Transfer of Autonomous Agency Revenues to

Autonomous Agency Collections Fund.

(a)It is I Liheslatura’s (the Legislature’s) findings that for the risk assumed by Guam’s taxpayers in operating the power, water, sewer, and air and sea port operations, a fund transfer policy should be instituted as a General Fund reimbursement. It is furthermore found that these non-tax paying utilities benefit from services provided by the General Fund, such as police and fire protection, road systems and other governmental facilities. In many cases, several of the services require additional General Fund expenditures. Further, rather than assess the actual levy of real estate taxes, as if they were of a private venture which is commonly called payment-in-lieu-of-taxes, a transfer policy would be more equitable and fair.

(b)Notwithstanding any other provision of law, I Maga’lahi (the Governor) and the Boards of Directors of the Jose D. Leon Guerrero Commercial Port of Guam, the Guam Power Authority, and the A. B. Won Pat International Airport Authority Guam shall transfer in the aggregate the sum of Three Million Five Hundred Thousand Dollars ($3,500,000.00) from operating surpluses generated by these agencies to the General Fund of the government of Guam by the end of each fiscal year. The proportionate contribution of each of the above agencies which will in the aggregate make up the Three Million Five Hundred Thousand Dollars ($3,500,000.00) transferred shall be determined by a formula decided upon by I Maga’lahi (the Governor) in consultation with the Boards of Directors of the above agencies. In no event shall the formula decided upon or the transfer of sums from the agencies to the General Fund violate the terms and conditions of any bond covenant of any of the above agencies that is in effect on the effective date of this Section.