Pago Pago, AMERICAN SAMOA — The American Samoa Legislature has completed action on the Fiscal Year 2027 budget after the Senate voted yesterday morning to approve the House version of the appropriations bill in its final reading, clearing the way for the measure to be sent to Governor Pulaali’i Nikolao Pula for consideration.

The approved budget reflects significant reductions recommended by the joint Budget and Appropriations Committees of both chambers. Lawmakers reduced the overall spending plan from the administration’s proposed $789.3 million to $780.4 million, resulting in a net decrease of nearly $9 million.

Committee members also cut the projected local revenue portion of the budget from $137.8 million to $129.8 million, while funding for special programs was reduced from $19.1 million to $10.2 million.

The largest adjustment involved a $10 million reduction to the "Transfers-in" revenue category. According to lawmakers, the amount represented interest earnings connected to American Rescue Plan Act (ARPA) funds invested in the controversial UAE Pension Fund arrangement, and was therefore removed from the budget calculations.

In addition to the revenue reductions, lawmakers trimmed funding across several government programs, subsidies, and special appropriations.

Among the more notable cuts were:

Hospital Authority subsidy reduced from $1.6 million to $1.2 million
Board of Higher Education subsidy reduced from $2.5 million to $1.8 million
Medicaid subsidy reduced from $6 million to $3 million
Airport subsidy reduced from $900,000 to $500,000
Sports Complex subsidy reduced from $270,000 to $60,000
Ceremonial Activities funding reduced from $1 million to $350,000
Governor's Contingency Fund reduced from $630,000 to $200,000
Executive Office Building electricity and water fund reduced from $630,000 to $350,000
Maintenance funding for the Governor's and Lieutenant Governor's residences reduced from $350,000 to $100,000
Local Road Maintenance funding reduced from $900,000 to $400,000
Washington, D.C. consultant fees reduced from $300,000 to $100,000
Settlements and Claims funding reduced substantially from $600,000 to $110,000

Several public safety, infrastructure, environmental, and sports-related programs also saw funding reductions, including allocations for shoreline protection projects, disaster relief efforts, staff development at LBJ Tropical Medical Center, the Department of Public Safety and Corrections Academy, the Veterans Stadium upgrade project, and the Sports Development Fund.

Lawmakers also removed several proposed expenditures entirely from the budget. These include:

$100,000 for Pago Pago Harbor cleanup efforts
$360,000 for the Island Beautification Fund
$210,000 for the Small Village Fund
$100,000 for land lease payments
$100,000 for a Department of Administrative Services subsidy

Despite the overall reductions, the House-added version adopted by the Senate includes two new appropriations that were not part of the administration's original proposal.

The revised Special Programs budget now contains:
$50,000 for transportation services to Swains Island
$210,000 for emergency road repairs in Nua and Seetaga

The budget measure had already received final approval from the House of Representatives last Thursday before being forwarded to the Senate for concurrence.

Following yesterday's vote, the bill was expected to be transmitted to the Governor before the close of business for executive review and possible approval.

The enactment of the FY 2027 budget comes just ahead of the start of the new fiscal year, which begins at midnight tonight.