Gov. Arnold Palacios’s administration reportedly is livid with Senate President Edith Deleon Guerrero for circulating allegedly false news about federal pandemic funds, according to senior government officials who spoke on condition of anonymity with Kandit. The administration, according to them, is preparing a statement of facts correcting Ms. Deleon Guerrero’s assertions that the Commonwealth government is flush with more than $93 million in American Rescue Plan Act monies left over from the Torres administration.
Since January, Secretary of Finance Tracy Norita has maintained former Gov. Ralph Torres obligated about $80 million more in ARPA funds than allowed, creating a ‘deficit of funds.’
That finding, which had always been couched as preliminary while the Department of Finance repairs the government’s accounting of funds from her predecessor David Atalig, Jr., along with the burgeoning budget deficit, had led to austerity measures in the Commonwealth government.
At the end of a Senate session Friday, June 23, Ms. Deleon Guerrero said: “There are still ARPA funds. And, no, we are not confused at all. As a matter of fact, when we first took office, a worksheet was provided. As of December 31, 2022, on ARPA funds Section A, B, C, and D, adding it over to the last column, available ARPA, SLFRF: $65,789,171.85. The latest report, as of May 31, 2023, available ARPA : $93,419,465.62.”
Those worksheets, according to Kandit’s sources, do not reflect at all what money is left in the bank for ARPA, and the funds already obligated for expenditure under the Torres administration.
“She should have consulted someone who understands finances before she made such a declarative and erroneous statement,” one senior government official said.
“Her statement is completely inaccurate, irresponsible, and mathematically wrong,” another official said.
Senate Fiscal Working Group
Kandit last week reached out to every member of the Senate leadership, including Ms. Deleon Guerrero, for an update on her Senate Fiscal Working Group. This was prior to Ms. Deleon Guerrero’s Senate floor statement about ARPA funds.
Kandit asked whether any solutions were being proffered to the administration, or in the way of legislation. We also asked about the production of data that can be used by the legislature for fiscal policy decision making.
Sen. Donald Manglona, who heads the Senate’s budget committee, said he is away from the Commonwealth until July 5, and will address the questions about his return.
Sen. Celina Roberto Babauta said, “I am not a member of the Senate Fiscal Response working group so, I am not privy to their discussions or any solutions being considered in response to the fiscal matters affecting the Commonwealth.”
Kandit followed up, asking whether this means the group’s chairwoman, Ms. Deleon Guerrero, has not been sharing the results of her group’s efforts with the full Senate. Ms. Babauta did not reply.
Ms. Deleon Guerrero did not respond to the inquiry at all.
