Pago Pago, AMERICAN SAMOA — In his State of the Territory Address yesterday, Gov. Lemanu Peleti Mauga told a joint session of the Fono that preliminary unaudited financial figures for fiscal year 2021 show a surplus of between $8 million to $9 million.

Lemanu, who delivered his 15-minute address in Samoan at Gov. H. Rex Lee Auditorium, said that once the financial numbers are final and audited, confirming the surplus, that money will be submitted to the Fono for re-allocation as dictated by law.

The forecasted FY 2021 surplus is also cited in the Governor’s 116-page State of the Territory Comprehensive Report, distributed to lawmakers and others who attended the Fono joint session.

“Collaborative efforts to improve cost saving measures and strengthen collections enabled the government to close fiscal year 2021 in a positive light,” the governor said in the report.

He said ASG Treasury has significantly improved collections and resolved many accounts payable issues to provide the Administration with stability and a clear picture of the government’s financial health.

“As a result of these efforts, our preliminary unaudited financial position is forecasting between $8- $9 million surplus for the fiscal year ending 2021,” he said.

“Total preliminary revenue collections [in FY 2021] saw an increase of $6.7 million or a 20% increase as compared to FY 2020 with a more focused priority on taxpayer audits and collections,” he said noting that Treasury continues to resolve non-filers through the proper notification procedures.

“As a result, the overall compliance activity collections for FY 2021 increased by 24% as compared to the FY 2020 performance,” he explained.

Two lawmakers told Samoa News yesterday afternoon that they plan to seek an “updated financial report, in detail” for FY 2021, because a “preliminary and unaudited” ASG General Fund revenue report for fiscal year 2021, shows a shortfall in total revenue collections compared to the approved budget.

As previously reported by Samoa News, while the budgeted revenue for FY 2021 totaled more than $110.16 million, ASG was able to collect just over $104.51 million — causing a shortfall of $5.64 million.

For the current fiscal year 2022, the governor’s comprehensive report states that the preliminary FY 2022 results for the first quarter — which ended Dec. 31, 2021 — “indicates we are again tracking to meet our forecasted revenue collections and maintain our quarterly budgeted expenditures.”

Preliminary FY 2022 first quarter revenue collected is $27,832,803 and  expenditures remain under the threshold at $22,672,067, “ensuring we adhere to budgetary compliance. Expenditures not exceeding revenue collections,” the report said, and noted that collections for the first quarter exceeded the forecasted budgeted amount.

“Accountability and integrity are the cornerstones of this Administration. Corrective measures or budgetary adjustments shall be implemented to reaffirm our commitment to transparency,” the governor declared.

According to the governor’s report, ASG processes have been streamlined to improve efficiency and effectiveness by implementing revenue forecasting to trend accordingly with a focus on positive economic and performance outcomes, fostering proactive project management, and updated policies to incorporate best practices and lessons learned.

“Further, we have conducted a comprehensive review and revisions of rules to address inefficiencies in the government,” it says.

Lemanu in his Samoan speech to lawmakers also touched on the issue of the increase in federal funds as a result of COVID-19, as well as the more than $100 million that American Samoa will receive under the federal Infrastructure Investment and Jobs Act.

Samoa News will report in future editions on these financial issues and other matters addressed by the governor in his report.