JOURNAL

THIRD SPECIAL SESSION

TWENTIETH CONGRESS of the Federated States of Micronesia

PALIKIR, POHNPEI August 2015 PALIKIR, POHNPEI

Convened on Thursday, the 7th of December 2017 Adjourned on Thursday, the 14th of December 2017

JOURNAL

THIRD SPECIAL SESSION

TWENTIETH CONGRESS

OF THE

FEDERATED STATES OF MICRONESIA

February 2017

PALIKIR, POHNPEI

Convened on Thursday, the 7th of December 2017 Adjourned on Thusday, the 14th of December 2017

Compiled by the Office of the Speaker And Printed by Good News Press – Kolonia, Pohnpei

Twentieth Congress of the Federated States of Micronesia

THRID SPECIAL SESSION (December 7th thru December 14th, 2017) TABLE OF CONTENTS SECTION No. Page CERTIFICATION …………………… iii ORGANIZATION Leadership and Membership …………………… iv Standing Committees …………………… v Congressional Offices …………………… vi SUMMARY OF LEGISLATION …………………… vii-ix

DAILY JOURNAL INDEX …………………… xi

DAILY JOURNAL …………………… 2-95

STANDING COMMITTEE REPORTS …………………… 96-111

SPECIAL COMMITTEE REPORTS ...... 112-115

COMMUNICATIONS Presidential Communications …………………… 116-119 FSM Supreme Court Communications …………………… 120-121 Member Communications …………………… 122-123 Departmental Communications …………………… 124-125 Agencies and Governmental Authorities …………………… 126-127 State Communications …………………… 128-129 State Supreme Court Communications …………………… 130-131 Municipal or Town Communications …………………… 132-133 Foreign Government Communications …………………… 134-135 Miscellaneous Communications …………………… 136-137 PRESIDENTIAL VETO MESSAGE …………………… 138-139 CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA ………… 140-156 OFFICIAL RULES AND PROCEDURES OF CONGRESS …………………… 157-193 INDEX OF LEGISLATION Congressional Bills …………………… 195-197 Congressional Resolutions …………………… 198-199

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CERTIFICATION

We hereby certify that the journal for each day’s session, having been either adopted by the whole Congress, or approved by the Speaker after adjournment, as the same appears in this Journal of the Twentieth Congress of the Federated States of Micronesia, Third

Special Session, 2017, is true and correct and that the original thereof has been duly signed by the Clerk of the Congress of the Federated States of Micronesia, and is on file in the

Office of the Speaker.

Wesley W. Simina, Speaker Twentieth Congress of the Federated States of Micronesia

Liwiana Ramon Ioanis, Chief Clerk Twentieth Congress of the Federated States of Micronesia

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA Third Special Session, 2017 PRESIDING OFFICERS

The Honorable Wesley W. Simina Speaker The Honorable Esmond B. Moses Vice Speaker The Honorable Florencio (Singkoro) Harper Floor Leader Liwiana Ramon Ioanis Chief Clerk

MEMBERSHIP I. Senators-at-Large (4-years) Alik L. Alik State of Kosrae David W. Panuelo* State of Pohnpei Wesley W. Simina State of Chuuk Joseph J. Urusemal* State of Yap II. Senators (2-years) STATE OF KOSRAE Paliknoa K. Welly* ED 1: Kosrae

STATE OF POHNPEI Ferny S. Perman ED 1: Kolonia, Sokehs, Sapwuahfik, Nukuoro and Kapingamarangi Dion G. Neth ED 2: Madolenihmw and Kitti Esmond B. Moses ED 3: U, Nett, Mwoakilloa and Pingelap

STATE OF CHUUK Florencio Singkoro Harper ED 1: Mortlock Islands Victor (Vicky) Gouland ED 2: Northern Namoneas Derensio S. Konman ED 3: Southern Namoneas Tiwiter Aritos* ED 4: Faichuk Region Robson U. Romolow ED 4: Halls and Northwestern Islands

STATE OF YAP Isaac V. Figir ED 1: Yap

* Delegation Chairman

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA Third Special Session (December 7th thru December 14th, 2017)

STANDING COMMITTEES

WAYS AND MEANS JUDICIARY AND GOVERNMENTAL OPERATIONS Isaac V. Figir, Chairman Robson U. Romolow, Chairman Ferny S. Perman Isaac V. Figir Victor (Vicky) Gouland (W&M Committee has Tiwiter Aritos Robson U. Romolow no Vice-Chairman, Esmond B. Moses David W. Panuelo based on Rule 6, Dion G. Neth* Joseph J. Urusemal Section 8(c).) Wesley W. Simina Paliknoa K. Welly Paliknoa K. Welly

RESOURCES AND DEVELOPMENT EDUCATION David W. Panuelo, Chairman Joseph J. Urusemal, Chairman Tiwiter Aritos* Florencio (Singkoro) Harper Isaac V. Figir Derensio S. Konman* Victor Vicky Gouland Ferny S. Perman Derensio S. Konman Alik L. Alik Esmond B. Moses Wesley W. Simina Alik L. Alik Esmond B. Moses

EXTERNAL AFFAIRS TRANSPORTATION AND COMMUNICATION Paliknoa K. Welly, Chairman Victor (Vicky) Gouland, Chairman Isaac V. Figir Florencio (Singkoro) Harper Victor (Vicky) Gouland Ferny S. Perman Dion G. Neth* Dion G. Neth Tiwiter Aritos Wesley W. Simina David W. Panuelo Joseph J. Urusemal Robson Romolow* Alik L. Alik*

HEALTH AND SOCIAL AFFAIRS 1. Ferney S. Perman, Chairman 2. Tiwiter Aritos Note: 3. Florencio (Singkoro) Harper * = Committee Vice Chairman 4. David W. Panuelo 5. Derensio S. Konman 6. Joseph J. Urusemal 7. Alik L. Alik*

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA Third Special Session (December 7th thru December 14th, 2017) OFFICE OF SPEAKER PERMANENT STAFF PUBLIC INFORMATION OFFICE Chief Clerk … Liwiana Ramon Ioanis Public Affairs & Protocol Officer.... Lynn Narruhn Assistant Chief Clerk … Jessicalynn Reyes Public Information Officer .... Manuel Yoma Speaker’s Secretary .... Aldeha Edward Vice Speaker’s Secretary .... Consuelo Esiel TEMPORARY STAFF Floor Leader’s Secretary ..... Moria Rufes Pages …… Akina Joseph Journal Clerks .... Shallane Suzumu …… Lori Ann Pernet Sergeant-at-arms … Duwarick Micky …… Ranser Andon …… Kohne James Ramon Jr. INFORMATION TECHNOLOGY OFFICE …… Joyce Mathias ITAdministrator …. Daystone Roby …… Charmerie Rufes Webmaster/IT Specialist …. Jonah Hainrick ...... Random Norman IT Specialist ..... Shane Mackenzie …… Ciandella Aliksa …… Sharilynn Halbert

OFFICE OF LEGISLATIVE COUNSEL LEGISLATIVE COUNSEL PERMANENT STAFF Legislative Counsel ...... T. Lam Dang Secretary …… Rose Donre Staff Attorney ...... Alik Jackson Librarian …… Nercy Syne-Simina ...... Catherine Allen Asst. Librarian …… Vacant ...... Jesse Conner Stutt Archivist …… Mary Kilmete ...... Stephenie Ritland Proofreader …… Paul Womak

OFFICE OF ADMINISTRATION AND BUDGET OFFICE OF ADMINISTRATION OFFICE OF BUDGET Director of Administration …… Suda S. Rayel Budget Officer ……Patrick Mackenzie Administrative Assistant …… Switer Sokin Asst. Budget Officer ……Alfred Ansin Secretaries …… Antelina Zarred Budget & Finance Analyst ……Vacant …… Elise A. Palsis Journal Proofreader …… Jeanda Redy Administrative Specialist …… Rerad Warren Administrative Clerk …… Leeroy Mike Chief of Maintenance …… Liperson Peles Building Maintenance …… Rosenty Nowell Building Maintenance (Temp) …. Isao Mark Building Maintenance (Temp) …. Peterlee Syne Custodian …… Justina Roby Custodian …… Jacky Mark Custodian …… Bihla Tume

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Summary of Legislation

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SUMMARY OF BILLS Twentieth Congress of the Federated States of Micronesia [THIRD SPECIAL SESSION -- 2017] CONGRESSIONAL BILLS ENACTED DURING THE THIRD SPECIAL SESSION CLASSIFICATION Congressional Bills Introduced 16 Congressional Bills Enacted 6 Congressional Bills Disapproved 1 CB. No. Short Title Transmittal President's Date Action C.B. No. To convert unpaid balances of prior loans from the National Government of 12/18/17 Public Law No. 20-54 the Federated States of Micronesia to the National Fisherires Corporation 20-66 Funded, pursuant to Public Law No. 6-69 abd Public Law No. 9-78, into grants for the purposes for which such loads were provided and for other purpuses. (Simina) C.B. No. 20- To appropriate the sum of $4,450,000 from the General Fund of the 11/5/17 VETOED 108, CD1 Federated States of Microensia for the fiscal year ending September 30, Override veto 12/04/1 2018 for the purpose of funding public project and social programs in the 12/08/17 PL. No. states of Yap, Kosrae, Pohnpei and Chuuk and for other purposes 20-60 C.B. No. To amend sections 9 and 12 of Public Law No. 20-42, as amended by Public 12/18/17 Public Law No. 20-121, Law No. 20-54, to subdivide the section 9 line item titled Conservation 20-64 CD1 Society in each stae, and to name the Governor of Chuuk State as the allottee for the Chuuk share of the line iten and to name the Governor of Yap State, as the allottee for the Yap State share of this line item, and for other purposes. (Gouland)

C.B. No. To futher amend Public Law No. 20-53, as amended by Public Law No. 20- 12/13/17 Public Law No. 20-122 57m by amending sections 2, 3, 4 and 5 thereof, to change the use and 20-61 allottee of funds previously appropriated therein, for the purpose of fudning priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk and for other pruposes. (Gouland) C.B. No. To further amend Public Law No. 19-124, as amended by Public Laws Nos. 12/18/17 Public Law No. 20-123 19-133, 19-140, 19-150, 20-05, 20-15, 20-33 and 20-48, by amending 20-63 sections 4 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, to fund priority infrastructure progjects and other programs in the state of Pohnpei and for other purposes. (Neth) C.D. No. To futher amend Public Law No. 18-11, as amended by Public Laws Nos. 12/18/17 Public Law No. 20-124 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11, 20-49 and 20- 20-62 55, by amending section 1 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Pohnpei and for other purposes. (Neth) C.B.No. To amend Public Law No. 20-03, by amending sections 3, 4, 5 and 6 thereof, 12/18/17 Public Law No. 20-125 to change the use and allottee of funds previously appropriated therein, to 20-65 fund public projects and social programs in the states of Yap, Ksorae, and Chuuk and for other purposes. (Gouland) C.B. No. 20-54 and 20-108 were introduced during the First Special Session and Second Special Session and were transmitted during Third Special Session.

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SUMMARY OF RESOLUTIONS Twentieth Congress of the Federated States of Micronesia [THRID SPECIAL SESSION – 2017] CLASSIFICATION Congressional Resolutions Introduced 10 Congressional Resolutions Adopted 7 CONGRESSIONAL RESOLUTIONS ADOPTED DURING THE THIRD SPECIAL SESSION C.R. No. Short Title Adoption Transmittal date Date *C.R. No. Approving and accepting a grant in the amount of $800,000 from 12/13/17 12/18/17 20-58, CD1 the Government of the People’s Republic of china, to subsidize the newly launched Airline between the FSM and Papua New Quinea, including all the termas and conditions of the assistance. (Harper by Rquest) *C.R. No. Approving and accepting a grant in the amount of $3,032,657 12/13/17 12/18/17 20-63 from the U.S. Department of Education for the Federal Fiscal year 2018 fund under Part B of the Individuals with Disabilities Education Act, indlcuding all the terms and conditions of the assistance. (Harper by request) C.R. No. Approving and accepting a grant in the amount of $5,500,000 12/12/17 12/13/17 20-68 from the World Bank rinanced projects, including the terms and conditions of the assistance. (Harper by request) C.R.No. Approving and accepting a grant in the amount of $500,000 from 12/12/17 12/13/17 20-69 the U.S Department of Interior, Office of Insular Affairs, to fund the FSM Single Audit for FY2017 as required under the Amended Compact, including all the terms and conditions of the assistance. (Harper by request) C.R. No. Expressing the sincere congratulations and appreciation to 12/13/17 12/18/17 20-72 Bishop Amando Samo for his dedicated work as a Bishop of the Diocese of the Caroline Island on the Thirteen Anniversay of his being ordinated as Bishop. (Simina) C.R. No. Approving and accepting a grant from the United Nations 12/13/17 12/18/17 20-73 Childrne’s Fund (UNICEF) in the amount of $39,667 to fund and support the FSM’s project entitled: “Expand Programme on Immunization” in the FSM, including all the terms and conditions of the assistance (Urusemal by request)

C.R. No. Approving and accepting a grant from the Government of the 12/13/17 12/18/17 20-74 People’s Republic of China in the amount of $1,200,000 to support the operation of the Y12 Aircraft, including all the terms and conditions of the assistance. (Urusemal by request)

*C.R. No. 20-58 & C.R. No. 20-63 were being introduced during the Second Special Session, but were now adopted during the Third Special Session.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Daily Journal Index

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Twentieth Congress of the Federated States of Micronesia

THIRD SPECIAL SESSION

(December 7th thru December 114th, 2017)

DAILY JOURNAL INDEX Day Page No. 1. Thursday, December 7, 2017…..………………………………………………………2-13 2. Friday, December 8, 2017………………………………………………………….. ….14-29 3. Saturday, December 9, 2017 …………………………………………………………. 30-34 4. Sunday, December 10, 2017 NO SESSION 5. Monday, December 11, 2017 ………………………………………………………… 35-43 6. Tuesday, December 12, 2017 ………………………………………………………… 44-64 7. Wednesday, December 13, 2017……………………………………………………… 54-82 8. Thursday, December 14, 2017 ……………………………………………………….. 83-95

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Daily Journal

1

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

OPENING DAY Thursday, December 07, 2017

The Opening Day of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:18 a.m., Thursday, December 07, 2017.

Speaker Wesley W. Simina presided.

Speaker Simina: Pursuant to article IX, section 16, of the Constitution of the Federated States of Micronesia and title 3, section 201, of the Code of the Federated States of Micronesia, and as set forth in the Official Rules of Procedure of the Congress of the Federated States of Micronesia, I hereby call the Twentieth Congress of the Federated States of Micronesia, Third Special Session to order.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Twelve Members were present; Chairman Romolow and Senator Neth were excused.

Floor Leader Harper moved to dispense with the reading of the Journal; Chairman Urusemal seconded, and the motion carried by voice vote.

APPOINTMENT OF COMMITTEE TO WAIT ON THE PRESIDENT

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:20 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:21 a.m.

Speaker Simina: Congress comes back to session. The following will serve on the Committee to Wait on the President: Chairman Panuelo from Pohnpei will be the chairperson. Members will be Chairman Urusemal from Yap, Chairman Gouland from Chuuk and Chairman Welly from Kosrae. Please consult with the President’s Office as for the time and place of your meeting. Next item.

PRESIDENTIAL COMMUNICATIONS

-No. 20-149 - (dated and received 11/06/17) – Designating Congressional Act No. 20-54 as Public Law No. 20-54: “To amend sections 1, 8 and 9 of Public Law No. 20-42 by appropriating $9,333,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, to provide funding for the set-up and operations costs of a Consulate on the West Coast of the United

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

States for the FSM Trust Fund, and for the Telecommunications cable project; to make a technical corrections, and for other purposes.

-No. 20-150 - (dated 11/29/17 and received 11/30/17) – Transmitting (the attached) 2nd Five- Year Review Report of the Compact of Free Association (CFA) between the FSM and the United States.

-No. 20-151 - (dated 11/29/17 and received 11/30/17) – Transmitting a bill to appropriate $2,500,000 to fund the dry-docking of M/V Chief Mailo Hapilmohol and the costs associated with his dry-docking operation.

-No. 20-152 - (dated 11/29/17 and received 11/30/17) – Designating Congressional Act No. 20- 60 as Public Law No. 20-55: “To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11 and 20-49, by amending section 1 thereof, to change the use of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.”

-No. 20-153 - (dated and received 12/04/17) – Transmitting a proposed resolution approving the receipt of the $5,500,000 grant from the World Bank as evidenced by the Advance Agreement for the Preparation of Proposed World Bank Financed Projects - copy attached.

-No. 20-154 - (dated and received 12/04/17) – Transmitting the nomination of Mr. Peter Garamfel to serve for another term as member of the NORMA Board representing Yap State.

-No. 20-155 - (dated and received 12/04/17) – Transmitting the nomination of Mr. Joe-Silem B. Enlet to serve as FSM Consul General in Portland, Oregon.

-No. 20-156 - (dated and received 12/04/17) – Designating Congressional Act No. 20-58 as Public Law No. 20-56: “To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99, 19-119, 19-129, 19-136, 19-144, 19-173 and 20-04, by amending section 5 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Chuuk, and for other purposes.”

-No. 20-157 - (dated and received 12/04/17) – Designating Congressional Act No. 20-55 as Public Law No. 20-57: “To amend Public Law No. 20-53, by amending the title, sections 1, 2, 3, 4 and 5 thereof, to appropriate additional $500,000, for the purpose funding priority infrastructure projects and other projects and programs, and change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.”

-No. 20-158 - (dated and received 12/04/17) – Vetoing Congressional Act No. 20-59: “To appropriate the sum of $4,450,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.”

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

-No. 20-159 - (dated 12/04/17 and received 12/05/17) – Designating Congressional Act No. 20- 56 as Public Law No. 20-58: “To further amend Public Law No. 19-10, as amended by Public Laws Nos. 19-26, 19-42, 19-51, 19-56, 19-72, 19-78, 19-96, 19-132, 19-163, 20-03 and 20-25, by amending section 3 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Kosrae, and for other purposes.”

-No. 20-160 - (dated and received 12/05/17) – Designating Congressional Act No. 20-57 as Public Law No. 20-59: “To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19-130, 19-142, 19-145, 19-158, 20-09 and 20-22, by amending section 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Chuuk, and for other purposes.”

-No. 20-161 - (dated 12/04/17 and received 12/05/17) – Urging Congress to take action on C.B. No. 20-30, which is seeking an appropriation of $725,000 to pay for the emergency services rendered in connection with the grounding of Pingda 7 and the removal of ammonia aboard the ship.

-No. 20-162 - (dated 12/04/17 and received 12/05/17) – Transmitting a resolution accepting the $500,000 grant from the Office of Insular Affairs to fund the FY 2017 Single Audit as required by the Amended Compact.

-No. 20-163 - (dated and received 12/05/17) – Transmitting a bill to amend the Financial Management Act.

-No. 20-164 - (dated 12/05/17 and received 12/06/17) – Transmitting a resolution adopting the FSM Monitoring, Control and Surveillance (MCS) and By-catch Data Collection Project between National Oceanic Resource Management Authority (NORMA) and the Chinese Taipei Trust Fund (the “CTTF”) for consideration during this 3rd special session.

Speaker Simina: Assign those, Chief Clerk.

Floor Leader Harper: Point of privilege, Mr. Speaker.

Speaker Simina: State your point, Floor Leader.

Floor Leader Harper: Thank you, Mr. Speaker. I rise on a point of privilege to take this opportunity to introduce government officials and other dignitaries who are in observance of our session this morning. If I may, Mr. Speaker, I would like to start off with our own Vice President, the Honorable Yosiwo P. George. Let’s give him a round of applause (applause). I understand that a few of the Cabinet members, other heads of the offices and agencies are also here observing our session. I may not be able to specifically say each of their names but let me just ask that we give them a collective recognition by giving them a big round of applause (applause). Mr. Speaker, we are also happy and fortunate to have members of our diplomatic community who are here with us this morning. Let me start off with his Excellency Ambassador Ryoichi Horie from Japan Embassy (applause). Here with us is Madame Li, Chargé d’Affairs from the Chinese Embassy (applause). Furthermore, we also have with us Mrs. Eliza

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

Woolcock, Chargé d’Affairs from the Australian Embassy (applause). Down the list, we also have Mr. Gary Bloom, my relative, the Area Director of the Rural Development Bank, representing the U.S. Embassy (applause). On the list, we are also happy and fortunate to have with us the President of COM- FSM Joseph, not Joseph Urusemal, but Joseph Daisy (applause). Thank you, Mr. Speaker. I now yield the floor to other Members who may also introduce other dignitaries whom I may have been missing. Thank you.

Speaker Simina: Thank you, Floor Leader Harper. Chairman Welly, you have the floor.

Chairman Welly: Thank you, Mr. Speaker. Good morning to you, Members, and everybody in the gallery this morning. I bring you greetings and advance Merry Christmas from the island of angels also called, “Island of the Sleeping Lady.” Our Vice President has already been introduced so I will introduce other Kosraeans that are in the gallery this morning. We have Secretary of Education, Kalwin Kephas, and also Postmaster General, Ginger Mida. (applause)

Speaker Simina: Any other points of privileges? Chairman Panuelo?

Chairman Panuelo: Thank you, Mr. Speaker. Good morning to all Members who are here and to those who are observing from the gallery. I join our good Floor Leader and Chairman Welly in recognizing those who are here and wishing a happy holiday to our Vice President, the Cabinet and the diplomats who are here. I join in recognizing the presence of our officials here. Mr Speaker, just a few individuals from around Pohnpei – if I could on behalf of our delegation – also welcome them. Let us recognize the presence of the Chief Minister of U, Dahker Abraham. He is present here. Let us give him a round of recognition (applause). We have Sokehs Councilman, Kendy Ikosia. I recently ran into him. He was shovelling coral to make sure he covered the potholes while waiting for the permanent pavement or seal for the Sokehs road. Let us give him a round of recognition as well, Mr Speaker (applause). We have the Vice Speaker of U Municipal Government, Benjamin Amor who is also working at PTA; and Mr. Speaker, I know Pohnpei provided $300,000 for the capital road and I hope that it can reach our area here. He assured me that it would be done so let us see if he will deliver his promise. Let us give him a round of recognition please (applause). We also have a councilman from U, Rophino Primo, who is here. Let us recognize him (applause). We also have Bellan Yoma from the FSM Supreme Court. This is the list of the individuals who are here. Let us give them a round of recognition, Mr. Speaker (applause). And Mr. Perman Aldis who is our tourism in charged individual with the Department of R&D. I know he is very busy with going around the state government trying to get the priorities of the funds of the states in tourism that we put up for the states to improve the tourism sites and historic sites in our FSM states. Let us recognize him for the good work he is doing (applause). Thank you very much, Mr. Speaker, and I wish you all a happy holidays during this joyous season. Kalahngan.

Speaker Simina: Thank you, Chairman Panuelo. Any other points of privilege? If none, we can always recognize you later on. Next item, Chief Clerk.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

DEPARTMENTAL COMMUNICATIONS

-No. 20-29 - (dated 11/24/17 and received 11/27/17) – From Mrs. Sihna N. Lawrence, Secretary, Department of Finance & Administration, submitting the Accounting Fund Report, and the Budget Status Report.

-No. 20-30 - (dated 11/24/17 and received 11/29/17) – From Mrs. Sihna N. Lawrence, Secretary, FSM Department of Finance & Administration, submitting an updated Fiscal Year 2018 Revenue Projection and balance of funds.

-No. 20-31 - (dated 12/05/17 and received 12/06/17) – From Mr. Lukner B. Weilbacher, Secretary, FSM Department of Transportation, Communication & Infrastructure, transmitting the FSM ICT Project update.

Speaker Simina: Assign those, Chief Clerk. Next item.

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

-No. 20-11 - (dated 11/14/17 and received 11/20/17) – From Director of the Department of Education, Pohnpei State Government, Mr. Churchill, thanking Speaker for his contribution to the 1st Annual Student Leadership conference, which took place on 11/09/17.

Speaker Simina: Assign that. Next item.

SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

None

SPECIAL COMMITTEE REPORTS

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-38.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-38, DAY 01, THURSDAY, 12/07/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-110 To name the FSM Trust Fund as the David W. Panuelo Trust W&M Fund, and for other purposes. 20-111 To amend section 106 of title 55 of the Code of the W&M Federated States of Micronesia (Annotated), as amended, to require that, in each fiscal year, no appropriations shall be made to the “Grants, Subsidies and Contributions” and “Capital and Human Resources Development” sections of the National Budget unless a minimum of $20,000,000 has been appropriated to the FSM Trust Fund of the same fiscal year, according to a specific formula, and for other purposes. 20-112 To appropriate $3,400,000 of additional funds from the W&M General Fund of the Federated States of Micronesia for the fiscal year ending September 30,2018, for the purpose of purchasing real property in Guam, and for other purposes. 20-113 To amend the Code of the Federated States of Micronesia by J&GO creating a new title 13 thereof, for the purpose of establishing the procedures to be followed by the National Government of the Federated States of Micronesia in exercising its power of eminent domain, and for other purposes. 20-114 To amend section 117 of title 52 of the Federated States of J&GO Micronesia (Annotated), as amended, to exempt the Assistant Chief Clerk of Congress, the Technology Administrator and the secretaries to the Floor Leader and to the Legislative Counsel of the Congress from the Public Services System Act, to make a technical amendment to the title of the position of the Chief Clerk of Congress, and for other purposes. 20-115 To create a new section 141 (5) to sub-chapter VI of title 54 J&GO of the Code of the Federated States of Micronesia (Annotated), as amended, to provide for a National Minimum Wage, and for other purposes. 20-116 To propose an amendment to the Constitution of the J&GO Federated States of Micronesia, for the purpose of

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

guaranteeing the representation of women in Congress by creating, as a temporary special measure, additional seats in Congress, and for other purposes. 20-117 To further amend title 24 of the Code of the Federated States R&D of Micronesia (Annotated), as amended, by adding a new section 125, authorizing the President of the Federated States of Micronesia to bid out the fishing resources of the Exclusive Economic Zone, and for other purposes. 20-118 To further amend title 55 of the Code of the Federated States W&M of Micronesia (Annotated), as amended, by inserting a new section 1209 A, to vest all powers of the FSM Trust Fund Board of Directors in the President of the Federated States of Micronesia while the Board of the FSM Trust Fund is not constituted, subject to certain conditions, and for other purposes. MEMBER COMM. NO. SUBJECT COMMITTEE

20-12 (dated and received 11/03/17) – From the Hon. Speaker INFO. Simina, reporting on the outcome of the 137th IPU Assembly, which was held in St. Petersburg, Russia Federation, from October 13 through the 19th, 2017.

Speaker Simina: Chairmen and members of the Committees, take note make your plans accordingly. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

None

RESOLUTION CALENDAR

None

INTRODUCTION OF BILLS

C.B. No. 20-111: Introduced by: Speaker Simina Assigned to: W&M Date introduced: December 07, 2017

To amend section 106 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, to require that, in each fiscal year, no appropriations shall be made to the “Grants, Subsidies and Contributions” and “Capital and Human Resources Development” sections of the National Budget unless a minimum of $20,000,000 has been appropriated to the FSM Trust Fund for the same fiscal year, according to a specified formula, and for other purposes.

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

C.B. No. 20-112: Introduced by: Speaker Simina Assigned to: W&M Date introduced: December 07, 2017

To appropriate $3,400,000 of additional funds from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, for the purpose of purchasing real property in Guam, and for other purposes.

C.B. No. 20-113: Introduced by: Speaker Simina Assigned to: J&GO Date introduced: December 07, 2017

To amend the Code of the Federated States of Micronesia by creating a new title 13 thereof, for the purpose of establishing the procedures to be followed by the National Government of the Federated States of Micronesia in exercising its power of eminent domain, and for other purposes.

C.B. No. 20-114: Introduced by: Speaker Simina Assigned to: J&GO Date introduced: December 07, 2017

To amend section 117 of title 52 Code of the Federated States of Micronesia (Annotated), as amended, to exempt the Assistant Chief Clerk of Congress, the Technology Administrator and the secretaries to the Floor Leader and to the Legislative Counsel of Congress from the Public Service System Act, to make a technical amendment to the title of the position of the Chief Clerk of Congress, and for other purposes.

C.B. No. 20-115: Introduced by: Speaker Simina Assigned to: J&GO Date introduced: December 07, 2017

To create a new section 141 (5) to sub-chapter VI of title 54 of the Code of the Federated States of Micronesia (Annotated), as amended, to provide for a National Minimum Wage, and for other purposes.

C.B. No. 20-116: Introduced by: Speaker Simina Assigned to: J&GO Date introduced: December 07, 2017

To propose an amendment to the Constitution of the Federated States of Micronesia, for the purpose of guaranteeing the representation of women in Congress by creating, as a temporary special measure, additional seats in Congress, and for other purposes.

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

C.B. No. 20-117: Introduced by: Speaker Simina Assigned to: R&D Date introduced: December 07, 2017

To further amend title 24 of the Code of the Federated States of Micronesia (Annotated), as amended, by adding a new section 125, authorizing the President of the Federated States of Micronesia to bid out the fishing resources of the Exclusive Economic Zone, and for other purposes.

C.B. No. 20-118: Introduced by: Chairman Figir Assigned to: W&M Date introduced: December 07, 2017

To further amend title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by inserting a new section 1209 A, to vest all powers of the FSM Trust Fund Board of Directors in the President of the Federated States of Micronesia while the Board of the FSM Trust Fund is not constituted, subject to certain conditions, and for other purposes.

C.B. No. 20-119: Introduced by: Floor Leader Harper (By request) Assigned to: W&M Date introduced: December 07, 2017

To appropriate the sum of $2,500,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, in order to fund the dry-docking of M/V Chief Mailo and M/V Hapilmohol, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-65: Introduced by: Chairman Figir Assigned to: NONE Date introduced: December 07, 2017

Setting the ceiling of the total funds estimated to be available for appropriation from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30, 2018.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:31 a.m., subject to the call of the Chair.

RECESS

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

The Congress reconvened at 10:32 a.m.

Speaker Simina: Congress comes back to session. Do you have any miscellaneous business? Chairman Urusemal?

Chairman Urusemal: Thank you very much, Mr. Speaker. I also wish to bring greetings from the state of the un-expendable stone money and best wishes for the Holidays. Yes, Yap is no longer sleeping. It is fully awake and ready to do business. But Mr. Speaker, I also want to thank you for giving me and one of your legal staff the opportunity to visit Japan, certain places in Japan about a week ago or two at the invitation of APIC and, of course, our friends from Japan. I themed the trip as a very successful visit. We were able to meet with certain officials of the Japanese Government, especially our FSM Japan Friendship League. We met with the Chairmen and a few of the members of that group. We conveyed our greetings to them and also invited them, on your behalf, to visit the FSM. We also met with the Vice Chairman of the Foreign Affairs in the parliament. We talked about certain issues but most especially the one pertaining to North Korea. We assured the Vice Minister and our friends that the FSM is supportive of the effort to bring that problem to a peaceful conclusion, especially the nuclearization of the Korean tension. APIC is the association for promotion of the international cooperation, which the President of that organization of a former ambassador from Japan to the People’s Republic of China. His name is Peter Sado. Just like the Executive Director who was the Ambassador of that Government to the FSM, Sado. We met with both of them. We hand delivered the resolution adopted by Congress to Mr. Sakamoto in the presence of his spouse. I thought that was a very good gesture on our part recognizing the effort of that individual and of the APIC and all the people who have contributed to this program that is sponsoring students from one of our high schools to study at Sophia University. We were also able to meet the officials at both universities. We hope that the discussions that we started will go up to next level by having more students sponsored by the scholarship program but most especially having our own college, the College of Micronesia-FSM to enter into an articulation with Temple University in Japan for our students from COM-FSM. after completing the two years program, to enroll at that university. I personally visited both campuses and really think that it’s a good effort. I believe our students, those that go to school there, will be able to complete their college programs as the government and the schools were not allowing students just to sit around and do nothing. If they are not passing the grades, they would come back. They cannot stay in Japan and work, which is a good sign so they can concentrate of finishing up their schools. So, I thought I just bring that up especially with the Ambassador from Japan sitting in the gallery to express our appreciation to the APIC and to Japan for the visit and we hope that, that will improve – the people to people relations between our two countries and most especially our young increasing the exchanges between our young people of the FSM and Japan. Thank you very much, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal for the summary of your trip. I hope it can be put in a report so we can read it some more. On that program, yes, I think your Committee should continue to pursue it with the college and our Department of Education. Any other miscellaneous business? If none, Announcements.

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

ANNOUNCEMENTS

Speaker Simina: Chairman Welly. I am sorry. Let’s go first with our Committee to Wait on the President. Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker. I have consulted the Vice President on behalf of the Committee. The meeting will be at 1:00 p.m., this afternoon, at the President’s Conference Room. I urge that Members join the Committee to Wait at that time. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Take note, members of the Committee to Wait on the President. The place is at the President’s Office. Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. There is no announcement from your Committee on External Affairs but there is announcement for the Kosraeans working for Congress. Since we are going to have the Christmas for Congress, the Kosraeans will practice singing tomorrow at noon. Thank you.

Speaker Simina: Thank you, Chairman Welly. We always look forward to the beautiful voices of our Kosraean friends. Thank you for that announcement. Chairman Figir. Chairman Alik.

Chairman Alik: Thank you, Mr. Speaker. No announcements at this time.

Speaker Simina: Thank you. Chairman Perman.

Chairman Perman: No announcements, Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: No announcements.

Speaker Simina: Chairman Gouland. Chairman Urusemal.

Chairman Urusemal: Since we are in season of advance, I would like to give an advance notice for the Education Committee to meet on Monday afternoon, starting at 1:30 p.m. It’s an oversight meeting with the Department of Education on everything and anything under that Department but most especially the programs that are on-going including the AA grants, ADB and Australian grants, to FSM - $8.3 million. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. Take note, members of Education Committee, of that hearing on Monday. Vice Speaker? Senator Aritos. Senator Konman. Before I give it to Floor Leader, I just want to announce that we will have a short get together right after session in our Lounge to look at what we are going to do in this Special Session. Floor Leader, do you have any announcement? Then, make your usual motion.

Floor Leader Harper: Thank you, Mr. Speaker. There is no announcement from this chair but I am now ready to make the motion that we go into recess and come back at 10:00 a.m., tomorrow morning.

Chairman Urusemal: Second.

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December 07, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 3SS – 20CFSM

Speaker Simina: It has been moved and seconded that we stand in recess until tomorrow at 10:00 a.m., in the morning. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress now stands in recess until tomorrow at 10:00 a.m., in the morning.

Speaker Simina declared that the Congress stand in recess at 10:43 a.m., Thursday, December 07, 2017, until tomorrow, Friday, December 08, 2017, at 10:00 a.m.

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

DAY TWO Friday, December 08, 2017

The Second Day of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:22 a.m., Friday, December 08, 2017.

Acting Speaker Esmond B. Moses presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Twelve Members were present; Chairman Romolow and Speaker Simina were excused.

Floor Leader Harper moved to dispense with the reading of the Journal; Chairman Urusemal seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS

-No. 20-165 - (dated 12/06/17 and received 12/07/17) – Due to additional internal analysis and research he is recalling C.B. No. 20-99 and will transmit the updated proposed legislation when it is ready.

-No. 20-166 - (dated 12/06/17 and received 12/07/17) – Transmitting the nomination of Ms. Yuko Nakasone to serve as a member of the Board of the National Oceanic Resource Management Authority (NORMA) representing the State of Pohnpei.

Acting Speaker Moses: Assign those Communications. Next item.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

-No. 20-32 - (dated 12/06/17 and received 12/07/17) – From the Hon. Lorin S. Robert, Secretary, Department of Foreign Affairs, presenting compliments and sharing Diplomatic Note 17-0216 from the U.S. informing of its Annual Christmas Drop mission for the outer islands of Pohnpei, Chuuk and Yap from December 6-19, 2017, along with the schedule of drops.

Acting Speaker Moses: Assign that. Next item.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

The Chief Clerk called attention to Awaiting List No. 20-18.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION DECEMBER 07, 2017 TO DECEMBER 16, 2017

R E P O R T S A W A I T I N G R E Q U I R E M E N T S

NO. 20-18, 2ND DAY , FRIDAY, DEC. 08, 2017, AT 10:00 A.M. REPORTS SUBJECT DATE AND TIME SCR No. 20-42 RE: C.A. No. 20-59 (P.C. No. 20-158) – VETO OVERRIDE, 12/08/17 @ 10:00 a.m. “And act to appropriate the sum of $4,450,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk. – Submitted by: W&M Committee.

Acting Speaker Moses: Members, please take note. Chairman Figir.

Chairman Figir: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:25 a.m., subject to the call of the Chair.

RECESS

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

The Congress reconvened at 10:27 a.m.

Acting Speaker Moses: Congress comes back to session.

Floor Leader Harper: Mr. Acting Speaker.

Acting Speaker Moses: Floor Leader.

Floor Leader Harper: Thank you, Mr. Acting Speaker. If proper and necessary, I move that we go down to item number Fifteen, Special Committee Reports.

Chairman Urusemal: Second.

Acting Speaker Moses: It has been moved and seconded that we move to item number Fifteen. Any discussions? If none, we shall vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. We are now on item Fifteen which is the Special Committee Reports.

SPECIAL COMMITTEE REPORTS

Acting Speaker Moses: Chairman Panuelo.

Chairman Panuelo: Mr. Acting Speaker, good morning to you, Members, and those who are observing from the gallery. Mr. Acting Speaker, I move that Special Committee Report No. 20-07 be adopted. I so move.

-No. 20-07 - By the Hon. David W. Panuelo, Chairman, Committee to Wait on the President.

Chairman Figir: Second.

Acting Speaker Moses: It has been moved and seconded that Congress adopt Special Committee Report No. 20-07. Discussions? Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Acting Speaker. Your Committee to Wait on the President met with the Vice President and the Cabinet members yesterday. The Committee consisted of four members: Chairman Welly, Chairman Urusemal, and Chairman Gouland, including myself. When we met with the Vice President, the agenda items prepared were kind of aligned with what we, Members, discussed on which are the important and urgent items that will be brought up during this session. The first item is the Air Niugini Resolution transmitted to Congress for the $800,000 grant provided by China to continue the subsidy of Air Niugini. Discussions were held on that with the Vice President and the Cabinet. Your Committee to Wait reported that we will expedite the adoption of the resolution during this session. It was discussed that there is proposed changes to the schedule but that will be confirmed to Congress. They are proposing to bring in a slightly bigger aircraft and do a schedule that will be reduced from twice a week to once a week schedule, but that is not confirmed. I think we referred to the Committee of T&C to hold further public hearings on that to confirm the information with the proposed change. The other agenda item that was brought up was the transmission of one resolution to approve a grant of $5,500,000 from World Bank with the advance agreement for preparation for World Bank finance projects. This is on the IDA eighteen. The funding from World Bank to the FSM for a three-year cycle that will be implemented over the next three years, and it has been reported in the Committee to Wait that the sectors are listed there. The first sector is energy. And I think the allocation is $25,000,000 for energy. The second is marine transportation and the allocation is $19,000,000 and the third item is ICT and if I am

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM not mistaken the allocation is $12,000,000 and the final sector is financial management and the allocation is $7,000,000 which is the amount of money to help design the projects that will be forthcoming from IDA eighteen. Again, we reported to the Vice President that the respective committees who hold hearings which was held this morning and I thank that the Chairman of Ways and Means. So I believe that report will be forthcoming for the adoption of this $5.5 million dollars. Mr. Acting Speaker, the third item is resolution to accept grant from the U.S. Department of Interior. It has also been transmitted to Congress to help with the expenses in the single audit. As we all know, this is a requirement under the Compact so it is a straightforward expense that is appropriated by Congress on an annual basis. The fourth action that was discussed by your Committee to Wait on the President was the proposed amendments to the Foreign Investment Act, and they are requesting that we give priority to this item. Speaker and Members, you will recall that your Committee on R&D have taken out this item to all of the four states and the reason why your committee has ended up with this particular bill is because the states requested that we hold up to get their input as we move on an active bill. So that is what we reported, Mr. Acting Speaker. The fifth item is the proposed amendments to the Financial Management Act. This morning your Committee on Ways and Means also held hearings with Finance and their respective witnesses and they presented that there are proposed changes that they are making to the Financial Management Act but the details can be discussed later but they are merely proposing to change certain sections of the law to increase – from $1,000 to 3,000, purchase of personal property from $1,000-20,000 to 3,000-49,999. And the other proposed amendment is to make allottees accountable for the representation funds and that is to the officials of the FSM National Government. The sixth item that was discussed on the agenda, Mr. Acting Speaker, is the other important projects that the executive is asking and that includes the dry-docking of vessels H1 and Chief Mailo, and the $725,000 for the removal of the hazardous materials from the Pingda vessel that was grounded. Other items that were previously discussed included the status of Compact funded infrastructure projects and the Chuuk road was brought up and was discussed in some detail, and the good Chairman of TC&I was there and I think there was a good exchange between the Cabinet and your Committee to Wait. Other projects included request for funding on antibiotics to fight rheumatic heart disease in children. Your Committee has requested the Committee of H&SA engage in further hearings to review any money assessment that needs to be done throughout the FSM. And the approval of additional funds under the U.S. Education Supplemental Grant the SEOG and the second five-year review on for the amended Compact. Mr. Acting Speaker, these are the highlights of the discussion. I request and ask that other members of the Committee to Wait supplement my oral report or summary to the report that is submitted. So, this is what I can share with what transpired the Vice President’s Cabinet yesterday. Thank you and I ask that other Members supplement my summary. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Panuelo, for your report. Any further discussion? Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Acting Speaker. As you indicated, the Chairman of the Committee summarizes them. There is a good summary of what took place during the meeting yesterday, which went almost to 4:00 p.m. But I just like to highlight two items that specifically pertains to your state of Yap. One is related to dry-docking and new vessel that is being sought for the government of the People’s Republic of China to provide to the FSM for using in Yap. When asked how long the project will take place, it was pointed to the committee that it will take two years which is a little bit different than ten months that the people were informed that it will take for the new vessel to be constructed. Relating to the dry-docking, yes, and the secretary indicated that they have found dry-docking facilities in PI (Philippines) that would do the dry-docking and the cost is indicated in the report of $2,000,000 for two vessels. It is very interesting indeed. And the other issue is on the ODA from the government of Japan. When asked, it was pointed during the meeting by no other than the Secretary of Department of Foreign Affairs that the next item under ODA or the ODA grant from Japan should address projects in Yap. When asked about the status of request from the state for a vessel, we were informed of a new vessel from China

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM as well as another vessel coming. I’m not sure where it comes from. These are the items that I would like to highlight in the discussion that I do not seem to see in the report except for the dry-docking. Thank you, Mr. Acting Speaker.

Chairman Panuelo: Speaker.

Acting Speaker Moses: Thank you, Chairman Urusemal. Chairman Panuelo?

Chairman Panuelo: Speaker, I left a few items and I would like to cover them. I knew that reading the report but because they were not itemized I did not mention them. The other items that the Committee to Wait on the President discussed was, of course, the nominations. The nominations of Alex Naruhn for the FSM Trust Fund National Government Representative which was transmitted from the President and it is before Congress right now; of course the second nomination is Mr. Joe B. Enlet who is the nominee for our new Consulate Office in Portland, Oregon. And the third nomination is Peter Garamfel and Ms. Yuko Nakasone. These are the nominations for NORMA for the renewal of their membership. I want to highlight, Mr. Acting Speaker, that when we discussed the nomination for the Alex Naruhn for the FSM Trust Fund, it was brought to us of information that the nominations of other state members on the board of the FSM Trust Fund. We understood that the information was contrary to what we comprehended from our meeting. There was an amendment that was made to the FSM Trust Fund – I do not know when but that amendment basically changed the nominations so that now the nominations are to be nominated by respective governors of the four states and with the advice and consent of the respected legislator. That was the information that was reported to your Committee to Wait by the Chief of Staff. So I think that is known now. The other item I left out, Mr. Acting Speaker and Members is the Operational Budget for Y12. The supposed operational budget is 1.5 million and your Committee asked about the fares they planned to implement. The secretary of TC&I reported that they are working it and that will be transmitted to Congress for our information. And lastly, as you can see, when the Vice President proposed for their topic of discussion with your Committee to Wait, their first item was supplemental budget request. Of course, I asked them if there is any available funding because we know that now it would be fruitless to submit supplemental knowing that our revenue projection could be very low at the moment. Thank you, Mr. Acting Speaker. This is what I wanted to add to the earlier summary I made to the committee.

Acting Speaker Moses: Thank you, Chairman Panuelo. Short recess.

Acting Speaker Moses declared the Congress recessed at 10:42 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:43 a.m.

Acting Speaker Moses: Congress comes back to session. There is now a motion before us to adopt Special Committee Report No. 20-07. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is adopted. We have now adopted Special Committee Report No. 20-07. If there is no objection, let us go back to item number Fourteen, Standing Committee Reports.

STANDING COMMITTEE REPORTS

Acting Speaker Moses: Chairman Figir, you have the floor.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Senator Neth: Point of privilege, Mr. Acting Speaker.

Acting Speaker Moses: State your point.

Senator Neth: Thank you, Mr. Acting Speaker. I want to ask that we recognize the popular Luhkenmoalap of Kitti who is observing the session, the Honorable Tony Sarapio (applause).

Acting Speaker Moses: Thank you. It is always nice to see the Chief Executive attending our session. Although we like more citizens to pack our gallery but it is during working days and everybody is busy. Any more points of privilege?

Floor Leader Harper: Mr. Acting Speaker.

Acting Speaker Moses: Floor Leader Harper, you have the floor.

Floor Leader Harper: Thank you, Mr. Acting Speaker. I would like to follow suit in introducing two of my constituents who are observing our session this morning. They are Lesley Cheita from the island of Ta and Soblan Biset from the island of Nama. Let us give them a round of applause please.

Acting Speaker Moses: Thank you. It is always nice to have especially people from other states attending our session. Chairman Figir, you have the floor.

Chairman Figir: Thank you. I move to place Standing Committee Report No. 20-42 on the Standing Committee Reports Calendar for action.

Senator Konman: Second.

Acting Speaker Moses: It has been moved and seconded that Congress place Standing Committee Report No. 20-42. Any discussions?

Floor Leader Harper: Mr. Acting Speaker.

Acting Speaker Moses: Floor Leader, you have the floor.

Floor Leader Harper: Mr. Acting Speaker, just to make sure that we are not violating any of our rules, I hereby move that any relevant rule that may impede our action on the Report (SCR No. 20-42) be suspended.

Senator Konman: Second.

Acting Speaker Moses: It has been moved and seconded that any rule that may impede our action on the action of the said Report (SCR No. 20-42) would be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are now suspended.

Chairman Figir: Mr. Acting Speaker.

Acting Speaker Moses: Chairman Figir, you have the floor.

Chairman Figir: I move for the adoption of the Report (SCR No. 20-42).

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Chairman Perman: Second.

Acting Speaker Moses: It has been moved and seconded that we adopt Standing Committee Report No. 20-42. Any discussion?

Chairman Perman: Question.

Acting Speaker Moses: Question has been called for. If there is no objection, we will vote on the said Report (SCR No. 20-42). All those in favor of the adoption of Standing Committee Report No. 20-42 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has now adopted the Report, SCR No. 20- 42. Any more reports, Chief Clerk?

Chief Clerk: There are none, Mr. Acting Speaker.

Acting Speaker Moses: Next item.

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-39.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16,2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-39, DAY 02, FRIDAY, 12/08/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-119 To appropriate the sum of $2,500,000 from the General Fund W&M of the Federated States of Micronesia for the fiscal year ending September 30, 2018, in order to fund the dry-docking of M/V Chief Mailo and M/V Hapilmohol, and for other purposes. C.R. NO. SUBJECT COMMITTEE 20-65 Setting the ceiling of the total funds estimated to be available NONE for appropriation from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30,2018. PRESIDENTIAL COMM. SUBJECT COMMITTEE NO. 20-149 (dated and received 11/06/17) – Designating Congressional INFO. Act No. 20-54 as Public Law No. 20-54: “To amend sections 1, 8 and 9 of Public Law No. 20-42 by appropriating $9,333,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, to provide funding for the set-up and operations costs of a Consulate on the West Coast of the United States for the FSM Trust Fund, and for the

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Telecommunications cable project; to make a technical corrections, and for other purposes. 20-150 (dated 11/29/17 and received 11/30/17) – Transmitting (the EX.AFF. attached) 2nd Five-Year Review Report of the Compact of Free Association (CFA) between the FSM and the United States. 20-151 (dated 11/29/17 and received 11/30/17) – Transmitting a bill W&M to appropriate $2,500,000 to fund the dry-docking of M/V Chief Mailo Hapilmohol and the costs associated with this dry-docking operation. 20-152 (dated 11/29/17 and received 11/30/17) – Designating INFO. Congressional Act No. 20-60 as Public Law No. 20-55: “To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19- 138, 20-11 and 20-49, by amending section 1 thereof, to change the use of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.” 20-153 (dated and received 12/04/17) – Transmitting a proposed R&D Resolution approving the receipt of the $5,500,000 grant from the World Bank as evidenced by the Advance Agreement for the Preparation of Proposed World Bank Financed Projects - copy attached. 20-154 (dated and received 12/04/17) – Transmitting the nomination R&D of Mr. Peter Garamfel to serve for another term as member of the NORMA Board representing Yap State. 20-155 (dated and received 12/04/17) – Transmitting the nomination EX.AFF. of Mr. Joe-Silem B. Enlet to serve as FSM Consul General in Portland, Oregon. 20-156 (dated and received 12/04/17) – Designating Congressional INFO. Act No. 20-58 as Public Law No. 20-56: “To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19- 62, 19-75, 19-79, 19-99, 19-119, 19-129, 19-136, 19-144, 19-173 and 20-04, by amending section 5 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Chuuk, and for other purposes.” 20-157 (dated and received 12/04/17) – Designating Congressional INFO. Act No. 20-55 as Public Law No. 20-57: “To amend Public Law No. 20-53, by amending the title, sections 1, 2, 3, 4 and 5 thereof, to appropriate additional $500,000, for the purpose funding priority infrastructure projects and other projects and programs, and change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.” 20-158 (dated and received 12/04/17) – Vetoing Congressional Act W&M No. 20-59: “To appropriate the sum of $4,450,000 from the General Fund of the Federated States of Micronesia for the

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

fiscal year ending September 30, 2018, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.” 20-159 (dated 12/04/17 and received 12/05/17) – Designating INFO. Congressional Act No. 20-56 as Public Law No. 20-58: To further amend Public Law No. 19-10, as amended by Public Laws Nos. 19-26, 19-42, 19-51, 19-56, 19-72, 19-78, 19-96, 19-132, 19-163, 20-03 and 20- 25, by amending section 3 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Kosrae, and for other purposes.” 20-160 (dated and received 12/05/17) – Designating Congressional INFO. Act No. 20-57 as Public Law No. 20-59: “To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19-130, 19-142, 19-145, 19-158, 20-09 and 20-22, by amending section 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Chuuk, and for other purposes.” 20-161 (dated 12/04/17 and received 12/05/17) – Urging Congress W&M to take action on C.B. No. 20-30, which is seeking an appropriation of $725,000 to pay for the emergency services rendered in connection with the grounding of Pingda 7 and the removal of ammonia aboard the ship. 20-162 (dated 12/04/17 and received 12/05/17) – Transmitting a W&M resolution accepting the $500,000 grant from the Office of Insular Affairs to fund the FY 2017 Single Audit as required by the Amended Compact. 20-163 (dated and received 12/05/17) – Transmitting a bill to amend W&M the Financial Management Act. 20-164 (dated 12/05/17 and received 12/06/17) – Transmitting a R&D resolution adopting the FSM Monitoring, Control and Surveillance (MCS) and By-catch Data Collection Project between National Oceanic Resource Management Authority (NORMA) and the Chinese Taipei Trust Fund (the “CT”) for consideration during this 3rd special session. DEPARTMENTAL SUBJECT COMMITTEE COMM. NO. 20-29 (dated 11/24/17 and received 11/27/17) – From Mrs. Sihna W&M N. Lawrence, Secretary, Department of Finance & Administration, submitting the Accounting Fund Report, and the Budget Status Report. 20-30 (dated 11/24/17 and received 11/29/17) – From Mrs. Sihna W&M N. Lawrence, Secretary, FSM Department of Finance & Administration, submitting an updated Fiscal Year 2018 Revenue Projection and balance of funds. 20-31 (dated 12/05/17 and received 12/06/17)- From Mr. Lukner T&C B. Weilbacher, FSM Department of Transportation, Communication & Infrastructure, transmitting the FSM ICT

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Project update.

STATE COMM. NO. SUBJECT COMMITTEE 20-11 (Da (dated 11/14/17 and received 11/20/17) – From Director of the INFO. Department of Education, Pohnpei State Government, Mr. Churchill, thanking Speaker for his contribution to the 1st Annual Student Leadership conference, which took place on 11/09/17.

Acting Speaker Moses: Chairmen and members, please take note of the Assignment of measures and Communications. Next item.

UNFINISHED BUSINESS

C.B. No. 20-92 (1st Reading): To amend section 605 of title 9 of the Code of the Federated States of Micronesia (Annotated), to create a new special Polling Place located outside of the Federated States of Micronesia, and for other purposes.

Deferred on 11/01/17 to this session of Congress.

Acting Speaker Moses: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:48 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:48 a.m.

Acting Speaker Moses: Congress comes back to session. Vice Chairman of J&GO, Vice Chairman Neth.

Senator Neth: Thank you, Mr. Acting Speaker. I so move to defer the said Bill (C.B. No. 20-92) to the January session.

Chairman Perman: Second.

Acting Speaker Moses: All those in favor of the deferring the Bill (C.B. No. 20-92) to the January session say ‘aye’ – opposed say ‘nay’. The motion is carried. We have now deferred C.B. No. 20-92 to the January session. Anymore unfinished business, Chief Clerk?

Chief Clerk: There are none, Mr. Acting Speaker.

Acting Speaker Moses: Next item.

BILL CALENDAR

C.A. No. 20-59 (1st Reading): To further amend Public Law No. 18-70, as amended by Public Laws Nos. 18-98, 18-112, 18-122, 19-07, 19-24, 19-41, 19-52, 19-73, 19- 82, 19-101, 19-114, 19-139,

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

20-07 and 20-15 by amending section 4 thereof, to change the use of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Pohnpei State, and for other purposes. – OVERRIDE.

Acting Speaker Moses: Chairman Figir.

Chairman Figir: Thank you, Mr. Acting Speaker. I keep looking at that gift over there and I’m really curious of what’s in it. For that, I move that Congress re-pass Congressional Act No. 20-59.

Chairman Perman: Second.

Acting Speaker Moses: It has been moved and seconded that Congress re-pass Congressional Act No. 20-59. Discussions?

Floor Leader Harper: Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Mr. Acting Speaker. I just want to state for the record that I am in a situation where Father Hezel (Fran) said in his history report/book, in which he used in a term called, “caught in a squeeze”. I am saying this because I am really caught in a squeeze. I do agree in all the points that the President has mentioned in his veto message. I think the points are very good, very valid, and the Congress really needs to look at them very seriously. On the other hand, I also see the public projects are also very good and very beneficial to our constituents. At the same time, I am just confused as to where I should be since I agree with the points mentioned by the President and at the same time, I am looking at the importance of public projects to the constituents. As I said, they are very beneficial and good to the welfare of the people in our states. Thank you.

Acting Speaker Moses: Thank you, Floor Leader. Anymore discussions?

Chairman Perman: Question.

Acting Speaker Moses: Question has been called for. If there is no objection, we shall vote by Delegations. Chief Clerk.

The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Chairman Welly Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Acting Speaker, all the four States voted for.

Acting Speaker Moses: Thank you, Chief Clerk. Congress has passed Congressional Act No. 20- 59 therefore overriding the President’s veto. Anymore bills?

Chief Clerk: There are none, Mr. Acting Speaker.

Acting Speaker Moses: Next item.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

RESOLUTION CALENDAR None

INTRODUCTION OF BILLS

C.B. No. 20-120: Introduced by: Floor Leader Harper (By request) Assigned to: W&M Date introduced: December 08, 2017

To amend sections 224A and 224C of chapter 2, to insert new section 229 in the same chapter, to amend sections 403, 404, 406, 411 and 413 of chapter 4 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, to add provisions on accountability of representation funds, auditing and procurement of property, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-66: Introduced by: Floor Leader Harper (By request) Assigned to: EX.AFF Date introduced: December 08, 2017

To confirm the nomination of Mr. Joe-Silem B. Enlet to serve as the FSM Consul General in Portland, Oregon, U.S.A.

C.R. No. 20-67: Introduced by: Floor Leader Harper (By request) Assigned to: R&D Date introduced: December 08, 2017

To confirm the nomination of Mr. Peter Garamfel to serve as a member of the Board of Directors of the National Oceanic Resource Management Authority (NORMA), representing Yap State.

C.R. No. 20-68: Introduced by: Floor Leader Harper (By request) Assigned to: R&D Date introduced: December 08, 2017

Approving and accepting a grant in the amount of $5,500,000 from the World Bank in connection with the Preparation of Proposed World Bank Financed Projects, including the terms and conditions of the assistance.

C.R. No. 20-69: Introduced by: Floor Leader Harper (By request) Assigned to: W&M Date introduced: December 08, 2017

Approving and accepting a grant in the amount of $500,000 from the U.S. Department of Interior, Office of Insular Affairs, to fund the FSM Single Audit for FY2017 as required under the Amended Compact, including all the terms and conditions of the assistance.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

C.R. No. 30-70: Introduced by: Floor Leader Harper (By request) Assigned to: R&D Date introduced: December 08, 2017

Approving and accepting a grant in the amount of $68,000 from the Chinese Taipei WCPFC Trust Fund, to fund the FSM’s Monitoring and Assessment of By-Catch Program within the Purse Seine Fishery, including all the terms and conditions of the assistance.

C.R. No. 20-71: Introduced by: Floor Leader Harper (By request) Assigned to: R&D Date introduced: December 08, 2017

To confirm the nomination of Ms. Yuko Nakasone to serve as a member of the National Oceanic Resource Management Authority (NORMA) Board of Directors, representing Pohnpei State.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Acting Speaker Moses: Do you have any miscellaneous business?

Chairman Perman: Short recess, Mr. Acting Speaker.

Acting Speaker Moses declared the Congress recessed at 10:53 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:55 a.m.

Acting Speaker Moses: Congress comes back to session. We are still on the Miscellaneous Business.

Chairman Perman: Mr. Acting Speaker.

Acting Speaker Moses: Chairman Perman.

Chairman Perman: Thank you very much, Mr. Acting Speaker. Good morning to you, Members, and to all that are observing our session this morning. I have a name here. I don’t know if he is Senator Aritos’s constituent or mine but I want us to recognize him: Mr. Satao Micky from Sokehs. Thank you very much (applause).

Acting Speaker Moses: Thank you, Chairman Perman. Any other miscellaneous business? Chairman Urusemal.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Chairman Urusemal: Thank you, Mr. Acting Speaker. You are like Mr. Acting Speaker. You are reading my mind, too. Mr. Acting Speaker, on the override, I join my next-door brother here in filling the squeeze between some of the points raised by President and the need of public project of the Nation. I think there are some urgent needs for those items that were mentioned in the veto. I will hope and am praying that the Department of Finance can come up with some magic to increase the revenue projection by $11 million dollars to address some of those urgent needs. I also wish to raise my disappointment at the administration. It seems that in many of our sessions, it is very heartbroken to know that our captain is absent from Palikir. I know in the past, it has always been the practice that when there is that the President is on island to meet with the Committee to Wait on issues that are urgent to the Nation. I appreciated the meeting with the Vice President. I think it was a very informative and I was glad that he agreed to go with the meeting as required by our Rules of Procedure. While I was torn between two issues here, one is the need for the public projects, I also understand where the President was coming from and I hope that the money will be used to address those needed programs and projects. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Urusemal.

Chairman Alik: Mr. Acting Speaker.

Acting Speaker Moses: Chairman Alik, you have the floor.

Chairman Alik: Thank you, Mr. Acting Speaker. My intervention is in relation to the report from the Chairman of the Committee to Wait on the President. As noted in the report, there are four areas that the funding from the IDA-18 will be used for. The concern is, who is making the decision to where to spend the money? Is it World Bank or Congress? That is the concern that I hope we address it properly so such practice is not repeated is later financial assistance. I also recall that we require departments and offices that when they seek financial assistance from other resources, we need to look at the proposal that they are submitting before the actual submission is sent. I don’t recall any submission from the Executive Branch or the Department of Finance for us to consider before they actually agree on the use of the funding provided by the IDA-18. That is the concern that I have. I hope it is not being repeated and that for Congress to make some final decision before we actually implement those projects. Thank you.

Acting Speaker Moses: Thank you, Chairman Alik. Does anyone have a response to that?

Senator Neth: Mr. Acting Speaker.

Acting Speaker Moses: Senator Neth.

Senator Moses: I don’t have a response but I just want to render my views on the override.

Acting Speaker Moses: Go ahead.

Senator Moses: We look like we are the bad guys. But we should not be that because we have reached out to help the Nation’s integrity by putting up $12 million dollars to be reimbursed and it has not been reimbursed. Thank you.

Acting Speaker Moses: Thank you, Vice Chairman Neth.

Chairman Panuelo: Mr. Acting Speaker.

Acting Speaker Moses: Chairman Panuelo.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Chairman Panuelo: Mr. Acting Speaker, I merely wish to respond to the comment made by Chairman Alik. That is regarding the IDA-18 money that he was referring to the Committee to Wait on the President. Other members can supplement. I believe that the process of coming to the amount that was specified in all the sectors was a lengthy process the Executive Branch has engaged in with the World Bank in consultation with the states. The purpose of the $5.5 million dollars that was advanced or pending before Congress is to adopt it to do a further review and design of those projects, those specific sectors. The approval of those grants would be forwarded to Congress for further approval or adoption. That is just a short addition to share with the Senator because that was discussed with your Committee to Wait on the President. I just want to add that. It is a lengthy process that our Government has been undertaking with World Bank in consultation with our states to come up with the priorities. You recall that the states came up with some of the priorities, four or six priority areas that were indicated. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Panuelo.

Chairman Gouland: Mr. Acting Speaker.

Acting Speaker Moses: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Acting Speaker. I understand the confusion of Congress of these priority projects for our Nation. Whoever is responsible of the communication or information, the Department of R&D should be submitting all the reports to update this Congress. That’s why we have some kind of confusions. We don’t know who will be deciding all the process. We know that the APIC are the ones deciding all these things. Thank you.

Acting Speaker Moses: Anymore miscellaneous business? If no more, next item.

ANNOUNCEMENTS

Acting Speaker Moses: Chairman Welly.

Chairman Welly: Thank you, Mr. Acting Speaker. No announcements.

Acting Speaker Moses: Chairman Figir.

Chairman Figir: Thank you, Mr. Acting Speaker. If there are no Committee meetings, I would like to ask members of your Committee on Ways and Means to meet immediately after this morning’s session to make decision on some bills pending before the Committee. These are urgent bills and resolutions. If there are no other Committee scheduled meetings after this morning to lunch, I ask that we meet to decide on these measures. Thank you.

Acting Speaker Moses: Members, take note. Chairman Alik. Chairman Perman.

Chairman Perman: No announcements.

Acting Speaker Moses: Chairman Panuelo.

Chairman Panuelo: No announcements, Mr. Acting Speaker.

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December 8, 2017 CONGRESSIONAL JOURNAL – DAY TWO – 3SS – 20CFSM

Acting Speaker Moses: Chairman Gouland.

Chairman Gouland: Special announcement to the T&C members that our Chairman of R&D has given up the day on Monday so your Committee will hold a public hearing on Monday at 8:30 a.m. Mr. Acting Speaker, I just to say on the record that I did not introduce those two gentlemen who just stepped out of our gallery because of the reflection of the sun on the roof out there. It doesn’t mean that we disrespect them. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Gouland. Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Acting Speaker. Your Committee on Education will have its oversight hearing with the Department of Education on Monday at 1:30 p.m. at the Hearing Room. Issues, as I stated yesterday, regarding the $8.3 million dollars, AA grants on the Teachers certification, school accreditation, and everything and anything under Education, including scholarships and all. It will be at 1:30, Monday afternoon. Thank you.

Acting Speaker Moses: Thank you, Chairman Urusemal. Members, take note. Vice Chairman Neth. Senator Aritos. Senator Konman. Floor Leader Harper.

Floor Leader Harper: Mr. Acting Speaker, there is no announcement but if Members want to go home, then I am ready for the usual motion.

Acting Speaker Moses: Thank you, Floor Leader. You have the floor.

Floor Leader Harper: Mr. Acting Speaker, I move that we stand in recess until tomorrow at 10:00 a.m.

Senator Konman: Second.

Acting Speaker Moses: It has been moved and seconded that Congress stands in recess until 10:00 o’clock tomorrow morning. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress stands in recess until 10:00 a.m., tomorrow morning.

Acting Speaker Moses declared that the Congress stand in recess at 11:07 a.m., Friday, December 08, 2017, until tomorrow, Saturday, December 09, 2017, at 10:00 a.m.

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

DAY THREE Saturday, December 09, 2017

The Third Day of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:26 a.m., Saturday, December 09, 2017.

Acting Speaker Esmond B. Moses presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Ten Members were present; Senator Aritos, Chairman Panuelo, and Speaker Simina were excused; Chairman Gouland was late.

Floor Leader Harper moved to dispense with the reading of the Journal; Chairman Urusemal seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS

None

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

STATE SUPREME COURT COMMUNICATIONS

None

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December 9, 2017 CONGRESSIONAL JOURNAL – DAY THREE – 3SS – 20CFSM

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORT

None

Chairman Urusemal: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:29 a.m., subject to the call of the Chair.

RECESS

Chairman Victor (Vicky) Gouland entered the Chamber and took his seat at 10:30 a.m.

The Congress reconvened at 10:32 a.m.

Acting Speaker Moses: Congress comes back to session. Next item.

SPECIAL COMMITTEE REPORTS

None

Chairman Urusemal: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:32 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:32 a.m.

Acting Speaker Moses: Congress comes back to session. Next item.

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-40.

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December 9, 2017 CONGRESSIONAL JOURNAL – DAY THREE – 3SS – 20CFSM

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16, 2017 COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-40, DAY 03, SATURDAY, 12/09/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-120 To amend sections 224A and 224C of chapter 2, to insert new W&M section 229 in the same chapter, to amend sections 403, 404, 406, 411 and 413 of chapter 4 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, to add provisions on accountability of representation funds, auditing and procurement of property, and for other purposes. C.R. NO. SUBJECT COMMITTEE 20-66 To confirm the nomination of Mr. Joe-Silem B. Enlet to serve as the EX.AFF. FSM Consul General in Portland, Oregon, U.S.A. 20-67 To confirm the nomination of Mr. Peter Garamfel to serve as a R&D member of the Board of Directors of the National Oceanic Resource Management Authority (NORMA), representing Yap State. 20-68 Approving and accepting a grant in the amount of $5,500,000 from R&D the World Bank in connections with the Preparation of Proposed World Bank Financed Projects, including the terms and conditions of the assistance. 20-69 Approving and accepting a grant in the amount of $500,000 from W&M the U.S. Department of Interior, Office of Insular Affairs, to fund the FSM Single Audit for FY2017 as required under the Amended Compact including all the terms and conditions of the assistance. 20-70 Approving and accepting a grant in the amount of $68,000 from the R&D Chinese Taipei WCPFC Trust Fund, to fund the FSM’s Monitoring and Assessment of By-Catch Program within the Purse Seine Fishery, including all the terms and conditions of the assistance. 20-71 To confirm the nomination of Ms. Yuko Nakasone to serve as a R&D member of the National Oceanic Resource Management Authority (NORMA) Board of Directors, representing Pohnpei State. PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-165 (dated 12/06/17 and received 12/07/17) – Due to additional internal W&M analysis and research he is recalling C.B. No. 20-99 and will transmit the updated proposed legislation when it is ready. 20-166 (dated 12/06/17 and received 12/07/17) – Transmitting the R&D nomination of Ms. Yuko Nakasone to serve as a member of the Board of the National Oceanic Resource Management Authority (NORMA) representing the State of Pohnpei.

DEPARTMENTAL SUBJECT COMMITTEE COMM. NO. 20-32 (dated 12/06/17 and received 12/07/17) – From the Hon. Lorin S. INFO.

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December 9, 2017 CONGRESSIONAL JOURNAL – DAY THREE – 3SS – 20CFSM

Robert, Secretary, Department of Foreign Affairs, presenting compliments and sharing Diplomatic Note 17-0216 from the U.S. informing of its Annual Christmas Drop mission for the outer islands of Pohnpei, Chuuk and Yap from December 6-19, 2017, along with the schedule of drops.

Acting Speaker Moses: Chairmen and members, please take note. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

None

RESOLUTION CALENDAR

None

INTRODUCTION OF BILLS

C.B. No. 20-121: Introduced by: Chairman Gouland Assigned to: W&M Date introduced: December 09, 2017

To amend Sections 9 and 12 of Public Law No. 20-42, as amended by Public Law No. 20-54, to sub-divide the Section 9 line item titled Conservation Society in Each State, and to name the Governor of Chuuk State as the allottee for the Chuuk State share of this line item, and for other purposes.

INTRODUCTION OF RESOLUTIONS

None

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Acting Speaker Moses: Any miscellaneous business? Short recess.

Acting Speaker Moses declared the Congress recessed at 10:33 a.m., subject to the call of the Chair.

RECESS The Congress reconvened at 10:34 a.m.

Acting Speaker Moses: Congress comes back to session. Chief Clerk, next item.

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December 9, 2017 CONGRESSIONAL JOURNAL – DAY THREE – 3SS – 20CFSM

ANNOUNCEMENTS

Acting Speaker Moses: Chairman Welly.

Chairman Welly: Thank you, Mr. Acting Speaker. To be consistent with the Order of Business for today, “None” (laughter).

Acting Speaker Moses: Chairman Figir. Chairman Alik. Chairman Perman.

Chairman Perman: Thank you, Mr. Acting Speaker. Good morning to you, Members, and all who are observing this morning’s session. Mr. Acting Speaker, I just signed two public hearing notes and both are actually on Monday at 3 p.m. That is regarding Social Security and Archives regarding cultural treaties. So please, come. Thank you.

Acting Speaker Moses: Thank you. Members, take note. Chairman Romolow. Chairman Gouland. Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Acting Speaker. The Committee on Education already made the announcement yesterday and that is still hold. No new announcements. Thank you.

Acting Speaker Moses: Thank you, Chairman Urusemal. Vice Chairman Neth. Vice Chairman Konman.

Senator Konman: No announcements. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Floor Leader Harper.

Acting Floor Leader Urusemal: No announcements but I am ready for the popular motion.

Acting Speaker Moses: You may proceed.

Floor Leader Harper: Thank you, Mr. Acting Speaker. I move that we stand in recess until 10:00 a.m., Monday.

Senator Konman: Second.

Acting Speaker Moses: It has been moved and seconded that Congress stand in recess until 10:00 a.m., Monday morning. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress stands in recess until 10:00 a.m. on Monday morning.

Acting Speaker Moses declared that the Congress stand in recess at 10:36 a.m., Saturday, December 09, 2017, until Monday, December 11, 2017, at 10:00 a.m.

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

DAY FOUR Sunday, December 10, 2017

No Session

DAY FIVE Monday, December 11, 2017

The Fifth Day of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:15 a.m., Monday, December 11, 2017.

Acting Speaker Esmond B. Moses presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Twelve Members were present; Chairman Welly and Speaker Simina were excused.

Floor Leader Harper moved to dispense with the reading of the Journal; Chairman Urusemal seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS

None

FSM SUPREME COURT COMMUNICATIONS

None

Floor Leader Harper: Point of Privilege, Mr. Acting Speaker.

Acting Speaker Moses: State your point.

Floor Leader Harper: Thank you, Mr. Speaker. I rise on a point of privilege to take this time to humbly introduce our own Excellency, President Peter M. Christian, who is observing our session this morning. Let us give him a round of applause. (applause) Any more point of privilege?

Chairman Panuelo: Mr. Acting Speaker.

Acting Speaker Moses: You have the floor, Chairman Panuelo.

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

give him a round of applause (applause); and our Banking Commissioner, Mr. Nakama Sana, in our session this morning. (applause) Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Panuelo for recognizing especially our Presidents and other guests. Next item, Chief Clerk.

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

The Chief Clerk called attention to Awaiting List No. 20-19.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION DECEMBER 07, 2017 TO DECEMBER 16, 2017

R E P O R T S A W A I T I N G R E Q U I R E M E N T S

NO. 20-19, 5TH DAY , MONDAY, DEC. 11, 2017, AT 10:00 A.M. REPORTS SUBJECT DATE AND TIME SCR No. 20-43 RE: C.R. No. 20-68 “To further amend title 52 of the Code of 12/11/17 @ 10:00 a.m.

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

the Federated States of Micronesia (Annotated), as amended, by inserting a new section 411 for the purpose of ensuring that no employee participating in the FSM Health Care Plan will be required to participate in any other health insurance plan, and for other purposes.” – Submitted by: W&M Committee. SCR No. 20-44 RE: C.R. No. 20-69, “To amend section 405 of title 52 of the 12/11/17 @ 10:00 a.m. Code of the Federated States of Micronesia (Annotated), as amended, and to insert new section 411 for the purpose of ensuring that the National Government is not under obligation to pay an employer’s contribution to another health insurance plan in addition to FSM MiCare, and that no employee participating in FSM MiCare is required to enroll in another health insurance plan, and for the purposes.” – Submitted by: W&M Committee. SCR No. 20-45 RE: C.B. No. 20-45, “To further amend Public Law No. 17-68, 12/11/17 @ 10:00 a.m. as amended by Public Laws Nos. 17-71, 17-81, 17-84, 17-89, 17- 90, 18-03, 18-10, 18-13, 18-32, 18-46, 18-58, 18-87, 18-95, 19- 16, 19-47, 19-87, 19-98 and 19-123, by amending section 6 therein, for the purpose of changing the lapse date of certain funds previously appropriated to fund public projects and social programs in each of the states, and for other purposes.” – Submitted by: W&M Committee.

Acting Speaker Moses: Members, take note. Are there any reports you would like to withdraw this time? If none, let us move to the next item. Chief Clerk.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-41.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-41, DAY 05, MONDAY, 12/11/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-121 To amend sections 9 and 12 of Public Law No. 20-42, as W&M amended by Public Law No. 20-54, to sub-divide the section 9 line item titled Conservation Society in Each State, and to name the Governor of Chuuk State as the allottee for the Chuuk State share of this line item, and for other purposes.

Acting Speaker Moses: Chairman and Members, please take note. Next item.

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

UNFINISHED BUSINESS

None

BILL CALENDAR

Acting Speaker Moses: Are there no bills?

Chairman Perman: Recess, Mr. Acting Speaker.

Acting Speaker Moses declared the Congress recessed at 10:20 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:22 a.m.

Acting Speaker Moses: Congress comes back to session. We are on item number Eighteen, Bill Calendar.

Chairman Gouland: Mr. Acting Speaker.

Acting Speaker Moses: Go ahead, Chairman Gouland.

Chairman Gouland: Thank you, Mr. Acting Speaker. I move to withdraw and place C. B. No. 20- 121 and C. B. No. 20-122 on today’s Order of Business.

Chairman Perman: Second.

Acting Speaker Moses: It has been moved and seconded that C. B. No. 20-121 and C. B. No. 20- 122 be placed on today’s Calendar. Discussion?

Floor Leader Harper: Mr. Acting Speaker.

Acting Speaker Moses: You have the floor, Floor Leader.

Floor Leader Harper: Thank you, Mr. Acting Speaker. If I may not be out of order, and in order to safeguard that we are not violating any of our rules, I hereby move to suspend any relevant rule that may impede our action on the bills that are proposed to be withdrawn.

Senator Konman: Second.

Acting Speaker Moses: It has been moved and seconded that the rules that may impede our actions on the withdrawals of the bills be suspended. Any discussion? If none, we will vote on suspension of the rules. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The rules are now suspended. We will vote on the main motion that is to place C. B. No. 20-121 and C. B. No. 20-122 on today’s Calendar. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. We now have C. B. No. 20-121 and C. B. No. 20-122 on the Bill Calendar.

Chairman Figir: Short recess, Mr. Acting Speaker.

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

Acting Speaker Moses: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:24 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:27 a.m.

Acting Speaker Moses: Congress comes back to session. Chairman Figir, you have the floor, but after a short recess.

Acting Speaker Moses declared the Congress recessed at 10:27 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:28 a.m.

Acting Speaker Moses: Congress comes back to session. We are still on item number Eighteen, Bill Calendar.

Chairman Gouland: Speaker.

Acting Speaker Moses: Chairman Gouland.

Chairman Gouland: I move to pass on first reading C. B. No. 20-121. I so move, Mr. Acting Speaker.

C.B. No. 20-121 (1st Reading): To amend sections 9 and 12 of Public Law No. 20-42, as amended by Public Law No. 20-54, to sub-divide the section 9 line item titled Conservation Society in Each State, and to name the Governor of Chuuk State as the allottee for the Chuuk State share of this line item, and for other purposes.

Chairman Panuelo: Second.

Acting Speaker Moses: It has been moved and seconded that Congress pass C. B. No. 20-121 on first reading. Discussion? If no discussion, we will vote on the motion to pass C. B. No. 20-121 on first reading. We will vote by roll call of Members.

Chairman Perman: Short recess, Mr. Acting Speaker.

Acting Speaker Moses: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:29 a.m., subject to the call of the Chair.

RECESS

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

The Congress reconvened at 10:30 a.m.

Acting Speaker Moses: Congress comes back to session. Chief Clerk, please call the roll.

The Chief Clerk took the roll call by Members.

Senator Alik Aye Senator Aritos Aye Senator Figir Nay Senator Gouland Aye Floor Leader Harper Aye Senator Konman Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Absent Speaker Simina Absent Acting Speaker Moses Aye

Chief Clerk: Mr. Acting Speaker, eleven Members voted for and one against.

Acting Speaker Moses: With that, we have passed C. B. No. 20-121 on first reading. Next bill, Chief Clerk.

Chairman Urusemal: Short recess, Mr. Acting Speaker.

Acting Speaker Moses: Short recess.

Acting Speaker Moses declared the Congress recessed at 10:31 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:34 a.m.

Acting Speaker Moses: Congress comes back to session. Chief Clerk, please read the next bill.

Chief Clerk: Thank you, Mr. Acting Speaker. We have C. B. No. 20-122 for first reading.

C.B. No. 20-122 (1st Reading): To further amend Public Law No. 20-53, as amended by Public Law No. 20-57, by amending sections 2,3,4 and 5 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.

Acting Speaker Moses: Chairman Gouland.

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

Chairman Gouland: I move to pass C. B. No. 20-122 on first reading.

Floor Leader Harper: Second.

Acting Speaker Moses: It has been moved and seconded that Congress pass on first reading on C. B. No. 20-122. Any discussion? If none, we will vote by roll call of Members. Chief Clerk.

The Chief Clerk took the roll call by Members.

Senator Alik Aye Senator Aritos Aye Senator Figir Aye Senator Gouland Aye Floor Leader Harper Aye Senator Konman Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Absent Speaker Simina Absent Acting Speaker Moses Aye

Chief Clerk: Mr. Acting Speaker, twelve Members voted in favour.

Acting Speaker Moses: With that, we have C. B. No. 20-122 on first reading. Chief Clerk, next bill.

Chief Clerk: There are none, Mr. Acting Speaker.

Acting Speaker Moses: Next item.

RESOLUTION CALENDAR

None

INTRODUCTION OF BILLS

C.B. No. 20-122: Introduced by: Chairman Gouland Assigned to: W&M Date introduced: December 11, 2017

To further amend Public Law No. 20-53, as amended by Public Law No. 20-57, by amending sections 2, 3, 4 and 5 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

C.B. No. 20-123: Introduced by: Senator Neth Assigned to: W&M Date introduced: December 11, 2017

To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150, 20-05, 20-15, 20-33 and 20-48, by amending sections 4 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, to fund priority infrastructure projects and other programs in the state of Pohnpei, and for other purposes.

C.B. No. 20-124: Introduced by: Senator Neth Assigned to: W&M Date introduced: December 11, 2017

To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11, 20-49 and 20-55, by amending section 1 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Pohnpei, and for other purposes.

INTRODUCTION OF RESOLUTIONS

None

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Acting Speaker Moses: Any Miscellaneous Business? If none, next item, Chief Clerk.

ANNOUNCEMENTS

Acting Speaker Moses: Chairman Figir, any announcements? Chairman Alik? Chairman Perman?

Chairman Perman: Thank you, Mr. Acting Speaker. Your Committee on H&SA will have an hearing today right after Education. That is around 3:00 p.m.

Acting Speaker Moses: Members, take note. Chairman Romolow? Any announcements?

Chairman Romolow: No announcements.

Acting Speaker Moses: Chairman Panuelo?

Chairman Panuelo: No announcements, Mr. Acting Speaker.

Acting Speaker Moses: Chairman Gouland?

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December 11, 2017 CONGRESSIONAL JOURNAL – DAY FIVE – 3SS – 20CFSM

Chairman Gouland: On behalf of the Chairman of our Chuuk Delegation, I would like to remind Members that, we would be hosting a party on Wednesday at Cupids Bar and Grills at 6:00pm. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Gouland. Chairman Urusemal?

Chairman Urusemal: The party alluded by Chairman Gouland will be co-hosted by the Yap Delegation; and with that I also wish to announce that which was stated by the Chairman of H&SA, Chairman Perman, your Committee on Education will have a oversight meeting with the Department of Education this afternoon at 1:30 p.m. in the Hearing Room. The items already announced so there is no need to announce them again. Thank you, Mr. Acting Speaker.

Acting Speaker Moses: Thank you, Chairman Urusemal. Vice Chairman Neth, do you have any announcement? Senator Aritos? Senator Konman? Floor Leader Harper?

Floor Leader Harper: Thank you, Mr. Acting Speaker. No announcements from this chair, but I move that we stand in recess until tomorrow at 10:00 a.m.

Senator Konman: Second.

Acting Speaker Moses: It has been moved and seconded that Congress stand in recess until 10:00 a.m. tomorrow morning. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress stands in recess until 10:00 a.m. tomorrow morning.

Acting Speaker Moses declared that the Congress stand in recess at 11:39 a.m., Monday, December 11, 2017, until Tuesday, December 12, 2017, at 10:00 a.m.

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

DAY SIX Tuesday, December 12, 2017

The Sixth Day of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:26 a.m., Tuesday, December 12, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Twelve Members were present; Chairman Welly and Floor Leader Harper were excused.

Chairman Joseph J. Urusemal was designated to be the Acting Floor Leader.

Acting Floor Leader Urusemal moved to dispense with the reading of the Journal; Chairman Perman seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS

-No. 20-167- (dated and received 12/11/17) – Designating the Congressional Act No. 20-59, which was vetoed and overridden by Congress, as Public Law No. 20-60.

Speaker Simina: Chief Clerk, assign that. Next item.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I rise on a point of privilege.

Speaker Simina: Proceed.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. It is indeed an honor and a privilege for me, on our behalf, to introduce a lady who is sitting in the gallery observing our session this morning. May I introduce Mrs. Sherry Stutt? The last name should be familiar to all of us. She is the mother of our Staff Attorney, Jesse Stutt. Let’s give her a round of applause (applause). Thank you, Mr. Speaker.

Speaker Simina: Thank you, Acting Floor Leader. Yes, the Congress joins you in welcoming Mrs. Stutt for joining us this morning. Any other points of privilege? If none, next item. I mean, first report.

-SCR No. 20-43, RE: C.R. No. 20-68: “Approving and accepting a grant in the amount of $5,500,000 from the World Bank in connection with the preparation of proposed World Bank financed projects, including the terms and conditions of the assistance.” – W&M – (RECOMMENDS ITS ADOPTION,/DECEMBER 11, 2017).

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the adoption of the said Report (SCR No. 20-43).

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-43). Discussion? Short recess.

Speaker Simina declared the Congress recessed at 10:31 a.m., subject to the call of the Chair.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

RECESS

The Congress reconvened at 10:31 a.m.

Speaker Simina: Congress comes back to session. Any discussions? If none, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-43 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has now adopted the Report, SCR No. 20-43. Next report.

-SCR No, 20-44, RE: C.R. No. 20-69: “Approving and accepting a grant in the amount of $500,000 from the U.S. Department of Interior, Office of Insular Affairs, to fund the FSM Single Audit for FY2017 as required under the Amended Compact, including all the terms and conditions of the assistance.” – W&M – (RECOMMENDS ITS ADOPTION/DECEMBER 11, 2017).

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the adoption of the said Report (SCR No. 20- 44).

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-44. Discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-44 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Report, SCR No. 20-44. Next report.

-SCR No. 20-45, RE: C.B. No. 20-54: “To convert unpaid balances of prior loans from the National Government of the Federated States of Micronesia to the National Fisheries Corporation funded, pursuant to Public Law No. 6-69 and Public Law No. 9-78, into grants for the purposes for which such loans were provided, and for other purposes.” – W&M – (RECOMMENDS ITS PASSAGE, AS AMENDED, AND CONCURRING WITH THE R&D SCR NO. 20-36, WHICH WAS ADOPTED ON SEPT. 28, 2017/DECEMBER 11, 2017).

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I so move.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-45. Discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-45 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has now adopted the report, SCR No. 20-45. Chief Clerk, next report.

Chief Clerk: There are none, Mr. Speaker.

Chairman Gouland: Short recess, Mr. Speaker.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Speaker Simina declared the Congress recessed at 10:33 a.m., subject to the call of the Chair. RECESS

The Congress reconvened at 10:34 a.m.

Speaker Simina: Congress comes back to session. We are still on Standing Committee Reports Calendar. Any more reports, Chief Clerk?

Chief Clerk: There are none, Mr. Speaker.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-42.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16,2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-42, DAY 06, TUESDAY, 12/12/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-122 To further amend Public Law No. 20-53, as amended by Public Law W&M No. 20-57, by amending sections 2,3,4 and 5 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes. 20-123 To further amend Public Law No. 19-124, as amended by Public Laws W&M Nos. 19-133, 19-140, 19-150, 20-05, 20-15, 20-33 and 20-48, by amending sections 4 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, to fund priority infrastructure projects and other programs in the state of Pohnpei, and for other purposes. 20-124 To further amend Public Law No. 18-11, as amended by Public Laws W&M Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11,20- 49 and 20-55, by amending section 1 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Pohnpei, and for other purposes.

The Chief Clerk called attention to Re-Referral Sheet No. 20-06.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16,2017

COMMITTEE RE-REFERRAL

RE-REFERRAL SHEET NO. 20-42, DAY 06, TUESDAY, 12/12/17, AT 10:00 A.M.

C.R. NO. SUBJECT COMMITTEE 20-68 Approving and accepting a grant in the amount of $5,500,000 from the R&D/W&M World Bank in connection with the Preparation of Proposed World Bank Financed Projects, including the terms and conditions of the assistance.

Speaker Simina: Chairmen and members, take a look at the Referral and Re-Referral Sheets for your planning purposes. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-54, CD1 (1st Reading): To convert unpaid balances of prior loans from the National Government of the Federated States of Micronesia to the National Fisheries Corporation funded, pursuant to Public Law No. 6-69 and Public Law No. 9-78, into grants for the purposes for which such loans were provided, and for other purposes. – W&M – (cf. SCR No. 20-45).

Speaker Simina: Chairman Figir.

Chairman Figir: I move to defer action on the Bill (C.B. No. 20-54, CD1) to tomorrow’s Calendar.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-54, CD1 be deferred to tomorrow’s Calendar. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-54, CD1, is deferred to tomorrow’s Calendar. Next bill.

C.B. No. 20-121 (2nd Reading): To amend sections 9 and 12 of Public Law No. 20-42, as amended by Public Law No. 20-54, to sub-divide the section 9 line item titled Conservation Society in each State, and to name the Governor of Chuuk State as the allottee for the Chuuk State share of this line item, and for other purposes.

Speaker Simina: Chairman Figir.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-121). Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-121.

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. I believe I have a floor amendment that I wish to make on the Bill (C.B. No. 20-121). It has been written, duplicated, and distributed to Members and observers. May I ask the Chief Clerk to read it, Mr. Speaker?

Speaker Simina: Chief Clerk.

Floor Amendment to C.B. No. 20-121 Offered by Sen. (SNTR) Joseph J. Urusemal

C.B. No. 20-121 is hereby amended to read as follows:

1. Page 1, title, line 4, after the word “item”, insert the following: “and to name the Governor of Yap State as the allottee for the Yap State share of this line item,” 2. Page 8, line 10, after the word “Chuuk”, insert the following: “and of which $50,000 shall be for the Conservation Society in Yap.” 3. Page 11, line 5, after the word “Chuuk”, insert the following: “,AND, for the share of the funds from this line item for the Conservation Society in Yap, the allottee shall be the Governor of the State of Yap”

Date: December 11, 2017 Introduced by: /s/ Joseph J. Urusemal Joseph J. Urusemal

Purpose of the Amendment: To designate the Governor of the State of Yap as the allottee of the Yap State share of the funds for the line item previously titled, “Conservation Society in each State.”

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Make your motion for adoption.

Chairman Urusemal: Before I do that, Mr. Speaker, may I just offer a technical correction to the written form of my amendment?

Speaker Simina: Proceed.

Chairman Urusemal: Where it says, “offered by”, please delete the abbreviation and insert in lieu thereof, “SNTR.” The amendment is merely to – that is the official designation of – an abbreviation for Senator, not as written here. The amendment is merely to restate for the record that the state of Yap share for this amount/funding, the allottee of that amount will be the Honorable Governor of the state of Yap. Thank you.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Speaker Simina: Thank you. Well, I don’t know what the correct form of the abbreviation for Senator is but we will do as you requested. Okay, let’s do your motion for adoption.

Chairman Urusemal: I so move, Mr. Speaker.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment with the technical correction be adopted. Discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Yes.

Chairman Figir: Thank you, Mr. Speaker. I am a little bit confused as to the rationale of amending the allottee from the President to the Governor. I question the capabilities of my Governor whether he can implement his project. I would rather see – perhaps, this is not a large amount of fund – but the people or the authority that is in charge of the conservation of authority or society in Yap is the Director of Yap Community Action Agency. I think it would be appropriate if he can be made the allottee of the fund so that the fund can be used in the state or society environment. People who are concerned in protecting our environment can move. Otherwise, the fund is going to sit there forever. This is my personal observation and I stand to be challenged with that observation. If somebody can say, “You are wrong. Things are moving really fast in Yap”, then I’ll rest my case. Thank you.

Speaker Simina: Thank you, Chairman Figir. So what do you say, Chairman Urusemal? Is he wrong?

Chairman Urusemal: Thank you very much, Mr. Speaker. I thank the good Chairman of W&M for bringing the issue up. The effort here is twofold. One, if nothing is moving on this grant which is the $50,000 and plus, it is very small, the information passed by Congress to the leadership of Yap is that if any of the money is not moving around they may be put into the Trust Fund, the FSM Trust Fund, into Yap sub-account. So this is an additional money if it truly not moving anywhere. On the issue of the allottee, the Executive Director of Yap CAP, Community Action Program, all funds that have been previously appropriated for that entity or that agency, the Governor has been the allottee and it is true. It is very disappointing but we are hoping that with this Christmas and New Year, 2018, we will stop all the operations, the NATO Operations in the FSM and start doing things instead of not doing anything and just talking about it. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. So he doesn’t agree with you, Chairman Figir. Are there any further discussions on the offered amendments? If none and if there are no objections, debate is closed, so let us vote. All those in favor of the adopted amendments by Chairman Urusemal say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendments are adopted. We now have C. B. No. 20-121 CD1. Any further discussion?

Senator Konman: Point of Privilege, Mr. Speaker.

Speaker Simina: Yes, state your point, Senator Konman.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Senator Konman: Thank you very much, Mr. Speaker. I would like to introduce two young ladies who are in this gallery observing our session this morning. I would kindly ask that we give them a round of applause, Miss Gienah Narruhn and Miss Leilani Rosokow. Thank you very much (applause). Speaker Simina: Those two young ladies are indeed welcome to observe their Congressmen in action. Thank you for introducing them.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, thank you for giving me the opportunity to also introduce some individuals who are here. Good morning to you, to all Members, and to those who are observing today’s session. We have two individuals who are here, Mr. Speaker. On our behalf, let me introduce Dr. Kesusa Bermanis and Junior Bermanis who are also observing our session this morning. Can we kindly give them a round of recognition? (Applause). Thank you, Mr. Speaker.

Speaker Simina: Thank you. They are, indeed, welcome to come and observe this Congress in action.

Chairman Gouland: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 10:46 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:55 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-121, CD1. Any further discussion?

Chairman Urusemal: Mr. Speaker, short recess.

Speaker Simina declared the Congress recessed at 10:55 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:58 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-121, CD1. Any further discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: With all due respect to my colleague, Chairman of T&C Committee, I move to defer this Bill (C.B. No. 20-121, CD1) to tomorrow’s Bill Calendar. I so move.

Chairman Figir: Second.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Speaker Simina: It has been moved and seconded that C.B. No. 20-121, CD1 be deferred to tomorrow’s Calendar. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The said Bill (C.B. No. 20-121, CD1) is deferred to tomorrow’s Calendar. Next bill. Chairman Gouland: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 10:59 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:00 a.m.

Speaker Simina: Congress comes back to session. Next bill.

C.B. No. 20-122 (2nd Reading): To further amend Public Law No. 20-53, as amended by Public Law No. 20-57, by amending sections 2, 3, 4 and 5 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I so move.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-122. Discussion?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move to offer a floor amendment to C.B. No. 20- 122. I so move, Mr. Speaker.

Chairman Panuelo: Second.

Chairman Gouland: The written amendment has been distributed to all the Members. Can Chief Clerk –

Speaker Simina: Do you want to read that, Chief Clerk?

Chief Clerk: Yes, Mr. Speaker.

Floor Amendment to C.B. No. 20-122 Offered by Senator Victor Gouland

C.B. No. 20-122 is hereby amended to read as follows:

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

1. Page 8, line 17, after “projects”, insert “/current and prior obligations/election and inauguration” 2. Page 8, line 18, after “projects”, insert “/current and prior obligations/election and inauguration” 3. Page 13, line 12, delete “40,000”, and insert “25,000” in lieu thereof. 4. Page 13, line 14, delete “255,000”, and insert “230,000” in lieu thereof. 5. Page 13, line 16, delete “160,000”, and insert “140,000” in lieu thereof. 6. Page 13, between lines 21 and 22, insert a new line item to read: “(s) Seaport transportation needs……………………….. 60,0000.”

Date: December 12, 2017 Introduced by: /s/ Victor Gouland Victor Gouland

Purpose of the Amendment: To change he use of funds under this act for the states of Pohnpei and Chuuk.

Speaker Simina: Make your motion for adoption, Chairman Gouland.

Chairman Gouland: I so move, Mr. Speaker.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20- 122 by Chairman Gouland be adopted.

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:04 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:05 a.m.

Speaker Simina: Congress comes back to session. Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I wish for the record to reflect that the rules especially the one prohibiting substantive amendment on second reading be suspended.

Senator Neth: Second.

Speaker Simina: It has been moved and seconded that the rules, specifically the rule prohibiting substantive amendment on second and final reading be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are suspended. Any further discussion on the offered floor amendment to C.B. No. 20-122 made by Chairman Gouland?

Chairman Romolow: Question.

Vice Speaker Moses: Second.

Speaker Simina: Question has been called for. If there is no objection, discussion is closed. Let’s vote. All those in favor of the adoption of the offered floor amendment to C.B. No. 20-122 by Chairman Gouland say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment is adopted. We now have CD1. Any further discussion on CD1?

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Senator Neth: Mr. Speaker.

Speaker Simina: Senator Neth.

Senator Neth: Likewise, I have a small floor amendment to the same Bill (C.B. No. 20-122, CD1). It has been distributed.

Speaker Simina: Chief Clerk, please read it into the record.

Floor Amendment to C.B. No. 20-122, CD1 Offered by Senator Dion G. Neth

C.B. No. 20-122, CD1 is hereby amended to read as follows:

1. Page 7, line 17, delete “50,000”, and insert “65,000” in lieu thereof. 2. Page 7, line 20, delete “50,000”, and insert “0” in lieu thereof. 3. Page 7, line 25, delete “PIALA conference participants”. 4. Page 8, line 2, delete “travel needs”, and insert “Libraries, Archives, and Museums (LAMP) of Pohnpei hosting of 27th Annual PIALA conference” 5. Page 8, line 5, delete “35,000”, and insert “70,000” in lieu thereof.

Date: December 11, 2017 Introduced by:/s/ Dion G. Neth Dion G. Neth

Purpose of the Amendment: To change the use of funds under this act for Election District No. 2, Pohnpei State.

Speaker Simina: Senator Neth.

Senator Neth: I so move.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20- 122, CD1 by Senator Neth be adopted.

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I take it that the relevant rules are still suspended.

Speaker Simina: Yes. Let the record reflect that the relevant rules are still suspended up to this point. Any discussion? If none, debate is closed. Let’s vote on the offered floor amendment. All those in favor of the offered floor amendment to C.B. No. 20-122, CD1 say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment by Senator Neth is adopted. We have CD2. Any further discussion on C.B. No. 20-122, CD2?

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo. Chairman Panuelo: Mr. Speaker, I have a proposed floor amendment to C.B. No. 20-122, CD2. It is written and distributed for Members. I ask that the Chief Clerk read it. Thank you.

Speaker Simina: Chief Clerk.

Floor Amendment to C.B. No. 20-122, CD2 Offered by Senator David W. Panuelo

C.B. No. 20-122, CD2 is hereby amended to read as follows:

1. Page 6, line 1, delete “50,000”, and insert “10,000” in lieu thereof. 2. Page 6, between lines 4 and 5, insert the following: “(w) Madolenihmw municipal inauguration… 5,000 (x) Outboard motors/boat repair – Pakin Community… 35,000

Date: December 12, 2017 Introduced by: /s/ David W. Panuleo David W. Panuelo

Purpose of the Amendment: To change the use of funds under this act for At-Large, Pohnpei State.

Speaker Simina: Let the record reflect that the relevant rules are still suspended up to this point. You have any discussion on the offered amendment?

Chairman Perman: Question.

Speaker Simina: Question has been called for. If there is no objection, discussion will be closed. Let’s vote. All those in favor of the adoption of the offered floor amendment to C.B. No. 20-122, CD2 by Chairman Panuelo say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment to C.B. No. 20-122, CD2 by Chairman Panuelo is adopted. We now have CD3. Any further discussion on C.B. No. 20-122, CD3? Short recess.

Speaker Simina declared the Congress recessed at 11:11 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:13 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-122, CD3. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. Good morning to you and welcome back. I wish to offer an oral amendment to the same bill (C.B. No. 20-122, CD3).

Speaker Simina: Proceed.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Chairman Romolow: On page 12, line 11, delete “30,000”, and insert “20,000” in lieu thereof. Between lines 13 and 14, insert “Prior year outstanding for junior high school, housefather and housemother and Iolap employees… 10,000” in lieu thereof. I so move.

Chairman Panuelo: Second. Speaker Simina: It has been moved and seconded that the offered oral amendments by Chairman Romolow be adopted. The relevant rules are still suspended up to this point. Any discussions on the offered oral amendment? If none, if there is no objection –

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: I take it that the letter between lines 13 and 14 will be “(o)” and the item as stated by Chairman Romolow.

Speaker Simina: It is a technical error that the staff will take care of. Okay, if there is no further discussion, let’s vote. All those in favor of the adoption of the offered oral amendment to C.B. No. 20-122, CD3 say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment to C.B. No. 20- 122, CD3 is adopted. We now have CD4. Any further discussions? If none, discussion is closed. Let’s vote by roll call of Delegations. Chief Clerk.

The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Chairman Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, all the four States voted for.

Speaker Simina: Congress has passed the Bill, C.B. No. 20-122, CD4, on second and final reading. Short recess.

Speaker Simina declared the Congress recessed at 11:16 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:18 a.m.

Speaker Simina: Congress comes back to session. We are still on the Bill Calendar. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move to withdraw C.B. No. 20-125 and place it on the today’s calendar. I so move.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:18 a.m., subject to the call of the Chair.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

RECESS

The Congress reconvened at 11:18 a.m.

Speaker Simina: Congress comes back to session. Chairman Gouland, restate your motion. Chairman Gouland: Thank you, Mr. Speaker. I move to withdraw and place C.B. Nos. 20-123, 20- 124, and 20-125. I so move.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that following Bills, C.B. Nos. 20-123, 20-124, and 20-125, be withdrawn from the Committee and placed on today’s Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bills, C.B. Nos. 20-123, 20- 124, and 20-125, are now placed on the Bill Calendar for action.

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that the relevant sections and paragraphs of our rules that may impede our action be suspended.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that the relevant rules that might impede our action on the motion be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are suspended at this point. We now have C.B. Nos. 20-123, 20-124, and 20-125 on the Bill Calendar for action. First bill.

C.B. No. 20-123 (1st Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150, 20-05, 20-15, 20-33 and 20-48, by amending sections 4 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, to fund priority infrastructure projects and other programs in the state of Pohnpei, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-123).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 123. Discussions? If none, debate is closed. Let’s vote by roll call of Members on first reading.

The Chief Clerk took the roll call by Members.

Senator Alik Aye Senator Aritos Aye Senator Figir Aye

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Senator Gouland Aye Floor Leader Harper Absent Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Absent Speaker Simina Aye

Chief Clerk: Mr. Speaker, twelve Members voted for.

Speaker Simina: Congress has passed the Bill, C.B. No. 20-123, on first reading. Next bill.

C.B. No. 20-124 (1st Reading): To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11, 20-49 and 20-55, by amending section 1 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Pohnpei, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-124).

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 124. Discussions?

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:23 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:25 a.m.

Speaker Simina: Congress comes back to session. We are on discussion of C.B. No. 20-124.

Chairman Perman: Question.

Speaker Simina: Are you good, Chairman Urusemal?

Chairman Urusemal: Thank you, Mr. Speaker. I am okay, maybe during the second reading.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Speaker Simina: Okay, there is a motion to close debate. If there is objection, discussion is closed. This is first reading so let us have a roll call of Members, Chief Clerk.

The Chief Clerk took the roll call by Members.

Senator Alik Aye Senator Aritos Aye Senator Figir Aye Senator Gouland Aye Floor Leader Harper Absent Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Absent Speaker Simina Aye

Chief Clerk: Mr. Speaker, twelve Members voted for.

Speaker Simina: For that reason, C. B. No. 20-124 has passed by Congress on first reading. Next bill.

C.B. No. 20-125 (1st Reading): To amend Public Law No. 20-60, by amending sections 3, 4, 5 and 6 thereof, to change the use and allottee of funds previously appropriated therein, to funding public projects and social programs in the state of Kosrae, Pohnpei and Chuuk, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the bill (C. B. No. 20-125).

Senator Konman: Second.

Speaker Simina: It is moved and seconded that Congress pass on first reading C. B. No. 20-125. Any discussion? This is just fresh off the press.

Senator Romolow: Mr. Speaker, I have an oral amendment to this bill.

Speaker Simina: Can we do all the amendments tomorrow? Write them up. Put them in writing. Okay, if there is no further discussion and no objection, debate is closed. So let us vote on first reading by roll call of Members. Chief Clerk.

The Chief Clerk took the roll call by Members.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Senator Alik Aye Senator Aritos Aye Senator Figir Aye Senator Gouland Aye Floor Leader Harper Absent Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Absent Speaker Simina Aye

Chief Clerk: Mr. Speaker, twelve Members voted for.

Speaker Simina: For that, Congress has passed the Bill (C. B. No. 20-125) on first reading. Next bill.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

Senator Terensio Konman left the Chamber at 11:29 a.m.

RESOLUTION CALENDAR

C.R. No. 20-68: Approving and accepting a grant in the amount of $5,500,000 from the World Bank in connection with the Preparation of Proposed World Bank Financed Projects, including the terms and conditions of the assistance. – FOR ADOPTION – W&M – (cf. SCR No. 20-43).

Speaker Simina: Chairman Figir.

Chairman Figir: I so move for the adoption of the Resolution (C.R. No. 20-68).

Senator Neth: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-68. Discussion? Short recess.

Speaker Simina declared the Congress recessed at 11:30 a.m., subject to the call of the Chair. RECESS

The Congress reconvened at 11:32 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.R. No. 20-68. Any discussions? If none, debate is closed. Let’s vote. All those in favor of the adoption of C. R. No. 20-68

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Resolution, C.R. No. 20- 68. Next resolution.

C.R. No. 20-69: Approving and accepting a grant in the amount of $500,000 from the U.S. Department of Interior, Office of Insular Affairs, to fund the FSM Single Audit for FY2017 as required under the Amended Compact, including all the terms and conditions of the assistance. – FOR ADOPTION – W&M – (cf. SCR No. 20-44).

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the adoption of the said Resolution (C. R. No. 20-69).

Senator Neth: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C. R. No. 20-69. Discussions? Short recess.

Speaker Simina declared the Congress recessed at 11:33 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:34 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C. R. No. 20-69. Any further discussion? If none, let’s vote. All those in favor of the adoption of C. R. No. 20-69 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Resolution, C. R. No. 20-69. Next resolution.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:34 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:35 a.m.

Speaker Simina: Congress comes back to session. If there is no other business under Resolution Calendar, next item.

INTRODUCTION OF BILLS

C.B. No. 20-125: Introduced by: Chairman Gouland Assigned to: Date introduced: December 12, 2017

To amend Public Law No. 20-60, by amending sections 3, 4, 5 and 6 thereof, to change the use and allottee of funds previously appropriated therein, to funding

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

public projects and social programs in the state of Kosrae, Pohnpei and Chuuk, and for other purposes.

INTRODUCTION OF RESOLUTIONS

None

MISCELLANEOUS COMMUNICATIONS

-No. 20-11 - (dated and received 12/11/17) – From Mr. Patrick Blank, submitting a proposal requesting funding for an FSM Early Leaders Project.

Speaker Simina: Assign that, Chief Clerk. Next item.

MISCELLANEOUS BUSINESS

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: Thank you, Mr. Speaker. I move that we go back to item Fourteen, Standing Committee Reports Calendar.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that we go back to item Fourteen. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. We are now on the Standing Committee Reports Calendar.

STANDING COMMITTEE REPORTS

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Short recess.

Speaker Simina declared the Congress recessed at 11:36 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:38 a.m.

Speaker Simina: Congress comes back to session. If there is no other business, let’s go back to Miscellaneous Business. Any miscellaneous business?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Vice Speaker Moses: Thank you, Mr. Speaker. Good morning to you and Members and those who are observing from the gallery. I think I might be coming down flu so my attendance tomorrow might be questionable. But I wish to state for the record my view on C. B. No. 20-54, which was deferred to tomorrow’s Calendar. This is in regards to the proposed bill that would change the loans that Congress made to NFC into grants. My issue with that is, I attended both Committee hearings, I think the R&D and Ways and Means, and the first Committee hearing that was held by the Committee on R&D – information available to Members during that hearing was made available during the second hearing that Ways and Means had. In that economic report provided by NORMA, it seems that we forego around $19- $20 millions in revenue from all these concessions that we give to the fishing companies. Looking at the audit reports of NFC, their equity is in the negative. It’s almost in the amount the loans that have given. So if we forgive that, it would put them in a better financial position. Now my issue with that is it’s going to make them more attractive to these foreign fishing companies to enable them to enter into join venture with them as they are doing now Taio Micronesia and with several other companies. To me, it is becoming like a haven for them to boost their financial positions while enabling these companies to give concessions. Now to me, it seems as we are using as bait marlins or big-eyed tuna to catch sardines. To me, $20 million in forgone revenue does not justify these joint ventures that claim they create jobs and opportunities that I think are way less than $19 and $20 million. In 2016, we did concessions that amount up to $20+ million. In 2017, we gave log concessions totalling $19 million. To me, that is a huge and significant amount to toy with when we could really use that to go into our Trust Fund and other development projects that we may have, because we are in need, despite the Compact Infrastructure Fund and grants the U.S. gives us along with the already-existing revenue. I think it is still not enough to meet our development goals when we are moving toward 2023. So I just wanted to voice my issue with the proposed bill that we deferred to tomorrow’s Calendar. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Vice Speaker Moses. You have some legitimate concerns. I think the overall amount is correct about $19 million this year that we have lost to concession. Of course, NFC is one of those but if I understand NFC is the one who is placed the highest among the ones with concessions. But I think that is in the reports. Any other? Do you want to continue Vice Speaker?

Vice Speaker Moses: No more, Mr. Speaker.

Speaker Simina: Any other Miscellaneous Business? If none, allow me. I just want to convey greetings from the Bishop to the Members of Congress on its 40th Anniversary and I would like to thank Vice Speaker Moses and all of you for proceeding with the business of the Congress when I was absent. Thank you for that. So if there is no any other Miscellaneous Business, next item.

ANNOUNCEMENTS

Speaker Simina: Announcements. Chairman Figir? Chairman Alik? Chairman Perman?

Chairman Perman: Thank you, Mr. Speaker. Your committee on H&SA will be meeting again on Wednesday at 2:00 p.m. at Social Security, on anything that has to do with Social Security, such as amendments and so forth. Please do show up.

Speaker Simina: Take note, Members, of H&SA Committee. You have that hearing with Social Security issues. Chairman Romolow? Chairman Panuelo?

Chairman Panuelo: No announcements, Mr. Speaker.

Speaker Simina: Chairman Gouland?

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December 12, 2017 CONGRESSIONAL JOURNAL – DAY SIX- 3SS- 20CFSM

Chairman Gouland: Thank you, Mr. Speaker. Again, just to remind all Members that the Chuuk Delegation will be hosting a party tomorrow at Cupids at 6:00 p.m. Thank you.

Speaker Simina: Thank you, Chairman Gouland for that announcement. Chairman Urusemal? Chairman Urusemal: Thank you, Mr. Speaker. With the announcement made by the Chairman of T&C Committee, I would like to announce that the contribution from your Committee on Education is hereby withdrawn to that party. Mr. Speaker, there is no announcement from your Committee on Education except I would like to announce that a certain Copra producers in the state of Yap are still awaiting payment of the Copra that were picked up March 2017 and taken over to somewhere else but have not totally been compensated for the hard work that they did so with that, no other announcements except for sea cobra.

Speaker Simina: Thank you, Chairman Urusemal. The appropriate chairman will take note of that concern and our Copra producers in Yap. I think it is not nice to have these hard working people go uncompensated for a long time. We will need to look into those. Vice Speaker Moses, do you have any announcements? Senator Neth? Senator Aritos? Where is Senator Konman? Acting Floor Leader?

Chairman Urusemal: Thank you, Mr. Speaker. I move that this Congress stand in recess until tomorrow at 10:00 a.m. in the morning.

Vice Speaker Moses: Second.

Speaker Simina: It is moved and seconded that Congress stands in recess until tomorrow at 10:00 a.m. in the morning. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress now stands in recess until tomorrow at 10:00 a.m. in the morning.

Speaker Simina declared that the Congress stand in recess at 11:46 a.m., Tuesday, December 12, 2017, until Wednesday, December 13, 2017, at 10:00 a.m.

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

DAY SEVEN Wednesday, December 13, 2017

The Seventh Day of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:45 a.m., Wednesday, December 13, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Eleven Members were present; Senator Konman, Chairman Welly and Floor Leader Harper were excused.

Acting Floor Leader Urusemal moved to dispense with the reading of the Journal; Chairman Perman seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS:

-No. 20-168 - (dated 12/11/17 and received 12/12/17) – Transmitting a proposed resolution approving and accepting a foreign financial assistance given and made available by the United Nations Children’s fund in the amount of $39,667 to fund the FSM Expanded Programme on Immunization Project managed by the FSM Department of Health and Social Affairs.

-No. 20-169 - (dated and received 12/12/17) – Transmitting a bill to appropriate $71,530 of Supplemental Education (SEG) funding recently awarded by the US Department of Interior (DOI), to be used for the NDOE Year 3 Project (SEG), which was originally appropriated by Public Law No. 20-42.

-No.20-170 - (dated and received 12/12/17)-Sharing a Note from the US Embassy, with an enclosed letter to Secretary Lorin Robert from Peace Corps Country Director Temby Caprio informing Congress of Peace Corps Volunteers’ withdrawal from the FSM by June 2018.

-No.20-171 - (dated 12/12/17 and received 12/13/17) – Transmitting a resolution approving the $1.2 million grant from China for the one-year operation of Y-12 aircraft.

Speaker Simina: Chief Clerk, assign those. Next item.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

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December 13, 2017 CONGRESSIONAL JOURNAL – DAY SEVEN – 3SS – 20CFSM

-No. 20-13 - (dated and received 12/11/12) – From Chairman Robson U. Romolow, reporting on the FSM Congress delegation participation at the Western & Central Pacific Fisheries Commission 14th regular session at the Philippines National Convention Center in Manila from December 3-7, 2017.

Speaker Simina: Assign that, Chief Clerk. Next item.

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

The Chief Clerk called attention to Awaiting List No. 20-20.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION DECEMBER 07, 2017 TO DECEMBER 16, 2017

R E P O R T S A W A I T I N G R E Q U I R E M E N T S NO. 20-20, 7TH DAY , WEDNESDAY, DEC. 13, 2017, AT 10:00 A.M.

REPORTS SUBJECT DATE AND TIME SCR No. 20-46 RE: C.R. No. 20-63 “A resolution approving and accepting a 12/13/17 @ 10:00 a.m. grant in the amount of $3,032,657 from the U.S. Department of Education for the Federal Fiscal Year 2018 fund under Part B of the Individuals with Disabilities Education Act, including all the

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terms and conditions of the assistance.” – Submitted by: EDUC Committee. SCR No. 20-47 RE: C.R. No. 20-58, “A resolution approving and accepting a 12/13/17 @ 10:00 a.m. grant in the amount of $800,000 from the Government of the People’s Republic of China, to subsidize the newly launched airline between the FSM and Papua New Guinea, including all the terms and conditions of the assistance.” – Submitted by: T&C Committee.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:49 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:49 a.m.

Speaker Simina: Congress comes back to session. We are still on item Fourteen. There is an awaiting list. Acting Floor Leader.

Acting Floor Leader Urusemal: I move that the two Reports, SCR No. 20-46 and 20-47, be placed on the Standing Committee Reports Calendar for action.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that the following Reports, SCR No. 20-46 and 20-47, be placed on the Standing Committee Reports Calendar for action. Any rules to suspend?

Acting Floor Leader Urusemal: Mr. Speaker, in order for us to consider these two Reports, SCR No. 20-46 and 20-47, I move that the relevant rules, especially the 24-hour awaiting period be suspended.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that the relevant rules specifically the rule requiring the 24-hour awaiting period be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are suspended. So let’s vote. All those in favor of the placement of the two Reports, SCR No. 20-46 and 20-47, say ‘aye’ – opposed say ‘nay’. The motion is carried. The Reports, SCR No. 20-46 and 20-47, are now placed on today’s calendar for action. First report, Chief Clerk.

-SCR No. 20-46, RE: C.R. 20-63, “Approving and accepting a grant in the amount of $3,032,657 from the U.S. Department of Education for the Federal Fiscal Year 2018 fund under Part B of the Individuals with Disabilities Education Act, including all the terms and conditions of the assistance.” – EDUC – FOR ADOPTION.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I move that this Congress adopt Standing Committee Report No. 20-46.

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Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Standing Committee Report No. 20-46 be adopted by this Congress. Any discussions? If none, discussion is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-46 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Report, SCR No. 20-46. Next report.

-SCR No. 20-47, RE: C.R. No. 20-58, “Approving and accepting a grant in the amount of $800,000 from the Government of the People’s Republic of China, to subsidize the newly launched airline between the FSM and Papua New Guinea, including all the terms and conditions of the assistance.” – T&C – FOR ADOPTION.

Speaker Simina: Chairman Gouland.

Chairman Gouland: I move for the adoption of the said Report (SCR No. 20-47).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-47. Any discussions? If there is no discussion, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-47 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Report, SCR No. 20-47. Next report, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Chairman Gouland: Point of privilege, Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you very much, Mr. Speaker. I wish to introduce some students from Chuuk attending COM-FSM, who are observing our session this morning. Here we have Andy Oranto, Drexler Hallers, Junior Poch, and Kilisou Kincho. Let’s give them a round of applause (applause).

Speaker Simina: Of course, our students are always welcome. It is good for them to observe their Congress in session. I know they are here to seek financial assistance from you, Chairman Gouland so please be helpful to them. Any other points of privilege? If none, next item.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-43.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16, 2017

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December 13, 2017 CONGRESSIONAL JOURNAL – DAY SEVEN – 3SS – 20CFSM

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-43, DAY 07, WEDNESDAY, 12/13/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-125 To amend Public Law No. 20-60, by amending sections 3, 4, W&M 5 and 6 thereof, to change the use and allottee of funds previously appropriated therein, to funding public projects and social programs in the state of Kosrae, Pohnpei and Chuuk, and for other purposes. PRESIDENTIAL COMM. SUBJECT COMMITTEE NO. 20-167 (dated & received 12/11/17) – Designating the INFO. Congressional Act No. 20-59, which was vetoed and overridden by Congress, as Public Law No. 20-60. MISCELLANEOUS SUBJECT COMMITTEE COMM. NO. 20-11 (dated and received 12/11/17) – From Mr. Patrick Blank, W&M submitting a proposal requesting funding for an FSM Early Leaders Project.

Speaker Simina: Chairmen and members, take a look at that for your planning purposes. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR:

C.B. No. 20-54, CD1 (1st Reading): To convert unpaid balances of prior loans from the National Government of the Federated States of Micronesia to the National Fisheries Corporation [funded], pursuant to Public Law No. 6-69 and Public Law No. 9-78, into grants for the purposes for which such loans were provided, and for other purposes. – W&M – (cf. SCR No. 20-45).

Deferred CD1 12/12/17 to today.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move that Congress pass on first reading C.B. No. 20- 54, CD1.

Senator Neth: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 54, CD1. Discussions?

Chairman Urusemal: Short recess, Mr. Speaker.

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Speaker Simina declared the Congress recessed at 10:56 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:59 a.m.

Speaker Simina: Congress comes back to session. We are on discussion of C.B. No. 20-54, CD1.

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: In the spirit of Christmas, I have an oral amendment that I would like to offer.

Speaker Simina: Proceed.

Chairman Figir: Thank you, Mr. Speaker. The verbal amendment to Congress Bill No. 20-54, CD1 is hereby amended to read as follows:

1. Page 1, line 1, “Section 1. Subject to the provisions of section 3 below,” delete that sentence by its entirety. 2. Page 1, line 11, delete “Subject to the provisions of section 3 below,”. 3. Page 2, delete lines 3 to 5 in their entirety. 4. Page 2, line 6, delete “Section 4”, and insert “Section 3” in lieu thereof.

I so move.

Senator Neth: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Figir be adopted. Any rule to suspend?

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that the relevant rule especially the provision relating to making substantive changes on second reading be suspended.

Speaker Simina: We are still on first reading.

Acting Floor Leader Urusemal: It shows how your Acting Floor Leader is on the ball. Thank you, Mr. Speaker.

Speaker Simina: There is no rule to suspend. Any further discussion on the offered oral amendment?

Chairman Perman: Mr. Speaker.

Speaker Simina: Yes.

Chairman Perman: Thank you, Mr. Speaker. Can I just ask about what the oral amendment he just made is going to do?

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Chairman Figir: The rationale of the oral amendment is clearly stated at the bottom. But let me say, since I only gave it by oral amendment. This is to remove the requirements of the NFC to pay the half a million into Trust Fund. The reason for this, as mentioned earlier, during the recess, this is our own corporation. I think it is kind of unfair for others that this Congress and the government have forgiven in the past. I think the NFC heard us loud and clear. I am sure, if not contributing to the future when they do better by passing legislation, they will voluntarily contribute to the Trust Fund. If not the Trust Fund, it will be other entities that need help. It’s our own corporation. I am sure they have a big heart to assist. We don’t need to require them because we are forgiving the loan and turn it into a grant therefore we must do this. As I said earlier, in the spirit of Christmas, I think we should allow this and let them move on and as we move on. And they are going to make a lot of money for the FSM. I ask that we adopt this and pass the measure. It is going to be an important measure for us. Thank you.

Speaker Simina: Thank you, Chairman Figir. Any further discussion? If none, if there is no objection, debate is closed on the offered amendment. Let’s vote. All those in favor of the offered oral amendment by Chairman Figir say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment is adopted. We now have CD2. Any further discussion on the Bill (C.B. No. 20-54, CD2)?

Chairman Perman: Question.

Speaker Simina: Question has been called for. If there is no objection, debate is closed. Let’s vote by roll call of Members. Chief Clerk.

The Chief Clerk took the roll call by Members.

Senator Alik Aye Senator Aritos Aye Senator Figir Aye Senator Gouland Aye Floor Leader Harper Absent Senator Konman Absent Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Nay Senator Urusemal Aye Senator Welly Absent Speaker Simina Aye

Chief Clerk: Mr. Speaker, ten Members voted for.

Speaker Simina: For that reason, C.B. No. 20-54, CD2 is passed on first reading Next bill.

C.B. No. 20-121, CD1 (2nd Reading): To amend Sections 9 and 12 of Public Law No. 20-42, as amended by Public Law No. 20-54, to sub-divide the Section 9 line item titled Conservation Society in each State, and to name the Governor of Chuuk State as the allottee for the Chuuk State share of this line item, and for other purposes.

Deferred CD1 12/12/17 to today.

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Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-121, CD1) on second and final reading.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that we pass C.B. No. 20-121, CD1 on second and final reading. Discussion?

Chairman Urusemal: Short recess.

Speaker Simina declared the Congress recessed at 11:07 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:08 a.m.

Speaker Simina: Congress comes back to session. Any further discussion on C.B. No. 20-121, CD1?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: I appreciated the agreement to defer this Bill (C.B. No. 20-121, CD1) from yesterday to today because I had thought or we had been requested to make an amendment on the Bill (C.B. No. 20-121, CD1). Between our session yesterday and this morning, there seem to be a confusion or some information that the amendment we are going to make is not necessary because there is, according to information, money that can be used for clearing the project site especially the runway in the airport in Woleai. So there is no need to amend this. I had asked the President’s Office to inform me if there is still need but there is nothing. So that is why there is no amendment even after the request to offer an amendment on this Bill (C.B. No. 20-121, CD1).

Speaker Simina: Thank you, Chairman Urusemal. I am sure – yes we have appropriated so much money. I don’t know just how much that is. Any other discussion? If none, discussion is closed. Let’s vote by roll call of Delegations.

The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Chairman Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, all the four States voted for.

Speaker Simina: For that reason, C.B. No. 20-121, CD1 has been passed on second and final reading. Next bill.

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C.B. No. 20-123 (2nd Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150, 20-05, 20-15, 20-33 and 20-48, by amending sections 4 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, to fund priority infrastructure projects and other programs in the state of Pohnpei, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I so move.

Senator Neth: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-123. Discussion? If none, debate is closed. Let’s vote by roll call of Delegations.

The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Chairman Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, all the four States voted for.

Speaker Simina: For that reason, C.B. No. 20-123 has been passed on second and final reading by Congress. Next bill.

C.B. No. 20-124 (2nd Reading): To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11, 20-49 and 20-55, by amending section 1 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Pohnpei, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-124).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-124. Any discussions? Short recess.

Speaker Simina declared the Congress recessed at 11:13 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:13 a.m.

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Speaker Simina: Congress comes back to session. Any further discussion on C.B. No. 20-124? If none, discussion is closed. Let’s vote by roll call of Delegations. Chief Clerk.

The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Chairman Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, all the four States voted for.

Speaker Simina: For that reason, Congress has passed C.B. No. 20-124 on second and final reading. Next bill.

C.B. No. 20-125 (2nd Reading): To amend Public Law No. 20-60, by amending sections 3, 4, 5 and 6 thereof, to change the use and allottee of funds previously appropriated therein, to funding public projects and social programs in the state of Kosrae, Pohnpei and Chuuk, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-125).

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-125. Short recess.

Speaker Simina declared the Congress recessed at 11:15 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:17 a.m. Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-125. Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move that the Bill (C.B. No. 20-125) be deferred to tomorrow’s Bill Calendar.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-125 be deferred to tomorrow’s Bill Calendar. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-125, is deferred to tomorrow’s Calendar for action. Next bill.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

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RESOLUTION CALENDAR

C.R. No. 20-63, CD1: Approving and accepting a grant in the amount of $3,032,657 from the U.S. Department of Education for the Federal Fiscal Year 2018 fund under Part B of the Individuals with Disabilities Education Act, including all the terms and conditions of the assistance.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I so move for the adoption of the said Resolution (C.R. No. 20-63, CD1).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-63, CD1. Any discussions?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: I just want to offer a technical amendment.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:20 a.m., subject to the call of the Chair.

RECESS The Congress reconvened at 11:33 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of Resolution No. 20- 63, CD1. Any further discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: I just hope that the staff would make necessary technical corrections to the Resolution (C.R. No. 20-63, CD1) as you stated, Mr. Speaker on page 1 and page 2. Even the Governor of California is talking about new normal. I hope this is not the beginning if new normal here. Thank you.

Speaker Simina: Thank you, Chairman Urusemal. Any further discussion? If there is no further discussion, debate is closed. Let’s vote. All those in favor of the adoption of C.R. No. 20-63, CD1 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Resolution, C.R. No. 20-63, CD1. Next resolution.

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 11:34 a.m., subject to the call of the Chair.

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RECESS

The Congress reconvened at 11:35 a.m.

Speaker Simina: Congress comes back to session. Next resolution.

C. R. No. 20-58, CD1: Approving and accepting a grant in the amount of $800,000 from the Government of the People’s Republic of China, to subsidize the newly launched airline between the FSM and Papua New Guinea, including all the terms and conditions of the assistance.

Speaker Simina: Chairman Gouland.

Chairman Gouland: I move to adopt the said Resolution (C. R. No. 20-58, CD1).

Chairman Figir: Second.

Speaker Simina: It is moved and seconded that Congress adopt C. R. No. 20-58, CD1. Any discussion?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Yes, Vice Speaker Moses.

Vice Speaker Moses: I just want to know. Where is this $1.2 million dollars coming from? Because I understand that we have several grants that are supposedly for Yap and Pohnpei. Is this funding going to come out of that year mark?

Speaker Simina: That is for something different.

Acting Floor Leader Urusemal: Short recess.

Speaker Simina declared the Congress recessed at 11:36 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:37 a.m.

Speaker Simina: Congress comes back to session. We are still in discussion of C. R. No. 20-58, CD1. Any further discussion? If none and no objection, debate is closed. So let us vote. All those in favor for the adoption of C. R. No. 20-58, CD1 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted C. R. No. 20-58, CD1. Next resolution.

Chief Clerk: There are none Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Motion to withdraw and place C. R. No. 20-73 on our Calendar for today.

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Speaker Simina: There is a motion. Any second?

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that C. R. No. 20-73 be withdrawn from Committee and placed under Resolution Calendar for action. Short recess.

Speaker Simina declared the Congress recessed at 11:38 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:39 a.m.

Speaker Simina: Congress comes back to session. There is a motion to withdraw and place C. R. No. 20-73 for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. C. R. No. 20-73 is withdrawn from Committee and placed under Resolution Calendar for action.

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Action Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that the relevant rules especially written reports on resolutions be suspended.

Chairman Perman: Second.

Speaker Simina: It is moved and seconded that the relevant rules especially the one requiring written reports on all measures be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are suspended. Short recess.

Speaker Simina declared the Congress recessed at 11:40 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:41 a.m.

Speaker Simina: Congress comes back to session. Chairman Perman, make your motion for adoption.

Chairman Perman: Thank you, Mr. Speaker. I so move for the adoption of C. R. No. 20-73.

Acting Floor Leader Urusemal: Second.

Speaker Simina: It is moved and seconded that Congress adopt C. R. No. 20-73. Read the title, Chief Clerk.

C. R. No. 20-73: Approving and accepting a grant from the United Nations Children’s Fund (UNICEF) in the amount of $39,667 to fund and support the FSM’s project

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entitled: “Expanded Programme on Immunization” in the FSM, including all the terms and conditions of the assistance.

Speaker Simina: There you have it. Any discussion? If no discussion and no objection, discussion is closed. So let’s vote for the adoption of the C. R. No. 20-73. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. C. R. No. 20-73 is adopted by Congress. Next resolution.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Yes, Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move to withdraw and place C. R. No. 20-74 on the Order of Business for action.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that C. R. No. 20-74 be withdrawn and placed under Resolution Calendar for action. The relevant rules are still suspended up to this point. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. C. R. No. 20-74 is placed on the Resolution Calendar for action.

Acting Floor Leader Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:42 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:48 a.m.

Speaker Simina: Congress comes back to session. We are still in discussion of C. R. No. 20-74. Any further discussion? If none and no objection, debate is closed. So let’s vote. All those in favor for the adoption of C. R. No. 20-74 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted the Resolution, C. R. No. 20-74. Next resolution, Chief Clerk.

Chairman Romolow: Mr. Speaker.

Speaker Simina: Yes, Chairman Romolow, you have the floor.

Chairman Romolow: I make a motion to withdraw and place C. R. No. 20-72 under the Resolution Calendar.

Acting Floor Leader Urusemal: Second.

Speaker Simina: It has been moved and seconded that C. R. No. 20-72 be withdrawn and placed under Resolution Calendar for action. The relevant rules are still suspended. All those in favor of the motion for placement say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20- 72, is withdrawn and placed under Resolution Calendar for action. Make your motion for adoption, Chairman Romolow.

Chairman Romolow: I move for the adoption of the said Resolution (C. R. No. 20-72).

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Acting Floor Leader Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C. R. No. 20-72. Discussion. Chairman Gouland, you have the floor.

Chairman Gouland: Thank you, Mr. Speaker. May I know the title of the said Resolution (C. R. No. 20-72)?

Speaker Simina: Chief Clerk, read it.

C. R. No. 20-72: Expressing the sincere congratulations and appreciation to Bishop Amando Samo for his dedicated work as Bishop of the Diocese of the Caroline Islands on the thirtieth anniversary of his being ordained as bishop.

Speaker Simina: There you have it. Discussion. Yes, Chairman Gouland, you have the floor.

Chairman Gouland: I move to defer action on the said Resolution (C. R. No. 20-72) for tomorrow.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:50 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:51 a.m.

Speaker Simina: Congress comes back to session. Chairman Gouland.

Chairman Gouland: I move to withdraw my motion.

Acting Floor Leader Urusemal: Second.

Speaker Simina: It has been moved and seconded. If there are no objections, the motion has been withdrawn. We are still on discussion on C. R. No. 20-72. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. I wish to also clarify the content of the Resolution (C. R. No. 20-72) that I think we might need to look online. It says Parem Island. I am hoping it is not referring to the priest who is Parem Island and who is also in line for this post. Maybe it will be look at and verify if it actually Bishop Samo was born on Parem Island or on his Island of Moch. Thank you.

Speaker Simina: Yes, the correction will be made. Yes, of course, the technical corrections will always be made to our measures. Are there any further discussions? If none and no objection, debate is closed. So let’s vote. All those in favor for the adoption of C. R. No. 20-72 say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress has adopted C. R. No. 20-72. Next resolution, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:53 a.m., subject to the call of the Chair.

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RECESS

The Congress reconvened at 11:53 a.m.

Speaker Simina: Congress comes back to session. Chief Clerk. Next item.

INTRODUCTION OF BILLS

C.B. No. 20-126: Introduced by: Floor Leader Harper (By request) Assigned to: W&M Date introduced: December 13, 2017

To appropriate $71,530 of Supplemental Education Grant (SEG) by amending sections 1 and 9 of Public Law No. 20-42, as amended by Public Law No. 20-54, to make a technical correction, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-72: Introduced by: Speaker Simina Assigned to: NONE Date introduced: December 13, 2017

Expressing the sincere congratulations and appreciation to Bishop Amando Samo for his dedicated work as Bishop of the Diocese of the Caroline Islands on the thirtieth anniversary of his being ordained as bishop.

C.R. No. 20-73: Introduced by: Floor Leader Harper (By request) Assigned to: H&SA Date introduced: December 13, 2017

Approving and accepting a grant from the United Nations Children’s Fund (UNICEF) in the amount of $39,667 to fund and support the FSM’s project entitled: “Expanded Programme on Immunization” in the FSM, including all the terms and conditions of the assistance. C.R. No. 20-74: Introduced by: Floor Leader Harper (By request) Assigned to: T&C Date introduced: December 13, 2017

Approving and accepting a grant from the Government of the People’s Republic of China in the amount of $1,200,000 to support the operation of the Y12 aircraft, including all the terms and conditions of the assistance.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any Miscellaneous Business?

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December 13, 2017 CONGRESSIONAL JOURNAL – DAY SEVEN – 3SS – 20CFSM

Chairman Romolow: Miscellaneous Business. Yes, Mr. Speaker.

Speaker Simina: Yes, Chairman Romolow.

Chairman Romolow: I have two Miscellaneous Business. First, what happened to our clock over there? I keep looking over in order to take my medication but I could not see the clock. Second, I would humbly ask you and Congress to designate me to hand-carry this Resolution (C. R. No. 20-72) to the Bishop. Thank you.

Speaker Simina: Yes, thank you Chairman Romolow. I have been trying figure out where the clock has been taken for fixing. It has been almost two months; and as for the second, we will talk about it. Of course, you will have the upper hand in being designated. Chairman Panuelo.

Chairman Panuelo: Speaker, the information is a little late but Father Ken just sent that Bishop Samo was born in Moch, Mortlock Islands and he was Julias who was born on Parem Island.

Speaker Simina: Yes, the corrections will be made.

Chairman Romolow: So you have access to the priest.

Chairman Panuelo: Yes.

Speaker Simina: Anything further with Miscellaneous Business? Vice Speaker, you can make your announcement during Announcements, right?

Chairman Panuelo: Speaker.

Speaker Simina: Yes, state your point.

Chairman Panuelo: I have just been given a note here to introduce a retired, security officer who is observing our session. Can we kindly give a round of recognition to Bonster Fredrick, who was with COM- FSM. He is now retired from being a security officer at COM-FSM. Let us give him a round of recognition to thank him for observing our session. Thank you (applause).

Speaker Simina: Thank you, he is, indeed, welcome to observe this Congress in action any time.

Chairman Panuelo: His presence reminded me that his request for his road is still pending. So I have much work to do, Mr. Speaker. Thank you.

Speaker Simina: Continue working with your constituents. Any other Miscellaneous Business? If none, let us go to announcements.

ANNOUNCEMENTS

Speaker Simina: Chairman Figir, any announcements? Chairman Alik? Chairman Perman?

Chairman Perman: Thank you, Mr. Speaker. We have a hearing today for Social Security at 2:00 p.m.

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Speaker Simina: Okay, take note members of the Committee and also Members who are interested in Social Security today at 2:00 p.m. Chairman Romolow? Chairman Panuelo?

Chairman Panuelo: No announcements, Mr. Speaker.

Speaker Simina: Chairman Gouland? Chairman Urusemal? Vice Speaker Moses, do you have any announcement?

Vice Speaker Moses: Thank you, Mr. Speaker. We have a get together this evening at 6:30 p.m. But those who are wanting to have some sakau, it will be ready between 4:30 p.m. and 5:00 p.m.

Speaker Simina: That is, indeed, our Christmas Party with our staff members. All of you are urged to attend. Senator Neth? Senator Aritos, do you have any announcements? Acting Floor Leader?

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that this Congress stand in recess until tomorrow morning at 10:00 a.m. sharp.

Speaker Simina: Any second?

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Congress stands in recess until 10:00 a.m. in the morning sharp. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress now stands in recess until tomorrow at 10:00 a.m. in the morning sharp.

Speaker Simina declared that the Congress stand in recess at 11:58 a.m., Wednesday, December 13, 2017, until Thursday, December 14, 2017, at 10:00 a.m.

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION

DAY EIGHT Thursday, December 14, 2017

The Eight Day (Closing Day) of the Third Special Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:55 a.m., Thursday, December 14, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Eleven Members were present; Senator Konman, Chairman Panuelo and Chairman Welly were excused.

Floor Leader Harper moved to dispense with the reading of the Journal; Chairman Perman seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS

None

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

-No. 20-14 - (dated and received 12/14/17) – From Chairman Perman of the Committee on H&SA, submitting a report on the outcome of public hearings held with Social Security, on the status of the FSM Social Security Administration.

Speaker Simina: Assign that, Chief Clerk. Next item.

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

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STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

None

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-44.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA THIRD SPECIAL SESSION December 07, 2017 to December 16, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-44, DAY 08, THURSDAY, 12/14/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-126 To appropriate $71,530 of Supplemental Education Grant W&M (SEG) by amending sections 1 and 9 of Public Law No. 20- 42, as amended by Public Law No. 20-54, to make a technical correction, and for other purposes. C.R. NO. SUBJECT COMMITTEE 20-72 Expressing the sincere congratulations and appreciation to NONE Bishop Amando Samo for his dedicated work as Bishop of the Diocese of the Caroline Islands on the thirtieth anniversary of his being ordained as bishop. 20-73 Approving and accepting a grant from the United Nations H&SA Children’s Fund (UNICEF) in the amount of $39,667 to fund and support the FSM’s project entitled: “Expanded Programme on Immunization” in the FSM, including all the terms and conditions of the assistance.

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20-74 Approving and accepting a grant from the Government of T&C the People’s Republic of China in the amount of $1,200,000 to support the operation of the Y12 aircraft, including all the terms and conditions of the assistance. PRESIDENTIAL COMM. SUBJECT COMMITTEE NO. 20-168 Transmitting a proposed Resolution approving and accepting H&SA a foreign financial assistance given and made available by the United Nations Children’s fund in the amount of $39,667 to fund the FSM Expanded Programme on Immunization Project managed by the FSM Department of Health and Social Affairs. 20-169 (Dated & received 12/12/17) – Transmitting a Bill to W&M appropriate $71,530 of Supplemental Education (SEG) funding recently awarded by the US Department of Interior (DOI), to be used for the NDOE Year 3 Project (SEG), which was originally appropriated by Public Law No. 20-42. 20-170 (Dated & received 12/12/17)-Sharing a Note from the US EX.AFF. Embassy, with an enclosed letter to Secretary Lorin Robert from Peace Corps Country Director Temby Caprio informing of Peace Corps Volunteers’ withdrawal from the FSM by June 2018. 20-171 (dated 12/12/17 and received 12/13/17) – Transmitting a T&C resolution approving the $1.2 million grant from China for the one-year operation of Y-12 aircraft. MEMBER SUBJECT COMMITTEE COMM. NO. 20-13 (dated and received 12/11/12) – From Chairman Robson U. INFO. Romolow, reporting on the FSM Congress delegation participation at the Western & Central Pacific Fisheries Commission 14th regular session at the Philippines National Convention Center in Manila from December 3-7, 2017.

Speaker Simina: Chairmen and members, take a look at the Referral Sheet No. 20-44 for your planning purposes. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-125 (2nd Reading): To amend Public Law No. 20-60, by amending sections 3,4,5 and 6 thereof, to change the use and allottee of funds previously appropriated therein, to funding public projects and social programs in the state of Kosrae, Pohnpei and Chuuk, and for other purposes.

Deferred 12/13/17 to today.

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Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-125) on second and final reading.

Chairman Perman: Second.

Speaker Simina: It is moved and seconded that Congress pass on second and final reading C.B. No. 20-125. Discussion.

Chairman Figir: Short recess.

Speaker Simina declared the Congress recessed at 11:00 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:02 a.m.

Speaker Simina: Congress comes back to session. We are in discussion of C.B. No. 20-125. Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. I move that this Bill (C.B. No. 20-125) be deferred to the end of the Bill Calendar.

Floor Leader Harper: Second.

Speaker Simina: It is moved and seconded that this Bill (C.B. No. 20-125) be deferred to the end of the Bill Calendar. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The said Bill (C.B. No. 20-125) is deferred to the end of the Bill Calendar. Next Bill.

C.B. No. 20-54, CD2 (2nd Reading): To convert unpaid balances of prior loans from the National Government of the Federated States of Micronesia to the National Fisheries Corporation funded, pursuant to Public Law No. 6-69 and Public Law No. 9-78, into grants for the purposes of which such loans were provided, and for other purposes. – W&M – (cf. SCR No. 20-45).

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of the Bill (C.B. No. 20-54, CD2) on second and final reading.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-54, CD2. Any discussions? If none, debate is closed. Let’s vote by roll call of Delegations. Chief Clerk.

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The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Perman Aye State of Kosrae: Chairman Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, all the four States voted for.

Speaker Simina: For that reason, Congress has passed C.B. No. 20-54, CD2 is passed on second and final reading. Next bill.

C.B. No. 20-125 (2nd Reading): To amend Public Law No. 20-60, by amending sections 3,4,5 and 6 thereof, to change the use and allottee of funds previously appropriated therein, to funding public projects and social programs in the state of Kosrae, Pohnpei and Chuuk, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of C.B. No. 20-125 on second and final reading.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress pass C.B. No. 20-125 on second and final reading. Any discussions?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. I believe I have an amendment on that Bill (C.B. No. 20-125). With all due respect, Mr. Speaker, since it’s rather lengthy, I move that the reading of it be suspended, and I move for the adoption of the written amendment.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20- 125 offered by Chairman Urusemal be adopted. Because of its length, its reading will be dispensed with. Do we have any rules to suspend?

Floor Leader Harper: Mr. Speaker.

Speaker Simina: Proceed, Floor Leader.

Floor Leader Harper: Thank you, Mr. Speaker. To safeguard that we don’t violate any of our rules, I hereby move to suspend any relevant rules may impede our action on the proposed amendment.

Vice Speaker Moses: Second.

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Speaker Simina: It has been moved and seconded that the relevant rules specifically the rule prohibiting substantive amendment on second and final reading be suspended with. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are suspended at this point. Any discussion on the offered floor amendment made by Chairman Urusemal?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I believe I have an oral amendment to the written amendment. Item one: in the title, line 1 after the word, “Sections”, insert “2,” I so move, Mr. Speaker.

Floor Leader Harper: Second.

Speaker Simina: It is moved and seconded that offered oral amendment insert “2,” after “Sections” in line 1 in the title. Any discussion?

Chairman Urusemal: Item two, Mr. Speaker, on the oral amendment on the written amendment.

Speaker Simina: Proceed.

Chairman Urusemal: In the title, line 4, after the word “of”, include “Yap,” I so move, Mr. Speaker.

Floor Leader Harper: Second.

Speaker Simina: Those are the oral amendments. It has been moved and seconded that we adopt the oral amendments to the written amendments as offered. Any discussion on the offered oral amendments? If none and no objections, we’ll vote on the oral amendments to the written amendments. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendments to the written amendments are adopted. We now, continue discussion on the written amendments as amended or are there any further discussion? Have you reviewed your oral amendments? If there is no further discussion, then debate is closed. Let us vote. All those in favor of the adoption of the offered floor amendment to C.B. No. 20-125 offered by Chairman Urusemal as amended say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered written amendment as orally amended has been adopted. We now have CD1. Any further discussion? If none and with no objection, discussion is closed. Let us vote by roll call of Delegations. Chief Clerk.

The Chief Clerk took the roll call by States.

State of Chuuk: Chairman Aritos Aye State of Pohnpei: Chairman Perman Aye State of Kosrae: Chairman Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, all the four States voted for.

Speaker Simina: For that reason, C.B. No. 20-125, CD1 has passed Congress on second and final reading. Next bill.

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Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:11 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:13 a.m.

Speaker Simina: Congress comes back to session. We are still on the Bill Calendar. Any more bills, Chief Clerk?

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item is Resolution Calendar.

RESOLUTION CALENDAR

None

Speaker Simina: Any resolutions?

Floor Leader Harper: May I ask for a short recess?

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:13 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:17 a.m.

Speaker Simina: Congress comes back to session. We are still on the Resolution Calendar. Any resolution to introduce or to place? If none, let us move to the next item. Chief Clerk, next item.

INTRODUCTION OF BILLS

None

INTRODUCTION OF RESOLUTIONS

None

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

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Speaker Simina: Any Miscellaneous Business?

Floor Leader Harper: Mr. Speaker.

Speaker Simina: Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. Thanks to my brother here for yielding the floor to me. At this time, I simply want to express my sincere appreciation and gratitude to all our staff for their ability and efficiency in working out all the workload for this Third Special Session and at the same time plan out for the activities last night. I think everybody was enjoying himself or herself last night. We were laughing and very merry last night. So I really want to take this opportunity to express to them my personal appreciation for what they have done. In addition to that, I really want to say that not only for this session that they have been doing a lot of hard work, but also in the previous sessions. They had also done a lot of great work, which had made our previous sessions very successful once. So I would kindly ask to continue keep on maintaining this kind of attitude in working out the best of our session either regular or special session. Furthermore, Mr. Speaker, if I may not be out of order, I would also like to take this time to make a motion that all the journals for this special session from day one until today be reviewed by the presiders with the assistance of the appropriate staff and approved by such presiders. I so move, Mr. Speaker.

Chairman Urusemal: Second.

Speaker Simina: It is moved and seconded that all the journals from day one and the records be reviewed and approved by the presiding offers while we are in session. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. So be it. Let the records reflect that. Any other miscellaneous business? Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I wish to attach myself to the statement made by our good brother to my right relating to the hard works by our staff. And in that connection, I would also wish on behalf of my family and the great people of the state of Yap and the government extend to all of you members: Mr. Speaker, Vice Speaker and the other Members and your families as well as the staff and as for them our Christmas wishes for this Holiday Season to all of you. Secondly, Mr. Speaker, while I am kind of hesitating to raise this issue at this time of the year before Christmas, I cannot help but want to raise it. Relating to the schedule of our field trip vessels, I would respectfully request the Executive Branch that when schedules are made by the Department of Transportation Communication and Infrastructure especially that Marine Division to be consistent on schedules as much as possible unless it is for emergency situations, they have to keep copies itineraries and the schedule in order to avoid conflicts. Recently, when one of the vessels was detailed to do field trip services in Yap, a schedule was sent way in advance for services to be provided. And plans for families, businesses, and for the state government were already made in accordance with the schedule received from the Department of TC&I. Unfortunately, that schedule was abruptly, just few days before undertaking trip to two of the outer islands of Yap, the decision was made to abort that trip. And everything fell apart, including cargos that were supposed to go out beyond the islands of Ulithi and Fais. Christmas is just around the corner and people would like to get some Christmas gifts and some imported food for Christmas, a once in a year occasion, but they could not because the booking of Cargo was not allowed because of the termination of the trip to those two islands, and everything fell apart. I would hope that the Executive Branch, when creating schedules, we try as much as possible not to repeat the disagreement with our airlines and ship schedules. There was another incident happened before when the plane is flying west and then somebody requested the plane to change direction and fly east is really another disruptive. It is not good for our government and especially our effort to work together with our state government. I would also hope that the Chairman of T&C who has assured me of that Committee’s looking into the matter would do so and report to Congress on why changes in schedule

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of our ship made like that when schedules are given and people, government, and businesses have made their booking accordingly. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. That’s a very legitimate concern. I think everyone shares it, the other regions of the Nation. Because of the importance of the sea transportation, we need to be consistence. We will ask Chairman Gouland to look into that and report back to Congress.

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. Good morning to you all. With the same concern that was raised by Chairman Urusemal, I also wish to share my piece, where I am in the same boat with the scheduling of the vessels. Recently, the ship was stranded in Chuuk and was supposed to go to the islands in the Northwest, I understand that there hasn’t been any service before Christmas, but all the islands of the Federation have been serviced. I am afraid the ship will, one of these days, go back and abort the trip to the Northwest and come back to Pohnpei. Earlier, before the ship left, the schedule was to service to the Mortlocks, Weno, and to the Northwest region. There has been cargo booked and delivered to the dock here in Pohnpei. One day or the day of the departure, the schedule changed, but they would not allow loading their cargo for Northwest region. After the ship left servicing to the Mortlocks, the schedule changed and it will indeed go to Northwest islands. The cargos are stranded on the dock. This is the same issue that happened earlier this year where there were passengers and cargo booked and on the ship coming to Pohnpei but the schedule changed and they were dropped off in Weno because they would not come to Pohnpei but to return back to Yap or other regions. The citizens, including myself, struggled to see where we could house those passengers because they were not booked to travel to Weno but to Pohnpei. Because of the changes that they don’t have control over, they were stranded. I wish, in the same concern shared, that our Chairman of T&C could look into and help so the services can be addressed the needs of the people on the outer island. Thank you.

Speaker Simina: Thank you, Chairman Romolow. Short recess.

Speaker Simina declared the Congress recessed at 11:28 a.m., subject to the call of the Chair.

RECESS

Senator Tiwiter Aritos left the Chamber at 11:30 a.m.

The Congress reconvened at 11:30 a.m.

Speaker Simina: Congress comes back to session. Chairman Gouland, you have the floor.

Chairman Gouland: Thank you, Mr. Speaker. Those concerns from our two colleagues here are legitimate. But, Mr. Speaker, I understand that we try our best to coordinate with the Department of T&C in order to accommodate the needs of the states. I know it is very difficult for the “last minute” changes of the schedules. Somehow, some emergency situation came up and I think that is the reason why they don’t accommodate the request from our side. Mr. Speaker, I think there is a consideration that Congress should consider in the future. I understand that the $10 million dollars has been allocated to all the four States. When it comes to the need of all the four States, I think we really have to be generous to donate the $10 million dollars to a state in order to accommodate the needs. I hope the Congress consider it in the future that if we have $10 million dollars allocated to the states, whatever priority needs, let’s put in consideration

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and be generous to donate your share so that they can accommodate the needs. This is the request from your Chairman of T&C. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Gouland for giving us a hint on where we are heading. We need $10 million dollars for another ship. I will encourage your Committee to work on that and see if it can be worked out. Any other miscellaneous business?

Chairman Romolow: Mr. Speaker, if I may.

Speaker Simina: Chairman Romolow.

Chairman Romolow: Just to humbly request to my good Chairman of T&C to help with the current schedule of the Micronesian Navigator in Chuuk to make sure that they don’t abort the trip to the Northwest before Christmas. Thank you.

Speaker Simina: Thank you, Chairman Romolow. That’s the request to Chairman Gouland for him to take a look into it. That’s an important matter for the people in the Northwest region, Chuuk. Any other miscellaneous business?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, Members, and all that are observing our session this morning. Mr. Speaker, first of all, Merry Christmas and Happy New Year to all. After having the hearing yesterday with Social Security, I think we have a new agenda here with the Members Communication. I want all Members to look at it because Social Security has been asking the President to help, support this amendment and then sent up a bill. So far, nothing has been sent up. There’s no bill to act on. That’s the reason why we met them yesterday because they want to actually explain what are the amendments. I think that’s a great hearing. Having that hearing yesterday, there are two things that came onto my mind. One of them is, how do we create job in our Nation? In fact, there is millions of dollar in the infrastructure development of FSM that has been still, I think after we did the new PMO Offices and everything like that, I would like to get an idea, maybe from the proper Committee to see what is happening right now. By next year, the new year, I am hoping and wishing that all the millions dollars in the infrastructure would start moving so jobs can be created; and it will be good for economic growth and for Social Security system. That is one concern that I have. The other one is, right after we passed the resolution for the $5 million dollars from World Bank for consulting, my concern in that as of the last Nineteenth Congress, we also approved a large amount of money, I think about $5 million dollar for energy. For me, after going off islands and meeting with people with the power energy, that I actually understand the solar power system, the energy part of it. Five million dollars and the outcome was only $600 dollars kilowatts. I am hoping that the Chairman of R&D will have a hearing or oversights with the Department of R&D. How are they coming up with this? If I am not mistaken, that kind of amount of money should come with the battery banks, not only the panels to get the power, but they need to store those. According to some of the different energy companies that we met, there were more than ten that I already started talking with. They can provide that kind of money with the battery banks. Meaning, when the battery goes off, the power they capture from the sun stores. I know Telecom is using that. Every time the power goes off, they don’t have any power problem because the battery banks kicks in immediately. I know we will be getting a lot of money for energy provisions. My concern is that amount of money; the huge amount of money buys what we really need. We have another project that will be going on the hospital right now that will cost about a million dollar. Now they said it’s without the battery bank. That

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basically is not going to help a lot. But this is the concern I have. The amount of money that we will be getting for energy provisions, it can only do so little. Maybe they are not really reaching out to a lot of companies or to do a lot of biddings that can provide what needed. This is the concern I have that I want to share. Thank you, Mr. Speaker.

Speaker Simina: Thank you very much, Chairman Perman for those concerns. They are very important. Of course, with our R&D Committee, they should really look into it because it is not going to slow down. We are going to continue to receive funding from different sources from all these Climate Change related activities and programs. So those kinds of concerns should be given to the appropriate departments so they can address them as they proceed to finding ways to use those funding, which will keep coming in as far as I know.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I would like to request to you if I may be excused. I have to run to Kitti to pick up my mumu and skirts. I know time is limited because of the arrival of the plane. I am kind of hesitating to say this but I have to say it before I leave. Mr. Speaker, I would like to express our greetings to all Members and staff, “Mele Kalikimaka me ka Hau’oli makahiki hou”. Thank you very much.

Speaker Simina: Thank you, Chairman Gouland. Yes, you can be excused. I think we are winding down. Any other miscellaneous business?

Chairman Victor Gouland left the Chamber at 11:39 a.m.

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. Good morning to you, Members, and those observing. I just want to encourage us to look at the amendment to the financial management act that we have decided to move to the January session. I believe that they are legitimate concerns on the threshold. For us over the break until we meet again in January, please read through it. I believe there are some deletions that we have to make. I believe the Chairman of Ways and Means understands what I am saying. Before I end, I would like to wish you, Mr. Speaker, Members, and staff a very Merry Christmas and Happy New Year. I hope we find ourselves safely back in the January session. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Vice Speaker Moses. Any other miscellaneous business?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: Just a small one. I know we have been wishing each other Christmas greetings but I would like to thank this Congress for taking a positive step forward on the bill that we passed on second and final reading today, relating to the changing of loans to grants for NFC. I think we should challenge that the entity to make use of this blessing by Congress in expanding and improving what

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December 14, 2017 CONGRESSIONAL JOURNAL – DAY EIGHT – 3SS – 20CFSM

they are doing, making sure that the money that has been forgiven or changed into grants is used well, and not dish out more and more concessions to fishing companies. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. That is a valid concern and we need to continue addressing it, encouraging this entity to make sure that there are things – we convert these loans to grants – loans that have already been used up and at the same time we also are thankful to Chairman Figir. He took out that requirement condition that they put in the amount. It should not be something for them to take for granted. They should actually come forward and make it a challenge for them to continue to provide the things that they were intended to provide, and that’s economic development fishery area in our Nation. With that, I think we need to continue to follow up with them and encourage them to do the right things. Any other miscellaneous business? Chairman Alik.

Chairman Alik: Thank you, Mr. Speaker. I actually did not ask for the floor. But since you are offering, I will take this opportunity. On behalf of us, I extend our congratulations to our staff, Jesse for getting married. Unfortunately some of us will not be around. I wish them the best in their new endeavour. Mr. Speaker, we have been hearing concerns in terms of transportation and other areas, but I tried to take some of these challenges as something for us to work on. I can only say something in relation to financial assistance that we have been receiving. We heard a while ago that we have received so much and yet what is given to the states to improve on their infrastructure has not been improved. I think to some extend, we should take the challenge and blame ourselves for the way we are doing our financial assistance. I would like to support an approach that when we are given such amount of money, let’s give the individual state the whole amount so that they can improve on the infrastructure, including transportation. I think we should at least try to find a way that we can undertake to improve the way we are spending money that have been given to us. Of course we have been receiving a lot, but again, when we divide among the four States for five governments and we received very little that we are not able to pursue for our people. My recommendation here, Mr. Speaker, is in future financial assistance given to this Nation, we help the others that really need it. We give the whole amount so that they can use the whole amount to develop or accomplish their needs so we don’t keep complaining as we have been doing in terms of transportation. That’s a challenge that I think we should undertake. Thank you very much, Mr. Speaker, for giving me the floor.

Speaker Simina: Thank you, Chairman Alik. Well, I guess you have pretty much given Chairman Urusemal the hint that all Kosrae’s funding for next cycle should go to Yap State for a ship. We should take that. But on a serious note, you are correct. I think we have gotten so much money given to us either by foreign assistance. But we need to, as a matter of policy, figure out how we should approach the use of that kind of funding. Any further miscellaneous business? Senator Neth?

Senator Neth: Thank you, Mr. Speaker for the opportunity. I join my constituents in associating ourselves with the holiday greetings that have been extended to you, Members, staff, and everybody else, your constituents as well. I would want to say that we did not accomplish much in this session but I think otherwise. I think we have made some important amendments with projects that would help our constituents and I think it allow us to get together, have Christmas party together that will improve and increase our spirit of unity and cooperation. So, thank you, Mr. Speaker.

Speaker Simina: Thank you very much, Senator Neth for you Christmas spirit. I really appreciate that. I think we should all be in that same mood. I reserve the last miscellaneous for you, Chairman Figir, our moneyman. Anything?

Chairman Figir: Thank you, Mr. Speaker for yielding the floor. I don’t have much. I wish all of you the merriest Christmas and productive New Year. My only regret is I don’t have anything for anybody.

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December 14, 2017 CONGRESSIONAL JOURNAL – DAY EIGHT – 3SS – 20CFSM

This is the time of giving and sharing and I don’t have much to share with anybody except my love and care for all of you. I just want to also say that after today, I am going to activate my sleeping mode and I don’t want anybody to bother me until next year. Thank you.

Speaker Simina: Thank you very much, Chairman Figir. I was intending to email or calling you for some trips but thank you for that message. Any further miscellaneous before we adjourn? I think we will adjourn sine-die today. Before we go to that, I just want to say on behalf of our hardworking staff, our merry Christmas and happy New Year to Members. Sometimes, we take for granted that our staff are just robotic in the way they work. They are just like us. I would ask that if there is anything that any of our staff have done to any of you or may not have done to upset any of you, we would like to ask for forgiveness. It’s that time of year. We need to continue to work together to have sense of understanding between us, as Members and our staff, I would appreciate that very much. With that, let us yield the floor to Floor Leader Harper.

Floor Leader Harper: Mr. Speaker, I move that we adjourn sine-die.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that we adjourn sine-die. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. May we all stand? I hereby declare the Third Special Session of the Twentieth Congress adjourn sine-die. Merry Christmas and Happy New Year everybody.

Speaker Simina declared that the Congress adjourn sine-die at 11:49 a.m., Thursday, December 14, 2017.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Standing Committee Reports

96

STANDING COMMITTEE REPORT NO. 20-42

RE: C.A. NO. 20-59 (P.C. NO. 20-158)/W&M

SUBJECT: VETO OVERRIDE OF C.A. NO. 20-59

DECEMBER 08, 2017

The Honorable Wesley W. Simina

Speaker, Twentieth Congress

Federated States of Micronesia

Third Special Session, 2017

Dear Mr. Speaker:

Your Committee on Ways & Means, to which was referred Presidential Communication No. 20- 158, regarding the veto of Congressional Act No. 20-59, entitled:

“AN ACT TO APPROPRIATE THE SUM OF $4,450,000 FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2018, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF YAP, KOSRAE, POHNPEI AND CHUUK, AND FOR OTHER PURPOSES.”,

begs leave to report as follows:

The intent and purpose of this act are expressed in its title.

Your Committee has reviewed Congressional Act No. 20-59 and the accompanying veto message (P.C. No. 20-158). Your Committee did not find any legal impediments or drafting errors in the Act. Your Committee notes the President’s comments in P.C. No. 20-158, and your Committee has determined that the veto is purely based on policy.

CONCLUSION

Your Committee has reviewed the veto of Congressional Act No. 20-59 and the veto message. Your Committee finds that the decision made by the Executive was made based on policy and not on a legal or constitutional defect of the Act. Your Committee disagrees with this policy decision and recommends overriding the veto of Congressional Act No. 20-59.

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STANDING COMMITTEE REPORT NO. 20-42

RE: C.A. NO. 20-59 (P.C. NO. 20-158)/W&M

SUBJECT: VETO OVERRIDE OF C.A. NO. 20-59

DECEMBER 08, 2017

Respectfully submitted,

/s/ /s/ Isaac V. Figir, chairman David W. Panuelo, member

/s/ /s/ /s/ /s/ Victor V. Gouland, member Ferny S. Perman, member

/s/ /s/ Robson U. Romolow, member Joseph J. Urusemal, member

/s/ /s/ Paliknoa K. Welly, member

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STANDING COMMITTEE REPORT NO. 20-43

RE: C.R. No. 20-68/W&M

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $5,500,000 FROM WORLD BANK

DECEMBER 11, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia Third Special Session, 2017

Dear Mr. Speaker:

Your Committee on Ways & Means, to which was referred Congressional Resolution No. 20-68, entitled:

“A RESOLUTION APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $5,500,000 FROM THE WORLD BANK IN CONNECTION WITH THE PREPARATION OF PROPOSED WORLD BANK FINANCED PROJECTS, INCLUDING THE TERMS AND CONDITION OF THE ASSISTANCE.”, begs leave to report as follows:

The intent and purpose of this resolution are expressed in its title.

Your Committee held a meeting with representatives from the Department of Finance and Administration and the Department of Justice on Friday, December 8, 2017, at 8:30 a.m. to discuss this resolution. At this meeting, the Secretary of Finance and Administration, along with her key staff, provided your Committee with an overview of the purpose of the resolution.

Your Committee heard testimony from the Department of Finance and Administration that the grant funding in this resolution would support the preparation efforts for the World Bank IDA18 projects in the Federated States of Micronesia. These projects are planned to target multiple development areas within the FSM, including Energy, Information and Communications Technology (ICT), Maritime and Fisheries, and Financial Management Information Systems.

Your Committee asked the Department of Finance whether the FSM National Government had the “capacity” to meet the project requirements for this grant funding. Your Committee was assured that the National Government did have this capacity. Your Committee asked about whether the World Bank projects proposed under this grant funding would require large numbers of foreign

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STANDING COMMITTEE REPORT NO. 20-43

RE: C.R. No. 20-68/W&M

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $5,500,000 FROM WORLD BANK

DECEMBER 11, 2017

consultants. Your Committee was told that this grant package would emphasize “capacity- building” within the FSM rather than the hiring of temporary foreign workers.

Your Committee asked the representative from the Department of Justice to voice his opinion on the legal sufficiency of the resolution. The Department of Justice reported that the resolution, as drafted, had full legal sufficiency. The Department of Justice confirmed that, while the resolution did commit the FSM National Government to certain legal obligations, the resolution itself was not legally problematic or exceptional.

After the 8:30 a.m. meeting that took place on December 8th, your Committee held a separate internal Committee Meeting to discuss the merits of this resolution. Your Committee evaluated the information presented at the earlier meeting and reviewed supporting documentation provided by the Department of Finance and Administration. Your Committee concluded that the adoption of this resolution would be in the best interests of the National Government.

CONCLUSION

Your Committee on Ways & Means is in accord with the intent and purpose of C.R. No. 20-68 and recommends its adoption in the form attached hereto.

Respectfully submitted,

/s/ Isaac V. Figir Isaac V. Figir, chairman David W. Panuelo, member

/s/ /s/ Victor V. Gouland /s/ /s/ Ferny S. Perman Victor V. Gouland, member Ferny S. Perman, member

/s/ Robson U. Romolow /s/ /s/ Joseph J. Urusemal Robson U. Romolow, member Joseph J. Urusemal, member

/s/ /s/ Paliknoa K. Welly Paliknoa K. Welly, member

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STANDING COMMITTEE REPORT NO. 20-44

RE: C.R. No. 20-69/W&M

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $500,000 FROM THE U.S. DEPARTMENT OF INTERIOR THROUGH THE OFFICE OF INSULAR AFFAIRS, TO FUND THE FSM SINGLE AUDIT FOR FY2017

DECEMBER 11, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia Third Special Session, 2017

Dear Mr. Speaker:

Your Committee on Ways & Means, to which was referred Congressional Resolution No. 20-69, entitled:

“A RESOLUTION APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $500,000 FROM THE U.S. DEPARTMENT OF INTERIOR, OFFICE OF INSULAR AFFAIRS, TO FUND THE FSM SINGLE AUDIT FOR FY2017 AS REQUIRED UNDER THE AMENDED COMPACT, INCLUDING ALL THE TERMS AND CONDITIONS OF THE ASSISTANCE.”, begs leave to report as follows:

The intent and purpose of this resolution are expressed in its title.

Your Committee held a Committee Meeting on Friday, December 8, 2017, at 11:30 a.m., to discuss this resolution.

Your Committee notes that, under the Amended Compact of Free Association with the United States, the Single Audit must be conducted annually. The funding contained in this grant resolution is in support of the Single Audit for FY 2017.

Your Committee has reviewed the materials provided in Presidential Communication No. 20-162, relating to this grant resolution. Your Committee supports the approval and acceptance of this grant resolution.

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STANDING COMMITTEE REPORT NO. 20-44

RE: C.R. No. 20-69/W&M

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $500,000 FROM THE U.S. DEPARTMENT OF INTERIOR THROUGH THE OFFICE OF INSULAR AFFAIRS, TO FUND THE FSM SINGLE AUDIT FOR FY2017

DECEMBER 11, 2017

CONCLUSION

Your Committee on Ways & Means is in accord with the intent and purpose of C.R. No. 20-69 and recommends its adoption in the form attached hereto.

Respectfully submitted,

/s/ Isaac V. Figir Isaac V. Figir, chairman David W. Panuelo, member

/s/ /s/ Victor V. Gouland /s/ /s/ Ferny S. Perman Victor V. Gouland, member Ferny S. Perman, member

/s/ Robson U. Romolow /s/ /s/ Joseph J. Urusemal Robson U. Romolow, member Joseph J. Urusemal, member

/s/ /s/ Paliknoa K. Welly Paliknoa K. Welly, member

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STANDING COMMITTEE REPORT NO. 20-45

RE: C.B. No. 20-54/W&M

SUBJECT: TO CONVERT UNPAID BLANANCES OF PRIOR LOANS FROM THE NATIONAL GOVERNMENT OF THE FEDERATED STATES OF MICRONESIA INTO GRANTS

DECEMBER 11, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia Third Special Session

Dear Speaker:

Your Committee on Ways & Means, to which was jointly referred Congressional Bill No. 20-54, entitled:

“A BILL FOR AN ACT TO CONVERT UNPAID BALANCES OF PRIOR LOANS FROM THE NATIONAL GOVERNMENT OF THE FEDERATED STATES OF MICRONESIA TO THE NATIONAL FISHERIES CORPORATION, PURSUANT TO PUBLIC LAW NO. 6-69 AND PUBLIC LAW NO. 9-78, INTO GRANTS FOR THE PURPOSES FOR WHICH SUCH LOANS WERE PROVIDED, AND FOR OTHER PURPOSES.”, begs leave to report as follows:

The intent and purpose of this bill are expressed in its title.

Your Committee has reviewed C.B. No. 20-54 and the associated Standing Committee Report (S.C.R. No. 20-36) prepared by your Committee on Resources and Development, to which C.B. 20-54 was jointly referred.

Your Committee held a public hearing on Wednesday, December 6, 2017, at 2:30 p.m., to discuss this bill, and your Committee was joined by representatives from the Department of Finance and Administration, the Department of Resources and Development, the Department of Justice, the President’s Office, the National Oceanic Resource Management Authority (NORMA), and the National Fisheries Corporation (NFC).

Chairman Isaac V. Figir opened the public hearing by thanking the witnesses present for their attendance, and allowing the Secretary of Resources and Development to provide an overview of the purpose of the bill. The Secretary explained that the bill was intended to assist the NFC, by

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STANDING COMMITTEE REPORT NO. 20-45

RE: C.B. No. 20-54/W&M

SUBJECT: TO CONVERT UNPAID BLANANCES OF PRIOR LOANS FROM THE NATIONAL GOVERNMENT OF THE FEDERATED STATES OF MICRONESIA INTO GRANTS

DECEMBER 11, 2017 converting the balance of the NFC’s outstanding debts to the FSM National Government into grants. The Secretary further explained that the NFC desires to expand as a business organization, but stated that the NFC is unable to begin expansion while continuing to pay on their debts owed to the FSM National Government. The NFC has received loans from the National Government in the total amount of $3,100,000, and the vast majority of this amount remains outstanding. According to documentation provided by the NFC, most of the loans originate from 1990 to 1991. The Secretary of Finance and Administration confirmed that the NFC had begun making payments on these loans, since 2014.

Chairman Figir asked the Secretary of Finance and Administration whether recent payments made my the NFC indicated that the NFC has an “ability to pay” their outstanding debts. The Secretary of Finance and Administration indicated in the affirmative, but deferred to the Secretary of Resources and Development to further explain the substantive “reasons for the bill.”

Noting that the bill, upon first consideration, appears to offer a financial loss for the FSM National Government, Chairman Figir invited the representative from the NFC to offer further support for the bill.

The representative from the NFC said that the passage of the bill would allow for more funds to be freed up for “training purposes.” He echoed remarks previously made by the Secretary of Resources and Development, that the NFC would like to expand. He noted that the NFC “can pay the loan” but said it would “take time” and hinder the organization’s expansionary goals. The representative from the NFC testified that he would anticipates “future restructuring” at the NFC, but said that he feels that it is most financially prudent for the NFC to “clear the [balance] sheets” before beginning this restructuring. He suggested that such restructuring will help bring about increased profitability.

Chairman Figir asked about the NFC’s commitment to contributing a sum of money towards the FSM Trust Fund, as would be required by C.B. No. 20-54. The representative from the NFC testified that, if the bill became law, NFC would fully comply with the requirement to contribute $500,000 to the FSM Trust Fund. The representative stated that he was unable to comment on whether the NFC would feel able to make a greater contribution, if the text of the bill were modified.

The representative from the NFC stated that, if the bill were passed, future expansion might allow for the NFC to make dividend payments to company shareholders, to the benefit of the FSM National Government. He stated, moreover, that the NFC has a number of possible projects in

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STANDING COMMITTEE REPORT NO. 20-45

RE: C.B. No. 20-54/W&M

SUBJECT: TO CONVERT UNPAID BLANANCES OF PRIOR LOANS FROM THE NATIONAL GOVERNMENT OF THE FEDERATED STATES OF MICRONESIA INTO GRANTS

DECEMBER 11, 2017 which it would like to engage, if its debts to the FSM National Government are forgiven, and that before any particular project is embarked upon, the NFC would conduct due diligence to make sure the project was financially advisable.

The representative from NORMA testified that NORMA supports this bill. She stated that NORMA believes that this loan forgiveness would attract foreign investors to the NFC, as those investors would be drawn to the improved numbers on the NFC’s financial statements.

Multiple members of your Committee on Ways and Means asked questions regarding the extent to which the NFC’s joint ventures with foreign fishing fleets worked to the benefit of the FSM National Government. Specifically, members noted that under some of these joint ventures, fishing companies with a majority-foreign ownership were able to register as “domestic” vessels and receive deeply discounted domestic rates for fishing licenses. This seemingly results, several members noted, in substantial financial losses in fishing fee revenues to the FSM National Government. Unofficial estimates provided to members of your Committee suggest that in recent years, discounts to domestic vessels reduce fishing fees revenue by approximately $19-20 million annually. Under some perspectives, members suggested that the NFC’s joint ventures could appear to be a way for foreign companies to shield themselves from the higher foreign fishing fee rates, which in aggregate, costs the National Government substantial annual revenue. Certain members noted, however, that if fishing rates were increased, companies partnering with the NFC might simply choose to fish in waters outside the FSM altogether. Your Committee believes this is an issue worth ongoing examination.

Members of your Committee on Ways and Means also asked about the extent to which the NFC’s joint venture partners engaged in the hiring of FSM citizens to carry out their operations. Certain members noted, with some disappointment, that some of the companies in joint ventures with the NFC appeared to hire only relatively small numbers of FSM citizens. Members of your Committee expressed the hope that the NFC’s ventures with foreign fishing companies would be designed in such a way as to maximize potential economic gains in FSM citizen employment and in revenue to the FSM National Government.

Chairman Figir invited the representative from the Department of Justice to provide an opinion as to the legality of C.B. No. 20-54. The representative testified that the Department of Justice has reviewed the legislation, and the bill has been approved for legal sufficiency. The public hearing ended with your Committee’s expression of thanks to witnesses and an expression of your Committee’s intent to further discuss the bill internally.

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STANDING COMMITTEE REPORT NO. 20-45

RE: C.B. No. 20-54/W&M

SUBJECT: TO CONVERT UNPAID BLANANCES OF PRIOR LOANS FROM THE NATIONAL GOVERNMENT OF THE FEDERATED STATES OF MICRONESIA INTO GRANTS

DECEMBER 11, 2017

On Friday, December 8, at 11:30 a.m., your Committee held a committee meeting to continue its discussion of C.B. No. 20-54. Your Committee considered, in detail, the testimony presented at the public hearing. Your Committee again noted some of the concerns expressed at the public hearing, especially concerns about the extent to which the NFC’s approach to joint ventures truly maximized revenue for the FSM National Government. Your Committee, however, desires to see the NFC continue to grow and develop as an organization. Your Committee believes that the NFC plays an important role in the FSM’s economy. Your Committee appreciates the ways in which substantial amounts of debt can hamper a company’s prospects for growth. For these reasons, your Committee on Ways and Means, with the above noted reservations, joins your Committee on Resources and Development, in supporting the passage of C.B. No. 20-54.

CONCLUSION

Your Committee on Ways & Means is in accord with the intent and purpose of C.B. No. 20-54. Your Committee recommends passage of the bill on First Reading and that it be placed on the Calendar for Second and Final Reading in the form attached hereto as C.B. 20-54, C.D.1.

Respectfully submitted,

/s/ Isaac V. Figir Isaac V. Figir, chairman David W. Panuelo, member

/s/ /s/ Victor V. Gouland /s/ /s/ Ferny S. Perman Victor V. Gouland, member Ferny S. Perman, member

/s/ Robson U. Romolow /s/ /s/ Joseph J. Urusemal Robson U. Romolow, member Joseph J. Urusemal, member

/ Paliknoa K. Welly, member

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STANDING COMMITTEE REPORT NO. 20-46

RE: C.R. NO. 20-63/EDUCATION

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $3,032,657 FROM THE U.S. DEPARTMENT OF EDUCATION FOR THE FEDERAL FISCAL YEAR 2018.

DECEMBER 13, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia Third Special Session, 2017

Dear Mr. Speaker:

Your Committee on Education, to which was referred C.R. No. 20-63, entitled:

“A RESOLUTION APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $3,032,657 FROM THE U.S. DEPARTMENT OF EDUCATION FOR THE FEDERAL FISCAL YEAR 2018 FUND UNDER PART B OF THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT, INCLUDING ALL THE TERMS AND CONDITIONS OF THE ASSISTANCE.”, begs leave to report as follows:

The intent and purpose of this resolution are expressed in its title.

Your Committee held a public hearing on the above captioned matter on December 11, 2017. Present at this hearing were the Secretary of the Department of Education and his key staff, and representatives from the Department of Justice and the Office of the President.

Staff from the NDOE Division of Special Education, including the Chief of the Division were present at the hearing and gave an update of the services and programs for this school year 2017/2018. The grant which is the subject of this report is the second half of the funding for this school year.

The Division of Special Education has always been an important part of our Nation’s educational system. The program is well known to the Committee, and the Chief of the Division has been long serving as head of this program. The Chief of Special Education provided new statistics to the Committee that show as of 2017 it served the needs of 1,942 of our young people from age 3 to 21

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STANDING COMMITTEE REPORT NO. 20-46

RE: C.R. NO. 20-63/EDUCATION

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $3,032,657 FROM THE U.S. DEPARTMENT OF EDUCATION FOR THE FEDERAL FISCAL YEAR 2018.

DECEMBER 13, 2017 who have disabilities. Currently the number of personnel, including all teachers and administrators at the state level, is 308. Over the last several years the number of students has declined slightly while the number of teachers has increase by 20% in the last three years.

The Committee inquired as to the dramatic increase in the amount of funding under this grant that is used for personnel at the state level. Currently 80% of the proposed funding is to be used for personnel. The Committee also raised concerns that training, textbooks, specialized equipment and other necessary supplies for this program are being compromised by the high percentage of funding utilized for personnel. The Chief of the Division stated that these were valid concerns and the NDOE Division of Special Education has given guidance to the states regarding this matter, however, it was the up to the states to do their budgeting. The Chief of the Division agreed with the Committee that training and supplies for special education has decreased across the Nation.

A detailed budget is attached with this report for the review of the members. It is substantially the same as in year’s past. The Chief of the Division stated the formula for distribution is based on three factors: 1) population of the state, 2) number of children per state served, and 3) performance. Performance reports and activities for the Division of Special Education are on its website, which is also a link in the main NDOE website.

There has been examples of training that has been provided, including a recent training in Pohnpei for autism, but there are issues regarding these as well. This training highlights the problem of inconsistent delivery of training as it did not reach all the four states. The Committee strongly urged that future training efforts include all the four states, and as many teachers as possible.

The Committee also inquired as to whether specialized training or certificates were required to teach special education. The Chief of the Division stated that this was not a requirement and specialized courses were currently not available at COM-FSM. But, he added that a new bachelor’s degree in education will be available in 2019, and a part of that degree’s course requirements will be working with children with disabilities.

At the close of the hearing the Committee requested that NDOE Division of Special Education work with the all the four States, in an effort to utilize more of the Compact funding for teachers salaries, thereby freeing up money from this source to purchase supplies, textbooks, specialized equipment and additional training for teachers serving children with disabilities. The Committee will do additional oversight to look at this division in the coming year regarding the above issues.

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STANDING COMMITTEE REPORT NO. 20-46

RE: C.R. NO. 20-63/EDUCATION

SUBJECT: APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $3,032,657 FROM THE U.S. DEPARTMENT OF EDUCATION FOR THE FEDERAL FISCAL YEAR 2018.

DECEMBER 13, 2017

Your Committee would like to offer the following technical amendment to read as follows:

1) Page One, Line 17, delete “Second” and insert “Third” in lieu thereof.

Notwithstanding the concerns mentioned above, your Committee on Education is in accord with the intent and purpose of C.R. No. 20-63, and recommends its adoption in the form attached hereto as C.R. No. 20-63, C.D. 1.

Respectfully submitted,

/s/ Joseph J. Urusemal /s/ Derensio S. Konman Joseph J. Urusemal, chairman Derensio S. Konman, vice chairman

/s/ Alik L. Alik Florencio S. Harper, member Alik L. Alik, member

/s/ Esmond B. Moses /s/ Wesley W. Simina Esmond B. Moses, member Wesley W. Simina, member

/s/ Ferny S. Perman______Ferny S. Perman, member

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STANDING COMMITTEE REPORT NO. 20-47

RE: C.R. NO. 20-58/T&C

SUBJECT: ACCEPTING A GRANT FROM THE PEOPLE’S REPUBLIC OF CHINA IN THE AMOUNT OF $800,000.

DECEMBER 13, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia Third Special Session, 2017

Dear Speaker:

Your committee on Transportation and Communication to which was referred C.R. 20-58, entitled:

“A RESOLUTION APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $800,000 FROM THE GOVERNMENT OF THE PEOPLE’S REPUBLIC OF CHINA, TO SUBSIDIZE THE NEWLY LAUNCHED AIRLINE BETWEEN THE FSM AND PAPUA NEW GUINEA, INCLUDING ALL THE TERMS AND CONDITIONS OF THE ASSISTANCE.”, begs leave to report as follows:

The intent and purpose of this resolution are expressed in it’s title.

Your Committee held a hearing on December 11, 2017. The witnesses present included the Department of Transportation, Communications and Infrastructure, including the Secretary and key staff, and the Office of the President.

Your Committee heard testimony from TC&I key staff addressing the outstanding issues with the Air Niugini flight schedule. They have adjusted their flight schedule due to a lack of ticket sales for the midweek flight. They have cancelled that flight due to poor ticket sales on this flight and they have reported a loss of $1,200,000 after 6 months of service. It is anticipated that Air Narita will be starting a midweek flight, but that service will not likely start until mid 2018 at the earliest. Your Committee requested a copy of all communications that TC&I have had with Air Niugini.

Your Committee inquired if the airline anticipated an ongoing subsidy beyond the one year point and TC&I reported that the airline was aggressively marketing the flights and adjusting the flight schedule to adapt to the market. It is not anticipated that the subsidy will continue beyond one

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STANDING COMMITTEE REPORT NO. 20-47

RE: C.R. NO. 20-58/T&C

SUBJECT: ACCEPTING A GRANT FROM THE PEOPLE’S REPUBLIC OF CHINA IN THE AMOUNT OF $800,000.

DECEMBER 13, 2017

year. It was noted that ticket sales for the weekend flights has increased significantly, but not so for the midweek flight.

Your Committee expressed concern over the cancellation of the midweek flight and the potential impact this will have on tourism in the FSM. Your Committee requested a joint hearing with R&D to further discuss the number of visitors coming to the FSM and the potential for a reduction of visitors due to limited flight access.

Upon evaluation of the information presented and documents provided, your Committee concludes that the adoption of this resolution would be in the best interest of the National Government.

Your Committee would like to offer the following technical amendment to read as follows:

1. Page 1, line 13, delete “Second” and insert “Third” in lieu thereof.

Conclusion:

Your Committee on Transportation and Communication is in accord with the intent and purpose of C.R. 20-58, and recommends its adoption in the form attached hereto as C.R. No. 20-58, C.D.1.

Respectfully submitted,

/s/ Victor V. Gouland /s/ Alik L. Alik Victor V. Gouland, chairman Alik L. Alik, vice chairman

/s/ Ferny S. Perman Florencio S. Harper, member Ferny S. Perman, member

/s/ Dion G. Neth /s/ Wesley W. Simina Dion G. Neth, member Wesley W. Simina, member

/s/ Joseph J. Urusemal Joseph J. Urusemal, member

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Special Committee Reports

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SPECIAL COMMITTEE REPORT NO. 20-07

RE: COMMITTEE TO WAIT ON THE PRESIDENT

DECEMBER 08, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia Third Special Session, 2017

Dear Mr. Speaker:

Your Committee to Wait on the President, consisting of members David W. Panuelo, Paliknoa K. Welly, Joseph J. Urusemal, and Victor Gouland was duly appointed on December 7, 2017. David W. Panuelo was designated as the chairman.

The Committee met with the Vice President on December 7, 2017 at 1:00 p.m. Chairman Panuelo greeted the Vice President, and key members of the Executive on behalf of Congress, and thanked them for the opportunity to meet. Chairman Panuelo reported that Congress was in session and was ready to transact business. The Committee was presented with a memo listing the President’s proposed priority items for this special session, and advised the Vice President that these items were almost a mirror of the matters the Congress wished to prioritize for this special session.

The Vice President greeted the Committee, and he stated he was pleased that Congress concurred with the majority of the President’s priority items for this special session. The Vice President assured the Committee that all the relevant members of each of the executive departments would be on Pohnpei and available during the session for hearings.

Both the Committee and the Vice President agreed that while several other important matters are also pending with Congress that there would be ample time in the regular January session to deal with them. At the onset of the meeting both the Vice President and the Committee agreed that with limited funding, and no increase in the revenue projections, not all of the much needed priority items could be accommodated at this time. The Vice President stated that a supplemental budget request would be transmitted to Congress by the end of the day Friday, December 8. The Committee requested this transmission, as soon as possible, as this special session will be short and several urgent matters must be taken up.

The Vice President urged the Committee to take action on the resolution recently transmitted for $800,000 for improved air transportation from China. This is the second half of the $1.6 million donated by China in order for the FSM to support the new air services provided by Air Niugini. The members of the Committee raised several issues surrounding the flight schedules and subsequent years’ financial support. Although the relevant executive cabinet members fielded all

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SPECIAL COMMITTEE REPORT NO. 20-07

RE: COMMITTEE TO WAIT ON THE PRESIDENT

DECEMBER 08, 2017 inquiries the Committee stated that it would continue these discussions in an oversight hearing at its earliest convenience in order for the relevant committees and members to have the opportunity to be present.

The next agenda item was the transmission of a resolution to approve a grant for $5,500,000 from the World Bank with the Advance Agreement for Preparation of Proposed World Bank Financed Projects. This IDA-18 will be used to fund a central unit in the Department of Finance and Administration to administer these projects and act as central point of contact, especially during the initial planning stages. The four priority projects that will be funded are 1) energy 2) marine transportation 3) ICT and 4) financial management. The current funding will be used to do the scope and design for the projects in all the four areas. This initial planning work had previously been done at the World Bank, however, due to a change in World Bank policy the scope and design will now be done in country. The Committee stated that it will prioritize this resolution for hearing and action, but that the relevant committees would be holding oversight hearings and the Committee requested all documentation regarding this matter be transmitted to Congress.

A resolution to accept a grant from the U.S. Department of Interior for $500,000 has also been transmitted to Congress to cover the expenses involved in the single audit. The Committee assured the Vice President that this important resolution would receive priority during this special session.

The Vice President requested action on the three nominations that are pending before Congress, and the Committee stated that it will relay this request for priority to the relevant committees.

The Vice President stated that the President would like the proposed amendments to the Foreign Investment Act to be given priority for action. The Committee stated that while public hearings on this matter have been conducted in all the four states, the relevant committee is waiting to take further action until the states have submitted their comments.

Proposed amendments to the Financial Management Act have also been transmitted to Congress, and the Vice President stated that the President would like these to be given priority for action as well. The Secretary of Finance and Administration gave the Committee a brief over view of the substance of the proposed changes, however, the Committee, again, made several inquiries during her presentation. The Committee stated that given the complex nature of this matter, it would reserve further inquiry for the public hearing setting.

Throughout the meeting references to the many urgent items that need funding were made. The Committee, and all present at the meeting, agreed that only a small amount of unappropriated revenue remains according to the most recent revenue projection. The Vice President did request that consideration be given to: C.B. 20-88, the request for appropriation of $2 million for dry

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SPECIAL COMMITTEE REPORT NO. 20-07

RE: COMMITTEE TO WAIT ON THE PRESIDENT

DECEMBER 08, 2017 docking of the H1 and the Chief Mailo ships, and C.B. No. 20-30, the request to pay the $725,000 for the cleanup of the grounded vessel Ping Da. The discussion of these items also included the proposed operational budget for the Y-12, which has arrived, but needs some additional parts, insurance and ground support training for staff, before it can begin service. The Committee stated that Congress will hold additional meetings and hearings once the proposed supplemental budget is transmitted by the President, and it will endeavor to act on items it deems necessary priorities as soon as possible.

Other items were briefly discussed, included the status of Compact funded infrastructure projects, possible health project requests for funding antibiotics to fight rheumatic heart disease in children, approval of additional funding made available under the U.S. Department of Education Supplemental Education Grant and the FSM’s response to the Second Five-Year Review for the Amended Compact. The Committee stated that it intended to address as many items on the mutual list of priority items as possible, however, some items may have to wait until the regular session of Congress in early January.

The meeting concluded with mutual agreement to move forward on the above issues in a timely and cooperative manner. The Committee is submitting a brief report at this time. Your Committee kindly requests the members address any further questions regarding the priority issues for this session to the members of the Committee to Wait on the President during the discussion of this report at session.

Respectfully submitted,

/s/ David W. Panuelo /s/ Paliknoa K. Welly David W. Panuelo, chairman Paliknoa K. Welly, member

/s/ Joseph J. Urusemal /s/ Victor Gouland Joseph J. Urusemal, member Victor Gouland, member

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Presidential Communications

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PRESIDENTIAL COMMUNICATIONS

-No. 20-149 - (dated and received 11/06/17) – Designating Congressional Act No. 20-54 as Public Law No. 20-54: “To amend sections 1, 8 and 9 of Public Law No. 20-42 by appropriating $9,333,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, to provide funding for the set-up and operations costs of a Consulate on the West Coast of the United States for the FSM Trust Fund, and for the Telecommunications cable project; to make a technical corrections, and for other purposes.

-No. 20-150 - (dated 11/29/17 and received 11/30/17) – Transmitting (the attached) 2nd Five- Year Review Report of the Compact of Free Association (CFA) between the FSM and the United States.

-No. 20-151 - (dated 11/29/17 and received 11/30/17) – Transmitting a bill to appropriate $2,500,000 to fund the dry-docking of M/V Chief Mailo Hapilmohol and the costs associated with his dry-docking operation.

-No. 20-152 - (dated 11/29/17 and received 11/30/17) – Designating Congressional Act No. 20- 60 as Public Law No. 20-55: “To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 20-11 and 20-49, by amending section 1 thereof, to change the use of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.”

-No. 20-153 - (dated and received 12/04/17) – Transmitting a proposed resolution approving the receipt of the $5,500,000 grant from the World Bank as evidenced by the Advance Agreement for the Preparation of Proposed World Bank Financed Projects - copy attached.

-No. 20-154 - (dated and received 12/04/17) – Transmitting the nomination of Mr. Peter Garamfel to serve for another term as member of the NORMA Board representing Yap State.

-No. 20-155 - (dated and received 12/04/17) – Transmitting the nomination of Mr. Joe-Silem B. Enlet to serve as FSM Consul General in Portland, Oregon.

-No. 20-156 - (dated and received 12/04/17) – Designating Congressional Act No. 20-58 as Public Law No. 20-56: “To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99, 19-119, 19-129, 19-136, 19-144, 19-173 and 20-04, by amending section 5 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Chuuk, and for other purposes.”

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Presidential Communications (continued p. 2) 20FSMC 3SS

-No. 20-157 - (dated and received 12/04/17) – Designating Congressional Act No. 20-55 as Public Law No. 20-57: “To amend Public Law No. 20-53, by amending the title, sections 1, 2, 3, 4 and 5 thereof, to appropriate additional $500,000, for the purpose funding priority infrastructure projects and other projects and programs, and change the use and allottee of funds previously appropriated therein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.”

-No. 20-158 - (dated and received 12/04/17) – Vetoing Congressional Act No. 20-59: “To appropriate the sum of $4,450,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.”

-No. 20-159 - (dated 12/04/17 and received 12/05/17) – Designating Congressional Act No. 20- 56 as Public Law No. 20-58: “To further amend Public Law No. 19-10, as amended by Public Laws Nos. 19-26, 19-42, 19-51, 19-56, 19-72, 19-78, 19-96, 19-132, 19-163, 20-03 and 20-25, by amending section 3 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Kosrae, and for other purposes.”

-No. 20-160 - (dated and received 12/05/17) – Designating Congressional Act No. 20-57 as Public Law No. 20-59: “To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19-130, 19-142, 19-145, 19-158, 20-09 and 20-22, by amending section 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Chuuk, and for other purposes.”

-No. 20-161 - (dated 12/04/17 and received 12/05/17) – Urging Congress to take action on C.B. No. 20-30, which is seeking an appropriation of $725,000 to pay for the emergency services rendered in connection with the grounding of Pingda 7 and the removal of ammonia aboard the ship.

-No. 20-162 - (dated 12/04/17 and received 12/05/17) – Transmitting a resolution accepting the $500,000 grant from the Office of Insular Affairs to fund the FY 2017 Single Audit as required by the Amended Compact.

-No. 20-163 - (dated and received 12/05/17) – Transmitting a bill to amend the Financial Management Act.

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Presidential Communications (continued p. 3) 20FSMC 2RS 3SS

-No. 20-164 - (dated 12/05/17 and received 12/06/17) – Transmitting a resolution adopting the FSM Monitoring, Control and Surveillance (MCS) and By-catch Data Collection Project between National Oceanic Resource Management Authority (NORMA) and the Chinese Taipei Trust Fund (the “CTTF”) for consideration during this 3rd special session.

-No. 20-165 - (dated 12/06/17 and received 12/07/17) – Due to additional internal analysis and research he is recalling C.B. No. 20-99 and will transmit the updated proposed legislation when it is ready.

-No. 20-166 - (dated 12/06/17 and received 12/07/17) – Transmitting the nomination of Ms. Yuko Nakasone to serve as a member of the Board of the National Oceanic Resource Management Authority (NORMA) representing the State of Pohnpei.

-No. 20-167- (dated and received 12/11/17) – Designating the Congressional Act No. 20-59, which was vetoed and overridden by Congress, as Public Law No. 20-60.

-No. 20-168 - (dated 12/11/17 and received 12/12/17) – Transmitting a proposed resolution approving and accepting a foreign financial assistance given and made available by the United Nations Children’s fund in the amount of $39,667 to fund the FSM Expanded Programme on Immunization Project managed by the FSM Department of Health and Social Affairs.

-No. 20-169 - (dated and received 12/12/17) – Transmitting a bill to appropriate $71,530 of Supplemental Education (SEG) funding recently awarded by the US Department of Interior (DOI), to be used for the NDOE Year 3 Project (SEG), which was originally appropriated by Public Law No. 20-42.

-No.20-170 - (dated and received 12/12/17)-Sharing a Note from the US Embassy, with an enclosed letter to Secretary Lorin Robert from Peace Corps Country Director Temby Caprio informing Congress of Peace Corps Volunteers’ withdrawal from the FSM by June 2018.

-No.20-171 - (dated 12/12/17 and received 12/13/17) – Transmitting a resolution approving the $1.2 million grant from China for the one-year operation of Y-12 aircraft.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

FSM Supreme Court Communications

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FSM SUPREME COURT COMMUNICATIONS

NONE

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Member Communications

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Member Communications

-No. 20-13 - (dated and received 12/11/12) – From Chairman Robson U. Romolow, reporting on the FSM Congress delegation participation at the Western & Central Pacific Fisheries Commission 14th regular session at the Philippines National Convention Center in Manila from December 3-7, 2017.

-No. 20-14 - (dated and received 12/14/17) – From Chairman Perman of the Committee on H&SA, submitting a report on the outcome of public hearings held with Social Security, on the status of the FSM Social Security Administration.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Departmental Communications

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DEPARTMENTAL COMMUNICATIONS

-No. 20-29 - (dated 11/24/17 and received 11/27/17) – From Mrs. Sihna N. Lawrence, Secretary, Department of Finance & Administration, submitting the Accounting Fund Report, and the Budget Status Report.

-No. 20-30 - (dated 11/24/17 and received 11/29/17) – From Mrs. Sihna N. Lawrence, Secretary, FSM Department of Finance & Administration, submitting an updated Fiscal Year 2018 Revenue Projection and balance of funds.

-No. 20-31 - (dated 12/05/17 and received 12/06/17) – From Mr. Lukner B. Weilbacher, Secretary, FSM Department of Transportation, Communication & Infrastructure, transmitting the FSM ICT Project update.

-No. 20-32 - (dated 12/06/17 and received 12/07/17) – From the Hon. Lorin S. Robert, Secretary, Department of Foreign Affairs, presenting compliments and sharing Diplomatic Note 17-0216 from the U.S. informing of its Annual Christmas Drop mission for the outer islands of Pohnpei, Chuuk and Yap from December 6-19, 2017, along with the schedule of drops.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Agency and Governmental

Authority Communications

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AGENCY AND GOVERNMENTAL AUTHORITY COMMUNICATIONS

NONE

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

State Communications

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STATE COMMUNICATIONS

-No. 20-11 - (dated 11/14/17 and received 11/20/17) – From Director of the Department of Education, Pohnpei State Government, Mr. Churchill, thanking Speaker for his contribution to the 1st Annual Student Leadership conference, which took place on 11/09/17.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

State Supreme Court Communications

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STATE SUPREME COURT COMMUNICATIONS

NONE

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Municipal or Town Communications

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MUNICIPAL OR TOWN COMMUNICATIONS

NONE

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Foreign Government

Communications

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FOREIGN GOVERNMENT COMMUNICATIONS

NONE

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Miscellaneous Communications

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MISCELLANEOUS COMMUNICATIONS

-No. 20-11 - (dated and received 12/11/17) – From Mr. Patrick Blank, submitting a proposal requesting funding for an FSM Early Leaders Project.

.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

Presidential

Veto

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Presidential Veto

C.B.No. To appropriate the sum of $4,450,000 from the General Fund 12/08/17 VETOED 20-108 CD1 of the Federated States of Micronesia for the fiscal year 12/04/17 ending September 30, 2018, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

FSM CONSTITUTION

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THE CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA

PREAMBLE

WE, THE PEOPLE OF MICRONESIA, exercising our inherent sovereignty, do hereby establish this Constitution of the Federated States of Micronesia.

With this Constitution, we affirm our common wish to live together in peace and harmony, to preserve the heritage of the past, and to protect the promise of the future.

To make one nation of many islands, we respect the diversity of our cultures. Our differences enrich us. The seas bring us together, they do not separate us. Our islands sustain us, our island nation enlarges us and makes us stronger.

Our ancestors, who made their homes on these islands, displaced no other people. We, who remain, wish no other home than this. Having known war, we hope for peace. Having been divided, we wish unity. Having been ruled, we seek freedom.

Micronesia began in the days when man explored seas in rafts and canoes. The Micronesian nation is born in an age when men voyage among stars; our world itself is an island. We extend to all nations what we seek from each: peace, friendship, cooperation, and love in our common humanity. With this Constitution we, who have been the wards of other nations, become the proud guardian of our own islands, now and forever.

ARTICLE I Territory of Micronesia Section 1. The territory of the Federated States of Micronesia is comprised of the Districts of the Micronesian archipelago that ratify this Constitution. Unless limited by international treaty obligations assumed by the Federated States of Micronesia, or by its own act, the waters connecting the islands of the archipelago are internal waters regardless of dimensions, and jurisdiction extends to a marine space of 200 miles measured outward from appropriate baselines, the seabed, subsoil, water column, insular or continental shelves, airspace over land and water, and any other territory or waters belonging to Micronesia by historic right, custom, or legal title.

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.2)

Section 2. Each state is comprised of the islands of each District as defined by laws in effect immediately prior to the effective date of this Constitution. A marine boundary between adjacent states is determined by law, applying the principle of equidistance. State boundaries may be changed by Congress with the consent of the state legislatures involved.

Section 3. Territory may be added to the Federated States of Micronesia upon approval of Congress, and by vote of the inhabitants of the area, if any, and by vote of the people of the Federated States of Micronesia. If the territory is to become part of an existing state, approval of the state legislature is required.

Section 4. New states may be formed and admitted by law, subject to the same rights, duties, and obligations as provided for in this Constitution.

ARTICLE II Supremacy

Section 1. This Constitution is the expression of the sovereignty of the people and is the supreme law of the Federated States of Micronesia. An act of the Government in conflict with this Constitution is invalid to the extent of conflict.

ARTICLE III Citizenship

Section 1. A person who is a citizen of the Trust Territory immediately prior to the effective date of this Constitution and a domiciliary of a District ratifying this Constitution is a citizen and national of the Federated States of Micronesia.

Section 2. A person born of parents one or both of whom are citizens of the Federated States of Micronesia is a citizen and national of the Federated States by birth.

Section 3. A citizen of the Federated States of Micronesia who is recognized as a citizen of another nation shall, within 3 years of his 18th birthday, or within 3 years of the effective date of this Constitution, whichever is later, register his intent to remain a citizen of the Federated States and renounce his citizenship of another nation. If he fails to comply with this Section, he becomes a national of the Federated States of Micronesia.

Section 4. A citizen of the Trust Territory who becomes a national of the United States of America under the terms of the Covenant to Establish a Commonwealth of the Northern Mariana

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.3)

Islands may become a citizen and national of the Federated States of Micronesia by applying to a court of competent jurisdiction in the Federated States within 6 months of the date he became a United States national.

Section 5. A domiciliary of a District not ratifying this Constitution who was a citizen of the Trust Territory immediately prior to the effective date of this Constitution, may become a citizen and national of the Federated States of Micronesia by applying to a court of competent jurisdiction in the Federated States within 6 months after the effective date of this Constitution or within 6 months after his 18th birthday, whichever is later.

Section 6. This Article may be applied retroactively.

ARTICLE IV Declaration of Rights

Section 1. No law may deny or impair freedom of expression, peaceable assembly, association, or petition.

Section 2. No law may be passed respecting an establishment of religion or impairing the free exercise of religion, except that assistance may be provided to parochial schools for non-religious purposes.

Section 3. A person may not be deprived of life, liberty, or property without due process of law, or be denied the equal protection of the laws.

Section 4. Equal protection of the laws may not be denied or impaired on account of sex, race, ancestry, national origin, language, or social status.

Section 5. The right of the people to be secure in their persons, houses, papers, and other possessions against unreasonable search, seizure, or invasion of privacy may not be violated. A warrant may not issue except on probable cause, supported by affidavit particularly describing the place to be searched and the persons or things to be seized.

Section 6. The defendant in a criminal case has a right to a speedy public trial, to be informed of the nature of the accusation, to have counsel for his defense, to be confronted with the witnesses against him, and to compel attendance of witnesses in his behalf.

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.4)

Section 7. A person may not be compelled to give evidence that may be used against him in a criminal case, or be twice put in jeopardy for the same offense.

Section 8. Excessive bail may not be required, excessive fines imposed, or cruel and unusual punishments inflicted. The writ of habeas corpus may not be suspended unless required for public safety in cases of rebellion or invasion.

Section 9. Capital punishment is prohibited.

Section 10. Slavery and involuntary servitude are prohibited except to punish crime.

Section 11. A bill of attainder or ex post facto law may not be passed.

Section 12. A citizen of the Federated States of Micronesia may travel and migrate within the Federated States.

Section 13. Imprisonment for debt is prohibited.

ARTICLE V Traditional Rights

Section 1. Nothing in this Constitution takes away a role or function of a traditional leader as recognized by custom and tradition, or prevents a traditional leader from being recognized, honored, and given formal or functional roles at any level of government as may be prescribed by this Constitution or by statute.

Section 2. The traditions of the people of the Federated States of Micronesia may be protected by statute. If challenged as violative of Article IV, protection of Micronesian tradition shall be considered a compelling social purpose warranting such governmental action.

Section 3. The Congress may establish, when needed, a Chamber of Chiefs consisting of traditional leaders from each state having such leaders, and of elected representatives from states having no traditional leaders. The constitution of a state having traditional leaders may provide for an active, functional role for them.

ARTICLE VI Suffrage

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.5)

Section 1. A citizen 18 years of age may vote in national elections. The Congress shall prescribe a minimum period of local residence and provide for voter registration, disqualification for conviction of crime, and disqualification for mental incompetence or insanity. Voting shall be secret.

ARTICLE VII Levels of Government

Section 1. The three levels of government in the Federated States of Micronesia are national, state, and local. A state is not required to establish a new local government where none exists on the effective date of this Constitution.

Section 2. A state shall have a democratic constitution.

ARTICLE VIII Powers of Government

Section 1. A power expressly delegated to the national government, or a power of such an indisputably national character as to be beyond the power of a state to control, is a national power.

Section 2. A power not expressly delegated to the national government or prohibited to the states is a state power.

Section 3. State and local governments are prohibited from imposing taxes which restrict interstate commerce. ARTICLE IX Legislative

Section 1. The legislative power of the national government is vested in the Congress of the Federated States of Micronesia.

Section 2. The following powers are expressly delegated to Congress:

(a) to provide for the national defense;

(b) to ratify treaties;

(c) to regulate immigration, emigration, naturalization, and citizenship;

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.6)

(d) to impose taxes, duties, and tariffs based on imports;

(e) to impose taxes on income;

(f) to issue and regulate currency; (g) to regulate banking, foreign and interstate commerce, insurance, the issuance and use of commercial paper and securities, bankruptcy and insolvency, and patents and copyrights;

(h) to regulate navigation and shipping except within lagoons, lakes, and rivers;

(i) to establish usury limits on major loans;

(j) to provide for a national postal system;

(k) to acquire and govern new territory;

(l) to govern the area set aside as the national capital;

(m) to regulate the ownership, exploration, and exploitation of natural resources within the marine space of the Federated States of Micronesia beyond 12 miles from island baselines;

(n) to establish and regulate a national public service system;

(o) to impeach and remove the President, Vice-President, and justices of the Supreme Court;

(p) to define national crimes and prescribe penalties, having due regard for local custom and tradition;

(q) to override a Presidential veto by not less than a ¾ vote of all the state delegations, each delegation casting one vote; and

(r) to promote education and health by setting minimum standards, coordinating state activities relating to foreign assistance, providing training and assistance to the states and providing support for post-secondary educational programs and projects.

Section 3. The following powers may be exercised concurrently by Congress and the states:

(a) to appropriate public funds;

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.7)

(b) to borrow money on the public credit; and

(c) to establish systems of social security and public welfare. Section 4. A treaty is ratified by vote of 2/3 of the members of Congress, except that a treaty delegating major powers of government of the Federated States of Micronesia to another government shall also require majority approval by the legislatures of 2/3 of the states.

Section 5. National taxes shall be imposed uniformly. Not less than 50% of the revenues shall be paid into the treasury of the state where collected.

Section 6. Net revenue derived from ocean floor mineral resources exploited under Section 2(m) shall be divided equally between the national government and the appropriate state government.

Section 7. The President, Vice-President, or a justice of the Supreme Court may be removed from office for treason, bribery, or conduct involving corruption in office by a 2/3 vote of the members of Congress. When the President or Vice-President is removed, the Supreme Court shall review the decision. When a justice of the Supreme Court is removed, the decision shall be reviewed by a special tribunal composed of one state court judge from each state appointed by the state chief executive. The special tribunal shall meet at the call of the President.

Section 8. The Congress consists of one member elected at large from each state on the basis of state equality, and additional members elected from congressional districts in each state apportioned by population. Members elected on the basis of state equality serve for a 4-year term, and all other members for 2 years. Each member has one vote, except on the final reading of bills. Congressional elections are held biennially as provided by statute.

Section 9. A person is ineligible to be a member of Congress unless he is at least 30 years of age on the day of election and has been a citizen of the Federated States of Micronesia for at least 15 years, and a resident of the state from which he is elected for at least 5 years. A person convicted of a felony by a state or national government court is ineligible to be a member of Congress. The Congress may modify this provision or prescribe additional qualifications; knowledge of the English language may not be a qualification.

Section 10. At least every 10 years Congress shall reapportion itself. A state is entitled to at least one member of Congress on the basis of population in addition to the member elected at large. A state shall apportion itself by law into single member congressional districts. Each

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CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONTINUED P.8) district shall be approximately equal in population after giving due regard to language, cultural, and geographic differences.

Section 11. A state may provide that one of its seats is set aside for a traditional leader who shall be chosen as provided by statute for a two-year term, in lieu of one representative elected on the basis of population. The number of congressional districts shall be reduced and reapportioned accordingly.

Section 12. A vacancy in Congress is filled for the unexpired term. In the absence of provision by law, an unexpired term is filled by special election, except that an unexpired term of less than one year is filled by appointment by the state chief executive.

Section 13. A member of Congress may not hold another public office or employment. During the term for which he is elected and three years thereafter, a member may not be elected or appointed to a public office or employment created by national statute during his term. A member may not engage in any activity which conflicts with the proper discharge of his duties. The Congress may prescribe further restrictions.

Section 14. The Congress may prescribe an annual salary and allowances for members. An increase of salary may not apply to the Congress enacting it.

Section 15. A member of Congress is privileged from arrest during his attendance at Congress and while going to and from sessions, except for treason, felony, or breach of the peace. A member answers only to Congress for his statements in Congress.

Section 16. The Congress shall meet in regular, public session as prescribed by statute. A special session may be convened at the call of the President of the Federated States of Micronesia, or by the presiding officer on the written request of 2/3 of the members.

Section 17.

(a) The Congress shall be the sole judge of the elections and qualifications of its members, may discipline a member, and, by 2/3 vote, may suspend or expel a member.

(b) The Congress may determine its own rules of procedure and choose a presiding officer from among its members.

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(c) The Congress may compel the attendance and testimony of witnesses and the production of documents or other matters before Congress or any of its committees.

Section 18. A majority of the members is a quorum, but a smaller number may adjourn from day to day and compel the attendance of absent members.

Section 19. The Congress shall keep and publish a journal of its proceedings. A roll call vote entered on the journal shall be taken at the request of 1/5 of the members present. Legislative proceedings shall be conducted in the English language. A member may use his own language if not fluent in English, and Congress shall provide translation.

Section 20. To become law, a bill must pass 2 readings on separate days. To pass first reading a 2/3 vote of all members is required. On final reading each state delegation shall cast one vote and a 2/3 vote of all the delegations is required. All votes shall be entered on the journal.

Section 21.

(a) The Congress may make no law except by statute and may enact no statute except by bill. The enacting clause of a bill is “BE IT ENACTED BY THE CONGRESS OF THE FEDERATED STATES OF MICRONESIA:” A bill may embrace but one subject expressed in its title. A provision outside the subject expressed in the title is void.

(b) A law may not be amended or revised by reference to its title only. The law as revised or section as amended shall be published and re-enacted at full length.

Section 22. A bill passed by Congress shall be presented to the President for approval. If he disapproves of the bill, he shall return it with his objections to Congress within 10 days. If Congress has 10 or less days remaining in its session, or has adjourned, he shall return the bill within 30 days after presentation. If the President does not return a bill within the appropriate period, it becomes law as if approved. ARTICLE X Executive

Section 1. The executive power of the national government is vested in the President of the Federated States of Micronesia. He is elected by Congress for a term of four years by a majority vote of all the members. He may not serve for more than 2 consecutive terms.

Section 2. The following powers are expressly delegated to the President:

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(a) to faithfully execute and implement the provisions of this Constitution and all national laws;

(b) to receive all ambassadors and to conduct foreign affairs and the national defense in accordance with national law;

(c) to grant pardons and reprieves, except that the chief executive of each state shall have this power concurrently with respect to persons convicted under state law; and

(d) with the advice and consent of Congress, to appoint ambassadors; all judges of the Supreme Court and other courts prescribed by statute; the principal officers of executive departments in the national government; and such other officers as may be provided for by statute. Ambassadors and principal officers serve at the pleasure of the President.

Section 3. The President:

(a) is head of state of the Federated States of Micronesia;

(b) may make recommendations to Congress, and shall make an annual report to Congress on the state of the nation; and

(c) shall perform such duties as may be provided by statute.

Section 4. A person is ineligible to become President unless he is a member of Congress for a 4-year term, a citizen of the Federated States of Micronesia by birth, and a resident of the Federated States of Micronesia for at least 15 years.

Section 5. After the election of the President, the Vice-President is elected in the same manner as the President, has the same qualifications, and serves for the same term of office. He may not be a resident of the same state. After the election of the President and the Vice-President, vacancies in Congress shall be declared.

Section 6. If the office of the President is vacant, or the President is unable to perform his duties, the Vice-President becomes President. The Congress shall provide by statute for the succession in the event both offices are vacant, or either or both officers are unable to discharge their duties.

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Section 7. The compensation of the President or Vice-President may not be increased or reduced during his term. They may hold no other office and may receive no other compensation from the Federated States of Micronesia or from a state.

Section 8. Executive departments shall be established by statute.

Section 9. (a) If required to preserve public peace, health, or safety, at a time of extreme emergency caused by civil disturbance, natural disaster, or immediate threat of war, or insurrection, the President may declare a state of emergency and issue appropriate decrees.

(b) A civil right may be impaired only to the extent actually required for the preservation of peace, health, or safety. A declaration of emergency may not impair the power of the judiciary except that the declaration shall be free from judicial interference for 30 days after it is first issued.

(c) Within 30 days after the declaration of emergency, the Congress of the Federated States of Micronesia shall convene at the call of its presiding officer or the President to consider revocation, amendment, or extension of the declaration. Unless it expires by its own terms, is revoked, or extended, a declaration of emergency is effective for 30 days.

ARTICLE XI Judicial

Section 1. The judicial power of the national government is vested in a Supreme Court and inferior courts established by statute.

Section 2. The Supreme Court is a court of record and the highest court in the nation. It consists of the Chief Justice and not more than 5 associate justices. Each justice is a member of both the trial division and the appellate division, except that sessions of the trial division may be held by one justice. No justice may sit with the appellate division in a case heard by him in the trial division. At least 3 justices shall hear and decide appeals. Decision is by a majority of those sitting.

Section 3. The Chief Justice and associate justices of the Supreme Court are appointed by the President with the approval of 2/3 of Congress. Justices serve during good behavior.

Section 4. If the Chief Justice is unable to perform his duties he shall appoint an associate justice to act in his stead. If the office is vacant, or the Chief Justice fails to make the appointment,

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Section 5. The qualifications and compensation of justices and other judges may be prescribed by statute. Compensation of judges may not be diminished during their terms of office unless all salaries prescribed by statute are reduced by a uniform percentage.

Section 6. (a) The trial division of the Supreme Court has original and exclusive jurisdiction in cases affecting officials of foreign governments, disputes between states, admiralty or maritime cases, and in cases in which the national government is a party except where an interest in land is at issue.

(b) The national courts, including the trial division of the Supreme Court, have concurrent original jurisdiction in cases arising under this Constitution; national law or treaties; and in disputes between a state and a citizen of another state, between citizens of different states, and between a state or a citizen thereof, and a foreign state, citizen, or subject.

(c) When jurisdiction is concurrent, the proper court may be prescribed by statute.

Section 7. The appellate division of the Supreme Court may review cases heard in the national courts, and cases heard in state or local courts if they require interpretation of this Constitution, national law, or a treaty. If a state constitution permits, the appellate division of the Supreme Court may review other cases on appeal from the highest state court in which a decision may be had.

Section 8. When a case in a state or local court involves a substantial question requiring the interpretation of the Constitution, national law, or a treaty, on application of a party or on its own motion the court shall certify the question to the appellate division of the Supreme Court. The appellate division of the Supreme Court may decide the case or remand it for further proceedings.

Section 9. The Chief Justice is the chief administrator of the national judicial system and may appoint an administrative officer who is exempt from civil service. The Chief Justice shall make and publish and may amend rules governing national courts, and by rule may:

(a) divide the inferior national courts and the trial division of the Supreme Court into geographical or functional divisions;

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(b) assign judges among the divisions of a court and give special assignments to retired Supreme Court justices and judges of state and other courts;

(c) establish rules of procedure and evidence;

(d) govern the transfer of cases between state and national courts;

(e) govern the admission to practice and discipline of attorneys and the retirement of judges; and

(f) otherwise provide for the administration of the national judiciary. Judicial rules may be amended by statute.

Section 10. The Congress shall contribute to the financial support of state judicial systems and may provide other assistance.

Section 11. Court decisions shall be consistent with this Constitution, Micronesian customs and traditions, and the social and geographical configuration of Micronesia. In rendering a decision, a court shall consult and apply sources of the Federated States of Micronesia.

ARTICLE XII Finance

Section 1. (a) Public money raised or received by the national government shall be deposited in a General Fund or special funds within the National Treasury. Money may not be withdrawn from the General Fund or special funds except by law.

(b) Foreign financial assistance received by the national government shall be deposited in a Foreign Assistance Fund. Except where a particular distribution is required by the terms or special nature of the assistance, each state shall receive a share equal to the share of the national government and to the share of every other state.

Section 2. (a) The President shall submit an annual budget to Congress at a time prescribed by statute. The budget shall contain a complete plan of proposed expenditures, anticipated revenues, and other

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money available to the national government for the next fiscal year, together with additional information that Congress may require. The Congress may alter the budget in any respect.

(b) No appropriation bills, except those recommended by the President for immediate passage, or to cover the operating expenses of Congress, may be passed on final reading until the bill appropriating money for the budget has been enacted.

(c) The President may item veto an appropriation in any bill passed by Congress, and the procedure in such case shall be the same as for disapproval of an entire bill by the President.

Section 3. (a) The Public Auditor is appointed by the President with the advice and consent of Congress. He serves for a term of 4 years and until a successor is confirmed.

(b) The Public Auditor shall inspect and audit accounts in every branch, department, agency or statutory authority of the national government and in other public legal entities or nonprofit organizations receiving public funds from the national government. Additional duties may be prescribed by statute.

(c) The Public Auditor shall be independent of administrative control except that he shall report at least once a year to Congress. His salary may not be reduced during his term of office.

(d) The Congress may remove the Public Auditor from office for cause by 2/3 vote. In that event the Chief Justice shall appoint an acting Public Auditor until a successor is confirmed.

ARTICLE XIII General Provisions

Section 1. The national government of the Federated States of Micronesia recognizes the right of the people to education, health care, and legal services and shall take every step reasonable and necessary to provide these services.

Section 2. Radioactive, toxic chemical, or other harmful substances may not be tested, stored, used, or disposed of within the jurisdiction of the Federated States of Micronesia without the express approval of the national government of the Federated States of Micronesia.

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Section 3. It is the solemn obligation of the national and state governments to uphold the provisions of this Constitution and to advance the principles of unity upon which this Constitution is founded.

Section 4. A noncitizen, or a corporation not wholly owned by citizens, may not acquire title to land or waters in Micronesia.

Section 5. A lease agreement for the use of land for an indefinite term by a noncitizen, a corporation not wholly owned by citizens, or any government is prohibited.

Section 6. The national government of the Federated States of Micronesia shall seek renegotiation of any agreement for the use of land to which the Government of the United States of America is a party.

Section 7. On assuming office, all public officials shall take an oath to uphold, promote, and support the laws and the Constitution as prescribed by statute.

ARTICLE XIV Amendments

Section 1. An amendment to this Constitution may be proposed by a constitutional convention, popular initiative, or Congress in a manner provided by law. A proposed amendment shall become a part of the Constitution when approved by ¾ of the votes cast on that amendment in each of ¾ of the states. If conflicting constitutional amendments submitted to the voters at the same election are approved, the amendment receiving the highest number of affirmative votes shall prevail to the extent of such conflict.

Section 2. At least every 10 years, Congress shall submit to the voters the question: “Shall there be a convention to revise or amend the Constitution?”. If a majority of ballots cast upon the question is in the affirmative, delegates to the convention shall be chosen no later than the next regular election, unless Congress provides for the selection of delegates earlier at a special election. ARTICLE XV Transition

Section 1. A statute of the Trust Territory continues in effect except to the extent it is inconsistent with this Constitution, or is amended or repealed. A writ, action, suit, proceeding, civil or criminal liability, prosecution, judgment, sentence, order, decree, appeal, cause of action,

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Section 2. A right, obligation, liability, or contract of the Government of the Trust Territory is assumed by the Federated States of Micronesia except to the extent it directly affects or benefits a government of a District not ratifying this Constitution.

Section 3. An interest in property held by the Government of the Trust Territory is transferred to the Federated States of Micronesia for retention or distribution in accordance with this Constitution.

Section 4. A local government and its agencies may continue to exist even though its charter or powers are inconsistent with this Constitution. To promote an orderly transition to the provisions of this Constitution, and until state governments are established, Congress shall provide for the resolution of inconsistencies between local government charters and powers, and this Constitution. This provision ceases to be effective 5 years after the effective date of this Constitution.

Section 5. The Congress may provide for a smooth and orderly transition to government under this Constitution.

Section 6. In the first congressional election, congressional districts are apportioned among the states as follows: Kusaie – 1; Marianas – 2; Marshalls – 4; Palau – 2; Ponape – 3; Truk – 5; Yap – 1. If Kusaie is not a state at the time of the first election, 4 members shall be elected on the basis of population in Ponape.

ARTICLE XVI Effective Date

Section 1. This Constitution takes effect 1 year after ratification unless the Congress of Micronesia by joint resolution specifies an earlier date. If a provision of this Constitution is held to be in fundamental conflict with the United Nations Charter or the Trusteeship Agreement between the United States of America and the United Nations, the provision does not become effective until the date of termination of the Trusteeship Agreement.

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

OFFICIAL RULES OF PROCEDURE

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Nineteenth Congress of the Federated States of Micronesia

RULE 1. ORGANIZING THE CONGRESS Section 1. Convening of regular Congress sessions. (a) The Congress shall meet in three regular sessions commencing on the tenth day of January, the day eleventh of May, and the twelfth day of September, unless the Presiding Officer shall set a different date or dates. (b) The sessions required by subsection (a) above shall last for 20 calendar days, unless shortened or extended by a resolution adopted by a majority vote of all Members of the Congress.

Section 2. Convening in special session. A special session may be convened at the call of the President of the Federated States of Micronesia, or by the Speaker on the written request of two-thirds of the Members. The President of the Federated States, or the Speaker, may call a special session to convene within 30 days after the declaration of a state of emergency by the President; at such special session the Congress may consider the revocation, amendment, or extension of the declaration.

Section 3. Place of sessions. The Congress shall meet at a place in the State of Pohnpei, designated by the Speaker, or in such State of the Federated States of Micronesia as the Congress of the Federated States shall by resolution determine, at a place designated by the Speaker.

Section 4. Days and times of meetings. The Congress shall meet regularly for the transaction of business on each day during a session at 10 a.m., Monday through Friday, provided that the Congress may meet on such other days and at such other times as may be agreed upon by the Congress.

Section 5. Call to order. (a) The Congress shall be called to order in Palikir, Pohnpei, by the most senior returning Member-elect. He shall be called a temporary Speaker and shall have the power to preserve order and decorum and decide all questions of order, subject to appeal to the Congress.

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(b) At all regular and special sessions convened subsequent to the first session of each new Congress of the Federated States of Micronesia, the Congress shall be called to order by the Speaker. (c) At the first session of each new subsequent Congress, the Congress shall be called to order by the most senior returning Member-elect. He shall be called a temporary Speaker.

Section 6. Temporary rules. At the first session of each new Congress of the Federated States of Micronesia, the Congress shall thereupon adopt temporary rules.

Section 7. Temporary officers and Credentials Committee. At the first session of each new Congress, the temporary Speaker shall appoint a temporary Clerk. He shall also appoint a committee of four members to examine the credentials of the Members-elect.

Section 8. Examination of credentials. (a) At the first session of each new Congress of the Federated States of Micronesia, the Committee on Credentials shall proceed to examine the credentials of the Members-elect. If the credentials of at least eight of the Members-elect appear in order, the committee shall so report to the Congress. If the credentials of any Member-elect do not on first examination appear to be in order, the committee may make such inquiry as it deems necessary and report its findings and recommendations to the Congress at the time of its initial report, or if it so chooses, the committee may defer its inquiry and report on such Member-elect or Members- elect until after submitting its initial report. The adoption of the report or reports of the Credentials Committee by the Congress shall be final. (b) If a person is elected or appointed to fill a vacancy in the membership, the Committee on Credentials shall proceed to examine the credentials of such person and report its findings and recommendations to the Congress.

Section 9. Oath. The person who calls the first session of each new Congress to order shall request any Justice of the Supreme Court of the Federated States of Micronesia or a presiding judge of the State court, to administer the following oath of office collectively to the Members-elect holding credentials acceptable to the Congress, and addressed to each such Member: “I, ______solemnly swear (or affirm) that I will faithfully execute the Office of Senator of the Congress of the Federated States of Micronesia and will, to the best of my ability, uphold, promote, and support the laws and the Constitution of the Federated States of Micronesia, so help me God.” Section 10. Call of the roll. The Clerk or temporary Clerk shall thereupon proceed to

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Section 11. Rules. At the first session of the Congress of the Federated States of Micronesia, the temporary Speaker shall entertain a motion for the adoption of the Official Rules of Procedure of the Congress. When properly adopted, the Rules shall govern the conduct of business at all sessions of the Congress held prior to convening the next Congress, provided that such Rules may be amended in accordance with Rule 15. If any question of procedure arises which is not specified in these Rules, it shall be decided by the Speaker, subject to appeal to the Congress. The Rules in force at the adjournment sine die of the last session of a Congress shall, until amended or changed, govern the organization of a new Congress.

Section 12. Election of permanent officers. (a) At the first session of each new Congress of the Federated States of Micronesia, the temporary Speaker shall thereupon conduct an election for a Speaker of the Congress. Upon the election of such Speaker, the temporary Speaker shall thereupon relinquish the chair to the person so elected. In all future proceedings, during all sessions of the Congress, the Speaker so elected shall preside. (b) At the first session of each new Congress of the Federated States of Micronesia, the Speaker shall thereupon proceed to conduct an election for the Vice Speaker and the Floor Leader, who shall be Members of the Congress. Upon their election, the Speaker shall proceed to conduct an election for the Clerk, who shall be a non-Member of the Congress.

Section 13. Prayer on convening day. Following the call to order, the temporary Speaker shall thereupon call for the opening prayer provided for in rule 2, section 2(d).

Section 14. Notification of the President of the Federated States of Micronesia. Following the election of the President and Vice President during those years when a President and Vice President are elected or after the organization of the Congress during those years when a President and Vice President are not elected, the Speaker shall appoint a committee of three members to advise the President that the Congress is organized. The Congress shall stand in recess until the committee returns to report orally the accomplishment of its mission.

Section 15. Election of the President. (a) At the first regular session of each new Congress for which Members-at- large have been elected, the Members shall proceed to elect the President of the Federated States of Micronesia. Any Member may nominate a Member elected to a term of four years to become the President. When the nominations close, the secret balloting for President shall be taken. The

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President shall be elected by a majority vote of all the Members. (b) If no nominee receives such majority vote on the first ballot, the Speaker shall announce the names of the two nominees receiving the highest number of votes, and a second and any necessary subsequent ballots shall be taken until one of the two nominees receives the necessary majority vote. (c) In the event of a tie for the highest number of votes, the balloting shall be repeated until candidates are eliminated by receiving fewer votes than the two candidates receiving the highest number of votes on a particular ballot. Balloting shall continue until a candidate receives a majority vote of the membership. (d) The Member elected as President shall retain his seat in the Congress until a vacancy has been declared after the election of the Vice President pursuant to section 17 of this rule.

Section 16. Election of the Vice President. (a) After the election of the President, the Members shall proceed to elect the Vice President of the Federated States of Micronesia. Any Member may nominate a Member elected to a term of 4 years to become Vice President, except that the Member elected as President may not be nominated for Vice President. When the nominations close, the balloting for Vice President shall be taken. The Vice President shall be elected by a majority vote of all the members. (b) If no nominee receives such majority vote on the first ballot, the procedures set forth in section 15, subsections (b) and (c), shall be followed until a Vice President is elected.

Section 17. Declaration of vacancies. After the Vice President has been elected, the Speaker shall declare vacancies in the seats occupied by the Members elected as President and Vice President.

RULE 2. TERMS AND DUTIES OF OFFICERS.

Section 1. Terms of office. The Speaker, Vice Speaker, Floor Leader, Legislative Counsel and Chief Clerk may hold office until the next Congress of the Federated States of Micronesia is called to order, unless such tenure is terminated at an earlier date by death, resignation, election, or by action of the Congress. The removal of the Speaker, Vice Speaker, or Floor Leader from office shall require a two-thirds affirmative vote of all Members. The Chief

Clerk and the Legislative Counsel may be removed by the Speaker, subject to appeal to the Congress. Vacancies shall be filled in accordance with the procedure provided in rule 1, section 12.

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Section 2. Speaker. It shall be the duty of the Speaker:

(a) To announce the business before the Congress in the order prescribed by the Rules; (b) To assign to each Member a seat on the floor of the Congress; (c) To maintain order and proper decorum in debate; (d) To open the sittings of the Congress at the appointed hour by taking the chair and calling for a moment of silent prayer, except for the first day of the session when he shall designate a chaplain to open the session with prayer; (e) To receive all communications from the other branches of the Government and present them to the Congress, and to direct the different committees to consider subjects in such messages; (f) To receive and submit all matters properly brought before the Congress by the Members, to call for votes upon the same, and to announce the results; (g) To authenticate by his signature all official acts and papers of the Congress, and to transmit the same as required; (h) To make known rules of procedure and interpret such rules when so requested, and to decide points of order; (i) To direct the activities of the Clerk, Legislative Counsel, and other administrative officers and employees of the Congress, to oversee the administration of the business of the Congress, and to appoint an Acting Clerk in the absence of the Clerk; (j) To name, if he so desires, a Member to perform the duties of the Chair when the Vice Speaker and Floor Leader are not available to perform such duties, which Member shall be known as Speaker pro tempore while so serving, but such substitution shall not extend beyond an adjournment of any session; (k) To administer the oath to public officials or to direct the Floor Leader to administer the oath to any Member from time to time; and (l) To do and perform such other duties as may be required by law, these Rules, and as may properly appertain to the Office of Speaker.

Section 3. Vice Speaker. It shall be the duty of the Vice Speaker to exercise all the duties and powers of the Speaker in the latter’s absence.

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Section 4. Floor Leader. It shall be the duty of the Floor Leader: (a) To serve as Floor Leader during sessions of the Congress, proposing routine motions which contribute to the orderly and speedy conduct of business, and to act as floor manager in aid of the speedy disposition of a bill or resolution when a Member so responsible does not assume this task; (b) To administer the oath to any Member as may be directed by the Speaker from time to time; (c) To perform the duties of the Chair in the absence of the Speaker and Vice Speaker; and (d) To perform such other duties as the Speaker may designate.

Section 5. Legislative Counsel. It shall be the duty of the Legislative Counsel: (a) To act as counsel and legal adviser to the Congress; (b) To render legal services to the standing committees, special committees, or any Members of Congress upon request; (c) To undertake such legal research as may be requested by the Congress, its committees, or Members; (d) To draft bills and resolutions as needed or requested; (e) To advise the Congress of needed revisions to laws or bills to bring them into conformity with the Constitution of the Federated States of Micronesia and decisions of courts with jurisdiction in the Federated States of Micronesia; (f) To supervise the staff attorneys and researcher within the Office of the Legislative Counsel, as well as the operation of the Library through supervision of the librarians; and (g) To assume such other related or additional duties as the Congress or the Presiding Officer may assign.

Section 6. Clerk. It shall be the duty of the Clerk: (a) To attend the Congress every day it meets, unless excused by the Speaker; (b) To have charge of all the records of the Congress and to be responsible for the same and never permit original documents to be withdrawn from his keeping unless ordered by the Speaker; (c) To make a concise and complete memorandum of all petitions, motions,

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Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) bills, resolutions, amendments, and other matters brought before the Congress, and their disposition; such memoranda shall state the nature of the matter, give the name of the introducer, and be dated each day; and such memoranda, the daily session proceedings, together with other matters ordered to be placed therein, shall constitute the journal of the day; (d) To countersign all acts of the Congress, thus attesting to the authentication of the Speaker’s signature; (e) To prepare all bills, resolutions, and other matters; (f) To forward promptly all letters, messages, communications, or other matters to the proper parties, either directly or through a committee, as the case may be; (g) To deliver to the chairman of the appropriate committee all petitions, resolutions, bills, or other matters duly referred to such committee; (h) To prepare, for the respective committees to which have been referred subjects contained in the messages of the President of the Federated States of Micronesia, a memorandum of the subjects so referred; (i) To attach a statement to any bill or instrument which, in the absence of the Speaker and Vice Speaker and Floor Leader, has been signed by the Speaker pro tempore, that such Speaker pro tempore was duly serving; and (j) To do and perform all other duties and responsibilities pertaining to the position of Clerk of the Congress as the Congress shall, from time to time, direct, and as shall by law, CFSM Administrative Manual, these Rules, or Rules hereafter adopted, be assigned to him.

Section 7. Sergeant at Arms. During each session of the Congress, the Speaker shall designate a person to serve temporarily as a Sergeant at Arms whose duties shall be: (a) To attend the daily sessions of the Congress unless excused by the Speaker; (b) To maintain order among those present as spectators; (c) To give notice to the Presiding Officer of the attendance of any person with communications; (d) To attend committee meetings if so requested;

(e) To serve all orders or process as directed by the Speaker; (f) To make all required arrests of Members or other persons and to restrain

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RULE 3. QUORUM AND ATTENDANCE. A majority of the Members shall constitute a quorum for the transaction of business. A majority of less than a quorum shall have the power to compel the attendance of absent Members and to adjourn from day to day. For the opening day of session, at least one Member from each of the four States shall be included in the initial quorum unless sufficient notice was given to permit the attendance of the Members absent and they do not answer to the quorum count. The Speaker may declare the Congress adjourned if no quorum is present at the hour of opening. For purposes of ascertaining whether a quorum exists, the Speaker shall count the Members present. During a meeting of the Congress, any Member may call upon the Speaker to determine whether a quorum exists or not, and the Speaker shall so determine and announce his finding. A Member shall not be absent unless he has leave of the Speaker, subject to appeal to the Congress. The name of a Member not present to answer to a quorum count, and not excused by the Speaker, shall be noted on the Journal as absent.

RULE 4. PROCEDURE AND SESSIONS. Section 1. Public sessions. Sessions of the Congress of the Federated States of Micronesia shall be open to the public. Section 2. Language of proceedings. All legislative proceedings shall be conducted in English, provided that a Member lacking fluency in English may use his own language and the Congress shall provide translation. Section 3. Sitting in or entering the Chamber. No Member shall sit at the desk of the Speaker or of another Member or of the Clerk, except by permission of the Speaker. A person who is not a Member of the Congress, an official interpreter, or an employee of the Congress shall not enter upon the floor during a session except at the invitation or with the permission of the Speaker. Section 4. Communications media. Members of the press and other representatives of the public communications media desiring to report the proceedings of the Congress to the public may be admitted to the Congress by the Speaker. The Speaker may assign such person a place and facilities which will not interfere with the operations of the Congress.

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Section 5. Recognition. When a Member desires recognition, he shall address the Chair, “Mr. Speaker.” When recognized, he shall confine himself to the purpose for which he sought recognition. The Speaker shall not recognize a Member for the purpose of speaking in support of or opposition to a motion for a second time until every Member wishing to speak to the question has had an opportunity to be heard, unless he is the mover of a motion, or chairman of the committee reporting out a measure on the floor.

Section 6. Holding the floor and manner of address. (a) A Member shall continue to hold the floor until such time as he ceases to speak to the question or otherwise yields the floor, except that he may yield for the raising of a point of information or order by another Member and still retain the floor and except that no Member may speak for more than 10 minutes each time on a question before the Congress, unless the Member speaks through an interpreter in which case a maximum of 20 minutes shall be allowed. (b) A Member shall address or refer to his fellow Members either as “Senator ______” or “The Senator from ______.”

Section 7. Closing debate and voting on the question. The Speaker may close debate and call for a vote on the question before the Congress at any time he is satisfied that every Member desiring to speak to the question has spoken or has had an opportunity to do so, subject to appeal to the Congress. If the previous question is moved and adopted, debate shall be closed, provided that the mover of the motion before the Congress on which debate is being closed may make a closing statement of 5 minutes or less in support of his motion, or delegate the right to another Member of the Congress.

Section 8. Rulings of the Chair. The Speaker shall decide all questions of order whether or not specified in these Rules, subject to appeal to the Congress, which decision shall be considered overruled if two-thirds of the Members present and voting vote not to sustain the ruling of the Speaker.

Section 9. Dress. Members, officers, and employees appearing on the floor of the Congress shall be suitably attired. The Speaker may prescribe the required dress, subject to appeal to the Congress, and make such exceptions as he sees fit.

Section 10. Interruptions. No Member shall engage in private discourse when the Speaker or a Member is speaking, nor leave the Chamber, nor walk about the floor when the Speaker is speaking, nor walk between a Member who is speaking and the Speaker.

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Section 11. Disorderly manner of Members. If any Member shall conduct himself in a disorderly manner during any session of the Congress, the Speaker shall order such Member to keep his seat and preserve the peace. If the Member shall persist in his disorderly conduct, the Speaker shall order the Sergeant at Arms to remove the Member from the Chamber. The Member shall not be permitted to take his seat during the remainder of that day’s session unless the Speaker shall so permit.

Section 12. Discipline of Members. The Congress may discipline its Members by censure for disorderly behavior, neglect of duty, or violation of the oath of office. The Congress may also suspend or expel a Member by two-thirds vote of the total membership of the Congress.

Section 13. Disturbance. In the case of disturbance or disorderly conduct, the Speaker may have the Chamber cleared of all persons, except Members and officers, in order to abate the disturbance or disorderly conduct.

RULE 5. ORDER OF BUSINESS. Section 1. Order of business.

(a) Call to Order; (b) Moment of Silent Prayer; (c) Roll Call; (d) Reading of the Journal; (e) Presidential Communications; (f) FSM Supreme Court Communications; (g) Member Communications; (h) Departmental Communications; (i) Agency or Governmental Authority Communications; (j) State Communications; (k) State Supreme Court Communications; (l) Municipal or Town Communications; (m) Foreign Government Communications; (n) Standing Committee Reports; (o) Special Committee Reports; (p) Unfinished Business; (q) Bill Calendar; (r) Resolution Calendar;

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(s) Introduction of Bills and Resolutions; (t) Miscellaneous Communications; (u) Miscellaneous Business; (v) Announcements; (w) Recess.

Section 2. Change in order of business. The Congress may by previous motion direct that any matter named shall be made a special order of business and that such special order shall take precedence over all other business after the fifth order, or such lesser position on the order as the motion shall prescribe.

RULE 6. COMMITTEES GENERALLY. Section 1. Types of committees. There shall be seven standing committees established by the Rules. The standing committees shall be organized pursuant to Rules 6 and 7. Special committees shall be established by the Speaker as required to consider and report on such special or temporary matters as are referred to them. Special committees shall be temporary committees, which shall remain in existence until discharged by the Speaker, subject to appeal to the Congress. The Congress may resolve itself into the Committee of the Whole, consisting of the entire membership of the Congress, whenever it decides to consider a matter as a committee. The Committee of the Whole shall remain in being until such time as it dissolves itself and reports back to the Congress.

Section 2. Orders of the Congress. All committees of the Congress shall be subject to the orders of the Congress and shall faithfully carry out such orders.

Section 3. Powers and authority of committees. Each committee is hereby authorized to study and analyze all facts relating to the subjects which would fall within its jurisdiction as indicated by rule 6, section 1, or rule 7, sections 1 to 7, including, but not limited to, a needed revision of the laws or needed legislation relating to that subject, and for such purposes shall constitute an investigating committee pursuant to 3 F.S.M.C. 401, et seq., as amended. Witnesses may be summoned and examined, and documents and records may be searched and examined in accordance with 3 F.S.M.C. 401, et seq., as amended, and everything shall be done to bring all facts pertaining to the matter before the Congress.

Section 4. Duties of committees. It shall be the duty of a committee to make diligent

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Section 5. Structure of committees. (a) Subcommittees may be created within standing committees to facilitate the work of the standing committees. The members of the committee shall decide whether or not a subcommittee needs to be created, and which subjects the subcommittee will have jurisdiction over. Each subcommittee shall have at least three members, including a chairman and a vice chairman. The members of the subcommittee shall be chosen by the members of the committee. The chairman and vice chairman of the subcommittee shall be chosen by the members of each subcommittee.

(b) Subcommittees shall submit their reports in writing to the chairman of the standing committee. (c) Apart from the requirements of subsections (a) and (b) above, the rules applicable to committees apply with equal force to subcommittees of standing committees.

Section 6. Meetings. (a) Meetings of the committees, including the Committee of the Whole, shall be open to the public unless a majority of the members thereof determine otherwise. No committee shall sit at a time when the Congress is in session without permission of the Congress. (b) The chairman of any standing or special committee may arrange for the joint meeting of his committee with another committee to conduct their business jointly. Final action shall be taken by each committee separately.

Section 7. Appointments of members. (a) Members of special committees shall be appointed by the Speaker, subject to appeal to the Congress. (b) Members of standing committees shall be appointed by the Speaker, after consultation with the Members of the Congress as to the committee or committees on which each prefers to serve, subject to appeal to the Congress. (c) No Member may serve on more than four standing committees. This subsection shall not apply if there are one or more vacancies in a State’s Congressional Delegation and the application of this subsection would deprive that State of fair representation on one or more standing committees.

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Section 8. Chairman and vice chairman. (a) The chairman of each standing committee or special committee, and the chairman for each continuous session of the Committee of the Whole, shall be appointed by the Speaker, subject to appeal to the Congress. A vice chairman shall be chosen by the members of each standing committee. (b) The chairman of each committee shall call meetings, preside at committee meetings, prepare and post the agenda, invite witnesses to appear before the committee, and prepare committee reports subject to the requirements of the Rules. The vice chairman shall perform the duties of the chairman in his absence. (c) A Member of Congress who serves as a chairman of a standing committee may not serve as a chairman or vice chairman of another standing committee. The Speaker, Vice Speaker and Floor Leader may not serve as a chairman or vice chairman of any standing committee.

Section 9. Committee reports. (a) Special committees shall report within the time allowed by the Speaker. Standing and special committees shall submit their reports in writing to the Clerk who shall number the reports consecutively in the order received, cause such reports to be reproduced, and furnish a copy to each Member of the Congress. A committee report shall state findings of fact and conclusions based thereon together with a specific recommendation as to the manner in which the bill, resolution, or other matter referred to the committee should be disposed of by the Congress. A report recommending a bill for passage shall clearly state the purpose of the bill and the intent of the legislation. A report upon a bill shall state clearly any proposed amendments thereto, and a copy of the bill as proposed to be amended by the committee shall be attached thereto. (b) A report shall be considered adopted by a committee when a majority of the members of the committee has signed the report concurring therein. A member or members not concurring in the report of the majority may so indicate by signing the report “I do not concur” or by submitting a separate minority report.

(c) A committee shall report to the Congress all actions taken on any matter referred to it.

Section 10. Rights of members. A majority of the members of a committee may require the chairman to place any bill, resolution, or other matter referred to the committee on the agenda for committee consideration and to submit such a bill, resolution, or other matter to the

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Section 11. Withdrawal of bills, resolutions, and other matters from committee. Any bill, resolution, or other matter referred to a committee at a regular session may be withdrawn from such committee on or after the fifteenth day of the session by an affirmative vote of a majority of the Members of the Congress present, a quorum being present, provided that the bill, resolution, or other matter shall have been referred to committee six or more days prior to recall. Any bill, resolution, or other matter referred to a committee at a special session may be withdrawn by affirmative vote of a majority of the Members of the Congress present, a quorum being present, after half of the period for which the session was called has elapsed.

RULE 7. STANDING COMMITTEES. The standing committees of the Congress of the Federated States of Micronesia shall be as specified herein as follows:

Section 1. Ways and Means. (a) The Committee on Ways and Means shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to the finances and financial administration of the Government of the Federated States of Micronesia or any of the four constituent States or a municipality thereof, such subjects to include but not be limited to taxes, export duties, and tariffs; non-tax revenues; budgets; expenditures; appropriation measures; loans, borrowing, or indebtedness on public credit; monetary claims, funding arrangements, or requirements; accounting and audits, past, present or proposed; the issuance and regulation of currency; and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. Bills and resolutions or other matters pertaining to internal organization or management of the Congress of the Federated States of Micronesia shall also fall within the scope of the duties of the Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction. (b) This committee shall be responsible for reviewing specific subjects in the budget of the President, and all supplementals thereto, which make a request for an appropriation, which relates to a subject matter within its jurisdiction. Pursuant to its review the committee shall recommend whether the matters referred to it, or portions thereof, will be authorized, and if so, in what amount. Following its review the committee shall promptly report its recommendation to the Congress. Those subjects which fall within the jurisdiction of this

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Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) committee include, but are not limited to, the following: (i) Department of Finance and Administration; (ii) Office of the President; (iii) Office of Statistics, Budget, Overseas Development Assistance and Compact Management; and (iv) Public Auditor; (c) This committee shall be responsible for reviewing all reports referred to it by the Congress from other standing committees as pertain to the budget of the President and all supplementals thereto. Pursuant to said review this committee shall determine to what extent funds are available to meet the recommendations of the committee, which authored the referred report. After this determination has been made, this committee shall promptly report its recommendation to the Congress. In no instance may this committee recommend an appropriation in an amount higher than that recommended by the Committee which authored the referred report. However, this committee may recommend an appropriation in a lower amount if funds are determined to be insufficient to meet the recommendations contained in the referred report.

Section 2. Resources and Development. (a) The Committee on Resources and Development shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to the economy of the Federated States of Micronesia and the resources thereof, including economic planning, priorities, and policies; public or private investments; development loans; foreign investment; business registration and regulations; private savings and indebtedness; bankruptcy and insolvency; secured transactions; usury and banking; insurance regulation; labor and manpower development; agriculture, forestry, and internal

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Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) fisheries development; exploitation of land-based mineral resources; land management, industries, and public utilities; interstate trade and commerce; intellectual property rights; regulation and management of ownership, exploitation, and exploration of mineral or natural resources within marine space of the Federated States of Micronesia beyond 12 nautical miles from baselines; and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction. (b) This committee shall be responsible for reviewing specific subjects in the budget of the President, and all supplementals thereto, which make a request for an appropriation, which relates to a subject matter within its jurisdiction. Pursuant to its review the committee shall recommend whether the matters referred to it, or portions thereof, will be authorized, and if so, in what amount. Following its review the committee shall promptly report its recommendation to the Congress. Those subjects which fall within the jurisdiction of this committee include, but are not limited to, the following: (i) Department of Resources and Development; (ii) Pacific Asian Travel Association; (iii) National Oceanic Resource Management Authority; (iv) Pacific Island Development Program; and (v) Office of Environment and Emergency Management.

Section 3. Education. (a) The Committee on Education shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to public education and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction. (b) This committee shall be responsible for reviewing specific subjects in the budget of the President, and all supplementals thereto, which make a request for an appropriation which relates to a subject matter within its jurisdiction. Pursuant to its review the committee shall recommend whether the matters referred to it, or portions thereof, will be authorized, and if so, in what amount. Following its review the committee shall promptly report its recommendation to the Congress. Those subjects which fall within the jurisdiction of this committee include, but are not limited to, the following: (i) Department of Education

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(ii) Board of Regents of the College of Micronesia; (iii) College of Micronesia operations; (iv) Compact Section 221(b) programs; (v) Vocational agriculture programs; and; (vi) East-West Center.

Section 4. Judiciary and Governmental Operations. (a) The Committee on Judiciary and Governmental Operations shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to civil and criminal laws; immigration; judicial administration and organization; land laws and traditional rights; suffrage and National elections; proposed revisions of statutes; governmental organization, structure, or functions; civil service; patents and copyright; insurance, securities, and insolvencies; bankruptcy; postal service and functions; National Capital administration and management; constitutional amendments; judicial appointments; Presidential impeachment or judicial removal; suspension or expulsion of Members of the Congress; and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction. (b) This committee shall be responsible for reviewing specific subjects in the budget of the President, and all supplementals thereto, which make a request for an appropriation, which relates to a subject matter within its jurisdiction. Pursuant to its review the committee shall recommend whether the matters referred to it, or portions thereof, will be authorized, and if so, in what amount. Following its review the committee shall promptly report its recommendation to the Congress. Those subjects which fall within the jurisdiction of this committee include, but are not limited to, the following: (i) Department of Justice; (ii) Office of the Public Defender; (iii) National Judiciary; and (iv) National Postal Service.

Section 5. External Affairs. (a) The Committee on External Affairs shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to the National defense and security; foreign affairs; international trade and commerce,

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Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) including matters relating to establishment of embassies, consulates, or liaison offices in foreign countries; any treaty-related matters, including diplomatic relations and maritime matters; acquisition, admission, or governance of new territory; relations between the National Government and the people of the Federated States of Micronesia, other sovereign nations, the United Nations and any of its organs, and other international organizations; and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction. (b) This committee shall be responsible for reviewing specific subjects in the budget of the President, and all supplementals thereto, which make a request for an appropriation which relates to a subject matter within its jurisdiction. Pursuant to its review the committee shall recommend whether the matters referred to it, or portions thereof, will be authorized, and if so, in what amount. Following its review the committee shall promptly report its recommendation to the Congress. Those subjects which fall within the jurisdiction of this committee include, but are not limited to, the following: (i) Department of Foreign Affairs; (ii) United Nations Economic & Social Commission for Asia and the Pacific; (iii) South Pacific Commission; and (iv) International Civil Aviation Organization.

Section 6. Transportation and Communications. (a) The Committee on Transportation and Communications shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to all forms of communications, including, but not limited to, telephone, telegraph, radio, television, and shortwave; regulation of broadcasting and broadcast facilities; land, sea, and air transportation, including regulation and management of navigation and shipping; aeronautics and air navigational facilities; and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction.

(b) This committee shall be responsible for reviewing specific subjects in the

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Section 7. Health and Social Affairs. (a) The Committee on Health and Social Affairs shall consist of not more than seven members with at least one member from each of the four States. It shall be the duty of this committee to consider and report on all bills, resolutions, and other matters referred to it pertaining to the preservation of the physical and natural environment; physical and mental health of the general public; public welfare; social security and general well-being of the people of the Federated States of Micronesia; and other related subjects, including Presidential nominations submitted to the Speaker which require the advice and consent of Congress. It shall be the duty of this committee to consider, investigate, and recommend to the Congress any needed revisions of existing laws or new legislation relating to any subject matter within its jurisdiction. (b) This committee shall be responsible for reviewing specific subjects in the budget of the President, and all supplemental requests thereto, which make a request for an appropriation that relates to a subject matter within its jurisdiction. Pursuant to its review the committee shall recommend whether the matters referred to it, or portions thereof, will be authorized, and if so, in what amount. Following its review the committee shall promptly report its recommendation to the Congress. Those subjects that fall within the jurisdiction of this committee include, but are not limited to, the following: (i) Department of Health and Social Affairs; (ii) Office of National Archives, Culture and Historic Preservation; (iii) Office of Gender Development and Women Affairs; and (iv) Office of Youth and Sports.

RULE 8. BILLS, RESOLUTIONS, AND AMENDMENTS.

Section 1. Property of the Congress. All bills or resolutions introduced in the

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Congress and committee reports thereon shall be deemed the property of the Congress and under its control.

Section 2. Types of measures. The following are measures to be considered in the Congress: (a) Congressional Bill (C.B.), which shall identify bills introduced in the Congress; and (b) Congressional Resolution (C.R.), which shall identify resolutions introduced in the Congress.

Section 3. Format of bills and resolutions. (a) All bills and resolutions shall be typewritten with black ribbon, double- spaced leaving a left margin of one and one-half inches and with the number of the line appearing on each line at the left margin. (b) Bills and resolutions for introduction shall be submitted in an original and four copies. Each original copy of a bill or resolution shall be dated and signed by the Member introducing the measure at the bottom of the last page thereof. The introducer thereof may permit other Members to affix their signatures to the measure. When a Member wishes to indicate he is introducing a measure by specific request without necessarily sponsoring it, he may affix the words “by request” after his signature.

Section 4. Numbering of bills and resolutions. Bills and resolutions shall be numbered by the type of measure with the numerical designation of the Congress followed by numerals in consecutive order corresponding with their respective order of introduction. The first time a bill or resolution is amended, the designation “C.D.1” shall be appended after the numerical designation of the bill or resolution to indicate “Congressional Draft 1.” Each time the bill or resolution is subsequently amended, the numerical designation shall be increased by one.

Section 5. Form of bills. To pass First or Second Reading, each bill shall:

(a) Contain an enacting clause reading: “BE IT ENACTED BY THE CONGRESS OF THE FEDERATED STATES OF MICRONESIA:”; (b) Embrace but one subject which subject shall be expressed in the title; and (c) Not amend or revise an existing law by reference to its title only, but the law as revised, or section as amended, shall be set forth at full length in the bill.

Section 6. Deadlines for introduction and calendaring of bills and resolutions.

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To promote the orderly consideration of matters before Congress, the Speaker, in any session, may establish a date after which no further bills or resolutions may be introduced, and a date after which no further bills or resolutions may be placed on the Bill or Resolution Calendar for consideration during that session. In establishing such deadlines, the Speaker may place such limitations on the effect of the deadlines or create such exceptions as he deems appropriate.

Section 7. Duplication and distribution of bills, resolutions and committee reports. (a) The Clerk shall be responsible for making a sufficient number of copies of bills and resolutions, when introduced, and committee reports, when submitted to him/her by a committee. (b) The Clerk shall provide each Member with a copy of each bill and each resolution and each amended copy thereof, at the time of introduction, in amended form following submission of a report with amendments by a committee, or after amendment on the floor if required by rule 8, section 9. The Clerk shall provide each Member with a copy of each report of each committee at the time that the report is placed on the Order of the Day. (c) A bill or resolution shall not be placed on the Bill or Resolution Calendar unless a copy thereof and the pertinent reports have been duplicated and distributed to each Member on the previous day of the session.

Section 8. Referral and reading of bills. (a) Following duplication, the Speaker, after consultation with the Vice Speaker and Floor Leader, shall refer bills to an appropriate committee or committees. The Speaker shall announce to the Congress each bill’s referral at the time it is made. The Speaker may place a bill on the Bill Calendar for First Reading without referral to a committee, but such action shall not be adopted unless a majority of all Members vote in favor of it. (b) Committee reports shall first be delivered to the Clerk, who shall place a number on them in consecutive order and cause the same to be printed and distributed to Members. (c) The reports of committees reporting on a bill shall be separated from the bill and acted on separately. Congress may not consider committee reports for adoption until the next session day following the day on which the committee reports have been distributed to the Congress. Such reports may recommend that the bill, in its original or in amended form: (i) Pass First and Second Readings; (ii) Be favorably considered but first be referred to another committee or be passed to the next committee to which it was initially referred; or

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(iii) Be filed. If a bill has been referred to more than one committee, the Congress shall receive and consider the reports of the second and subsequent committees prior to the First Reading of the bill. The First Reading of a bill shall be by its title, provided that the Clerk shall read the bill at length if requested to do so by six Members present. (d) A copy of each bill, which has passed First Reading, shall be submitted to the Legislative Counsel for review, as to the form prior to being placed on the Bill Calendar for Second Reading. The Counsel shall, if necessary, make a report on the bill to the Speaker without delay. (e) The Clerk shall place bills on the Bill Calendar in the order received from the several committees or from the Speaker if the bill has not been so referred. (f) Upon Second Reading, a bill shall be read by title, provided that the Clerk shall read the bill at length if requested to do so by six Members present. (g) No appropriation bills, except those recommended by the President for immediate passage or to cover the operating expenses of Congress, may be passed on Final Reading until the bill appropriating money for the budget of the National Government has been enacted.

Section 9. Consideration of resolutions. (a) Following duplication and distribution of a copy to each Member of the Congress, the Speaker may order that a resolution be placed on the Resolution Calendar or be referred to one or more committees, subject to the action of the Congress. The Speaker shall announce to the Congress each resolution’s referral at the time it is made. (b) The reports of the committees reporting on a resolution shall be separated from the resolution and acted on separately. The report may recommend that the resolution: (i) Be placed on the Resolution Calendar for adoption; (ii) Be favorably considered but first be referred to another committee or be passed to the next committee to which it was initially referred, or (iii) Be filed. (c) If a resolution has been referred to more than one committee, the Congress shall receive and consider the reports of the second and subsequent committees and shall take appropriate action thereon.

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(d) The Clerk shall place the resolutions on the Resolution Calendar for adoption in the order received from the Speaker, provided that if they were referred to a committee, they shall be placed on the Resolution Calendar in the order they were received from the final committee considering them. (e) A resolution upon the Resolution Calendar shall be read by title. A majority of the Members present may request a reading of a resolution at length.

Section 10. Amendments. Amendments to bills or resolutions may be offered on the floor of the Congress by any Member, provided that the proposed amendment is in writing. Such amendment shall be read by the Clerk. Unless the amendment is a corrective or technical amendment, making no substantive change, the entire bill or the page or pages affected, as the Speaker shall direct, shall be reduplicated and distributed to the Members prior to the next reading of the bill. Amendments to bills offered on the floor which are substantive and not merely corrective or technical, shall only be offered before first reading of a bill. Amendments to bills offered on the floor which are corrective or technical, making no substantive change to the bill, may be offered before first or second reading of a bill. Any Member may object to an amendment as not being corrective or technical but being substantive in character, and the Speaker shall rule thereon.

Section 11. Certifying and transmitting of bills and resolutions. (a) When a bill passes or a resolution is adopted, it shall be certified by the Speaker and by the Chief Clerk, noting the day of its passage or adoption. (b) The Chief Clerk shall cause each bill which has passed First and Second Readings to be prepared in final form and shall transmit the original to the President within 30 days. The Speaker will authenticate it by his signature, thus certifying to the accuracy of the bill so transmitted, and the same thereof shall be attested to by the Chief Clerk. The final form is prepared by the Chief Clerk for the President’s signature and public printing. (c) The Chief Clerk shall cause each resolution, which has been adopted to be prepared in final form and shall transmit the originals to the addressees within 30 days. The Speaker will authenticate them by his signature, thus certifying to their accuracy; the same shall be attested to by the Chief Clerk.

Section 12. Overriding a Presidential veto. Whenever a bill passed by the

Congress is disapproved by the President, the Speaker shall refer the bill and the President’s reasons for disapproving to the committee to which the measure was originally referred. The committee shall then report on the measure and recommend that the measure either be overridden

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Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) or not overridden. The bill may be withdrawn from the committee by majority vote of the Members of Congress present, a quorum being present, at any time subsequent to such referral to the committee notwithstanding the time periods established in rule 6, section 11. Overriding requires an affirmative vote by at least three State delegations, such vote to be conducted according to rule 10, section 12. If a bill that was disapproved by the President is overridden by the Congress, the Clerk shall transmit the bill to the President under the certification of the Speaker.

RULE 9. MOTIONS. Section 1. Seconding. No motion shall be considered by the Congress until it has been seconded. This requirement shall not apply to points of privilege, information, or order, or to requests to withdraw a motion.

Section 2. Property of the Congress. After a motion is stated by the Speaker or read by the Clerk, it shall be the property of Congress and shall be disposed of by the Congress unless withdrawn as provided in this rule. Section 3. Main and subsidiary motions. A Member of Congress may be the mover of a main motion at the time provided for in the order of business; which main motion shall have as its purpose the carrying out of the business of the Congress. Whenever any main motion shall be under discussion, the only subsidiary motions relative thereto which shall be entertained are: (a) Lay on the table; (b) The previous question; (c) Defer to the end of the day’s calendar; (d) Defer to the end of the calendar; (e) Postpone definitely, or to a certain time; (f) Commit or Refer, or Recommit; (g) Amend; and (h) Postpone indefinitely, which motions shall have precedence in the order named. The first, second, third and fourth motions shall be decided without debate and shall be put to vote as soon as made and seconded. All the rest of the motions and the main motion shall be subject to debate and shall be put to vote in accordance with the provisions of the Rules. If a motion to amend a specific matter is defeated, it shall not be revived on the same day. No more than one motion to amend an amendatory motion shall be in order at the same time. If a motion to amend an amendment is defeated, another amendment to the amendatory motion is in order.

Section 4. Privileged motions.

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(a) A Member of Congress may be the mover of a privileged motion at any time such a motion is appropriate to the order of business. A privileged motion shall take precedence over main and subsidiary motions and shall be disposed of before the Congress proceeds with other business.

(b) A Member may raise a point of privilege concerning a matter which relates to him as a Member of the Congress or which relates to the privileges or welfare of the Congress. When a Member raises a point of privilege, the Speaker shall interrupt the proceedings of the Congress and ask the Member to state his point. The point shall not be debatable.

(c) A Member may move to recess for or to a specific time, or at the call of the Chair. The motion to recess shall be decided without debate and shall be put to vote as soon as made. The Speaker may recess the Congress for or to a specific time or at the call of the Chair, subject to appeal to the Congress. (d) A Member may move to adjourn, and such a motion shall take precedence over all other motions. The motion shall be decided without debate and shall be put to vote as soon as made, provided that the motion to adjourn to a specified time or sine die shall be subject to debate and amendment. If the motion to adjourn is adopted, action on the question before the Congress shall be discontinued and shall be considered on the next meeting day during the regular order of business. If the motion to adjourn is defeated, such a motion shall not again be in order until the disposal of the new question before the Congress. The Speaker may adjourn the Congress for or to a specific time or to the time provided in rule 1, section 4, subject to appeal to the Congress.

Section 5. Incidental motions. (a) A Member of Congress may be the mover of an incidental motion at any time such a motion is appropriate to the order of business. (b) A Member may raise a point of information at any time on any subject, including the procedure governing the disposal of a matter or motion before the Congress. When a Member raises a point of information, the Speaker shall ask the Member to state his point. The point shall not be debatable. The Speaker shall respond to the point of information as soon as raised or request another Member to respond. The Speaker may consider the question improper and choose not to consider the point. (c) A Member may raise a point of order at any time such a point is appropriate to the order of business. The subject of such point shall be whether the Rules and applicable laws governing the conduct of business in the Congress are being observed. When a

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Member raises a point of order, the Speaker shall interrupt the proceedings and ask the Member to state his point. The point of order shall not be debatable and shall be ruled upon by the Speaker as soon as raised, subject to appeal to the Congress. If the ruling of the Speaker is appealed, the Member raising the point of order and the Speaker shall each be allowed five minutes to explain his position or ruling. (d) A Member may move to withdraw his motion. When a Member moves to withdraw his motion, the Speaker shall interrupt the proceedings and permit the motion to be withdrawn if there has been no decision on or amendment to the motion as of the time the Member requests withdrawal of his motion. (e) A Member may move for division of question when he finds two or more specific subjects within the same general subject of a bill or resolution before the Congress and desires that each such specific subject be considered and voted on separately. When a Member moves for division of the question, the Speaker shall interrupt the proceedings and permit the Member to make his motion, which motion shall specify the specific subjects to be considered and voted on separately. The motion shall be decided without debate and shall be put to vote as soon as made. If the motion for division of the question is adopted, for final passage or adoption, the bill or resolution, as amended, shall be considered and voted on as a single entity as provided in these Rules. (f) A Member may move for a call of the Congress at any time that he desires all present Members to remain on the floor and all absent Members to be required to attend the session. When a Member moves for a call of the Congress, the Speaker shall interrupt the proceedings and permit the mover to make his motion. The motion shall be decided without debate and be put to vote as soon as made. The motion, if adopted, shall remain in effect until adjournment or the call of the Congress is removed by action of the Speaker, subject to appeal to the Congress. The Speaker may order a call of the Congress, subject to appeal to the Congress. (g) A Member may move to remove a bill or resolution from the table at an appropriate time in the order of business of the Congress. The motion shall be decided without debate and shall be put to vote as soon as made.

(h) A Member may move to suspend one or more sections or paragraphs of the Rules. Such a motion shall state the specific purpose to be accomplished by suspension of the Rules and the specific sections or paragraphs of the Rules which shall be suspended. When a Member moves for suspension of the Rules, the Speaker shall permit the mover to make his motion. The motion shall be decided without debate and shall be put to vote as soon as made, and shall require an affirmative vote by two-thirds of the Members present for adoption. Any suspension of the Rules shall terminate when the specific purpose to be accomplished by

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Section 6. Motion to reconsider. When a main motion has been made once and carried in the affirmative or negative, it shall be in order for any Member of the Congress to move to reconsider it on the same or succeeding days of the session. Such motion shall take precedence over all other motions except a motion to adjourn or to recess or a motion to recall. The motion shall be decided without debate and shall be put to a vote as soon as made. The motion to reconsider shall be deemed to have passed if the number of affirmative votes equals or exceeds the number required for passage of the main motion being reconsidered. When a motion for reconsideration has been decided, a second motion for reconsideration of the same question shall not be in order.

Section 7. Motion to recall. When a bill, or other matter upon which a vote has been taken has passed out of the possession of the Congress and has been transmitted to the President of the Federated States of Micronesia, it shall be in order for any Member of the Congress to move for recall of the bill, resolution, or other matter by requesting the President to return the bill, resolution, or other matter to the Congress, and such motion shall take precedence over all motions except a motion to adjourn or to recess. The motion shall be decided without a debate and shall be put to vote as soon as made. An affirmative vote of three State delegations is required to recall a bill. When a motion for recall has been decided and defeated, a second motion for recall of the same bill shall not be in order. If the motion for recall is adopted and the bill, resolution, or other matter returned as requested, it shall then be before the Congress for reconsideration in the regular order of business.

Section 8. Previous question. A Member may move to the previous question, provided that the Speaker first ascertains that an opportunity to speak on the question has been provided to at least one Member in each of the State delegations. The motion for the previous question shall be decided without debate and shall be put to vote as soon as made. The adoption of the motion shall require a majority of the entire membership of the Congress. The adoption of the motion for the previous question shall close debate and require the Speaker to put the previous question before the Congress for a vote.

RULE 10. VOTING. Section 1. Methods of voting. There shall be four methods of voting: (a) By voice vote; (b) By the raising of hands; (c) By secret ballot; and

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(d) By call of the roll of the Members and recording of the vote of each Member by the Clerk.

Section 2. Choice of method of voting. The Speaker may designate the method of voting to be followed by the Congress in determining a question, subject to the provisions of this rule.

Section 3. Voice vote. Voice vote shall be the usual and ordinary method of voting in the Congress. Whenever the Congress shall be ready to vote on any question, the Speaker shall state the question. He shall then request all those in favor of the motion to vote “Aye” in a clear, loud voice. The Speaker shall then request all those opposed to the motion to vote “No” in a clear, loud voice. The Speaker shall then announce the results of the vote to the Congress. Section 4. Raising of hands. If the Speaker so determines, the vote shall be by the raising of hands. The Speaker shall state the question. He shall then call upon those in favor of the motion to raise their right hands. The Clerk shall count the number of hands raised and report to the Speaker. The Speaker shall then call upon those opposed to the motion to raise their right hands. The Clerk shall count the number of hands raised and report to the Speaker.

Section 5. Secret ballot. If three Members shall request a vote by secret ballot, the Speaker shall conduct such a vote, provided that at the time of such request, a roll call vote is not required or has not been requested. The Clerk shall distribute ballots to the Members, restate the question, and instruct those in favor of the motion to write “Yes” on their ballots and those opposed to write “No.” If a Member writes “Abstain” or makes any other mark on his ballot other than “Yes” or “No,” it shall be recorded as if he had written “Yes.” The Clerk shall collect and tally the ballots and report the results thereof to the Speaker who shall announce the results of the vote to the Congress. The ballots shall be available during the remainder of that day’s session for inspection by any Member.

Section 6. Call of the roll. If one-fifth of the Members present shall request a call of the roll or if such a call is required by these Rules or the applicable provisions of law, then the Speaker shall announce a call of the roll. The Speaker shall state the question calling upon those in favor of the motion to respond “Aye” when their names are called and those opposed to respond “No” when their names are called. The Clerk shall call the roll, recording the vote of each Member in the Journal. He shall inform the Speaker of the results of the call of the roll who shall, in turn, announce the results of the vote to the Congress.

Section 7. Nonvoting. No Member present in the Congress shall refrain from voting unless excused in accordance with section 8 of this rule. A Member who is present who fails to respond to the call of his name upon a call of the roll shall be individually instructed by the

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Speaker to respond “Aye” or “Nay,” and if he still fails to vote, the Speaker shall order the Clerk to record his vote in the affirmative. No abstention from voting will be recognized. If, on a roll call vote, any Member responds “Abstain”, his vote will be recorded in the affirmative.

Section 8. Conflict of interest. No Member shall be permitted to vote upon any matter in which he has a distinct, individual, pecuniary interest or which will affect his right to a seat in the Congress or in a matter in which his individual conduct is involved. When any Member has a distinct, individual, pecuniary interest, which he believes might disqualify him from voting on a question, he shall stand and disclose such interest to the Congress. The Speaker shall thereupon rule as to whether the Member shall or shall not be disqualified from voting on the question, subject to appeal to the Congress.

Section 9. Change of vote. A Member shall not be allowed to vote or to change his vote after the announcement of the results of the vote by the Speaker, or after the collection of the ballots, if the vote is by secret ballot.

Section 10. Action of the Congress. Any action of the Congress shall require a majority of the vote of the Members present, a quorum being present, unless otherwise provided by these Rules.

Section 11. Call of roll on First Reading. The roll shall be called on the First Reading of a bill, which shall pass First Reading if two-thirds of all Members of the Congress vote in the affirmative.

Section 12. Voting by State delegation on Second Reading. (a) Each State delegation is entitled to cast one vote on the Second Reading of a bill. An affirmative vote of three States is required to pass a bill on Second Reading. The Second Reading of a bill shall not take place on the same calendar day as the First Reading.

(b) The Speaker shall announce a call of the roll of each State delegation on the Second Reading of a bill. The chairman of each State delegation, or his designee, shall announce the vote of his delegation. The vote announced by the Chairman or his designee is final, except that any Member of the delegation may request a poll of the delegation. In the event a poll is requested, a majority of the Members of the delegation present cast votes in favor of the bill or equal numbers vote in favor and against the bill, the vote of the delegation shall be considered affirmative.

Section 13. Overriding a Presidential veto. Each State delegation shall cast one

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Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) vote upon a vote when voting to override a Presidential veto. An affirmative vote of three States is required to override a veto. The procedures for casting delegation votes set forth in rule 10, section 12, shall be followed.

Section 14. Other votes. (a) Approval of the following advice and consent nominations require a two- thirds vote of all Congress Members: (i) Approval of Presidential appointment of a Justice of the Supreme Court; (ii) Approval of Presidential appointment of an ambassador; (iii) Approval of Presidential appointment of principal officers in the National Government; and (iv) Approval of Presidential appointment of the Public Auditor. (b) The following actions may be taken by a vote of at least two-thirds of the Members of Congress: (i) Ratification of a treaty; (ii) Removal of the President, Vice President, or a justice of the Supreme Court for treason, bribery, or conduct involving corruption in office; (iii) Removal of the Public Auditor from office for cause; and (iv) Approval of appointment of the Legislative Counsel and the Chief Clerk by secret ballot.

Resource: OFFICIAL RULES OF PROCEDURE, 19th FSMC, May 11, 2015 (C.R. No. 19-25, adopted 5/28/15)

Section 15. Actions of Congress requiring votes as specified in these Rules. No. Action Required Majority No. Rule 1. Quorum Eight Members 3 2. First Reading of bill Ten Members 10, section 11 3. Second Reading of bill Three State delegations 10, section 12 4. Overriding veto Three State delegations 10, section 13 5. Calling special session Written request of ten Members 1, section 2 6. Election of President Eight Members 1, section 15; and Vice President 1, section 16

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7. Removal of Officers Ten Members 2, section 1 8. Suspend or expel Member Ten Members 4, section 12 9. Consent to appointment of Ten Members 10, section 14 ambassadors, principal executive officers, and the Public Auditor 10. Approval of appointment of Ten Members 10, section 14 Supreme Court Justices 11. Removal of President, Vice Ten Members 10, section 14 President, and Supreme Court Justices 12. Removal of Public Auditor Ten Members 10, section 14 13. Ratification of treaty Ten Members 10, section 14 14. Adoption of previous question Eight Members 9, section 8 15. Move to previous question Eight Members 9, section 8 16. Amendment of Rules Eight Members 15 17. Withdrawal of measure from Majority of Members present 6, section 11 committee 18. Reading of a bill at length Six Members 8, section 8 19. Reading of a resolution Majority of Members present 8, section 9 20. Suspension of rules Ten Members 9, section 5 No. Action Required Majority No. Rule 21. Sustain appeals from rulings of Ten Members 4, section 8 Speaker

22. Dispense with reading of Journal Majority of Members present 13, section 2 23. Voting by secret ballot Three Members 10, section 5 24. Voting by call of the roll Three Members 10, section 6 25. Motion to reconsider a main Same majority as required for 9, section 6 motion passage of main motion 26. Closing committee meeting Majority of committee members 6, section 6 27. Adoption of committee report by Majority of committee members 6, section 9 committee

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28. Requiring committee Majority of committee members 6, section 10 consideration of a matter referred to committee 29. All other actions Majority of Members present, a 10, section 10 quorum being present

Section 16. Secret ballot required. Voting shall be by secret ballot on all votes to approve advice and consent nominations, including, but not limited to, votes on Supreme Court justices, ambassadors, principal officers in the National Government, Public Auditor, and members of boards, commissions and authorities.

RULE 11. WARRANTS, SUBPOENAS, OATHS, AND CONTEMPT. Section 1. Warrants, subpoenas, and oaths. (a) The Speaker, committee chairman, and other authorized Members may issue warrants, subpoenas, or other processes and administer oaths in accordance with 3 F.S.M.C. 401, et seq. Any witness neglecting or refusing to attend a session of the Congress or a committee meeting after being properly subpoenaed may be arrested by the Sergeant at Arms or any police officer of the National Government or any State government in the Federated States of Micronesia and brought before the Congress or a committee thereof, as the case may be. The Speaker may issue a warrant to carry into effect the orders of the Congress or any committee thereof, for the arrest of an offender. (b) The Speaker, committee chairmen, and other authorized Members may administer an oath to witnesses appearing before a committee of Congress. The oath should read substantially as follows: “I do solemnly swear that I will tell the whole truth and nothing but the truth in the deliberations before this committee of the Congress of the Federated States of Micronesia.”

Section 2. Contempt. Any person who shall be guilty of disrespect of the Congress by any disorderly or contemptuous behavior in its presence or before any of its committees, or who shall assault or detain any witness of the Congress or its committees, or who shall violate rule 12, section 4, shall be in contempt of the Congress. The Speaker may issue a warrant of arrest to the Sergeant at Arms or any police officer of the National Government or any State government in the Federated States of Micronesia for the arrest of a person found to be in contempt of the Congress.

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RULE 12. ADMINISTRATION. Section 1. Attendance. The Speaker shall certify the attendance of Members at a session or upon official legislative business when the Congress is not in session for the purpose of establishing entitlement to per diem or other allowances.

Section 2. Employees. Employees of the Congress shall be appointed pursuant to law and the CFSM Administrative Manual.

Section 3. Papers of the Congress. At the end of each session all measures, petitions, and other papers referred to committees of the Congress shall be delivered by the chairmen thereof to the Clerk, together with all recorded evidence taken by such committees and documents and other pages submitted to them. The Clerk shall report any failures to comply with this rule to the Speaker.

Section 4. Confidential documents. The Speaker may declare any document or other paper which is the property of the Congress to be confidential, subject to an appeal to the Congress. If a document or other paper is declared confidential, the Clerk shall mark such document or other paper confidential and distribute it only to Members of the Congress and persons authorized by the Speaker to view such confidential document or other paper, and to no other persons. No Member or other person shall show or distribute such confidential document or other paper to any person not authorized to view it.

RULE 13. THE JOURNAL.

Section 1. Maintaining the Journal. The Congress shall keep a Journal of its proceedings in English and shall compile and publish the Journal for each session of the Congress. The Journal of the session shall include the journals of the day compiled by the Clerk as defined in rule 2, section 5(c), the Official Rules of Procedure of the Congress, and the statements of Members appended to the journals of the day and may include such other matters as the Congress or the Speaker, subject to the action of the Congress, may direct. The Clerk shall keep note of all questions of order not specified in these Rules and decided under rule 1, section 11, or rule 4, section 8, and append them for publication in the Congressional Journal.

Section 2. Reading and correcting the Journal. The journal of each day shall be read the following day and shall be corrected and/or approved by vote of the Congress, provided that the Speaker shall correct and/or approve the journal of the last day of a session. The Congress, by majority vote of the Members present, may dispense with such reading. Subsequent to the approval of the journal of the day, the Clerk, with the permission of the

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Speaker, may make non-substantive corrections therein, including such matters as spelling of words and grammatical construction of sentences.

Section 3. Appending explanations to the Journal. Each Member shall have the right to append to the journal of the day a statement explaining his vote on any matter being voted upon that day, including his vote on a bill on First Reading or Second Reading. Such a statement or statements shall not exceed in total 300 words in a single day and shall be submitted to the Clerk on the day in which the action occurs. The statement may be in English or in both English and the native language of the Member or of his constituents.

RULE 14. SPECIAL SESSIONS. For the purposes of rule 8 of these Rules, special sessions of the Congress of the Federated States of Micronesia shall be treated as regular sessions. Bills and resolutions introduced during a special session shall be numbered consecutively, starting with the number following the last number used in the last preceding session of the Congress for such bills or resolutions. At any session, including a special session, all measures shall retain the status which they had at the close of the last preceding session of a Congress, until acted upon during such session. It shall not be necessary to repeat any step in the legislative procedure already accomplished in any previous session of the same Congress.

RULE 15. AMENDMENT OF THE RULES.

The Official Rules of Procedure of the Congress shall not be amended in any way or manner without a day’s notice being given of the motion to amend the Rules by the Member proposing to do so. The giving of notice shall consist of: (a) Submitting a written copy of the proposed amendment to the Speaker; and (b) Distributing a copy of the proposed amendment to the Members in session. An amendment to the Rules shall be deemed adopted when approved by a majority vote of the total membership of the Congress. Suspension of the Rules shall not constitute an amendment of the Rules.

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NINETEENTH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 2015 C.R. No. 19-25

A RESOLUTION To amend section 14 of rule 10 of the Official Rules of Procedure of the Nineteenth Congress of the Federated States of Micronesia, by adding a sub-subsection (iv) to subsection (b) to include appointment of the Chief Clerk and Legislative Counsel by secret ballot .

WHEREAS, the Congress of the Federated States of Micronesia is governed by its 1 Official Rules of Procedure; and 2 WHEREAS, rule 15 of the Official Rules of Procedure stipulates that a motion is 3 required to amend the said rules; and 4 WHEREAS, a Congressional Resolution is a transparent and open mechanism for an 5 amendment to the Official Rules of Procedure; and 6 WHEREAS, the Members of the Nineteenth Congress of the Federated States of 7 Micronesia desire to add a sub-subsection (iv) to subsection (b) to require that the appointment 8 of the Chief Clerk and Legislative Counsel to be by at least two-thirds vote of the Members of 9 Congress and by secrete ballot; now, therefore, 10 BE IT RESOLVED by the Nineteenth Congress of the Federated States of Micronesia, 11 First Regular Session, 2015, that section 14 of rule 10 of the Official Rules of Procedure of the 12 Nineteenth Congress of the Federated States of Micronesia is amended to read as follows: 13 “Section 14. Other votes. 14 (a) Approval of the following advice and consent nominations require a 15 two-thirds vote of all Congress members: 16 (i) Approval of Presidential appointment of a Justice of the Supreme 17 Court; 18 (ii) Approval of Presidential appointment of an ambassador; 19 (iii) Approval of Presidential appointment of principal officers in the 20 National government; and 21

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C.R. No. 19-25

(iv) Approval of Presidential appointment of the Public Auditor. 1 (b) The following actions may be taken by a vote of at least two-thirds of 2 the Members of Congress: 3 (i) Ratification of a treaty; 4 (ii) Removal of the President, Vice President, of a justice of the 5 Supreme Court for treason, bribery, or conduct involving corruption in office; 6 (iii) Removal of the Public Auditor for cause; and 7 (iv) Approval of appointment of the Legislative Counsel and the Chief 8 Clerk by secret ballot.”; and 9 BE IT FURTHER RESOLVED that a certified copy of this resolution be transmitted to the 10 President of the Federated States of Micronesia. 11 12 ADOPTED: May 28, 2015 /s/ Wesley W. Simina 13 Wesley W. Simina Speaker 14 FSM Congress 15 16 ATTEST: /s/ Liwiana Ramon Ioanis 17 Liwiana Ramon Ioanis Chief Clerk 18 FSM Congress 19 20 21 22 23 24

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20th CONGRESS of the Federated States of Micronesia

THIRD SPECIAL SESSION

INDEX OF LEGISLATION

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I N D E X CONGRESSIONAL BILLS Twentieth Congress of the Federated States of Micronesia [Third SPECIAL SESSION – 2017] CB No. Short Title as Introduced SCR No. Page No. C.B.No. To convert unpaid balances of prior loans from the National 12/12/17 viii, 48, 69, 86 20-54, Government of the Federated States of Microensia to the National CD2 Fisheries Corporation funded, pursuant to Public Law No. 6-69 and Public Law No. 9-78, into grants for the purposes for which such loans were provided and for other purposes. (Simina) C.B.No. To amend section 605 of Title 9 of the Code of the Federated 9/26/17 23 20-92 States of Micronesia (Annotated), to create a new special polling place located outside of the Federates States of Microensia, and for other purposes. (Neth) C.B. No. To appropriate the sum of $4,450,000 from the General Fund of 12/08/17 viii 20-108, the Federated States of Micronesia for the fiscal year ending CD1 September 30, 2018, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes. (Welly) C.B. No. To amend section 106 of title 55 of the code of the Federated 7, 8 20-111 States of Micronesia (Annotated), as amended, to require that, in each fiscal year, no appropriation shall be made to the “Grant, Subsidies, and Contribution” and “Capital and Human Resources Development” sections of the National Budget unless a minimum of $20,000,000 has been appropriated to the FSM Trust Fund for the same fiscal year, according to a specified formula, and for other purposes. (Simina) C.B.No. To appropriate $3,400,000 of additional funds from General Fund 7, 9 20-112 of the Federated States of Microensia for the fiscal year ending September 30, 2018, for the purpose of purchasing real property in Guam, and for other pruposes. (Simina) C.B.No To amend the code of the Federated Staes of Micronesia by 7, 9 20-113 creating a new title 13 thereof, for the purpose of establishing the procedures to be followed by the National Government of the Federated States of Micronesia in exercising its power of eminent domain, and for other purpses. (Simina) C.B.No. To amend section 117 of title 52 of the code of the Federated 7, 9 20-114 States of Micronesia (Annotated), as amended, to exempt the Assistance Chief Clerk of Congress, the Tehcnology Administrator and the Secretaries to the Floor Leader and to the Legistlative Counsel of Congress from the Public Service system act, to make technical amendment to the title of the position of the Chief Clerk of Congress, and for other purposes. (Simina)

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C.B. No. Short Title as Introduced (continued Bills 20FSMC.2SS pg. 2) SCR No. Page No. C.B.No. To create new section 141 (5) to sub-chapter VI of title 54 of the 7, 9 20-115 Code of the Federated States of Micronesia (Annotated), as amended, to provide for a National Minimum wage, and for other purposes. (Simina) C.B.No. To create a new section 141 (5) to sub-chapter VI of title 54 of the 7, 9 20-116 code of the Federated States of Microensia to proprose an amendment of the Constitution of the Federated States of Micronesia, for the purpose of guaranteeing the representation of womean in Congress by creating, as a temporary special measure, additional seats in Congress, and for other purposes. (Simina)

C.B.No. To further amend title 24 of the Code of the Federated States of 8, 10 20-117 Micronesia (Annotated), as amended, by adding a new section 125, authorizing the president of the Federated States of Micronesia to bid out the fishing resources of the Exclusive Economic Zone, and for other purposes. (Simina) C.B. No. To futher amend title 55 of the Code of the Federated States of 8, 10 20-118 Micronesia (Annotated), as amended, by inserting a new section 1209 A, to invest all powers of the FSM Trust Fund Board of Directors in the President of the Federated States of Micronesia while the Board of the FSM Trust Fund is not constituted, subject to certain conditions, and for other purposes. (Figir) C.B. No. To appropriate the sum of $2,500,000 from the General Fund of 10, 20 20-119 the Federated States of Micronesia for the fiscal year ending September 30, 2018, in order to fund the dry-docking of M/V Chief Mailo and M/V Hapilmohol, and for other purposes. (Harper by request) C.B. No. To amend sections 224A and 224C of chapter 2, to insert new 25, 32 20-120 section 229 in the same chapter, to amend sections 403, 404, 406, 411 and 413 of chapter 4 of the title 55 of the Code of the Federated States of Microensia (Annotated), as amending, to add provisions of accounts ability of representation funds, auditing and procument of property, and for other purposes. (Harper by request) C.B.No To amend sections 9 and 120F Public Law No. 20-42, as amended W/P viii, 33, 37, 20-121, by Public Law No. 20-54, to subdivide the section 9 line item 12/11/17 39, 48, 71 CD1 titled Conservation Society in each state, and to name the Governor of Chuuk as the allottee for the Chuuk share of line item and to name the Governor of Yap State, as the allottee for the Yap State share of this line item, and for other purposes. (Gouland) C.B. No. To further amend Public Law No. 20-53, as amended by Public W/P viii, 40, 41, 20-122 Law No. 20-57, by amending sections 2, 3, 4 and 5 thereof, to 12/11/17 47, 52 change the use and allottee of funds previously appropriated hterein, for the purpose of funding priority infrastructure projects and other projects and programs in the states of Kosrae, Pohnpei, Chuuk, and for other purpses. (Gouland)

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CB No. Short Title as Introduced SCR No. Page No C.B. No. To further amend Public Law No. 19-124, as amended by Pubic W/P viii, 42, 47, 20-123 Laws Nos. 19-133, 19-140, 19-150, 20-05, 20-15, 20-33, and 20- 12/12/17 57, 73 48, by amending sections 4 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, to fund priorty infrastructure projects and other programs in the state of Pohnpei, and for other purposes. (Neth) C.B.No. To further amend Public Law No. 18-11, as amended by Public W/P viii, 42, 47, 20-124 Laws Nos. 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, 19-138, 12/12/17 58, 73 20-11, 20-49, and 20-55, by amending section 1 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Pohnpei, and for other purposes. (Neth) C.B. No. To amend Public Law No. 20-60, by amending sections 3, 4, 5, and W/P viii, 59, 61, 20-125 6 thereof, to change the use and allottee of funds previously 12/12/17 69, 74, 85, 87 appropriated therein, to fund public projects and social programs in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes. (Gouland)

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I N D E X CONGRESSIONAL RESOLUTIONS Twientieth Congress of the Federated States of Micronesia [Third Special Session - 2017] C.R. No. Short Title as Introduced SCR No. Page No. C.R. No. Approving and accepting a grant in the amount of $800,000 from SCR No. 20-47 ix, 76 20-58 the Government of the People’s Republic of China, to subsidize the (T&C) newly launched Airline between the FSM and Papua New Quinea, 12/13/17 including all the terms and conditions of the assistance. (Harper by request)

C.R.No Approving and accepting a grant in the amount of $3,032,657 from SCR. No. 20-46 ix, 75 20-63 the U.S Department of Education for the Federal Fiscal Year 2018 (EDUC) Fundsunder Part B of the Individuals with Disabilities Education 12/13/17 Act, including all the terms and conditions of the assistance. (Harper by request)

C.R. No. Setting the ceiling of the total funds estimated to be available for 10, 20 20-65 appropriation from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2018 C.R. No. To confirm the nomination of Mr. Joe-Silen B. Enlet to serve as the 25, 33 20-66 FSM Consul General in Portland, Oregon, U.S.A. (Harper by request) C.R.No. To confirm the nomination of Mr. Peter Garamfel to serve as a 25, 33 20-67 member of the Board of Directors of the National Oceanic Resource Management Authority (NORMA), representing Yap State. (Harper by request) C.R. No. Approving and accepting a grant in the amount of $5,500,000 from SCR. No. 20-43 ix, 25, 33, 20-68 the World Bank in connection with the preparation of proposed (W&M) 48, 60 Worl Bank financed projects, including the terms and conditions of 12/11/17 the assistance. (Harper by request)

C.R. No. Approving and accepting a grant in the amount of amount of SCR. No. 20-44 ix, 25, 33, 20-69 $500,000 from the U.S Deparment of Interior, Office of Insular (W&M) 60 Affairs, to fund the FSM Single Audit for FY2017 as required under 12/11/17 the Amended Compact, including all the terms and conditions of the assistance. (Harper by request)

C.R. No. Approving and accepting a grant in the amount of $68,000 from the 26, 33 20-70 Chinese Taipet WCPFC Trust Fund, to fund the FSM’s Monitoring and Assessment of By-Catch Program within the Purse Seine Fishery, including all the terms and conditions of the assistance. (Harper by request)

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C.R. No. Short Title as Introduced (continued pg. 2) SCR No. Page No. C.R. No. To confirm the nomination of Ms. Yuko Nakasone to serve as a 26, 33 20-71 member of the National Oceanic Resource Management Authority (NORMA) Board of Directors, representing Pohnpei State. (Harper by request)

C.R. No. Expressing the sincere congratulations and appreciation to Bishop 12/13/17 79, 80, 84 20-72 Amando Samo for his dedicated work as a Bishop of the Diocese of the Caroline Islands on the Thirteenth Anniversay of his being ordained as bishop. (Simina)

C.R. No. Approving and accepting a grant from the United Nations Children’s W/P 77, 80, 84 20-73 Fund (UNICEF) in the amount of $39,667 to fund and support the 12/13/17 FSM’s project entitled “Expanded Programme on Immunization” in the FSM, including all the terms and conditions of the assistance. (Urusemal by request)

C.R.No Approving and accepting a grant from the Government of the W/P 80, 85 20-74 People’s Republic of China in the amount of $1,200,000 to support 12/13/17 the operation of the Y12 Aricraft, including all the terms and conditions of the assistance. (Urusemal by request)

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