Budget Talks 2

Sen. Joe San Agustin, left, goes over the details of his fiscal 2020 budget bill, while Office of Finance and Budget Director Stephen Guerrero, right, looks on, at a news briefing on July 30, 2019 in Tamuning.

Sen. Joe San Agustin's revised 2020 budget bill reflects a nearly $10 million increase from the previous version, most of which went to more funding for public health, public safety and education, and restores a $750,000 funding for the medical marijuana program.

It includes Gov. Lou Leon Guerrero's request for a specific Rainy Day Fund provision that would set aside 2% of total projected revenues for deficit reduction.

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The latest version of the budget bill also now sets aside $300,000 for the Guam Autism Center, double the amount that Adelup asked for.

It now authorizes the governor to spend funds for a competitive wage study, the Pacific Islands Development Bank, and the required Guam real property tax triennial re-valuation.

Sen. Joe San Agustin, left, goes over the details of his fiscal 2020 budget bill, while Office of Finance and Budget Director Stephen Guerrero, right, looks on, at a news briefing on July 30, 2019 in Tamuning.

The revised bill does not specify the amounts for these activities, but the governor's fiscal team asked for $2 million for the property tax re-valuation, $1 million for the Pacific Islands Development Bank, and $350,000 for the wage study.

The revised version of San Agustin's Bill 186 takes into account concerns from agencies and the governor's fiscal team during a public hearing on the budget.

This comes less than two weeks before the Aug. 31 deadline to pass a budget bill, or senators risk a pay suspension.

Grand total: From $945M to $954M

Grand total budget for fiscal 2020, which begins on Oct. 1, increased by $9.811 million, or from $945.049 million to $954.860 million in the latest budget bill version.

When senators start debating the revised budget bill, figures and provisions could still change before the measure reaches the governor's desk.

The budget bill remains more conservative than the governor's executive budget request of $966.352 million in grand total. But many of her concerns were incorporated in the revised version.

Total General Fund revenue available for appropriation remains at $645.038 million in the revised bill. But it increased the total special fund revenue by nearly $9 million, and raised the federal matching grants-in-aid by $822,000.

The Judiciary's budget increased by $72,599 in the revised bill so that the Family Visitation Center will be funded, bringing its total to $33.140 million.

No more per-school budget

The revised budget bill scraps the maximum budget cap for each of 41 schools under the Guam Department of Education, which the education board, the superintendent and school principals opposed.

Guam DOE's budget increased by $170,155 in the revised budget bill, bringing it to $219.854 million.

Responsibility over school grounds maintenance for 2020 is back with Guam DOE, after mayors handled it for years.

The revised spending bill also prohibits disproportionate cuts in budget allotments to the University of Guam and Guam Community College from other GovGuam units.

More health, police funding

The Department of Public Health and Social Services' funding increased by more than $3.9 million, or from $52.482 million in the original Bill 186 to now $56.387 million.

The appropriations committee, chaired by San Agustin, restored the $750,000 General Fund appropriation for the medical marijuana program after Public Health Director Linda DeNorcey raised concerns about cuts in her agency's funding.

The latest budget bill also sets aside $120,000 for the Child Protective Services, and $800,000 the House of Mercy in Barrigada Heights, a temporary home for children waiting to be placed in foster care that's set to open in October.

The Guam Police Department's funding went up by $1.3 million, or from $34.478 million to $35.792 million in the revised spending bill.

Funding for the Department of Corrections also increased by $792,000, from $23.522 million to $24.314 million in the amended bill.

No change in business privilege tax

The bill does not incorporate any change in the business privilege tax of 5%. The governor said senators should be able to identify a new revenue source to address a nearly $60 million budget gap if they want to roll back this tax to 4%.

The revised budget bill includes off-island travel authorization for the Guam Police Department's executive security functions when the governor or lieutenant governor travels on official business.

Ken Leon-Guerrero of Santa Rita earlier said the budget bill doesn't show cost-cutting efforts that would prevent senators from again raising the business privilege tax.

This is the second time the budget bill for 2020 was revised. 

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Reporter Haidee Eugenio Gilbert covers Guam's Catholic church issues, government, business and more. Follow her on Twitter @haidee_eugenio. 

This article originally appeared on Pacific Daily News: Revised budget bill: From more health, police money to restored marijuana program funding

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