CURRENT NEWS ON GUAM

Calvo heading to DC for meetings

Posted: Feb 20, 2012   by Ken Quintanilla   KUAM

Guam -  Governor Eddie Calvo will be headed to Washington, DC on Wednesday to attend the National Governors Association Winter Meetings. The meetings are set for February 24 through the 27 where initiatives that will help leaders and policymakers focus on job creation and economic growth will be discussed. 

In addition to having the opportunity to meet with members of the Obama Administration and the U.S. Senate, Governor Calvo along with members of his cabinet, will have a chance to discuss the military buildup and other issues such as the China Visa Waiver Program with officials from DOD and the Maritime Administration. Meetings with the U.S. Department of Health and Human Services, the Pacific Basin Development Council and the Coral Reef Task Force are also on the administration's Washington D.C. agenda.

"It's important that we take every opportunity to meet with our federal partners to make our case while we are Washington," Governor Calvo said.  "We are ready to push forward with an aggressive economic agenda to fight poverty and build for the future that requires support from these federal agencies.

Governor Calvo meanwhile will also attend meetings with the Interagency Group on Insular Areas and the Federal Regional Council in San Francisco to discuss such economic development issues such as affordable housing. Calvo is set to return to Guam on March 6. 

GAP store opens at The Plaza, hires 62 local workers

      Marianas Variety

Monday, 20 Feb 2012 04:24am

BY GERALDINE CASTILLO | VARIETY NEWS STAFF

ONE of the most popular American brands has finally set up shop on Guam, contributing to the economy and the tourism industry with its locally hired employees and brand appeal to tourists and residents.

The Gap store opened its doors to shoppers yesterday afternoon at The Plaza in Tumon. Brought in by Philippine-based Global Specialty Retailers Inc. (GSRI) – a subsidiary of Stores Specialists Inc. – the large store houses Gap, GapKids and babyGap.

Anthony T. Huang, president of GSRI, was present during yesterday's tour and welcomed the store's first customers.

“I think Gap is the quintessential American iconic brand; and [with] Guam being a territory of the U.S., it makes absolute sense to open up here,” Huang said during an interview. “Gap today is still one of the largest casual clothing brands in the world, and as they expand in this part of the world – the Asia-Pacific region as a whole – Guam was an obvious target to open up.”

In addition to the Gap stores, GSRI also opened up “Aerosoles” and “Beauty Bar” at The Plaza.

“Aerosoles is a leading comfort shoe brand out of the United States,” Huang said. “We do very well with the brand and we felt that it would be very good to open it on Guam.”

The shoe store, which caters to women, specializes in combining comfort with fashion. Meanwhile, Beauty Bar offers an array of high-quality skincare and makeup brands from the U.S., Australia, Europe and Japan.

“Beauty Bar is one of our own retail concepts,” Huang said of the shop that originated in the Philippines. “It's a cosmetics and personal care merchandise mixed brands store carrying mostly niche brands.”

Aerosoles and Beauty Bar are located next to each other and are situated across from the Gap store in the second floor of The Plaza.

Locally hired

Not only are the new shops contributing to the tourism industry with its brand appeal to tourists, GSRI is also supporting the island's “buy local” approach with its locally-hired employees.

“We've employed quite a number of locals,” Huang stated. “We hired around 62 locals to help us in our stores on Guam, with the exception of one person from the Philippines who's doing the training.”

Shoppers can also look forward to Gap's retail prices, because unlike in the United States, Guam doesn't have to face high tax rates at the register.

“It's exactly like the U.S. mainland prices plus the sales tax,” Huang reassured. “We're going to be cheaper than California.”

While the Gap store is already open at The Plaza, a second location will open its doors on Sunday, Feb. 26 at the Micronesia Mall.

Gap Inc. is one of the world's leading specialty retailers who offer clothing accessories and personal care products for men, women, children, and babies under the Gap, Banana Republic, Old Navy, Piperlime, and Athleta brands. Guam is the second country to be managed under the company's agreement with GSRI Group.
 

Congress reviewing DOD plans

Posted: Feb 16, 2012  by Sabrina Salas Matanane   KUAM

Guam - First the Senate and now the House, congressional leaders are reviewing the Department of Defense planned budget for Fiscal Year 2013 incorporating their new strategy in shaping an adaptable rapidly deployable military force. It's a strategy that puts emphasis on our corner of the world.

After appearing before the Senate, Defense Secretary Leon Panetta and Joint Chiefs of Staff Chairman General Martin Dempsey went before the House Armed Services Committee today pitching DOD's proposed 2013 budget, one that incorporates the Defense Department's new strategy to create a smaller, more agile flexible force to conduct a full range of military activities that it believes is necessary to defend U.S. national interests. At the core of their strategy is strengthening the military's power in the Asia Pacific region.

The plan includes implementing a 2006 accord between Japan and the United States. During today's oversight hearing Panetta said it was time to get it done and for the marines to maintain a forward presence. "We're trying to be innovative in the way that we're doing that.  The approach we're taking in Australia is an example of the kind of rotational presence that we think can make sense. We're talking to the Philippines about doing the same thing, but the bottom line is we want to maintain the marine forward presence in the pacific that's an essential element of our strategy," he said.

But the strategy, as a result of recent discussions with Japan and the U.S., includes reducing the amount of Marines coming from Guam from the 8,000 originally projected to slightly less than 5,000. Congresswoman Madeleine Bordallo said, "Will this lead to a reduction in support for civilian infrastructure that's needed to support the military population on Guam? If the Japanese do reduce the funding commitment how will the department ensure that the infrastructure needs continue to be addressed?" Panetta replied, "That's also one of the things that we're discussing  as you know one of the elements here is the development of a new Futenma Air Facility and it's an expensive process because it involves environmental permits that have to be obtained it's a very expensive project.

"But at the same time they have been very generous in saying that whatever moves that have to be made they'll support, they'll give us a lot of the funds to try to support that. That continues to be a part of our conversation, I think. As I said, I'm very pleased with the attitude the Japanese are taking." Bordallo said, "Do you don't think that there will be any reduction?" Panetta said, "No", then Bordallo said, "At this point."

Overall DOD's 2013 budget is set $525.4 billion, $5 billion less than last year's budget. The savings are a result of canceled or delayed department projects, one of them being the termination of the Global Hawk Block 30 program at Andersen Air Force Base. During today's hearing congressional leaders were concerned about the decision to scrap the program considering just last year DOD certified in a letter that the Global Hawks were critical to the nation's defense.

Bordallo said, "The decision to pull 18 Global Hawk Block 30 aircraft is shortsighted, in my opinion. The decision to terminate Block 30 is a complete reversal of your position can you explain how such a critical asset to national security in less than one year later be terminated? Can you answer how the Air Force will compensate the loss of this capability?"

Panetta said, "Look, we are very committed to unmanned systems that's the future but at the same time we've got to make judgment s about which ones are most cost-effective. I think that was what was behind the decision here."

Dempsey said, "It has become to expensive relative to other capabilities we have."

It was in 2009 a $42 million dollar Global Hawk aircraft maintenance and operations complex at Andersen Air Force Base was completed, the unmanned aerial vehicles started arriving in Guam during the summer of 2010.

Lada Estates project moves forward

Posted: Feb 16, 2012   by Ken Quintanilla   KUAM

Guam - It's been nearly a decade since the project was stalled, but following a settlement agreement early this year, Lada Estates may soon become a reality as Maeda Pacific Corporation plans to break ground once again for 400 affordable homes. Maeda Pacific president Tom Nielsen says although many may have long forgotten about the Lada Estates project, it's best to know about it now as he plans to move full steam ahead and break ground once again by the mid part of this year.

Nielsen told KUAM News, "We're just finalizing some deals in-house and we're planning to follow-up on the original intent of the law to build low-income housing for the people of Guam and we're getting our plan together to get it back in there and start cleaning up the land and start building homes."

Early this year a Superior Court judge signed a settlement between Maeda Pacific and the Guam Housing Corporation to move forward with the project. The project was sitting for more than two decades and was in legal limbo for almost 10 years. In 1990, Maeda Pacific completed the first phase of infrastructure for Lada Estates, however, in 2004 a dispute over construction costs between Maeda pacific and GHC - which owns the land - sent the parties to court.

GHC president Martin Benavente meanwhile says he's seen the project sit for years, noting repair work that must be done. "So you got manholes that are missing, you got electrical wires that are missing, you got debris that has been dumped there from people over the years. Refrigerators, cars, everything that is sitting there and trees that have grown up from tiny weeds to big trees now," he said. Benavente hopes Maeda Pacific can move quickly on the project providing its support in meeting their goal even offering financing for some homes down the line.

Nielsen meanwhile is unsure of just how much the homes will cost but plans to go with the original intent of building 400 affordable homes consisting of a few duplexes but a majority being single-family homes each having their own lot. And although he doesn't expect to make any money on the deal, he hopes to at least get back the nearly $11 million he invested in the property. Ultimately, it's a project that's needs attention.

"I still think we need affordable homes on Guam. We have a lot of overpriced, expensive homes but we need starter homes for young families and it's important to get these projects moving," he said.

The settlement meanwhile requires Maeda Pacific to build the 400 affordable homes within six years and should they not follow through on the project, the property will revert back to the government. 

Tagada Guam amusement park nearly complete

Posted: Feb 16, 2012  by Ken Quintanilla   KUAM

Guam - It's a project we first told you about last July, and if you've driven by Tumon recently, you've probably seen the rides set up, too - now the Tagada Guam Amusement Park is close to completion and set to open officially to the public in mid-March.

Chief operations officer Mark Day says rides are 90 percent complete, telling KUAM News, "The rides are coming to shape here and we're getting pretty excited. The energy is building up and I think a lot of the public is noticing what's going on and we hope to have a little more energy on this side of Tumon."

Although the project was originally set to open later this month, Tagada Guam is still testing operations and the rides itself beore holding a grand opening. The first phase consists of a huge swing called The Viking, bumper cars and a gravity-defying ride called The Tagada. The team has since hired local talent to serve as DJs to incorporate music within the rides.

though prices are still being worked on, there will be a local discounted rate.

Obama budget protects Pacific Islanders, Asian Americans

Wednesday, 15 Feb 2012 06:17pm

BY THERESE HART | VARIETY NEWS STAFF 

Marianas Variety 

Sen. Jeff Sessions, R-Ala., the Senate Budget Committee's ranking member, left, and Sen. John Barrasso, R-Wyo., react to President Barack Obama's fiscal 2013 federal budget. Part of the President’s proposal demonstrates his commitment to job security for Asian Americans and Pacific Islanders. AP photo

PRESIDENT Barack Obama revealed his $3.8 trillion budget for 2013 to Congress on Monday, and although insiders are saying Congress is not expected to pass this budget, part of the President’s proposal demonstrates his commitment to job security for Asian Americans and Pacific Islanders.

Toby Chaudhuri, an officer of the White House Initiative on Asian Americans and Pacific Islanders, said the President’s budget reflects the belief that the United States has always done its best when everyone gets a fair shot and everyone plays by the rules.

Obama’s budget recognizes “that this is a make-or-break moment for the middle class and those trying to reach it. What’s at stake is the very survival of the basic American promise that if you work hard, you can do well enough to raise a family, own a home and put a little away for retirement.”

To construct an economy that is built to last and provide security for Asian American and Pacific Islander families, the 2013 budget includes the following proposals:

·        Support the DREAM Act – This would cut the deficit by $2.2 billion over the next 10 years.

·        Strengthen Anti-Discrimination Enforcement – The budget proposes an increase for the Community Relations Service in the Department of Justice to fight hate crimes and provides a $14 million, or 4 percent, increase over the 2012 enacted level for the Equal Opportunity Employment Commission (EEOC), which is responsible for enforcing federal laws that make it illegal to discriminate against a job applicant or an employee.

·        Promote Citizenship and Integration – The administration increases support for integration of new immigrants, proposing $11 million to promote citizenship through education and preparation programs, replication of promising practices in integration for use by communities across the nation, and expansion of innovative English learning tools.

·        Support Learning Among Migrant and Refugee Children – The budget includes $393 million to support high-quality education programs for migrant children to help them overcome the unique challenges they face due to frequent moves among the states with disparities in curriculum, graduation requirements, or state academic content and student academic achievement standards.

·        Support Minority Businesses – Of the various ethnic and racial groups in the United States, White non-Latinos and Asian Americans have the highest self-employment rates. To help businesses thrive, the budget provides $221 million for the Treasury Department’s Community Development Financial Institutions Fund, which provides capital to low-income communities across the nation and is targeting a portion of its funds to help bring grocery stores and other healthy food retailers to underserved urban and rural communities.

·        Take Immediate Action to Support Growth and Job Creation – While the Obama administration has made progress in restarting job creation – with 3.7 million private sector jobs created over the past 23 months – the President believes much more needs to be done to put Americans back to work. Building off the provisions he proposed in the American Jobs Act, the President is calling for immediate steps to support job creation this year. These steps include extending the payroll tax cut through the end of the year – ensuring that 160 million workers do not see their taxes go up – providing aid to states and localities to hire and retain teachers and first responders, extending unemployment insurance, and making a $50 billion upfront investment in infrastructure.

·        Give Every American a Fair Shot at Success by Improving and Reforming K-12 Education – Some Asian Americans and Pacific Islanders have staggering educational needs that may be overlooked or masked by aggregated data. For example, only 14 percent of Native Hawaiians and Pacific Islanders 25 years of age and older have at least a bachelor’s degree; and 40 percent of Hmong, 38 percent of Laotians, and 35 percent of Cambodians do not complete high school. The administration has jump-started landmark reforms in the education system by rewarding excellence and promoting innovation to support the achievement of all students, including Asian Americans and Pacific Islanders.

Bordallo praises Obama budget, Guam to get $241.3M

Thursday, February 16, 2012 12:00AM By Therese Hart - Guam Reporter

Marianas Variety

HAGÅTÑA — Guam Congresswoman Madeleine Bordallo on Tuesday reacted to President Obama’s  budget proposal for fiscal year 2013,  which includes $241.3 million for the island.

The proposal includes $139.4 million in civilian infrastructure funding with $20.132 million for the complete construction of the Guam Mental Health and Substance Abuse Facility; $12.868 million for the construction of the Guam Regional Public Health Laboratory for a Level II Lab; and $106.4 million in water and wastewater projects.

Additionally, the budget includes $101.9 million in military construction funding, with $67.5 million for the Defense Logistic Agency’s upgrade fuel pipeline project; $25.9 million for the second increment of the Navy’s north ramp parking project at Andersen Air Force Base; and $8.5 million for the Army National Guard’s Joint Force Headquarters’ Phase 4 Improvement project.

Obama also requests $89 million in current appropriations to support Guam, the territories and the Freely Associated States.

This amount includes an additional $5 million to implement a comprehensive plan to mitigate the impacts and costs of Compact migration. The budget also provides $3 million for brown tree snake control on Guam and $1 million to assist with coral reef conservation efforts.

He also unveiled a new education program, requesting $8 billion for the Community College to Career Fund to help forge new partnerships between community colleges and businesses to train 2 million workers for good-paying jobs in high-growth and high-demand industries. The president has also requested $50 billion in immediate infrastructure investments along with $10 billion in support for an infrastructure bond bank.

“President Obama’s budget proposal for fiscal year 2013 is an extension of the blueprint he laid out during his State of the Union address, and includes more than $350 billion in short-term measures for job growth starting this year,” Bordallo said.

“Despite the challenging fiscal environment in Washington, the president’s request makes critical investments toward addressing critical infrastructure needs on Guam. His proposal would appropriate $139 million through the DOD Office of Economic Adjustment for civilian infrastructure as well as $101 million for military construction projects on Guam.”

She said the budget proposal would also help address the impacts of Compact migration on Guam and other affected jurisdictions by providing $5 million for a mitigation implementation plan in addition to the $30 million requested for Compact Impact aid.

Bordallo said she and her staff continue to review the full details of the budget submission.

“And as Congress moves forward with the budget process, I will continue to work with my colleagues to protect funding for Guam and ensure that our community has the resources it needs to maintain important programs and services on our island,” she said.

CCU concerned about buildup capacity

Posted: Feb 14, 2012   by Ken Quintanilla  KUAM

Guam - With news of a reduced marine presence on Guam along with an Office of the Inspector General report outlining the infrastructure technical requirements related to the military buildup, Consolidated Commission on Utilities chairman Simon Sanchez says although a smaller count means less power, water and waste water services, he hopes to receive some word on exactly how much capacity is needed.

He told KUAM News, "And now that funding is up in the air because the buildup is up in the air and until we hear more from the United States and Japan with exactly what that means - when you say 4,700 Marines are coming and what kind of facilities they're going to be needing and basically how much power capacity, water and waste water capacity will they need."

He adds the original buildup was going to provide the Guam Waterworks Authority with $400 million dollars to take the utility agency's current expansion and provide secondary treatment. Whatever the impact, he hopes to take the same approach in its previous negotiation with the Department of Defense and the Japan government toward paying costs as to not burden the people of Guam. The CCU meanwhile will meet Tuesday evening at 5:30pm.

Debate begins on Obama's budget

Posted: Feb 15, 2012   by Sabrina Salas Matanane   KUAM

Guam - Less than 24 hours after it was unveiled, House and Senate Republicans are calling President Barack Obama's FY2013 budget "debt on arrival". Also under attack: the defense budget.

Several aspects of the President's FY2013 budget already taking hits in Congress. Matter of fact, just a day after it was unveiled, Secretary of Defense Leon Panetta and Chairman of the Joint Chiefs of Staff Martin Dempsey appeared before the house armed services committee calling on congress to embrace the Pentagon's smaller, $614 billion budget proposal.

Dempsey said, "An increasingly and uncertain demands we be alert adaptive and dominant. This budget helps us do that. Rather, this budget will maintain our military's decisive edge and help sustain America's global leadership."

Republican lawmakers however believe the defense budget puts the nation's security at risk. As for Guam a little over $100 million has been requested for military construction projects as well a significantly less amount was requested for the marines relocation. The FY2013 defense budget also proposes terminating the Global Hawk 30 program, that DOD maintains has grown substantially in cost and is no longer cost-effective. At the Pentagon, Deputy Assistant Secretary of the Air Force for Budget Air Force Major General Edward Bolton, Jr fielded questions from reporters on this topic.

"In early March - I think March 6th - we're going to talk a little bit about mitigations and force structure and those type of things as part of a force structure rollout.  So it's really premature to kind of talk about that at this time," he said.

It was in 2009 a $42 million dollar Global Hawk aircraft maintenance and operations complex at Andersen Air Force Base was completed, the un-manned aerial vehicles started arriving in Guam during the summer of 2010.

New ride to zip through Tumon

Posted: Feb 13, 2012   by Ken Quintanilla   KUAM

Guam - Although sometimes known as a flying fox, death wire or aerial runway - one thing's for sure, Guam will see a new attraction providing beautiful views of Tumon Bay. Listen up thrill-seekers: Zip Guam, Inc. has set up on Guam and hopes to move forward with a new attraction that will have you soaring through the island's tourism capitol.

Having lived on Guam for over a decade even hosting a travel show on island, Zip Guam president Trevor Takasu felt now was the time to set up a new attraction not only for tourists and the military but locals, too. "So what it is, is you have either two poles that are either between two areas and they run it, and you have a cable, and the cable runs between the two areas up at a height whatever that may be and you land on a platform and then you're unhooked from that platform, placed onto the next cable and you zip along to the next one," he explained.

The zip line will run six courses spreading over five acres at the Hilton Guam Resort and Spa along the mountainside down to the cliff-side and down toward the ocean-side and back. The course will last nearly an hour and would cost $50 for admission. He notes the zip-line will be family oriented suitable for ages five years all the way to senior citizens.

"When somebody rides something like this for the first time, they're concerned about the safety, about the heights and concerned about many aspects but please don't worry about that at every inch of the way from the time that you start, you are hooked up to this zip-line course until you finish so you cannot go anywhere," he said.

The zip-line will only rise up to 30 feet and will feature a double line of cables to provide an extra safety aspect. Although the zip line will allow you to soar through paradise, Takasu hopes it becomes more of an experience. "It's great for the environment because we're going to be amongst beautiful trees and above canopies and we have different views in every section of our course, so it's more of a sightseeing along the way, so I hope everybody will enjoy," Takasu added.

Before the project can get off the ground its dependent on whether Zip Guam, Inc. can obtain the permits from the respective agencies to begin construction. Things do look positive as the Guam Land Use Commission already approved its tentative development plan late last month.

Once construction begins, it should take about two to three months to complete costing over half a million dollars.

DoD Inspector General releases report

Posted: Feb 10, 2012   by Ken Quintanilla   KUAM

Guam - The Department of Defense Inspector General report on the program and contract infrastructure technical requirements development for the Guam Realignment Program was also released inclusive of findings and recommendations for the island's port, roads, power production and transmission, drinking water, wastewater, solid waste and communications.

Port chairman Dan Tydingco tells KUAM News that the final report mirrored similar concerns on the conditions of the Port's waterfront as noted through a draft report last year and will thoroughly examine how to move forward with the modernization plan. "I think there is still universal agreement between the federal side and the local side that Port needs to be modernized regardless of what numbers of people are coming here for the modernization or the buildup here, there's still that sentiment that has been echoed or viewed that the port has to be modernized," he said.  

The report found that the Port's cargo handling capacity must be upgraded to achieve the required throughput for the military realignment to Guam and recommended prioritizing correcting the deteriorated structural, utility and infrastructural facility deficiencies and upgrade said facilities to modern safe standard. He adds the Port and island leaders will have a formal meeting with MARAD, the DoD, IG, USDA and JGPO in Washington, DC on February 24. 

Ground broken on Yigo steel frame homes

Posted: Feb 10, 2012  by Ken Quintanilla   KUAM

Guam - Harmony and Communication, Nexus C&D and Nanum Consulting Corporation broke ground this afternoon for 160 new energy efficient steel frame construction home model units in Yigo. The project will provide a design reinforced cement board along with Samsung Electronics incorporating inverted air conditioning systems and water units in the home.

Nanum chief operations officer Thomas Son told KUAM News, "Governor Calvo he emphasizes on the American dream, and I think this is good opportunity for the people of Guam, affordable and also able to get federal help and federal assistance through GHURA."  

He adds the affordable homes will range from $36,000 and above and should take about less than two months to fully construct the homes.

Joint statement confirms separating FRF from plans

Posted: Feb 09, 2012   by Ken Quintanilla   KUAM

Guam - As expected, the United States and Japan issued a joint statement on revisions to their plan to realign forces in the latter country. Although the statement offered by governments didn't provide the exact number of Marines set to relocate to Guam, it essentially did confirm, in part, what we've been reporting all along that the two countries are agreeing to amend the 2006 realignment roadmap and the 2009 Guam International Agreement.

The joint statement, released overnight, confirms the two countries are working on separating the highly contentious issue of the Futenma Replacement Facility from plans to relocate thousands of Marines from Okinawa to Guam. "As part of this joint effort our two governments have started official discussions to adjust our current posture plans set forth in the Realignment Roadmap, in particular delinking both the movement of Marines to Guam and resulting land returns south of Kadena from progress on the Futenma Replacement Facility. We are also reviewing the unit composition and the number of Marines who will relocate to Guam and we continue to be committed to achieving an end-state Marine presence remaining on Okinawa in line with the Roadmap," it read.

Although the controversy over the Futenma Replacement Facility has long stalled the Marines relocation from Okinawa to Guam, Senator Judi Guthertz says it doesn't surprise her much but reaffirmed what she had already learned in the past two weeks. She said, "They can think about the lay down of the Marines independently of the Futenma condition, so that's a really good thing. and the fact of the matter is, it sounds very clear from the joint statement that Japan does want a good number of Marines to leave Okinawa and to go to Guam and perhaps be rotated in some other areas in the Asia Pacific region."

In separating the two issues, it will allow the relocation to occur in spite of intense opposition in Japan over where the FRF will be built. According to the joint statement, the U.S. and Japan do not plan to deviate from the original 2006 agreement in terms of where it will be situated as both governments stated, "We believe that the current Futenma Replacement Facility plan is the only viable way forward."

And although it's been widely reported that the number of Marines to be relocated from Okinawa to Guam would be reduced from 8,000 to 4,700, the joint statement didn't provide any revised figures other than to state those discussions remain ongoing.

Congresswoman Madeleine Bordallo, however, said in a release that she was notified by Navy Undersecretary Robert Work and Assistant Secretary of the Navy Jackalyne Pfannenstiel that Guam is expected to see a little less than 5,000 Marines, saying, "We expect that Guam will receive 4,700 Marines, but the exact laydown and mixture of those forces has yet to be formalized.  I believe that a permanent Marine presence on Guam is in the best interest of our national security and Guam's civilian community, and I strongly disagree with those who suggest a rotational presence is a viable option."

Work also confirmed the figure to Governor Eddie Calvo's chief policy advisor Arthur Clark in a conference call Tuesday. He says the count is still significant. "But 4,700 is still a significant number of troops to be sending over here and you can consider that the administration just announced its intent to introduce two new rounds of BRACCs and base closures in the States, so where right now the military is planning to do some significant cutting back in the States, the plan is still to develop and expand the forces here on Guam," he said.

Clark believes any discussion to adjust the 2006 roadmap agreement is driven largely in part by the decisions in Congress to make massive defense budget cuts of close to a half-billion dollars needing to be slashed over the next decade.

During today's State Department briefing spokesperson Victoria Nuland acknowledged the budget constraints and issues that remain unresolved in Japan. "As you know, we've been working through these issues for some time. We have also concurrently been working through the new defense posture as a result of the budget cuts which Secretary Panetta has talked about extensively. And as we seek to settle all of the Okinawa issues, we nonetheless concluded that we could move forward with some aspects of the relocation even as we continue to work through the Okinawa - the rest of the Okinawa issues," she said.

Moving forward, island leaders note that residents should recognize that at this point, the buildup will in fact happen and despite some perimeters being unclear at the moment, Guam should expect a good number of marines on island along with the associated infrastructure.    

Meanwhile Virginia Senator Jim Webb, who has been critical of the cost for the realignment said the joint announcement represents another acknowledgment by the governments of the United States and Japan that the 2006 Roadmap Agreement must be adjusted to preserve the vital strength of our alliance and the stability of the region. 

He added, "In that regard, the U.S. Congress has laid out two firm requirements regarding our basing system on Okinawa and Guam. These requirements are directly tied to defense funding.  They must be met in order to ensure a comprehensive analysis before moving forward. Those requirements, which were included in the 2012 defense budget mandates a master plan to be submitted and for an independent assessment of U.S. security interests and deployment plans in the Pacific Region be conducted."

BREAKING NEWS: Local leaders confirm buildup will shrink to 4,700

10:26 AM, Feb. 9, 2012   Guam PDN   guampdn.com

Guam's delegate and a highly placed official at the governor's office have both said today that the military buildup will shrink to 4,700 Marines.

Guam Delegate Madeleine Bordallo released a response today to diplomatic discussions that are re-shaping the Guam buildup. Midday today, Arthur Clark, the governor's director of policy, said he was given the 4,700 number during a conference call with Navy Undersecretery Robert Work, which occured yesterday.

Clark said he expected that figure to be released in a joint statement that was issued by America and Japanese diplomats last night, but was surprised that it was not included. Regardless, Clark said the Navy gave the figure to his office yesterday.

“This actually has the potential to accelerate the plans to move forward with the development,” Clark said. “It will be on a smaller scale, but it will start the process. It will allow the process to move forward.”

Bordallo said she also spoke with Work, plus and Assistant Secretary of the Navy Jackalyne Pfannenstiel, about the ongoing talks between the Obama administration and the government of Japan.

“Although some details have yet to be worked out, the discussions between the Obama administration and the government of Japan will lead to several modifications to the Roadmap for Realignment that was agreed to in 2006,” Bordallo said. “The Department of Defense has agreed that the number of Marines that will be relocated to Guam from Okinawa will be reduced and that the remaining service members will be distributed at other locations in the Asia-Pacific region. Further, the de-linking of progress on the construction of a Futenma Replacement Facility will be helpful to get many backlogged military construction projects underway.

"We expect that Guam will receive 4,700 Marines, but the exact laydown and mixture of those forces has yet to be formalized. I believe that a permanent Marine presence on Guam is in the best interest of our national security and Guam’s civilian community, and I strongly disagree with those who suggest a rotational presence is a viable option."

The Department of State issued a formal statement on the renegotiations last night. The statement said the Guam buildup will be de-linked from the controversial plan to relocate the Marine Corps Air Station Futenma, but did not say how many Marines are now expected to move to Guam.

Several international news services have reported the number will shrink to about 4,500 to 4,700, but the military has not confirmed this reduction.

US and Japan issue Joint Statement

Posted: Feb 09, 2012   by Sabrina Salas Matanane   KUAM

Guam - A joint statement issued by the United States and Japan confirms that the two countries are working on separating the highly contentious issue of the Futenma Replacement Facility from plans to relocate thousands of Marines from Okinawa to Guam.

According to the joint statement, "As part of this joint effort our two governments have started official discussions to adjust our current posture plans set forth in the Realignment Roadmap, in particular delinking both the movement of Marines to Guam and resulting land returns south of Kadena from progress on the Futenma Replacement Facility. We are also reviewing the unit composition and the number of Marines who will relocate to Guam and we continue to be committed to achieving an end-state Marine presence remaining on Okinawa in line with the Roadmap."

 

The controversy over the Futenma Replacement Facility has long stalled the marines relocation from Okinawa to Guam. In separating the two issues it will allow the relocation to occur inspite of intense opposition in Japan over where the FRF will be built. According to the joint statement the U.S. and Japan do not plan to deviate from the original 2006 agreement in terms of where it will be situated. "We believe that the current Futenma Replacement Facility plan is the only viable way forward," according to the Joint Statement by both governments.

 

Although it's been widely reported that the number of Marines to be relocated from Okinawa to Guam would be reduced from 8,000 to 4,700, the joint statement did not provide any revised figures other than to state those discussions remain ongoing.

 

"In the weeks and months ahead, our two governments will be working to address a number of issues associated with these adjustments. This joint effort advances the strategic objectives of the Alliance and reflects our shared vision for the maintenance of peace and security in the Asia-Pacific region," the press release stated.

Guam's role in realignment to be revealed

Posted: Feb 08, 2012   By Sabrina Salas Matanane   KUAM

Guam - Over the last couple days in the nation's capitol, the U.S. and Japan have been in discussions about possible amendments to the 2006 roadmap to realignment and the 2009 Guam International Agreement. By this time tomorrow night we'll finally hear what those discussions will mean for the territory.

It hit the wires last Friday in the Japan Times and today made headlines in the Washington Post. The U.S. and Japan are expected to announce changes to their agreement forged in 2006 regarding the realignment of forces in Japan. A part of that plan was to move 8,000 Marines to Guam and to relocate an air base in Okinawa to a less populated area on the island referred to as the Futenma Replacement Facility.

Talks are underway in DC, but State Department spokesperson Victoria Nuland would only confirm today that the U.S. and Japan reaffirmed their commitment to maintaining and enhancing robust security alliances. She said, "They made clear that we all remain fully committed to the implementation of the Futemna replacement facility and the relocation of the air base to Camp Schwab. We made clear that Guam remains an essential part of our larger Asia Pacific strategy, including Guam as a strategic hub, and to establishing operational Marine Corps presence on Guam and relocating some of our Marines from Okinawa to Guam. But with regard to any further details, that's all I have for you at the moment."

Those details according to governor's chief policy advisor Arthur Clark will be made either late tonight or early tomorrow morning when the U.S. and Japan issue a joint statement. Clark telling KUAM News, Governor Eddie Calvo as on the line today with Navy Undersecretary Robert Work who informed him about the pending announcement. "That should provide more clarity relative to the numbers, there's a lot of speculation now from zero to 8,000 to 4,700, so we should have a better number tomorrow at what that figure looks like," he said.

Clark adds Governor Calvo had raised concern with undersecretary work on the preference of the permanent staff and headquarter command component but says although a statement will be issued, it is still subject to revision.

It's likely the U.S. and Japan will announce that it will delink the contentious issue of the Futenma Replacement Facility from the actual troop realignment. This will allow for the relocation of troops to move forward, but not as many will be coming to Guam. Under the initial agreement 8,000 were expected to be relocate from Okinawa to Guam. Now, Guam reportedly might only see a little less than 5,000 of those troops with the remaining Marines to be rotated to other Pacific areas like Hawaii, Australia and the Philippines.

 

Adelup shuffles directors

Posted: Feb 08, 2012  by Sabrina Salas Matanane   KUAM

Guam - After conducting assessments on the performance of cabinet members, the Calvo Administration has made a decision to shuffle some of its directors. Cabinet members were graded on their progress toward meeting the goals set forth in Blueprint 2020, ability to cut spending and implement creative solutions, ability to implement mandates and inspire their employees, among other things. 

1.       Ralph Sgambelluri will return to his post as Chief of Customs.
2.       Pedro Leon Guerrero will be the director of Customs. Leon Guerrero was the general manager of the port.
3.       Mary Torres will be the general manager of the port. Torres was the executive manager of the airport.
4.       Chuck Ada will be the executive manager of the airport. Ada was the administrator of Civil Defense.
5.      A search is ongoing for a new administrator of Civil Defense.
6.       George Santos is the new Director of Labor. Santos was the deputy director of Administration.
7.      A  search is ongoing for a new director of the Agency for Human Resource Development.

Officials indicated that additional announcements are forthcoming.

 

Marianas Business Journal

Wednesday, February 8th 2012

NEWS FLASH! - GTA awaits action from PUC to expand into the NMI

GTA awaits action from PUC to expand into the NMI

NEWS FLASH! - United to fly Honolulu-DC

United to fly Honolulu-DC

 

Leaders optimistic about transfer of Marines

by Ken Quintanilla  Posted: Feb 06, 2012  KUAM

Guam - Whether it's Japan or Washington media, all signs indicate that an announcement about a possible change in the 2006 agreement between the United States and Japan could mean a reduction of troops coming to the territory. There's been no official announcement, but when it is made, it's likely Guam will see a reduction in the amount of troops heading to the territory as part of the Marines relocation from Okinawa to Guam. But no matter the amount, island leaders remain optimistic that any footprint on Guam would benefit the island.

If national and international media reports are accurate, any day now the Department of Defense should be making the official announcement that the 2006 roadmap for realignment of U.S. forces in Japan will be amended. It will be tweaked in such a way that would delink the contentious issue of the Futenma Air Base from the Marines relocation from Okinawa to Guam.

Buildup chair Senator Judi Guthertz who was one of many senators who met last week with Congresswoman Madeleine Bordallo. "She talked about movement that was occurring and we should be hearing more news in the future and that's what we're starting to hear," she detailed. Reportedly the amended 2006 agreement will announce the decrease in troops coming to Guam. Instead of 8,000 we will see 4,700 Marines. The figures are inline with what Bordallo told constituents in Agat during her recent town hall meeting.

She said, "So I think the idea of a mobile force with Guam as centerpiece is still on the table and I think that's going to happen. Right now as we speak, there are representatives from the Department of Defense, Department of State in Japan meeting with the Japanese counterparts talking about changes to the U.S.-Guam Agreement, rather the U.S.-Japan Agreement on the relocation of Marines."

Governor Eddie Calvo's special assistant and military buildup director Mark Calvo recently returned from dc where he met with officials there about the buildup and to provide assurances that Guam remains in support of the DoD's plan no matter how big or small.  "Any amount on the increase on the DoD footprint here on Guam, we believe it's a great thing for Guam economically initially. Now, if it is a smaller amount, we support it highly because it is an indication that all parties concerned have heard our voice that infrastructure must be developed and must be able to sustain whatever buildup is here," he said.

The announcement and changes to the relocation plan comes as the Department of Defense is challenged with making a half-billion dollars in cuts over the next ten years.  According to the reports, Japan and the U.S. meanwhile are likely to announce the transfer of the 4,700 Marines to Guam on February 13.

Marianas GPS - mapping out Guam & the CNMI

Posted: Feb 06, 2012   by Ken San Nicolas   KUAM

Guam - Have you ever found yourself in an unfamiliar part of the island, unsure of where the closest restaurant is? Or perhaps you are new to the island and do not know the shortest route to take in order to get to the Micronesia Mall? Fear not, because Marianas GPS may have just the solution for you.

Alex Fields, owner of Marianas GPS, has developed automotive as well as topographical maps for both Guam and the Commonwealth of the Northern Mariana Islands.  These maps, when downloaded onto a Garmin GPS device, provide users with information integral to reaching their destination during their automotive travel. "If you're going to a particular place it is usually a point of interest, If you know here you're going you can spell it out and it will return as many matches as it can...press go and it will calculate where it wants you to go and tell you how to get there," he explained.

The maps themselves are free downloads for individual users and the Garmin GPS devices can be purchased at Macy's or online for roughly $100. The maps are primarily useful for travelers looking for an efficient route to view the island's popular tourist spots or for visitors new to the island. 

Hertz Rental Car Services offers the GPS system pre-programmed with different tours to help facilitate the sight-seeing experience. Fields said, "It's a tour of the sites tourists typically like to see, but if you are on your own you may or may not know how to get there. Two Lovers Point, Ritidian, the War in the Pacific Memorial - I've even made a tour that shows off those fiberglass caribous that were sponsored by the Chamber of Commerce."

The maps are compatible with a variety of languages and Fields hopes to implement Chamorro into the list of available choices. He said, "I'm working with a couple of local friends to do a Chamorro voice as well. I don't anticipate heavy use but, I do think it's something we need to provide to basically enhance our local ties." But tourists and those new to the island aren't the only ones who can benefit from the maps that Marianas GPS has to offer.

Fields explains that many government and private business entities could increase productivity through its use, telling KUAM News, "Well, of course, there are the tourists and contractors, real estate agents, police, fire departments, banks, who have runners and collection agents who have never been to some place before. It's something that this island needs to me, and I'm tired of the place being treated as a third class destination. We've got stuff that's second to none and we need to show the world that it's available." 

With an estimated 95% of the island's roads and streets already listed, the Marianas GPS maps provide a wealth of information for both new visitors and long time residents alike. Expect the maps to be available on the Android and iOS cellular platforms in the near future.

If you would like more information about Marianas GPS and the products they offer, visit them at www.marianasgps.com or find them on Facebook

 

Task force getting action items in order

Posted: Feb 03, 2012   by Krystal Paco   KUAM

Guam - The newly created Education Task Force will be meeting in the coming weeks as they intend to do a comprehensive assessment of the island's schools and prioritize the top ten facilities that are in the most need of repair and renovations. And the group has numerous challenges ahead of it.

As the head of a Education Task Force, governor's education liaisons Vince Leon Guerrero has his work cut out for him. "We still need to get information from DOE on what they're needs are," he told KUAM News. "They've never really compiled a comprehensive needs list."

The task force, announced by Governor Eddie Calvo during the State of the Island Address earlier this week, has been tasked to explore how the government can finance the renovation and rebuilding of existing schools and construct new ones.  The creation of the group comes at a time when Adelup has asked the Department of Education for an updated capital improvements plan and called for a district wide assessment of student desks, equipment and supplies.

Leon Guerrero says this all starts with a comprehensive needs assessment of all the schools, noting "I think we want to do a correct and true picture of what the needs of DOE are. And that's going to take some time, so clearly we need DOE's involvement. Now on the financing side, we need GEDA to assist us, because as we explore the ways that we're going to finance this we're going to have to make sure we take into consideration the debt ceiling any of the bond covenants that we need to be aware of so we don't violate any of those restrictions and that GEDA is the appropriate agency to advise on that."

Leon Guerrero says an inventory of all collateral equipment will need to be done to prevent Public Health from issuing demerits during school inspections for unsafe student desks and such. The Task Force will be researching alternative financial options such as the EB-5 Visa Program, which allows foreigners to invest their money in places like Guam in exchange for spending time in the U.S to prevent having to pull from the General Fund.

The group will consist of the Governor's Office, the Guam Economic Development Authority, DOE and some stakeholders. Leon Guerrero says the group will use the Sodexo report as a start, saying, "What Sodexo identified was some $130 million in renovation costs and of that only $60 million is going to be addressed by the American Reinvestment and Recovery Act. So clearly we need to identify funding for some $77 million more - who knows how much more - for the collateral equipment that would be needed."

While funding looks to be the largest challenge, Leon Guerrero says the group will try to tackle a solution for Untalan Middle School first. "Again, Untalan has not had a structural analysis done and that will guide what we're going to do with Untalan and the cost. And so we want to try to get Untalan for the start of School Year 2013-2014 no later than Christmas Break. Take advantage of that at the very latest. But ideally, it should be that summer before 2014 starts," he shared.

White House plans to curtail buildup on Guam

Posted: Feb 03, 2012 , by Sabrina Salas Matanane, KUAM

Guam - Following Japanese media reports, Bloomberg Media is now reporting that the Obama Administration intends to curtail a plan to expand the U.S. military's presence in Guam and will instead rotate some of the U.S. Marines through the Asia-Pacific Region.  The article said the information was coming through sources who did not want to be identified because the plan has yet to be announced. 

The article quotes Defense Department spokesperson Commander Leslie Hull-Ryde, who said the Pentagon considers Guam "an essential part of our larger Asia-Pacific strategy. We are committed to developing Guam as a strategic hub and to establishing an operational Marine Corps' presence on Guam by relocating some Marines from Okinawa to Guam."  Hull-Ryde added that the department recognizes the budget realities in Washington as well as the environmental challenges on Guam that requires the DoD to consider options that will fulfill their regional commitments most efficiently and effectively.

It's reported that the Obama Administration's plans are now to send about 4,500 Marines to Guam and to rotate an additional 4,000 through Australia, Subic Bay and Hawaii.

The plan comes after Senate members expressed significant opposition to the cost of the buildup and questioned why a master plan had not been submitted.

Governor Eddie Calvo meanwhile responded to the  Bloomberg report saying Guam has an interesting history with the marines and although some in Congress are concerned over the budget of the total realignment in the region, he hopes officials in our nation's capitol understand why the defense department needs to move forward with the buildup and its preferred laydown in Guam saying, "Guam is at America's westernmost frontier. We are the closest U.S. community to the fastest-growing region in the world. China, Japan, South Korea, North Korea, the Philippines, Indonesia and Malaysia are all within three to five hours flight distance."

He notes how discussions of other areas for alternative lay down sites such as Hawaii would take much longer for the Marines to respond to a threat against the U.S. in Asia and the Philippines whose constitution forbids foreign bases. He goes on to say, "I imagine that both those rumored alternatives will be more costly than the preferred buildup in Guam, one way or another. Guam is the perfect place for the buildup. We are a U.S. community. We are the closest U.S. community to Asia. We are very patriotic citizens. And unlike many foreign countries and even some U.S. communities, we welcome an increased military presence."

Report: 3,000 Marines may be shifted

Posted: Feb 02, 2012 4:42 PM   by Ken Quintanilla   KUAM

Guam - Late last year the military buildup on Guam took a major blow as officials in our nation's capitol issued a pause freezing over $200 million in military projects. And just today, news coming out of Japanese media state less than half of the estimated 8,000 U.S. Marines slated to relocate to Guam may be transferred elsewhere.

Japanese media are reporting that it doesn't appear Guam will be getting as many Marines from Okinawa than originally projected by the Department of Defense. According to an article in the Japan Times, the DoD is considering shifting some of the 8,000 Marines stationed in Okinawa to Hawaii and other Pacific areas because Guam, which is geographically close to China, is vulnerable to a catastrophic attack.

"As a matter of fact," said Senator Judi Guthertz, who chairs the Legislative Committee on the Military Buildup, "I think it's a good strategy for the United States armed forces to have a presence in other locations not just on Guam, but other locations because of the threats coming out of China with their increasing military capability and what appears to be China's intention to expand its fear of influence particularly in the Western Pacific."

The news of the potential repositioning of troops isn't necessarily a surprise to island leaders like Guthertz. Guam leaders have long said that the buildup will still happen, but it may not be as big as originally envisioned. As a matter of fact just this past weekend, Congresswoman Madeleine Bordallo during one of her town hall meetings said don't believe the hype

"Ladies and gentlemen, we are getting the Marines - no matter what you hear we are getting the Marines!" she proclaimed at the time. "It may not be as large a number as we thought, some people think it might be 6,000; a little be a less than the 8,000 planned."

And just today Bordallo issued a statement as a result of the reports in Japan, writing, "The Obama Administration continues to recognize the important role that our region, particularly Guam, will play in maintaining our national security. I believe the Department of Defense continues to dialogue with our partners in the region to better understand the requirements for our military posture in the region. I do appreciate that this Administration takes serious the concerns of Congress and I urge them to address those concerns so we can move forward with the buildup."

In the meantime, we won't know for sure the size and breadth of the buildup until the DoD submits a master plan to Congress - a requirement that must be met in order to lift the pause currently in place for any further funding for the Marines' relocation. 

Calvo outlines plans to restore Hagatna

Posted: Feb 01, 2012 by Sabrina Salas Matanane  KUAM

Guam - Revitalizing and restoring the island's capitol of Hagatna was also one of the centerpieces of the governor's two-hour long address. Department of Chamorro Affairs president Joseph Cameron said, "I think it's a long time coming, the Guam Preservation Trust has put in some federal grant monies into that say to suffice that the HOT bond money will help out in finally putting that Legislative Session Hall back to its natural glory. More importantly, I think brining the capitol back to the heart of the city of Hagatna."

Calvo announced that the RFP on Monday was issued for the restoration of the Plaza De Espana and would like to see the Guam Museum built there as suggested by Vice Speaker B.J. Cruz.

 

Governor delivers 2012 State of the Island

Posted: Jan 31, 2012   by Sabrina Salas Matanane   KUAM

Guam - Governor Eddie Calvo delivered before a packed house at the Antonio R. Unpingco Legislative Session Hall and before tens of thousands watching on KUAM-TV and online at KUAM.com his 2012 State of the Island Address.

The governor encouraged the island to imagine the possibilities, to have confidence and courage and that the future of our island lies with our children and ensuring they receive the best education possible.  

 

He started his address by talking about the government's finances and how it's been 20 years since the government stopped robbing its citizens of their tax refunds and that after two decades tax refunds are on time. He asked senators to work together swiftly to pay the people the remaining balance of their money.

 

The government also talked about his efforts toward reorganization and the consolidation of agencies and outsourcing of service, the latter of which he said in his proposed Fiscal Year 2013 budget he submitted to the legislature today he reordered the reorganization of animal control and outsourcing those functions to the mayors. He announced that his next outsourcing project is the Department of Motor Vehicles at the Department of Revenue and Taxation "as a rule government should never compete with the private sector"

 

The governor added the demand for excellence is a precursor to a total change in how agencies will be funded in the future. His fiscal team is working to transition the government into performance based budgeting.  Which means that in the future agencies will be funded based on their performance rather than on what they request.

 

In terms of what we will see in the near future, the governor says you will see an emphasis in providing more online services to government customers. In doing so, this the governor says will reduce traffic at government agencies, and make it more convenient for you to get services from GovGuam. There's also a possibility of putting up service kiosks at Rev & Tax so that you wont have to wait in long lines. You can just walk up to the machine and make your transaction.

 

The governor in his address admitted that things are better but let's not kid ourselves, we are far from where we need to be. The state of the government is better, but the state of our island is vulnerable. The governor saying that 30 percent of our people have no choice but to accept public assistance. The saddest statistic of them all is 67 percent of public school children come from families struggling so much in life that these children have to take reduced or free lunch assistance. The governor talked about ending the cycle of poverty by providing opportunities such as affordable homes and education, as well as jobs.

 

One of the short-term solutions the governor talked about during his address is the military buildup, "It is clear as day to me that the buildup brings with it the greatest hope for the current jobless, and those looking to increase their wages and income."  The governor went on to criticize those senators which he did not name for sending mixed signals to Washington about whether Guam wanted the buildup. The governor directed a message to President Barack Obama and Defense Secretary Leon Panetta "we absolutely and without pause want the buildup and we welcome America's heroes to our shores".  The governor also announced that as a compromise offered by Senator Judi Guthertz who chairs the Buildup Committee in the Legislature. He will be issuing an executive order impaneling the Guam First Commission advisory body so that all communications with Washington are made with once voice.

 

On the issue of healthcare, Governor Calvo announced that by the end of this quarter the Guam Memorial Hospital will be implementing its austerity plan that will allow GMH to hire more nurses and doctors it needs.  Additionally he has directed GMH, the Guam Fire Department and Public Health to develop a tiered urgent to emergency medical care system.  This will allow public health facilities in Dededo, Mangilao and Inarajan to establish urgent care centers and receive non-emergency patients transported by ambulance. The governor has also instructed Public Health to start working toward extending the hours at the community health centers.

 

In terms of mental health, the governor went off on the federal government and the federal management team which he says has failed. The governor said that the most interesting part of this story is that unlike the problems at GMH, or Public Health, Mental Health has a lot of money. That's because island taxpayers have given $9,000,000 to help solve the problems he further questioned where that money has gone. The governor criticized the federal government because it is the reason why Mental Health and DISID have been pushed to the limit.

 

The governor used the example at Mental Health to go after the federal government on several other issues such as Compact impact, which he suggests has led to an unnatural demand on services. "One by one our systems began breaking under the weight of the compacts, school crowding in the north, prison funding and conditions, waste water treatment, capacity at the Ordot Dump, and MIP funding that was no longer enough. The governor noted the consent decrees and stipulated orders that followed and how the feds sued us to make nearly the half billion dollars in improvements to accommodate -their- failures.  Calvo said enough is enough. The governor announced that his team is exploring aggressive avenues to hold the federal government accountable for the money it owes Guam based on the federal government's own written obligations.

 

In terms of education, the governor announced the creation of an executive level task force that brings together the Governor's Office, GEDA and DOE to explore how they can finance the renovation and rebuilding of existing schools and the construction of new ones. The task force is being led by his chief education liaison, Vince Leon Guerrero. The governor says education is key to the island's future.

 

The governor also put on blast the Guam Federation of Teachers and how the decision to close F.Q. Sanchez Elementary School was hinged on the union. Calvo also noted how the GFT contract left parents, teachers, principals and the superintendent and the board powerless. "Get rid of the current contract that only vests power in a select few union bosses who care little to nothing for the future of Guam's children," he said.

 

Calvo also talked about revitalizing and rezoning the island's capitol, and announced that the request for proposal was signed to begin the renovations to the Plaza De Espana and efforts to restore the capitol and bring the Guam Museum to Hagatna. The governor announced that as part of the finance strategies to build new schools and also to restore the capitol is through the EB-5 Visa Program in which foreign nationals have incentives from the state department to enter a U.S. city and invest their capitol.

 

The governor would end his speech talking about the "Imagine Guam Project", one that entails envisioning the Guam of the future and building toward that vision. To start the process Calvo announced that he will be bringing together program managers of every master plan currently in place in government and merging them to get rid of redundant projects.  He will then call on the people of Guam to submit their ideas. 

 

The inspiration behind dreaming big and imagining comes down to finding the courage and confidence within ourselves, and in turn instilling that hope and inspiration in our children so they too can imagine and achieve their Guamanian dream.

Marianas Business Journal

January 30 through February 12, 2012

CORPORATE GIVING

The Society of American Military Engineers awarded a total of $5,000 in scholarships to four engineering students from Guam at its general membership meeting at Outrigger Resort Guam on Jan. 19.

Dragonfly gives birth to Little Dragonflies

Dragonfly Furniture & Decor has expanded its business to include a section called Little Dragonflies, which is dedicated to children's furniture.

FHP downsizes OB-Gyne health care

TakeCare Insurance has informed some of its members that two of its Women's Center Services providers would be leaving the company. Dr. Friedrich Bieling and Dr. Farrell Cole's departure from the FHP Health Center means FHP must limit its own ability to treat women for obstetrics and gynecology.

High court judge visit kicks off conference

The District Court of Guam began its Annual District Conference Jan. 26 with the introduction of its honorary guest, U.S. Supreme Court Justice Sonia Sotomayor at a morning press conference.

Hospital and TakeCare argue over billing treatment

Guam Memorial Hospital Authority Interim Administrator Rey M. Vega told the Journal that a pattern of denial of coverage led the hospital to terminate its direct payer agreement with TakeCare Insurance Co.

IT&E to launch Push-to-Talk

HARMON, Guam - Guam telecommunications provider IT&E launched its new Push-to-Talk communications service Jan. 18 at its Harmon offices. The new product is called QuickTalk.

MILITARY

SANTA RITA, Guam - Full implementation of the previously announced Navy Commercial Access Control System at U.S. Naval Base Guam began Jan. 26 for all contractors, suppliers and vendors who have registered and received their NCACS credentials., according to a spokesperson from U.S. Naval Base Guam. No delays at the gate were reported, she said.

Northey to head credit union

MAITE, Guam - Coast360 Federal Credit Union has announced that Richard Northey has been appointed its chief executive officer.

The Carpet Store

The Americana Group which does business as the Carpet Store/Americana Suppliers has been in business for more than 30 years and the company has been a member of the Guam Contractors Association since 2006.

The Gap and other brands to open doors, on Guam soon

Popular apparel franchise stores the Gap and GapKids and babyGap are scheduled to open at the Micronesia Mall soon.

The Home Depot hiring for spring

ATLANTA and TAMUNING, Guam - The Home Depot's corporate headquarters announced Jan. 12 that it had begun recruiting efforts to fill more than 70,000 seasonal positions to accommodate increased activity during the spring.

Upper Tumon is home to Vivian's Coffee Shop

Vivian's Coffee Shop has opened its doors in Upper Tumon in the space that was formerly the Aji Ichi restaurant across the street from the Nissan Motor Corp. dealership.

Yap Speaker seeks transparency, impact study on ETG deal

Speaker Henry Falan of the Yap State Legislature is seeking transparency in what he describes as a "mysterious deal" between the Yap Traditional Council of Pilung - traditional leaders - and China's Exhibition & Trade Group, which is proposing a grand development plan that involves the creation of "a world-class international resort" and airport expansion.

We bagged it Tan company expands Philippine operations with the bag factory

MANILA, Philippines - Businessman Willie L. Tan is further expanding Luen Thai business operations in the Philippines with the recent inauguration of a luxury bags factory in Tarlac.

NEWS FLASH! - Chugach housing contract renewed

Chugach housing contract renewed

Regional news:

Aquaculture startup on Tinian promising

GUALO RAI, Saipan - Tinian's Joe San Nicholas, owner of SN-5 Inc., recently completed the installation of a Re-circulating Aquaculture System.

Arctic Circle to move NMI produce to regional markets

LOWER BASE, Saipan - Farmers and companies from the Northern Mariana Islands will soon have another option able to ship their produce to Guam and to other parts of the world with the much-anticipated arrival of Artic Circle Air's cargo plane from Alaska.

Bank of Hawaii shares 2011 results

HONOLULU - Bank of Hawaii Corp. reported diluted earnings per share of 85¢ for the fourth quarter of 2011, down from 92¢ per share in the previous quarter, and up from 84¢ per share in the same quarter last year.

CHC finances in bad shape

GARAPAN, Saipan - After months of trying to build stability within the Commonwealth Healthcare Corp., Juan N. Babauta, chief executive officer of CHC, said that it still has a long way to go, when he spoke at the Rotary Club of Saipan's general membership meeting at the Hyatt Regency Saipan on Jan. 24.

Defense pushes for completion of Futenma replacement

TOKYO - Within 48 hours of his appointment as Japan's new defense minister, Naoki Tanaka had made it clear where his priorities lay. Appearing in a television interview on Jan. 15, Tanaka said that he hoped to work to transfer the U.S. Marine Corps away from Air Station Futenma in Okinawa by the end of the year after the groundwork to win the support of the local communities is completed.

Ken Corp. to manage PIC Saipan for E-Land; Palms Resort changes hands again

GARAPAN, Saipan - Ken. Corp., which has regional headquarters in Guam, will operate Pacific Islands Club Saipan for E-Land through a management agreement. An announcement is imminent, sources said.

Marshall national utility improves cash flow, struggles with debt

MAJURO, Marshall Islands - The Marshalls Energy Company has significantly improved its cash flow for 2012, but is still struggling to pay off debts to an international fuel supply company - the latter a problem that has not been helped by slow-paying government ministries in the Marshall Islands.

New law to up fees on visits to Jellyfish Lake

KOROR, Palau - A law increasing tour permit fees for Rock Island use and Jellyfish Lake visits will become effective June 1, according to a Jan. 4 announcement from Ilebrang U. Olkeriil, director of Koror State's Department of Conservation and Law Enforcement.

NMC strategic plans to be reviewed

FINA SISU, Saipan - Northern Marianas College is in its last year of a five-year strategic plan first implemented in 2007. The plan addresses facilities, budget, technology, and academics.

OFWs appeal closure of RP embassy

KOROR, Palau - Overseas Filipino workers in Palau continue to circulate petitions to senators in the Philippines appealing for help to stop the impending closure of the embassy in Koror.

Pacific Rim Brokers alleges unauthorized Mama Sita's sales

Peter Sgro Jr., president and chairman of Pacific Rim Brokers, and Kim Lapus, president of Marigold Commodities Corp., issued a joint notice to the public Jan. 17 alleging that Guam Cost-U-Less and Island Fresh IGA stores were conducting unauthorized sales of Marigold Commodities' Mama Sita's line of products. Cost-U-Less and Island Fresh IGA are both owned by the North West Co. of Winnipeg, Canada.

PPR turns to solar power

KOROR, Palau - Palau Pacific Resort is committed to reducing greenhouse gases to combat the effects of climate change.

Toribiong signs petroleum law

KOROR, Palau - Palau has put in place a framework that will govern the establishment, maintenance and operation of petroleum revenue management accounts and establish criteria for the equitable sharing of petroleum revenue among the national and state governments.

Troop store renovation coming to Saipan

GUALO RAI, Saipan - The Troop Store facility on Saipan will soon be undergoing expansion after the U.S. Department of Defense agreed that that the Army and Air Force Exchange Service needed improvements in the Northern Mariana Islands.

FAA project moves forward despite EPA call for delay

MAJURO, Marshall Islands - One of the biggest construction projects in the history of the Marshall Islands is moving forward after a seven-month delay caused by objections to reef dredging.

Calvo: "Making Each Moment Count"

Posted: Jan 23, 2012    KUAM

Making Each Moment Count
By Governor Eddie Baza Calvo

Hafa Adai My Fellow Guamanians,

A few days ago, I was reminded by the good Lord that our time here on earth is finite.  We all have a purpose, we all have a gift to give, and every moment we have here is a chance to make it count.

My fellow Guamanians, each day is a blessing… one with an opportunity to work harder, give more, and to make a difference.  And there are so many in this community who greet each day with this kind of passion. 

Last week, a frightening accident involving a fuel tanker occurred in front of Adelup. I was amazed at how many people risked their lives to rush to the injured drivers – even though the condition of that fuel tanker was unknown. Despite the potential dangers of this incident, they showed more concern for the drivers of those vehicles than their own safety.

To all those many good Samaritans and public safety officers:  if you're listening now…  I cannot thank you enough.  People like you truly make serving this island an honor… and a gift.

And there's so many other kindhearted and compassionate people who make Guam such a wonderful place to live and to raise our children.  Like the more than two hundred volunteers sacrificing their time to help the students of Untalan Middle School get back into their classrooms.  They've stepped up to the plate in a time when we need them most and they're making it happen. 

Moving equipment from one school campus to another isn't an easy job.  I can't tell you how humbled I am to know that there are people in this community who will give their labor, sweat and time.  They're not doing it for pay or recognition…  they're doing it for our children.

To each of those individuals:  on behalf of the students, parents, faculty and staff of Untalan Middle School, there are no words to express how grateful we are for your help.  Thank you for taking this time to give back and to show our students that this community is built on the goodwill of every day people who truly care about them and their future.

It's interesting to note that January is Island Service Month.  The Serve Guam Commission and participants of the AmeriCorps program have dedicated this month in recognition of the volunteers and organizations that really make a difference.  They give their time, they share their talents and resources... and they do it because they know that generosity and sacrifice are what makes this community stronger.

It's been one year since Lieutenant Governor Tenorio and I have been in office…  and I know that we've made some progress, but I'm determined to make even more progress this year.  It's the good people of this community that inspire me to push harder and work faster.  And it's those volunteers who help us do so much more than we could ever accomplish alone.

To each and every one of you who do your best every day, and give your time to make Guam a better and safer place:  thank you all for what you do.  Let's continue to make each moment count.

May God bless each and every one of you and your families… and may God continue to bless Guam.

 Russian visitors could set all-time record

Posted: Jan 19, 2012  
by Krystal Paco   KUAM

Guam - Guam's tourism industry is preparing for the rush of Russian tourists that they hope will choose the island as a vacation destination. Guam could soon be as successful in the Russian visitor market as Saipan. According to Pacific Islands Club Saipan web marketing manager Elly Stoilova, the CNMI has already been Russia-friendly for the last decade.

Just recently, the hotel celebrated its 20,000th Russian guest. "It has been a really good market for CNMI Russian guests, as everybody talk right now stays a long time. Everybody benefits in all areas of the island benefit from their stay, and they like our islands and we have a lot of repeater guests. The repeater business for Saipan is about 30% at least for our hotel, so it means customers like our islands," she said.

This is good news for Guam's only Russian tour agency, Guam Voyage. According to president Vasili Mladinov, numbers are going to hit record highs now that parole authority has been approved as he remembers only booking 50 rooms his first year in business over three years ago. Because Russia's temperatures are a blistering cold at minus thirty degrees, Russians see Guam as a getaway for surf, sand, and sun just a six-hour flight from their home.

He said, "A lot of Russians from far east used to go to Thailand and the Vietnam, but most of them when they visit Guam they like it more because it's better, less humid than Thailand, and also people are more friendly. This is a U.S. territory its safe no political arrests like in the other countries."

According to Guam Visitors Bureau deputy general manager Nate Denight, numbers have been so high this holiday season that Russian guests have been turned away. "Chinese New Year and Japan has a holiday and Korea has a holiday around the same time, so what happens is it's hard for visitors to get rooms," he explained. "And a lot of these Russian families we've had about 100 Russian families that wanted to come out but we were only able to accommodate about 50 of them because they stay quite long two to three weeks."

"It's a good problem to have."

The new visitor market will come with its challenges, as Stoilova said, "Russian visitors barely speak any English - this will be a new destination for them. They will need help here to get over the language barrier, they would have in-house information destination, sightseeing information. These are things that Guam will have to prepare in order make the customers welcome and make them feel comfortable.

Denight added, "We've been reaching out to the Russian community here and we have several Russian speakers that are currently in the process of getting certified and setting up their tour agency companies to help handle the Russian visitors, so it's going quite well but we still need to improve our capacity to handle these visitors."

Obama, in Florida, unveils plan to boost tourism

By JULIE PACE | Associated Press, Thursday, Jan. 19, 2012 

LAKE BUENA VISTA, Fla. (AP) — President Barack Obama planted his political flag in Florida on Thursday ahead of the state's Jan. 31 Republican presidential primary, promising a fresh boost to the economy by making it easier for foreign tourists to travel to the U.S.

Obama sought his piece of Florida's political spotlight with a high-profile appearance at Walt Disney World, where he announced initiatives aimed at making it easier for citizens of China and Brazil to visit the United States.

"America is open for business," Obama declared against the backdrop of Disney's Cinderella castle and picture-perfect blue skies. "We want to welcome you."

From Florida, Obama headed to New York City for four glitzy campaign fundraisers, including an event at the famed Apollo Theater featuring performances by Al Green and India.Arie. Tickets to that fundraiser start at $100.

The president also was to attend a $35,800 per ticket fundraiser at the home of director Spike Lee, and two small fundraisers at Daniel, an exclusive Manhattan restaurant. Tickets start at $5,000 for the first restaurant fundraiser and $15,000 for the second. Obama raised more than $220 million for his campaign and the Democratic National Committee through the end of 2011.

Beyond offering an opportunity to talk about the economy, Obama's trip to Florida marked an attempt by the White House and his campaign to steal attention from Republicans vying for the GOP presidential nomination. In recent weeks Obama held a live video conference with Iowa voters during the Republican caucus, Vice President Joe Biden held a similar event with voters in New Hampshire on the night of the state's first-in-the-nation primary and next week Obama will travel to Nevada, which follows Florida on the primary calendar.

Obama was greeted in the Orlando area by ads from GOP frontrunner Mitt Romney blaming the president for the state's struggling economy. Romney, the former Massachusetts governor, could take a major step toward securing the Republican nomination with a win in Florida's Jan. 31 primary contest.

"I have a simple question for you: Where are the jobs?" Romney wrote in an open letter to the president on Thursday running as an ad in the Tampa Bay Times. In a conference call with reporters, Romney said Obama was "speaking from Fantasyland."

While Obama carried Florida in 2008, the state is a top target for Republicans in the November elections. Florida twice backed Republican George W. Bush, providing the decisive electoral votes in the cliffhanger 2000 election that was decided after a 36-day recount.

Calvo details Year 1 in Adelup

Posted: Jan 19, 2012   by Ken Quintanilla   KUAM

Guam - A quarter of Governor Eddie Calvo's term has passed, and although his administration accomplished several goals in a year's time, Adelup still has a lot of work ahead of them. He came in at a difficult time and was faced with several challenges from an over $300 million deficit, owing millions to vendors and COLA recipients and a 13 percent unemployment rate.

However, after a year in office, the island's chief executive explained this afternoon that the only way he could achieve a more responsible government was by making dramatic decisions. "We've done both in cutting down costs and for areas when it comes to rent and releasing pay for government workers and also when it comes to reductions in workforce," he shared, speaking before the Rotary Club.

From discovering how the previous administration was missing a cash-flow report outlining incoming revenues to achieving transparency with the community with his weekly addresses, fulfilling a current obligation of paying the people back millions of tax refunds was a highlight of his year. "I think we did pretty good when everyone else was having their credit rating lowered, including the United States, that our government received the highest credit rating it has in many years, in decades," he continued. "And that of course, once we set the stage for that credit rating, it helped us receive enough confidence in the bond market so that we could float out a bond at 4.9 percent."

The Administration is currently working on achieving fiscal stabilization, but is already looking ahead on how to improve services and create an island paradise where other people would consider Guam a superior place to live more than anywhere else in the world. Part of achieving that is his "Imagine Guam" initiative, of which he said, "Having our partners in the private sector and the community getting together with us and bringing in some of our partners and individual and businesses and entities from outside who see potential in Guam and bring them together and look at what our short-term and long-term economic potential in certain areas."

The biggest challenge is finding the funding to achieve all these goals. From bringing in more investment to gaining regulatory support from the government, Calvo wants to get the economy moving that would translate in more jobs, more revenues and possibly companies paying more taxes. "I do believe that we so much ahead for us and it's important for us to come together. This is a government that wants to work with the federal government, wants to work with outside partners outside of Guam and wants to be a government serving you the people of Guam," he stated.

In March, Governor Calvo will continue his trade mission by heading to Korea and Taiwan to attract more potential investment. The year in progress was only a preview of what Governor Calvo has in store, as he will deliver his State of Island Address on January

Guam can receive Russian tourists

Posted: Jan 16, 2012   by Sabrina Salas Matanane   KUAM

Guam - It's official: as of Sunday, Guam could start receiving Russian visitors. According to Guam Visitors Bureau deputy general manager Nate Denight, GVB is partnering with the Marianas Visitors Authority to promote Guam and the CNMI.

To cater to the new clientele, ground tour agents are being established as well as Russian speakers. There are also plans for Guam to participate in the Moskow International Trade Show, scheduled for March.

DoD cleans-up used defense sites  Posted: Jan 16, 2012

by Krystal Paco  KUAM

Guam - The FUDS program was first established by Congress in the mid-1980s to clean up properties formerly owned, leased, possessed or used by the military services. There are over 30 formerly used defense sites on island, and one by one the U.S. Army Corps of Engineers is giving them some much-needed TLC.

Senior program and project manager Helene Takemoto oversees FUDS cleanups all over the CNMI, Hawaii, American Samoa, and Guam. Takemoto says the cleanups are intended to protect human health and the environment, noting, "What we're trying to do is restore the environment back to what it was before the military used the site."

Last week, Takemoto and a team of local contractors began remediation efforts at the Lonfit Planning Project in Asan, which is roughly 10,000 square feet with an estimated depth of impacted soil to be 3.3 feet below ground surface. "We're doing some bioremediation for some fuel contamination," she said. "We had some old Navy pontoons filled with fuel and there were some drums; what we're doing is removing the drums and the pontoons so now we're taking care of the petroleum leaks. So we're doing some biotreatment we're using a regenesis product and we're mixing it with the soil so that we enhance the microorganisms so that they would eat the contamination."

Takemoto says cleanups are a lengthy three-phased process to include inventory, investigation, and cleanup consistent with the comprehensive environmental response, compensation, and liability act of 1980. The cleanup team is slated to return in a month to take samples of the site and reaugment the soil. "This is a long-term program and our funding is somewhere around $17 million a year, so what we have to do is prioritize. We take worst-case first and a lot of the sites we also do ordinance and hazardous waste sites," she said.

Another identified FUDS site in Toto is scheduled for cleanup in May. 

Governor signs Contract for GMHA Expansion

Posted: Jan 17, 2012   by Sabrina Salas Matanane   KUAM

Guam - During a press conference this afternoon, Governor Eddie Baza Calvo approved the formal contract to allow the Guam Memorial Hospital to start the formal design process for expansion to its Emergency Department and Critical Intensive Care Unit. The project is valued at approximately $7.56 million. DCK Pacific Guam LLC is the prime contractor while Taniguchi Ruth Makio Architects is the designer. Once the renovation is done to the Emergency Department it will have triple its original size from 5400 square feet to approximately 15,000 square feet. The ICU will expand from its existing 2,539 SQ. FT. to 7,870 SQ Ft.   The projects should be completed in two years.

Steffy produces Guam documentary

Posted: Jan 16, 2012   by Sabrina Salas Matanane  KUAM

Guam - Over the weekend the private debut viewing was held for Hotnon Ladriyu, the latest project completed by MARC research associate, ethnographer and oral historian Rlene Santos Steffy. Hotnon Ladriyu means "stone oven".

The documentary provides an historical look at how it was used through firsthand accounts from the island's man'amko and stories passed on through generations. Steffy has many other projects lined up in the future including a documentary the island's on the first appointed governor, Joseph Flores.

Marianas Business Journal

Volume 9 No. 19 January 16, 2012 - January 29, 2012

Hotel revived Now Bellagio, former Sherwood to anchor complex

Bellagio Suites and Spa -formerly the Sherwood Hotel - will begin operation with a soft opening at the end of January, according to David Su, president and general manager of Polaris Guam LLC, which does business as Bellagio Suites and Spa.

FAA project moves forward despite EPA call for delay

MAJURO, Marshall Islands - One of the biggest construction projects in the history of the Marshall Islands is moving forward after a seven-month delay caused by objections to reef dredging.

Automated hitting ranges coming to Harmon

Strike Zone, which is owned and operated by the Bennett family - William "Bill" Bennett, president; Karen Bennett, secretary and treasurer; and Jurel Bennett, vice president - has been in business in Hagatna on Route 4 for 10 years.

Itochu to acquire stake in IP&E Palau

 Palau fiscal 2012 funding signed by Obama

Palau fiscal 2012 funding signed by Obama

Airport to offer incentives to expand air service

The A.B. Won Pat International Airport Authority, Guam's Marketing Administrator Rolenda Faasuamalie told the Journal that the airport and the Guam Visitors Bureau have met with prospective airlines and airports including the Changi Airport in Singapore to discuss joint marketing initiatives and incentives.

Group forming, solicitingfunds to lobby for buildup

A group of local businesspeople are in the process of forming a lobbying company, apparently to promote the funding of the military buildup in Washington, D.C., according to an email obtained by the Journal. The email was sent to prospective members of the group, according to a Journal source.

Guam, NMI won't be affected by US visa waiver for Taiwan

The eventual inclusion of Taiwan in the U.S. visa waiver program will facilitate Taiwanese travelers' easier entry to the U.S. mainland but this will have minimal impact on arrivals to Guam and the Northern Mariana Islands because both destinations have already solidified a share of the short-term vacationers segment of the Taiwan market, according to Taipei consular officials in Guam.

GVB sets 1.5 million annual arrival target

The Guam Visitors Bureau is revamping its strategies to attract more tourists - and their money - to Guam, renewing its goal of 1.5 million arrivals a year and raising the target spending to $768 per person in the next five years.

Meet the nominees for 2011 Guam Business

The 2011 Guam Business Magazine Executive of the Year will be announced at a gala event at the Hyatt Regency Guam on Jan. 14. The proceeds of the gala will be donated to the Guam Chapter of the American Red Cross.

Northern boutique Yigo subdivisions selling steadily

A local businessman has been developing two small subdivisions in Yigo and filling the properties at a steady rate. Mark Zhao is president of PW Investment Corp., which does business as MZ Homes, and has two developments in Yigo - Perez Villa Estate and Lajuna Vista Villas.

Pacific Industrial Coatings

Pacific Industrial Coatings was established in 1999, according to Keith Dickson, president and chief executive officer.

Pay-Less to launch Mission Zero Bags

Payless Markets Inc., which does business as Pay-Less Supermarkets will launch a campaign that aims to eliminate plastic shopping bags for the benefit of Guam, according to Katherine C. Sgro, chairwoman and executive vice president.

Property developing near new hospital

Attorney Cesar C. Cabot is the owner of 40,000 square meters of property immediately adjacent to the location of the soon-to-be-built Guam Regional Medical City.

Some of the Journal's top stories and photos from 2011

Going Native: Chugach Looks to Pacific Long-Term Chugach Alaska's Barney Uhart spoke with the Journal regarding the company's long-term plans in the Pacific region.

Submarina opens at Micronesia Mall

A Submarina California Subs sand- wich shop has opened in the Micronesia Mall Food Court.

Team brings solar solutions to Guam homes

According to Alfred K.Y. Lam, president of Green Energy Solutions, the models behind his solar energy company have been years in the making.
 
New amusement park opening in February

Posted: Jan 11, 2012     by Ken Quintanilla   KUAM

Guam - We first brought you the story back in July about a new amusement park Guam hasn't seen before. And the park is well under construction with Phase I set to open next month.

Although it looks like a basic construction site, Tagada Guam, LLC hopes its new amusement park will provide both locals and tourists a new set of evening activities they feel the island has been lacking. Project coordinator Veronica Lee says the opening date is set for mid-February and has since received good feedback from the market.

"Right now, our construction is ongoing and everybody is very busy to working on assembling the rides and implementing the park and also we're also making planning for operations and working on advertisements on pre-opening preparation," she explained.

The first phase of the park would consist of three rides including a huge swing called The Viking, a gravity-defying ride called The Tagada, and bumper cars. Phase II would consist of an inflatable balloon ride rising to 100 feet above the ground and a 3-D plane ride. Tagada will be leasing nearly 4,000 square feet in Tumon between the Ohana Bayview and Pacific Place. Lee says the biggest hurdle was overcoming concerns from the Guam Land Use Commission in July but has since resolved them.

It was set to open in July, but weather extended the opening date. Lee added, "The thing is weather and because it's outdoor stuff and construction, so if it's heavy raining and strong wind we can't continue construction, but other than that everything is smooth and under control."

The project would cost about over $2,000,000 and would be marketed with travel packages. Although the first phase is tight on space, as three rides will be features, they still want to include kiosk and food and beverages. "Our island is very beautiful and very peace and very safe even at nighttime, but we don't have much activities at nighttime," Lee noted. "But the place is very safe area and the activities are very fun and exciting and everyone can join local and tourists can join during the nighttime."

The park will open from 3 in the afternoon to 11 in the evening with a midnight closing time for the weekends. Tagada Guam has started the process of hiring staff for the park.

Dededo land cleared for new hospital

Posted: Jan 11, 2012    by Krystal Paco   KUAM

Guam - The Guam Regional Medical City is one step closer to becoming a reality. According to Guam Healthcare and Hospital Development Foundation president Peter Sgro, DCK Contractors began clearing the property in Dededo earlier this week.

According to the project's timelines, construction is set to begin in April with the grand opening set for April 2014.

Plans in place to revitalize Hagatna

Posted: Jan 09, 2012   by Krystal Paco  KUAM

Guam - It may all be conceptual, but the island's capital could soon look like other major cities around the world. The Hagatna Restoration and Redevelopment Authority is looking at revitalizing the village.

A museum, a community theater, a riverwalk, a hike and bike trail as well as a high-density business district could be the reality for the island's capital. According to president of the Department of Chamorro Affairs and executive director for the Authority Joseph Cameron, the village of Hagatna embodies the island's past and present. He said, "We want to establish the city as the central area for government as it had been dictated by the Organic Act of Guam; we want it to be a cross-section of a business/cultural destination...we want to preserve the character of that city."

Cameron says the project planning is only 50% complete as Phase III requires rezoning more than 200 fragmented lots. Cameron hopes public and private partnerships will fund the project, which still has an indefinite price tag. Part of the proposed plan includes constructing an overpass to connect Skinner Plaza to the Chamorro Village.

"The place to be will be Hagatna," Cameron continued, "and we're looking at expanding the commercial and the revitalization of Hagatna to be the metropolis of the whole economic drive and engine of this part of Asia, the only presence of the United States in Asia. We are the nexus - we are the culprit that can allow that to occur, and I think business will be very excited at what can happen."

Cameron expects public hearings to take place later this year.

Guam Guard Airman wins national awards

Posted: Jan 07, 2012    by Nick Delgado   KUAM

Guam – TSgt Maria Quitugua was recently picked as one the 2011 Air Force Outstanding Security Forces individual awards winners becoming the AF reserve component non-commissioned officer of the year. She was also selected as the Air National Guard security forces NCO of the year after competing against guard members from the nation. Guam National Guard adjutant general Major General Benny Paulino states, "First of all, we are very proud and honored that we have a person, a member of the Guam National Guard that can compete at the national level and win. We are very, very proud of her accomplishments. From a personal point of view I am just ecstatic that we have this individual who has garnered so many awards and recognition at the national level. It's like we have a symbol here in the command, a poster child to show that we have somebody here who has been recognized at the national level, a model, an icon, for the command to show off… it's just awesome, it's awesome, is all I can say."

TSgt Quitugua states, "It has been a truly humbling experience to attain such an honor and one of great anxiety.  Being recognized for such an award leaves me with a feeling of continuous ‘awe'.  I have yet to take it all in."

Quitugua credits her family as the key to her accomplishments. Her short term goal is to attain promotion to the rank of MSgt/E7. 

 

Judge signs GHC/Lada settlement

Posted: Jan 06, 2012  by Sabrina Salas Matanane  KUAM

Guam - After sitting idle for more than two decades and in legal limbo for almost ten years, Guam is finally going to see affordable homes being built at Lada Estates. The Affordable Homes Project was stalled in 1990 when Maeda Pacific completed the first phase of infrastructure.

But in 2004 a dispute over construction costs between Maeda and the Guam Housing Corporation (which owns the land) sent the parties to court. Today with a settlement signed by a superior court judge, what has turned into a junkyard will finally be cleaned up and the dirt turned for hundreds of affordable homes to be constructed.

The settlement is good news for the Calvo Administration as it moves forward in providing affordable homes so residents can achieve the Guamanian dream of owning one. Governor Eddie Calvo along with GHC president Martin Benavente spoke with KUAM News, elated that the case has finally been brought to resolution. "Now we can move forward with the development of that long vacant property that has roads sidewalks infrastructure and we can build as what the original law intended and we're looking at 400 affordable homes within six years," said the governor.

Benavente added, "What it does is we had owed Maeda $11 million on the infrastructure development and this agreement basically says we don't owe them anymore and they can run with this project and of course whatever they build they sell."

If Maeda does not build the 400 homes within six years the property reverts back to the government. Meanwhile today's announcement of the settlement falls in line with the governor's initiative to build 3,000 affordable homes within the next six years.

Agreement signed for Lada Estates

Posted: Jan 06, 2012  by Sabrina Salas Matanane

Guam - After sitting idle for more than a decade dirt will finally be turned for Lada Estates Affordable Homes Project this after a superior court of Guam Judge signed off on a settlement between the Guam Housing Corporation and Maeda Pacific.

Asia Pacific Region, Middle East core to DOD strategy

Posted: Jan 06, 2012  by Sabrina Salas Matanane   KUAM

Guam - Standing side by side President Barack Obama and Defense Secretary Leon Panetta unveiled the military's strategy for the future, one that includes projections of more than $450 billion cuts over the next decade. The guidance outlined broadly today emphasizes the need to rebalance the military's force structure and investments toward the Asia Pacific region and the Middle East.   

President Obama: As I made clear in Australia, we will be strengthening our presence in the Asia Pacific, and budget reductions will not come at the expense of that critical region.  We're going to continue investing in our critical partnerships and alliances, including NATO, which has demonstrated time and again -- most recently in Libya -- that it's a force multiplier.  We will stay vigilant, especially in the Middle East.   

Leon Panetta:  These are the areas where we see the greatest challenges for the future.  The U.S. military will increase its institutional weight and focus on enhanced presence, power projection, and deterrence in Asia- Pacific. This region is growing in importance to the future of the United States in terms of our economy and our national security.  This means, for instance, improving capabilities that maintain our military's technological edge and freedom of action.

Panetta added the force for the future is one that is smaller and leaner whose great strength will be more agile, more flexible, ready to deploy quickly, innovative and technologically advanced. Reacting to today's release of DOD's strategic guidelines Guam Delegate Madeleine Bordallo says its reiterates the President's pledge that budgets cuts will not come at the expense of strengthening our military presence in our region. Specific details of the guidance are expected to be released in the coming weeks.

 
 
MBJ  (Marianas Business Journal) News Flashes:

Itochu to acquire stake in IP&E Palau

 Palau fiscal 2012 funding signed by Obama

Palau fiscal 2012 funding signed by Obama

Airport to offer incentives to expand air service

The A.B. Won Pat International Airport Authority, Guam's Marketing Administrator Rolenda Faasuamalie told the Journal that the airport and the Guam Visitors Bureau have met with prospective airlines and airports including the Changi Airport in Singapore to discuss joint marketing initiatives and incentives.

Group forming, solicitingfunds to lobby for buildup

A group of local businesspeople are in the process of forming a lobbying company, apparently to promote the funding of the military buildup in Washington, D.C., according to an email obtained by the Journal. The email was sent to prospective members of the group, according to a Journal source.

Guam, NMI won't be affected by US visa waiver for Taiwan

The eventual inclusion of Taiwan in the U.S. visa waiver program will facilitate Taiwanese travelers' easier entry to the U.S. mainland but this will have minimal impact on arrivals to Guam and the Northern Mariana Islands because both destinations have already solidified a share of the short-term vacationers segment of the Taiwan market, according to Taipei consular officials in Guam.

GVB sets 1.5 million annual arrival target

The Guam Visitors Bureau is revamping its strategies to attract more tourists - and their money - to Guam, renewing its goal of 1.5 million arrivals a year and raising the target spending to $768 per person in the next five years.

Meet the nominees for 2011 Guam Business

The 2011 Guam Business Magazine Executive of the Year will be announced at a gala event at the Hyatt Regency Guam on Jan. 14. The proceeds of the gala will be donated to the Guam Chapter of the American Red Cross.

Northern boutique Yigo subdivisions selling steadily

A local businessman has been developing two small subdivisions in Yigo and filling the properties at a steady rate. Mark Zhao is president of PW Investment Corp., which does business as MZ Homes, and has two developments in Yigo - Perez Villa Estate and Lajuna Vista Villas.

Pacific Industrial Coatings

Pacific Industrial Coatings was established in 1999, according to Keith Dickson, president and chief executive officer.

Pay-Less to launch Mission Zero Bags

Payless Markets Inc., which does business as Pay-Less Supermarkets will launch a campaign that aims to eliminate plastic shopping bags for the benefit of Guam, according to Katherine C. Sgro, chairwoman and executive vice president.

Property developing near new hospital

Attorney Cesar C. Cabot is the owner of 40,000 square meters of property immediately adjacent to the location of the soon-to-be-built Guam Regional Medical City.

Some of the Journal's top stories and photos from 2011

Going Native: Chugach Looks to Pacific Long-Term Chugach Alaska's Barney Uhart spoke with the Journal regarding the company's long-term plans in the Pacific region.

Submarina opens at Micronesia Mall

A Submarina California Subs sand- wich shop has opened in the Micronesia Mall Food Court.

Team brings solar solutions to Guam homes

According to Alfred K.Y. Lam, president of Green Energy Solutions, the models behind his solar energy company have been years in the making.

 

The Next War

Panetta to Offer Strategy for Cutting Military Budget

By ELISABETH BUMILLERand THOM SHANKER

Published: January 2, 2012

WASHINGTON — Defense Secretary Leon E. Panetta is set this week to reveal his strategy that will guide the Pentagon in cutting hundreds of billions of dollars from its budget, and with it the Obama administration’s vision of the military that the United States needs to meet 21st-century threats, according to senior officials.

In a shift of doctrine driven by fiscal reality and a deal last summer that kept the United States from defaulting on its debts, Mr. Panetta is expected to outline plans for carefully shrinking the military — and in so doing make it clear that the Pentagon will not maintain the ability to fight two sustained ground wars at once.

Instead, he will say that the military will be large enough to fight and win one major conflict, while also being able to “spoil” a second adversary’s ambitions in another part of the world while conducting a number of other smaller operations, like providing disaster relief or enforcing a no-flight zone.

Pentagon officials, in the meantime, are in final deliberations about potential cuts to virtually every important area of military spending: the nuclear arsenal, warships, combat aircraft, salaries, and retirement and health benefits. With the war in Iraq over and the one in Afghanistan winding down, Mr. Panetta is weighing how significantly to shrink America’s ground forces.

There is broad agreement on the left, right and center that $450 billion in cuts over a decade — the amount that the White House and Pentagon agreed to last summer — is acceptable. That is about 8 percent of the Pentagon’s base budget. But there is intense debate about an additional $500 billion in cuts that may have to be made if Congress follows through with deeper reductions.

Mr. Panetta and defense hawks say a reduction of $1 trillion, about 17 percent of the Pentagon’s base budget, would be ruinous to national security. Democrats and a few Republicans say that it would be painful but manageable; they add that there were steeper military cuts after the Cold War and the wars in Korea and Vietnam.

“Even at a trillion dollars, this is a shallower build-down than any of the last three we’ve done,” said Gordon Adams, who oversaw military budgets in the Clinton White House and is now a fellow at the Stimson Center, a nonprofit research group in Washington. “It would still be the world’s most dominant military. We would be in an arms race with ourselves.”

Many who are more worried about cuts, including Mr. Panetta, acknowledge that Pentagon personnel costs are unsustainable and that generous retirement benefits may have to be scaled back to save crucial weapons programs.

“If we allow the current trend to continue,” said Arnold L. Punaro, a consultant on a Pentagon advisory group, the Defense Business Board, who has pushed for changes in the military retirement system, “we’re going to turn the Department of Defense into a benefits company that occasionally kills a terrorist.”

Mr. Panetta will outline the strategy guiding his spending plans at a news conference this week, and the specific cuts — for now, the Pentagon has prepared about $260 billion in cuts for the next five years —  will be detailed in the president’s annual budget submission to Congress, where they will be debated and almost certainly amended before approval. Although the proposals look to budget cuts over a decade, any future president can decide to propose an alternative spending plan to Congress.

The looming cuts inevitably force decisions on the scope and future of the American military. If, say, the Pentagon saves $7 billion over a decade by reducing the number of aircraft carriers to 10 from 11, would there be sufficient forces in the Pacific to counter an increasingly bold China? If the Pentagon saves nearly $150 billion in the next 10 years by shrinking the Army to, say, 483,000 troops from 570,000, would America be prepared for a grinding, lengthy ground war in Asia?

What about saving more than $100 billion in health care cutbacks for working-age military retirees? Would that break a promise to those who risked their lives for the country?

The calculations exclude the costs of the wars in Iraq and Afghanistan, which will go down over the next decade. Even after the winding down of the wars and the potential $1 trillion in cuts over the next decade, the Pentagon’s annual budget, now $530, would shrink to $472 billion in 2013, or about the size of the budget in 2007.

It is also important to remember that Mr. Panetta, a former White House budget chief, understands budget politics like few other defense secretaries. When he sent a dire letter to Capitol Hill late last year that held out the prospect of huge reductions in some of Congress’s favorite weapons programs, analysts saw it as a classic tactic to rouse the Hill to his side.

They noted that Mr. Panetta did not cite the $100 billion that the previous defense secretary, Robert M. Gates, said could be saved by reducing the number of contractors, cutting overhead, consolidating technology and limiting spending in the executive offices of the Pentagon.

“Talking about business practices doesn’t sound the alarm bells,” said Travis Sharp, a defense budget specialist at the Center for a New American Security, a defense policy research institution.

Here is a look at other areas for reductions:

Military benefits and salaries, although politically difficult to cut, are first in the line of sight of many defense budget analysts. Scaling back the Pentagon’s health care and retirement systems and capping raises would yield hundreds of billions of dollars in projected savings over the next decade.

As it stands now, the Pentagon spends $181 billion each year, nearly a third of its base budget, on military personnel costs: $107 billion for salaries and allowances, $50 billion for health care and $24 billion in retirement pay.

One independent analyst, Todd Harrison of the Center for Strategic and Budgetary Assessments, a nonpartisan policy and research group in Washington, has calculated that if military personnel costs continue rising at the rate they have over the past decade, and overall Pentagon spending does not increase, by 2039 the entire defense budget would be consumed by personnel costs.

Most of Washington’s “cut lists” recommend increases in fees for beneficiaries in the Pentagon’s health insurance, Tricare. But the higher fees would affect only working-age retirees and not active-duty personnel, who do not pay for health care.

Other proposals call for capping increases in military salaries, which have had double-digit increases since the Sept. 11 attacks, often because Congress gave the troops raises beyond those requested by the Pentagon.

The chief target for weapons cuts is the F-35 Joint Strike Fighter, one of the most expensive weapons program in history. The Pentagon has plans to spend nearly $400 billion to buy 2,500 of the stealth jets through 2035, but reductions are expected.

The debate centers on how necessary the advanced stealth fighter really is and whether missions could be carried out with the less expensive F-16s. The main advantage of the F-35 is its ability to evade radar systems, making it difficult to shoot down — an attribute that is important only if the United States anticipates a war with another technologically advanced military.

“It would matter some with Iran, it would matter a lot with China,” said Michael E. O’Hanlon, a defense analyst at the Brookings Institution and the author of a recent book, “The Wounded Giant: America’s Armed Forces in an Age of Austerity.”

Nowhere is balancing budget and strategy more challenging than in deciding how large a ground combat force the nation needs and can afford. The Army chief of staff, Gen. Ray Odierno, the former commander in Iraq, points out that the Army had 480,000 people in uniform before the Sept. 11 attacks, and at that number was supposed to be able to fight two wars at once.

But the Army proved to be too small to sustain the wars in Afghanistan and Iraq and was increased to its current size of 570,000. The Army is now set to drop to 520,000 soldiers, beginning in 2015, although few expect that to be the floor. The reality is that the United States may not be able to afford waging two wars at once.

“That said, there are certain risks with falling off the two-war posture,” said Andrew F. Krepinevich Jr., a military expert at the Center for Strategic and Budgetary Assessments. “You may risk losing the confidence of some allies, and you may risk emboldening your adversaries. But at the end of the day, a strategy of bluffing, or asserting that you have a capability that you don’t, is probably the worst posture of all.”

Studies by the Center for a New American Security, the Sustainable Defense Task Force and the Cato Institute, which represent a spectrum of views on defense spending, estimate that the savings from cutting the ground force could range from $41 billion by reducing the Army to 482,400 and the Marine Corps to 175,000 (from its present size of 202,000) all the way up to $387 billion if the Army drops to 360,000 and the Marines to 145,000. The final numbers will make it clear that the United States could not carry out lengthy stability and nation-building efforts, like those ordered for Afghanistan and Iraq, without a huge mobilization of the National Guard and the Reserves.

The size of the military is determined not only to win wars, but also to deter adversaries from starting hostilities. That underpins the American rationale for maintaining a combat presence at overseas bases and for conducting regular air and sea patrols around the globe. With austerity looming, those, too, might be curtailed to save money.

Senator Tom Coburn, Republican of Oklahoma, advocates saving $69.5 billion over 10 years by reducing by one-third the number of American military personnel stationed in Europe and Asia

“This option would leave plenty of military capability by maintaining strategic air bases and naval ports to provide logistics links,” Mr. Coburn wrote in a report on his budget proposals. Many Congressional budget experts also see ways to save billions of dollars by consolidating Defense Department facilities, schools and installations.

One of the largest expenses the Pentagon faces is to replace its aging strategic nuclear forces. While America’s nuclear warheads are relatively inexpensive to maintain on a day-to-day basis, all three legs of the nuclear triad that deliver the punch — submarines, bombers and ground-based missiles — are reaching the end of their service life at just about the same time.

“The world has changed,” said Stephen W. Young, a senior analyst with the Union of Concerned Scientists, a nuclear watchdog group. “The United States can be more than secure with a far smaller arsenal than what we currently have.”

Tourism, refunds boost economy at end of 2011
Posted:  Jan 02, 2012   by Krystal Paco    KUAM

Guam - While the island's economy in 2011 got off to a rough start with the disasters in Japan and the setbacks with the military buildup, the year ended on a positive note making for an optimistic outlook for 2012. 

Looking back, 2011 wasn't too shabby for Guam's economy. According to the island's chief economist Gary Hiles, despite the tsunami disaster in Japan in March, the island's visitor industry recovered just in time for the holidays. "It's been recovering nicely," he began. "As of November, the numbers show that we're up to actually a little bit above last year, so we're recovering and that's providing a lot of stimulus for the economy. On top of that, we just had the bond issue released for the tax refunds, which is providing a big stimulus for December."

December numbers are looking good as anecdotal evidence and online opinion polls say that after paying bills, tax refund recipients hit the stores for Christmas shopping. With locals contributing to 75% of the retail trade, Hiles says storeowners ended the year on a high note and anticipates total sales for the year to increase by 3.2%.

"So with the additional expenditures into the economy with the bond issue with the recovered tourism, I'm predicting the December retail sales will be the highest in the history of Guam," he added.

Despite delays in the much-anticipated relocation of troops from Okinawa to Guam, Hiles hopes numbers will bounce back with the approval of the Russia visa waiver.

"The good thing is the delay in the buildup is not taking away from existing economic activity; it certainly is going to cut into or eliminate much of the expansion in the economic activity that was planned previously," Hiles said. "In the longer term, we're really going to be dependent on increased tourism and there's positive news there with the Russian visa waiver, and there's also hope for increased construction."

While there's strong optimism for the New Year, only time will tell how the island will fare in 2012. 

 
Announcement on Tiyan plans expected

Posted: Jan 02, 2012    by Nick Delgado   KUAM

Guam - The Calvo Administration is expected to announce its plans on what will happen with the CoreTech facility in Tiyan on Tuesday. Governor Eddie Calvo says he hopes to continue to use the former interim JFK High School as an educational institution.

GovGuam has been reviewing the option of either purchasing the property from CoreTech or continuing the lease that is paid through tax credits. Untalan Middle School is also eyeing the facility to use temporarily, while their school undergoes major renovations.

 
Obama signs 2012 NDAA

Posted: Jan 02, 2012  by Nick Delgado   KUAM

Guam - President Barack Obama signed the 2012 National Defense Authorization bill on New Year's Eve in Hawaii, according to Japan media. The bill cuts the entire $150 million in funding for the Marines relocation from OIkinawa to Guam. Congresswoman Madeleine Bordallo is disappointed the House of Representatives passed it in the first place.

The bill also freezes further funding for the Guam realignment. 

Ypao fireworks display to ring-in New Year

Posted: Dec 30, 2011 , by Krystal Paco  KUAM

Guam - Island residents can look forward to a spectacular show in the sky as they ring in the New Year.  Island residents won't be the only ones enjoying the show as tourist arrivals are on the rise.  

It's a forty-year tradition going strong as the Guam Hotel and Restaurant Association is again the main sponsor of the island's annual New Year's fireworks display. The show, which is set to take place at the stroke of midnight Saturday night at Ypao Beach Park, will go on despite low inventory. GHRA executive director Mary Torre recalls an incident that occurred earlier this year that caused a portion of the island's inventory to burst off prematurely into flames at Q's Ranch.

"Unfortunately earlier this year in July there was an explosion with one of their containers, which had the large shells so what we have available on the island is actually small-to-medium-to-large shells," she said.

Despite the incident, Torre guarantees a quality show that ties in with the island's buy local initiative. "Regardless of who the off-island vendor has been in the past, it's always been the local team here on Guam to actually put together the show and light it off," she said.

It's not just fireworks that'll be up to kickoff the New Year, but also Guam's visitor numbers. Torre says holiday festivities showed an increase in tourist arrivals to round out 2011. "Right now, of course, it's the busy season it's the holiday season so this is the time of the year we actually see arrivals go up. So we've always projected that but we're going to end the year off with a lot of new surprises," she said.

"We've had really good rates over the last few months especially some new charters from China. We've really seen a different demographic on Guam to add to our Japanese visitors. We've seen a lot from Korea and Taiwan increase and then with the additional charter flights from China. It kind of makes us a little bit more well-rounded."

Torre hopes locals and visitors alike will enjoy the display, saying, "This is a great way to combine all the festivities going on and to celebrate with the local community so they have something to look forward to every year."

Younex should be allowed to intervene in land case

Posted: Dec 30, 2011, by Mindy Aguon, KUAM

Guam - A zone variance approved for Younex's Emerald Verace high-rise condominium project should not have been declared null and void. The Supreme Court today issued an opinion in Mary Ann Sablan's case against the Guam Land Use Commission.

The high court has already reversed the trial court's denial of Younex's motion to intervene in the lawsuit.  In today's opinion, the high court found that the trial court erred in applying the conditional use application requirements.  Sablan contends the conditional use should never have been approved because she and other residents living near the project were not provided personal written notice of the GLUC hearing on the application. 

According to the opinion, the application under review by the trial court was a zone variance application - not a conditional use application therefore the requirements are different

Support for bill banning cell phone use while driving

Posted: Dec 30, 2011 , by Ken Quintanilla, KUAM

Guam - There was overwhelming support for a bill that seeks to ban mobile phone use while driving. The legislation would make it illegal to talk on your cell phone while driving and would require that telecomm and car insurance companies notify their customers of the new rules, should it become law. 

GTA TeleGuam fully endorsed the bill, with Lucy Perez saying, "We believe that this legislation mandates that social and corporate responsibility. Motorists should keep their hands on steering wheels and pay complete attention to what is before them, what is behind them, alongside them without the distraction of holding on to and using a cell phone."

The bill does provide exemptions for conducting commercial transportation operations, making emergency calls to 911 or drivers who use hands free devices and ham operators. Paige Butler testified on behalf of the Guam Chamber of Commerce, saying, "We are opposed to any cell phone ban for the commercial trucking industry and any over the road type of commercial businesses. We do not equate talking on a cell phone to driving unsafely particularly when the conversations are short and to the point."

The bill would impose a fine of more than $100 for the first violation, up to $500 for the second violation and a fine of $1,000 and possible suspension or revocation of your license for the third offense.
 

Written by SHARLA TORRE MONTVEL-COHEN

Wednesday, December 21, 2011

 As President Obama Prepares to Sign NDAA, Senator McCain’s Objections to Guam Military Buildup Are Dwarfed by Long-Term Defense Budget Decisions Yet to Come

For queries regarding this or other stories, email the editor at sharla@guambuildupnews.com This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

 

$33M for socioeconomic projects hinges on DoD

Posted: Dec 20, 2011  by Ken Quintanilla KUAM

Guam - Arizona Senator John McCain may have succeeded in getting $155 million in military construction projects cut from the 2012 National Defense Authorization Act, but that wasn't the case for a $33 million dollar appropriation for socioeconomic projects for Guam. The money would fund a cultural repository for ancient artifacts, purchase 53 new school buses, and build the first phase of a new mental health facility. 

It's up to the Department of Defense though to make a final determination on whether the funds can be transferred to other federal agencies to benefit Guam. Senator McCain though isn't giving up on his efforts. On the very day that the senate passed the 2012 Consolidated Appropriations Act, which included the $33 million appropriation, he sent a letter to his colleagues urging them to cut what he calls "unneeded spending for public infrastructure to address longstanding issues on Guam unrelated to the buildup."

Military Buildup Chair Senator Judi Guthertz says that $33 million was negotiated between Guam and the military that recognized the legitimacy of these needs. "These are programs that are mitigated because the military knows that these are going to be areas that are going to have a significant impact for military buildup that includes increase use of our medical facilities, hospitals, mental health facilities, more people going to our schools," she stated. "Hence the need for more school busses."

Governor Eddie Calvo also expressed disappointment with McCain's continued efforts to thwart funding for the buildup. He expressed, "This is unfortunate, but Senator McCain fails to see, I guess, for him this agreement is something that is of non-importance. And at this point he has been very consistent in looking for ways in breaking this agreement. But we're going to continue to be forceful and push what we believe are areas that the federal government has obligated itself to."

With the recent passing of North Korean leader Kim Jong Il and concerns about the uncertainty and stability of the country, Senator Guthertz says Guam's strategic role is more important than ever. "But we need our Congress to support us and the need for a strong presence here in the Western Pacific because countries like North Korea are so close to us and barely four hours away," she told KUAM News.

Governor Calvo says he has already spoken with Undersecretary Robert Work, advising him of the administration's desire to speed up movement on the buildup and the acceptance of a strategic plan. Congresswoman Madeleine Bordallo meanwhile says she will encourage the DoD to utilize the authority provided in the legislation, consistent with congressional intent.

She adds she will work with the Defense Department to have the funds transferred.

 

Appropriators Act improves Compacts implementation

Posted: Dec 18, 2011

by Sabrina Salas Matanane

Guam - News from Congresswoman Madeleine Z. Bordallo

Appropriators Act to Improve Implementation of Compacts

FOR IMMEDIATE RELEASE - December 16, 2011 - Washington, D.C. -

Congresswoman Madeleine Z. Bordallo announced that the House
passed H.R. 2055, the Consolidated Appropriations Act for 2012, by a
vote of 296 yeas to 121 noes.  The Senate is expected to pass the bill
later tonight or tomorrow to avoid a shutdown of the Federal
government.

This bill creates a new position within the Department of the
Interior's Office of Insular Affairs dedicated to working on
Compact-impact issues.  The bill also directs Interior to work with
the Freely Associated States to develop a comprehensive plan to
mitigate the costs of Compact migration. This plan seeks to better
educate migrants and potential migrants that the primary purpose of
the Compact migration benefit is to provide educational and employment
opportunities to FAS citizens, not for migrants to develop an
over-reliance on public services.  The plan would also seek to improve
FAS capacity to provide dialysis and other medical services to avoid
the need for FAS citizens to seek treatment in Guam or other
jurisdictions.  It would also improve screening procedures to identify
and restrict migration of individuals who have communicable diseases
or who have been convicted of serious crimes.

These provisions were originally recommended to the Department of
Interior in a March 2011 letter led by Senator Daniel Inouye and
Senator Jeff Bingaman. Congresswoman Bordallo cosigned the letter
expressing her support for the renewed focus on Compact-impact issues.

"The Compact provisions contained in this appropriations bill will,
over time, help ease the financial burden placed on the Government of
Guam, and other affected jurisdictions, moving forward," said
Congresswoman Bordallo.  "Chairman Inouye has been a strong supporter
of improving existing law to assist local governments affected by the
Compacts, and I thank him for his leadership in including these
provisions in this year's Consolidated Appropriations Act.  I will
continue to work with my colleagues in Congress and all stakeholders
to ensure that we meet the U.S. obligations under the Compacts while
addressing the burden on our local governments."

New revenue software for Rev & Tax

Posted: Dec 16, 2011  by Ken Quintanilla  KUAM

Guam - The scope of how the Department of Revenue & Taxation conducts its property valuation process and tax billing methods will soon be upgraded as the Government of Guam recently signed a contract with Manatron. A company described as "a leader in providing integrated property tax and land administration software for governments worldwide" can now add Guam to that list.

Rev & Tax signed a $5 million contract with Manatron to license its Government Revenue Management application. Rev & Tax director John Camacho says the contract was awarded through local vendor Data Management Resources to replace its legacy real property tax system and convert over 30 years of data. "It's going to definitely improve the services to the taxpayers so people can actually come and access a lot of this information that they couldn't access before, and I think there's talk that some people outside of the government who might be looking at these information that might be valuable for companies in real estate," he said.

Camacho added that the system provides a more user-friendly billing system - something that has been absent with its former program. The new GRM system would also allow Rev & Tax to conduct multiple property valuations, integrate building permits and offer extensive data storage and retrieval. Ultimately, it allows the agency to work better with several government agencies.

"So it's all interfaced and we're all now talking with one another that the three main divisions Rev & Tax, Land Management, and Public Works and all these things would come down to an end soon," said Camacho. He says this new system all ties in with its tax mapping project, GPAS and its computer assisted mass appraisal system, which are part of the agency's revenue enhancement initiatives.

The next step is moving forward with re-evaluating the entire property of Guam for early next year. The new system is going through a test run now and will officially launch once necessary adjustments are made.

Senate passes 2012 NDAA

Posted: Dec 16, 2011 by Sabrina Salas Matanane  KUAM

Guam - The 2012 National Defense Authorization Act is one step away from becoming official, all it needs now is President Barack Obama's signature. After Thursday's swift passage by the House, the Senate followed through passing the 2012 National Defense Authorization Act. Senators Carl Levin, Jim Webb and John McCain have been at the forefront of freezing funding for the Marines' relocation from Okinawa to Guam until such time the Department of Defense provides a master plan for the Guam realignment.

McCain said, "This pause will allow Congress to ensure that the taxpayers' funds invested in our overseas military force posture and basing will afford us the best opportunity to continue our strong alliances in the region while pursuing new arrangements with emerging partners that support security and economic development."

The 2012 NDAA freezes $33 million that would have gone toward the Marines relocation as well as cutting funding for school buses, mental health facility and a cultural artifact repository which was part of the Programmatic Agreement signed between GovGuam and the DOD earlier this year. McCain on the floor today tried to assure his colleagues that just because the buildup is on pause doesn't mean it's been scrapped.

McCain said, "This provision should not be interpreted as a lack of United States commitment to the realignment... and to our (Senate) commitment to realignment. As the President of the United States has stated, we are shifting a lot of our attention to the Pacific region and we understand the importance of the Pacific region in the 21st Century."

The Senate passed the Defense Authorization Bill with a vote 86-13 it now heads to President Obama, where he is likely to sign it. 

Bill corrects CLTC injustice, lets residents build

Posted: Dec 16, 2011  by Ken Quintanilla  KUAM

Guam - Governor Eddie Calvo recently submitted legislation allowing hundreds of Chamorro Land Trust Commission property holders to develop the land they are leasing by exempting the certifications of survey from Guam Land Use Commission approval. Additionally, the bill grants the exemption so that Department of Land Management can record the surveys.

The Calvo Administration noted that when CLTC was created, there was a rush to issue land leases. To meet the demand, CLTC permitted the use of certifications of surveys prepared by land surveyors. However, because these certifications of survey were never approved by the GLUC or DLM, lessees have been unable to apply for bank financing and unable to hook-up utilities.

The legislation replaces Bill 241, which Governor Calvo vetoed because it didn't require the certifications of survey to be reviewed by any government agency. This version of the bill still requires DLM to review and approve the certifications of surveys.

This would require only a nominal application fee, but eliminates the lengthier and more expensive GLUC approval process.

GVB talking options to attract Russian market

Posted: Dec 16, 2011  by Nick Delgado  KUAM

Guam - While efforts continue to secure parole authority for China visitors to Guam, the recent approval for Russia has got the Guam Visitors Bureau working to find ways to attract Russian tourists. GVB deputy general manager Nate Denight says the board of directors during this week's meeting discussed strategies and funding options to handle the new market that hopes to bring more than 2,000 additional visitors to Guam.

He told KUAM News, we've had some experience in Russia so we will reach out to our travel partners there, we work with a lot of travel agents and different industry parents to establish those contacts and see how we can help them promote Guam because they will be the one's ultimately selling Guam so we got to see what kind of market and sale strategies we will use in Russia."

He adds for the month of November, Guam got 2,000 additional visitors from Taiwan, and travelers from Korea went up 15%. He says visitor arrivals from Japan are also expected to go up, as charter flights will begin. 

GALC returning three acres of land to owners

Posted: Dec 15, 2011,  by Nick Delgado   KUAM

Guam - After waiting 60 years, three acres of land will finally be returned to its original owners. Following a 10-day period for any comments contesting the estate, the Guam Ancestral Lands Commission report that since there were no opposition, they will award the property back to the estate of Jose Cruz Santos and Marcela Quenga Cruz.

GALC chairperson Anita Orlino says the landowners never thought today would be a reality, saying, "I really think that for these families, these are a dream come true and they've been waiting for this, and we're moving forward in having to right the wrong."

Late last month the GLUC held a title hearing for the Piti property within the federal released parcel of Apra Harbor Reservation B-2. GALC has awarded more than 100 deed signings this year and will continue to push for more. The deed signing will be held at their next meeting on December 28.

Firms optimistic about Guam's economic future

by Ken Quintanilla, Posted: Dec 14, 2011,  KUAM

Guam - A final vote in the House and Senate is expected tomorrow on the final version of the 2012 National Defense Authorization Act. After days of closed-door meetings between representatives from the House and Senate that were selected to serve on the conference committee the final version dealt another setback to the Guam realignment.

Local businessmen are optimistic about the island's economic future.

The Guam Chamber of Commerce and the Guam Contractors Association have been some of the major proponents of the military buildup, even going so far as recently launching a letter campaign to the Senate to block amendments by Senator John McCain to freeze and cut funding for the Guam realignment. Those efforts as well as efforts by many other Guam leaders including Guam delegate Madeleine Bordallo, who sat on the House-Senate Conference Committee for the 2012 National Defense Authorization Act didn't receive a favorable response, as the final version puts the buildup on the backburner and freezes funding until the Department of Defense submits a master plan and provides evidence of tangible progress on the Futenma Replacement Facility.

The final version also requires a study be conducted on the military's force posture in the region. GCA president James Martinez says like everyone else he's disappointed that it has come to this. He does however remain hopeful and is thinking positive that the buildup is still going to happen at a delayed or slower pace. With private sector development, local government development, the new private hospital and projects related to the tourism industry, Martinez adds Guam's still got a bright future.

"So certainly there's going to be a lot of work out there, and if you want to call the military buildup 'the icing', we can call it that, but with or without the military buildup, I think Guam can sustain itself at least in the construction industry because there's going to be a lot of newer things that will be happening here, including our increase in the tourism industry," he told KUAM News.

Meanwhile, included in the final version of the 2012 NDAA is Congresswoman Bordallo's amendment removing a provision in last year's NDAA requiring the Navy have 33% voting share on the Consolidated Commission on Utilities. Chairperson Simon Sanchez said, "It's good, it gets rid of something that was pretty stupid and un-implementable to begin with and unnecessary, and it still preserves in law that the Congress has authorizing GWA and secretary of defense to enter into discussion of the transfer of the Navy's system to GWA."

Sanchez adds long-term the Guam buildup is still good for the island in having an increased defense posture; it's disappointing to freeze money that could come into the economy - specifically GWA. He says the NDAA reflects the confusion and lack of consistent national policy for the buildup.

Bordallo was not successful in removing the provision dealing with the sale of the Fena Reservoir at fair market value, but all hopes not lost because the provision can be used as a basis for litigation in the future. The House and Senate are expected to vote on the final version of the 2012 NDAA tomorrow Guam time. Congresswoman Bordallo is pushing her colleagues to vote against the measure, but if passed she will push for President Barack Obama to veto it.

Of note is that Japanese media have started reporting that Japan is looking to sharply cut expenses for the Marines' relocation from Okinawa to Guam after hearing of funding being frozen for the buildup.

Guam Builup News  Latest News

Won Pat: Spirit of Unity and Collective Prosperity

Posted: Dec 14, 2011   KUAM

Spirit of Unity and Collective Prosperity

by Judi Won Pat

Speaker of the 31st Guam Legislature

 

Hafa Adai!  As we begin planning for the next family festivity, scheduled trip to the mall, or to our place of worship, let us be reminded that, as much as we desire for a prosperous economy, we should also work towards a long lasting prosperity of respect and kindness for one another.

 

I am encouraged by the flurry of activity at many of the shopping destinations, both large and small.

 

I am also encouraged by the progress we have made as a government towards expanding existing markets and exploring new ones.

 

Now, it is my privilege to share that as much as our local leaders have made progress in strengthening the Guam economy, our brothers and sisters who are part of this Pacific Blue Continent have taken major strides at the last Association of Pacific Island Legislatures to advance our collective and common agenda for mutual sustained prosperity and political stability for all Pacific Peoples.

 

A "Blue Continent Free Trade Agreement² resolution was introduced by the Guam delegation made up of Senator Rory Respicio, Senator Chris Duenas, and myself as the principal author.  The resolution sets into motion the establishment of a working committee to assist in the establishment of policy that may be adopted by all member nation and territorial governments that seeks to:

 

1.     Eliminate barriers or and facilitates trade within and between member APIL countries and territories;

 

2.     Create new employment opportunities, improve working and living conditions in our respective APIL member nations and territories as a result of the Blue Continent Free Trade Agreement; as well as

 

3.     Ensure that resulting commercial activities are consistent with the protection and conservation of our environment.

 

The passage of this resolution was good. But the greatest lesson was the realization that although each of our respective governments, much like ourselves as individuals, may be deploying very different means designed to get us Œahead¹ economically, it is possible to do so in the spirit of inafamolek, in the spirit of having respect and the better interest of all concerned foremost in mind.

 

My dear people of Guam, as we rush towards the next family festivity, scheduled shopping trip, or to our place of worshipŠ or whether we are on our way towards expanding business on Guam let us do so with the mission of establishing not just longstanding economic prosperity but a prosperity of respect and kindness for one another.

 

Merry Christmas and be safe during the holidays.

 

Committee report freezes buildup funding

Posted: Dec 13, 2011,  KUAM

by Ken Quintanilla

Guam - After meeting behind closed doors conferees emerged ready to report out the final version of the proposed 2012 National Defense Authorization Act, Congresswoman Madeleine Bordallo was part of the secret discussions - and she's not pleased with the outcome.

Just in time for Congress to head home for the holidays, as expected the House Senate Conference Committee, responsible for crafting a final version of the 2012 NDAA, produced their final product. And according to the conference report, it keeps intact Senator John McCain's provisions to cut $33 million in civilian infrastructure projects, prohibits the transfer of U.S. and Japanese military construction until certain conditions are met. It does not apply to funds already received from the Government of Japan or U.S. funding from previous fiscal years. The final version of the NDAA would also freeze the transfer of any Office of Economic Adjustment funding in Fiscal Year 2012 to support Guam infrastructure requirements. 

The final version also includes a provision for a study to be conducted on the military's force posture in the region.

Leaders from both the House and Senate spoke with reporters after completing conference expressing their satisfaction with the results.  McCain has been one of the staunchest opponents of funding for the buildup, he along with Senators Carl Levin and Jim Webb called the Department of Defense's plans for realignment "unworkable undoable and unaffordable". Evidently he was successful in nixing funding for Guam.

McCain along with House Armed Services Ranking Member Adam Smith answered questions from reporters regarding the Guam realignment. He said, "We're still waiting for the Administration to sort of decide what the Guam realignment is going to be this was an area of disagreement there was some funding for Guam I supported, but was outvoted. They're making changes in the Pacific; they have not finalized the Okinawa move and it would be easier for our committee to make these decisions in the committee if we knew exactly what the realignment was in the Pacific.

McCain stated, "The Pentagon agrees with us that we should put a pause on this whole realignment issue and get a study an assessment as soon as possible on how this realignment can work in a most efficient fashion. The original cost has gone up from $6 billion to $16 billion with no end in sight, so we're trying to get an again. Secretary Panetta agrees on an entire assessment before we move forward on any additional projects, although there were a couple of projects in Guam that didn't have anything to do with realignment that were approved.

Smith also added, "I just want to point out that whatever realignment is Guam is a critical part of our national security strategy in Asia. And wherever the realignment comes down, I don't want to see Guam hurt by that uncertainty. Whatever we decide to do with the bases there it has to be funded and supported. Like any base that we have in the country and I hope we can resolve that and Guam can get a clear picture on what support they're going to get.

Bordallo meanwhile strongly opposes the conference committee report, saying she will not sign off on it. She is urging her colleagues to vote against it, but should it pass will urge President Barack Obama to veto it. Bordallo added, "The bill delays the inevitable investments that are necessary on Guam to support realignment of forces, and it sends the wrong message to Japan at a critical time in the process for the prime minister to achieve progress in Okinawa. The bill completely ignores the Administration's efforts and priorities in improving the posture of military forces in the Asia-Pacific Region, and it further delays military construction projects that were initially slated to be awarded this fiscal year."  

Bordallo added, "The outcomes in this bill are a wake-up call to our community that we must speak with a single, unified voice if we are to move forward with the build-up." Of note is that proposed funding for the buildup went from $303 million to what's now in the final version $83.6 million for military construction projects on Guam.

Locally Guam Buildup Chair Senator Judi Guthertz said of the final version that the congressional freeze on buildup spending is a short-term setback but not the end. Also, the White House is already threatening to veto the bill because of the Senate's inclusion of a provision allowing U.S. citizens accused of terrorism indefinitely without a trial.

The American Civil Liberties Union has called the provision "an historic threat to American citizens". A vote on the final version of the 2012 NDAA is expected Thursday, Guam time.

NDAA has mixed results

Posted: Dec 13, 2011 by Sabrina Salas Matanane  KUAM

Guam - News from Congresswoman Madeleine Z. Bordallo

National Defense Authorization Act Has Mixed Results
House-Senate Conference Committee Report Out Final Bill

FOR IMMEDIATE RELEASE - December 12, 2011 - Washington, D.C. -

Congresswoman Madeleine Z. Bordallo today announced that the House and
Senate Conference Committee has concluded and reported out a final
bill for the National Defense Authorization Act for Fiscal Year 2012
(FY12 NDAA).  The bill reconciled the differences between the House
and Senate versions of the FY12 NDAA.

H.R. 1540 authorized spending and sets policy for the Department of
Defense for fiscal year 2012.  The bill provides $83.6 million to DoD
for military construction projects on Guam.  The Conference Report
does not include authorization of appropriation for $33 million in
funding for civilian infrastructure projects through the Office of
Economic Adjustment (OEA).  The Conference bill also retains Senate
bill section 2208 which prohibits the transfer of U.S. and Japanese
military construction funding for Fiscal Year 2012 until certain
conditions are met.  Section 2208 does not apply to funds already
received from the Government of Japan or U.S. funding from previous
fiscal years.  Section 2208 also restricts the transfer of any OEA
funding in Fiscal Year 2012 to support Guam infrastructure
requirements.  This additional requirement is identical to amendments
that Senator McCain offered during Senate floor debate on the FY12
NDAA.

Ranking Member McCain raised serious concerns about U.S. force posture
in the Pacific as well as objections to funding civilian
infrastructure in Conference Committee.  Senate leaders also had
concerns over the lack of tangible progress over the Futenma
Replacement Facility.  These objections were unable to be overcome
during the Conference Committee despite efforts by Congresswoman
Bordallo and House Armed Services Committee Ranking Member Adam Smith.

"I strongly oppose this Conference Committee report and urge my
colleagues to vote against the legislation," said Congresswoman
Bordallo. "The bill delays the inevitable investments that are
necessary on Guam to support realignment of forces, and it sends the
wrong message to Japan at a critical time in the process for the Prime
Minister to achieve progress in Okinawa.  The bill completely ignores
the Administration's efforts and priorities in improving the posture
of military forces in the Asia-Pacific region, and it further delays
military construction projects that were initially slated to be
awarded this fiscal year.  The Conference Committee report lacks
support for Guam and our military posture in the Asia-Pacific region,
and the bill contains mixed results that are troubling to our national
security.  I will not sign the report, and if this bill is passed by
the House and Senate, I will urge President Obama to veto this bill.
The outcomes in this bill are a wake-up call to our community that we
must speak with a single, unified voice if we are to move forward with
the build-up.  We must also continue to push the Japanese to make
progress on the development of a Futenma Replacement Facility in
Okinawa, and I will continue to work with my colleagues in Congress
and the Department of Defense to finalize a master plan and preferred
lay down so that we can proceed with military construction projects
authorized for fiscal year 2012."

A list of provisions that were supported by Congresswoman Bordallo and
included in the National Defense Authorization Act for Fiscal Year
2012 are listed below:

*       Requires the Navy to establish a Lead Systems Integrator for
work force health care for Guam military construction projects.  The
LSI would provide a coordinated and comprehensive solution to the
health care needs of H2-B workers when there are more than 2,000
working on any given military construction project on Guam;

*       Chief of the National Guard Bureau will have a seat on the
Joint Chiefs of Staff;
*       Establishes the position of Vice Chief of the National Guard
Bureau.  The Vice Chief will be a general officer with a grade of
lieutenant general;
*       Clarifies payment of Basic Housing Allowance to members of the
National Guard who are transitioning from Full Time Title 10 orders to
Full Time National Guard service under Title 32 and vice versa.  The
language is similar to H.R. 2733 introduced by Congresswoman Bordallo
and Congressman Loebsack of Iowa;
*       Reauthorizes travel reimbursement authority for the National
Guard for one year and separate language provides the services with
authority to establish pilot programs to test alternative methods for
performing and reimbursing travel, for limiting the need for travel,
and for reducing the environmental impact of travel;
*       Supports the President's budget request for 9 C-27J "Joint
Cargo Aircraft."
*       Provides servicemembers with a 1.6% increase in pay;
*       Amends the Sikes Act to include state owned National Guard
Facilities and add provisions for funding integrated national resource
management plans.  The Sikes Act authorizes the Secretary of Defense
to develop cooperative plans for conservation and rehabilitation
programs on military reservations and to establish outdoor recreation
facilities as well as extending coverage of Sikes Act to the CNMI and
American Samoa;
*       Provides an additional $983,000 to the Navy O&M accounts to
fully fund the requirements of the Navy Sea Cadet Corps program.  The
Navy Sea Cadet Corps is a critical program that assists the Navy in
meeting recruiting goals;

Fiscal Year 2012 Military Construction Authorizations for Appropriations

Service Project  Cost
Air Force       Air Freight Terminal Complex     $  35,000,000
Air Force       Guam Strike--Clear Water Rinse Facility  $    7,500,000
Air Force       Guam Strike--Conventional Munitions Maintenance
Facility         $  11,700,000
Air Force       PRTC--Combat Communications Combat Support Facility
 $    9,800,000
Air Force       PRTC--RED HORSE Cantonment Ops Facility  $  14,000,000
Air Force       PRTC--Combat Communication Transmission System   $    5,600,000
TOTAL            $  83,600,000


# # #

Contact: Adam Carbullido in Washington, D.C. at 
202-225-1188 or Derek
Mandell at 671-477-4272/4.

adam.carbullido@mail.house.gov<mailto:adam.carbullido@mail.house.gov>
or 
derek.mandell@mail.house.govmailto:derek.mandell@mail.house.gov

Next phase of cultural center rolls out

Posted: Dec 13, 2011  by Ken Quintanilla  KUAM

Guam - Following a soft opening in July, The Baldyga Group is rolling out the next phase of its cultural and eco-adventure theme park in Tumon. President and CEO Mark Baldyga spoke before the Rotary Club of Northern Guam about Lina'la and its goal to add to the cultural tourism options on Guam.

Baldyga says although business has been slow, he hopes to relay the message of its development and let the project slowly grow, noting, "I hope they will carry the message of how important the culture is to us and bring it back tot heir businesses and see how we can really engage. My role is to take the commercial sector and the Chamorro side and the tourism side and bring them all together."

He adds Lina'la will be the first major commercial attraction that focuses on Chamorro culture. The second phase will include a more authentic historical look of Guam, including a museum with a video theater and more animals. A grand opening is set for late-Janaury.

Rezoning bills raise concern

Posted: Dec 09, 2011 by Ken Quintanilla  KUAM

Guam - Whether it's a question of special interest legislation or simply bypassing the Guam Land Use Commission, but a public hearing last month proposing to rezone residential single dwellings to an M1 (Light Industrial Zone) has raised concern as to whether going through the legislative process is best for residents.

It's been going on for years and he doesn't expect it to end anytime soon, but Guam Land Use Commission chairman Jay Lather questions whether bypassing the GLUC has the island community's best interest in mind when considering rezoning property on Guam. Although he respects every senator's right to introduce and pass legislation, going that route appears to defeat the very purpose of the GLUC.

He said, "So now the issues really becomes what about the complex ones- M-Zones or C-Zones. Should the senators pass laws for those and that becomes more complicated because the senators have their right to do that, but it's got such an impact on the communities and neighbors get involved."

It was late last month senators heard public testimony on bills proposing to rezone two lots in Chalan Pago from a Residential-Single Dwelling to M1.  Those opposing the bills questioned why the Legislature would even consider bills without going through the GLUC. Close to 25 bills related to rezoning have been introduced this year by lawmakers, almost half introduced by Vice Speaker B.J. Cruz, and almost half by  Minority Leader Senator Frank Blas, Jr.

The Republican lawmaker says the Legislature does take several cases into consideration in whether it should restrict or grant certain types of re-zonings. He adds that it is not particularly a slam dunk either going through the legislative process, as you must go through the public hearing process. "I, like many of my colleagues, first look at what's going on in regards to an individual who wants their property rezoned," he stated. "As to whether or not they are just using us as a matter of convenience or have they tried and for many months they haven't been able to do this."

The biggest concern residents have raised to senators is the GLUC's hefty price tag. Lather says costs may be involved but many of them cover technical aspects that legislative rezoning don't require. "But clearly there are costs involved - you need an environmental impact statement, you need to send notices to the affected neighbors, so there are some costs involved but these are good costs because I think they're so important to protect the neighborhood," he said.

Lather admits seeking legislative rezoning may appear to be more efficient, expedient and less expensive but believes rezoning that would greatly impact residents is best brought before the GLUC.

Cost-cutting tops GMH board’s agenda

Posted: Dec 10, 2011 by Nick Delgado  KUAM

Guam - The Guam Memorial Hospital's board of trustees will meet this week to discuss a range of issues from cost-cutting measures, such as implementing a 32-hour workweek for administrative personnel to looking for a new administrator. In the midst of a financial crisis, the hospital is anticipating a visit by the Joint Commission within the next month or two. 

Chief financial officer Siva Karuppan says the hospital has addressed all of the concerns raised by JCO during a previous surprise inspection.  The survey team is expected to make a determination if the deficiencies have adequately been addressed.  Karuppan is confident that GMH is prepared for the visit whenever it happens and says the finances have improved slightly. "We are in better shape now than we were a month ago, primarily due to the inflow of money from the tax garnishments," he explained. "We now have a bit of breathing room; we still owe vendors a lot of money, this is only half but at least it's something and the local vendors are very happy."

GMH received about $6,000,000 from garnished tax refunds. The board meanwhile will meet on Wednesday when they'll get a more detailed report on the hospital's finances and discuss other issues including the cost-cutting plan that they ordered management to complete.

Marianas Business Journal

Volume 9 No. 16 December 5, 2011 - December 18, 2011

Ukudu opening Workforce village to get first residents

Ukudu Workforce Village will open for the first phase of occupancy on Dec. 15, though it continues to await the buildup and need of its full potential.

Rapidgate vaporizes funds

It seems to us to be a system only a government could love. We understand it's a nationwide initiative, the implementation of which local officials did not decide, but the Navy's new base access system, Rapidgate, strikes us as an unnecessary waste of money and effort.

Supreme Court to decide Obamacare

Since the passage of health care reform in March 2010 and the many lawsuits that followed, it was anticipated that the U.S. Supreme Court would ultimately decide the case and my previous articles anticipated so as well. On Nov. 14, the Supreme Court granted review in related cases that raised the question as to whether Congress has the power to adopt the Patient Protection and Affordable Care Act, also referred to as ObamaCare.


Bordallo appointed to NDAA committee

Posted: Dec 08, 2011  by Sabrina Salas Matanane  KUAM

Guam - It's official Congresswoman Madeleine Bordallo today in the nation's capitol was appointed to serve on the conference committee for the National Defense Authorization Act for 2012.  Also serving on the committee opponents of the buildup in the Senate namely Senators Carl Levin and John McCain.

Bordallo will have to work hard to undo the actions of the Senate - which in their version of the defense bill freezes funding for the buildup and creates a commission to study the military's force posture in our region.  Bordallo has said the study is unnecessary and has said Levin and McCain's position go against those of the White House, Defense Department and State Department.

Reports indicate conferees are hoping to hammer out a final version of the defense bill by the weekend.

Former Guam resident running for Hawaii district

Posted: Dec. 8, 2011 , by Sabrina Salas Matanane for KUAM

Guam - A former Guam resident is pursuing her political aspirations in the state of Hawaii where she is running for the 2nd Congressional District. Esther Kia'aina is on Guam spending time with family and friends and meeting with government and business leaders.  She is currently the director of advocacy for the Office of Hawaiian Affairs and is hoping to get elected not just to move issues important to Hawaii, but Guam as well.

She told KUAM News, "I think the United States should be doing a better job in the manner of how it's obligating U.S. financial assistance to the Freely Associated States. I think there should be more of an effort to improve the education and health system in these islands. We all know that many of them are great contributors to our island economies."

If elected, she intends to ask for a waiver from federal matching requirements that are imposed on Guam and Hawaii. Kia'aina has over 20 years of experience in public policy. She also served as the chief of staff and legislative director to former congressman Robert Underwood.

Mayors pushing for Chinese visa waiver

Posted: Dec 08, 2011   by Nick Delgado   KUAM

Guam - The Mayors Council of Guam is doing its part to push the Department of Homeland Security to grant parole designation for Chinese visitors to Guam. The island's mayors discussed the issue this week contending that if the mayors had been involved then the visa waiver would have been approved for both China and Russia.

Guam successfully got parole designation for Russia last month following a recent GVB trip to Washington, DC. The mayors have now adopted a resolution that will be sent to DHS in hopes to persuade officials to grant parole authority for China as well.

Guam Builup News   Latest News

Buildup News & Politics
Two House-Senate Conference Committees Will Decide Fate of 2012 Funding for Guam Military Buildup as Early as Next Week


Written by SHARLA TORRE MONTVEL-COHEN   
Thursday, December 08, 2011

GUAM – The battle over this year's funding and authorizations for military construction on Guam is in its final round on Capitol Hill, where final House-Senate agreement is expected next week on two bills: a massive omnibus spending package to fund the Pentagon and other federal agencies, and the annual defense authorization bill.

Read more...

Pressure to Pass Annual Spending Package Could Bring Short-Term Clarity for Guam Military Buildup


Written by SHARLA TORRE MONTVEL-COHEN   
Wednesday, December 07, 2011

GUAM – The $303 million the Department of Defense hopes Congress will appropriate this fiscal year to proceed with long-delayed military construction projects for Guam could see some movement in a massive omnibus spending bill that House and Senate appropriators must pass by early next week.

Read more...

Pentagon May Offer Key Law Makers Early Look at New Spending Plan; Revised Guam Military Buildup Timeline Likely to Be Included


Written by SHARLA TORRE MONTVEL-COHEN   
Monday, December 05, 2011

GUAM – The Department of Defense may not wait until the traditional February timeframe to reveal its spending plan for the next fiscal year. The early disclosure will be a peek into how the Pentagon plans to slim down over the next decade by about $450 billion while still increasing its resource commitment in Asia where the U.S. and Japan plan a massive troop realignment.

Senate passed its version of 2012 NDAA

Posted: Dec 02, 2011  by Sabrina Salas Matanane  KUAM

Guam - Congresswoman Madeleine Bordallo will have her work cut out for her as the Senate today passed its version of the 2012 National Defense Authorization Act, leaving in tact the freeze on funding for the Guam realignment and including Arizona John McCain's amendment creating a commission to study the military's force structure in the Asia Pacific region.

The measure still needs to go to conference for reconciliation with the house version of the bill. It's during that time when Bordallo will put on her gloves to fight for Guam funding. She has said the cuts in funding and the senate's efforts to block to the buildup are in contravention to the positions of the White House, State Department, Defense Department and the House.


News from Congresswoman Madeleine Z. Bordallo

 

Statement on Passage of Senate FY2012 NDAA

FOR IMMEDIATE RELEASE –December 2, 2011– Washington, D.C. –

 

Congresswoman Madeleine Z. Bordallo today issued the following statement regarding the passage of S.1867, the Senate version of the National Defense Authorization Act for Fiscal Year 2012. The Senate bill calls for the establishment of a commission to study the U.S. Force posture in East Asia and the Pacific region. The House version of the FY2012 NDAA, H.R. 1540, passed in May 2011. The two bills must now be reconciled in Conference Committee before it is sent to President Obama for his signature.

 

"The passage of the current version of the Senate NDAA is disappointing, but anticipated," Congresswoman Bordallo said today. "As I have stated, Senator McCain's amendment calling for a commission to study the U.S. force posture in the Pacific and East Asia is unnecessary and may have significant negative implications on our national security. The Obama administration understands the current security environment in our region and the President's recent statement of administration policy reinforces the House's position that we must move forward with the realignment, as agreed to in the Guam International Agreement. The House and Senate versions of the NDAA will now be reconciled in conference committee, and I will work to ensure provisions which are important to Guam are protected."

Guam Builup News
Monday, December 05 2011
Understanding naturopathic medicine

Posted: Nov 29, 2011,  by Krystal Paco, KUAM



Guam - Naturopathic physicians base their practice on six timeless principles founded on medical tradition and scientific evidence - letting nature heal, identifying and treating causes, do no harm to the body, educate patients, treat the whole person, and prevent illness. Naturopathic medicine is a form of alternative medicine and is based on the belief that the human body has an innate healing ability.

Naturopathic physician Dr. Valerie Lane Simonsen told KUAM News, "As a naturopathic physician, I'm actually a doctor of medicine but it's a little bit different than an MD.  The Latin word for doctor is dossier, which means "teacher" and that is what a naturopathic physician really is - a teacher." According to Dr. Simonsen, who has been practicing for about 20 years, she was initially an EMT and was studying to be an ER physician, but then she fell ill.

"I got sick," she recalled. "There was nothing that the doctors could do and they sent me home to die...they didn't even know what it was." Fortunately, a naturopath moved into town and within a short period of time her skin condition cleared up but the other part was very serious. "I ended up dying twice and in that process had major surgery and during that whole process, I learned about naturopathy, acupuncture, chiropractic and I did everything and I also used traditional medicine," she said.

Dr. Simonsen said being wheeled into the operating room, a voice told her to bring all the medicines together. "I tend to be really heavy on the psycho-spiritual aspect of healing and I also incorporate Chinese medicine as well, and homeopathy and some of the modalities that are available in natural medicine," she said.

When a naturopathic physician addresses an individual, they address the mind, body, and spirit. The term "naturopathy' is derived from Greek and Latin and literally translates to "nature disease." "First of all, I find out what their dream is - what do they want in their life? Then we look at some of the things that maybe they think and the belief systems that they have impede them in who they truly want to be," she said.

Dr. Simonsen then looks at nutrition. Currently she is offering a workshop to a group of about 12 women. Together, they have lost 65 lbs. just by changing what they consume and expressing themselves through physical activity. "Getting off of wheat, dairy, sugar, genetically engineered foods taking them out of their diet and then getting them expressing themselves in different ways such as exercise, water aerobics, bringing them down to the beach," she said.

She also incorporates art, which she believes is an amazing healing modality. "Every doctor does things differently. I tend to go on the psycho-spiritual aspect and use creativity as a way of healing rather than giving you a supplement or a drug to heal," she said.

Dr. Simonson said she works intimately with MDs, EMTs, and specialists to ensure patients have a life that is more natural.

For more information about naturopathy, you can head to Naturopathic.org.

Forum tackles issues with military in Pacific

Posted: Nov 29, 2011,  by Nick Delgado, KUAM

Guam - The UOG Division of Social Work and the Guahan Coalition for Peace and Justice will be hosting a public forum tomorrow entitled "The Pacific Blue: Militarized Experiences from Hawaii, Marshall Islands and Guahan". Kyle Kajiiro, who is the acting coordinator for Hawaii Peace and Justice, is one of the guest speakers.

He said, "I think the military has done a lot to support the community in times of disaster and provide that kind of infrastructure at the same time I think it also has an impact on raising tension with other countries and I think that's a part we have to look at, is there a way for us to have peace and security without pointing guns at each other."

Kajihiro says this will allow Guam to understand more about the military.

4,000 jobs estimated if China approved for visa waiver

Posted: Nov 29, 2011  Updated: Nov 29, 2011 5:15 PM KUAM

·         Governor Calvo's letter to president Mori

by Ken Quintanilla

Guam - In the next decade, officials foresee thousands of job opportunities, a booming tourism industry and close to a billion dollars worth of economic benefits to Guam as they continue to push for the China-Russia Visa Waiver Program. And today's Guam-CNMI Visa Waiver Forum couldn't be more timely, as officials look to take advantage of the parole authority that was granted for Russia while continuing to push for China resulting in endless possibilities.

The Department of Homeland Security continues to review the possibility of extending parole authority to Chinese visitors.  Just last week DHS secretary Janet Napolitano announced that Russia was granted parole authority, which means visitors from that country can visit the island. A forum, held at the Hyatt Tuesday, brought hundreds of the island's government and business leaders as well as potential investors together to discuss not only the history and current status of the Guam-CNMI Visa Waiver Program, but challenges and opportunities that lie ahead.

Governor Eddie Calvo's chief policy advisor Arthur Clark said the forum helped accelerate the team's initiative and show the progress that has been made over the more than four-year process. "You have a lot of people who are ready to invest," he announced, "but investors like to see certainty in economic conditions or they like to see movement in positive economic direction. So I think this is important to show everybody the efforts that's going into that."

A delegation recently returned from the nation's capitol where they pushed for China and Russia to be included in the visa waiver program.  Guam Hotel and Restaurant Association president Mary Torre stressed that stakeholders must take note of opportunities and challenges to corner the market. She said, "In the last year, we've seen Saipan have 12% of the market for Russia, so that's an opportunity in itself. If you compare it to our Korean market we only get about 10% in our market are Korean tourists, so if we have that same growth similar to Saipan where we can have that regional approach we can share in some of those visitors and even grow and expand in that and help CNMI along the way as well."

Torre says the main goal is to get China and Russia on a permanent status. If and when that happens, she says airlines will see real opportunities to begin regular flights but airline capacity will be the number one challenge. Other challenges including scheduling for visitors during peak and non-peak seasons for hotel capacity, language barriers and branding.

Clark adds that parole authority adds a level of uncertainty for investors. He says parole authority is totally discretionary for homeland security meaning they can reject or withdraw the authority anytime. "But administratively, bureaucratically there would be more steps that would have to go through, so it gives anybody who's thinking about investing in Guam and putting a hotel up an added measure of security if the tourists are given full visa waiver status."

As for jobs, Clark estimates that for every 250,000 Chinese tourists it would result in close to 4,000 additional jobs on Guam. As for Russia, he doesn't know the exact figures but is working with the Guam Visitors Bureau and the Marianas Visitors Authority to learn more. In the next decade, he estimates a total local spend increase between $1 billion to $2 billion going directly into tourism with a 1.75 multiplier for Guam's tourism satellite account that would bring in $1.8 billion to $3.6 billion of additional economic activities to the island.

The next step is appealing to different countries, organizations, and private institutions to solicit for support and get their message across to our nation's capitol.

In pushing for support, today, Governor Eddie Calvo wrote Federated States of Micronesia president Emanuel Mori, asking for his endorsement of Guam's efforts for the china visa waiver program. The FSM is the only Micronesian country that recognizes China. 

 Buildup News & Politics

 

Written by SHARLA TORRE MONTVEL-COHEN   

Tuesday, November 29, 2011

GUAM – Democrats in the U.S. Senate announced Monday in Washington that they intend to push through legislation that lumps together overdue 2012 appropriations bills -- including ones affecting funding for the Guam military buildup -- into a single, massive omnibus spending package.

Read more...


 

Written by SHARLA TORRE MONTVEL-COHEN   

Monday, November 28, 2011

GUAM – Powerful Republicans in Congress want to reconfigure sequester budget cuts to defense that have become all but imminent since last week's failure by the super committee to produce a deficit reduction plan.

Read more...


 

Written by SHARLA TORRE MONTVEL-COHEN   

Friday, November 25, 2011

GUAM - Nearly two months into the current fiscal year, Congress continues to let slide its decision on a 2012 budget for defense and most other federal agencies. Lawmakers last week passed only three out of a dozen appropriations bills needed to keep the government running, and opted to bridge the gap with yet another temporary funding extension, the third such continuing resolution in since the Oct. 1 start of the fiscal year.

Read more...


 

Written by SHARLA TORRE MONTVEL-COHEN   

Wednesday, November 23, 2011

GUAM – The super committee conceded Monday in Washington that it will not meet its Wednesday deadline to submit a deficit reduction plan, setting the nation on a path to across-the-board budget cuts to U.S. domestic and defense programs, affecting budgets for ten years beginning in fiscal year 2013. The failure could cast a yearlong freeze in the military buildup program meant to prepare Guam to base thousands of Marines from Okinawa.

Read more...


 
 Work ongoing to process 90,000 tax refunds

Posted: Nov 25, 2011, by Ken Quintanilla, KUAM

Guam - By this time next week, the Government of Guam will be getting a huge infusion of cash, as $235 million in bond proceeds will be deposited in government coffers.  With an estimated 90,000 tax refunds to be paid out next weekend, the Department of Revenue & Taxation and the Department of Administration are feverishly working to get the checks out.  

"We've been meeting at least three times so far, last meeting it took us about two hours on how to set up and approach this and we're going to be printing 10,000 a night for the next eight to nine days, and will probably come in on the weekend to make up the difference," said John Camacho, Rev & Tax's director. He says his agency, along with DOA, has been trying to come up with a game plan to deal with the mass distribution of tax refunds next week. 

For Tax Year 2010, Rev & Tax will distribute more than 37,000 checks totaling $93 million.  For 2009, there are more than 28,000 checks totaling more than $56 million.  For 2008, 19,000 checks totaling more than $23 million and another 5,500 checks for 2007 totaling $5 million.  For 2006 and prior years, Camacho says there are 281 checks totaling $387,000.

And while many residents are anticipating an early Christmas present, Camacho says there are some who won't be getting a refund check if they have pending unpaid obligations. "Depending on how much they owe, if the refund is less than the outstanding - for example, child support or GMH, then it would garnish the whole thing but if its less, the difference would go to the taxpayer," he explained.

Camacho anticipates between 8,000 and 10,000 checks will be automated offsets, so 80,000 checks will likely be printed and distributed. "Basically what we're doing right now is we're test running the checks now so there are no errors that moving forward, I think, we've experienced in the past that if we don't do test runs, we might have glitches," he said.

The bond law allows the government to pay out $198 million of taxes and interest.  Early next year, Administration officials will head back to the market in an attempt to pay out the remainder of what's owed in tax refunds.

DOA director Benita Manglona told KUAM News, "We wish we had done this all in this one series because it will cost us less and it's the best interest rate that Guam has ever received. And it's hard to say, but we'll try our best again in series b but we don't know the market condition and what that will be."

Marianas Business Journal

Wednesday, November 30th 2011 11:57 AM Chamorro Standard Time

Guam News

BME & Sons

BME & Sons Inc. has been a part of Guam Contractors Association since 2004. BME & Sons Inc. is a locally owned corporation, established in May 1986.

Buy Local movement works for DZSP

During the last four years DZSP 21 LLC has doubled in size and revenue. DZSP 21 is the operator for the U.S. Navy's Base operating support services contract.

'Guam market big enough for two hospitals'

Guam's health care market is large enough to be served by two hospitals, according to Margaret A. Bengzon, president and chief executive officer of the soon-to-be built Guam Regional Medical City.

Hard Rock Cafe manager files EEOC complaint

A Hard Rock Cafe Guam manager has filed a complaint with the Equal Employment Opportunity Commission claiming that he was dismissed from his job after he cooperated with Guam Police Department investigators in a sexual misconduct case which resulted in the arrest of Hiromichi Takamatsu, vice president and human resources manager of the chain restaurant.

High quality discount shopping is a booming business

OSH Corp. which does business as Sweet Home Care Products, celebrated its grand opening on Nov. 5, according to Ohsung Hung, president.

Infusion location an upgrade to the neighborhood

Infusion Coffee & Tea will open a new location in front of the former Ben Franklin building along Marine Corps Drive in Tamuning, with a tentative grand opening date of Nov. 22

Kosrae island spring water is making its way around the world

Lelu, (pronounced lay-luh) the premium bottled water from Kosrae, is already being distributed in Guam, and the United States.

Matson to be lone U.S. shipper for a while

PITI, Guam - According to Journal sources, Maersk Line's interest in serving Guam has waned.

Military

WASHINGTON, D.C. - U.S. Army Spc. Calvin M. Pereda, 21, died Nov. 12, in Kandahar province, Afghanistan, of injuries suffered after encountering an improvised explosive device while on dismounted patrol in support of Operation Enduring Freedom, according to a release from the Department of Defense.

Military contractors, vendors hit with base access fee

PITI, Guam - The U.S. Navy is implementing a new base access system for contractors, vendors and any entity doing regular business on Navy and Air Force bases on Guam.

New Japanese restaurant moving into Stanlee's

A new dining establishment, En Japanese Restaurant, will soon offer Japanese cuisine in Tumon.

PDI now APDI with new owner, new home

Longtime island contractor, Pacific Drilling Inc., has been acquired by the newly formed Allied Pacific Drilling Inc. effective Sept. 1.

Pietro now Domani

Domani restaurant, previously Pietro Guam which had been in business for six years has canceled its franchise agreement with Pietro and instead has opened a new franchise with Hanabi USA Corp.

Quantum solar plant to power 4,000 households

Quantum Guam Power LLC's proposed solar power plant project will generate more than 40,000-megawatts of energy - enough to support an estimated 4,000 households, according to Dirk Straussfeld, chief development officer of Quantum Guam.

Supreme Court accepts Obamacare Act

WASHINGTON, D.C. - The constitutionality of the Patient Protection and Affordable Care Act also known as Obamacare will be ruled on by the U.S. Supreme Court. The decision to accept the case was made Nov. 14.

GMH's supply shortage raises life-threatening concerns

Posted: Nov 23, 2011, by Mindy Aguon, KUAM

Guam - It's no secret that the financial crisis at the Guam Memorial Hospital has inhibited their ability to provide critical services to the public. The flatlining finances have resulted in vendors putting the hospital on credit hold and the bills keep piling up while money to pay vendors isn't coming in. 

For the last month GMH's Microbiology Department has been experiencing critical supply shortages, resulting in the department having to send specimens out to an external laboratory.  Infectious control committee chair Dr. Annakutty Mathew wrote in a memo last week that this practice has resulted in a domino of complaints and concerns including delayed reporting, increased hospital stays, premature discharges of patients who have positive blood cultures that could result in their death at home and more. 

She stated, "The Microbiology Department plays an integral role in the Infectious Control Program...as a result of resource funding shortfalls, inconsistencies in the availability of supplies to maintain even the basic Microbiology services in the hospital are a major concern."

Dr. Mathew further wrote in the memo that after reviewing Medicare and Joint Commission standards, the Infection Control Committee has determined that the issue is in dire need of intervention and prioritization from hospital leadership.

Countering China, Obama asserts US a Pacific power Associated Press, By BEN FELLER, November 17, 2011

CANBERRA, Australia (AP) — Signaling a determination to counter a rising China, President Barack Obama vowed Thursday to expand U.S. influence in the Asia-Pacific region and "project power and deter threats to peace" in that part of the world even as he reduces defense spending and winds down two wars.

"The United States is a Pacific power, and we are here to stay," he declared in a speech to the Australian Parliament, sending an unmistakable message to Beijing.

Obama's bullish speech came several hours after announcing he would send military aircraft and up to 2,500 Marines to northern Australia for a training hub to help allies and protect American interests across Asia. He declared the U.S. is not afraid of China, by far the biggest and most powerful country in the region.

China immediately questioned the U.S. move and said it deserved further scrutiny.

Emphasizing that a U.S. presence in the Asia-Pacific region is a top priority of his administration, Obama stressed that any reductions in U.S. defense spending will not come at the expense of that goal.

"Let there be no doubt: in the Asia Pacific in the 21st century, the United States of America is all in," he said.

For Obama, Asia represents both a security challenge and an economic opportunity. Speaking in broad geopolitical terms, the president asserted: "With most of the world's nuclear powers and some half of humanity, Asia will largely define whether the century ahead will be marked by conflict or cooperation, needless suffering or human progress."

Virtually everything Obama is doing on his nine-day trip across the Asia-Pacific region has a Chinese subtext, underscoring a relationship that is at once cooperative and marked by tensions over currency, human rights and military might.

China's military spending has increased threefold since the 1990s to about $160 billion last year, and its military recently tested a new stealth jet fighter and launched its first aircraft carrier. A congressional advisory panel on Wednesday urged the White House and Congress to look more closely at China's military expansion and pressed for a tougher stance against what it called anticompetitive Chinese trade policies.

The expanded basing agreement with Australia is just one of several initiatives Obama has taken that is likely to set Beijing on edge at a tricky time. The U.S. is China's second largest trading partner, and the economies are deeply intertwined. Chinese leaders don't want the economy disrupted when global growth is shaky and they are preparing to transfer power to a new leadership next year.

Over the weekend while playing host to Chinese President Hu Jintao and other Pacific rim leaders at a summit in Hawaii, Obama said the U.S. would join a new regional free trade group that so far has excluded China. That added an economic dimension to what some Chinese commentators have called a new U.S. containment policy that features reinvigorated defense ties with nations along China's perimeter, from traditional allies Japan and the Philippines to former enemy Vietnam, all of whom are anxious about growing Chinese power.

China was immediately leery of the prospect of an expanded U.S. military presence in Australia. Foreign Ministry spokesman Liu Weimin said there should be discussion as to whether the plan was in line with the common interests of the international community.

Responding to questions at a news conference Wednesday with Australian Prime Minister Julia Gillard, Obama sought to downplay tension between the world powers. "The notion that we fear China is mistaken," he said.

Obama avoided a confrontational tone with China in his speech to the Australian parliament, praising Beijing as a partner in reducing tensions on the Korean Peninsula and preventing proliferation.

"We'll seek more opportunities for cooperation with Beijing, including greater communication between our militaries to promote understanding and avoid miscalculation," he said.

In a note of caution, however, he added: "We will do this, even as continue to speak candidly with Beijing about the importance of upholding international norms and respecting the universal human rights of the Chinese people."

With military bases and tens of thousands of troops in Japan and South Korea, the United States has maintained a significant military presence in Asia for decades. Australia lies about 5,500 miles south of China, and its northern shores would give the U.S. easier access to the South China Sea, a vital commercial route.

The plan outlined by Obama will allow the United States to keep a sustained force on Australian bases and position equipment and supplies there, giving the U.S. ability to train with allies in the region and respond more quickly to humanitarian or other crises. U.S. officials said the pact was not an attempt to create a permanent American military presence in Australia.

About 250 U.S. Marines will begin a rotation in northern Australia starting next year, with a full force of 2,500 military personnel staffing up over the next several years. The United States will bear the cost of the deployment and the troops will be shifted from other deployments around the world. Having ruled out military reductions in Asia and the Pacific, the Obama administration has three main areas where it could cut troop strength: Europe, the Middle East and the U.S.

All U.S. troops are being withdrawn from Iraq by the end of this year, and a drawdown in Afghanistan is underway. But the Pentagon has said recently that the U.S. will maintain a major presence in the greater Middle East as a hedge against Iranian aggression and influence. A more likely area for troop reductions is Europe, although no decisions have been announced.

The debate over defense budgets is just one aspect of a broader political fight over fixing the nation's debt problem during a presidential election season. Already, the Pentagon is facing $450 billion in cuts over ten years, as part of a budget deal approved last summer. And if a special congressional committee can't agree on $1.2 trillion in more long-term cuts or Congress rejects its plan, then cuts of $1.2 trillion kick in, with half coming from defense.

Australia's Gillard said, "We are a region that is growing economically. But stability is important for economic growth, too." She said that "our alliance has been a bedrock of stability in our region."

Obama's visit is intended to show the tightness of that relationship and he hailed the long ties between the United States and Australia, two nations far away that have spilled blood together

"From the trenches of the First World War to the mountains of Afghanistan_Aussies and Americans have stood together, fought together and given their lives together in every single major conflict of the past hundred years. Every single one," he said.

Obama had a packed day-and-a-half in Australia, his first trip here as president after canceling two previous tries. After addressing Parliament, Obama was flying to the northern city of Darwin, where some of the Marines deploying to Australia next year will be based.

___

Associated Press writers Erica Werner and Rod McGuirk in Canberra and Robert Burns in Washington contributed to this report.

 

Calvo: "Believe in Guam"

Posted: Nov 16, 2011

Believe in Guam

A special address by Governor Eddie Baza Calvo

Merry Christmas, my fellow Guamanians,

Ray and I made a promise to you to pay your tax refunds, and by December 5, we will meet that promise.

I understand how difficult this is for many of you to believe. You've been dealing with empty promises from politicians for two decades. You've been told over and over that a vote for a politician will mean you'll get your tax refunds, and you'll get better government. Those promises were broken over and over again. I understand why you wouldn't believe that Ray and I would keep ours.

I hope the news that your tax refunds are guaranteed to be paid by December gives you hope that you have a government that is getting better… that your leaders keep their promises. Some would call what we did a miracle… but it shouldn't take miracles to give you what you deserve and do what is right.

I have to admit, this wasn't an easy journey to get you your tax refunds. We faced stiff opposition in the legislature. Thankfully, Senators Tony Ada, Frank Blas, Chris Duenas, Judi Guthertz, Sam Mabini, Tina Muna Barnes, Adolpho Palacios, Dennis Rodriguez, Mana Silva Taijeron and Aline Yamashita believed what we believed – that the government shouldn't withhold your tax refunds. Together we proved that we will not yield to political pressure or negativity when it comes to serving the people of Guam

Unfortunately, we missed a huge opportunity. We presented the legislature with a good plan to pay tax refunds through 2011 and all the COLA. After weeks of pushback that didn't make any sense, the amount was cut and the leadership said we could only pay you some of the money. We were devastated by the compromise. We wanted to give it all to you. But, the leadership argued, without any evidence, that we couldn't afford the whole bond. They said there was no way we would get the 5.5 percent interest rate we were telling them we could get on the bond. They said our plan was unworkable and that the future of Guam could be bleak.

The funny thing is that investors throughout California, New York and Boston – on the other side of the world – seemed to think something else. They think, just like we do, that Guam has a bright future. They believe in Guam so much, that out of billions of dollars sold on the bond market today, ours was the hottest ticket. There was so much confidence in Guam, that our interest rate not only was below the 6.5 percent cap, it was below our own 5.5 percent goal. We're getting a record low 4.94 percent interest rate.

To put this into perspective, since 1998, your government has been paying an average of 6.27 percent interest on overdue tax refunds. To all the critics who said this bond would be more expensive than paying down the tax refunds debt over time, or that we were mortgaging the future, I challenge you to do the math. The numbers don't lie.

But more important than any of that – I challenge you to disagree that this is a great thing for struggling families and their children… for our elderly who can barely afford their medication. How can anyone believe that paying back the people what they are owed is a bad thing? The common theme that has resonated through all this is that government leaders need to do a much better job believing in the people of Guam and all they are capable of doing.

This is just the first of many steps we're taking to get this government back on a track to putting your needs first. At the start of the next year, we will head back to the bond market to get the rest of the money you're owed. Success speaks for itself and we're not stopping now. This is a New Direction, a direction you chose for you and your family. This Administration will continue to raise the standards of service. We will not settle for providing the people of Guam anything less than the best.

I believe in you, and I always will. In this season of joy and thanksgiving, I hope that your quality of life improves, and that the steps we have been taking reach your families with the holiday spirit.

Before I sign off, I want to thank my fiscal team for the endless hours, the sleepless nights and the days they've spent away from their families fighting for all of you. In the face of sometimes indecent adversity and intimidation from the legislature, they endured and they never backed down believing in Guam and believing in you. They knew what was right and they never gave up. And with all things given to us, I bow my head in praise to the Good Lord, whose blessings shine upon us on this beautiful day.

Si Yu'us Ma'ase… Si Yu'us en Fan'binendisi… Merry Christmas, and God bless you all.

Bordallo extends invitation to Obama

Posted: Nov 16, 2011, by