Governor presents positive financial report

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The government’s financial status, the worth of federal assistance for Tropical Storm Gita, infrastructure projects, educational achievements and the economy were among topics discussed in Governor Lolo Moliga’s State of the Territory Address at the opening of the 36th Legislature this morning. 

The  backdrop of today’s opening was the longest shutdown of the Federal Givernment in history, now in the 24th day.

Governor Lolo said anytime there’s a shutdown of the government, the territory and its people are impacted because the federal government is a vital source of funding for American Samos.

He said an executive order was issued to ascertain the extent of the impact of the shutdown on American Samoa.

This would include a count of the employees who are affected.

The governor said once the report is done the Fono will be briefed so that a joint effort is made to obtain assistance for those who are impacted.

He said, “We cannot forsake those employed by the federal government at this time. We have to help them”.

The governor highlighted the positive General Fund balance for ASG as of the close of business in Fiscal Year 2018 of $3.9 million.

He listed ASG’s deficits from FY 2013, the first year of the Lolo Lemanu administration, up to now and this is the same information that he presented to his cabinet last week.

The General Fund had a negative balance of $7.8 million on January 3, 2013 but this was reduced to $4.8 million at the close of that fiscal year.

When FY2014 ended, the negative General Fund balance grew to $13.1 million.

Then at the end of FY2017, for the first time there was a positive General Fund balance of $786,300, “erasing the longstanding historical  trend of negative General Fund balances and placing ASG on a solid financial footing”.

The governor said ASG closed its books at the end of FY2018 with a positive General Fund  balance of $3.9 million.

Lolo thanked the Fono leaders and members saying  this wouldn’t have been achieved if it wasn’t for their sacrifices and cooperation.  He also thanked the Chief Justice for the Judiciary’s support.

According to an English copy of the State of the Territory Address,  the administration’s commitment to financial prudence and building the financial integrity for the American Samoa  Government “will remain one of our top pririties as we continue our journey towards securing a prosperous future for the coming generations”.

Tropical Storm Gita helped spur the economy in the last year.

In total, $20.3 million was received from FEMA for individual assistance for indiciduals and families, $11.1 million in loans, $2.5 million for food and shelter from the Red Cross and $2 million in other federal grants to the Department of Human and Social Services for counseling and food assistance for low income and destitute families.

ASG’s insurance claims for damages to ASG properties caused by Gita totaled $15.3 million, of which $5 million has been paid to ASG.

The governor said  theyre working with the insurance carrier to expedite release of the balance.