KPress Vol. 07 Iss. 25

From Habele Institute

Jaynes, Bill (2007-11-14). KPress Vol. 07 Iss. 25 (PDF) (Report). Kolonia, Pohnpei: Kaselehlie Press.

Abstract: KPress Vol. 07 Iss. 25: NEWS: Palikir, Pohnpei—on October 29 the Office of the National Public Auditor (ONPA) released the “Review of Congress Funded Public Projects in Kosrae State” covering the years 2005–2006, with some findings referred to ONPA’s Compliance Investigation Division (CID) for further review; the CID is tasked with determining whether laws were violated in the handling of public funds and, if so, making recommendations to the Department of Justice (DOJ) regarding the filing of charges, though the specific items under investigation were not identified in the report; investigators from the CID are deputized national police officers; the report notes that Kosrae received congressional public-project funds at a rate of $200,000 per representative, totaling $400,000 for the state’s two representatives; ONPA reviewed whether appropriate processes were followed in reviewing and selecting Congress of the FSM (CFSM) public projects and whether project implementation complied with applicable laws and regulations; the audit found that when Kosrae members of Congress selected public projects for funding under CFSM appropriation law, they did so without adhering to selection standards commonly used by other government agencies in the region; the findings reported that 59 percent of funded projects had proposals lacking clear descriptions, 59 percent had scant cost details, 65 percent lacked descriptions of community benefits, 79 percent had no implementation plan, and 88 percent—30 of 34 projects—had at least one deviation from common selection standards; ONPA emphasized that regardless of how projects were selected for funding, the Financial Management Regulations govern how public projects must be managed and implemented; a review of the audit suggested that thousands of dollars in public funds may have been misspent, mishandled, misappropriated, or mismanaged, with the determination of whether theft occurred left to further investigation; OPINION / EDITORIAL: a separate piece reports that the Thirteenth Congress overrode a presidential veto to pass a $2.8 million CFSM appropriation law funded by local, non-Compact revenues, intended to support “social and economic development projects,” a term that according to a DOJ legal opinion has never been defined in FSM law; the October 2006 DOJ opinion, written by former staff attorney Matthew Olmsted, argued that the CFSM appropriation law was defective because it failed to specify the projects for which funds were to be used or provide sufficient guidance; another item reports that in a final rule effective November 19, 2007, the U.S. Postal Service declared that mail to the Federated States of Micronesia and the Republic of the Marshall Islands would no longer be treated as international mail, restoring domestic ZIP codes 96941 (Pohnpei), 96942 (Chuuk), 96943 (Yap), 96944 (Kosrae), and 96960 (Marshall Islands), along with the two-letter USPS postal codes FM and MH.