Pledge by the Government of Guam

The government of Guam is fully committed to ensuring that the Department has the ability to implement the capital improvements authorized to be leased by this legislation in order to meet the needs of Guam ratepayers for reliable and affordable services. The government also is fully committed to ensuring that the holders of certificates of participation or other financial instruments are protected to ensure full and timely payment of obligations due under the lease-back. In accordance with prior similar situations and precedents, the government hereby pledges, while any obligations are owing on any lease-back entered into pursuant to this Article, CH. 51A GUAM SOLID WASTE AUTHORITY

(a)to maintain the rights, powers and duties of the Director, the Department and the Guam Public Utilities Commission, or their respective successors in accordance with law, to fulfill the terms of any agreements made with a contractor in accordance with this Article;

(b)to maintain the rights and remedies of a contractor provided in this Article and any lease or lease-back; and

(c)not to transfer any additional non-system operating responsibilities or other unfunded mandates to the system without providing for the payment of the costs of such additional responsibilities.