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Fono poised to pass FY 2022 budget and Advance Child Tax credit bills

Senate President Tuaolo Manaia Fruean (left) and House Speaker Savali Talavou Ale
fili@samoanews.com

Pago Pago, AMERICAN SAMOA — The Fono joint conference committee last Friday agreed to the government’s budget of more than $500 million for fiscal year 2022 — which begins Oct. 1, 2021 — as submitted by the Lemanu Administration without making any changes to the original language of the proposed law.

Thereafter, the Senate during its regular session approved its version of the budget in third and final reading, with an unanimous vote. The Senate version will go to the House today, as the House takes a final vote on its version of the bill, followed by each chamber approving each others version of the budget bill before the final one is sent to the governor for review and approval.

CONFERENCE COMMITTEE

House Speaker Savali Talavou Ale led the conference committee during the nearly 20-minute meeting where the floor was opened for debate. When no one offered up an issue of discussion on the budget, Senate President Tuaolo Manaia Fruean told lawmakers that the Senate was prepared for third and final reading of its version of the budget last Friday without any changes.

Tuaolo explained that he had already discussed with senators, details of the Fono leaders meeting earlier in the week with Acting Gov. Talauega Eleasalo Ale covering issues of concerns raised by lawmakers such as pay scale for teachers, executive branch directors who had come to be confirmed by the Fono and the pending FY 2022 budget.

Without any other arguments, Savali moved to give final conference committee passage of the budget without any changes and it was approved. There was no mentioned by Savali that the House did hold its own closed-door meeting on Thursday on the budget.

Tuaolo said the only remaining issue now, which had been discussed with senators as well, is that Talaeuga had mentioned during the meeting with Fono leaders that the Administration is planning on submitting to the Fono a $12 million supplemental budget.

According to the Senate President no timeframe was mentioned on when it was to be submitted and that raises another issue of whether or not the Fono should take a short recess of 3-days to await the supplemental or continue on with current session-days left.

Savali said a communication will be relayed to the Governor’s Office and hopefully a response will be received early this week on when the supplemental is expected to be submitted by the Administration.

The government’s FY 2022 budget totaling $552.78 million — is to be funded with $110.16 from local revenue; $219.59 million in federal grants; $212.85 million under Enterprise Funds — which includes budgets for ASG’s semi autonomous agencies or authorities — and $10.26 million in Capital Improvement Projects.

The new fiscal year budget is an increase of about 19% from the current fiscal year’s approved budget of $465.95 million.

OTHER MATTER

The House version of the Administration bill, that would amend local tax laws, allowing the ASG Treasury to distribute thousands of dollars under the federal Advance Child Tax Credit program from provisions of the federal American Rescue Plan Act of 2021 was introduced in the Senate last Friday.

The bill was assigned to the Senate Budget and Appropriations Committee, whose chairman, Sen. Utu Sila Poasa said the committee will hold a discussion this morning.

The Senate has already passed its version of the bill now pending in the House, as local residents are hoping that the Fono will expedite final approval of the proposed law, with $33 million allocated by the US Treasury to ASG. (See Samoa News edition Aug. 25th for details on the Advance Child Tax Credit.)