Congress addresses FY-2103 national budget

PALIKIR, POHNPEI. May 8, 2012 – The Fourth Regular Session of the Seventeenth Congress of the Federated States of Micronesia convened yesterday to address among other issues, President Emanuel Mori’s proposed national budget of 57,079,288 for fiscal year 2013.

President Mori submitted the proposed budget for the National Government on April 1 detailing the following:
a. 43,054,800 (75.4%) to be funded from Domestic Revenue;
b. 9,318,401 (16.3%) to be funded from Compact sectors & SEG; and
c. 4,706,087 (8.2%) would be from US Federal Grants and other Grants.
Aside from the funding for general operations and functions of the National Government, the President highlighted several funding requests which he considered critical in FSM’s future economic growth and those included:
  • $2 million plus for set-aside for the Compact Trust Fund and the FSM Trust Fund;
  • $1 million set-aside for FSM Development Bank to increase its capability to loan funds to businesses to support private sector growth;
  • $1.5 million to assist with the power emergency of Pohnpei State;
  • Additional $1 million in funding for outer island airport expansion;
  • $.7 million from local revenues to fund what JEMCO has decided to reduce in funding for the College of Micronesia-FSM operations.
The President’s letter also requested “as part of the ongoing efforts to assist the States,” for Congress to consider the following measures:
  • Tax reform measures and funding request;
  • Operation budget for field trip ship;
  • Outer islands airport expansion;
  • Sekere bridge; and
  • Local matching for FAA funded AIP projects.
Yesterday’s session launched the national budget season where Congress calls in the Departments, offices and agencies of the National Government to explain their proposed budgets.  The May sessions are traditionally referred to as Budget Sessions since it primarily focuses on the national government budget, especially those portion of the national budget funded through the amended Compact of Free Association between the FSM and the United States.
The Fourth Regular Session of the 17th Congress is scheduled for 20 days to end on May 26th unless extended or shortened through Congressional Resolution.
As usual, the sessions of Congress convene at 10am in the Congress Chambers in Palikir and are open to the interested public.