts that there's going to be large amounts of revenue that we have an idea what those amounts are that are gonna cover that cost."

The bill seeks $23 million to cover the payraises from April until the end of September. Going forward, the estimated $46 million cost will be embedded in the annual fiscal year budget request.