IN A last minute effort to address public school construction, Speaker Judi Won Pat’s Bill 448 was added into this week’s session agenda and lawmakers will go into the Committee of the Whole to discuss the measure today.
However, there is another education-related bill on the agenda that seeks to address public school construction and renovation.
Bill 437 was introduced last month by Sen. Judi Guthertz and proposes to create tax credits, rebates, and offsets to an awardee of a contract willing to finance the renovation and repair work needed for public schools.
Although Won Pat’s bill also seeks to address public school rehabilitation, it will not shortchange the Guam Department of Education to fund “tax credits and offsets” as Guthertz’s bill could potentially do, Won Pat said.
The Guthertz measure could potentially cost GDOE $7 million from their budget to offset the tax credits awarded to contractors, Won Pat added.
“That cut will deeply impact the operations of GDOE. Seven million (dollars) is equal to one pay period, and at least 80 percent of GDOE’s budget is in personnel. While we all agree that GDOE must find ways to live within its means, this $7 million cut is too deep and will definitely disrupt the continuity of student learning,” Won Pat said.
According to the Speaker, there are three key points in Won Pat’s bill that makes it different from the Guthertz bill: 1) It will not increase the debt ceiling; 2) it will not increase taxes or create new ones; and 3) it will not impact major government operations.
The bill ensures that the Department of Public Works, the Guam Economic Development Authority and GDOE engage in the contract negotiation which must include warranties; liquidated damages; performance and payment bonds; insurance; standard and technical specifications; progress schedule; maintenance and compliance with Guam labor laws.
“The bill allows these contractors and interested companies to creatively come up with a way to stay within those three guidelines and make a proposal to the Guam Economic Development Authority who would then look at the best proposal and send it back to the Legislature to be passed into law,” Won Pat said.
Won Pat shared that she has met with some companies who have expressed interest in the methodology behind the bill.
In addition, Won Pat said the bill also protects the government of Guam if the developer fails to meet the conditions of the contract.
“We don’t want a repeat of JFK (John F. Kennedy High School),” she said.




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