Pago Pago, AMERICAN SAMOA — The Fono is set to convene today, for a 15-day Special Session called by Gov. Lolo Matalasi Moliga to “reconsider the fiscal year 2021 budget and to submit a budget that is compliant with established policies and procedures, according to the governor’s latest memo to cabinet members.

And at last Friday’s cabinet meeting, the governor encouraged cabinet members who have influence over their lawmakers to talk to them about the importance of keeping personnel costs proposed by the Administration to ensure families receive money to care for themselves and also to boost the local economy.

Lolo explained during the cabinet meeting at Gov. H. Rex Lee Auditorium his reasons behind calling a special session while the ASG operates under an emergency order to temporarily continue government operations for 15-days, under funding at FY 2020 budget levels.

He said this has never happened before, involving the budget, but points out a better financial plan must be in place for the government, especially during a time when there is a transition— from an out-going administration to a new, incoming governor.

Lolo went on to say that of the 34 directors who appeared before Fono Joint Budget Committee hearings, he had spoken to 27 of them, and their budget hearings “averaged 5 minutes” per director.

Lolo said he mentions this because the FY 2021 budget submitted by the Fono (to the governor) made drastic cuts but without a clear explanation of why these reductions were made. Therefore, he said he cannot make a decision on the final budget without fully understanding, as to where the Fono made the specific cuts in budget items.

The governor claims that the “underlying thinking” by the Fono, with its drastic cuts, is so that the government reverts back to the budget levels of FY 2020.

The Lolo Administration had submitted the proposed FY 2021 budget of $459.45 million and he was not pleased that the Fono made “drastic cuts” — totaling $6.5 million — to a majority of executive branch departments and offices, without an explanation.

Based on his remarks at the cabinet meeting, Lolo is of the belief that the cuts — made to projected taxes — target personnel costs.

Lolo told cabinet members that based on the Fono budget cuts — all high school graduates working in government with the new threshold salary of $12,000 go back to the previous low salary of $6,000- $7,000 annually.

And college graduates with Associate degrees who are now teachers as well as new police officers earning the new $16,000 salary threshold, would return to their previous salary of $10,000- $11,000, according to the governor.

He said the budget plan the administration submitted, is to ensure that the government will never go back to where it was before, but to be in the forefront, where it is supposed to be. According to the governor, he and Lt. Gov. Lemanu Palepoi Sialega Mauga believe that the government should move forward, and “challenge” the future.

He suggested to directors that if they can influence their lawmakers, to talk to them about the importance of employees’ salaries which is how the community and families survive. For example, a seven-member family, with one person working, who is a high school graduate and had been paid $7,000 annually — with the Administration increase under the new salary threshold would earn $12,000.

“What is wrong with that?” he asked about the increased threshold and noted that more money should be given into the hands of workers, not only to financially help their families, but to boost the economy.

Lolo said that whichever cabinet members are called by the Fono to testify on the budget during the special session, to clearly explain to lawmakers each department’s budget. Lolo suggested that directors tell lawmakers to cut other budget expenses, but not personnel costs.

The governor said directors called back to the Fono on the FY 2021 budget, should thoroughly explain the goal of the administration, which seeks to challenge the future, as well as to improve the community, and not return to the old ways where people struggle.

He said the world is moving forward and so should American Samoa. According to the governor, what ever the Fono’s decision is on the budget, the government is not going backwards but is moving forward, like the rest of the world.

Lolo then called on cabinet members and the community to pray for President Donald Trump and the First Lady — who both tested positive for COVID-19 — for speedy recovery. The governor noted that no matter how someone feels about the President, Trump is the leader of the federal government and “we should pray for speedy recovery.”

PERSONNEL EXPENSES ONLY

Personnel expenditures have been identified by the governor as the primary spending for ASG during the first 15-days of the current fiscal year 2021, until a final FY 2021 budget is received from the Legislature.

This is according to the governor’s memo — “Operating Parameters Under Temporary Status —  issued late Thursday afternoon to cabinet members, after issuing an executive order earlier on the morning of Oct. 1st — the start of the new FY 2021 — placing ASG under emergency operating status for 15-days for FY 2021.

Lolo informed cabinet members of the Fono special session to reconsider the FY 2021 budget and “to submit a budget that is compliant with established policies and procedures.”

Accordingly, the governor provided “operating guidelines being promulgated to ensure we comply with the intent of the Executive Order” limiting spending to approved FY 2020 budget level.

“Moreover, unaware of the FY 2021 budget that will be submitted by the Legislature, controlled spending during the emergency period is warranted in case resources will have to be reapportioned to cover executed personnel actions implemented in FY 2020,” he pointed out.

“Primary spending will be limited to personnel only, with other emergency spending needs be held off until the FY 2021 budget is received from the Fono,” Lolo told cabinet members.

And if there are “critical needs” which must be addressed during this 15-day period, “these requests are to be submitted for my approval,” the governor said.