Governor Predicts $4 Million Surplus for FY2015

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Governor Lolo Moliga said in his State of the Territory address this morning that ASG is forecasting to close its books for Fiscal Year 2015 with a surplus of $4 million plus.

Addressing a joint opening ceremony for the third regular session of the 34th legislature at the Lee Auditorium, the governor said that when his administration took office in 2013 the deficit was around $8 million which it was able to reduce to $3 million.

Fono opens leadersHe said the government faced many problems in Fiscal Year 2014 and it finished the year with a deficit of more than $10 million.

Lolo, who is starting the final year of he and Lt. Governor Lemanu Peleti Mauga’s first term in office, said preliminary information from the government audit indicates that the American Samoa Government would finish the year in the black with a surplus of $4.9 million.

He promised that once the auditors complete their work a full report will be given to the Fono and the public.

The governor told the gathering which included the Chief Justice, Congresswoman Aumua Amata, members of the cabinet and members of some government boards, that the lessons learnt from the hardships of FY2014 were used to formulate a new economic plan of action for American Samoa.

fono opens directorsThis was launched at the meeting held last year between the executive branch, the Fono leaders and the American Samoa Economic Development Authority.

Lolo credited this new plan for turning ASG’s fiscal condition around.

The governor did not make mention of vendors still waiting for payments from the last fiscal year, and delays in LBJ Hospital subsidies.

Lolo said about $50 million in projects were carried out in the last fiscal year.

The governor said about $50 million in projects were carried out in the last fiscal year.

fono opens GaoteoteAnd for this year, funding from the sale of bonds by ASEDA which raised $55 million will carry out major projects.

These include a new vessel for Manu’a, for which the Department of Interior is funding $8.7 million, and relocation of the tank farm at the airport.

As listeners will recall only two bond series were sold last year.

Fono opens honor guardOne other intended to finance the government bank remained on the market.

Lolo said today that this remaining bond series has now been pulled from the market due to difficulty attracting buyers due to negative publicity in the past and because of fall out from the Puerto Rico financial crisis.

In the meantime alternative options are being pursued to finance the government bank.

According to the governor’s executive assistant Iulogologo Joseph Pereira bills that the administration will be submitting to the Fono in this session are:

-Supplemental Budget Appropriation
-Amendment to Legislation to allow registration of Limited Liability Corporations in the territory
-Amendment to provide legal sufficiency authorizing the use of a Rapi-Scan to Scan all containers entering our port.
-Confirmation of LBJ Board Members Filifaatali Mike Fuiava and Dr. Saipele Fuimaono;
-Confirmation of Uiagalelei Dr. Lealofi Uiagalelei as Election Commissioner and other bills.

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