JOURNAL

FIRST REGULAR SESSION

TWENTIETH CONGRESS of the Federated States of Micronesia

PALIKIR, POHNPEI August 2015 PALIKIR, POHNPEI

Convened on Thursday, the 11th of May 2017 Adjourned on Tuesday, the 30th of May 2017

JOURNAL

FIRST REGULAR SESSION

TWENTIETH CONGRESS

OF THE

FEDERATED STATES OF MICRONESIA

JUNE 2018

PALIKIR, POHNPEI

Convened on Thursday, the 11th of May 2017 Adjourned on Tuesday, the 30th of May 2017

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

Twentieth Congress of the Federated States of Micronesia

FIRST REGULAR SESSION (May 11th thru May 30th, 2017) TABLE OF CONTENTS SECTION No. Page CERTIFICATION …………………… III ORGANIZATION Leadership and Membership …………………… IV Standing Committees …………………… V Congressional Offices …………………… VI SUMMARY OF LEGISLATION …………………… VII-X

DAILY JOURNAL INDEX …………………… XI-XII

DAILY JOURNAL …………………… 1-261

STANDING COMMITTEE REPORTS …………………… 262-308

SPECIAL COMMITTEE REPORTS ...... 309-311

COMMUNICATIONS Presidential Communications …………………… 312-320 FSM Supreme Court Communications …………………… 321-322 Member Communications …………………… 323-324 Departmental Communications …………………… 325-326 Agencies and Governmental Authorities …………………… 327-328 State Communications …………………… 329-330 State Supreme Court Communications …………………… 331-332 Municipal or Town Communications …………………… 333-334 Foreign Government Communications …………………… 335-336 Miscellaneous Communications …………………… 337-338 PRESIDENTIAL VETO MESSAGE …………………… 339-340 CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA ………… 341-355 OFFICIAL RULES AND PROCEDURES OF CONGRESS …………………… 356-387 INDEX OF LEGISLATION Congressional Bills …………………… 389-392 Congressional Resolutions …………………… 393-394

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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, First Regular

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 First Regular 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: Weno Derensio S. Konman ED 3: Tonoas, Uman, Fefan, Parem, and Tsis Tiwiter Aritos* ED 4: Tol, Fanapanges, Eot, Patta, Polle, Romalum, Udot, and Wonei Robson U. Romolow ED 4: Halls and Western Islands and Namonuito Atoll STATE OF YAP Isaac V. Figir ED 1: Yap

* Delegation Chairman

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TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA First Regular Session (May 11th thru May 30th, 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 First Regular Session (May 11th thru May 30th, 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 Salvador Vice Speaker’s Secretary … Consuelo Esiel TEMPORARY STAFF Floor Leader’s Secretary … Moria Rufes Pages …… Akina Joseph Journal Clerk …Shallane Suzumu …… Vertisha Santos Sergeant-at-Arms …Duwarik Micky …… Jenelle Jae Jack …… Tilson Jr. Kephas …… Ciandella Aliksa INFORMATION TECHNOLOGY OFFICE …… Matthew Ramon Congress IT Administrator … Daystone Roby …… Andres Andon Webmaster/IT Specialist ……Jonah Hainrick …… Trickson B. Ladore IT Specialist ……Shane Mackenzie …… Bradly Spirin

OFFICE OF LEGISLATIVE COUNSEL LEGISLATIVE COUNSEL Division Legislative Counsel ...... T. Lam Dang Secretary …… Rose Donre Staff Attorney ...... Alik Jackson Librarian …… Nercy Syne-Simina ...... Catherine Allen Asst. Librarian …… Vacant ...... Lucas Cupps Archivist …… Mary Kilmete Proofreader …… Paul Womack

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 …… (Vacant) 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

FIRST REGULAR SESSION

Summary of Legislation

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SUMMARY OF BILLS Twentieth Congress of the Federated States of Micronesia [FIRST REGULAR SESSION -- 2017] CLASSIFICATION Congressional Bills Introduced 40 Congressional Bills Enacted 15 Congressional Bills Disapproved 2

CONGRESSIONAL BILLS ENACTED DURING THE FIRST REGULAR SESSION Transmittal President's CB. No. Short Title Date Action C.B. No. To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18- 4/6/17 VETOED 19-266 81, 19-33, 19-106, 19-128, 19-134, and 19-138, by amending sections 1 and 2 thereof, 4/25/17 to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes. (Martin) C.B. No. To amend sections 1, 2, 3, 8, 9, and 12 of Public Law No. 19-118, as amended by Public 4/04/17 Public Law 19-269, CD2 Laws Nos. 19-125, 19-131, 19-135 and 19-146, in order to appropriate $1,684,000 of No. 20-01 additional funds from the General Fund of the Federated States of Micronesia for fiscal 4/11/17 year ending September 30, 2017 to change the alloteee of funds previously appropriated therein, and for other purposes. (Figir) C.B. No. To amend Public Law No. 19-89m as amended by Public Laws Nos. 19-94, 19-127, 19- 5/18/17 Public Law 20-01, CD1 151, and 19-159, by amending sections 3, 4 and 6 thereof, to change the use and allottee No. 20-06 of funds previously appropriated therein, for the purpose of funding public projects and 5/27/17 social programs in the states of Kosrae, Pohnpei and Chuuk, and for other purproses. (Gouland) C. B. No. To propose an amendment to the constitution of the Federated States of Micronesia, for 5/30/17 VETOED 20-04, CD1 the purpose of expanding the powers expressly delegated to the Congress of the 6/19/17 Federated States of Micronesia to include the power to coordinate activities relating to Climate Change and for other purposes. (Simina) C.B. No. To amend Public Law No. 19-170, by amending sections 2 and 6 thereof, to change the 5/19/17 Public Law 20-06, CD2 use and allottee of funds previously appropriated therein, to fund public projects and No. 20-02 social programs in the states of Yap and Kosrae, and for other purposes. (Simina) 5/26/17 C.B. No. To further amend Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 18- 5/22/17 Public Law 20-08, CD3 81, 19-33, 19-106, 19-128, 19-134, and 19-138, by amending sections 1 and 2 thereof, No. 20-11 to change the use and allottee of funds previously appropriated for public projects and 5/29/17 social programs in the state of Pohnpei, and for other purpses. (Perman) C.B. No. To further amend Public Law No. 19-141, as amended by Public Laws Nos. 19-147 and 5/25/17 Public Law 20-09 19-171, by amending section 1 thereof, to change the use of funds previously No. 20-10 appropriated therein for the purpose of funding public projects and social programs for 5/27/17 the people of Chuuk, and for other purposes. (Harper by request) C.B. No. To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19- 5/22/17 Pubic Law 20-11, CD4 140, and 19-150, by amending the title and sections 1, 2, 3, 4, 5 and 6 thereof, to modity No. 20-05 the intent of the appropriation act and change the use, allottee and lapse date of some 5/27/17 funds previously appropriated therein to fund priority infrastructure projects in the states of Yap, Kosrae, Pohnpei and Chuuk and for other purposes. (Alik) C.B. No. To further amend Public Law No. 19-10, as amended by Public Laws Nos. 19-26, 19- 5/22/17 Public Law 20-12, CD1 42, 19-51, 19-56, 19-72, 19-78, 19-96, 19-132 and 19-163, by amending sections 3 and No. 20-03 5 thereof, to change the use of funds previously appropriated therein, for the purpose of 5/27/17 funding public projects and social programs in the staets of Kosrae and Chuuk, and for other purposes. (Alik) C.B. No. To further amend Public Law No. 18-70, as previously amended by Public Laws Nos. 5/17/17 Public Law 20-14, CD2 18-98, 18-112, 19-07, 19-24, 19-41, 19-52, 19-73, 19-82, 19-101, 19-114, and 19-139, No. 20-07 by amending sections 2 and 6 thereof, to change the use and lapse date of certain funds 5/27/17 previously appropriated therein, for the purpose of funding public projects and social programs for the people of Yap State, and for other purposes. (Figir) ** CB. Nos. 19-266 and 19-269 were introduced during the 8th Special Session of 19th Congress and transmitted during 1st Regular Session of 20th Congress. However, CB. No. 19-266 was vetoed on the 25th of April, 2017 -viii-

C.B. Transmittal President's No. Short Title (continued Bills enacted 20FSMC.1RS pg. 2) Date Action C.B. No. To amend section 389 and 391, and insert a new section 392, under Chapter 3 of 7/18/17 VETOED 20-15, title 21 of the Code of the Federated States of Micronesia (Annotated) as 6/01/17 CD1 amended, pertaining to assets and liablilities of the Open Access Entity, and for OVERRIDE other purposes. 7/14/17 C.B.No. To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 5/19/17 Public Law 20-16 19-75, 19-79, 19-99, and 19-119, by amending section 6 thereof, to change the No. 20-04 allottee of funds previously appropriated therein, to fund public projects and social 5/27/17 programs in the state of Kosrae and change the lapse date, and for other purposes. (Alik) C.B. No. To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by 5/22/17 Public Law 20-17 amending sections 3 and 6 thereof, to change the use and allottee for certain funds No. 20-08 previously appropriated therein, for the purpose of funding public projects and 5/27/17 social programs for the people of Kosrae, and for other purposes. (Alik) C.B. No. To further amend Public Law No. 19-121as amended by Public Laws Nos. 19-130 5/19/17 Public Law 20-18, and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee No. 20-09 CD1 of funds previously approrpaited therein, for the purpose of funding public projects 5/27/17 and social programs for the people of the state of Kosrae, and for other purposes. (Alik) C.B. No. To further amend title 55 of the Code of the Federated States of Micronesia 7/17/17 VETOED 20-19, (Annotated), as amended, by inserting a new section 112 to chatper 1, to place a 6/23/17 CD1 statutory limit on the amount of funds that Congress may appropriate to Member’s OVERRIDE Representation Funds relative to the annual salary of the President of the Federated 7/19/17 States of Micronesia, and for other purposes. C.B. No. To further amend Public Law No. 16-58, as amended by Public Laws Nos. 16-64, 5/22/17 Public Law 20-22 16-72, 17-08, 17-11, 17-20, 17-35, 17-41, 18-77 and 19-38, by amending section No. 20-12 5 thereof, to change the use of certain funds previously appropriated therein, to 5/30/17 fund public projects and social programs in the state of Chuuk, and for other purposes. (Simina) C.B. No. To amend sections 1, 2, 3, 4, 6, 8, and 9 of Public Laws Nos. 19-125, 19-131, 19- 5/26/17 Public Law 20-24, 135, 19-146, 19-160, and 20-01, in order to appropriate $483,650 of additional No. 20-14 CD2 funds from the Federated States of Micronesia for the fiscal year ending September 6/1617 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes. (Figir) C.B. No. To further amend section 203 of title 21 of the Code of the Federated States of 5/30/17 Public Law 20-26 Micronesia (Annotated), as amended by Public Law No. 18-52, to require the No. 20-13 Telecommunications Corporation of the Federated States of Micronesia to provide 6/1/17 services and system access to the open access entity free of change, and for other purposes. (Simina) C.B. No. To further amend Public Law No. 18-99, as amended by Public Laws Nos. 18-106, 5/31/17 Public Law 20-27, 18-113, 18-121, 19-05, 19-34, 19-57, 19-74, and 19-107, by amending sections 3, No. 20-18 CD4 4, 5 and 6 thereof, to change the use and allottee of funds previously appropriated 6/23/17 therein, to fund public projects and social programs of the people of the states of Kosrae, Pohnpei, and Chuuk, and for other purposes. (Welly) C.B. No. To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19- 5/31/17 Public Law 20-36, 133, 19-140, 19-150 and 20-05, by amending sections 5 and 6 thereof, to correct No. 20-15 CD2 technical errors and omissions by chaning the use and lapse date of some funds 6/16/17 previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes. (Gouland) C.B. No. To further amend Public Law No. 17-36, as amended by Public Laws Nos. 17-48, 5/31/17 Public Law 20-37, 17-78, 17-87, 18-36, 18-60, 18-65, 18-84, 19-22, and 19-109, by amending No. 20-17 CD1 sections 5 and 6 therein, to change the use and lapse date of certain funds 6/23/17 previously appropriated therein to fund public projects and social programs in the state of Chuuk, and for other purposes. (Romolow) C. B. No. To further amend Public Law No. 18-70, as prevoulsy amended by Public Laws Nos. 5/31/17 Public Law 20-40, 18-98, 19-112, 19-122, 19-07, 19-24, 19-41, 19-52, 19-73, 19-82, 19-101, 19-114, No. 20-16 CD2 19-139 and 20-07, by amending section 5 therein, to change the use of certain funds 6/19/17 previously appropriated therein, for the purpose of funding public projects and social programs for the people of Chuuk State, and for other purposes.

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SUMMARY OF RESOLUTIONS Twentieth Congress of the Federated States of Micronesia [FIRST REGULAR SESSION – 2017] CLASSIFICATION Congressional Resolutions Introduced 16 Congressional Resolutions Adopted 12 CONGRESSIONAL RESOLUTIONS ADOPTED DURING THE FIRST REGULAR SESSION C.R. No. Short Title Adoption Transmittal date Date C.R. No. Designating and appointing Mrs. Liwiana Ramon Ioanis to the position 5/17/17 5/19/17 20- 01 of Chief Clerk to the Twentieth Congress of the Federated States of Micronesia. (Simina) C.R. No. Designating and approinment of Mr. T. Lam Dang to the position of 5/17/17 5/19/17 20-02, CD2 Legislative Counsel to the Congress of the Federated States of Microneis. (Simina) C.R. No. To confirm the monination of Mr. Kosak M. Keller to serve as a member 5/17/17 5/19/17 20-03 of the Federated States of Micronesia Social Security Board of Trustees, representing the National Government. (Harper by request) C.R. No. Approving and accepting a grant in the amount of $150,247 from the U.S. 5/30/17 5/31/17 20-04 Department of Health and Human Services, Centers for Disease Control and Prevention and Control Project, including all the terms and conditions of the assistance. (Harper by request). C.R. No. Requesting that the Speaker of the Twentieth Congress of the Federated 5/22/17 5/24/17 20-05 States of Micronesia establish a special committee on Climate Change and Environmental Issues. (Simina) C.R. No. Approving and accepting a grant amendment in the amount of $113,110 5/24/17 5/29/17 20-07 from the United Nations Framework Convention on Climate Fund to the Federated States of Micronesia, to fund a contract for a GCF Grant Writer Specialist. (Harper by request) C.R. No. Setting the ceiling of the total fund estimated to be available for 5/19/17 5/22/17 20-08 appropriation from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017. (Figir) C.R. No. Ratifying the agreement ot the Treaty on fisheries between the 5/30/17 5/31/17 20-10 Governments of certain Pacific Island Staes and the Government of the United States of America. (Urusemal by request) C.R. No. To approve and accept a grant in the amount of EUR 325,000 from the 5/30/17 5/31/17 20-12 Government of the Federal Republic of Germany for enhancing investment in the small-scale renewable energy technologes in the Federated States of Micronesia, including all the terms and conditions of the assistance. (Harper by request) C.R. No. Expressing the sincere appreciation to Eastern Oregon Univerity for their 5/22/17 5/24/17 20-13 support and propmtion of students from the Federated States of Micronesia (Panuelo) C.R. No. Expressing the sincere gratitude and appreciation for Mr. Lucas Cupps 5/25/17 5/26/17 20-14 for his dedicated service as Staff Attorney to the Congress of the Federated States of Micronesia. (Gouland) C.R. No. Authorizing the President to submit the recommended National 5/30/17 5/31/17 20-16 Government Compact Budget request, as revised pursuant to Congress’s recommendations, to the United States under Article V of the Fiscal Procedures Agreement. (Urusemal)

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20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Daily Journal Index

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Twentieth Congress of the Federated States of Micronesia

FIRST REGULAR SESSION

(May 11th thru May 30th, 2017)

DAILY JOURNAL INDEX Day Page No. 1. Thursday, May 11, 2017 …..……………………………………………….. 1-24 2. Friday, May 12, 2017 ……………………………………………………. 25-41 3. Saturday, May 13, 2017 NO SESSION 4. Sunday, May 14, 2017 NO SESSION 5. Monday, May 15, 2017 ……………………………………………………. 42-62 6. Tuesday, May 16, 2017 ……………………………………………………. 63-81 7. Wednesday, May 17, 2017 …………………………………………………..... 82-108 8. Thursday, May 18, 2017 …………………………………………………….. 109-137 9. Friday, May 19, 2017 ……………………………………………………. 138-151 10. Saturday, May 20, 2017 NO SESSION 11. Sunday, May 21, 2017 NO SESSION 12. Monday, May 22, 2017 ……………………………………………………... 152-167 13. Tuesday, May 23, 2017 ……………………………………………………... 168-176 14. Wednesday, May 24, 2017 ……………………………………………………... 177-189 15. Thursday, May 25, 2017 …………………………………………………….. 190-205 16. Friday, May 26, 2017 NO SESSION 17. Saturday, May 27, 2017 NO SESSION 18. Sunday, May 28, 2017 NO SESSION 19. Monday, May 29, 2017 ……………………………………………………. 206-234 20. Tuesday, May 30, 2017 ……………………………………………………. 235-261

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20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Daily Journal

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CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

OPENING DAY Thursday, May 11, 2017

The Opening Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:10 a.m., Thursday, May 11, 2017.

Temporary Speaker Figir presided.

The Nanmand Choir sang the National Anthem song.

Temporary Speaker Figir: Good morning everyone. Before I call the session to order, I want, on behalf of all of us, to thank the choir for singing the National Anthem beautifully. I hope in that spirit, we will move on to the Twentieth Congress of the FSM Government, Congress.

Pursuant to article IX, section 16 of the Constitution of the Federated States of Micronesia; section 201 of title 3 of the Code of the Federated States of Micronesia as amended; and in accordance with Rule 1, section 5 of the Official Rules of Procedure of the Congress; and on behalf of the FSM, four States united in One Nation indivisible, I hereby call the First Regular Session of the Nineteenth Congress of the Federated States of Micronesia to order.

Before I move to the next item on our agenda, I would like to, on behalf of all of us here and the people of the Federated States of Micronesia, this great Nation of ours, I ask that we acknowledge the Traditional Leaders of the state of Pohnpei and the State of Chuuk, and others in the gallery, their honorable who honored us this morning with their presence. It is our profound gratitude to have them that come here. As I always say, our Traditional Leaders are always our backbone and pillar of our country.

INVOCATION

(General Secretary and Senior Pastor Midion G. Neth gave the invocation)

Temporary Speaker Figir: I would like to request the Sergeant to please escort the General Secretary and Senior Pastor Midion G. Neth of the United Church of Christ in Pohnpei to the podium to give the invocation.

General Secretary and Senior Pastor Midion G. Neth gave the invocation:

Ei tungoal sakar en mesik leng, keipweni pahn kupwur en Enihlap samatail Koht. Kaip pahn kupwuren sapwelime erekso en Pohnpei, U, Isonahnken oh sapwelimahr lapalap ko. Ren ketin lapwdingiding oh ketda nan sakaradahn loulou iou I pahn patohwan pahkihda. (Native tongue). May I ask that we all rise for the invocation?

Our Father, which art in heaven, hallowed be thy name, thy kingdom come, thy will be done on earth as in heaven. And as we gather here today to celebrate and honor, the 20th FSM Congress Inauguration, we humbly submit ourselves and ask for your presence and power to be among us.

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May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Lord, our God, your son taught us how to be leaders: to serve and not to be served; to give preference to the needs of our people; to visit the sick and the lonely; to give dignity to the poor and to those who are at the margins of our society. But most of all, your son taught us that the greatest love is to lay down one’s life for his friends through sacrifice, commitment and humble service. Lord we ask today, that this greatest of love be with us.

Today, Lord, we will witness the inauguration of our Congressmen to serve you and your people through this August House. We humbly ask, O Lord, for your blessings and guidance of our Congressmen here to be endowed with your spirit of faithful service to your people. Grant them the gift of wisdom, as you had bestowed on King Solomon, so that their deliberations of the issues before them and in the decisions that they will make be always according to your will and the needs of the people. Grant them a spirit of humility in their services of your people.

We also pray for our leaders and lawmakers. As leaders and lawmakers of our Country, we need your wisdom to guide their thoughts, decisions and actions. Let these be based on the truths and inspired by the values of Scripture, so when the strong winds of life come, they will be empowered and in turn inspire our people to stand like a house that is “built upon, The Rock,” which is your Son Jesus Christ.

We pray for the people and ourselves. Father, help us to remember that what we do on earth will determine the kind of life we lead and our place with you in your heavenly kingdom. Motivated and inspired by our leaders, help us, your people, to care for each other in what we say and what we do. May the Spirit of the Risen Lord give us the strength and the grace to be for each other, which was what your Son, our Lord Jesus Christ, had been to his people. Especially the sick, the poor, and the lonely; and help us to preach the Good News of God’s love to everyone.

Father may “the words of our mouths and the meditation of our hearts be always acceptable in your sight, for you are our only true source of strength and only redeemer.” We pray this in the name of our Lord and Savior Jesus Christ. Amen.

You may be seated.

Temporary Speaker Figir: Thank you, Senior Pastor Midion G. Neth.

DESIGNATION OF TEMPORARY FLOOR LEADER

Temporary Speaker Figir: In order for us to smoothly and effectively move, I would like to call upon Senator-elect Florencio (Singkoro) Harper to be our Temporary Floor Leader this morning. Any objection? All those in favor of the motion say “aye” – opposed “nay”. The motion is carried. So be it. Florencio (Singkoro) Harper will be our Temporary Floor Leader. Again, for us to proceed smoothly, we need to adopt Temporary Rules of Procedure for us. Now we will go down to item four (Adoption of Temporary Rules of Procedure).

ADOPTION OF TEMPORARY RULES OF PROCEDURE

Temporary Floor Leader Harper: Mr. Speaker.

Temporary Speaker Figir: Proceed Temporary Floor Leader.

3 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Temporary Floor Leader Harper: Thank you, Mr. Temporary Speaker. If I may not be out of order, I move that this Twentieth Congress adopt the Rules of Procedure of the last Congress, the Nineteenth Congress, as its Temporary Rules of Procedure.

Senator Panuelo: Second.

Temporary Speaker Figir: All those in favor of the motion that we adopt the Nineteenth Congress Rules of Procedure as the Temporary Rules of Procedure for this morning’s proceedings say ‘aye’ – opposed say ‘nay’. The motion is carried. We will use the Nineteenth Rules of Procedures as the Temporary Rules of Procedure for this Twentieth Congress. We need to have a Temporary Chief Clerk.

APPOINTMENT OF TEMPORARY CHIEF CLERK

Temporary Floor Leader Harper: Mr. Speaker.

Temporary Speaker Figir: Temporary Floor Leader.

Temporary Floor Leader Harper: Thank you, Mr. Temporary Speaker. I hereby nominate Mrs. Liwiana Ramon (Ioanis) to be our Temporary Chief Clerk.

Chairman Panuelo: Second.

Temporary Speaker Figir: It has been moved and seconded that the Temporary Chief Clerk be Mrs. Liwiana (Ramon) Ioanis. All those in favor of the motion say “aye” – opposed “nay”. The motion is carried. Mrs. Liwiana (Ramon) Ioanis will be our Temporary Chief Clerk in order to move this morning’s proceedings smoothly and effective.

Senator Simina: Mr. Temporary Speaker, point of order.

Temporary Speaker Figir: State your point.

Senator Simina: Thank you, Mr. Temporary Speaker. I just want the record to reflect that the name Liwiana Ramon is the same as Liwiana Ioanis.

Temporary Speaker Figir: Now, we need to have a Credential Committee.

APPOINTMENT OF CREDENTIALS COMMITTEE

Temporary Speaker Figir: Now, what I am going to do is to appoint the Credentials Committee. So, I call upon the At-Large Senators to constitute the Credentials Committee. Let me begin with Senator Alik L. Alik of the state of Kosrae, as Chairman; Senator David W. Panuelo of the state of Pohnpei, member; Senator Joseph J. Urusemal of the state of Yap, member; and Senator Wesley W. Simina of the state of Chuuk, member. Before we move on for a short recess for the Credentials Committee to do its work, I want to ask the Nanmand choir to continue to entertain our guests while the Credentials Committee do its work. So be it. Short recess.

Temporary Speaker Figir declared the Congress recessed at 10:39 a.m., subject to the call of the Chair.

4 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

RECESS

The Nanmand Choir entertained the guests with songs.

The Congress reconvened at 10:56 a.m.

Temporary Speaker Figir: Congress comes back to session. The Credentials Committee has returned and I believe they have completed their task. May I ask the Chairman of the Credentials Committee to make his report? Chairman Alik.

Senator Alik: Thank you, Mr. Temporary Speaker. Before I make my report, I take this opportunity in joining you and Members of the Twentieth Congress in welcoming the Leadership Leaders, Vice President, Cabinet Members, Members of the Diplomatic Corp, dignitaries, friends that are with us in this very important occasion, ladies and gentlemen.

Mr. Temporary Speaker:

Your Committee on Credentials to which was referred the review of credentials of all members-elect of the Twentieth Congress begs leave to report as follows:

Your Committee on Credentials has carefully reviewed the qualifications and eligibility of all of the senators-elect as certified by our National Election Director after the March 7, 2017, National General Election. A copy of the National Election Director’s official certifications contained in the Communication dated March 10, 2017, are attached hereto and made part of this report.

Your Committee on Credentials finds, based on our careful review and deliberations that each and every member-elect named below possesses all of the qualifications and is eligible to serve and be a member of the Twentieth Congress of the Federated States of Micronesia. Thus, it is recommended that the credentials of each and every member-elect named below be accepted and that they collectively take the Oath of Office as Members of the Twentieth Congress of the Federated States of Micronesia in accordance with the Constitution and laws of the Federated States of Micronesia.

The Senators-elects are as follows:

Representing the state of Chuuk:

Senator-elect, the Honorable Florencio (Singkoro) Harper Senator-elect, the Honorable Victor (Vicki) Gouland Senator-elect, the Honorable Derensio Konman Senator-elect, the Honorable Tiwiter Aritos Senator-elect, the Honorable Robson U. Romolow

Representing the state of Kosrae:

Senator-elect, the Honorable Paliknoa K. Welly

Representing the state of Pohnpei:

5 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Senator-elect, the Honorable Ferny S. Perman Senator-elect, the Honorable Dion G. Neth Senator-elect, the Honorable Esmond B. Moses

Representing the state of Yap:

Senator-elect, the Honorable Isaac V. Figir

Mr. Temporary Speaker, your Credentials Committee is in full accord with the credentials of each and every Member-elect named above and recommends that pursuant to article IX, section 17 of the Constitution of the Federated States of Micronesia, Congress finds the Members-elect eligible to serve and allow them to receive the Oath of Office to serve and join the four-year Members of the Nineteenth Congress, namely Senator Wesley W. Simina from Chuuk, Senator David W. Panuelo from Pohnpei, myself (Alik L. Alik) from the state of Kosrae, and Senator Joseph J. Urusemal from the state of Yap and Members of the Twentieth Congress of the Federated States of Micronesia.

/s/ Alik L. Alik /s/ Joseph J. Urusemal Alik L. Alik, Chairman Joseph J. Urusemal, member

/s/ Florencio M. Harper /s/ Wesley W. Simina David W. Panuelo, member Paliknoa K. Welly, member

Mr. Temporary Speaker, I thank you very much for giving me the honor of chairing the Credentials Committee. That is the report of the Committee. Thank you very much.

Temporary Speaker Figir: Thank you, Chairman Alik L. Alik, Chairman of the Credentials Committee.

Senator Urusemal: Mr. Temporary Speaker.

Temporary Speaker Figir: Senator Urusemal.

Senator Urusemal: Thank you, Mr. Temporary Speaker. I move for a very short recess.

Temporary Speaker Figir declared the Congress recessed at 11:02 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:03 a.m.

Temporary Speaker Figir: Congress comes back to session. Gentlemen, there you have it. Now that the Credentials Committee has given its report and its adoption has been seconded – was there a motion?

Senator Simina: Mr. Temporary Speaker.

Temporary Speaker Figir: Senator Simina.

6 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Senator Simina: If I am not out of order, I move that the oral report on the Credentials of the Members-elect be adopted.

Senator Panuelo: Second.

Temporary Speaker Figir: All those in favor of adopting the Credentials –

Senator Simina: Mr. Temporary Speaker, may I just say something very technical?

Temporary Speaker Figir: Proceed.

Senator Simina: Thank you. Just so there is no confusion in the future on the proceedings of this Congress, the name of Senator-elect Konman should be “Derensio, D-E-R-E-N-S-I-O”, not “Deresio”. Thank you.

Temporary Speaker Figir: That shall be noted. It will be corrected. My apology to the Senator.

Senator Urusemal: Following on that technical correction, I also wish to note here for the record another technical correction. That is the reference to attachment of the Report dated “March 10, 2017” should be “March 20, 2017”. Thank you.

Temporary Speaker Figir: Thank you for that technical correction. We will treat that as such. We will correct it. Thank you. Now, the motion before us is to adopt the Report of the Credentials Committee. All those in favor of adopting the Credentials Committee Report say “aye” – opposed “nay”. The motion is carried. Let me be the first one to congratulate all the Senators-elect for being seated in the Twentieth Congress. I think that moment has come and I would like to ask the Sergeant-At-Arms to escort the Honorable Dennis Yamase, Chief Justice of the Supreme Court of the Federated States of Micronesia, to give us the Oath of Office. After that, we can all be happy and take on the task in serving the people at the interest of the Nation. Thank you.

ADMINISTRATION OF OATH OF OFFICE OF SENATOR

FSM Associate Justice Dennis K. Yamase administers the oath of office.

Chief Justice Yamase: Thank you very much. It is an honor and a privilege for me to now administer the Oath of Office to the Members of the Twentieth Congress of the Federated States of Micronesia. I ask that all Senators-elect to please rise, raise your right hand, and repeat after me. I solemnly swear –

Senators-elect: I solemnly swear –

Chief Justice Yamase: that I will faithfully execute the office –

Senators-elect: that I will faithfully execute the office –

Chief Justice Yamase: of Member of the Twentieth Congress –

Senators-elect: of Member of the Twentieth Congress –

7 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Chief Justice Yamase: of the Federated States of Micronesia –

Senators-elect: of the Federated States of Micronesia –

Chief Justice Yamase: and will, to the best of my ability –

Senators-elect: and will, to the best of my ability –

Chief Justice Yamase: uphold, promote, and support the laws –

Senators-elect: uphold, promote, and support the laws –

Chief Justice Yamase: and the Constitution of the Federated States of Micronesia

Senators-elect: and the Constitution of the Federated States of Micronesia –

Chief Justice Yamase: so help me, God.

Senators-elect: so help me, God.

Chief Justice Yamase: Congratulations to all of you, Members of the Twentieth FSM Congress (applause).

Temporary Speaker Figir: Thank you, Chief Justice Dennis Yamase.

Senator Simina: Mr. Temporary Speaker. As the audience will notice, the At-Large Members, four-year term, did not stand up to take their Oath of Office. That is simply because our rules and our laws indicate that it is not necessary for the four-year, At-Large Members to also take their Oath at this time.

Temporary Speaker Figir: That will be noted. May I call for a short recess?

Temporary Speaker Figir declared the Congress recessed at 10:09 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:10 a.m.

Temporary Speaker Figir: Congress comes back to session. Now I will ask the Temporary Chief Clerk to make the roll call.

The Temporary Chief Clerk called the roll; all fourteen Members are present.

Temporary Speaker Figir: We have a full house. We can proceed. But we need to have the Rules of Procedure.

ADOPTION OF THE OFFICIAL RULES OF PROCEDURE

Temporary Speaker Figir: Temporary Floor Leader.

8 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Temporary Floor Leader Harper: Thank you again, Mr. Temporary Speaker. Again, if I am not out of order, I hereby move that this Twentieth Congress adopt its Temporary Rules of Procedure to be its Official Rules of Procedure.

Senator Panuelo: Second.

Temporary Speaker Figir: It has been moved and seconded that the Rules of Procedure of the Nineteenth Congress be the Official Rules of Procedure for the Twentieth Congress. All those in favor say “aye” – opposed “nay”. The motion is carried. The Nineteenth Congress Rules of Procedure are now our Twentieth Rules of Procedure.

Temporary Floor Leader Harper: Point of order.

Temporary Speaker Figir: State your point.

Temporary Floor Leader Harper: The motion is that we adopt the Temporary Rules of Procedure as our Official and permanent rules.

Temporary Speaker Figir: So be it. The Nineteenth Congress Rules of Procedure will be the permanent Rules of Procedure for the Twentieth Congress. Temporary Floor Leader.

Temporary Floor Leader Harper: Short recess.

Temporary Speaker Figir declared the Congress recessed at 11:12 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:13 a.m.

Temporary Speaker Figir: Congress comes back to session.

Temporary Floor Leader Harper: Temporary Speaker.

Temporary Speaker Figir: Temporary Floor Leader.

Temporary Floor Leader Harper: Thank you. Without any objection, I hereby move that we go into recess for our caucus.

Senator Urusemal: Second.

Temporary Speaker Figir: The motion is for Congress to go into recess for caucus to decide the Presiding Officers and the Chairmen of the Standing Committees. All those in favor of the motion say “aye” – opposed “nay”. The motion is carried. Short recess.

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

RECESS

The Congress reconvened at 11:24 a.m.

9 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Temporary Speaker Figir: Congress comes back to session. For the benefit of those who are listening in throughout the Federation, we had a recess to go into caucus to decide on the leadership on the new Twentieth Congress of the Federated States of Micronesia: Permanent Speaker, Vice Speaker, Floor Leader, and the Committee Chairmen. At this moment, I would like to call on and based on the consensus reached during the caucus, call upon a member to nominate the Speaker of the Twentieth Congress.

ELECTION OF THE SPEAKER

Temporary Speaker Figir: Senator Alik.

Senator Alik: Thank you, Mr. Temporary Speaker. Again, I wish to take this opportunity to welcome everyone to our session this morning. Mr. Temporary Speaker, I have the honor and privilege to nominate Senator Simina from the state of Chuuk to be the Speaker of the Twentieth Congress. Thank you.

Senator Panuelo: Second.

Temporary Speaker Figir: The nomination has been made. We nominated Mr. Wesley W. Simina from the state of Chuuk to be the Speaker of the Twentieth Congress. By our Rules of Procedure, we are supposed to vote by secret ballot but I think as gentlemen and what we decided during the caucus, may I ask, unless there is any objection, that we just vote by acclamation (applause). Now that we have a speaker, I think I sat here for too long (laughter). I want to ask that we, not that we go to recess, I will declare that or the Speaker will declare that. But I want to be the first one to congratulate the Speaker. May I ask that Speaker Simina come to the podium? (Applause).

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:27 a.m., subject to the call of the Chair.

RECESS The Congress reconvened at 11:28 a.m.

Speaker Simina: Congress comes back to session. I will make a short statement later on. But let’s proceed further so we can finish up our Business for today. Thank you very much for this opportunity. May I, on behalf of my family and the people of Chuuk, express my sincere appreciation to you gentlemen, my fellow Senators, for your confidence that you have entrusted in us. We will try our best to work together with you to make sure this Twentieth Congress performs its duties as required by the Constitution and by law. I am sure you will join me in expressing our sincere appreciation to our colleague, most senior Member, Senator Figir, for his excellent job that he has done in the position as Temporary Speaker in this morning’s proceedings. May I ask that we please give him a round of applause? (Applause). If there would be no objection, I would like to move forward now to the Election of the Vice Speaker.

ELECTION OF THE VICE SPEAKER

Speaker Simina: Who can do the nomination? Senator Urusemal.

10 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Senator Urusemal: Thank you, Mr. Speaker. I join the previous speakers in paying respect and welcoming our Traditional Leaders and all of the dignitaries attending and observing the session this morning, including the dean members of the Diplomatic Corp, and all of our people who are also tuning in out there listening to the proceedings this morning. I welcome all of them; in absentia for some. For those here, I thank them for honoring us this morning. I was hoping that I don’t make the nomination for the Vice Speaker so I could nominate myself. But based on our agreement, I therefore nominate now my good friend to my left here, Senator Esmond B. Moses, as the Vice Speaker of the Twentieth Congress (applause).

Speaker Simina: Senator Moses has nominated to be the Vice Speaker of the Twentieth Congress. Pursuant to our agreement, he is being elected by acclamation. May we give him a round of applause? (Applause). Short recess.

Speaker Simina declared the Congress recessed at 11:31 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:31 a.m.

Speaker Simina: Congress comes back to session. Vice Speaker Moses, you have the floor.

Vice Speaker Moses: Thank you, Mr. Speaker. Before I begin, “Ai tungoal wahu. Keipweni pahn kupwuren erekso ko, Isonahnken, Likend, Nahnalek, Nahnkenieiko.” My respect to you, Vice President, Chief Justice, State Leaders, and all present in the gallery today. I wish to express my sincere gratitude to you and the rest of the Members for selecting me as a member of the Presiding Officers of Congress and serve as the Vice Speaker. I am very humbled by that decision. As you know, in the Nineteenth Congress, I was the most freshman member. And today, as of this morning, I served as a member of the Nineteenth Congress for 1 year and 9 months. I do not expect that I will gain your favorable consideration for Vice Speaker of the Twentieth Congress. For that, I thank you and the rest of the Members. Before I conclude, I would like to thank my wife, Eileen; my kids, Daisy and Tony who are in our presence today; my sister and her husband Ricky, and also my mother for supporting me. Thank you very much, Mr. Speaker (applause).

Speaker Simina: Thank you very much, Vice Speaker Moses. Let’s move forward to the Election of the Floor Leader of the Twentieth Congress.

ELECTION OF THE FLOOR LEADER

Speaker Simina: The Chair will now entertain the nomination. Senator Panuelo.

Chairman Panuelo: Good morning to you, Mr. Speaker. I join the previous speakers in recognizing all the Traditional Leaders and dignitaries that are present here with us in this Twentieth Congress. Mr. Speaker, I have the privilege and the honor to nominate Senator Florencio (Singkoro) Harper to be our Floor Leader of the Twentieth Congress. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Senator Panuelo. Based on our agreement during our caucus, that is the wish of the Members of Congress. Senator Florencio (Singkoro) Harper has

11 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM been nominated and is elected by acclamation as the Floor Leader of the Twentieth Congress. May we give him a round of applause? (Applause). The next item of our agenda is the Election of the Chief Clerk.

ELECTION OF THE CHIEF CLERK

Speaker Simina: If there is no objection, we will defer that because of the requirements of our rules. It will be taken care of later. For now, I will make the appointment of the Chairmen of the Standing Committees of the Twentieth Congress.

APPOINTMENT OF THE CHAIRMEN OF THE STANDING COMMITTEES

Speaker Simina: Based on our understanding or agreement in caucus – short recess.

Speaker Simina declared the Congress recessed at 11:35 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:36 a.m.

Speaker Simina: Congress comes back to session. We have seven Standing Committees of this Twentieth Congress. I will begin with the appointment of the Chairmen based on our understanding and agreement. Vice Chairmen and members of those respective Committees will come later. Members will sign up and then organized. The Standing Committee on Education, the Chairman will be Joseph J. Urusemal of the state of Yap (applause). The Standing Committee on Health and Social Affairs, the Chairman will be Senator Ferny S. Perman of (applause). The Standing Committee on External Affairs, the Chairman is Senator Paliknoa K. Welly of Kosrae State (applause). The Standing Committee on Judiciary and Governmental Operations, the Chairman will be Senator Robson U. Romolow of the state of Chuuk (applause). The Chairman of the Standing Committee on Transportation and Communications, which includes Infrastructure, is Senator Victor (Vicki) Gouland of the state of Chuuk. Last but the least, the Committee on Ways and Means, the Chairman is Isaac V. Figir of the state of Yap (applause). The Standing Committee on Resources and Development, the Chairman is Senator David W. Panuelo of the state of Pohnpei (applause). I believe those are the Standing Committees of the Twentieth Congress. The Vice Chairmen including members of the Standing Committees will be decided later on. 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. We will now move down to the Appointment of the Committee to Wait on the President.

12 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

APPOINTMENT OF THE COMMITTEE TO WAIT ON THE PRESIDENT

Speaker Simina: I will make the appointment. Representing Chuuk State will be Chairman Gouland, representing Yap State will be Chairman Figir, representing Pohnpei State will be Vice Speaker Moses, and representing the State of Kosrae will be Chairman Welly. Vice Speaker Moses has the honor of chairing the Committee to Wait on the President. Please work with the Executive Branch on your time of meeting with them. Next item.

INTRODUCTION OF BILLS

C.B. No. 20-01 Introduced by: Senator Gouland Assigned to: W&M Date introduced: 5/11/17

To amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19-127, 19-151 and 19-159, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Chuuk, and for other purposes.

C.B. No. 20-02 Introduced by: Speaker Simina Assigned to: J&GO Date introduced: 5/11/17

To propose an amendment to the Constitution of the Federated States of Micronesia, for the purpose of expanding the powers expressly delegated to the Congress of the Federated States of Micronesia to include the power to coordinate activities relating to climate change, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-01 Introduced by: Speaker Simina Assigned to: NONE Date introduced: 5/11/17

Designating and appointing Mrs. Liwiana Ramon Ioanis to the position of Chief Clerk to the Twentieth Congress of the Federated States of Micronesia.

C.R. No. 20-02 Introduced by: Speaker Simina Assigned to: NONE Date introduced: 5/11/17

Designating and appointment of Mr. T. Lam Dang to the position of Legislative Counsel to the Congress of the Federated States of Micronesia.

13 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

MISCELLANEOUS BUSINESS

Chairman Panuelo: Mr. Speaker.

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

Speaker Simina: I will recognize Chairman Panuelo first and then you, Floor Leader Harper. Chairman Panuelo, you have the floor.

Chairman Panuelo: Thank you, Mr. Speaker. Before I say my good remarks, on behalf of the Pohnpei Delegation, I want to first, congratulate you, Mr. Speaker and Vice Speaker of the Twentieth Congress and the Floor Leader of the Twentieth Congress. Mr. Speaker, our Nation is founded on the deep tradition over the many centuries that have guided our way of life. Today, we have Traditional Leaders who are among those who are observing us, the session of the Twentieth Congress. On our behalf, I ask that you please allow me to speak our native tongue to give our recognition to the Traditional Leaders. Thank you, Mr. Speaker.

Kahlapoko oh Isohko, re ketin kupwure nin duwen ei wia Chairman en Pohnpei, Delegation en weihn Pohnpei nan Congress. I men tungoalenki ansou mwahu kiset oh weliandi mwomwohd en Congress wet, tiengki aht tungoal en sakaradahn kaping oh wahu. Keiou, pahn kupwuren Samatail Koht wasa lapalahpie pwehki sapwelime kupwur rosoulap me e ketkih-ieng kitail roson oh ansou mwahu kitail en kak ketin sapwelimankihda doadoahk kesempwal wet rahnwet. Patehng kaping oh wahu ohte, ei tungoal sakar en keipweni pohn erekso ko, ihr kahlap ko koaros en weihn Pohnpei: Keipweni pohn erekso en wasa lapalap Isipahu, Nahnmwarki en weihn Madolenihmw. Keipweni pohn erekso en wasa lapalap Sahngoro, Nahnmwarki en weih-so en U. Keipweni pohn erekso en wasa lapalap Soukisehn-leng, Nahnmwarki en wein Kitti. Keipweni pohn erekso en wasa lapalap Nahnpwutak Piken’iap, Nahnmwarki en wein Sokehs. Keipweni pohn erekso en wasa lapalap Pwoud Lepen Nett, Nahnmwarki en wein Nett. Keipweni pohn erekso en wasa lapalap Doahkasa, Nahnmwarki en Pingelap. Wahu lap pahn kupwuren Iso Nahnken ko, Likend ko, Nahnalek ko, Nahnkeniei ko, Lepen Moar, Kiroun en Lehdau, Wasahi, Iso Nahlaimw, oh keidien en lengileng ileilehkan koaros me iang ket de pato nan kupwuren ihr kahlapoko rahnwet. Mwohsapwoko, Isohko, oh kupwur koaros, re ket nan mwolahr ah se patohwan peki ren ketin kupwure de lapwdingiding pwe sen kak patohieng nan aht tungoal doadoahk ni wahu saledek. Se pil men tungoalenki ansou mwahu kiset pwehki kiht tohn papah kei me usuhda pahn tohn usuhs koaros me kapel Pohnpei oh nan Kahndeke kapatapat. Se men tungoalen ki ansou mwahu ni mwomwohd wet oh kalipwilipwe aht tungoal kaping oh kalahngan ohng tohn usuhs en nan wein Pohnpei koaros. Pwehki kupwuromwail kalahngan me kahrehiong aht patehngehr oh pahn wiahier tohn papah rahnwet nan mwomwohdin Congress Kerieisek. Re ketin kupwure pwe ien kak patohla ni pato en wai pwe ien pil welian kiht ohng wahu me pil kesempwal ohng irail sohpeidi kan sang nan State teikan me pil patehng sapwelimatail Kahdeke kapatapat.

Mr. Speaker, I thank you for granting me few minutes to say, on behalf of the Congress Body, to recognize our traditional leaders. In absentia, I join the other speakers before me to also recognize all of the Traditional Leaders throughout the Nation. I understand that our citizens are listening in on this first session of the Twentieth Congress. Mr. Speaker, I, on behalf of our Delegation, join you in congratulating all our citizens for the work that they have joined us in making toward this new beginning in this Twentieth Congress, one that is productive. Our Delegation looks forward to working with you, Mr. Speaker and all members on board. I will reserve the point of privilege for when we come back later to recognize other officials that are present. Thank you, Mr. Speaker.

14 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Speaker Simina: Thank you, Chairman Panuelo for the statements made. Floor Leader Harper, you have the floor.

Floor Leader Harper: Thank you, Mr. Speaker. I rise on a point of privilege to ask the indulgence and humbleness of this Congress to allow me to say few things this morning. First of all, Mr. Speaker, I would like to express my personal congratulations to you for being able to retain the speakership of this Twentieth Congress. I think you are looking good from up there. This reminds me of what the ladies from Senator Romolow’s area, Northwest Region, say, “A ina me katakatom apidi apetom marekeiso.” As the ladies from Awak say, “Sohte weliomw nan sampah wet.” Furthermore, Mr. Speaker, I would like to express our Delegation’s appreciation and gratitude to all other members from the other delegations, from the states of Yap, Kosrae, and Pohnpei, for their humbleness, kindness, and generosity in allowing us or allowing our delegation of Chuuk to repossess the two officers seat, Speaker’s seat and Floor Leader’s seat. I know we are not the only capable and qualified to the positions but it is, as I said, due to their humbleness, kindness, and generosity that they have decided to continue to give us the two officer seats. Thank you. I thank all of them for their humbleness, kindness, and generosity. Furthermore, Mr. Speaker, if I may not be out of order, I would like to introduce certain people who are observing our session this morning, the Opening of this Twentieth Congress. Before I introduce these people, I would like to advance my apology if I may mispronounce their names. It is not that I intent to do it but sometime I am very poor in pronouncing names. With that, Mr. Speaker, I would like to ask if I could start out with our own Vice President, the Honorable Yosiwo P. George. Let’s give him a round of applause (applause). I understand, according to the list here, we have our Chief Justice Dennis K. Yamase. Let’s also give him a round of applause (applause). According to the list also, we have our Associate Justice Beauleen Kohler. Let’s give her a round of applause (applause). I assume that President’s Cabinet members are also sitting in the gallery. Unfortunately, I cannot really specify any of them. I really don’t know who is here. But our welcome and recognition to all members of the President’s Cabinet and I ask that we give them a big round of applause for recognition (applause). We are also fortunate that we have some of our state officials who are also present this morning. I would like to start off with the state of Pohnpei. We have here the Governor Marcello K. Peterson (applause). I believe there may be some of his Cabinet members that are sitting in the gallery. As I said, I may not be able to identify them but let’s just give them a collective round of applause for recognition (applause). According to the list in front of me, we have our Governor from Kosrae State, Governor Lyndon Jackson. Let’s give him a round of applause (applause). Again, I believe his Cabinet members are also observing us this morning. But since I cannot really identify who is who, let me again ask that we give them a collective round of applause for recognizing them (applause). We also have here our Governor from Chuuk State, the Honorable Johnson Elimo (applause). I believe some of his Cabinet members are also here observing this morning’s session. Let’s all give them a round of recognition (applause). I don’t have anybody from the state of Yap but I assume there may be some officials from Yap State so I ask that we give them recognition by giving them a round of applause (applause). I believe some of the members of our State Legislature are also here. It is unfortunate that I cannot say their names because I don’t know who is who but let’s just give them a round of applause for recognition (applause). We have on the list here and I think we need to give a special recognition to the Wahnparon that administered the invocation this morning: Let’s recognize the presence of Reverend Midion G. Neth (applause). As for our Diplomatic Community, I would, again, like to apologize if I may mispronounce their names. It is not that I intent to do that but again, as I said I am a poor pronouncer of names and especially they are foreigners and I might not be able to say these names right. Anyways, we have here with us the Dean of the Diplomatic Corp, the Ambassador, the People’s Republic of China, his Excellency Ambassador Xie Lie (applause). According to the list here, we also have our new Ambassador, his Excellency Ryoichi Horie from the Japan Embassy (applause). Again, we are also fortunate

15 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM and happy to have our new Ambassador from the US Embassy, Robert A. Riley (applause). I don’t know whether I am missing out anybody from our Embassies but if there may be other key staff with them, let’s just give them collective recognition by giving them a big round of applause (applause). Mr. Speaker, I know I am taking too much time but I also would like to introduce certain officials and individuals who also came from Chuuk State, especially from my region, the region of Mortlocks. I would like to start out with one of our representatives for the Chuuk State Legislature, Rerat William. If you are here, please stand up for recognition (applause). With him is another representative from the Chuuk State Legislature, Serino Sinem (applause); Pablo Martin, another representative of the Chuuk State Legislature (applause). Richiosy Chipen, also another representative from the Chuuk State Legislature (applause). Let me ask that when I finish reading out the names of the rest of my constituents then we just give them a round of applause. To continue the introduction, I have one of our Mayors from the Mortlocks, from Satawan Municipality, may I introduce Mayor Miachi Asito; from the Municipality of Nama is Mayor Seilas Simina; from the Municipality of Moch, we have Istaro Mwarike. We have another individual who is the Chairman of the Mortlock Leadership: Abraham Rayphand. Chairman of the MIDA Board of Director, Roger Arnold; FSM Finance employee, Chuuk Branch – Robert Umwech. We also have a MiCare Representative in Chuuk, Bundi Fred. Erick Marar, Director of Oceania Life Insurance in Chuuk; Ira Joseph, Cafeteria Manager of the Chuuk State Hospital; Isaias Petrus, Chief of Staff, Satawan Municipality; Grace Williander, Director of Mortlock Islands Development Authority (MIDA); Melvin Soram, staff at the MIDA Board; Biriena Werieri, another staff at the Mortlock Islands Development Authority. May I ask that we collectively recognize them by a big round of applause? (Applause). Mr. Speaker, last but not the least, I would like to take this opportunity to introduce my own beloved wife Merian Harper (applause). Thank you, Mr. Speaker.

Speaker Simina: Thank you, Floor Leader Harper. We are on Miscellaneous Business at this point. Any Miscellaneous Business by Members? You can say and do anything.

Chairman Welly: Mr. Speaker.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Yes.

Chairman Gouland: Thank you very much, Mr. Speaker. I have a lot of constituents with me, Mr. Speaker. I join the other speakers in welcoming everybody. I also have my lovely wife with me. Let me just say few things because I do not want to take up the time. Mr. Speaker, our constituents from our region, Northern Namoneas, our Mayor is with us today: Faustino Stephen, and the Deputy Mayor, Benetik Cholymay. Let me just say their names and we just give them a round of applause at the end. The Mayor of Piis Paneu is Roger Robert. Along with him is Larry Nero, Deputy Mayor of Piis Paneu; the Mayor of Fonoton, Ioanis John and the Deputy Mayor, Killion Juda. The region that I represent is the region that the United and Air Niugini land on. So before you land in Chuuk State, you have to go see these three Mayors and say your respect to them. Thank you, Mr. Speaker. Let’s give them a round of applause (applause).

Speaker Simina: Thank you, Chairman Gouland. Any other points of privilege? Chairman Welly, you have the floor.

Chairman Welly: Thank you, Mr. Speaker. Good morning to you and everyone in the gallery this morning. I want to join the Floor Leader in recognizing all the dignitaries observing our session this morning: Vice President Yosiwo P. George, Cabinet members, Diplomatic Corp,

16 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Governors, Speaker, and everyone in the gallery this morning. James Mischener, the famous author and a writer. He wrote many novels his time, including two novels that Hollywood makes movies: the Centenial and the Hawaii. He also authored a novel called “Rascals in Paradise”, in which he visited an island: South of Pingelap Atoll. He gave the story in one of the classes, Rascals in Paradise. He described that island as Juliet is staying as one of the loveliest place on earth. Vice Chairman Alik L. Alik and I are bringing you greetings from that lovely island. We also have dignitaries and constituents that are in the gallery this morning that I wish to introduce for recognition. Please hold your applause until after I call out the names. Let me begin with his Excellency Yosiwo P. George, the Honorable Governor Lyndon Jackson and the good lady Sepe Jackson, the Honorable Speaker Tunlensa Palik and the good lady who is forthcoming, coming later (laughter); Secretary Kalwin Kephas, Postmaster General Ginger Mida, and Lam Dang. We also have two constituents from Walung, two ladies, Laurie and Kasra. We came all the way from Walung just to make soup for this afternoon. We also brought our own staffs: Kenye, Bruce, and Ruthie. Last but not the least, my boss, my wife Shrue Welly. Let me also take this opportunity to thank all the Kosraeans that have voted for me over the years. Thank you very much. Finally, Mr. Speaker, let us be guided and be reminded of the wise words of King Solomon. You will find this in Proverbs 21:31. It says and I quote: “The horse is made ready for the day of battle, but victory rests with the LORD.” With all His blessings, we are the Members of the Twentieth Congress. Congratulations to all of you (applause).

Speaker Simina: Thank you, Chairman Welly for some wise words. I will recognize Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. My utmost respect to the Traditional Chief of the state of Pohnpei and the rest of the Traditional Leaders of this Federation. Being a member of two-year term Congress is always nice to recognize every constituent. Mr. Speaker and fellow Members, with your indulgence, I wish to express my most sincere gratitude to the people of Lotowafeng in Chuuk for the confidence that they have invested in me by re-electing me as their servant in Congress. I pledge to all of you, not just those of you who voted for me that I would continue to work hard for Lotowafeng. If fact, I would like to make a special appeal to those who have reason, whatever it was, to support me during campaign, to put aside our differences, and to unite and consolidate our energies for the benefit of the entire Lotowafeng. I make a special appeal to my worthy opponents: uncle Mathias and Williander Jack. I ask that what in the past be gone. I am proud to say that the gift rooted social army continues to run and remain the rules rather than the exception in regards. I am confident, that by maintaining this formula, as our operating principles will prevail in our accounting challenges to push forward the agenda for Lotowafeng. Mr. Speaker and distinguish Members, I have a number of constituents and family sitting in the gallery, observing the Opening of this Twentieth FSM Congress. I seek your indulgence to present them to this body. I ask that we give them a collective round of applause after I read their names. I begin with the Traditional Chief of Polowat, Mario Benito; Mayor and Traditional Chief Yasuo Smith; Senator Ruphin Micky; House of Senator Representative Andrew May, Representative Celes Kaliga, Representative Zoro Otto; my predecessor, the Honorable Tony Otto, FSM Election Director. The Honorable Asterio Takesi, Vice President of the Governmental Affairs of Bank of Guam. Papa Tosiwo Irons, Sander Choffat, Kasimiro Christian, Edwin Romolow, Arthur Irons II, Mitasi Apusa, Leilani Rosokow, Regoice Maisar, Restlyn Dilipi, and my beautiful daughter, Maeliandra Romolow who is sitting among the spouses. Last but not the least, the one that is always making sure that I am re-elected to this esteemed body, Mr. Paskas Mark, Chairman of my Campaign Committee. Mr. Speaker, may I ask that we give them a collective round of applause? (Applause). It is with great pleasure, Mr. Speaker and distinguish Members, and honor to join the previous speakers in congratulating

17 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM you upon your election to the Speakership. I also congratulate the other Presiding Officers of this Congress body. It is upon your broad shoulder that success of this Congress body rests.

One American political philosopher and an architect of the US Constitution once discerned the daunting task of elected leaders in the following words and I quote: “If men were angels, no government will be necessary. If angels were to govern men, neither external nor internal controls on government would be necessary. In framing the government, which is to be administered by men over men, the great difficulty lies in this: you must first enable the government to control the governed; and in the next place oblige it to control itself. A dependence on the people is, no doubt, the primary control on the government; but experience has taught mankind the necessity of auxiliary precaution.”

Like it or not, Mr. Speaker and esteem colleagues, we in the FSM Congress are not angels. We are men of varying degrees of capabilities, temperament, upbringing, perseverance, foresight and tastes – each of us with a will to do his best for his constituents and for our Nation.

Yet, while democracy is not always the most efficient system across the board, its beauty is often saved for the last dance – it breaks out, alas, from the hearts of men who love the dance of democracy and guided by the Dictates of Conscience, upholds the interests of the commonwealth without altogether sacrificing the safeguards of civil liberties of the individual.

I salute you, Mr. Speaker and colleagues, for the humility and professionalism that you brought to bear on the reorganization of the Legislative Branch of the Government. It is a refurbishing of the instruments of the branch that represents the people. It strengthens my faith in the Dictates of Conscience to guide us to work for the common good. It reaffirms my belief in the limitless offers of democracy to work together for the common good.

Congratulations once more, to you Mr. Speaker and esteemed colleagues of this Congress. God bless all of us. (Applause).

Speaker Simina: Thank you, Chairman Romolow. I will give back the floor to the Floor Leader if you have something.

Floor Leader Harper: Thank you, Mr. Speaker. I rise again on a point of privilege to, first of all, extend my apology to certain members of the Diplomatic Corp, whom I missed out on my first introduction. Not because I intended to do so but they were not included on my list. For now, we are really happy to have our Ambassador from the Australian Embassy, his Excellency George Fraser. Let’s give him a round of applause (applause). From the Japan Embassy, we also have the DCM, Joanne Cummings and her son is also observing us this morning (applause). Thank you, Mr. Speaker.

Speaker Simina: Thank you very much, Floor Leader Harper.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo, you have the floor. Mr. Speaker, I ask for a short recess to allow our traditional leaders to exit the Chamber.

Speaker Simina: If there is no objection, short recess.

18 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 12:13 p.m., subject to the call of the Chair. RECESS

The Congress reconvened at 12:14 p.m.

Speaker Simina: Congress comes back to session. We are still on Miscellaneous Business. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. I also rise on a point of privilege to recognize some of my family members that are with us this morning. Before I mention their names, first of all, congratulations to you, the new Vice Speaker, Floor Leader, Chairmen of the Standing Committees, Members and the new Members. Congratulations to all of you. My utmost respect to the Honorable Vice President, Yosiwo P. George. We have our Governor of Pohnpei State, Mr. Peterson, Speaker Scaliem and members, Cabinet members and all Government leaders that are with us this morning, ladies and gentlemen. Mr. Speaker, I rise on a point of privilege to recognize some of our family members that are with us this morning. Let me just go through the list and after we can just give them a collective round of applause. First of all, my brother, Fredy S. Perman, the new CEO in FSM-Telecom and his lovely wife Aone Perman, Dr. Rufino Mauricio, my stepfather; Senator Brian Etscheit and his wife Trisha; my cousin Ginger Mida, the Postmaster General; my brother-in-law Wagner David, and my lovely and beautiful wife Miyuki D. Perman. Please, let’s give them a round of applause (applause). Mr. Speaker, to close, I, on behalf of my wife and families with us this morning, we want to thank that people of Pohnpei for trusting me to be their representative, especially the people of Election District #1.

Kalahngan en kumwail koaruhsiehn. Koapwoaroapwoar me kumwail ketkihong ie, I pahn wia wen ahi kak koaros. Thank you very much, Mr. Speaker. That’s all.

Speaker Simina: Thank you, Chairman Perman. I will give it to Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I forgot and I hope I don’t loose his support; and that would by my younger brother, Resio S. Moses Jr. If I may continue. Ever since I became a member of Congress, there is one person that I have grown to admire. He is in the gallery. He is with us today: Vice Speaker of the Nineteenth Congress, Sahu Wone or Berney Martin. May I ask that we give him a round of applause? (Applause).

Speaker Simina: Thank you, Vice Speaker Moses. We will recognize Senator Konman.

Senator Konman: Thank you very much, Mr. Speaker. I would also like to join our fellow Senators to extend my utmost appreciation to the Traditional Leaders. Even though they already left the gallery, I would like to also pay my respect to them as well as the dignitaries and also my fellow supporters from my region of Southern Namoneas: Uman, Fefan, Tonoas, etc. Mr. Speaker, I would like to just highlight some of the members. The Mayor from Parem, Mayor Kichi Kanemoto. Mayor Sefet Salle from Fefan Municipality; Mayor Douglas Reselep from Tonoas, and Mayor Teas Etse from the Municipality of Parem. In addition to those, Mr. Speaker, I would also like to convey my utmost appreciation to some of my friends, families and colleagues who traveled from afar to come and join this special occasion today. Last but not the least, I would also like to recognize my wife and my daughter who are also present today. Thank you very much, Mr. Speaker (Applause).

19 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Speaker Simina: Thank you, Senator Konman. You can submit a list of names of your constituents who are with you to our Journal Clerk so they can be included in our Journal.

Senator Konman requested that the names below be inserted into today’s Journal:

1. Terios Ruben 16. Misa Otoko 2. Kelep Soukon 17. Sison Nosa 3. Mekey Shirai 18. Nikonas Namelo 4. Atta Erwin 19. Siano Aunuwa 5. Victorino Metek 20. Norenis Elieisar 6. Kemes Kette 21. Kulian William 7. Edwin Edipo 22. Marsian Aliwis 8. Tommy Ungeni 23. Tasio Sanichy 9. Roy Phillip 24. Repingeni Davit 10. Eddie Akiakis 25. Darla Konman 11. Istor Muritok 26. David Franson 12. Paul Konman 27. Tereteo Nomas 13. Mikiko Nimwin 28. Pagiro Sakate 14. Akostin Antonio 29. Hiromi Chesar 15. Efren Achien

Senator Neth: Mr. Speaker.

Speaker Simina: Yes, Senator Neth.

Senator Neth: Thank you, Mr. Speaker. I guess I have to say something or else I will not be re- elected. Thank you, Mr. Speaker. I associate myself with the salutations and recognitions that were made. I would like to welcome and recognize the people from Madolemihmw and Kitti in our presence and those who are listening in to the radio. I would like to recognize my predecessor, former Senator Berney Martin and the Traditional Leaders that are mentioned by the Chairman of the Delegation, Chairman Panuelo. If I may, I would like to introduce and welcome, if I may ask the Members to welcome my good and lovely wife Vivian Neth (applause). The former first lady of Saipan, Diva Chong (applause); my granddaughter Lavone Artrie Neth and Maya Neth. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Senator Neth. I will recognize Chairman Aritos first and then Chairman Panuelo.

Chairman Aritos: Thank you, Mr. Speaker. I want to follow suit to introduce some constituents of mine who are observing this morning’s session, starting with: Ansener John, Chiten West, Epas Machuo, GM Attiro, Randy John, and Jay D. Sound. Please give them a round of applause (applause).

Speaker Simina: Thank you, Chairman Aritos. Chairman Panuelo.

Chairman Panuelo: Thank you, thank you. I have recognized the dignitaries and officials who are present on behalf of the Pohnpei Delegation. I would like to recognize my two children that I brought with me that represent my family, who are here. My son said, “Please, introduce me last.” Because he was nervous and I asked, “What are you nervous about?” Please, I ask that we recognize my youngest son, Joshua Panuelo, who is here; and my grandchild, Alani Panuelo. Alani is a 4-point student from the

20 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM beginning until now in all the grades. I would to recognize my two kids who are amongst us today. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Yap Delegation? Chairman Urusemal.

Chairman Urusemal: Mr. Speaker, thank you very much. At least temporarily Chairman of the Delegation until the Delegation reorganized. I feel compelled to say very few words because my stomach is dictating what I and on how I speak. After the incident in one united flight when the passenger was dragged out of his seat to accommodate for some of the flight crew on the plane, now when you go to United Airlines website, it says, “Actions speak louder than words.” I know that in this part of our Federation that saying is very much true. On behalf of Chairman Figir and I, we don’t need to thank our people because they, know through our deeds, how much we value their interests and for all of them, not only those that voted for us in the election. In absentia, I look around and I don’t seem to recognize any Yapese even though I know the Council General is among us or he’s here or I’m not sure he’s in the chamber and some family members are already included. So on our behalf, Chairman Figir and I, I would like to thank our people in Yap and bring greetings to this new Congress. I take to heart (h-e-a-r-t), broken, as it may be, the prayer of Pastor Midion G. Neth this morning. I thought they were very good words for this new Congress. It should be our guiding light for what we do from here on out for the rest of this Congress. So with that, I thank you for the opportunity, Mr. Speaker; and I do hope that with your continuing leadership and that of the new Vice Speaker, Floor Leader and Chairmen of the Committees, that we will work together for the betterment of our people and our Nation to move us forward. The amended compact is no secret. It’s going to be, especially the financial aspect of it, terminated in 2023. I think we to have lay some groundwork for this Government to move forward on ways and means to accommodate our efforts in addressing that date when the amended compact grants are not flowing anymore. So I think with the new direction set forward by all of the previous speakers and by you, Speaker, I do hope that we can move forward and serve our people and our Nation to the best of our abilities. “We are here to serve and not to be served” as said by someone. And again, thank you. I hope day one will be the same as day two and all the way to end of the new Congress. Mr. Speaker, thank you very much (applause).

Speaker Simina: Thank you, Chairman Urusemal. Any further Miscellaneous Business? If none, short recess.

Speaker Simina declared the Congress recessed at 12:28 p.m., subject to the call of the Chair.

RECESS The Congress reconvened at 12:28 p.m.

Speaker Simina: Congress comes back to session. We’re still on Miscellaneous Business. If there’s no further Miscellaneous Business from Members –

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 12:28 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 12:29 p.m.

Speaker Simina: Congress comes back to session. If there is no further Miscellaneous Business from Members, I would like to take this opportunity to join the previous speakers in recognizing our esteemed guests, beginning with our paramount traditional leaders from Pohnpei and our paramount

21 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM traditional leaders from the other states who found time to also join us this morning. It is also my distinct privilege and honor to pay respect to our honorable Vice President George and his wife and members and staff of the executive branch; His Honor Chief Justice Yamase; our own Honorable Governors, Lt. Governors, state legislature presiding officers and members of our Legislatures, other state officials, fellow citizens, ladies and gentleman.

As you have noticed, our Excellency President Christian could not join us because of family emergency. In fact, he must accompany the First Lady of this Nation for a medical emergency off-island. For that, may I ask the people of our Nation to please remember our President, especially First Lady Christian, and the First Family in our prayers in this time of need.

And to all the mothers of this Nation, in our States and abroad, I would like to wish you an advance Happy Mothers Day. May you all live a happy and long life. (applause) I especially would like to wish my wife, Ancelly, who is not here, a very special Happy Mothers Day. She’s attending to a motherly duty, that is, the wedding of our eldest son, in Denver. Congratulations, son. My apology for missing your wedding but this business of Congress keeps me here in Pohnpei. To the spouses of all Members, take note that without you, these gentlemen would be far less without your support.

I would like to take this opportunity as well to thank all members of this 20th Congress for allowing me this opportunity to serve as the Speaker of this 20th Congress. Challenges abound in the operations and administration of your first branch of government. I would be lying if I said I have all the answers, but I know for a fact that with all of us committed fully to address these challenges, our Congress can improve a lot. I therefore look forward to working with each of you individually and as a team; and I would like to take this opportunity to welcome and congratulate our newest Members, Senator Neth and Senator Konman

As we are gathered here today to inaugurate the 20th Congress it bears to remember what that number means. It means that thirty-eight years have elapsed since the First Congress of the Federated States of Micronesia, and thirty-one years have gone by since the Compact of Free association came into effect. These are short periods of time in history, not even a lifetime. However, by comparison, a deadline is looming in the future that is even shorter. In 2023, the financial assistance provisions for the Compact will expire, in a mere seven years.

The main mission of the 20th Congress is not to start preparing – because that has already been started by previous congresses – but to accelerate the preparation for 2023. It will require vision, hard work, and maybe hard choices. We have to look at reality in the face and act accordingly. For example, I reported last session of Congress that our FSM Trust Fund will likely reach $100 million this year. I understand that this goal has been reached, at least on paper. And, that is an amount that would have been dismissed as wildly optimistic just a few years ago. This is something to be proud of.

However, pride is not enough. At the same time our Compact Trust Fund, which is the main trust fund jointly administered with the U.S. is seriously behind. This was due to a slow start and the Great Recession of ten years ago. As a result, we are behind. To put us where we should be by 2023 we need an immediate infusion of at least $200 million. Where we should be is the level that will allow the Compact Trust Fund and our FSM Trust Fund to generate the income that will sustain this nation without further financial assistance from the US. We should work hard in the next few years to reduce the gap between what we need and what we have.

This will require being creative. We have done much over the last few years to control our expenditures. We must have the political courage and will to take on other major issues such as tax reform, foreign investment and other economic projects because what we need is more revenues. This is an open challenge

22 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM for all of us to redouble our efforts to reach out to friends to assist us – old friends, of course, but perhaps new friends as well. We cannot afford to be shy. We must work side by side with our four states since without them our national efforts would be meaningless.

This Congress will be proactive in this effort, to seek out new friendship and to make sure by our oversight responsibility to hold the Executive accountable for their efforts or lack thereof.

I call upon every Member to be aware of this heightened need that we have, given the current international and domestic situations, to redouble our efforts. The future of our country surely depends on it. We should act now, and not wait until the nearness of a deadline completely demoralizes our people and ourselves.

Thank you and let’s get to work (applause).

If there is no further Miscellaneous Business, I would like to go to the announcements.

ANNOUNCEMENTS

Speaker Simina: For now, I would like to leave it open. Are there any announcements from the Presiding Officers, Chairmen and Members?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Yes, Vice Speaker Moses?

Vice Speaker Moses: Thank you, Mr. Speaker. I have consulted with the Vice President and the Committee to Wait on the President will meet in the President’s Conference Room at 8:30 a.m., tomorrow.

Speaker Simina: Thank you, Vice Speaker Moses. Take note, members of the Committee to Wait on the President, of the time and place. Any other announcements? Short recess.

Speaker Simina declared the Congress recessed at 12:39 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 12:40 p.m.

Speaker Simina: Congress comes back to session. One minor announcement for all those who are present who are observing our session, there are some refreshments and take-outs if you feel like having something to eat or take down in the Central Conference. If nothing further, I will give Floor Leader Harper the floor.

Floor Leader Harper: Thank you, Mr. Speaker. As for what you said, our constituents are getting low so we need to get something sweet before we knockout on the floor. So therefore, I move that we have a suspended recess until tomorrow at 10:00 a.m.

Chairman Urusemal: Second

Speaker Simina: It had been moved and seconded that Congress stand in recess until 10:00 a.m. in the morning. Those in favor of the motion say, “aye” – opposed “nay”. The motion is carried. Congress now stands in recess until 10:00 a.m. in the morning.

23 May 11, 2017 CONGRESSIONAL JOURNAL – OPENING DAY – 1RS – 20CFSM

Speaker Simina declared that the Congress stand in recess at 12:41 p.m., Thursday, May 11, 2017, until tomorrow, Friday, May 12, 2017, at 10:00 a.m.

24

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY TWO Friday, May 12, 2017

The Second Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:45 a.m., Friday, May 12, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll; all the fourteen Members were present.

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. 19-586 - (dated and received 04/10/17) – Designating Congressional Act No. 19-160 as Public Law No. 19-157: “To further amend Public Law No. 15-32, as amended by Public Laws Nos. 15-36, 15-44, 15-57, 15-63, 15-72, 15-78, 16-03, 16-11, 16-33, 16-46, 17-12, 17-21, 17-33, 17-40, 18-17, 18-67, 18-85, 18-104, 19-17 and 19- 100, by amending sections 1 and 2 thereof, for the purpose of changing the use, allottee and the lapse date of certain funds previously appropriated therein to fund public projects and social programs for the people of Yap and Chuuk States, and for other purposes.”

-No. 19-587 - (dated and received 04/10/17) – Designating Congressional Act No. 19-161 as Public Law No. 19-158: “To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19-130, 19-142 and 19-145, 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. 19-588 - (dated and received 04/10/17) – Designating Congressional Act No. 19-162 as Public Law No. 19-159: “To further amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19-127 and 19-151, by amending sections 3, 4 and 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 Kosrae, Pohnpei and Chuuk States and for other purposes.”

-No. 19-589 - (dated and received 04/11/17) – Designating Congressional Act No. 19-13 as Public Law No. 19-19-160, with item vetoes on Section 2, subsection 8 – Department of Justice Travel and Contractual Services and Section 8, subsection 8 –Department of Justice (h) Settlements/judgements for cases against the FSM: “To amend sections 1, 2, 3, 8, 9 and 12 of Public Law No.

25 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135 and 19-146, in order to appropriate $1,684,000 of additional funds from the general fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, clarify the use of funds for a particular line item and to change the allottee of funds previously appropriated therein, and for other purposes.”

-No. 19-590 - (dated and received 04/11/17) – Transmitting a resolution confirming the nomination of Mr. Kohsak M. Keller to serve as a member of the Social Security Board of trustees.

-No. 19-591 - (dated and received 04/17/17) – Designating Congressional Act No. 19-170 as Public Law No. 19-161: “To further amend Public Law No. 15-80, as amended by Public Laws Nos. 16-04, 17-53, 18-37, 18-66, 19-14 and 19-105, by amending sections 1 and 2 thereof, for the purpose of changing the use and allottee of certain funds previously appropriated therein, for public projects and social programs in the state of Kosrae, and for other purposes.”

-No. 19-592 - (dated and received 04/17/17) – Designating Congressional Act No. 19-171 as Public Law No. 19-162: “To amend Public Law No. 19-152, by amending sections 2, 3, 5, and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Yap, Kosrae, and Chuuk States, and for other purposes.”

-No. 19-593 - (dated and received 04/17/17) – Designating Congressional Act No. 19-172 as Public Law No. 19-163: “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 and 19-132, by amending sections 3 and 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae and Chuuk, and for other purposes.”

-No. 19-594 - (dated and received 04/17/17) – Designating Congressional Act No. 19-173 as Public Law No. 19-164: “To amend sections 201 and 202 of title 24 of the Code of the Federated States of Micronesia, as amended by Public Law No. 19-21, to modify the term limit of members of the National Oceanic Resource Management Authority of the Federated States of Micronesia, and for other purposes.” -No. 19-595 - (dated and received 04/17/17) – Designating Congressional Act No. 19-177 as Public Law No. 19-165: “To further amend Public Law No. 19-60, as amended by Public Laws Nos. 19-71, 19-80, 19-103 and 19-148, by amending section 2 thereof, to change the use of certain funds previously appropriated therein, for the purpose of funding essential government functions, programs, projects and activities in the state of Yap, and for other purposes.”

-No. 19-596 - (dated and received 04/17/17) – Designating Congressional Act No. 19-175 as Public Law No. 19-166: “To amend section 108 of title 4 of the Code of the Federated States of Micronesia (Annotated), as amended, to increase the salaries of the Chief Justice and Associate Justices of the Supreme Court of the Federated States of Micronesia, and for other purposes.”

-No. 19-597 - (dated and received 04/18/17) – Designating Congressional Act No. 19-176 as Public Law No. 19-167: “To amend title 24 of the Code of the Federated States of

26 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

Micronesia (Annotated), by inserting a new section 505, that declares as a closed area, the Twelve Mile Area Seaward of the Territorial Sea, not to extend beyond Twenty-Four Nautical Miles from the baseline from which the breadth of the Territorial Sea is measured, prohibiting commercial fishing and exploitation of natural resources thereon, and for other purposes.”

-No. 19-598 - (dated and received 04/18/17) – Designating Congressional Act No. 19-165 as Public Law No. 19-168: “To further amend Public Law No. 19-93, as amended by Public Law No. 19-104, by amending section 1 thereof, to clarify the use of funds previously appropriated therein, to fund priority infrastructure projects and other programs in the state of Chuuk, and for other purposes.”

-No. 19-599 - (dated and received 04/18/17) – Designating Congressional Act No. 19-174 as Public Law No. 19-169: ”To amend sections 101, 102, 103, 106, 204, 205, 303, 402, 404, 407, 603, 606, 611, 701, 907, 910 and 911 of title 24 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 8- 109, in order to enhance the ability of the Government of the Federated States of Micronesia to enforce, in its territory or Exclusive Economic Zone and other zones where FSM-Flagged or FSM-Licensed vessels undertake fishing activities, the National Fishery laws, regulations, and the international obligations including those in the Third Implementing Arrangement of the parties to the Nauru Agreement, and the obligations assumed by the FSM Government on conservation, sustainable exploitation and management of Fishery Resources taking into consideration the National Development needs and aspirations of the FSM, and for other purposes.”

-No. 19-600 - (dated and received 04/20/17) – Designating Congressional Act No. 19-179 as Public Law No. 19-170: “To appropriate the sum of $200,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, for the purpose of funding public projects and social programs in the states of Yap, Kosrae, Pohnpei, and Chuuk, and for other purposes.”

-No. 19-601 - (dated and received 04/20/17) – Designating Congressional Act No. 19-164 as Public Law No. 19-171:”To amend Public Law No. 19-141, as amended by Public Law No. 19-147, by amending section 1 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. 19-602 - (dated and received 04/20/17) – Vetoing Congressional Act No. 19-168 in its entirety: “To further amend Public Law No. 19-64, as amended by Public Laws Nos. 19-81, 19-97, 19-120, and 19-137, by amending section 1 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Pohnpei, and for other purposes.” [E.D. #2 of Pohnpei.]

-No. 19-603 - (dated 4/25/17 and received 04/26/17) – Vetoing Congressional Act No. 19-169 in its entirety: “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, and 19-138, by amending sections 1 and 2 thereof, to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.” [E.D. 2 of Pohnpei.]

27 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

-No. 19-604 - (dated and received 4/28/17) – Vetoing Congressional Act No. 19-166 in its entirety: “To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, and 19-150, by amending sections 4 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund priority infrastructure projects in the state of Pohnpei, and for other purposes.”

-No. 19-605 - (dated and received 4/28/17) - Designating Congressional Act No. 19-180 as Public Law No. 19-174: “To further amend title 22 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 18-68, to create a new chapter 4 thereof entitled "BIOSECURITY", to prevent animal and plant pests and diseases from entering the Federated States of Micronesia, to regulate the movement of animals and plants and their products, to control the establishment and spread of animal and plant pests and diseases that enter the Federated States of Micronesia, to facilitate international cooperation in respect of animal and plant diseases, and for other purposes.”

-No. 19-606 - (dated and received 4/28/17) – Designating Congressional Act No. 19-178 as Public Law No. 19-172:”To amend title 18 of the Code of the Federated States of Micronesia by amending existing sections thereof and inserting additional sections that establish additional Maritime Zones, extension of continental shelf and baselines as recognized by the law of the Sea Convention, to bring title 18 in conformity with contemporary norms and practices under international law, to incorporate treaty obligations assumed by the Federated States of Micronesia such as maritime boundary delimitations treaties with neighboring nations, and for other purposes.”

-No. 19-607 - (dated and received 04/28/17) – Designating Congressional Act No. 19-167 as Public Law No. 19-173, with some item vetoes - Chuuk State At-Large projects: section 5 (1)(h) & (l): ”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, and 19-144, by amending sections 4 and 5 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the states of Pohnpei and Chuuk, and for other purposes.”

-No. 19-608 - (dated 5/03/17 and received 5/04/17) – Informing Congress about the National Close-Up Program students’ visit to Pohnpei and requesting assistance and support toward their scheduled visit to Congress session on May 16, 2017 at 10:00 a.m.

-No. 19-609 - (dated 04/26/17 and received 04/28/17) – Transmitting a proposed bill to amend chapter 1 of title 30 of the FSM Code (Annotated) that created the FSM Development Bank and that the lending practices of the FSMDB should be tailored towards fostering economic activities and development of the nation.

-No. 20-01 - (dated and received May 11, 2017) – Transmitting a resolution approving a grant amendment from the United Nations Framework Convention on Climate Change (UNFCC) through the Green Climate Fund, in the amount of $113,110 to fund the National Designated Authority (NDA) Office.

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

28 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

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

Speaker Simina: State your point, Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. I was just given a note from someone else regarding a certain individual that I need to introduce this morning. I am very much happy to, once again, introduce the DCM of the US Embassy, Ms. Cheryl Burkindine. Along with her is, I don’t know if this person is working at the US Embassy or working with the President’s Office, Pelsesar Petrus (applause). Thank you very much.

Speaker Simina: Thank you, Floor Leader Harper. Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker. Good morning to you and to all Members. Since the good Floor Leader has taken the opportunity to recognize certain individuals, I have a list that is passed on to me. Please, kindly allow me to introduce these individuals who are here.

Speaker Simina: Proceed.

Chairman Panuelo: Mr. Speaker, the individuals who are here, we have Ms. Grace Amaraich and Mr. Tommy Dano who are here on behalf of the Japan Embassy. We thank them for being consistent in observing our sessions. Let’s give them a round of applause (applause). We also have two constituents from Sokehs, Chairman of H&SA’s constituents as well as mine: Mr. Dasiano Helken and Kaudencio Kandi, Sokehs constituents. Let’s recognize them (applause). Thank you.

Speaker Simina: Thank you, Chairman Panuelo. Any other points of privilege?

Senator Konman: Mr. Speaker.

Speaker Simina: Senator Konman.

Senator Konman: Thank you very much, Mr. Speaker. Again, I would like to follow suit with my colleagues to recognize some important people, who are in the gallery most especially from my region of Southern Namoneas. I would like to recognize Mr. Sonshin Sellem, from Tonoas, John Benvin Joseph and Samuel Chiora from Fefan. Let’s give them a round of applause (applause).

Speaker Simina: Thank you, Senator Konman. The first one, I think he is from Guam not from Southern Namoneas. Any other point of privilege? If none, let’s continue. Next item.

FSM SUPREME COURT COMMUNICATIONS

-No. 19-42 - (dated 04/13/17 and received 04/17/17) – From the Hon. Dennis K. Yamase, Chief Justice, FSM Supreme Court, the leadership and Members of Congress for the invite to administer the Oath of Office to the Senators of the 20th FSM Congress.

-No. 19-43 - (dated and received 04/17/17) – From the Hon. Dennis K. Yamase, Chief Justice, FSM Supreme Court, informing Congress that pursuant to the Judiciary Act of 1979, he has designated the Hon. Camillo Noket, Chief Justice of the Chuuk State Supreme Court to serve as a Temporary Justice of the FSM Supreme Court of the FSM in Appeal Case No. P2-2015 and Appeal Case No. P10-2015.

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

29 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

MEMBER COMMUNICATIONS

-No. 19-48 - (dated 04/27/17 and received 05/02/17) – From the Hon. Berney Martin, Vice Speaker, 19th FSM Congress, reporting on an outreach and advocacy to Honolulu and Guam.

-No. 20-01 - (dated 05/09/17 and received 05/11/17) – From the Hon. Joseph J. Urusemal, Chairman, Yap Congressional Delegation, submitting a Delegation’s Budget Report as of May 09, 2017 for the FY 2017.

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

DEPARTMENTAL COMMUNICATIONS

-No. 19-96 - (dated 04/20/17 and received 04/21/17) – From Mr. Craigh D. Reffner, Eq., Assistant Attorney General, writing to follow up on a letter to Speaker, dated 03/27/17, on a Civil Action No. 2016-023, and further informing Congress that the complaint filed in this case has been dismissed.

-No. 19-97 - (dated 05/02/17 and received 05/03/17) – From Mrs. Sihna N. Lawrence, Secretary, Department of Finance & Administration, submitting the updated FY 2017 Revenue Projection.

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

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATION

-No. 19-94 - (dated 04/06/17 and received 04/10/17) – From Mr. Alexander R. Narruhn, Administrator, FSM Social Security Administration, presenting the annual report for calendar year 2015.

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

STATE COMMUNICATIONS

None STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

30 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

None

SPECIAL COMMITTEE REPORTS

-No. 20-01: (By the Hon. Vice Speaker, Senator Esmond B. Moses, Chairman, Committee to Wait on the President.)

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. Good morning to you, Members, and to those observing from the gallery. Your Committee to Wait on the President met this morning with the Vice President. I will do an oral report on what has been distributed this morning.

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:53 a.m.

Speaker Simina: Congress comes back to session. Continue Vice Speaker.

Vice Speaker Moses: Thank you, Mr. Speaker. I move that we adopt Special Committee Report No. 20-01.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Special Committee Report No. 20-01. Discussion? Vice Speaker, you have the floor.

Vice Speaker Moses: Thank you, Mr. Speaker. As I stated earlier, we met with the Vice President, along with Chairman Gouland, Chairman Welly, and Chairman Figir and myself. We were presented a bullet point of four items. The first one was a supplemental budget, which we were informed that it is forthcoming. It will be less than the reported $1.2 million of projections that the Secretary of Finance informed us this morning. Second item was pending Bills and Resolutions that will be resubmitted and actions were not taken on during the Nineteenth Congress. This mainly is Corporations bill is major one of those Bills that were submitted. The third item was the suspension of Public Infrastructure Grants. We’re still trying to clarify the circumstances of the suspension and the answers that we were given were not really satisfactory to fully understand what is going on. The fourth one is the CIP for the 2018 Micronesian games that will be held in Yap. After discussions, it was suggested that this could be put on hold until the 2018 Budget. It is basically in that order. We concluded by asking the Office of the President, through the Vice President that we openly communicate with each other on information so that Congress is not left out of the loop. That was the summary of the Report. It was a short meeting and not too much was really discussed other than some infrastructure projects including the transportation, ships in Chuuk and Yap. Thank you, Mr. Speaker.

31 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

Speaker Simina: Thank you, Vice Speaker. Any other comments from that Committee to Wait on the President? Any discussions or comments from Members?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, members, and to all that are observing. My question will still be. What do we do on this suspension of the awarding of the Public Infrastructure grant assistance? I mean, if they're not giving us answers that we want to hear, so where do we go? What’s our next move?

Speaker Simina: Thank you, Chairman Perman.

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly, you have an answer to his question?

Chairman Welly: Yes. Thank you, Mr. Speaker. Good morning to you and Members. I think the answer was provided by the T&C Chairman, saying that there is a proposed forthcoming meeting with the Departments. Maybe he should elaborate on that.

Speaker Simina: Chairman Gouland, care to enlighten Chairman Perman?

Chairman Gouland: Thank you, Mr. Speaker. Good morning to you to all my good colleagues. The answer to my good Chairman is, part of the oversight and follow up meeting with the awaiting committee, we are urging the President’s Office to move as quickly as possible. The only solution of this is we have to wait for the arrangement that has already been set for June first, which is the meeting. But the Committee to Wait on the President asked the President if they can move fast. So, the information that will be provided to them is what they will have to provide to Congress in order for us to be updated. Thank you.

Speaker Simina: Thank you, Chairman Gouland. In summary, we will have to wait until June 1st. Whether we will receive a clear answer or not, that is a different story.

Chairman Perman: Mr. Speaker, if I may.

Speaker Simina: Chairman Perman.

Chairman Perman: I was in that meeting. I was hoping that, because of the urgent of the matter, that when they return, they should brief the Vice President so he actually know. Members were asking earlier so they can act earlier than June first. That means that when they went back to the President’s Office, still nothing happened. That is the reason why I raised the question. If the suspension of this grant is that serious, they should be really talking about it –

Speaker Simina: 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 11:12 a.m.

32 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

Speaker Simina: Congress comes back to session. We are still on discussion of the Special Committee Report No. 20-01. Any further discussion?

Chairman Figir: Mr. Speaker.

Chairman Figir: I think the Committee, under circumstances, did a terrific job in doing what it can in the short period of time. I just want to highlight one issue that I should not have brought it under the circumstances but I did it because it is something that my State really needs. I think the Chairman did alluded to about transportation, or perhaps because I know that the President has been arranging with the state of Yap to station one of the boats in Yap to service that portion of the federation and toward the east, toward Chuuk. Again, the famous phrase came out: “We will look into it.” with that, I move that we adopt the Committee Report (Special Committee Report No. 20-01).

Speaker Simina: If there is no objection, debate is closed. Let’s vote for the adoption of the Report. All those in favor of the adoption of the Special Committee Report No. 20-01 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, Special Committee Report No. 20-01, is adopted by Congress. Next report.

Chief Clerk: There are none.

Speaker Simina: Next item.

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-01.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-01, DAY 02, FRIDAY, 05/12/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-01 To amend Public Law No. 19-89, as amended by Public Laws W&M Nos. 19-94, 19-127, 19-151 and 19-159, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Chuuk, and for other purposes. 20-02 To propose an amendment to the Constitution of the J&GO Federated States of Micronesia, for the purpose of expanding the powers expressly delegated to the Congress of the Federated States of Micronesia to include the power to coordinate activities relating to climate change, and for other purposes.

33 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

C.R. NO. SUBJECT COMMITTEE 20-01 Designating and appointing Mrs. Liwiana Ramon Ioanis to NONE the position of Chief Clerk to the Twentieth Congress of the Federated States of Micronesia. 20-02 Designating and appointing of Mr. T.Lam Dang to the NONE position of Legislative Counsel to the Congress of the Federated States of Micronesia. PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 19-583 (dated and received 04/04/17) – Transmitting a proposed bill J&GO/R&D to amend Section 920 of Title 24 of the FSM Code, specifically to amend the minimum penalty allowed for citation or administrative penalty of fisheries violations. 19-584 (fated 04/04/17 and received 04/05/17) – submitting the FY All 2018 National Government proposed budget. Relevant Committees 19-585 (dated and received 04/05/17) – Informing about his recent INFO. trip to People’s Republic of China, along with copies of statements, which he delivered during the visit.

Speaker Simina: Chairmen and members of the Committees, take a look at the Referral Sheet for your planning purposes. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

None

RESOLUTION CALENDAR

None

Chairman Gouland: Mr. Speaker, can we go back to Bill Calendar?

Speaker Simina: You want to go back to Bill Calendar?

Chairman Gouland: Yes.

Speaker Simina: You have any bill to introduce?

Chairman Gouland: Yes.

Speaker Simina: Short recess.

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

RECESS

34 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

The Congress reconvened at 11:15 a.m.

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

INTRODUCTION OF BILLS

C.B. No. 20-03: Introduced by: Speaker Simina Assigned to: W&M Date introduced: May 12, 2017

Establishing a citizen repatriation and resettlement revolving fund by creating a new subchapter XVII under chapter 6 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes.

C.B. No. 20-04: Introduced by: Speaker Simina Assigned to: J&GO Date introduced: May 12, 2017

To further amend title 2 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-33 and 19-29, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes.

C.B. No. 20-05 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 12, 2017

To amend chapter 1 of title 30 of the Code of the Federated States of Micronesia (Annotated) by inserting a new section 139 pertaining to lending practices, and for other purposes

C. B. No. 20-06 Introduced by: Senator Figir Assigned to: W&M Date introduced: May 12, 2017

To amend Public Law No. 19-170, by amending section 2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.

C. B. No. 20-07 Introduced by: Speaker Simina Assigned to: J&GO Date introduced: May 12, 2017

35 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

To propose the repeal of article III, section 3 of the Constitution of the Federated States of Micronesia, for the purpose of enabling citizens of the Federated States of Micronesia to retain or obtain citizenship of another state without being required to relinquish citizenship of the Federated States of Micronesia, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-01: Introduced by: Speaker Simina Assigned to: NONE Date introduced: May 12, 2017

Designating and appointing Mrs. Liwiana Ramon Ioanis to the position of Chief Clerk to the Twentieth Congress of the Federated States of Micronesia.

C.R. No. 20-02: Introduced by: Speaker Simina Assigned to: NONE Date introduced: May 12, 2017

Designating and appointment of Mr. T.Lam Dang to the position of Legislative Counsel to the Congress of the Federated States of Micronesia.

Speaker Simina: If there is no objection, we will go back to Bill Calendar.

BILL CALENDAR

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Let me just consult this with my good Chairman of Ways and Means. This Bill is merely for the allottee section.

Chairman Figir: 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 11:20 a.m.

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

Chairman Gouland: Thank you, Mr. Speaker. I move to withdraw and place C.B. No. 20-01 on the Bill Calendar for action.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that Congressional Bill No. 20-01 be withdrawn and placed on the Bill Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’.

36 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

The motion is carried. The Bill, C.B. No. 20-01, is now placed on the Bill Calendar for action. Chairman Figir, motion for passage.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-01) for first reading.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-01 be passed by Congress on first reading. Any discussion? If none, without objection, discussion is closed. Let’s vote by roll call on first reading.

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 Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

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

Speaker Simina: For that reason, C.B. No. 20-01 is passed on first reading. Next bill.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: If there is no objection, we will go back down to Miscellaneous Communications.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I just want to clarify when we were discussing the infrastructure grant suspension, it was mentioned that there was a set date for June. Just to clarify that there is no set meeting. It was sent as a request and the suggested date was in June. I forget the exact date that was suggested. It was suggested and they are not sure if they are actually going to meet then because there are several unknowns. They don’t know who they are supposed to meet; and they don’t know why the

37 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM grants were suspended. So right now, all we have is a suggested date. There is no real set date for the meeting in June. Just for clarification.

Speaker Simina: Thank you, Vice Speaker Moses. That is our understanding. There was a proposed meeting date. So far, we have not officially heard of the response to that from our partner. Any other Miscellaneous Business?

Senator Alik: Mr. Speaker.

Speaker Simina: Yes, Senator Alik.

Senator Alik: Thank you, Mr. Speaker. I thank the Vice Speaker for clarifying some of those information that we need to be aware of. At this point, I just want to express my concern of the way the whole issue has been handled. As indicated in our oversight hearing with number of Departments represented, especially by the Secretaries, after that meeting, there was really no clear picture given to us. And here in the Report that is given to us now, there is still more uncertainties that is given to us that really, we don’t know what is going to happen. In the oversight hearing, there was an indication saying that the on-going projects will not be affected. I have been receiving calls in relation to that category of project that we don’t even know any assurance of, whether they will continue. Also, in the oversight hearing, there was an indication of a close meeting for the reason of the suspension. And we were not even told exactly what the reason of the close meeting was. It was suspected that is in relation to the Office in Honolulu being rated. I am also sure that most of us learned as of yesterday further actions that created more uncertainties of what is happening. The states are not aware of what really their projects, what would be able to pursue even within the period that is given to us for the next meeting. There is no assurance that even within now and the end of the fiscal year these projects will be able to move on with the suspension. That really concerns me because our people at the state level will be affected. Nothing is in writing to them explaining what is happening. They are in the dark so as us. I just want to express my serious concern of the way the whole issue has been handled. As I mentioned earlier, even yesterday, things are moving away from our offices here. And that concerns me. I accept the report for us to wait until the next meeting. As just mentioned, we are not very sure of that date. We can track on in terms of doing projects in the states. I don’t know how we are going to answer our people when they continue asking us. Something must be done to make sure that these things are rolling for the benefit of our people at the state level. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Senator Alik. You are correct. We can speculate all we want. We can ask all we want but I guess there is an official procedure of how we go about these matters. At least the Executive Branch through Secretary Robert, they have initiated that by going through the procedure of requesting meeting and we should wait for the result of it. I am sure they now understand the urgency and the seriousness of this subject by Congress. We have indicated to them in no uncertain terms so I believe they know how serious we are in trying to address this very important issue to our infrastructure development in the FSM.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. In the Communication dated April 27, speaking on the IDP that our National Government did not follow through the requirements, some of the issues that were raised from us, and that is one of the things that kind of worries me that if we move to overstep whatever the process is supposed to be, we will end up – that is why. Mr. Speaker, with all due respect, I

38 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM hope Members would understand the process. Let’s allow the Executive Branch to do their part and then we know where we go from. Thank you.

Speaker Simina: Thank you, Chairman Gouland. Any further discussion?

Floor Leader Harper: Mr. Speaker.

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

Floor Leader Harper: Thank you, Mr. Speaker. I have one or two minor Miscellaneous to make. First of all, I would like to say on behalf of all Members of this Twentieth Congress our great and special appreciation to our staff for all the hard work that they have put in the activities of the Opening, yesterday. I think our opening yesterday was very smooth and especially the food that was served was to our satisfaction. So, I would really want to say our gratefulness to our staff and those who work really hard to make it successful. Besides that, I also wish to express my appreciation, Mr. Speaker, for the occasion last night. I think everybody was drunk with wine and beers and all that. Though, we really appreciate that too. Second minor miscellaneous that I would like to make, I want to share something that I learn from CNN by watching CNN all these days. There seems to be a new terminology that has been used in the White House. This terminology is called, “Alternative facts.” And I hope the executives will give us real facts after June 1 or beginning of June instead of giving us alternative facts, because if they give us more alternative facts there will be more questions as to the suspension of the infrastructure projects; But if they give us real facts, I think we will be satisfied and that will be the end of all our questions and problems. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Floor Leader Harper. Actually, I feel that the preparations by our staff and things were not quite satisfactory. I will deal with the staff myself on those things. But for the alternative facts I thought our executive branch started that and CNN kind of copied that but that remains to be seen. Okay, Chairman Romolow. Miscellaneous Business?

Chairman Romolow: Thank you, Mr. Speaker. Yes, I have a point of privilege.

Speaker Simina: Yes, proceed with the point of privilege.

Chairman Romolow: Thank you, Mr. Speaker. I happen to be handed a note and I wish to beg the indulgence of this body to recognize a very important person to this government who is in the gallery observing our session this morning, and it is our very own Secretary of the Department of Justice, the honorable Joseph Gallen. (applause)

Speaker Simina: Thank you for reminding us because we have meeting right after the session so I will wait for him. Any other Miscellaneous Business?

Chairman Gouland: Point of privilege, Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you. I hope our secretaries are not to cut their hairs like Filipino style.

Speaker Simina: Thank you. Short recess.

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

39 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM

RECESS

The Congress reconvened at 11:38 a.m.

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

ANNOUNCEMENTS

Speaker Simina: Announcements, Chairman Welly?

Chairman Welly: Thank you, Mr. Speaker. On Tuesday at 1:00 p.m., your Committee on External Affairs will have an oversight hearing with the Department in the Hearing Room. It is going to include anything and everything under the sky. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly. There is announcement for Tuesday and I presume Chief Clerk is working on the membership of that Committee. Those who are interested to join the Chairman of External Affair, take note. Chairman Figir.

Chairman Figir: No announcements.

Speaker Simina: Chairman Perman.

Chairman Perman: No announcements.

Speaker Simina: Thank you. Chairman Romolow.

Chairman Romolow: No announcements.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Your Committee on R&D is calling an oversight with NORMA on Monday at 8:30 a.m. I think Members noticed the trend of our revenue projection for our Fisheries and it has been declining. You can notice that from 2015. We are talking in the tune of $10 million or a little less. Let’s hear it from the horse’s mouth. We are calling the Executive Director to come in and give us briefing on that. So on Monday at 8:30 a.m., I invite the members of the R&D Committee to join and those who are interested. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Just like Chairman Welly, I am sure Chief Clerk will notify those who will be members of the R&D Committee. Take note of that hearing. It is an important one. It concerns NORMA, our important agency. Chairman Gouland.

Chairman Gouland: Mr. Speaker, no announcements.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. Your Committee on Education will start its “its looking into things” anything and everything under the sun with the Department of Education but most especially on the restructuring of the Department where their office base is, scholarship and off course the budget. So, it will be for the first time, we are doing oversight, undersight, and budget review. All in one. It will also continue on Wednesday. I take it that the Chief Clerk if going to duplicate the schedule of meetings for the Committees and that it would be the same. So being presumptuous, I announce that we

40 May 12, 2017 CONGRESSIONAL JOURNAL –DAY TWO – 1RS – 20CFSM meet at 2:30 p.m., Education allocated time. I also urge the delegations to submit names of their members on that Committee so we can, perhaps if the names are submitted by then to, organize the Committee. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. I am sure Chief Clerk is working on the membership assignment to the respective Committees. I believe they will come out today.

Chairman Figir: Mr. Speaker, can you at least instruct the Chief Clerk to consult with the Committee before issuing the time, schedule of Committee meetings, out? I want to move my Committee meeting to the evening.

Speaker Simina: Chief Clerk, take note of the concern by Chairman Figir. See if the allotment of meeting times be accommodated for him. If there is no further announcement from Chairman Figir, Vice Speaker Moses, do you have any announcement? Senator Neth? Senator Alik?

Senator Alik: No announcements.

Speaker Simina: Senator Aritos? Senator Konman? If none, no further business, just a short announcement: We will have a brief get together right after session to plan out our session. Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. As we have already agreed upon it, I move that we stand in recess until Monday at 10:00 a.m.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that Congress stand in recess until this coming Monday 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 10:00 a.m., Monday.

Speaker Simina declared that the Congress stand in recess at 11:44 a.m., Friday, May 12, 2017, until Monday, May 15, 2017, at 10:00 a.m.

41

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY THREE Saturday, May 13, 2017

No Session

DAY FOUR

Sunday, May 14, 2017

No Session

DAY FIVE

Monday, May 15, 2017

The Fifth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:35 a.m., Monday, May 15, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Thirteen Members were present; Chairman Romolow 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

-No. 20-02 - (dated 05/11/17 and received 05/14/15) – Transmitting a resolution approving a grant from the United States Centers for Disease Control and Prevention in the amount of $150,247 to fund the FSM Communicable Disease Prevention and Control Project.

-No. 20-03 - (dated and received 05/12/17) – Transmitting a bill to amend a few provisions under Chapter 3 of title 21 of the FSM Code (Annotated) that established the National Telecommunications Regulatory Authority; and the purpose of the amendment is to ensure that FSM will meet all the disbursement conditions and be able to access World Bank funding for payment of the Yap and Chuuk cable systems.

-No. 20-04 - (dated and received 05/12/17) – Transmitting a bill that will amend title 24 of the FSM Code regarding sharks; and the intent of this bill is to align FSM laws with

42 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

Conservation and Management Measures (CMM) approved under the WCPFC to which FSM as state party is under obligation to implement.

-No. 20-05 - (dated and received 05/12/17) – Transmitting a resolution for Congress to approve and accept the grant assistance from the Korea International Cooperation Agency in the amount of $200,000 for the improvement of the airport terminal arrival lobby, immigration and custom inspection areas, restroom and baggage areas.

-No. 20-06 - (dated and received 05/12/17) – Submitting a supplemental budget request in the amount of $676,015 to support the budgetary needs and obligations of the Government.

Speaker Simina: Make the assignments, Chief Clerk. Next item.

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

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

43 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

The Chief Clerk called attention to Awaiting List No. 20-01 for Standing Committee Reports, which are awaiting the 24-hour requirement.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION MAY 11, 2017 TO MAY 30, 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. 20-01, 5TH DAY , MONDAY, MAY 15, 2017, AT 10:00 A.M.

REPORT SUBJECT DATE AND TIME NO. SCR No. RE: Line Item Veto of Congressional Act No. 19-163. – 5/15/17 @ 10:00 a.m. 20-01 Submitted by: W&M Committee. SCR No. RE: Veto Override of C.A. No. 19-169. – Submitted by: 5/15/17 @ 10:00 a.m. 20-02 W&M Committee.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:38 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:41 a.m.

Speaker Simina: Congress comes back to session. We’re still on item number Fourteen, the Awaiting List No. 20-01. Please take a look at that. Chairman Figir, you want something?

Chairman Figir: Yeah. Thank you, Mr. Speaker. I move that we place Standing Committee Report No. 20-01 on the Standing Committee Reports Calendar for action.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that the Standing Committee Report No. 20-01 be placed on the Standing Committee Reports Calendar for action. Floor Leader Harper?

Floor Leader Harper: Thank you, Mr. Speaker. Just to make sure that we’re not violating any of our rules, I, hereby, move to suspend the rule that requires 24-hour before a report could be available to Members.

Chairman Figir: Second.

Speaker Simina: It has moved and seconded that the relevant rules, specifically, that rule requiring 24-hour awaiting period for Standing Committee Reports be suspended. At this point, let’s vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Those relevant rules are suspended at this point. So let’s vote on the motion to place Standing Committee Report 20-01. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Standing Committee Report No. 20-01 is now placed on the Standing Committee Reports Calendar for action. Chairman Figir?

44 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

Chairman Figir: Thank you, Mr. Speaker. I move that Congress adopt Standing Committee Report No. 20-01.

Speaker Simina: Any second?

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-01. Discussion? Short recess.

Speaker Simina declared the Congress recessed at 10:43 a.m., subject to the call of the Chair.

RECESS

Chairman Romolow entered the Chamber at 10:49.

The Congress reconvened at 10:51 a.m.

Speaker Simina: Congress comes back to session. We’re are still on discussion of the Standing Committee Report No. 20-01. Any further discussion?

Chairman Figir: I move for the previous question.

Speaker Simina: Question has been called for. If there is no objection, discussion is closed. Let’s vote on the adoption of the Report (SCR No. 20-01). All those in favor of the adoption of the Standing Committee Report No. 20-01 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-01, is adopted by Congress. Next report, Chief Clerk. Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-02.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 20TH CFSM May 11,2017 TO May 30, 2017 COMMITTEE REFERRAL

REFERRAL SHEET NO.20-02, DAY 05, MONDAY, 05/15/17, AT 10:00 A.M.

C.B.NO. SUBJECT COMMITTEE 20-03 Establishing a citizen repatriation and resettlement revolving fund W&M by creating a new subchapter XVII under chapter 6 of title 55 of the

45 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes. 20-04 To further amend title 2 of the Code of the Federated States of J&GO Micronesia (Annotated), as amended by Public Laws Nos. 18-33 and 19-29, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes. 20-05 To amend chapter 1 of title 30 of the Code of the Federated States R&D of Micronesia (Annotated) by inserting a new section 139 pertaining to lending practices, and for other purposes. 20-06 To amend Public Law No. 19-170, by amending section 2 thereof, W&M to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes. 20-07 To propose the repeal of article III, section 3 of the Constitution of J&GO the Federated States of Micronesia, for the purpose of enabling citizens of the Federated States of Micronesia to retain or obtain citizenship of another state without being required to relinquish citizenship of the Federated States of Micronesia, and for other purposes. C.R.NO. SUBJECT COMMITTEE 20-03 To confirm the nomination of Mr. Kosak M. Keller to serve as a H&SA member of the Federated States of Micronesia Social Security Board of Trustees, representing the National Government. PRESIDENTIAL SUBJECT COMMITTEE COMM.NO. 19-586 (Dated and received 04/10/17) – Designating Congressional Act INFO. No. 19-160, as PL. No. 19-157: “TO FURTHER AMEND PUBLIC LAW NO. 15-32, AS AMENDED BY PUBLIC LAWS NOS. 15-36, 15-44, 15-57, 15-63, 15-72, 15-78, 16-03, 16-11, 16- 33, 16-46, 17-12, 17-21, 17-33, 17-40, 18-17, 18-67, 18-85, 18-104, 19-17 AND 19-100, BY AMENDING SECTIONS 1 AND 2 THEREOF, FOR THE PURPOSE OF CHANGING THE USE, ALLOTTEE AND THE LAPSE DATE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN TO FUND PUBLIC PROJECTS AND SOCIAL PROGRAMS FOR THE PEOPLE OF YAP AND CHUUK STATE, AND FOR OTHER PURPOSES.” 19-587 (Dated and received 04/10/17) – Designating Congressional Act INFO. No. 19-161, as PL. No. 19-158: “”TO FURTHER AMEND PUBLIC LAW NO. 19-121, AS AMENDED BY PUBLIC LAWS NOS. 19-130, 19-142 AND 19-145, 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.” 19-588 (Dated & received 04/10/17) – Designating Congressional Act No. INFO. 19-162 as Public Law No. 19-159: “TO FURTHER AMEND PUBLIC LAW NO. 19-89, AS AMENDED BY PUBLIC LAWS NOS. 19-94, 19-127 AND 19-151, BY AMENDING SECTIONS 3, 4 AND 5 THEREOF, TO CHANGE THE USE OF FUNDS

46 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS FOR THE PEOPLE OF KOSRAE, POHNPEI AND CHUUK STATES AND FOR OTHER PURPOSES.” 19-589 (Dated & received 04/11/17) - Designating Congressional Act W&M No. 19-13 as Public Law No. 19-19-160, with item vetoes on Section 2, subsection 8 – Department of Justice Travel and Contractual Services and Section 8, subsection 8 –Department of Justice (h) Settlements/judgments for cases against the FSM: “TO AMEND SECTIONS 1, 2, 3, 8, 9 AND 12 OF PUBLIC LAW NO. 19-118, AS AMENDED BY PUBLIC LAWS NOS. 19-125, 19-131, 19-135 AND 19-146, IN ORDER TO APPROPRIATE $1,684,000 OF ADDITIONAL FUNDS FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017, CLARIFY THE USE OF FUNDS FOR A PARTICULAR LINE ITEM AND TO CHANGE THE ALLOTTED OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, AND FOR OTHER PURPOSES.” 19-590 (Dated & received 04/11/17) – Transmitting a Resolution H&SA confirming the nomination of Mr. Kohsak M. Keller to serve as a member of the Social Security Board of trustees. 19-591 (Dated & received 04/17/17) - Designating Congressional Act INFO. No. 19-170 as Public Law No. 19-161: “TO FURTHER AMEND PUBLIC LAW NO. 15-80, AS AMENDED BY PUBLIC LAWS NOS.16-04, 17-53, 18-37, 18-66, 19-14 AND 19-105, BY AMENDING SECTIONS 1 AND 2 THEREOF, FOR THE PURPOSE OF CHANGING THE USE AND ALLOTTEE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF KOSRAE, AND FOR OTHER PURPOSES.” 19-592 (Dated & received 04/17/17) – Designating Congressional Act INFO. No. 19-171 as Public Law No. 19-162: “TO AMEND PUBLIC LAW NO. 19-152, BY AMENDING SECTIONS 2, 3, 5, AND 6 THEREOF, TO CHANGE THE USE AND ALLOTTEE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS FOR THE PEOPLE OF YAP, KOSRAE, AND CHUUK, AND FOR OTHER PURPOSES.” 19-593 (Dated & received 04/17/17) – Designating Congressional Act INFO. No. 19-172 as Public Law No. 19-163: “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 AND 19- 132, BY AMENDING SECTIONS 3 AND 5 THEREOF, TO CHANGE THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF KOSRAE AND CHUUK, AND FOR OTHER PURPOSES.” 19-594 (Dated & received 04/17/17) - Designating Congressional Act INFO. No. 19-173 as Public Law No. 19-164: “TO AMEND SECTIONS 201 AND 202 OF TITLE 24 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA, AS AMENDED

47 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

BY PUBLIC LAW NO. 19-21, TO MODIFY THE TERM LIMIT OF MEMBERS OF THE NATIONAL OCEANIC RESOURCE MANAGEMENT AUTHORITY OF THE FEDERATED STATES OF MICRONESIA, AND FOR OTHER PURPOSES.” 19-595 (Dated & received 04/17/17) – Designating Congressional Act INFO. No. 19-177 as Public Law No. 19-165: “TO FURTHER AMEND PUBLIC LAW NO. 19-60, AS AMENDED BY PUBLIC LAWS NOS. 19-71, 19-80, 19-103 AND 19-148, BY AMENDING SECTION 2 THEREOF, TO CHANGE THE USE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING ESSENTIAL GOVERNMENT FUNCTIONS, PROGRAMS, PROJECTS AND ACTIVITIES IN THE STATE OF YAP, AND FOR OTHER PURPOSES.” 19-596 (Dated & received 04/17/17) – Designating Congressional Act INFO. No. 19-175 as Public Law No. 19-166: “TO AMEND SECTION 108 OF TITLE 4 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), AS AMENDED, TO INCREASE THE SALARIES OF THE CHIEF JUSTICE AND ASSOCIATE JUSTICES OF THE SUPREME COURT OF THE FEDERATED STATES OF MICRONESIA, AND FOR OTHER PURPOSES.” 19-597 (Dated & received 04/18/17) – Designating Congressional Act INFO. No. 19-176 as Public Law No. 19-167: “TO AMEND TITLE 24 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), BY INSERTING A NEW SECTION 505, THAT DECLARES AS A CLOSED AREA, THE TWELVE MILE AREA SEAWARD OF THE TERRITORIAL SEA, NOT TO EXTEND BEYOND TWENTY-FOUR NAUTICAL MILES FROM THE BASELINE FROM WHICH THE BREADTH OF THE TERRITORIAL SEA IS MEASURED, PROHIBITING COMMERCIAL FISHING AND EXPLOITATION OF NATURAL RESOURCES THEREON, AND FOR OTHER PURPOSES.” 19-598 (Dated & received 04/18/17) – Designating Congressional Act INFO. No. 19-165 as Public Law No. 19-168: “TO FURTHER AMEND PUBLIC LAW NO. 19-93, AS AMENDED BY PUBLIC LAW NO. 19-104, BY AMENDING SECTION 1 THEREOF, TO CLARIFY THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, TO FUND PRIORITY INFRASTRUCTURE PROJECTS AND OTHER PROGRAMS IN THE STATE OF CHUUK, AND FOR OTHER PURPOSES.” 19-599 (Dated & received 04/18/17) – Designating Congressional Act INFO. No. 19-174 as Public Law No. 19-169: ”TO AMEND SECTIONS 101, 102, 103, 106, 204, 205, 303, 402, 404, 407, 603, 606, 611, 701, 907, 910 AND 911 OF TITLE 24 OF THE CODE OF THE FSM (ANNOTATED), AS AMENDED BY PUBLIC LAW NO. 8-109, IN ORDER TO ENHANCE THE ABILITY OF THE GOVERNMENT OF THE FSM TO ENFORCE, IN ITS TERRITORY OR EXCLUSIVE ECONOMIC ZONE AND OTHER ZONES WHERE FSM-FLAGGED OR FSM-LICENSED VESSELS UNDERTAKE FISHING ACTIVITIES, THE NATIONAL FISHERY LAWS, REGULATIONS, AND HE INTERNATIONAL OBLIGATIONS INCLUDING THOSE IN

48 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

THE THIRD IMPLEMENTING ARRANGEMENT OF THE PARTIES TO THE NAURU AGREEMENT, AND THE OBLIGATIONS ASSUMED BY THE FSM GOVERNMENT ON CONSERVATION, SUSTAINABLE EXPLOITATION AND MANAGEMENT OF FISHERY RESOURCES TAKING INTO CONSIDERATION THE NATIONAL DEVELOPMENT NEEDS AND ASPIRATIONS OF THE FSM, AND FOR OTHER PURPOSES.” 19-600 (Dated & received 04/20/17) - Designating Congressional Act INFO. No. 19-179 as Public Law No. 19-170: “TO APPROPRIATE THE SUM OF $200,000 FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF YAP, KOSRAE, POHNPEI, AND CHUUK, AND FOR OTHER PURPOSES.” 19-601 (Dated & received 04/20/17) - Designating Congressional Act INFO. No. 19-164 as Public Law No. 19-171:”TO AMEND PUBLIC LAW NO. 19-141, AS AMENDED BY PUBLIC LAW NO. 19- 147, BY AMENDING SECTION 1 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.” 19-602 (Dated & received 04/20/17) – Vetoing Congressional Act No. 19- W&M 168 in its entirety: “TO FURTHER AMEND PUBLIC LAW NO. 19-64, AS AMENDED BY PUBLIC LAWS NOS. 19-81, 19-97, 19-120, AND 19-137, BY AMENDING SECTION 1 THEREOF, TO CHANGE THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.” [E.D. 2 of Pohnpei.] 19-603 (Dated 4/25/17 & received 04/26/17) - Vetoing Congressional Act W&M No. 19-169 in its entirety: “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, AND 19-138, BY AMENDING SECTIONS 1 AND 2 THEREOF, TO CHANGE THE USE AND ALLOTTED OF FUNDS PREVIOUSLY APPROPRIATED FOR PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.” [E.D. 2 of Pohnpei.] 19-604 (Dated & received 4/28/17) – Vetoing Congressional Act No. 19- W&M 166 in its entirety: “TO FURTHER AMEND PUBLIC LAW NO. 19-124, AS AMENDED BY PUBLIC LAWS NOS. 19-133, 19- 140, AND 19-150, BY AMENDING SECTIONS 4 AND 6 THEREOF, TO CHANGE THE USE AND ALLOTTEE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN TO FUND PRIORITY INFRASTRUCTURE PROJECTS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.” 19-605 (Dated & received 4/28/17) - Designating Congressional Act No. INFO. 19-180 as Public Law No. 19-174: “TO FURTHER AMEND TITLE 22 OF THE CODE OF THE FEDERATED STATES OF

49 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

MICRONESIA (ANNOTATED), AS AMENDED BY PUBLIC LAW NO. 18-68, TO CREATE A NEW CHAPTER 4 THEREOF ENTITLED "BIOSECURITY", TO PREVENT AND ANIMAL AND PLANT PESTS AND DISEASES FROM ENTERING THE FEDERATED STATES OF MICRONESIA, TO REGULATE THE MOVEMENT OF ANIMALS AND PLANTS AND THEIR PRODUCTS, TO CONTROL THE ESTABLISHMENT AND SPREAD OF ANIMAL AND PLANT PESTS AND DISEASES THAT ENTER THE FEDERATED STATES OF MICRONESIA, TO FACILITATE INTERNATIONAL COOPERATION IN RESPECT OF ANIMAL AND PLANT DISEASES, AND FOR OTHER PURPOSES.” 19-606 (Dated & received 4/28/17) - Designating Congressional Act No. INFO. 19-178 as Public Law No. 19-172:”TO AMEND TITLE 18 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA BY AMENDING EXISTING SECTIONS THEREOF AND INSERTING ADDITIONAL SECTIONS THAT ESTABLISH ADDITIONAL MARITIME ZONES, EXTENSION OF CONTINENTAL SHELF AND BASELINES AS RECOGNIZED BY THE LAW OF THE SEA CONVENTION, TO BRING TITLE 18 IN CONFORMITY WITH CONTEMPORARY NORMS AND PRACTICES UNDER INTERNATIONAL LAW, TO INCORPORATE TREATY OBLIGATIONS ASSUMED BY THE FEDERATED STATES OF MICRONESIA SUCH AS MARITIME BOUNDARY DELIMITATIONS TREATIES WITH NEIGHBORING NATIONS, AND FOR OTHER PURPOSES.” 19-607 (Dated & received 04/28/17) - Designating Congressional Act W&M No. 19-167 as Public Law No. 19-173, with some item vetoes - Chuuk State At-Large projects: section 5 (1)(h) & (l): ”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, AND 19-144, BY AMENDING SECTIONS 4 AND 5 THEREOF, TO CHANGE THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, TO FUND PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF POHNPEI AND CHUUK, AND FOR OTHER PURPOSES.” 19-608 (Dated 5/03/17 & received 5/04/17) – Informing about the National INFO. Close-Up Program students’ visit to Pohnpei and requesting assistance and support toward their scheduled visit to Congress session on May 16, 2017 at 10:00 a.m. 19-609 (Dated 04/26/17 & received 04/28/17) – R&D Transmitting a proposed Bill to amend chapter 1 of title 30 of the FSM Code (Annotated) that created the FSM Development Bank and that the lending practices of the FSMDB should be tailored towards fostering economic activities and development of the nation. 20-01 (Dated & received May 11, 2017) – Transmitting a Resolution Special approving a grant amendment from the United Nations Framework Committee on Convention on Climate Change (UNFCC) through the Green Climate Climate Fund, in the amount of $113,110 to fund the National Change Designated Authority (NDA) Office.

50 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

FSM SUPREME SUBJECT COMMITTEE COURT COMM.NO. 19-42 (Dated 04/13/17 & received 04/17/17) –From the Hon. Dennis K. INFO. Yamase, Chief Justice, FSM Supreme Court, the leadership and members of Congress for the invite to administer the oath of Office to the Senators of the 20th FSM Congress. 19-43 (Dated & received 04/17/17) –From the Hon. Dennis K. Yamase, INFO. Chief Justice, FSM Supreme Court, informing that pursuant to the Judiciary Act of 1979, he has designated the Hon. Camillo Noket, Chief Justice of the Chuuk State Supreme Court to serve as a Temporary Justice of the FSM Supreme Court of the FSM in Appeal Case No. P2-2015 and Appeal Case No. P10-2015 MEMBER SUBJECT COMMITTEE COMM.NO. 19-48 (Dated 04/27/17 & received 05/02/17) – From the Hon. Berney INFO. Martin, Vice Speaker, 19th FSM Congress, reporting on an outreach and advocacy to Honolulu and Guam. 20-01 (Dated 05/09/17 & received 05/11/17) – From the Hon. Joseph J. INFO. Urusemal, Chairman, Yap Congressional Delegation, submitting a Delegation’s Budget Report as of May 09, 2017 for the FY 2017. DEPARTMENTAL SUBJECT COMMITTEE COMM.NO. 19-96 (Dated 04/20/17 & received 04/21/17) – From Mr. Craigh D. J&GO Reffner, Eq., Assistant Attorney General, writing to follow up on a letter to Speaker, dated 03/27/17, on a Civil Action No. 2016-023, and further informing that the complaint filed in this case has been dismissed. 19-97 (Dated 05/02/17 & received 05/03/17) – From Mrs. Sihna N. W&M Lawrence, Secretary, Department of Finance & Administration, submitting the updated FY 2017 Revenue Projection. AGENCY OR SUBJECT COMMITTEE GOVERNMENTAL AUTHORITY COMM.NO. 19-94 (Dated 04/06/17 & received 04/10/17) – From Mr. Alexander R. H&SA Narruhn, Administrator, FSM Social Security Administration, presenting the annual report for calendar year 2015.

Speaker Simina: Chairmen and members of the Committees, take a look at the Referral Sheet No. 20-02. I believe there may be some corrections. Chief Clerk, take note of that to make some corrections. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-01 (2nd Reading): To amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19-127, 19-151, and 19-159, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, for the

51 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

purpose of funding public projects and social programs in the state of Chuuk, and for other purposes.

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:56 a.m.

Speaker Simina: Congress comes back to session. Chairman Figir, do you want to make a motion to defer?

Chairman Figir: Thank you, Mr. Speaker. I move that Congress defer action on Congress Bill No. 20-01 to tomorrow’s Calendar.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Bill No. 20-01 be deferred to tomorrow’s Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-01, is deferred to tomorrow’s Calendar.

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir, you have the floor.

Chairman Figir: Thank you, Mr. Speaker. I move to withdraw and place Congressional Bill No. 20-06 on the Bill Calendar for action.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congressional Bill No. 20-06 be withdrawn from Chairman Figir’s Committee and placed on the Bill Calendar for first reading action. Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. I move to suspend any relevant rule that may impede our action on the said Bill (C.B. No. 20-06).

Chairman Figir: 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. Let’s vote on the motion by Chairman Figir. All those in favor of the motion to withdrawn and place C.B. No. 20-06 on the Bill Calendar say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-06, is withdrawn and placed on the Calendar for action. Chairman Figir, you have the floor.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of the said Bill (C.B. No. 20-06) on first reading.

52 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 06. Chief Clerk, read the title.

C.B. No. 20-06 (1st Reading): To amend Public Law No. 19-170, by amending section 2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.

Speaker Simina: There you have it. Discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I beg the indulgence of the Congress to help with the passage of the Bill (C.B. No. 20-06) to assist our students from Yap Catholic High School who will be participating in, I don’t know what that is but it is called Robotic Competition in Washington D.C. They are going to be representing the FSM. The fund that we are taking out of our public project from our Youth Programs in Yap State for this summer. It may not enough but we are also trying to find money elsewhere. If anybody is generous enough, they can contribute to this good cost – 1, 2, or 3 students, you can pick to meet in that competition. It is a highly competitive program in Washington D.C. in July. It is kind of urgent so I beg for your support. Thank you.

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

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

RECESS

Chairman Aritos left the Chamber at 11:00 a.m.

The Congress reconvened at 11:01 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of the Bill (C.B. No. 20-06). If none, without objection, discussion 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 Absent Senator Figir Aye Senator Gouland Aye Floor Leader Harper Aye Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye

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Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

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

Speaker Simina: For that reason, C.B. No. 20-06 is passed by Congress on first reading. Next bill.

C.A. No. 19-163: An act to amend sections 1, 2, 3, 8, 9 and 12 of Public Law No. 19-118, as amended b y Public Laws Nos. 19-125, 19-131, 19-135, and 19-146, in order to appropriate $1,684,000 of additional funds from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, to change the allottee of funds previously appropriated therein, and for other purposes. – FOR RE-PASSAGE.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for re-passage of the said Act (C.A. No. 19-163).

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress re-pass Congressional Act No. 19- 163. That is a re-passage of a veto. We need at least three votes of the Delegations. Discussion? If none, let’s vote by Delegations.

The Chief Clerk took the roll call by States.

State of Chuuk: Floor Leader Harper Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Chairman Welly Aye State of Yap: Chairman Urusemal Aye

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

Speaker Simina: The motion for re-passage is adopted by Congress. The item vetoed has been overridden. Next bill.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

RESOLUTION CALENDAR

None

INTRODUCTION OF BILLS

C.B. No. 20-08 Introduced by: Senator Perman Assigned to: W&M Date introduced: May 15, 2017

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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 and 19-138, by amending section 2 thereof, to change the allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.

C.B. No. 20-09 Introduced by: Floor Leader Harper Assigned to: W&M Date introduced: May 15, 2017

To further amend Public Law No. 19-141, as amended by Public Laws Nos. 19- 147 and 19-171, by amending section 1 thereof, to change the use of fund previously appropriated therein for the purpose of funding public projects and social programs for the people of Chuuk, and for other purposes.

C.B. No. 20-10 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 15, 2017

To further amend section 913 of title 24 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-108, 10-21 and 19- 36, to change the required method of handling by-catch, and for other purposes.

C.B. No. 20-11 Introduced by: Senator Alik Assigned to: W&M Date introduced: May 15, 2017

To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19- 133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the state of Kosrae, and for other purposes.

C.B. No. 20-12 Introduced by: Senator Alik Assigned to: W&M Date introduced: May 15, 2017

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 and 19-163, 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.

C.B. No. 20-13 Introduced by: Floor Leader Harper Assigned to: W&M Date introduced: May 15, 2017

To amend sections 1, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146 and 19-160, in order to appropriate $676,015 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30, 2017, to change the use of certain funds, and for other purposes.

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INTRODUCTION OF RESOLUTIONS

C.R. No. 20-04 Introduced by: Floor Leader Harper Assigned to: H&SA Date introduced: May 15, 2017

Approving and accepting a grant in the amount of $150,247 from the U.S. Department of Health and Human Services, Centers for Disease Control and Prevention, to fund the FSM Communicable Disease Prevention and Control Project, including all the terms and conditions of the assistance.

C.R. No. 20-05 Introduced by: Speaker Simina Assigned to: R&D Date introduced: May 15, 2017

Requesting that the Speaker of the Twentieth Congress of the Federated States of Micronesia establish a Special Committee on Climate Change and Environmental Issues.

C.R. No. 20-06 Introduced by: Speaker Simina Assigned to: R&D Date introduced: May 15, 2017

To amend section 1 of rule 6, and to create a new section 8 of rule 7 of the Official Rules of Procedure of the Nineteenth Congress of the Federated States of Micronesia, to remove a portion of the duties of the Committee on Resources and Development, and to create a new standing committee entitled: “Environmental

MISCELLANEOUS COMMUNICATIONS

-No. 20-01 - (dated 05/11/17 and received 05/11/17) – From Mr. Willy Kostka, Executive Director, Micronesia Conservation Trust, writing to request for matching financial support towards the “Marine-Terrestrial Conservation Enforcement Academy Training” for FSM Conservation Enforcement Officers.

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

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any Miscellaneous Business?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo, you have the floor.

Chairman Panuelo: Thank you, Mr. Speaker. Good morning to you, Members, and to those who are observing from the gallery. Mr. Speaker, I thought it would be a good thing to share with Members of Congress who are not members of the R&D Committee about the oversight hearing this morning with our NORMA Authority. Members will recall that in the Revenue Projection that we have received earlier from the Department of Finance, it showed that the collection of the anticipated revenues from our Fisheries fees

56 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM was going to be less by $10 million. That precipitated the concern by the Members and it led to the calling of an oversight hearing with NORMA this morning. I am pleased to share with you, Mr. Speaker and Members, that the news is much brighter than it was earlier. We wanted to hear it from the horse’s mouth. The Executive Director was there to report that he has great confidence and we will submit the information that will substantiate this. But the sheet that he presented with the R&D Committee on the Revenue Projection for Fisheries is going to be up to the amount of $62.5 million, Mr. Speaker. And that is only from the fees from Purse Saine Operations that they have signed agreements with. In addition, that, he reported to the R&D Committee that it can be more than that. He is confident that we can collect $63.5 in total for the Revenue Projection. That is the news I want to share, Mr. Speaker. I want it to be on the record because I think he will communicate the information to the Department of Finance so that when there is further update on Revenue Projection from our Department of Finance that can be something that is taken into account. He reported some other information but I will leave it at that. The Committee (R&D) can share with you later or with other Members who want to know more. Also, that concluded this morning – nearly concluded their Budget review for NORMA Office. The only remaining areas are the subsidies, grants, and Capital Improvements Projects (CIP projects that has to do with projects with NORMA). I am happy to report to you about a little bit brighter news on our Revenue Projection from our Fisheries, which is a major source, Mr. Speaker. We hope that we can be looking at some confidence in putting more money into our FSM Trust Fund, which has reached over $100 million now. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo for that piece of, maybe we can call it, “Good news” on the Revenue Projection. Thank you for finishing up portions of your budget review. I appreciate that. That has given that R&D Committee one of the biggest Committees in terms of jurisdictional responsibilities. I think I know who should go next, Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. Just a point of information on the issues brought by the Chairman of R&D Committee relating to the Revenue Projection. In between lines, I tried to understand the difference between what was reported by the Department of Finance and what transpired during the Committee meeting this morning. So can I be informed by the good Chairman as to the difference between what was projected as submitted to Congress and what was reported during the R&D Committee meeting this morning?

Speaker Simina: Chairman Panuelo, enlighten our good Chairman.

Chairman Panuelo: Mr. Speaker, I think we know that the vessel they scheme, that NORMA negotiated on our behalf with distant fishing nation including domestic and local companies is an on-going thing. I think that is the major difference that they have completed most of our days. That is a count for the increase. I know they have been conservative on the earlier Revenue Projection that made it less than what we heard this morning. Based on the report, others from the R&D Committee can supplement, but my understanding is that they have reached more agreements with the fishing nations that give them confidence. I said confidence because they signed agreements, which they have reported to be at $62.5 million in expected revenues for the FSM National Government. They reported some difficulties on our local fishing companies but that is something that is worked out in terms of revenue. Also, they have increased a little bit from last year on the fees that they also give to our local and domestic fishing boats. The anticipated increase that can possibly reached $62.5 is from other fishing agreements other than Purse Saine fishing. So, $62.5 is strictly from Percain Operations and agreements that we’ve signed with our fishing partners. That is what I can supplement with additional information. But we have asked them to provide information and I think more will be available for Members’ information. Thank you, Mr. Speaker.

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

Speaker Simina declared the Congress recessed at 11:12 a.m., subject to the call of the Chair.

57 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

RECESS

The Congress reconvened at 11:14 a.m.

Speaker Simina: Congress comes back to session. Thank you, Chairman Panuelo for the important Miscellaneous Business. Any other Miscellaneous Business from Members?

Floor Leader Harper: Mr. Speaker.

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

Floor Leader Harper: Thank you, Mr. Speaker. During this Miscellaneous Business, I would like to ask the indulgence of this Congress to recognize a constituent of mine who is also observing this morning’s session. This individual was a classmate of ours, myself and Senator Urusemal. This guy was also a fast runner in Chuuk. May I ask that we recognize the presence of Ignasio Soumwei? Let’s give him a round of applause (applause). Since we are so grateful to all the other observers for observing this morning’s session, let me also ask that we just give them recognition by giving them a round of applause (applause).

Speaker Simina: Thank you, Floor Leader Harper. The Congress joins you in welcoming those citizens of ours. They are interested parties or people who are also observing our session this morning. Any other Miscellaneous Business?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Before I touch the Communication from the President, 20-03, I would like to also recognize two gentlemen in our gallery this morning. They are the Chuuk State officials, Frank Cholymay, the Political Scientist for the Governor and Adviser on Women Affairs and Kichy Joseph, the Deputy Director of the Agriculture; he still needs confirmation. Please, let’s give them a round of applause (applause). Thank you.

Speaker Simina: Thank you, Chairman Gouland. That particular position on Women Affairs keeps changing on different staff of the Governor’s Office. I wish that Mr. Joseph confirms. Any other Miscellaneous Business?

Chairman Perman: Mr. Speaker.

Speaker Simina: Yes, Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, Vice Speaker, Members, and to all that are observing this morning’s session. Mr. Speaker, I have a very huge concern regarding Presidential Communication No. 20-03. FSM TC&I is going around with their Consultants and I guess people from World Bank is trying to meet each Member separately instead of the entire Members asking to pass a bill. When the question was raised that if Telecom knows anything about it, I don’t think Telecom knows about this bill because I actually followed it up. That concerns me. They are trying to ask Congress to pass the bill without letting other parties involved. I am wondering if the World Bank actually knows what they are doing. If they are not telling Telecom what they are trying to do, is World Bank on board? Is World Bank asking this group not to make sure that Telecom is not part of this? Are they trying to negotiate? That is the concern I have. I know they will meet with Kosrae during lunch and they will be trying to lobby for this bill. I think as all members, we should come together and look at the bill very

58 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM serious because the decision we will make, for sure it will affect the future of FSM Telecom that actually belongs to the people of FSM. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Perman for bringing up an important issue. That communication is from the President. We will take it in the course of our business. We will do, of course, oversights, hearings, and all those things in our legislative process. We will probably call FSMTC, World Bank, and all the entities that are stakeholders in this entire bill. I think that is important to our Nation.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I respect my good Chairman of Health for his concerns. Mr. Speaker, as Chairman of the T&C Committee, I recommend that Members including the Speaker to attend the meeting, I scheduled to discuss the questions and concerns in regards to OAE. We will have the meeting tomorrow at 8:30 a.m., so that our Legal Counsel can educate us. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Gouland. It looks like the ball has already started rolling. I think because of the time constraints for the on-going projects for Yap and Chuuk, I think it is good that we take this on as quickly as possible. Members, take note of the time and place of the meeting suggested by Chairman Gouland. Any other Miscellaneous Business? Chairman Urusemal, I fail to read your mind this time.

Chairman Urusemal: I know. I covered my brain up. Just a couple of issues, Mr. Speaker. First, before I came to this session, I was informed by the state of Yap for our public projects, most of which about ninety-nine percent (99%) of which the Governor of the state of Yap is the allottee. I was informed through the staff of the Department of the office of Planning and Budget that when they submitted the waiver on bid, they were informed that they had to send the request to the President’s Office in Palikir to approve it. This is a new twist into what has been the practice and what I thought was the laws and regulations of this Government. This morning I heard a different part of it – I mean a different story. Like I said, either on the Opening Day or Second Day of our session, we should be congratulated for being a leader instead of being just a follower. So, I want our legal people to clarify it. I know they have orally indicated what they thought was the legal issue to me but I want something in writing so I can share it with the state of Yap what or at least or most especially from the people of Justice. Secondly, I am hearing that, and this is in contradiction to my belief that there are two equal branches of this Government. There are three but mainly two equal Branches, Legislative and Executive, and that the Manager of each Branch takes care of his branch. In this case for Congress, it is you, Mr. Speaker. Anything own by the Congress with CFSM label should be managed and taken care of by you. But then, I heard that – even our legal staff was stopped and his car was taken because he did not have a valid National Government license. I don’t have any and I am announcing it. I do not have a National license and I am driving one FSM licensed plated vehicle in Yap State and one FSM vehicle. They can come and take their car if they want but they have to pay me the money that Congress paid for the vehicle. So these two issues, I want clarifications on them. Do we follow their regulation? Can they stop us and check if we have National licenses if we are here for session? Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. There seem to be different issues in different places. But actually, we are saying trend that is troubling. There seems to be an effort at consultation of control in the Executive Branch and I think the relevant Committees need to really take a deeper look into this. Just in the last session of the Nineteenth Congress, we actually passed laws, which dealt with minor regulatory things that should not be the case. It looks like we are still heading that way considering what is

59 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM going on in both the DOJ and Finance and the other place. I am sure everything should be emanating from the President’s Office, which the Office is controlling everything in the Executive Branch. We are having a meeting this afternoon with DOJ and Finance, hopefully. They are coming with our own staff. Hopefully in that meeting, we can clear up or resolve some of these matters. Yours have already noted by, I believe, our staff to be taken up. Any other Miscellaneous Business?

Chairman Urusemal: If I may, Mr. Speaker.

Speaker Simina: Yes, go ahead.

Chairman Urusemal: When a contract is entering between an employee and the supervisor of that employer, concerning his/her housing and salary, then proceed with signing by the Department of Justice and every involved party, can anyone else outside of those entities decide how much that employee should be getting? Whether it should be lowered than what has already drafted in the contract and whether or not that employee should be getting housing?

Speaker Simina: I guess that is related to other issues that are already – but I will have our staff take note of that to see if we can also address it. Any further Miscellaneous Business?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I agree with my good Chairman of Education, his concern in regards to the allottee. We have an infrastructure project for Chuuk State. Our infrastructure project for Chuuk State has been stalled for six going to seven months. The problem is, the DOJ and Finance, there is a discrepancy on that issue. Mr. Speaker, I use the example for the sector grant that when we zero out our National share, we gave it to State. Appropriation should be done with the state. And National Government is no longer appropriate. I have told that the Department of Justice that when we delegate the authority to the allottee, they should be the one administering the funding. Our project has been stalled because of this issue. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Gouland. That is true, with regards to the ad agreements for Chuuk public use. Those have been held up for like half a year now. It is simply because they are stuck with the Department of Justice who claims that they should be the one doing the reviewing and approval of those even though it is the governor who is the allottee of those funding. I guess it is related to what Chairman Urusemal also raised. So any other Miscellaneous Business? If none, next item.

ANNOUNCEMENTS

Speaker Simina: We are on Announcements. Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. At 1:00 p.m., tomorrow afternoon, your Committee on External Affairs have a hearing with the Department in the hearing room. This is regarding some of the issues that were raised while traveling to the embassies. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly. I believe the Committee assignments have been officialized and distributed to all members. So make sure you take note, Members of External Affairs, of the hearing by Chairman Welly. Chairman Figir.

60 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM

Chairman Figir: I just got a message from somebody in Yap asking why Congress is giving money to some students when they have plenty money in the Legislature but I do not have an answer to that. Anyway, may I ask members of the Committee on Ways and Means to have a ten minutes meeting in the Members Lounge right after this morning’s session?

Speaker Simina: Okay. Thank you, Chairman Figir. Members of Ways and Means, you have a ten minutes meeting right after the session. The main meeting of all Members can proceed afterwards. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Two announcements. The first one is the Chairman of Ways and Means and I have agreed that we change schedules so I will be having 2:30 p.m.-4:00 p.m. on Mondays, Wednesdays, and Fridays and Ways and Means will be having from 4:00-5:30 p.m. on Mondays, Wednesdays, and Fridays. The other is, there will be a public hearing tomorrow at 2:30 p.m. with Social Security and the nomination of Mr. Keller and other business for Health. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Perman. Members, take note of the hearing tomorrow at 2:30 p.m. on the nomination and other items for H&SA Committee. You got the trick in the scheduled hearings because now Chairman Figir does not have to pay for lunches. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. Members of J&GO, please look at the monitor for our upcoming hearing. Thank you.

Speaker Simina: Thank you, Chairman Romolow. Take note, members of J&GO. Keep track of the monitor for schedules. Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, for you R&D Committee, at 8:30 a.m., on Wednesday, we will continue the budget hearing for those offices under the R&D Committee. We will finish off NORMA’s portion under the grants, subsidies, and CIP and then move into the budget of – we have not noticed the budget of hearings but I believe it may be R&D Department, which is the biggest. Notice we will confirm that today for the budget hearing on Wednesday at 8:30 a.m. So I invite the members of the Committee to join. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Take note, members of R&D. It looks like R&D is moving full blast for some reason. Thank you for that. That’s good. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. As I said earlier, I request to all Members including our Speaker and Vice Speaker, tomorrow at 8:30 a.m., we will be having a meeting. All Members. We will discuss questions, concerns in regards to the Bill. We also have on Thursday, the same time, 8:30 a.m., a hearing on the measure. Thank you.

Speaker Simina: Thank you, Chairman Gouland. Take note, members of T&C and also all Members. We are invited to join their Committee meeting on the newly transmitted Bill on telecom. Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. Your Committee on Education will start its public hearing starting today at 1:00 p.m. in the hearing rooms. I also would request to you, Mr. Speaker, to indicate it to the staff and people responsible for the Hearing Room that it is very bad. The lighting in there is not good. And as an old man, my hearing is getting bad. That Hearing Room, when it is raining, it is really, really noisy. But anyway, we will have the hearing there at 1:00 p.m. Five minutes into the meeting, we will finish organizing that Committee, selecting Vice Chairman. Then the next fifty-five minutes, we

61 May 15, 2017 CONGRESSIONAL JOURNAL –DAYS 3, 4, 5 – 1RS – 20CFSM will spend on oversight any and all questions pertaining to education. After that fifty-five minutes, we will go into budget for one hour and then we will be done. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. Yes, it continues to be a challenge to work our hearing building into a perfect hearing place. Be patient with our staff. They will continue to work on accommodating all our shortcomings so to speak or shortcoming of the structure, the building itself.

Chairman Urusemal: Mr. Speaker, if I may supplement the request.

Speaker Simina: You still have the floor.

Chairman Urusemal: The restroom in there, the seat –

Speaker Simina: 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. We are still on announcements. Vice Speaker? Senator Neth? Senator Alik? Senator Konman? Floor Leader Harper, announcement and then your motion.

Floor Leader Harper: Thank you, Mr. Speaker. Before I make my usual motion, I would like to ask our Chuuk Delegation if we could meet for a few second in my room just to select our Vice Chairman on the Delegation. I now move that we stand in recess until tomorrow at 10:00 a.m.

Chairman Urusemal: Second.

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. We will now stand in recess until tomorrow at 10:00 a.m., in the morning.

Speaker Simina declared that the Congress stand in recess at 11:39 a.m., Monday, May 15, 2017, until tomorrow, Tuesday, May 16, 2017, at 10:00 a.m.

62

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY SIX

Tuesday, May 16, 2017

The Sixth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:26 a.m., Tuesday, May 16, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Thirteen Members were present; Senator Aritos was 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

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

Speaker Simina: State your point, Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. I rise on a point of privilege to ask the indulgence and humbleness of this Congress to join me in welcoming and recognizing the presence of two honorable individuals who are observing our session this morning. I would like to start off with the FAS Federal Programs Coordinator, Cheryl Burkindine. Let’s give her a round of applause, please (applause). On the list, I also have our former Ambassador who is now the Vice President on Governmental Affairs at the Bank of Guam, Mr. Asterio Takesy. Let’s give him a round of applause (applause). Thank you, Mr. Speaker.

Speaker Simina: Thank you, Floor Leader Harper. Any other points of privilege?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, good morning to you; and good morning to all Members. I know that our Committee on Education, appropriately, would be the one to recognize our Close- Up students and those who are escorting them but I would like to join our Floor Leader in recognizing certain officials and individuals that are also observing this morning’s session. I joined our Floor Leader in recognizing our former Ambassador, Mr. Aterio Takesy, who is the Vice President of Governmental Affairs of the Bank of Guam. Also, in our gallery, we have Luhkenmoanlap or local executive of Kitti Municipal Government, the Honorable Tony Sarapio.

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May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Let’s give him around the recognition, please (applause). We also have a good friend and a constituent of mine, Mr. Andoleen Astete, who is a constituent from Kitti, a very hard-working, and young individual. Let’s also recognize him (applause). Thank you. We also have Mr. Penancio Mihkel, who is a farmer from Kitti Municipality. Let’s also recognize him (applause). Thank you. The last one on my list, Mr. Speaker, is Estephan Paulino, Sport Council of Kitti Municipality Government. Let’s also give him a round of recognition (applause). Thank you.

Speaker Simina: Thank you, Chairman Panuelo for the introduction. Any other point of privilege?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal, you have the floor.

Chairman Urusemal: Thank you very much, Mr. Speaker. I thought I was going to have an individual that I was going to introduce for recognition this morning, but I don’t seem to see him. He was walking around in the Office earlier this morning. But as you can tell Mr. Speaker, I also rise on a point of privilege. We have a group of young people sitting in the back, in the gallery, observing our session this morning. There are about, I believe, fifty-four of them, fifty-four students and three chaperones. For the interest of time, I will just ask, with your permission, if the list of the names be submitted to be inserted into today’s Journal. But I wish to introduce for recognition the two individuals who are, I understand, helping the students and the chaperones from the Department of Education as well as the three chaperones – not three, I see five. So fifty-one students and six chaperones. Six plus fifty-one is fifty-seven. The two individuals from our Department of Education helping and assisting this group are Mr. Wayne Mendiola and Joyleen Sienes from the Department of education. Let’s give them a round of applause (applause). The chaperones for the students from Yap, it is not choice, it is the way this list is handed: The person from Yap, first, as chaperone. The name is Edward Fasug. Can we give them a round of applause? (Applause). We have Lyna R. George. Can we give her a round of applause? (Applause). I wish they provided the list earlier today. Katalina Moni is another Chaperone (applause), Rentia Francis (applause), Darla Ladore (applause), Fritz Gallen (applause), and Darryl David (applause). I now ask the students, participating in this year’s Close Up Program stand up and be recognized by the Congress with a round of applause. Please stand up (applause). Mr. Speaker, I especially wish to pay special recognition to the individuals from the Xavier High School and secondly Yap Catholic High School in the order of their academic standing. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. You may give to our Journal Clerk the list of the participants of this year’s Close Up students so their names can be reflected in our Journal of the Day.

Chairman Urusemal: Mr. Speaker, if I may continue.

Speaker Simina: You can continue.

Chairman Urusemal: Not introduction of the individuals but in relation to the Program itself. I continue to express support of this Congress, as indicated, by continuing funding for the Close-Up Program. But I also echo the concerns and sentiments during the budget hearings on the Close-Up Program. The Committee of Education usually request that the inclusion of schools in the outer islands, high schools in the outer islands be included in the list of participants on this annual visit to the Capital by the Close-Up participants. I am not informed as to whether there are any from high schools in the outer islands of Chuuk and Pohnpei but I do notice that I did not see anybody from the outer islands high schools from Ulithi, neighboring islands, Central High School in 64 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Falalop, Woleai. I just wish for the Program, Coordinators to continue to see if transportation would allow for participants of students from those neighboring islands. Thank you, Mr. Speaker.

Senator Joseph J. Urusemal requested the list of students’ names below be inserted into today’s Journal: Name Gender DOB School Grade State Sylvia Estak Female May 25, 2000 Chuuk High School 11th Chuuk Keepon Dawe Male April 21, 2000 Chuuk High School 11th Chuuk Darlyn Kony Female July 15, 2000 Chuuk High School 11th Chuuk DJ Albert Male April 10, 2000 Chuuk High School 11th Chuuk Dearlyn Airam Female Oct. 3, 1997 Chuuk High School 11th Chuuk Neineth Neth Female Sept. 9, 2000 SNHS Fefen 11th Chuuk Rose Ann T. Faraichy Female Nov. 21, 2000 Berea Christian High School 11th Chuuk Jayme Edwin Female July 29, 2000 Moch High School 11th Chuuk Melsa Raigimwai Female May 10, 2000 Weipat High School 11th Chuuk Marserita Tom Female April 18, 2000 Weipat High School 11th Chuuk Stevesina Stephen Female May 13, 2000 SNHS Tonoas 11th Chuuk Avina Sontan Female Dec. 8, 2000 Mortlock High School 11th Chuuk Lilyan Farek Female March 24, 2000 Mortlock High School 11th Chuuk Steve Rappa Male Dec. 12, 2000 Saramen Chuuk Academy 11th Chuuk Reijalyn Paul Female Feb. 26, 2000 Saramen Chuuk Academy 11th Chuuk Emyrose Erwin Female Dec. 2, 2000 Seventh Day Adventist-Chuuk 11th Chuuk Chloe Roseann Arnold Female Oct. 14, 2000 Xavier High School 11th Chuuk Joey Iro Male Jan. 20, 1999 Faichuk High School 11th Chuuk Yuchie Leopold Male March 20, 1998 Calvary Christian Academy 12th Pohnpei Geryld Etscheit Male Nov. 20, 1999 Calvary Christian Academy 12th Pohnpei Renee Justina Kostika Female May 15, 1999 Pohnpei Island Central School 12th Pohnpei Lerissa Henry Female August 18, 1999 Pohnpei Island Central School 12th Pohnpei Angie Rose Silbanus Female May 26, 1999 Pohnpei Island Central School 12th Pohnpei Enyd Danella William Female October 2, 1999 Pohnpei Island Central School 12th Pohnpei Diamond Catherine Female July 27, 1992 Pohnpei Island Central School 12th Pohnpei Alexis Trishell Obispo Female August 26, 2000 Our Lady of Mercy Catholic High School 11th Pohnpei Darnick Perez Male August 5, 1999 Our Lady of Mercy Catholic High School 11th Pohnpei Natanya Jade Thomas Female Sept. 25, 1999 Madolenihmw High School 12th Pohnpei Rose Erica Johnny Female June 25, 1999 Madolenihmw High School 12th Pohnpei Illona Laie Etse Female Dec. 9, 1999 Madolenihmw High School 12th Pohnpei Peyon Irons Female Nov. 2, 1998 Seventh Day Adventist Pohnpei 12th Pohnpei Sheena Nakasone Female June 8, 1998 Seventh Day Adventist Pohnpei 12th Pohnpei Madona Luther Female Sept. 13, 1999 Nanpei Memorial High School 12th Pohnpei Courtney Mihkel Female Sept. 17, 1999 Nanpei Memorial High School 12th Pohnpei Alwin A. Alik Male Dec. 13, 1998 Kosrae High School 12th Kosrae Mailyn Mike Female April 29, 1999 Kosrae High School 12th Kosrae Sinarleen Peres Female Sept. 21, 1999 Kosrae High School 12th Kosrae Ashlyn Meriam Asher Female Dec. 14, 1998 Kosrae High School 12th Kosrae Brandee Siba Female Sept. 21, 1999 Kosrae High School 12th Kosrae Conrad Jr. Timothy Male May 12, 1999 Kosrae High School 12th Kosrae Kelly Robert Yos S. Male Oct. 16, 1998 Kosrae High School 12th Kosrae Jackson Vivika Lashae Imith Female Nov. 6, 1999 Yap High School 12th Yap Kaylona Letachiglam Female Dec. 16, 1998 Yap High School 12th Yap

65 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Juanita Marie Female Oct. 21, 1998 Yap High School 12th Yap Mungwaath Rozeann Gumtim Female Dec. 5, 1998 Yap Catholic High School 12th Yap Ruema Bryan Joseph Bomtam Male July 23, 1999 Yap Seventh Day Adventist 12th Yap Javen Defngin Male Oct. 27, 1998 Yap Seventh Day Adventist 12th Yap Jaeret Folbuw Gililung Male March 24, 1999 Yap Seventh Day Adventist 12th Yap

Speaker Simina: Thank you, Chairman Urusemal for the statements. We would love to have this Program more inclusive of our outer islands high schools but as you pointed it out, logistics might be the problem; also the schedule. Right now they are doing it during school year and around graduation time. So it is probably more difficult for outer islands high schools students to come in and participate when it’s during final exams and so forth. I guess it’s your Committee’s responsibility to work on that.

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Yes, Vice Speaker Moses. You have the floor.

Vice Speaker Moses: Thank you, Mr. Speaker. Good morning to you, Members, and to those observing the gathering this morning. I think we might have a surprise for my good Chairman of Education. And since he asked the students to stand up earlier, may I ask the student from Woleai to please raise your hand? I guess we do have a member participating from the outer islands.

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 10:40 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:41 a.m.

Speaker Simina: Congress comes back to session. Any other points of privilege?

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, again. Good morning to you, Members, and to everyone observing the session this morning. I also wish to introduce a Kosraean in the gallery this morning. That is our Secretary Ruthie. She is our Secretary of Kosrae Delegation. Please give her a round of applause (applause).

Speaker Simina: Thank you, Chairman Welly for doing a really good job for your Delegation Office.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

66 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Chairman Panuelo: Mr. Speaker, thank you. I don’t want to miss joining our Chairman of Education, Chairman Urusemal, as the Chairman of the Pohnpei Delegation to join him and welcome the Chaperones, Wayne Mendiola and all of the students from all of the states throughout the FSM. We thank you for coming to observe Congress in session. I merely want to joint the Chairman of Education in wishing them a very successful journey in their quest for learning. We all know through our experiences what education can do to the youth of our Nation through our own experiences that we do and the positive impact that it has on our young individuals throughout the Nation. I join the Chairman and all Members in wishing you all the best in your education and that you will come back and help the development of your Nation. Thank you, Mr. Speaker. That is what I want to join in welcoming our Close-Up students. Thank you.

Speaker Simina: Thank you, Chairman Panuelo.

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow, you have the floor.

Chairman Romolow: Thank you, Mr. Speaker. Good morning to you all. Even though this individual has been recognized, I still want to beg the indulgence of this Congress body to recognize the presence of this individual who has dedicated most of his life serving our Nation in many capacities. This individual is also from the island of Onoun who also happened to be the host of the Northwest High Schools. I wish the staff of the education would factor into bringing students from the island in the northwest to also participate in the Close-Up Program. I would ask that we give Asterio Takesy a round of applause (applause).

Speaker Simina: Thank you, Chairman Romolow. The election was just over. I think you are gearing up for next time. Any other Points of privilege? If none, next item.

FSM SUPREME COURT COMMUNICATIONS

None MEMBER COMMUNICATIONS

-No. 20-02 - (dated and received 05/15/17) – From Chairman Gouland of T&C Committee and Vice Chairman of the J&GO committee, 19th FSM Congress, submitting a report on an oversight hearing held on May 9, 2017, on the current status of infrastructure projects and funding especially on recent action taken by the JEMCO.

Speaker Simina: Assign that Communication, Chief Clerk. That is important for those who want to know more about on-going issue. Next item.

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

67 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

STATE COMMUNICATIONS

None

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:45 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:45 a.m.

Speaker Simina: Congress comes back to session. Chief Clerk, continue.

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:46 a.m.

Speaker Simina: Congress comes back to session. Order of the Day.

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

-SCR No. 20-02, RE: C.A. No. 19-169 (P.C. No. 19-603): “To override President’s veto: “To further amend Public Laws Nos. 18-44, 18-81, 19-33, 19-106, 19- 128, 19-134, and 19-138 by amending sections 1 and 2 thereof, to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.” – W&M – (RECOMMENDS OVERRIDE/May 15, 2017).

Speaker Simina: Chairman Panuelo.

68 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Chairman Panuelo: Short recess.

Speaker Simina declared the Congress recessed at 10:47 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:48 a.m.

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

Chairman Panuelo: Mr. Speaker, our Pohnpei Delegation has consulted with the Chairman of Ways and Means regarding the action or the Standing Committee Report that is before Congress. It is the wish of the new member of Congress, Senator Neth, to keep it as it was. So I make a motion to recommit the Standing Committee Report No. 20-02 to the Ways and Means Committee.

Chairman Welly: Second.

Speaker Simina: It is moved and seconded that Standing Committee Report No. 20-02 be recommitted to the Committee on Ways and Means. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-02, is recommitted to the Committee on Ways and Means. Next item.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-03.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-03, DAY 06, TUESDAY, 05/16/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-08 To further amend Public Law No. 18-11, as amended by W&M Public Laws Nos. 18-44, 18-81, 19-33,19-106,19-128, 19- 134 and 19-138, by amending section 2 thereof, to change the allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes. 20-09 To further amend Public Law No. 19-141, as amended by W&M Public Laws Nos. 19-147 and 19-171, by amending section 1 thereof, to change the use of fund previously appropriated therein for the purpose of funding public projects and social programs for the people of Chuuk, and for other purposes. 69 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

20-10 To further amend section 913 of title 24 of the Code of the R&D Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-108, 10-21 and 19-36, to change the required method of handling by-catch, and for other purposes. 20-11 To further amend Public Law No. 19-124, as amended by W&M Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1,2,3, 4 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the state of Kosrae, and for other purposes. 20-12 To further amend Public Law No. 19-10, as amended by W&M Public Laws Nos. 19-26, 19-42, 19-51, 19-56, 19-72, 19-78, 19-96, 19-132 and 19-163, 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. 20-13 To amend sections 1,4,6, 8 and 9 of Public Law No. 19-118, W&M as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19- 146 and 19-160, in order to appropriate $676,015 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal year ending September 30,2017, to change the use of certain funds, and for other purposes. C.R. NO. SUBJECT COMMITTEE 20-04 Approving and accepting a grant in the amount of $150,247 H&SA from the U.S. Department of Health and Human Services, Centers for Disease Control and Prevention, to fund the FSM Communicable Disease Prevention and Control Project, including all the terms and conditions of the assistance. 20-05 Requesting that the Speaker of the Twentieth Congress of the R&D Federated States of Micronesia establish a Special Committee on Climate Change and Environmental Issues. 20-06 To amend section 1 of rule 6, and to create a new section 8 of J&GO rule 7 of the Official Rules of Procedure of the Nineteenth Congress of the Federated States of Micronesia, to remove a portion of the duties of the Committee on Resource and Development, and to create a new standing committee entitled: “Environmental Affairs.” PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-02 (dated 05/11/17 and received 05/14/15) – Transmitting a H&SA resolution approving a grant from the United States Centers for Disease Control and Prevention in the amount of $150,247 to fund the FSM Communicable Disease Prevention and Control Project. 20-03 (dated and received 05/12/17) – Transmitting a bill to amend T&C a few provisions under Chapter 3 of title 21 of the FSM Code (Annotated) that established the National Telecommunications Regulatory Authority; and the purpose of the amendment is to ensure that FSM will meet all the

70 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

disbursement conditions and be able to access World Bank funding for payment of the Yap and Chuuk cable systems. 20-04 (dated and received 05/12/17) – Transmitting a bill that will R&D amend title 24 of the FSM Code regarding sharks; and the intent of this bill is to align FSM laws with conservation and management measures (CMM) approved under the WCPFC to which FSM as state party is under obligation to implement. 20-05 (dated and received 05/12/17) – Transmitting a resolution for T&C Congress to approve and accept the grant assistance from the Korea International Cooperation Agency in the amount of $200,000 for the improvement of the airport terminal arrival lobby, immigration and custom inspection areas, restroom and baggage areas. 20-06 (dated and received 05/12/17) – Submitting a supplemental All relevant budget request in the amount of $676,015 to support the committees budgetary needs and obligations of the Government. MISCELLANEOUS SUBJECT COMMITTEE COMM. NO. 20-01 (dated 05/11/17 and received 05/11/17) – From Mr. Willy W&M Kostka, Executive Director, Micronesia Conservation Trust, writing to request for matching financial support towards the “Marine-Terrestrial Conservation Enforcement Academy Training” for FSM Conservation enforcement officers.

The Chief Clerk called attention to Re-Referral Sheet No. 20-01.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE RE-REFERRAL

RE-REFERRAL SHEET NO. 20-01, DAY 06, TUESDAY, 05/16/17, AT 10:00 A.M.

PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-01 (Dated & received May 11, 2017) – Transmitting a Resolution R&D approving a grant amendment from the United Nations Framework Convention on Climate Change (UNFCC) through the Green Climate Fund, in the amount of $113,110 to fund the National Designated Authority (NDA) Office.

Speaker Simina: Committee Chairmen and members, review the Referral Sheet and the Re- Referral Sheet and make your plans accordingly. Next item.

UNFINISHED BUSINESS

None

71 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

BILL CALENDAR

C.B. No. 20-01 (2nd Reading): To amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19-127, 19-151 and 19-159, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Chuuk, and for other purposes.

Deferred 05/15/17 to today.

Speaker Simina: Chairman Figir.

Chairman Figir: I so move for the passage of the said Bill (C.B. No. 20-01) on second and final reading.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-01.

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 10:51 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:54 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-01. Chairman Gouland, make your motion to defer it to tomorrow.

Chairman Gouland: Thank you, Mr. Speaker. I move to defer C.B. No. 20-01 to tomorrow’s session.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that we defer C.B. No. 20-01 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. 20-01, is deferred to tomorrow’s session. Next bill.

C.B. No. 20-06 (2nd Reading): To amend Public Law No. 19-170, by amending section 2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of the said Bill (C.B. No. 20-06) on second and final reading.

72 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Chairman Gouland: Short recess.

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

RECESS

The Congress reconvened at 10:57 a.m.

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

Chairman Figir: Thank you, Mr. Speaker. I move to defer action on the said Bill (C.B. No. 20-06) to tomorrow’s Calendar.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that we defer C.B. No. 20-06 to tomorrow’s session. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-06, is deferred to tomorrow’s session. Next bill.

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman, you have the floor.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, Members, and all that are observing this morning’s session. I have a bill to withdraw and place under Bill Calendar: C.B. No. 20-08. I so move.

Chairman Panuelo: Second.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:57 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. There is a motion to withdraw and place C.B. No. 20-08 on the Bill Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. To be on the safe side, Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. I move to suspend the rule that require certain number of days that a measure has to be with the Committee before it can be withdrawn.

Chairman Urusemal: Second.

Speaker Simina: There is that motion to suspend any relevant rules that may impede our action. 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. No. 20-08 on the Bill Calendar for action. Chairman Figir. 73 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Chairman Figir: I move that Congress pass on first reading C.B. No. 20-08.

C.B. No. 20-08 (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 and 19-138, by amending section 2 thereof, to change the allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20-08. Discussion?

Chairman Figir: Question.

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

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

Speaker Simina: For that reason, C.B. No. 20-08 has been passed by Congress on first reading.

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 11:01 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:09 a.m.

74 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Speaker Simina: Congress comes back to session. Chairman Figir. Short recess.

Speaker Simina declared the Congress recessed at 11:10 a.m., subject to the call of the Chair. RECESS

The Congress reconvened at 11:10 a.m.

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

Chief Clerk: There are none, Mr. Speaker.

Senator Alik: Mr. Speaker, 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 11:11 a.m.

Speaker Simina: Congress comes back to session. If there are no more bills, next item.

RESOLUTION CALENDAR

None

Chairman Panuelo: Mr. Speaker, point of privilege.

Speaker Simina: State your point, Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I have received another list which is in front of me now. I will read out the names of the individuals who are observing whom we may have missed and I ask that we give them a collective round of applause. We have Mr. Keske Jacob from the FSM Supreme Court. Mr. Tommy Dano from Japan Embassy and Ms. Grace Amaraich, and our good friend, Kaudensio Kandi who is a farmer and a fisherman from Sokehs Municipality. Can we recognize them and give them a round of applause? (Applause). Thank you.

Speaker Simina: Thank you very much, Chairman Panuelo. Any other points of privilege? If none, next item.

INTRODUCTION OF BILLS

C.B. No. 20-14 Introduced by: Senator Figir Assigned to: W&M Date introduced: May 16, 2017

To further amend Public Law No. 18-70, as previously 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, and 19-139, by amending section 2 and 6 thereof, to change the use of certain funds previously appropriated therein, for the 75 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

purpose of funding public projects and social programs for the people of Yap State, and for other purposes.

C.B. No. 20-15 Introduced by: Floor Leader Harper Assigned to: W&M Date introduced: May 16, 2017

To amend sections 389 and 391, and insert a new section 392, under Chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the Open Access Entity, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-07 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 16, 2017

Approving and accepting a grant amendment in the amount of $113,110 from the United Nations Framework Convention on Climate Change through the Green Climate Fund to the Federated States of Micronesia, to fund a contract for a GCF grant writer specialist.

C.R. No. 20-08 Introduced by: Senator Figir Assigned to: NONE Date introduced: May 16, 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, 2017.

C.R. No. 20-09 Introduced by Floor Leader Harper Assigned to: T&C Date introduced: May 16, 2017

Approving and accepting the small scale grant aid project from the Korea International Cooperation Agency in the amount of $200,000 for the improvement of the Kosrae International Airport facilities in the state of Kosrae, including all the terms and conditions of the assistance.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

76 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Chairman Panuelo: Mr. Speaker, I wish to express certain concerns I have here and it’s regarding Member Communication No. 20-02. We have that under item 7 and I was able to read the Report thoroughly during our session. Mr. Speaker, I think Members have raised concerns about the issue that is before us. That is a very urgent matter. I read through the Communication from our two Committees, T&C and J&GO Committees, and I thank them for the thorough report; I thank the members for the very serious questions that were presented to the witnesses who were present. I think when we were discussing this earlier, most of us were expressing the concern that if our relationship with the LYONS is going to go hostage, then all of the new infrastructure project for the Nation, I think the concern we were expressing among ourselves is that we do something very urgent. I thank you, Mr. Speaker and Members, for the expression of concern that we have collectively made. Mr. Speaker, I read in the Member Communication No. 20-02 that the US Ambassador made a statement or report that was indicated in this report which confirms that, in fact, LYONS was under investigation. The other reports were saying that they are not sure what the investigation is about from our own officials. So Mr. Speaker, to make it short, I think what I want to put on record is that we continue to pay very close attention to this matter. My concern is, if we will not develop any position from this Branch, which is a separate branch from the Executive Branch, our approach to this issue that we will be very concern about it. What we have reported here, to me it seems like it may hold new infrastructure projects or put new infrastructure projects on hold indefinitely. I mean, we know the process of meeting and it is going to take a very long time. I think we are talking about looking at whether there would be any basis for us to take any action. I think that is where I want to revisit – that we have our legal staff to look at it to further help us determine the position of Congress regarding this matter. That is what I want to share, Mr. Speaker, under Miscellaneous Business. I am concerned about this matter because our infrastructure projects for the whole Nation is really the backbone of the Compact that is looking at infusing development in the Country. If this is going to be held up continuously or indefinitely, I have serious concern about this matter and hope that Congress can take some decisive action on this particular matter. I want to close by saying I thank the two Chairmen for the very good report that is presented to Congress. I think it is very clear that the Company that is managing PMU, all of our projects, it is clear from officials that they are under investigation and Congress must take or make a decisive role in this matter. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo for your take on that important Report. Senator Alik.

Senator Alik: Thank you, Mr. Speaker. My intervention is also referring to Members Communication No. 20-02. You will recall that last week I did express my concern of what is happening on the same situation. The mood that kept time when we discussed it is to wait for the Executive to proceed on with its meeting in early June. But I just learned yesterday that it may not come out clear in the first week of June but it will track on. So, I join Chairman Panuelo in expressing my concern. As I mentioned in my earlier intervention that our communities are hurting because of the projects that they have, it will be coming to their states. So I am concerned that if we continue to track on with this in the U.S. side in terms of the so called temporary suspension of infrastructure money, then it will create a problem for us. So I am hoping that what Chairman Panuelo was saying that this Congress seriously consider a way or how should we go about with Executive Branch in dealing with this matter. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Senator Alik. As you will note from the Report, the two Committees make no recommendations on what course of action that we, the Congress, can take. We don’t know any other recommendations or course of action proposed by the Executive Branch other than to propose a meeting between us and the U.S. Government. Right now, as noted by Vice Speaker Moses on the last day of the last session, we don’t know. It was a request by us to the U.S. Government. So far, we have no information whether that has been accepted or there has been a set 77 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM meeting between our two Governments. So right now, we are just sitting here. We don’t know what course of action we can take. We need to be more careful. 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 11:23 a.m.

Speaker Simina: Congress comes back to session.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. The Chuuk State Team or all the students here, I would like to ask the Congress to recognize the team from Chuuk. I don’t want to take up the time but let me just say the names and list will be submitted to be inserted in the Journal. May I introduce the Teachers, Katalina Moni and Rentia Francis, for recognition? I am sorry if I pronounce the names wrong. Let’s give them a round of applause and let’s have the Chuukese students stands to be included (applause).

Senator Gouland requested the names (Chuuk State Team) below be inserted into today’s Journal:

1. Keepon Dawe – CHS 9. Lilyn Farek – Mortlocks High School 2. DJ Albert – CHS (Satowan) 3. Sylvia Estak – CHS 10. Jayme Edwin – Moch High School. 4. Dearlyn Airam – CHS 11. Emy Rose Erwin – SDA 5. Darlyn Kony – CHS 12. Chloe Roseann Arnold – XHS 6. Steve Rappa – SCA 13. Rose Ann Faraichy – Berea 7. Reichalyn Paul – SCA 14. Melsa Raigimai – Weipat High 8. Avina Sontan – Mortlocks High School School (Satowan) 15. Merserita Tom – Weipat High School

Speaker Simina: Thank you, Chairman Gouland. Any other points of privilege?

Floor Leader Harper: Mr. Speaker.

Speaker Simina: Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. I am not trying to rush our meeting but since few of us have other commitments and obligation to fulfil on behalf of our constituents in the offices and other places, I would like to ask if we could go down to Announcements now.

Speaker Simina: If there is no objection, unless you have a very immediate and urgent miscellaneous business – if none, we will now go down to Announcement.

78 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. Just a reminder that your Committee on External Affairs still have an oversight hearing with the Department of External Affairs. All Members are invited and welcome to come. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly. Take note members of External Affairs Committee. You have that set hearing. Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. Just a reminder to members of your Committee on Ways and Means for a very brief meeting immediately after this morning’s session in the Members Lounge.

Speaker Simina: Take note, members of Ways and Means Committee. You have a very brief meeting right after today’s session. Chairman Perman.

Chairman Perman: Just a reminder. Your Committee of H&SA is having hearing today at 2:30 p.m. with the nominee of Social Security and other issues for Social Security.

Speaker Simina: Thank you, Chairman Perman. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. The Committee on J&GO will hold an oversight hearing at 2:30 p.m. with the office of OEEM.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:26 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:30 a.m.

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

Chairman Welly: Thank you, Mr. Speaker. May I continue with my announcement here? Tomorrow morning at 8:30, we will have a budget hearing with the offices of New York and Fiji. This afternoon, if you want lunch, be there at 1:00 p.m. for the oversight hearing. We will provide lunch for whoever comes. Thank you.

Speaker Simina: Thank you, Chairman Welly. That is the kind of announcements we like. Let’s see the one follows. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. I will work with our Legal Staff to come up with a new schedule. As of today, at 2:30 p.m., that one is for J&GO. Thank you.

Speaker Simina: Thank you, Chairman Perman for your understanding. Members, take note of the change. Chairman Romolow.

79 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Chairman Romolow: Thank you, Mr. Speaker. We still have the 2:30 p.m. oversight hearing with the office of OEEM. Lunch will be provided by External Affairs. Thank you.

Speaker Simina: Thank you very much for that. Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, your R&D Committee has given the External Affairs their allotted time tomorrow because of the urgency of Ambassadors traveling back. So your Committee on R&D will announce tomorrow its scheduled budget hearing. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Your Committee on T&C is scheduled at 8:30 a.m., Thursday. Thank you.

Speaker Simina: Thank you, Chairman Gouland. Chairman Urusemal.

Chairman Urusemal: Your Committee on Education will continue its budget hearings with the Department of Education tomorrow at 1:00 p.m. and it will be nothing but dollar sign. Just the budget. Lunch will be BYOL. Thank you.

Speaker Simina: Thank you, Chairman Urusemal. The first part of the announcement is good. The second part, I am not sure I understand it.

Chairman Urusemal: Bring Your Own Lunch.

Speaker Simina: Okay. Take note. Vice Speaker. Senator Neth. Senator Alik. Senator Konman. 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. Floor Leader Harper, announcement then your usual motion.

Floor Leader Harper: Thank you, Mr. Speaker. There is no announcement from this Chair. I move that we stand in recess until 10:00 a.m. tomorrow.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that we stand in recess until tomorrow at 10:00 a.m. 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.

80 May 16, 2017 CONGRESSIONAL JOURNAL –DAY 6– 1RS -20CFSM

Speaker Simina declared that the Congress stand in recess at 11:34 a.m., Tuesday, May 16, 2017, until tomorrow, Wednesday, May 17, 2017, at 10:00 a.m.

81

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY SEVEN

Wednesday, May 17, 2017

The Seventh Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:20 a.m., Wednesday, May 17, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll; all the fourteen Members are present.

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

-No. 20-01 - (dated 05/15/17 and received 05/16/17) – From the Hon. Haser Hainrick, FSM Public Auditor, transmitting an audit report on Caroline Island Air, Inc., FY 2016.

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

STATE COMMUNICATIONS

None

82 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

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. 20-04

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-04, DAY 07, WEDNESDAY, 05/17/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-14 To further amend Public Law No. 18-70, as previously amended by W&M 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, and 19-139, by amending section 2 and 6 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 Yap State, and for other purposes. 20-15 To amend sections 389 and 391, and insert a new section 392, under J&GO Chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the Open Access Entity, and for other purpose. C.R. NO. SUBJECT COMMITTEE 20-07 Approving and accepting a grant amendment in the amount of $113,110 R&D from the United Nations Framework Convention on Climate Change through the Green Climate Fund to the Federated States of Micronesia, to fund a contract for a GCF grant writer specialist.

83 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

20-08 Setting the ceiling of the total funds estimated to be available for NONE appropriation from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017. 20-09 Approving and accepting the small scale grant aid project from the Korea T&C International Cooperation Agency in the amount of $200,000 for the improvement of the Kosrae International Airport facilities in the state of Kosrae, including all the terms and conditions of the assistance. MEMBER SUBJECT COMMITTEE COMM. NO. 20-02 (Dated & received 05/15/17)- From Chairman Gouland of T&C INFO. Committee and Vice Chairman of the J&GO committee, 19th FSM Congress, submitting a report on an oversight hearing held on May 9,2017, on the current status of infrastructure projects and funding especially on recent action taken by the JEMCO.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 20:22 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 20:23 a.m.

Speaker Simina: Congress comes back to session. Point of information. On the Referral Sheet, C.B. No. 20-15, that should be assigned to T&C Committee. Make that correction. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-01 (2nd Reading): To amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19-127, 19-151 and 19-159, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Chuuk, and for other purposes.

Deferred 05/16/17 to today.

Chairman Figir: I move for the passage of C.B. No. 20-01 on second and final reading.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-01. Discussion?

Chairman Perman: Short recess.

84 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 10:21 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:41 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-01. Chairman Perman, you have the floor.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, Vice Speaker, Floor Leader, Members, and to all that are observing our session this morning. Mr. Speaker, I have a floor amendment to make. I believe the copies have been made and distributed to all Members. I so move, Mr. Speaker.

Floor Amendment to C.B. No. 20-01 Offered by Senator Ferny S. Perman

C.B. No. 20-01 is hereby amended to read as follows:

1. Title, line 3, before “allottee”, insert “use and”. 2. Title, lines 4 and 5, delete “state of Chuuk”, and insert “states of Kosrae, Pohnpei and Chuuk”. 3. Page 1, line 1, after “Section 1”, insert the following: Section 3 of Public Law No. 19-89, as amended by Public Law No. 19-159, is hereby further amended to read as follows: “Section 3. Of the sum of $1,400,000 appropriated by this act, $200,000 is appropriated for public projects and social programs in the state of Kosrae. state of Kosrae $ ...... 200,000 (a) Tafunsak Youth Tolu musical instrument ...... 5,000 (b) Kosrae Housing Authority subsidy ...... 25,000 (c) Kalo, Tafunsak farm road improvement ...... 5,000 (d) Utwa channels cleanup ...... 5,000 (e) Purchase of vehicle/POL for Kosrae High School ...... 5,000 (f) Scholarship- Kosraean students at University of Guam ...... 15,000 (g) POL for Kosrae Public Safety...... 5,000 (h) Scholarship –Kosraean students at Southern Utah University ...... 5,000 (i) [Mangrove Crab project ...... 30,000] Contribution to Utwe choir ...... 12,000 (j) Melo water dam upgrade ...... $ 30,000 (k) Community Outreach and Advocacy Program ...... 40,000 (l) Kosraean students tuition, debts, other school related costs at Xavier High school ...... 20,000 (m) U.S. Marines Veterans Association in Kosrae ...... -0- (n) Payment for past due debts for Kosrae Islands Veterans Association (KIVA) ...... 6,000

85 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

(o) Travels to and other costs associated with the May 2017 session ...... 4,000 (p) Kosrae State Legislature subsidy ...... 13,000 (q) Malem Gymnasium lighting/related costs ...... 5,000” Section 2. Section 4 of Public Law No. 19-89, as amended by Public Laws Nos. 19-94 and 19-159, is hereby further amended, to read as follows: “Section 4. Of the sum of $1,400,000 appropriated by this act, $400,000 is apportioned for public projects and social programs in the state of Pohnpei.state of Pohnpei $ 400,000 (1) At Large ...... 100,000 (a) Pohnpei Law Report Digest ...... [5,000] 0 (b) Memorial Monument in Kitti ...... -0- (c) Road maintenance/beautification equipment and supplies ...... [25,000] 20,000 (d) Community Outreach and Advocacy Program ...... $ 20,000 (e) Pohnpei State Sport Commission (Liberation games, 2016) ...... 15,000 (f) Liberation games related cost (Hawaii and Mainland) ...... 15,000 (g) Pehleng Community Center ...... 9,000 (h) St. Paul School subsidy ...... 5,000 (i) Medical referral...... 6,000 (j) Contribution to Eastern Oregon University ...... 10,000 (2) Election District No. 1...... 100,000 (a) Mapwusi new road ...... 35,000 (b) LED lights ...... 45,000 (c) General Education Development (GED) ...... 7,500 (d) Kolonia Town Government Judiciary branch subsidy ...... 6,000 (e) FSMTC ADSL (Wifi) ...... 1,500 (f) Purchase of computers ...... 5,000 (3) Election District No. 2 ...... 100,000 (a) [Equipment/dump trucks]Pohnalap Secondary road ...... 35,000 (b) Salapuk school road paving...... 40,000 (c) Community Outreach and Advocacy Program ...... 20,000 (d) Construction materials (Tanks) ...... 5,000 (4) Election District No. 3 ...... 100,000 (a) Kurumw Saladak road coral capping ...... 17,500 (b) Otohi Awak road coral capping ...... $ 15,500 (c) Pahn Takai (Camacho Side) road coral capping ...... 12,500 (d) Pohn Pwet Rohi U road coral capping ...... 12,000 (e) Pahn Takai (Penias Side) road coral capping 7,500

86 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

(f) Street lighting Nett and U ...... -0- (g) [Community Outreach and Advocacy program]Travel needs for conference...... 15,000 (h) Communication line extension Kepin Souna, Nett ...... 10,000 (i) Coral filing, Nett School...... 5,000 (j) Kurumu, U road improvement ...... 5,000”

4. Page 2, line 5, delete “Lelu Town Government”, and insert “Utwe Municipal Government or his designee” in lieu thereof. 5. Page 2, line 7, delete “and 3(k)”, and insert “,3(k), 3(p) and 3(q)” in lieu thereof. 6. Page 2, lines 8,9 and 10, delete “the allottee of funds appropriated under subsections 4(2)(a) shall be the Mayor of Kolonia Town Government or his designee”. 7. Page 2, line 14, before “4(2)(b)”, insert “4(2)(a)”. 8. Page 3, line 13, delete “Section 2”, and insert “Section 4” in lieu thereof.

Date: May 17, 2017 Introduced by:/s/ Ferny S. Perman Ferny S. Perman

Purpose of amendment: To change the use and allottee of funds, especially for Kosrae and Pohnpei States under this act.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-01 by Chairman Perman be adopted. Floor Leader Harper.

Floor Leader Harper: Mr. Speaker, I move to suspend any relevant rule that may impede our action on the amendment.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that the relevant rules especially 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. Because of the length of the amendment, the reading of it will be dispensed with. Any discussion on the offered oral amendment?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: I have an oral amendment I wish to make.

Speaker Simina: Proceed.

Vice Speaker Moses: Under item 3(g), page 3, include “and training”. I so move.

Chairman Figir: Second.

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Speaker Simina: It has been moved and seconded that the offered oral amendment be adopted. Discussion? If none, discussion is closed. Let’s vote. All those in favor of the adoption of the oral amendment by Vice Speaker Moses say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment is adopted. Any further discussion?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I also wish to offer an oral amendment to the written amendment by Chairman Perman. On page 2, subsection (j), where it says, “contribution to Eastern Oregon University”, after “University”, I just want to insert “endowment fund”. I so move.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Panuelo be adopted. Discussion? If none, let’s vote. All those in favor of the offered oral amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The oral amendment by Chairman Panuelo is adopted. Any further discussion on the main amendment? If none, let’s vote. All those in favor of the offered floor amendment to C.B. No. 20-01 by Chairman Perman as amended twice say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment is adopted. We now have C.B. No. 20-01, CD1. Any further discussion?

Chairman Perman: Question.

Chairman Figir: Second.

Speaker Simina: If there is no objection, debate is closed. This is on final reading so Chief Clerk, roll call by 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 Welly 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. 20-01, CD1 has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-06 (2nd Reading): To amend Public Law No. 19-170, by amending section 2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.

Deferred 05/16/17 to today.

Speaker Simina: Chairman Figir.

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Chairman Figir: Thank you, Mr. Speaker. I move for the passage of Congress Bill No. 20-06 on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-06. Discussion?

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. Good morning to you, Members, and everyone in the gallery. I have a floor amendment that I wish to offer to the said Bill. It is one page long; it’s quite lengthy but it is basically changing the allottee of some funds in the Kosrae section of the Bill (C.B. No. 20-06). So, because of its length, I will not ask the Chief Clerk to read it. Rather, I move for its adoption.

Floor Amendment to C.B. No. 20-06 Offered by Senator Paliknoa K. Welly

C.B. No. 20-06 is hereby amended to read as follows:

1. Page 2, line 1, before “Section 2” insert the following 2. “Section 2. Section 6 of Public Law No. 19-170 is hereby amended to read as follows: “Section 6. Allotment and management of funds and lapse date. All funds appropriated by this act shall be allotted, managed, administered and accounted for in accordance with applicable laws, including, but not limited to, the Financial Management Act of 1979. The allottee shall be responsible for ensuring that these funds, or so much thereof as may be necessary, are used solely for the purpose specified in this act, and that no obligations are incurred in excess of the sum appropriated. The allottee of the funds appropriated under section 2 of this act shall be the State or his designee. The allottee of funds appropriated under sections 3 and 4 of this act shall be the President of the Federated States of Micronesia or his designee; PROVIDED THAT, the allottee of funds appropriated under subsection 3(a) of this act shall be the Mayor of [Lelu Town Government] Utwe Municipal Government or his designee. The allottee of funds appropriated under section 5 of this act shall be the State or his designee. The authority of the allottee to obligate funds appropriated by this act shall lapse on September 30, 2018. 3. Page 2, line 1, delete “Section 2”, and insert “Section 3” in lieu thereof.

Date: March 7, 2017 Introduced by:/s/ Paliknoa K. Welly Paliknoa K. Welly

Purpose of amendment: To change the allottee of funds, especially for Kosrae State under this act.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that Congress adopt the offered floor amendment to C.B. No. 20-06 offered by Chairman Welly. The relevant rules are still suspended at this

89 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM point. Any discussion on the offered floor amendment? If none, without objection, debate is closed. Let’s vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment to C.B. No. 20-06 is now adopted. We now have C.B. No. 20-06, CD1. Any further discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I also have a very small amendment that I wish to make on the Bill (C.B. No. 20-06, CD1) as amended. I will read it for the record. The floor amendment to C.B. No. 20-06, CD1 offered by yours truly: Item 1, and only one item, delete the phrase “State 2017 Summer Youth workshop and program”, and insert “Saint Mary’s School repair and maintenance” in lieu thereof. That item will read, “Yap Saint Mary’s School repair and maintenance.” I so move.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-06, CD1 offered by Chairman Urusemal as read by himself into the record be adopted. Discussion? Let the record reflect that the relevant rules are still suspended. Discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: It is taking the funding from the general youth population in the state of Yap to more younger youth going to Saint Mary’s School in Yap. So, it is still in line with our effort to help youth in the state of Yap. Thank you.

Speaker Simina: Thank you, Chairman Urusemal. It is a sign of getting old for us. Chairman Figir.

Chairman Figir: I just want to make sure that the amount for the line item appropriated here is $20,000 instead of $30,000.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:51 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:52 a.m.

Speaker Simina: Congress comes back to session. Chairman Figir, I believe the amount for Chairman Urusemal’s amendment remains at $20,000.

Chairman Figir: Thank you, Mr. Speaker.

Speaker Simina: Any further discussion?

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Chairman Figir: Question.

Speaker Simina: If none, without objection, debate is closed. Let’s vote. All those in favor of the offered floor amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment by Chairman Urusemal is adopted. We now have C.B. No. 20-06, CD2. Any further discussion on the Bill (C.B. No. 20-06, CD2). If none, without objection, debate is closed. Chief Clerk, roll call of Delelgations.

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. Speaker, all the four States voted for.

Speaker Simina: The Bill, C.B. No. 20-06, CD2, has passed on second and final reading by Congress. Next bill.

C.B. No. 20-08 (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 and 19-138, by amending section 2 thereof, to change the allottee of funds previously appropriated for 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 on the said Bill (C.B. No. 20-08) on second and final reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-08. Discussion?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. I have an amendment to the said Bill (C.B. No. 20- 08). I believe copies have been made and distributed to all Members. I so move for its adoption.

Floor Amendment to C.B. No. 20-08 Offered by Senator Ferny Perman

C.B. No. 20-08 is hereby amended to read as follows:

1. Title, line 3, before “allottee”, insert “use and”. 2. Page 1, line 1, before “Section 1’, insert the following: “Section 1 of Public Law No. 18-11, as amended by Public Laws Nos. 18-44, 19-128, 19-

91 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

134 and 19-138, is hereby further amended to read as follows: “Section 1. The sum of $1,680,000, or so much thereof as may be necessary, is hereby appropriated from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2013, for the purpose of funding public projects and social programs in the states of Pohnpei and Yap. The funds shall be apportioned as follows: (1) Pohnpei State ...... $ 1,130,000 PROVIDED, HOWEVER, that the funds appropriated in subsections (b)(c)(d) and (e) of this section shall not be allotted until Congress is officially advised that funds improperly disbursed as a result of the line item veto which was reflected in Public Law No. 18-11 are collected. a) Micronesian Legal Services Corporation...... 130,000 (b) At Large ...... $ 418,750 (i) SDA, PICS and CCA schools side walk project 195,000 (ii) Deketik side walk project ...... 100,000 (iii) [Upper Ipwal road paving ...... 35,000] Kolonia basketball court ...... 20,000 (iv) Pohnpei fishing club vessels’ location devices. 7,000 (v) Pohnpei Biosphere and Marine Protected Areas (purchase of boat and outboard motor) ...... 12,000 (vi) Madolenihmw road maintenance ...... 54,750 (vii) Roofing Pohnpei track and field ...... 15,000 (viii) FSM National Olympic Committee subsidy ...... 10,000 (c) Election District No. 1, ...... 73,750 (i) School needs...... 23,750 (ii) Road improvement ...... 50,000 (d) Election District No. 2,...... 200,750 (i) [Wapar/Enipos road paving] Administrative support services, ED#2 ...... [25,000] 35,000 (ii) Nansolohi road paving ...... 50,000 (iii) [Paies Pah bridge] Nankepira secondary road supplemental funding [45,000] ...... 35,000 (iv) Nanmand bridges supplemental funding 60,000 (v) Pohnlangas road upgrade ...... 10,750 (vi)Municipal Government prior obligations $10,000 (e) Election District No. 3,...... 201,750 (i) PUC Generator maintenance ...... 100,000 (ii) Medical referral ...... 10,000 (iii) Our Lady of Mercy (computers and equipment) ...... 10,000 (iv) Pohnpei Adventist High School (computers and equipment) ...... 10,000 (v) Meitic culvert ...... 26,750 (vi) Dehpek, Takieu, Parem Lenger

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solar street lights...... 40,000 (vii) Pohnpei Island Food Community...... 5,000 (f) Other expended public projects and social programs ...... 105,000 (2) Yap State...... 550,000 (i) Fuel for the Field Trip Ship ...... 50,000 (ii) Pre’meerur seawall project ...... 19,000 (iii) Other expended public projects and social programs ...... 481,000”

3. Page 2, line 8, delete “and”, and after “1(b)(vii)”, insert “and 1(b)(viii)”. 4. Page 2, line 10, delete “Section 3”, and insert “Section 4” in lieu thereof.

Date: March 7, 2017 Introduced by:/s/ Ferny S. Perman Ferny S. Perman

Purpose of amendment: To change the use and allottee of funds, especially for Pohnpei State under this act.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the floor amendment to C.B. No. 20-08 offered by Chairman Perman be adopted. Because of its length, it will not be read into the record. Let the record reflect that the relevant rules are still suspended up to this point. Discussion?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: I have an oral amendment to make.

Speaker Simina: Proceed.

Vice Speaker Moses: On page 2, subsection (e), (v), delete “Meitic culvert”, and insert “education travel to conferences and training”. I so move.

Chairman Perman: Second.

Speaker Simina: 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 10:56 a.m.

Speaker Simina: Congress comes back to session. We have the offered oral amendment to the floor amendment offered by Vice Speaker Moses. Discussion on the offered oral amendment.

93 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Chairman Welly: Short recess, Mr. Speaker.

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

RECESS

The Congress reconvened at 10:57 a.m.

Speaker Simina: Congress comes back to session. We are still on the offered oral amendment by Vice Speaker Moses. If there is no further discussion, let’s vote for its adoption. All those in favor of the offered oral amendment by Vice Speaker Moses say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment offered by Vice Speaker Moses is adopted. We are still on discussion of the main floor amendment. Any further discussion? If none, without objection, let’s vote. All those in favor of the offered floor amendment to C.B. No. 20-08 offered by Chairman Perman as amended say ‘aye’ – opposed say ‘nay’. The motion is carried. We now have C.B. No. 20-08, CD1. The offered floor amendment is adopted.

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. I move to defer action on the said Bill (C.B. No. 20-08, CD1) to tomorrow.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-08, CD1 be deferred to tomorrow. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-08, CD1, is deferred to tomorrow’s Calendar for action. Next bill, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Floor Leader Harper: 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 11:02 a.m.

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

Chairman Figir: Thank you very much, Mr. Speaker. I move to withdraw the following Bills from your Committee on Ways and Means and put them on the Bill Calendar for action. They are as follows: C.B. Nos. 20-09, 20-11, 20-12, 20-16, 20-17, and 20-18. I so move.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the following Bills be withdrawn from the Committee on Ways and Means and placed on the Bill Calendar for action. They are as follows: C.B. Nos. 20-09, 20-11, 20-12, 20-16, 20-17, and 20-18. All those in favor of the motion say ‘aye’ – opposed say

94 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

‘nay’. The motion is carried. The Bill, C.B. Nos. 20-09, 20-11, 20-12, 20-16, 20-17, and 20-18, are now placed on the Bill Calendar for today. First bill, Chief Clerk. C.B. No. 20-09 (1st Reading): To further amend Public Law No. 19-141, as amended by Public Laws Nos. 19-147 and 19-171, by amending section 1 thereof, to change the use of funds previously appropriated therein for the purpose of funding public projects and social programs for the people of Chuuk, and for other purposes.

Floor Leader Harper: Mr. Speaker. I presume that the relevant rules are still suspended.

Speaker Simina: Yes. Let the record reflect that the relevant rules are still suspended. Short recess.

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

RECESS

The Congress reconvened at 11:04 a.m.

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

Chairman Figir: I move for the passage of the said Bill (C.B. NO. 20-09) on first reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 09. Discussion? If none, discussion is closed. Let’s vote by roll call of Members. Chief Clerk. Short recess.

Speaker Simina declared the Congress recessed at 11:05 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:06 a.m.

Speaker Simina: Congress comes back to session. Chief Clerk, roll call of Members.

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 Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

95 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Chief Clerk: Mr. Speaker, all the fourteen Members voted for.

Speaker Simina: The Bill, C.B. No. 20-09, has passed by Congress on first reading. Next bill.

C.B. No. 20-11 (1st Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the state of Kosrae, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-11) on first reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20-11. Discussion? If none, debate is closed. Chief Clerk, roll call of Members.

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 Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

Chief Clerk: Mr. Speaker, all the fourteen Members voted for.

Speaker Simina: For that reason, C.B. No. 20-11 has been passed by Congress on first reading. Next bill, Chief Clerk.

C.B. No. 20-12 (1st Reading): 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 and 19-163, 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.

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Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-12) on first reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20-12. Discussion? If none, debate is closed. Let’s vote by roll call of Members.

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 Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

Chief Clerk: Mr. Speaker, all the fourteen Members voted for.

Speaker Simina: For that reason, C.B. No. 20-12 has been passed by Congress on first reading. Next bill.

C.B. No. 20-16 (1st Reading) To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes. Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-16) on first reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 16. Discussion? 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.

97 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-16. Any further discussion? Chairman Figir, you have your mic on. If no further discussion, let’s vote. Chief Clerk, roll call of first reading.

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 Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

Chief Clerk: Mr. Speaker, all the fourteen Members voted for.

Speaker Simina: For that reason, C.B. No. 20-16 has been passed by Congress on first reading. Next bill.

C.B. No. 20-17 (1st Reading): To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of Congress Bill No. 20-17 on first reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 17. Discussion? If none, 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 Senator Gouland Aye Floor Leader Harper Aye Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye

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Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

Chief Clerk: Mr. Speaker, all the fourteen Members voted for.

Speaker Simina: For that reason, C.B. No. 20-17 has been passed by Congress on first reading. Next bill.

C.B. No. 20-18 (1st Reading): To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Kosrae, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I so move.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 18. Discussion? If none, debate is closed. Let’s vote by roll call of Members. 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 Aye Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

Chief Clerk: Mr. Speaker, all the fourteen Members voted for.

Speaker Simina: The Bill, C.B. No. 20-18, has been passed on first reading by Congress. Next bill.

Chief Clerk: There are none, Mr. Speaker.

99 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:17 a.m., subject to the call of the Chair.

Senator Robson U. Romolow left the Chamber at 11:17 a.m.

RECESS

The Congress reconvened at 11:18 a.m.

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

Chairman Figir: Thank you very much, Mr. Speaker. I move to withdraw and place Congress Bill No. 20-14 on the Bill Calendar for action.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-14 be withdrawn from the Ways and Means Committee and placed on the Bill Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-14, is now placed on the Bill Calendar for action. Let the record reflect that the relevant rules are still suspended up to this point. Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of C.B. No. 20-14 on first reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress Bill No. 20-14 be passed by Congress on first reading. Discussion? If none, debate is closed. But before, Chief Clerk, can you just read into the record the title of C.B. No. 20-14?

C.B. No. 20-14 (1st Reading): To further amend Public Law No. 18-70, as previously 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, and 19-139, by amending section 2 and 6 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 Yap State, and for other purposes.

Speaker Simina: Debate is already closed so let’s vote by roll call of Members.

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 Vice Speaker Moses Aye

100 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Absent Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

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

Speaker Simina: The Bill, C.B. No. 20-14, has been passed on first reading by Congress. Next bill. Short recess.

Speaker Simina declared the Congress recessed at 11:21 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:21 a.m.

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

RESOLUTION CALENDAR

None

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, in the spirit of keeping the momentum going, I wish to make a motion to place C.R. Nos. 20-01 and 20-02 for action. I so move.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Resolutions Nos. 20-01 and 20-02 be placed on the Resolution Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolutions, C.R. Nos. 20-01 and 20-02, are now placed on the Resolution Calendar for action. First resolution, Chief Clerk.

C.R. No. 20-01: Designating and appointing Mrs. Liwiana Ramon Ioanis to the position of Chief Clerk to the Twentieth Congress of the Federated States of Micronesia.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Are we going to violate the law if we just do an acclamation as a vote on consensus on all our behalf?

Speaker Simina: We have a rule to follow.

Chairman Panuelo: I move for the adoption of the said Resolution (C.R. No. 20-01).

101 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Floor Leader Harper: Second.

Senator Robson U. Romolow returned to the Chamber at 11:23 a.m.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-01. Discussion?

Chairman Panuelo: Question.

Vice Speaker Moses: Second.

Speaker Simina: Question has been called for. If there is no objection, debate is closed. This is a vote by secret ballot. It requires ten votes at least. Short recess.

Speaker Simina declared the Congress recessed at 11:24 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:27 a.m.

Speaker Simina: Congress comes back to session. Assistant Chief Clerk, please announce the results.

Assistant Chief Clerk: Mr. Speaker, thirteen Members voted for, one against.

Speaker Simina: For that reason, C.R. No. 20-01 is adopted. Mrs. Liwiana Ramon-Ioanis is confirmed to the position of the Chief Clerk of the Twentieth Congress. Let’s give her a round of applause (applause). Thank you. Congratulations, Chief Clerk. Next resolution.

Vice Speaker Moses: Short recess.

Speaker Simina declared the Congress recessed at 11:27 a.m., subject to the call of the Chair. RECESS

The Congress reconvened at 11:28 a.m.

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

C.R. No. 20-02: Designating and appointing of Mr. T. Lam Dang to the position of Legislative Counsel to the Congress of the Federated States of Micronesia.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I so move for the adoption of C.R. No. 20-02.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-02. Discussion?

Chairman Urusemal: Short recess, Mr. Speaker.

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Speaker Simina declared the Congress recessed at 11:29 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:30 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.R. No. 20-02.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo, you have the floor.

Chairman Panuelo: Mr. Speaker, I wish to offer an oral amendment to C.R. No. 20-02. On the title of the Resolution, C.R. No. 20-02, after “the”, insert “Twentieth” Congress of the Federated States of Micronesia. I so move, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:31 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:31 a.m.

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

Chairman Panuelo: Continuing the amendment to the said Resolution (C.R. No. 20-02), on line 4, similarly, insert “Twentieth” between “the” and “Congress”. I so move.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment to the Resolution (C.R. No. 20-02) be adopted. The relevant rules are still suspended. Any discussion on the offered oral amendment?

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:32 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 the offered oral amendment. Any further discussion? If none, let’s vote. All those in favor of the adoption of the oral amendment by Chairman Panuelo say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered amendment is adopted. We now have CD1. Chairman Urusemal, you have the floor.

Chairman Urusemal: Thank you, Mr. Speaker. I have an oral amendment that I wish to make on the Resolution (C.R. No. 20-02). On line 8, after “Micronesia”, delete “.”, and insert “, Mr. T. Lam Dang”. I so move.

103 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment be adopted. Any discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of the oral amendment by Chairman Urusemal say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered amendment is adopted. We now have CD2. Any further discussion? If none, debate is closed. Let’s vote by secret ballot. Ten votes are required. Short recess.

Speaker Simina declared the Congress recessed at 11:35 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. Chief Clerk, announce the results.

Chief Clerk: Mr. Speaker, eleven Members voted in favor, three against.

Speaker Simina: For that reason, C.R. No. 20-02, CD2 is adopted by Congress. Mr. Lam Dang is confirmed as our Legislative Counsel for the Twentieth Congress. Let’s give him a round of applause (applause).

Chairman Gouland: Short recess.

Speaker Simina declared the Congress recessed at 11:39 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:40 a.m.

Speaker Simina: Congress comes back to session. We are still on the Resolution Calendar. Next resolution, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: 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. If there is no more business under Resolution Calendar, next item.

INTRODUCTION OF BILLS

C.B. No. 20-16 Introduced by: Senator Alik Assigned to: W&M Date introduced: May 17, 2017

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To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes.

C.B. No. 20-17 Introduced by: Senator Alik Assigned to: W&M Date introduced: May 17, 2017

To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae, and for other purposes.

C.B. No. 20-18 Introduced by: Senator Alik Assigned to: W&M Date introduced: May 17, 2017

To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19- 130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Kosrae, and for other purposes.

C.B. No. 20-19 Introduced by: Speaker Simina Assigned to: W&M Date introduced: May 17, 2017

To further amend title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by inserting a new section 112 to chapter 1, to place a statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes.

C.B. No. 20-20 Introduced by: Speaker Simina Assigned to: J&GO Date introduced: May 17, 2017

To amend section 209 of title 2 of the Code of the Federated States of Micronesia (Annotated), to increase the salaries of the President and Vice President of the Federated States of Micronesia, and for other purposes.

INTRODUCTION OF RESOLUTIONS

NONE

MISCELLANEOUS COMMUNICATIONS

None

105 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous Business? I just have one. Sort of like an announcement. This morning we received the first in so many years that I have been in Congress a report on fund status by the Department of Finance and Administration. It is a thick booklet. It has all the reports and status of funds with respect to appropriation versus allotment. This is the first part of it. What has been appropriated, what has been allotted and the balance that has not been allotted. That is the report that we just received and I want Members to take time and look through those because I think it will concern your programs as well. The second one, which is coming from our Secretary as well, is a report on allotments, those funds that have been allotted versus what’s been expended. I think these two parts reporting is something that we have been wanting to receive in timely fashion periodically. I am grateful to the Secretary of the Department of Finance and Administration for working so hard on this and right now we are receiving them. The next report is forthcoming. I invite Member to take a look at it. Maybe the staff can duplicate it. It is a thick one. I think it’s worth the effort to make sure that each one of you get a copy. That is just my little miscellaneous.

Chairman Urusemal: Point of information, Mr. Speaker.

Speaker Simina: State your point.

Chairman Urusemal: Are they in a computerize form or in a normal writing that this simple- minded person can understand.

Speaker Simina: I am not an expert but I believe it is in excel or some kind of writing. But it is very clear.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, thank you for the information. We met with the Secretary this morning and she was also sharing that information. Like the budget book that they have put it in electronic version, can the staff also enquire if the information that you have shared can be available to Members in electronic version? These reports are very bulky and I hope that the Secretary can provide those for our information. Thank you, Mr. Speaker.

Speaker Simina: Thank you. Yes, I believe they are somewhere in those things. Our staff will enquire about those and let us know. Any other miscellaneous business? If none, next item.

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. Tomorrow at 1:00 p.m., your Committee on External Affairs will have a budget hearing with the offices in Guam, Hawaii, Washington, and Tokyo. Members are invited. It is at 1:00 o’clock in the Hearing Room.

Speaker Simina: Thank you. Members of External Affairs, there is a budget hearing tomorrow at 1:00 o’clock with nations abroad.

Chairman Urusemal: Point of information.

106 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

Speaker Simina: Proceed.

Chairman Urusemal: For those that are not members, is there anything coming with that hearing at 1:00 o’clock?

Chairman Welly: There will be food.

Speaker Simina: Has your interest been answered?

Chairman Urusemal: Affirmatively.

Speaker Simina: Thank you, Chairman Welly. Chairman Figir.

Chairman Figir: We will go on vacation for a while. We will let you know when we are back.

Speaker Simina: I sure hope not but that is your prerogative as Chairman. We need things urgently. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. From your Committee of H&SA, no announcement.

Speaker Simina: Thank you. Chairman Romolow.

Chairman Romolow: Thank you. Your Committee on J&GO will host a budget hearing tomorrow. Be on the lookout on the monitor in our office. Thank you.

Speaker Simina: Thank you, Chairman Romolow for the announcement. Take note, members of J&GO Committee. Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker. Your Committee on R&D will be holding its budget hearing for the offices of Insurance Banking Commission and the office of OEEM at 8:30 a.m., Friday at the Committee Hearing Room. These are relatively small offices and we can combine all three in one hearing. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Take note, members of R&D Committee. You have that hearing. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Your Committee on T&C will have a hearing tomorrow at 8:30 a.m., in the Hearing Room. Breakfast will be provided. Thank you.

Speaker Simina: Thank you, Chairman Gouland. Take note, members of T&C Committee. You have that hearing tomorrow at 8:30 a.m. Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. Your Committee on Education will continue its budget hearing this afternoon at 1:00 o’clock. We are done with the oversight so it is going to be dollar signs and figures. Thank you.

Speaker Simina: Thank you, Chairman Urusemal. Take note, members of Education Committee. Vice Speaker Moses. Senator Neth. Senator Alik. Senator Aritos. Senator Konman. Short recess.

Speaker Simina declared the Congress recessed at 11:49 a.m., subject to the call of the Chair.

107 May 17, 2017 CONGRESSIONAL JOURNAL –DAY 7 – 1RS – 20CFSM

RECESS

The Congress reconvened at 11:49 a.m.

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

Floor Leader Harper: Mr. Speaker, before I make the motion, I just want to announce to Members that Donald Trump has been revealed that he has shared some classified information with the Russian Government. I hope you pray that there is nothing wrong with that. Mr. Speaker, I move that we stand in recess until 10:00 a.m., tomorrow.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress stand in recess until tomorrow morning at 10:00 a.m. 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 11:50 a.m., Wednesday, May 17, 2017, until tomorrow, Thursday, May 18, 2017, at 10:00 a.m.

108

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY EIGHT

Thursday, May 18, 2017

The Eighth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:00 a.m., Thursday, May 18, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll; all the fourteen Members were present.

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. 20-07 - (dated 05/12/17 and received 05/17/17) – Transmitting a bill to amend section 210 of title 55 of the FSM Code (Annotated), as amended by Public Law No. 19-149, to further clarify the process of approving foreign financial assistance and federal grants and to rectify the ambiguity and typographical errors in the law.

Speaker Simina: Assign that Communication. Next item.

FSM SUPREME COURT COMMUNICATIONS

-No. 20-01- (dated 05/16/17 and received 05/17/17) – From the Hon. Dennis K. Yamase, Chief Justice, FSM Supreme Court, informing Congress that pursuant to the Judiciary Act of 1979 he had designated the Hon. Chang B. William, Chief Justice of the Kosrae State Court to serve as a Temporary Justice of the Supreme Court of the Federated States of Micronesia in Appeal Cases Nos. P1-2013, P13-2014, P6- 2015/P8-2015, and P14-2016.

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

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

-No. 20-01 - (dated and received 05/16/17) – From Mr. Joses R. Gallen, Sr., Secretary, Department of Justice, addressing questions, which were raised during a meeting with Speaker and members of Congress, concerning infrastructure.

109 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina: Chief Clerk, assign that. Members, take note of that Communication from DOJ. It concerns some of the issues raised by Members. Next item.

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

-No. 20-02 - (dated 05/16/17 and received 05/17/17) – From the Hon. Haser Hainrick, FSM Public Auditor, transmitting an audit report on the FSM Development Bank, for FY 2016.

Speaker Simina: Assign that, Chief Clerk. It seems like our FSM Development Bank is doing well. Next item.

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. 20-02 for Standing Committee Reports, which are awaiting the 24 hours requirement.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION MAY 11, 2017 TO MAY 30, 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. 20-02, 8TH DAY , THURSDAY, MAY 18, 2017, AT 10:00 A.M.

REPORT SUBJECT DATE AND NO. TIME SCR No. RE: C.B. No. 20-04, “A bill for an act to further amend title 2 of the 5/18/17 @ 10:00 20-03 Code of the Federated States of Micronesia, (Annotated), as amended a.m. by Public Laws. Nos. 18-33 and19-29, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government.” – Submitted by: J&GO Committee.

110 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:29 a.m.

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

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-05.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-05, DAY 08, THURSDAY, 05/18/17, AT 10:00 A.M.

C.B .NO. SUBJECT COMMITTEE 20-16 To further amend Public Law No. 19-54, as amended W&M by Public Laws Nos. 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes. 20-17 To amend Public Law No. 19-152, as amended by W&M Public Law No. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae, and for other purposes. 20-18 To further amend Public Law No. 19-121, as amended W&M by Public Laws Nos. 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Kosrae, and for other purposes. 20-19 To further amend title 55 of the Code of the Federated W&M States of Micronesia (Annotated), as amended, by inserting a new section 112 to chapter 1, to place a

111 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes. 20-20 To amend section 209 of title 2 of the Code of the J&GO Federated States of Micronesia (Annotated), to increase the salaries of the President and Vice President of the Federated States of Micronesia, and for other purposes. AGENCY OR COMMITTEE GOVERNMENTAL SUBJECT AUTHORITY COMM. NO. 20-01 (dated 05/15/17 and received 05/16/17)- From the T&C Hon. Haser Hainrick, FSM Public Auditor, transmitting an audit report on Caroline Island Air, Inc., FY 2016.

The Chief Clerk called attention to Re-Referral Sheet No. 20-02.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE RE-REFERRAL

RE-REFERRAL SHEET NO. 20-02, DAY 08, THURSDAY, 05/18/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-19 To further amend title 55 of the Code of the Federated States of W&M/J&GO Micronesia (Annotated), as amended, by inserting a new section 112 to chapter 1, to place a statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes.

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

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-08, CD1 (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 and 19- 138, by amending section 2 thereof, to change the use and allottee

112 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.

Deferred CD1 on 05/17/17 to today.

Speaker Simina declared the Congress recessed at 10:30 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:31 a.m.

Speaker Simina: Congress comes back to session. Chief Clerk, read the title of the Bill (C.B. No. 20-08, CD1).

C.B. No. 20-08, CD1 (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 and 19- 138, by amending section 2 thereof, to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:33 a.m.

Speaker Simina: Congress comes back to session. We are still on C.B. No. 20-08, CD1. Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move to defer C.B. No. 20-08, CD1 to the end of the Bill Calendar.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-08, CD1 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 Bill, C.B. No. 20-08, CD1, is deferred to the end of the Bill Calendar. Next bill. Short recess.

Speaker Simina declared the Congress recessed at 10:34 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. Next bill.

C.B. No. 20-09 (2nd Reading): To further amend Public Law No. 19-141, as amended by Public Laws Nos. 19-147 and 19-171, by amending section 1 thereof, to change the use of funds previously appropriated therein for the

113 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

purpose of funding public projects and social programs for the people of Chuuk State, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: Mr. Speaker, I move for the passage of Congress Bill No. 20-09 on second and final reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-09. Discussion? If none, debate is closed. Chief Clerk, roll call by 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 Welly Aye State of Yap: Chairman Urusemal Aye

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

Speaker Simina: The Bill, C.B. No. 20-09, has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-11 (2nd Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the state of Kosrae, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of Congress Bill No. 20-11 on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-11. Discussion?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, Vice Speaker, Members, and all that are observing our session this morning. Mr. Speaker, I have a floor amendment to the said Bill (C.B. No. 20-11).

Speaker Simina: Short recess.

114 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 10:37 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:41 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-11. Chairman Perman, you have the floor.

Chairman Perman: I so move for the adoption of the amendment.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-11 offered by Chairman Perman be adopted. Chief Clerk, can you just read that into the record?

Floor Amendment to C.B. No. 20-11 Offered by Senator Ferny S. Perman

C.B. No. 20-11 is hereby amended to read as follows:

9. Page 7, line 25, delete “the allottee of funds. 10. Page 8, lines 1 and 2, delete them in their entirety. 11. Page 8, line 3, delete “Kolonia Town Government”. 12. Page 8, line 4, after “4(1)(a)”, insert “4(1)(b)”. 13. Page 8, line 4, before “4(2)(b)”, insert “4(2)(a)”. 14. Page 8, line 5, before “4(2)(g)”, insert “4(2)(c), 4(2)(d), 4(2)(e)”

Date:_March 18, 2017_____ Introduced by:/s/ Ferny S. Perman Ferny S. Perman

Purpose of amendment: To change the allottee of funds previously appropriated herein, especially for Pohnpei State from Mayor of Kolonia Town Government to the Secretary of the Department of Transportation, Communications and Infrastructure or his designee.

Speaker Simina: Floor Leader Harper.

Floor Leader Harper: Mr. Speaker, I move to suspend any relevant rule that may impede our action on the amendment.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the relevant rules especially that 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 rules are now suspended. Discussion on the offered amendment?

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 10:44 a.m., subject to the call of the Chair.

115 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

RECESS

The Congress reconvened at 10:46 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of the offered floor amendment.

Chairman Perman: Question.

Speaker Simina: Question has been called for. If there is no objection, discussion is closed. Let’s vote. All those in favor of the offered floor amendment to C.B. No. 20-11 say ‘aye’ – opposed say ‘nay’. The motion is carried. We now have CD1. Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I have a very small amendment that I wish to make on the Bill (C.B. No. 20-11, CD1).

Speaker Simina: Proceed.

Chairman Urusemal: Thank you very much, Mr. Speaker. In the title, line 6, “state” should be “states” of Kosrae, Pohnpei, after “and”, “Yap”. It will read, “the states of Kosrae, Pohnpei, and Yap”. On page 2, line 19, delete “550,000”, and insert “400,000” in lieu thereof. Between lines “19” and “20”, insert “(e) Lamotrek Health Center/Dispensary 150,000”. Then re-letter “(e)” to “(f)”. I so move, Mr. Speaker.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Urusemal be adopted. Let the record reflect that the relevant rules are still suspended. Discussion on the offered oral amendment?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Mr. Speaker, this is merely to address immediate needs of the Yap Health Services to complete a project that was started and for some mysterious reasons, it is not yet completed. And the plan was to expand that project to include Health Center for the three islands in that Election District: Elato, Lamotrek, and Satawal. Thank you.

Speaker Simina: Thank you, Chairman Urusemal. As long as what Chairman Figir said is not happening. They are not sleeping, right? That should be okay. Any further discussion on the offered oral amendment? If none, debate is closed. Let’s vote. All those in favor of the offered oral amendment by Chairman Urusemal say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment by Chairman Urusemal is adopted. We have CD2. Any further discussion on CD2?

Senator Neth: Mr. Speaker.

Speaker Simina: Senator Neth.

Senator Moses: Thank you, Mr. Speaker. I have a minor oral amendment on the same Bill (C.B. No. 20-11, CD2). On page 5, line 22, delete “Areu Pah road paving”, and insert “Nan Pwoaren Ais secondary road”. I so move.

116 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Senator Neth be adopted. Short recess.

Speaker Simina declared the Congress recessed at 10:51 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:53 a.m.

Speaker Simina: Congress comes back to session. There is an oral amendment offered by Senator Neth. It has been moved and seconded. The record will reflect that the relevant rules are still suspended. Discussion on the offered oral amendment? If none, discussion is closed. Let’s vote. All those in favor of the adoption of the offered oral amendment by Senator Neth say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment by Senator Neth is adopted. We have CD3. Any further discussion of the Bill (C.B. No. 20-11, CD3)? If none, let’s voted by roll call of Delegations. Chief Clerk, call the roll.

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. Speaker, all the four States voted for.

Speaker Simina: For that reason, C.B. No. 20-11, CD3 has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-12 (2nd Reading): 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 and 19-163, 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.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-12) on second and final reading.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-12. Discussion?

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow.

117 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Chairman Romolow: Thank you, Mr. Speaker. I have a floor amendment to the said Bill (C.B. No. 20-12) and I wish to offer it. The copies have already been distributed. I so move, Mr. Speaker.

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:57 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-12. There is an offered floor amendment by Chairman Romolow. Make the motion for adoption.

Chairman Romolow: Thank you, Mr. Speaker. I so move for the adoption of the said amendment.

Floor Amendment to C.B. No. 20-12 Offered by Senator Robson U. Romolow

C.B. No. 20-12 is hereby amended to read as follows:

1. Title, line 5, delete “state of Kosrae”, and insert “states of Kosrae and Chuuk” 2. Page 3, line 2, before “Section 2”, insert the following: “Section 5 of Public Law No. 19-10, as amended by Public Laws Nos. 19-26, 19-51, 19-56, 19-72, 19-96 and 19-163, is hereby further amended to read as follows: “Section 5. Of the sum of $2,800,000 appropriated by his act, $1,200,000 is apportioned for public projects and social programs in the state of Chuuk. state of Chuuk ...... $ 1,200,000 (1) At-Large ...... 200,000 (a) Allottee’s administrative support costs ...... 30,000 (b) Contributions to State, Municipal and Community activities, programs and events ...... 24,000 (c) Community infrastructure and housing improvement/renovation/new construction ...... 23,800 (d) Women home economic projects ...... 15,000 (e) Municipal subsidies/obligations...... 10,000 (f) POL/freight/charters ...... 20,000 (g) Leadership/patients/students travel ...... 22,200 (h) Municipal office/facility construction/improvement ...... 20,000 (i) Roads/Docks/Seawalls improvement and beautification ...... 25,000 (j) Tonoas Goodwill Games (2016) ...... 10,000 (2) Election District No. 1 ...... 200,000 (a) Mortlocks Leadership Conference $ ...... 50,000

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(b) Community, Traditional and Municipal events and travel ...... 30,000 (c) Mortlock Islands Development Authority (MIDA) ...... 80,000 (d) Youth musical instruments activities and programs ...... 25,000 (e) Community transportation ...... 15,000 (f) Solar and communication systems ...... -0- (3) Election District No. 2 ...... 200,000 (a) Land transportation ...... 15,000 (b) Outreach program ...... 20,000 (c) Student’s financial assistance/ outstanding debts payment ...... 10,000 (d) Social Security Premium contribution ...... 5,000 (e) Road improvement & equipment purchase ... ….. 45,000 (f) Repatriation of human remains & funeral costs/travel ...... 10,000 (g) Fishing Project ...... 30,000 (h) Food relief assistance ...... 20,000 (i) Housing and community halls construction ...... 30,000 (j) Kokumi Inauguration and related costs ...... 5,000 (k) Office of Governor subsidy (Chuuk State) ...... $ 10,000 (4) Election District No. 3 ...... 200,000 (a) Home, housing and multipurpose building improvement and renovation ...... 20,000 (b) Fishing Project ...... 20,000 (c) Southern Namoneas Leadership Conference, travel and hosting ...... 10,000 (d) Municipal Government operation/subsidy (i) Tonowas Municipal Government ...... 10,000 (ii) Fefan Municipal Government ...... 10,000 (iii) Uman Municipal Government ...... 10,000 (iv) Parem Municipal Government ...... 5,000 (v) Tsis Municipal Government ...... 5,000 (e) Tonowas Ice Plant operational cost...... 5,000 (f) Seawalls improvement and repair ...... 15,000 (g) Roads improvement/repair and beatification ...... 10,000 (h) Administrative support services (SNDA) ...... 15,000 (i) Students’ financial assistance ...... 10,000 (j) Leaders/patients/students travel needs ...... 10,000 (k) Youth activities/events/

119 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

program/equipment ...... 5,000 (l) Food relief assistance (aftermath of Typhoon Maysak) ...... $ 30,000 (m) Water systems improvement and repair ...... 5,000 (n) SNDA vessel operation/ maintenance/provisioning...... 5,000 (5) Election District No. 4 ...... 200,000 (a) Youth activities, events & program subsidy ...... 15,000 (b) Students’ financial assistance subsidy ...... 20,000 (c) Repatriation of human remain/ funeral and travel expenses...... 15,000 (d) Administrative costs (Faichuk Development Authority) ...... 20,000 (e) Land transportation need ...... 15,000 (f) Humanitarian relief/ assistance subsidy ...... 30,000 (g) Fishing Project subsidy ...... 30,000 (h) Sewing Project subsidy ...... 20,000 (i) Capacity building/training ...... 8,566 (j) Leadership/patients/ students travel expenses ...... 26,434 (6) Election District No. 5 ...... 200,000 (a) Pharmaceutical, patient referral and repatriation ...... [50,000] 55,000 (b) POL/freight/charters ...... $[40,000] 45,000 (c) Outreach program ...... 25,000 (d) Contractual Service for grant writer ...... -0- (e) Administrative support services (Election District No. 5) ...... [20,000] 25,000 (f) Northwest Region Goodwill Games, events & activities ...... -0- (g) Participants travel need to Pacific Art Festival ...... 10,000 (h) Food Relief Program ...... 20,000 (i) Protected Areas & Sanctuaries Project ...... -0- (j) Allottee’s administrative cost ...... 5,000 (k) Outstanding debt to YAMAS Co. Ltd ...... 15,000 (l) Dispensary boat and motor ...... [15,000] 0”

Date:March 18, 2017 Introduced by: /s/ Robsom U. Romolow Robson U. Romolow

Purpose of amendment: To change the use of funds, especially for Chuuk State under this act.

120 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment by Chairman Romolow be adopted. Let the record reflect that the relevant rules are still suspended. Because of its length, we will dispense with its reading. It’s written up and distributed to Members and staff. Any discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of the floor amendment offered by Chairman Romolow say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment is adopted. We now have CD1 (C.B. No. 20-12, CD1). Any further discussion? 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 Welly Aye State of Yap: Chairman Urusemal Aye

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

Speaker Simina: The Bill, C.B. No. 20-12, CD1, is passed by Congress on second and final reading. Next bill.

C.B. No. 20-16 (2nd Reading): To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-16) on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-16. 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 11:00 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-16. Any further discussion? 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 Welly Aye

121 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

State of Yap: Chairman Urusemal Aye

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

Speaker Simina: For that reason, C.B. No. 20-16 has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-17 (2nd Reading): To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae State, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-17) on second and final reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-17. Discussion? Short recess.

Speaker Simina declared the Congress recessed at 11:02 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 still on discussion of C.B. No. 20-17. Any further discussion? If none, debate is closed. Chief Clerk, roll call.

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. Speaker, all the four States voted for.

Speaker Simina: For that reason, C.B. No. 20-17 has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-18 (2nd Reading): To further amend Public Law No. 19-121, as amended by Public Laws Nos. 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Kosrae, and for other purposes.

122 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of the said Bill (C.B. No. 20-18) on second and final reading.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-18. Discussion? If none, if there is no objection, discussion is closed. Chief Clerk, roll call.

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. Speaker, all the four States voted for.

Speaker Simina: The Bill, C.B. No. 20-18, has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-14 (2nd Reading): To further amend Public Law No. 18-70, as previously 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, and 19-139, by amending section 2 and 6 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 Yap State, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move that Congress pass C.B. No. 20-14 on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-14. Any discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: I have an oral amendment that I wish to offer. May I?

Speaker Simina: Proceed.

Chairman Figir: The amendment to C.B. No. 20-14 offered by yours truly:

123 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

C.B. No. 20-14 is hereby amended to read as follows:

1. Page 2, line 8, delete “70,000” and insert “20,000” in lieu thereof. 2. Page 3, between lines 7 and 8, insert “(v) rule municipality travel subsidy 45,000”. (vi) Yap AMP musical instrument 5,000”.

I so move.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment to C.B. No. 20- 14 by Chairman Figir be adopted. Discussion? 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. We are still on discussion of the offered oral amendment by Chairman Figir. Let the record reflect that the relevant rules are still suspended. Any further discussion? If none, discussion is closed. 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 oral amendment is adopted. We now have CD1 (C.B. No. 20-14, CD1). Chairman Figir, you have the floor again.

Chairman Figir: Thank you, Mr. Speaker. I apologize to Members for being so much in the future. But I have an oral amendment. It is technical in nature but it will affect the Bill (C.B. No. 20-14, CD1). On page 1, line 11, “(b)” where it says, “Yap Youth”, inert “2017-2018 Summer Program and activities”, and delete “matching”. I so move.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Figir be adopted. The relevant rules are still suspended. Discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. This is merely to change the year where the Yap Youth can use the fund appropriated herein so they can start using the fund this coming summer. They have a lot of activities and, as you know, the youth of Yap is more advanced than a lot of people. We just want to let them and give them this timeframe from summer 2017 all the way to 2019. If they don’t use the money, that means they don’t need the money and the money will go into other projects. So that is the purpose.

Speaker Simina: Thank you, Chairman Figir. There is nothing technical about changing the years and deleting “matching”. Now you are no longer a believer in matching as far as I understand. Any further discussion? Chairman Urusemal, you are kind of looking at me.

124 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Chairman Urusemal: Thank you, Mr. Speaker. I just wish to add to what the Chairman was indicating that changing the year from – instead of waiting until the year 2018, indicates that our youth are very much awake and ready to do their work. Thank you.

Speaker Simina: Thank you, Chairman Urusemal for that additional explanation. Any further discussion? If none, discussion is closed. Let’s vote. All those in favor of the adopting the oral amendment by Chairman Figir say ‘aye’ – opposed say ‘nay’. The motion is carried. The oral amendment is adopted. We now have CD2 (C.B. No. 20-14, CD2). Any further discussion on the Bill (C.B. No. 20-14, CD2)? 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 Welly Aye State of Yap: Chairman Urusemal Aye

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

Speaker Simina: The Bill, C.B. No. 20-14, CD2, has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-08, CD1 (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 and 19- 138, by amending section 2 thereof, to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.

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 11:14 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-08.

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman, you have the floor.

Chairman Perman: Thank you, Mr. Speaker. If I may, I have an oral amendment to offer to the said Bill (C.B. No. 20-08). On page 2, line 16, delete “10,000”, and insert “15,000” in lieu thereof. I so move, Mr. Speaker.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Perman to C.B. No. 20-08, CD1 be adopted. The relevant rules are still suspended. Discussion?

125 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Chairman Urusemal: Short recess, Mr. Speaker.

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 the offered oral amendment by Chairman Perman. Any further discussion on it? If none, discussion is closed. Let’s vote. All those in favor of the offered oral amendment by Chairman Perman say ‘aye’ – opposed say ‘nay’. The motion is carried. We now have CD2 (C.B. No. 20-08, CD2). Any further discussion on the Bill (C.B. No. 20-08, CD2)?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I wish to make an oral amendment. On page 3, line 13, the words in bracket, “[Meitic culvert]” should be stricken; on line 14, decrease the amount “26,750” to “21,750”. And then insert a new “(viii) community center improvement 5,000”. I so move, Mr. Speaker.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Vice Speaker Moses be adopted. Short recess.

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

RECESS

The Congress reconvened at 11:19 a.m.

Speaker Simina: Congress comes back to session. We are on discussion of the offered oral amendment by Vice Speaker Moses. Any further discussion?

Chairman Perman: Question.

Speaker Simina: Question has been called for. If there is no objection, debate is closed. Let’s vote. All those in favor of the offered oral amendment by Vice Speaker Moses say ‘aye’ – opposed say ‘nay’. The motion is carried. The oral amendment is adopted. We now have CD3. Any further discussion of C.B. No. 20-08, CD3? If none, debate 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 Welly Aye State of Yap: Chairman Urusemal Aye

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

126 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina: The Bill, C.B. No. 20-08, CD3, is passed by Congress on second and final reading. Next bill.

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

Speaker Simina: State your point, Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. I rise on a point of privilege to ask the indulgence and humbleness of this Congress to join me in welcoming and recognizing the presence of one of our Secretaries, the Secretary of the Department of Foreign Affairs, who is observing our session this morning, the Honorable Secretary Lorin S. Robert. Let’s give him a round of applause (applause). For your information, Mr. Speaker and Members, Secretary Lorin is one of our paramount traditional chiefs in the Mortlocks, from the island of Nema. Furthermore, Mr. Speaker, on a point of privilege, I would like to take this time to extend my apology to you, Mr. Speaker, Vice Speaker and the rest of the Honorable Members for the fact that I will be missing the rest of the days of our session. I will be leaving today for Guam. I really want to stay but because of my dialysis now is overdue. I don’t want to run the risk of having my kidneys fail and I die right here in the Chamber. For that, I really want to extend my apology to you and all for I’m going to be missing the rest of the session days in the days to come. Last, Mr. Speaker, last night I just read on Facebook from one of my constituents from the mainland that the Republic of Marshall Islands, by June first, will have to fill out the Visa form when they’re in the U.S. They will no longer have that Visa waiver. I am brining up this because I am kind of worried if this thing will also apply to the FSM citizens sooner or later. I think it is very relevant that I bring up this so Secretary Robert can try to look into it. Not to ask the U.S. whether we will be affected soon but at least do some investigation just to prepare ourselves if this kind of situation also comes up with the FSM so we can be ready for whatever future action we have to do. Thank you very much, Mr. Speaker.

Speaker Simina: Thank you, Floor Leader Harper. You can be excused any time. You wish to go to the airport. On behalf of the Congress, we wish you well in your on-going treatment. Let’s hope that things turn out for the better for you. On this issue of this Visa free cancelation, we have learned that it is fake news. Let’s hope that it is really a fake news. That is as far as we know about that Visa free cancelation. Next bill, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. I move that we reconsider C.B. No. 20-18.

Chairman Urusemal: Second.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:24 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:24 a.m.

127 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina: Congress comes back to session. Chairman Welly, you have the floor. Restate your motion.

Chairman Welly: Thank you, Mr. Speaker. I move that we reconsider C.B. No. 20-18.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress reconsider its decision on C.B. No. 20-18. That is not subject to debate so let’s 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. Speaker, for reconsideration, all the four States voted for.

Speaker Simina: The reconsideration motion has been passed by Congress. Make your motion, Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. I have an oral amendment –

Speaker Simina: Make a motion for passage first.

Chairman Welly: I so move for passage of the said Bill (C.B. No. 20-18).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-18. Discussion?

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. I have a floor amendment that I wish to offer on the said Bill (C.B. No. 20-18).

Speaker Simina: Proceed.

Chairman Welly: On page 4, line 10, delete “Wi-Fi activities”, and insert “principal travel and related cost” in lieu thereof. I so move.

Floor Leader Harper: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Welly be adopted. Short recess.

128 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 11:26 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:27 a.m.

Speaker Simina: Congress comes back to session. Any discussion on the oral amendment by Chairman Welly? Let the record reflect that the relevant rules are still suspended.

Chairman Perman: Question.

Speaker Simina: Question has been called for. If there is no objection, debate is closed. All those in favor of the adoption of the oral amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The oral amendment is adopted by Congress. We now have CD1. Any further discussion? If none, if there is no objection, debate 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 Welly Aye State of Yap: Chairman Urusemal Aye

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

Speaker Simina: The Bill, C.B. No. 20-18, CD1, has been passed by Congress on second and final reading. Next bill.

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: I have consulted with Ways and Means Chairman and he said it is okay. So I would like to withdraw and place C.B. No. 20-19.

Senator Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 19.

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:29 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:29 a.m.

Speaker Simina: Congress comes back to session. Chief Clerk, read the title of the Bill (C.B. No. 20-19).

129 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

C.B. No. 20-19 (1st Reading): To further amend title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by inserting a new section 112 to chapter 1, to place a statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes.

Speaker Simina: There you have the title read. Any discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal, you have the floor.

Chairman Urusemal: Thank you very much, Mr. Speaker. This is a major bill. I think it came about as a result of our information discussion prior to our formal caucus. But the Bill (C.B. No. 20-19) has drafted and I have indicated support of putting limit or finding a way to put a limit on the amount of Representation Funds for Members. But when the Bill (C.B. No. 20-19) is drafted and conditioning it on another animal, to me, it is a double wham-o, because the amounts of the Rep. Funds as proposed here will be conditioned of the salary of the President. And there will be a tendency to increase the salary of the President so that the Rep. Funds can be increased. If I know, it is by law, the President’s salary, by law is $32,000 per annum. That is fine. But what happens if in the next session of Congress, this Congress decides to $100,000? When you multiply $100,000 by $200,000, what do you come up with? It is like a very intelligent way of making it look like we are gapping but it can be a double wham-o, as I said. We can increase the salary of the President so our Rep. Fund can be increased. That is my concern. I think if it was just a pure amendment to a public project, which we have been doing, it is fine because we defer to each delegation to come in with their amendments relating to their State’s public project. This is a major policy of this Congress. I would hope that, with all due respect to you Mr. Speaker as the introducer of this Bill (C.B. No. 20-19), and the Vice Speaker for withdrawing it from the Ways and Means Committee, I really hope that we would take a look at it, allow the Committee to review it, and see what communication it may have on the financial standing of this Government, especially in lieu of this 2023 deadline that we are approaching very fast. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. Your points are well taken. I will just ask that you have faith in your colleagues of Congress. Any further discussion?

Chairman Urusemal: Mr. Speaker, with all due respect, I have had plenty times that I’ve had faith in us. Only to be – my faith to be shattered by subsequent actions of Congress.

Speaker Simina: Thank you, Chairman Urusemal. Any further discussion?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, thank you; and I thank Chairman Urusemal’s concerns he has raised on the two Bills: C.B. No. 20-19 and the partner Bill that I was able to read yesterday. I think the intentions of the Bill (C.B. No. 20-19) is a good one. Maybe Chairman Urusemal is thinking that it may have a castigating effect on conditioning it to the increase of the President’s salary. I certainly hope that is not going to be the case. When we legislate something, the increase should be one that will happen in such a long time. I think that remains to be seen with how we consider the bill. But I am not opposed to having the two Bills ferment a little bit so we can talk more about it before we bring it back to vote on it, Mr.

130 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker. That is my take on it for now. I think we can let it ferment for few days to see how other Members react to it before we put it to vote. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo.

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Can I move that we recommit it to the Committee?

Chairman Figir: Second.

Speaker Simina: Make the motion.

Vice Speaker Moses: I so move.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the Bill (C.B. No. 20-19) be recommitted to the Committee (W&M) for further review in accordance with the wish of Chairman Urusemal and Chairman Panuelo. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-19, is recommitted to the appropriate Committee for further review and action. Next bill.

Chief Clerk: There are none, Mr. Speaker.

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

Speaker Simina: State your point, Floor Leader Harper.

Floor Leader Harper: Thank you, Mr. Speaker. Since I drive slowly, may I ask that I be excused at this time so I can pick up my stuff and go check in?

Speaker Simina: Yes. Floor Leader Harper, you are excused. Have a safe flight to Guam. We wish you well in your on-going treatment. Short recess.

Speaker Simina declared the Congress recessed at 11:37 a.m., subject to the call of the Chair.

Floor Leader Florencio Harper left the Chamber at 11:37 a.m.; Senator Joseph J. Urusemal was designated to be the Acting Floor Leader.

RECESS

The Congress reconvened at 11:38 a.m.

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

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow.

131 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Chairman Romolow: Thank you, Mr. Speaker. I wish to withdraw C.B. No. 20-22 and place it on today’s Calendar.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-22 be withdrawn from the Ways and Means Committee and place on the Bill Calendar for first reading action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-22, is now withdrawn and placed on the Bill Calendar for action.

Chairman Figir: Short recess.

Speaker Simina declared the Congress recessed at 11:39 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:40 a.m.

Speaker Simina: Congress comes back to session. Before we continue further, I would like to ask our good Chairman Urusemal if he could take up his usual Acting Floor Leader role. We are on the Bill Calendar. There is a bill that has been withdrawn and placed. Chairman Figir, make the motion.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-22) on first reading.

C.B. No. 20-22 (1st Reading): To further amend Public Law No. 16-58, as amended by Public Laws Nos. 16-64, 16-72, 17-08, 17-11, 17-20, 17-35, 17-41, 18-77 and 19-38, by amending section 5 thereof, to change the use of certain funds previously appropriated therein, to fund public projects and social programs in the State of Chuuk, and for other purposes.

Chairman Romolow: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 22. Any discussion? If none, without objection, discussion is closed. Let’s vote by roll call of Members.

The Chief Clerk took the roll call by Members.

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

132 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina Aye

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

Speaker Simina: For that reason, C.B. No. 20-22 has been passed by Congress on first reading. Next bill.

Chief Clerk: There are none.

Speaker Simina: Next item.

RESOLUTION CALENDAR

None

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 11:43 a.m.

Speaker Simina: Congress comes back to session. We are still on Resolution Calendar. If no resolution, next item.

Chairman Figir: Short recess.

Speaker Simina declared the Congress recessed at 11:43 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:43 a.m.

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

INTRODUCTION OF BILLS

C.B. No. 20-21 Introduced by: Floor Leader Harper Assigned to: J&GO Date introduced: May 18, 2017

To further clarify the procedures for approving foreign financial assistance and program funds by amending section 210 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, to rectify typographical errors, to replace the Division of Investment Management with the Overseas Development Assistance, and for other purposes.

133 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

C.B. No. 20-22 Introduced by: Senator Romolow Assigned to: W&M Date introduced: May 18, 2017

To further amend Public Law No. 16-58, as amended by Public Laws Nos. 16-64, 16-72, 17-08, 17-11, 17-20, 17-35, 17-41, 18-77 and 19-38, by amending section 5 thereof, to change the use of certain funds previously appropriated therein, to fund public projects and social programs in the State of Chuuk, and for other purposes.

C.B. No. 20-23 Introduced by: Speaker Simina Assigned to: EDUC Date introduced: May 18, 2017

To amend section 391 of title 40 of the Code of the Federated States of Micronesia, (Annotated), as amended, to include the award of scholarships for summer high school academic programs under the jurisdiction of the National Scholarship Board, and for other purposes.

C.B. No. 20-24 Introduced by: Senator Figir Assigned to: W&M Date introduced: May 18, 2017

To amend sections 1, 2, 3, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146, 19-160, and 20-01, in order to appropriate $483,650 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes.

INTRODUCTION OF RESOLUTIONS

NONE

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. We know that the Floor Leader is leaving because of dialysis in Guam. The Committee of Health is looking into it. We will be asking Members or Congress to put up some funding to bring down, I guess, two people to look at our facility in Pohnpei to see what needed to be done. I know we were looking through the budget and slicing or little adding or whatever we were doing, your Committee will be asking the Chairman of Ways and Means and all Members when we get the code from Pohnpei State and our Department of Health, I will be asking before this session is over so they can take a look at our dialysis facility of Pohnpei. If possible, we will centralize that so people that

134 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM have that problem, when they are here, they actually don’t have to fly out again to get their treatment. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Perman. There is no question that the dialysis services in our hospital needs improvement. It really needs to be improved. You are the Chairman of that Committee so you work with the Chairman of Ways and Means to figure our what we can do with that. I think that will be a good effort on our part as a national project, in a sense. Any other miscellaneous business?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Yes, Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I think this morning we have a hearing in our Hearing Room and it is probably the one with the most people, so far, in the Twentieth Congress. And I was disappointed that we were playing musical chairs. I know when we opened up the building, there were a lot of chairs for witnesses. Today, we didn’t have enough. I was wondering where the chairs went. Did they leave the campus or are they still on campus? If we can have someone look into that and put back the chairs where they rightfully belong so we can use them.

Speaker Simina: Thank you, Vice Speaker Moses. I will assign that responsibility to you. Work with our staff so that you can find the chairs.

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I was disappointed because I had to give up my chair. Although I wanted to sit there and listen and have the people there educate me on this subject matter, I had to leave because there was no chair available. I think if you assign that, one way of doing it is when we are in session to make sure that nobody borrows equipment(s) from our facility; and I would also add that you ask our staff to be at their station when we are here, including our PIO and IT and they take on their task. Yesterday I saw an e-mail from somebody, which he/she claims that he/she is the Protocol Officer but actually not. That letter or e-mail did not go through the proper organization of this body. I would relay that we follow what we do and make sure that the staffs show up when we are in session. I had to run all over the building looking for staff to help me. I am not very good in doing IT and issuing press release information. But I get a lot of complains. I hope that staff would assist in that matter. Thank you.

Speaker Simina: Thank you, Chairman Figir. We have to find out more about your complaints and concerns. The staff will take note of that and we will continue to work. The chairs, I don’t know whether there were just to many witnesses or there were fewer chairs. Vice Speaker Moses will find that out from our appropriate staff. Any other miscellaneous business?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I am sorry. With all due respect to my Speaker and Vice Speaker, this is not a new matter. It has been on-going. I would like to see the action on this because I saw some chairs but I don’t know where they took it. But can you put them on suspension or whatever? Thank you.

135 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

Speaker Simina: Thank you, Chairman Gouland. Any other miscellaneous business? If no more, I have just one small item I would like to raise with, especially the Chairmen of Committees. This Saturday our Hearing Room will be worked on with respect to the lighting system because they need to improve it. They will continue looking at the acoustic in there to see how it can be improved. I ask that there will be no hearing schedule for this Saturday. Thank you for that. If there is no further miscellaneous business, Announcements.

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. Just to remind everyone about the 1:00 o’clock meeting with the overseas missions this afternoon.

Speaker Simina: Reminder to External Affairs Committee, you have that hearing at 1:00 p.m. Chairman Figir.

Chairman Figir: Your Committee on Ways and Means will meet tomorrow at its allotted time to talk about C.B. No. 20-19. This will be an internal meeting and we will discuss and decide how to proceed on this very important measure. Thank you.

Speaker Simina: Thank you, Chairman Figir. Take note, members of Ways and Means Committee. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. As of this week, we have no hearing. But on Monday at 2:30 p.m., we will be having meeting with MiCare again. Thank you.

Speaker Simina: Thank you, Chairman Perman. Take note, members of Health and Social Affairs Committee. You have that hearing next week. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. Your Committee on J&GO will hold a budget hearing at 2:30 p.m., today with DOJ. Thank you.

Speaker Simina: Thank you, Chairman Romolow. Take note, members of J&GO Committee. You have a hearing today at 2:30 p.m. Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker. Your R&D Committee will continue its budget hearing tomorrow at its allotted time (8:30 a.m.). We will hold a hearing with the Banking Commissions Office, Insurance Office, and the Office of OEEM. We plan to finish all three Offices in the allotted time tomorrow. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Take note, members of R&D Committee. You will continue your hearing on budget tomorrow at 8:30 a.m. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Your Committee on T&C will hold a hearing on Tuesday, May 23rd, at 8:30 a.m., in our Hearing Room. This is in regard to our budget. Thank you.

Speaker Simina: Thank you, Chairman Gouland. Take note, T&C members. Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. Your Committee on Education will continue its budget hearing tomorrow at 1:00 o’clock with the College of Micronesia-FSM.

136 May 18, 2017 CONGRESSIONAL JOURNAL –DAY 8 – 1RS – 20CFSM

And time permitting, the Committee would look at the budget that we have completed, review and make recommendations. Thank you.

Speaker Simina: Thank you, Chairman Urusemal. Take note, members of Education Committee. Vice Speaker Moses. Senator Neth. Senator Alik. Senator Aritos. Senator Konman. Short recess.

Speaker Simina declared the Congress recessed at 11:54 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:56 a.m.

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

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

Chairman Perman: Second.

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

Speaker Simina declared that the Congress stand in recess at 11:56 a.m., Thursday, May 18, 2017, until tomorrow, Friday, May 19, 2017, at 10:00 a.m.

137

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY NINE

Friday, May 19, 2017

The Ninth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:45 a.m., Friday, May 19, 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.

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. 20-08 - (dated 05/16/17 and received 05/18/17) – Sharing the 17th Micronesia President’s Summit (MPS) Communiqué and associate documents for your information and reference.

-No. 20-09 - (dated 05/16/17 and received 05/18/17) – Transmitting a resolution for the acceptance of a foreign assistance in the amount of EUR 325,000 from the Government of the Republic of Germany and the European Union to the Government of the Federated States of Micronesia.

-No. 20-10 - (dated 05/16/17 and received 05/18/17) – Transmitting a resolution for the acceptance of a foreign assistance in the amount of EUR 436,089 from the Government of the Republic of Germany and the European Union to the Government of the Federated States of Micronesia.

-No. 20-11 - (dated 05/17/17 and received 05/18/17) – Transmitting a resolution ratifying the amendment to the Multilateral Treaty on Fisheries between the Governments of certain Pacific Island States and the Government of the United States of America.

-No. 20-12 - (dated and received 05/18/17) – Bringing to attention the on-going efforts by the FSM National Government with the United States Government on the issue pertaining to the suspension on awarding of public infrastructure grant assistance to the FSM; and inviting Congress members to be part of this important discussion and to also attend an internal meeting on May 19, 2017 in preparation for the upcoming meeting in Honolulu on (proposed) date of June 01, 2017.

-No. 20-13 - (dated and received 05/18/17) – Inviting members of the Congress leadership to a luncheon meeting on Friday, May 19, 2017 in the President’s conference room to

138 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

address certain issues, such as fiber optic cable project updates, the upcoming Ocean’s Conference in New York, highlights of the outcomes of the recent Micronesia President’s Summit, the suspension of Compact infrastructure funding for public projects, and the way ahead for the JCRP to commence its important work, and other issues proposed by Congress members.

Speaker Simina: Assign those Communications, Chief Clerk. Members, take note of Communication No. 20-13. My understanding is that the luncheon has been cancelled. There is a proposed dinner but it has not been confirmed yet. We are still awaiting the words on that. Next item, Chief Clerk.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

-No. 20-02 - (dated 05/18/17 and received 05/19/17) – From Mrs. Sihna N. Lawrence, Secretary, Department of Finance & Administration, transmitting a Fund Status Report for the FSM National Government, including the appropriations to the four (4) states governments, as of March 31, 2017.

Speaker Simina: Assign that Communication. Take note of that. I think all Members received a copy of that Communication.

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

139 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

STANDING COMMITTEE REPORTS:

-SCR No. 20-03, RE. C.B. No. 20-04:“To further amend title 2 of the Code of the Federated States of Micronesia, (Annotated), as amended by Public Laws Nos. 18-33 and 19-29, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government.” – J&GO- (RECOMMENDS ITS PASSAGE/May 18, 2017).

Speaker Simina: Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. I move for adoption of the said Report (SCR No. 20-03)

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that we adopt Report No. 20-03. Discussion?

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. With all due respect to the Chairman and the members of that Committee, I believe I participated in part of that hearing, if not all of it, and I remember raising a question which I don’t believe was adequately – well it mentioned on the Report (SCR No. 20-03), page 4, that there will be an increase or anticipated increase of $200,000 to the budget of OEEM. Is my reading of the Report (SCR No. 20-03) correct?

Speaker Simina: Chairman and members of the Committee, care to enlighten our colleague? Chairman Romolow.

Chairman Romolow: Thank you very much, Mr. Speaker; and thank you Chairman of Education. I would also ask the members of J&GO to also share with Members what had transpired in regards to the increase. This is an anticipated increase if the office is elevated to a full pledge department. It was not clear of what positions yet because there will be other divisions that are under different departments that might be merging to this department if it’s elevated to a full pledge department, such as the Division of Energy is now currently under R&D but the possibility that it will be merging to this department. The salary’s increase will be to the division heads because they will be elevated to division head and also elevated to the Director. These are not accurate in numbers but just anticipated increase that they are just looking at possibility of when this office is elevated to a department. Thank you.

Speaker Simina: Thank you, Chairman Romolow.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo, you want to add to what Chairman Romolow stated?

Chairman Panuelo: Mr. Speaker, not so much adding. But I want to report to you and Members that your R&D Committee had just completed in budget hearings with OEEM. Your Committee, in anticipation of the changes that we are talking about here, based on the Report (SCR No. 20-03) by J&GO Committee, we requested the Budget Office to do the comparison and report to the Committee on the

140 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM anticipated changes and budget implications of this. They will do that and submit it back to your Committee and we can share that to Members. Mr. Speaker, I did say that, I think our marching order is always being that we try not to accommodate new positions unless it is really needed. I know that report that the Chairman of J&GO is saying is three positions. There is one position of Climate Change, Ms. Ehmes, she has been a very active individual. I think the Committees need to monitor. As a Chairman of R&D Committee, I also wish to know what the changes are. That is why we requested the Budget Office to make the comparison of the current fiscal year to FY18 based on the J&GO Committee Report. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo for the explanations. Chairman Figir.

Chairman Figir: Short recess.

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

RECESS The Congress reconvened at 11:10 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of Standing Committee Report No. 20-03. Chairman Romolow, you have the floor.

Chairman Romolow: Thank you, Mr. Speaker. On Standing Committee Report No. 20-03, on page 4, second paragraph, I make a motion to delete the sentence starting with “it was generally recognized that there would be the need…” I so move, Mr. Speaker.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment be adopted by Congress. Any discussion? If none, debate is closed. Let’s vote. All those in favor of the oral amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment is adopted. Let the record reflect that any rule that might impede our action is suspended. Any further discussion on the Report (SCR No. 20-03)?

Chairman Figir: Question.

Speaker Simina: Question has been called for. If there is no objection debate on the Report (SCR No. 20-03) is closed. Let’s vote. All those in favor of the adoption of SCR No. 20-03 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-03, is adopted by Congress. Next report.

The Chief Clerk called attention to Awaiting List No. 20-03 for more Standing Committee Reports, which are awaiting the 24 hours requirement.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION MAY 11, 2017 TO MAY 30, 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

141 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

NO. 20-03, 9TH DAY , MONDAY, MAY 19, 2017, AT 10:00 A.M.

REPORT SUBJECT DATE AND TIME NO. SCR No. RE: C.B. No. 20-04, “A bill for an act to amend sections 1, 2, 3, 5/19/17 @10A.M. 20-04 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146, 19-160 and 20-01, in order to appropriate $483, 650 of additional funds from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, to change the use of certain funds, to correct for a Technical error. (By W&M Committee)

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:12 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 have that Awaiting List. Members, take a look at it. Next item.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-06. TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 20TH CFSM May 11,2017 TO May 30, 2017 COMMITTEE REFERRAL

REFERRAL SHEET NO.20-06, DAY 09, FRIDAY, 05/19/17, AT 10:00 A.M.

C.B.NO. SUBJECT COMMITTEE 20-21 To further clarify the procedures for approving foreign J&GO financial assistance and program funds by amending section 210 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, to rectify typographical errors, to replace the Division of Investment Management with the Overseas Development Assistance, and for other purposes. 20-22 To further amend Public Law No. 16-58, as amended by W&M Public Laws Nos. 16-64, 16-72, 17-08, 17-11, 17-20, 17- 35, 17-41, 18-77 and 19-38, by amending section 5 thereof, to change the use of certain funds previously appropriated

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therein, to fund public projects and social programs in the State of Chuuk, and for other purposes. 20-23 To amend section 391 of title 40 of the Code of the EDUC. Federated States of Micronesia, (Annotated), as amended, to include the award scholarships for summer high school academic programs under the jurisdiction of the National Scholarship Board, and for other purposes. PRESIDENTIAL SUBJECT COMMITTEE COMM.NO. 20-07 (Dated 05/12/17 & received 05/17/17) – Transmitting a bill J&GO to amend section 210 of title 55 of the FSM Code (Annotated), as amended by Public Law No. 19-149, to further clarify the process of approving foreign financial assistance and federal grants and to rectify the ambiguity and typographical errors in the law. FSM SUPREME COMMITTEE COURT SUBJECT COMM.NO. 20-01 (Dated 05/16/17 & received 05/17/17) – From the Hon. INFO. Dennis K. Yamase, Chief Justice, FSM Supreme Court, informing that pursuant to the Judiciary Act of 1979 he had designated the Hon. Chang B. William, Chief Justice of the Kosrae State Court to serve as a Temporary Justice of the Supreme Court of the Federated States of Micronesia in Appeal Cases Nos. P1-2013, P13-2014, P6-2015/P8-2015; and P14-2016. DEPARTMENTAL SUBJECT COMMITTEE COMM.NO. 20-01 (Dated & received 05/16/17) – From Mr. Joses R. Gallen, T&C/INFO. Sr., Secretary, Department of Justice, addressing questions, which were raised during a meeting with Speaker and members of Congress, concerning infrastructure. AGENCY OR SUBJECT COMMITTEE GOVERNMENTAL AUTHORITY COMM.NO. 20-02 (Dated 05/16/17 & received 05/17/17) – From the Hon. R&D Haser Hainrick, FSM Public Auditor, transmitting an audit report on the FSM Development Bank, for FY 2016.

Speaker Simina: Chairmen and members, take a look at the Referral Sheet and make your plans accordingly.

UNFINISHED BUSINESS

None

143 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

BILL CALENDAR

C.B. No. 20-04, CD1 (1st Reading): To further amend title 2 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-33, 19-29 and 19-63, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes. – J&GO – (cf. SCR No. 20-03).

Speaker Simina: Chairman Romolow.

Chairman Romolow: I move for passage of C.B. No. 20-04 on first reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 04, CD1. Discussion? If none, 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 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, two absent.

Speaker Simina: For that reason, C.B. No. 20-04, CD1has been passed by Congress. Next bill.

C.B. No. 20-22 (2nd Reading): To further amend Public Law No. 16-58, as amended by Public Laws Nos. 16-64, 16-72, 17-08, 17-11, 17-20, 17-35, 17-41, 18-77 and 19- 38, by amending section 5 thereof, to change the use of certain funds previously appropriated therein, to fund public projects and social programs in the state of Chuuk, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I so move for the passage of the Bill (C.B. No. 20-22) on second and final reading.

144 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

Chairman Perman: Second.

Chairman Urusemal: Short recess.

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

RECESS

The Congress reconvened at 11:19 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-22. Any further discussion? if none, debate 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: Senator Alik Aye State of Yap: Chairman Urusemal Aye

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

Speaker Simina: The Bill, C.B. No. 20-22, has been passed by Congress on second and final reading.

Chairman Panuelo: Mr. Speaker, point of privilege.

Speaker Simina: State your point, Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I ask that we recognize our good friend and former Congressman, and former Chairman of the R&D Committee, and now the Deputy Ambassador to Japan. I ask that we recognize Ambassador Roger Mori who is in the gallery observing our session (applause). Also, some citizens who are here, if you allow me, I will read out their names and we give them a collective round of applause. We have here a young individual who is a good friend of mine, PJ Etnol. I don’t remember where he is working now but he is a very active individual. He was a member of Student Body Organization when he was a student attending PICS High School. We also have Paul James from Ettal; and Marcus Nicodemus from Lukunoch. These individuals are also observing our session this morning. Let’s recognize them (applause). Thank you.

Speaker Simina: Thank you, Chairman Panuelo. We join you in welcoming Ambassador Mori to our session this morning and those citizens who have been introduced. Any other points of privilege? If none, next bill, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: I move to reconsider C.B. No. 20-11, CD3. I so move, Mr. Speaker.

145 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

Acting Floor Leader Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress reconsider its action on C.B. No. 20-11, CD3. That is not subject to debate. The vote will be by Delegations. Chief Clerk, call the roll.

The Chief Clerk took the roll call by States.

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

Chief Clerk: Mr. Speaker, all the four States voted in favor of the reconsideration.

Speaker Simina: For that reason, C.B. No. 20-11, CD3 has been reconsidered. Make the motion for passage, Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move that we pass C.B. No. 20-11, CD3.

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 11:23 a.m.

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

Chairman Gouland: Thank you, Mr. Speaker. I move for passage of the said Bill (C.B. No. 20-11, CD3). C.B. No. 20-11, CD3 (2nd Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4, 5 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-11, CD3. Discussion? Chairman Gouland, you have the floor.

Chairman Gouland: Thank you, Mr. Speaker. I have a floor amendment to the Bill (C.B. No. 20- 11, CD3). It has been duplicated and circulated to all Members. It is merely just shifting line items, decreasing and creating new item. Thank you, Mr. Speaker.

Speaker Simina: Short recess.

146 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 11:24 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:24 a.m.

Speaker Simina: Congress comes back to session. Let the records reflect that the rules especially the one prohibiting substantive amendment on second and final reading be suspended. Any discussion on the offered amendment? It is just distributed. It is quite lengthy so its reading will be dispensed with. Any discussion on the offered amendment? 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. 20-11, CD3 say ‘aye’ – opposed say ‘nay’. The motion is carried. We now have CD4. Any further discussion? If none, debate 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: Senator 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. 20-11, CD4 has been passed by Congress on second and final reading. Next bill.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:26 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:27 a.m.

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

RESOLUTION CALENDAR

None Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move to withdraw and place Congress Resolution No. 20-08 on the Resolution Calendar for action.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that C.R. No. 20-08 be withdrawn and placed on the Calendar for action. Chief Clerk, read the title of the Resolution. Short recess.

147 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

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

RECESS

The Congress reconvened at 11:29 a.m.

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

C.R. No. 20-08: 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, 2017.

Speaker Simina: There you have it. Make a motion for adoption.

Chairman Figir: I move for the adoption of the said Resolution (C.R. No. 20-08).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-08. Discussion?

Chairman Figir: Question.

Speaker Simina: Question has been called for. If there is no objection, debate is closed. Let’s vote. All those in favor of the adoption of C.R. No. 20-08 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-08, is adopted by Congress. Next resolution.

Chief Clerk: Mr. Speaker, there are none.

Speaker Simina: Next item.

INTRODUCTION OF BILLS

C.B. NO. 20-25 Introduced by: Speaker Simina Assigned to: W&M Date introduced: May 19, 2017

To amend section 141 of title 54 of the Code of the Federated States of Micronesia (Annotated), as amended, to increase by two percent (2%) the rate of taxation on gross revenues of certain businesses subject to chapter 1 of this title, and for other purposes.

C.B. No. 20-26 Introduced by: Speaker Simina Assigned to: T&C Date introduced: May 19, 2017

To further amend section 203 of title 21 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 18-52, to require the Telecommunications

148 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

Corporation of the Federated States of Micronesia to provide services and system access on the HANTRU1 Cable System to the Open Access Entity free of charge, and for other purposes.

C.B. No. 20-28 Introduced by: Senator Figir Assigned to: J&GO Date introduced: May 19, 2017

To further amend title 12 of the Code of the Federated States of Micronesia (Annotated), by creating a new chapter 18 to allow for the appointment of a special prosecutor to independently investigate and prosecute claims of alleged national felonies committed by government officials, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-10 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 17, 2017

Ratifying the agreement to the Treaty on Fisheries Between the Governments of Certain Pacific Island States and the Government of the United States of America.

C.R No. 20-11 Introduced by: Senator Urusemal Assigned to: R&D Date introduced: May 17, 2017

To approve and accept a grant in the amount of EUR 436,089 from the Government of the Federal Republic of Germany for protecting islands through learning and leading in adaptation to climate change and renewable energy, including all the terms and conditions of the assistance.

C.R. No. 20-12 Introduced by: Senator Urusemal Assigned to: R&D Date introduced: May 17, 2017

To approve and accept a grant in the amount of EUR 325,000 from the Government of the Federal Republic of Germany for enhancing investments in small-scale renewable energy technologies in the Federated States of Micronesia, including all the terms and conditions of the assistance.

MISCELLANEOUS COMMUNICATIONS

None

149 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business? If none, next item.

ANNOUNCEMENTS

Speaker Simina: Chairman Figir.

Chairman Figir: There are no announcements, Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Your Committee on H&SA, again, Monday at 2:30 p.m., with MiCare. Thank you.

Speaker Simina: Thank you, Chairman Perman. Chairman Romolow.

Chairman Romolow: Short recess.

Speaker Simina declared the Congress recessed at 11:31 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. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. J&GO Committee will hold a budget hearing tomorrow with the Office of Public Defender, at 10:00 a.m., at the Central Facility.

Speaker Simina: Take note members of J&GO Committee. You have a hearing with Public Defender Office. Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, we don’t have any announcement now but we will confer with the schedule and sometime today we will decide which one and we will post it on the board or the TV monitor. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Your Committee on T&C wants to remind all members for the 8:30 a.m. budget hearing, in the Hearing Room on Tuesday.

Speaker Simina: Short recess.

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

RECESS

150 May 19, 2017 CONGRESSIONAL JOURNAL –DAY 9 – 1RS – 20CFSM

The Congress reconvened at 11:34 a.m.

Speaker Simina: Congress comes back to session. The Chairman of T&C had made his announcement. Members of T&C Committee, take note of that hearing on Tuesday. Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. Just a reminder to your members of Education Committee for our continued budget hearing this afternoon at 1:00 p.m., with the College of Micronesia-FSM, including the Board of Regents and COM-FSM, in the Hearing Room. It is BYOL, again (Bring Your Own Lunch). Thank you.

Speaker Simina: Take note, members of Education Committee. Vice Speaker.

Vice Speaker Moses: Thank you, Mr. Speaker. In the meeting this morning with the President, he wanted us to convey to you and Members that the luncheon today is postponed to 6:00 o’clock at Cliff. Discussions will be on the fiber optic, conference, and the suspension of the infrastructure and some other items. What would be served for diner will be breadfruit and pork.

Speaker Simina: Thank you, Vice Speaker Moses for that important announcement. Take note Members. Senator Neth. Senator Alik. Senator Aritos. Senator Konman.

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

Speaker Simina: 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 11:36 a.m.

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

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

Vice Speaker Moses: Second.

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

Speaker Simina declared that the Congress stand in recess at 11:37 a.m., Friday, May 19, 2017, until Monday, May 22, 2017, at 10:00 a.m.

151

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY TEN Saturday, May 20, 2017 No Session

DAY ELEVEN

Sunday, May 21, 2017

No Session

DAY TWELVE

Monday, May 22, 2017

The Twelfth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:28 a.m., Monday, May 22, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Thirteen Members were present; Floor Leader Harper was 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. 20-14 - (dated and received 05/19/17) – Submitting for consideration the Memorandum of Understanding on the Goods and Services Program between the Overseas Fishery Cooperation Foundation of Japan and the Government of the FSM.

-No. 20-15 - (dated and received 05/19/17) – Returning Congressional Act No. 19-163 as Public Law No. 20-01, which Congress re-passed certain vetoed items.

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

FSM SUPREME COURT COMMUNICATIONS

None

152 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

-No. 20-03 - (dated 05/19/17 and received 05/22/17) – From the Hon. Lorin S. Robert, Secretary, Department of Foreign Affairs, informing that the first meeting on the Joint Compact Review and Planning is now scheduled for Friday, May 25, 2017, at 8:30 a.m. in the Central Facilities Building in Palikir.

Speaker Simina: Assign that, Chief Clerk. That is for information of members of JCRP. Next item.

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

-No. 20-01 - (dated 05/17/17 and received 05/19/17) – From Dee N.N. Libian, Chief Clerk, 9th Yap State Legislature, transmitting a certified copy of Yap State Resolution No. 9-45, which was adopted by the 9th Legislature, 3rd Regular Session.

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

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

-SCR No. 20-04, RE. C.B. No. 20-24: “To amend sections 1, 2, 3, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146, 19-160, and 20-01, in order to appropriate $483,650 of additional funds from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes.” – W&M – (RECOMMENDS ITS PASSAGE/May 19, 2017).

Speaker Simina: Chairman Figir.

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Chairman Figir: Thank you, Mr. Speaker. I move for the adoption of the said Report (SCR No. 20- 04).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-04. Discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: On page 3, second to the last paragraph, I think it can be treated as technical but let me just offer a very small amendment. The last sentence, it reads, “Moreover, your Committee recommends a slight change in the language to this line item, to reflect these funds to be used to cover receipts from medical expenses in FY 2016 and 2017.” I so move.

Speaker Simina: Short recess.

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 discussion of the Standing Committee Report No. 20-04. There is a proposed oral amendment by Chairman Figir, which was seconded. Chairman Figir, do you want to explain?

Chairman Figir: I don’t know if my main motion was seconded. So let me offer it again. I so move. Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment be adopted. Discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I know that it is understood. However, I want to make it crystal clear so nobody misunderstands it because it made reference to FY 2016. This fund appropriated here in this fiscal year can also be used for FY16. Outstanding, balances, and FY17.

Speaker Simina: Okay. So, any further discussion?

Acting Floor Leader Urusemal: Short recess.

Speaker Simina declared the Congress recessed at 10:35 a.m., subject to the call of the Chair.

154 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

RECESS

The Congress reconvened at 10:40 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of the offered oral amendment. Any further discussion? If none, let’s vote. All those in favor of the offered oral amendment to SCR No. 20-04 say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment is adopted. Any further discussion on the Report (SCR No. 20-04)? If none, debate is closed. Let’s vote. All those in favor of the adoption of SCR No. 20-04 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-04 as amended, is adopted. Next report.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item. Short recess.

Speaker Simina declared the Congress recessed at 10:41 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:41 a.m.

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

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-07.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 20TH CFSM May 11,2017 TO May 30, 2017 COMMITTEE REFERRAL

REFERRAL SHEET NO.20-07, DAY 12, MONDAY, 05/22/17, AT 10:00 A.M.

C.B.NO. SUBJECT COMMITTEE 20-24 To amend sections 1,2,3,4,6,8 and 9 of Public Law No. 19- W&M 118, as amended by Public Laws Nos. 19-125,19-131, 19-135, 19-146, 19-160, and 20-01, in order to appropriate $483, 650 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30,2017, to change the use of certain funds, to correct for a technical error, and for other purposes. 20-25 To amend section 141 of title 54 of the Code of the Federated W&M States of Micronesia (Annotated), as amended, to increase by two percent (2%) the rate of taxation on gross revenues of

155 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

certain businesses subject to chapter 1 of this title, and for other purposes. 20-26 To further amend section 203 of title 21 of the Code of the T&C Federated States of Micronesia (Annotated), as amended by Public Law No. 18-52, to require the Telecommunications Corporation of the Federated States of Micronesia to provide services and system access on the HANTRU 1 Cable System to the Open Access Entity free of charge, and for other purposes. C.R.NO. SUBJECT COMMITTEE 20-10 Ratifying the agreement to the Treaty on Fisheries Between R&D the Governments of Certain Pacific Island States and the Government of the United States of America. 20-11 To approve and accept a grant in the amount of EUR 436,089 R&D from the Government of the Federal Republic of Germany for protecting islands through learning and leading in adaptation to climate change and renewable energy, including all the terms and conditions of the assistance. 20-12 To approve and accept a grant in the amount of EUR 325,000 R&D from the Government of the Federal Republic of Germany for enhancing investments in small-scale renewable energy technologies in the Federated States of Micronesia, including all the terms and conditions of the assistance. PRESIDENTIAL SUBJECT COMMITTEE COMM.NO. 20-08 (Dated 05/16/17 & received 05/18/17 – Sharing the 17th INFO. Micronesia President’s Summit (MPS) Communiqué and associate documents for your information and reference. 20-09 (Dated 05/16/17 & received 05/18/17) – Transmitting a R&D Resolution for the acceptance of a foreign assistance in the amount of EUR 325,000 from the Government of the Republic of Germany and the European Union to the Government of the Federated States of Micronesia. 20-10 (Dated 05/16/17 & received 05/18/17) – Transmitting a R&D Resolution for the acceptance of a foreign assistance in the amount of EUR 436,089 from the Government of the Republic of Germany and the European Union to the Government of the Federated States of Micronesia. 20-11 (Dated 05/17/17 & received 05/18/17) – Transmitting a R&D/EX.AFF. Resolution ratifying the amendment to the Multilateral Treaty on Fisheries between the Governments of certain Pacific Island States and the Government of the United States of America. 20-12 (Dated & received 05/18/17) – Bringing to attention the on- INFO. going efforts by the FSM National Government with the United States Government on the issue pertaining to the suspension on awarding of public infrastructure grant assistance to the FSM; and inviting Congress members to be part of this important discussion and to also attend an internal meeting on May 19, 2017 in preparation for

156 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

the upcoming meeting in Honolulu on (proposed) date of June 01, 2017. 20-13 (Dated & received 05/18/17) – Inviting members of the INFO. Congress leadership to a luncheon meeting on Friday, May 19,2017 in the President’s conference room to address certain issues, such as fiber optic cable project updates, the upcoming Ocean’s Conference in New York, highlights of the outcomes of the recent Micronesia President’s Summit, the suspension of Compact infrastructure funding for public projects, and the way ahead for the JCRP to commence its important work, and other issues proposed by Congress members.

DEPARTMENTAL SUBJECT COMMITTEE COMM.NO. 20-02 (Dated 05/18/17 & received 05/19/17) – From Mrs. Sihna N. W&M Lawrence, Secretary, Department of Finance & Administration, transmitting a Fund Status Report for the FSM National Government, including the appropriations to the four (4) states governments, as of March 31, 2017.

Speaker Simina: Chairmen and members of the respective Committees, take a look at the Referral Sheet for your planning purposes. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-24 (1st Reading): To amend sections 1, 2, 3, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146, 19- 160, and 20-01, in order to appropriate $483,650 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes. – W&M – (cf. SCR No. 20-04).

Speaker Simina: Short recess.

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

RECESS

The Congress reconvened at 10:42 a.m.

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

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of the Bill (C.B. No. 20-24) on first reading.

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Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 24. Discussion?

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

Speaker Simina declared the Congress recessed at 10:43 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:44 a.m.

Speaker Simina: Congress comes back to session.

Chairman Figir: 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 Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Aye Speaker Simina Aye

Chief Clerk: Mr. Speaker, thirteen Members voted for, one absent.

Speaker Simina: For that reason, C.B. No. 20-24 has been passed by Congress on first reading. Next bill.

C.B. No. 20-04, CD1 (2nd Reading): To further amend title 2 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-33, 19-29 and 19-63, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes. – J&GO – (cf. SCR No 20-03).

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Speaker Simina: Chairman Romolow.

Chairman Romolow: I make a motion to defer action on C.B. No. 20-04, CD1 to Friday’s session.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-04, CD1 be deferred to Friday’s session. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-04, CD1, is now deferred to Friday’s session. Next bill. Short recess.

Speaker Simina declared the Congress recessed at 10:47 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:48 a.m.

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

Chairman Panuelo: Mr. Speaker, point of privilege.

Speaker Simina: State your point of privilege.

Chairman Panuelo: Thank you, Mr. Speaker. Good morning to you, Members, and to everyone who are observing from the gallery. I have a note here that we have certain individuals who are in the gallery for recognition. Please allow me, on our behalf, to introduce them for recognition. We have Mr. Welsin Helgenberger, the former Chief Minister of U Municipal Government, and a local businessman. Let’s give him a round of applause (applause). Mr. Speaker, we have a student from Nahnpei Memorial High School, Glenton Silwer. I hope I pronounce his name right. We wish him best and hope that he enjoys the summer. Let’s recognize him (applause). Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Of course, the Congress joins you in welcoming our two citizens who are observing our session this morning. Any other points of privilege? If none, next item.

RESOLUTION CALENDAR

None

Chairman Panuelo: Mr. Speaker, I have a resolution here. Either I wait till tomorrow or I can withdraw and place it now. It is very simple.

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 10:52 a.m.

Speaker Simina: Congress comes back to session. We are still on the Resolution Calendar.

159 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I make a motion to withdraw and place Congress Resolutions Nos. 20-05 and 20-13 on the Resolution Calendar for action. I so move.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that the following Resolutions be withdrawn and placed on the Resolution Calendar for action: C.R. Nos. 20-05 and 20-13. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The two Resolutions, C.R. No. 20-05 and 20-13, are withdrawn and placed on the Calendar for action.

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Who is that?

Acting Floor Leader Urusemal: Your Acting Floor Leader who is trying to make sure we are following our rules.

Speaker Simina: Please speak up louder, my good Acting Floor Leader. You have the floor.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. For us to safely consider Resolutions Nos. 20-05 and 20-13, I move that the relevant rules be suspended including the requirement for reports to be attached to resolutions and any of other sections that might impede our action. I so move.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that all the relevant rules that might impede our action on these Resolutions, C.R. Nos. 20-05 and 30-13, be suspended at this point. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The relevant rules are suspended at this point. First resolution.

C.R. No. 20-05: Requesting that the Speaker of the Twentieth Congress of the Federated States of Micronesia establish a Special Committee on Climate Change and Environmental Issues.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: I so move for the adoption of Resolution No. 20-05.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-05. Discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of Resolution No. 20- 05 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-05, has been adopted by Congress. Next resolution.

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C.R. No. 20-13: Expressing the sincere appreciation to Eastern Oregon University for their support and promotion of students from the Federated States of Micronesia.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I so move for the adoption of C.R. No. 20-13.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-13. Discussion?

Chairman Panuelo: Mr. Speaker, I want to put on record to say that the Resolution (C.R. No. 20- 13) is really expressing appreciation to this Institution, Eastern Oregon University for its role in the human resources development of our Nation. I was saying during recess that many individuals throughout our Nation are in very important roles of helping the growth of our Nation. I wish to also share that I have been invited by the President of the Eastern Oregon University to be their keynote speaker on June 17. They have sent in the itinerary. I have shared it with the Chief Clerk. I thank you for approving that I speak at the graduation. This Resolution, C.R. No. 20-13, I have intent to present it to the President during the ceremony and a small token of appreciation by way of financial contribution to the Eastern Oregon University endowment fund. We have appropriated that money under Congress At-Large public project funds. I believe that there will be many of our students who are currently going to school there, I will be having lunch with the international students. I have not learned how many will be part of the commencement ceremony on June 17. I thank you, Mr. Speaker, and ask for the Members support for the adoption of this Resolution (C.R. No. 20-13). Thank you.

Speaker Simina: Thank you, Chairman Panuelo. I congratulate you on behalf of our Congress for your selection as the keynote speaker at this school, which has been providing support to our citizens for decades and we have seen the products, which is very important. I hope you will have chance to read out the Resolution (C.R. No. 20-13). If we pass it, you can take it to the school on behalf of your colleagues in the Twentieth Congress. Any further discussion?

Acting Floor Leader Urusemal: Just two minor questions I wish to ask the good Chairman. One is, if this is one of the Universities that is located in La Grande, Oregon. Second, is it one of the few Colleges and Universities that, in the past, were giving or recruiting students from Micronesia, including the College in Santa Fe, New Mexico, in Texas – is this one of those Universities and Colleges?

Speaker Simina: Chairman Panuelo, can you enlighten our friend?

Chairman Panuelo: Thank you, Mr. Speaker. Yes. The College is located in Eastern Oregon, a town called La Grande. So, the Chairman of Education is correct. Going back to the 70’s, we started having individuals like, I think, our current Ambassador to Fiji is one of the earlier students who graduated from there, Ambassador Anefel and followed by many other students. In terms of recruitment, I am not sure what kind of recruitment but I do understand that the second-year graduates of COM-FSM, we have records of many students from COM who are going there for their Bachelor’s degree. But the school, although it is small but it has a record of having many international students attending that school. That is the general history that I have of the school. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Does that answer your question?

161 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

Chairman Urusemal: Thank you, Mr. Speaker; and I thank the good Chairman.

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow

Chairman Romolow: Thank you, Mr. Speaker. Let me just also add on to what Chairman Panuelo had stated in regards to the questions by the good Chairman of Education. Yes, indeed, Eastern Oregon had in the early or late 80’s there was a program that Eastern Oregon and the College of Micronesia or CCM at that time, have entered into and there was an undergraduate that was administered under the College of Micronesia that time. Thank you.

Speaker Simina: Thank you, Chairman Romolow. Any other discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of Resolution No. 20-13 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-13, has been adopted by Congress. Next resolution, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:02 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:04 a.m.

Speaker Simina: Congress comes back to session. We are still on the Resolution Calendar. If there is no other resolution, next item.

INTRODUCTION OF BILLS

NONE

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-13 Introduced by: Senator Panuelo Assigned to: NONE Date introduced: May 22, 2017

Expressing the sincere appreciation to Eastern Oregon University for their support and promotion of students from the Federated States of Micronesia.

MISCELLANEOUS COMMUNICATIONS

None

162 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

MISCELLANEOUS BUSINESS

Speaker Simina: Any miscellaneous business?

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. I just want to congratulate Chairman Panuelo for being selected or being invited to be the guest speaker at that University. I seldom hear invitation to speak at higher education, college level. I usually hear Members of Congress being invited to speak at elementary or high school but never heard of this. I am very proud of Chairman Panuelo for being invited and accepted the invitation to be there. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly. Yes. That is why I initially congratulated him on that. It is also part of our responsibility to do things, to go out and share the goodwill of our FSM Congress to whoever is willing to hear of us. I think that is one way of doing it.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker; thank you also, my good friend, Chairman Welly for his kind words. Just a bit of a background, this person was the President of EOU, he learned about me but he also learned about the FSM much more. Way back in history, his father came to Xavier as an EOU faculty and contacted a program at Xavier in the mid 80’s, if I am not mistaken. As a young boy, Mr. Tom Insko, a prominent person, the CEO of, I don’t know if you have heard, the Boise Cascade, a very huge company that produces lumbers out of the Northwest. So he is the CEO of the Eastern Region. He gave up his job to become the President of the Eastern Oregon University. It is kind of unusual to get a CEO of a company. Normally they get someone from academia to head up institutions like that. So he called the US Embassy to get the number to reach me. So what he shared was that last year their keynote speaker was the Governor of Oregon but he wanted something that is more international, to invite someone that is more international. So I am being selected to be their keynote speaker. I will go there and do my best to represent our Nation. I will go and share the experience as an alumnus of the school to share our nation building experience and hopefully can link it to the role of the school and the human resources development in the FSM and throughout the Pacific. Many students from Palau, from Marshall Islands, and other international nations go there. I was also able to listen on Live at the UH, Hilo Graduation, they invited the President of Palau as the keynote speaker. He delivered a very, very good statement. At least nine Pohnpeian were graduated from there. I am not sure of the other States. I followed the Pohnpeians nine of our students graduated from UH, Hilo. I know there are many of us or few of us in here who are also graduated from UH, Hilo. I think Vice Speaker is a graduate of UH, Hilo and others here. Thank you, Mr. Speaker and Members. I will do my best to represent our Nation. Thank you for your kinds words, also.

Speaker Simina: Thank you, Chairman Panuelo; thank you also for hosting lunch for our graduating students from Hilo. I heard of that and that is a very nice gesture of you.

Acting Floor Leader Urusemal: Mr. Speaker.

163 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: Just a couple of miscellaneous, one of which is, I wish to request that the good Chairman of External Affairs introduce similar resolution relating to the University of the United States where he and two other individuals attended, the one in Maui. I heard it was a very good experience for the Chairman. But on the State Communication No. 20-01 relating to the requested resolution, adopted by the Ninth Yap State Legislature, I think it speaks volume of the need. When we consider decisions especially in the Executive and also in the Legislative Branch that we take or appreciate the make up of our federation. That is made of four states. And when appointing people that would be helping us to make sure that w have representative from all four States. This Resolution is requesting the President to appoint a liaison person for the state of Yap to take care of Yap needs. I really appreciate this because many times Chairman Figir and I have been acting in this capacity trying to follow up on issues pertaining request from Yap or issues that concern the state of Yap. For Yap, I hope that in adopting this Resolution, that they would not only put in words, as United said: “Actions speak louder than words.” I recall years back we had quite a few numbers of Yapese working in the National Government. For some unknown reason, many of them decided to depart Palikir and go back to their home state or find work somewhere else. So not only that the President take this Resolution seriously but also for the state of Yap to find a person if this office is established to put in there, and for our young Yapese to apply for jobs at the National Government when they complete their school. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. On the first matter, yes. Chairman Welly should think about that because I am also a USIU graduate from San Diego. I hope we can jointly do something to that effect. But unfortunately, our school got taken over by another. On the next matter, yes, this is a request and it is up to the President. I would have thought that Yap would send someone to work here. It is easier because he can also do all these advice of allotments, PCDs, so I thought it would have been easier for them to send someone to station here so he can handle all this on behalf of the state of Yap. But I guess that is the decision. Thank you for that. Any other miscellaneous business?

Acting Floor Leader Urusemal: Another small one, Mr. Speaker.

Speaker Simina: Proceed.

Acting Floor Leader Urusemal: On the Presidential Communication relating to, I believe, the assistance from Japan, what do you call it? That is the Goods and Services Program. I think the Resolution is speaking to the goods that would be provided to the FSM, specifically to Pohnpei State. I recall a year or two years ago that similar assistance was provided to Yap and it came with a companion. That was the assistance from Korea. I am just wondering here if there is any reason why it is not whether we are getting it or not included here, or it is forthcoming, no more, or what. I just want to know what happened to that. Is it going to come or not?

Speaker Simina: Thank you, Chairman Urusemal. We will find out about that. It is interesting. Rumor has it that this will be that last Goods and Services. Next time it will be based on National Fisheries priority. I guess this will be it. But maybe that is up to Congress. We can look into it. Any other miscellaneous business? Just one thing I would like to ask the appropriate Committees: To continue to move on the Telecommunication issues. We are facing deadlines. I can understand the issues but I guess we need to address them one way or the other. I would like to ask the Committees who are involved with this to continue to look at ways to resolve those issues. Any other miscellaneous business? If none, Announcements.

164 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

Chairman Welly: Thank you, Mr. Speaker. At 1 p.m., tomorrow, in the Hearing Room, we will have a budget hearing with the Department of External Affairs. Food will be provided. I invite all Members of Congress to please join us. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly for the announcement. Take note, Committee members and Members of Congress for that. The invitation of lunch and hearing has been extended to you. Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. Just to remind your Committee on Ways and Means of our very short meeting immediately after this morning’s session in the Members’ Lounge.

Speaker Simina: Thank you, Chairman Figir. Take note, members of Ways and Means Committee. You have a short meeting immediately after our session today. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Your Committee on H&SA will have a hearing at 2:30 p.m. with MiCare. All Members are invited. This is regarding your Insurance. Bring your questions and concerns. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Perman. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. Your Committee on J&GO will hold a budget hearing tomorrow at 2:30 p.m. with Judiciary. Thank you.

Speaker Simina: Take note members of J&GO.

Chairman Gouland: Short recess, Mr. Speaker.

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

RECESS

The Congress reconvened at 11:19 a.m.

Speaker Simina: Congress comes back to session. Short recess, again.

Speaker Simina declared the Congress recessed at 11:19 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:20 a.m.

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

165 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

Chairman Panuelo: Thank you, Mr. Speaker. Your Committee on R&D concluded Banking Commissions Office budget this morning. We are pretty much done with the exception of R&D Department. We will schedule that this week. And maybe we may hold an oversight hearing on one of the Major Corporate Bill. But I have to see if that has already been transmitted from Administration. If not, then that will have to wait when that is received by Congress. That’s just the schedule this week, Mr. Speaker. The other major bill your Committee is waiting on from the Nineteenth Congress is the deep Seabed Mining. We have completed all the hearings throughout the States. And we want to bring it in and report it, if it misses this time, then during Special Session. I ask for the full body of Congress to support it since those two major Bills are very important to the Nation. Again, the Corporate Bill, we may continue oversight on it. On the Deep Seabed Mining, if you remember, that is the framework that would establish the legal framework to be able to manage exploit and look at our Deep Seabed Mining within our exclusive economic zone and beyond. That is very important, Mr. Speaker, and we hope that the Committee can report it in during the next special session at the latest. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo for your good works of the Committee. Looks like you are progressing well ahead of our usual schedule. I thank you for that. For those two important Bills, my understanding is that we have not yet received them. We will have to just wait and see. Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. Your Committee on T&C will have a budget hearing tomorrow at 8:30 a.m. in our Hearing Room. Thank you.

Speaker Simina: Thank you, Chairman Gouland. Take note members of T&C Committee of that hearing. Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. Your Committee on Education will continue its budget hearing this afternoon at quarter to 1 p.m., in the Hearing Room. It is going to be with the Department of Education post secondary. I urge members to come on time so we can complete our meeting before the 2:30 p.m. schedule. It will be in the Hearing Room. If you are thinking of having your lunch here, in the Office, it will be provided for. But those who will be going home for lunch, please go home and eat, and not take food from here and run to your house. Thank you.

Speaker Simina: Thank you, my stingy Chairman on Education. Chief Clerk, can I change my assignment on the Committee? Any announcement Vice Speaker Moses?

Vice Speaker Moses: None.

Speaker Simina: Senator Neth. Senator Alik. Senator Aritos. Senator Konman. If there is no further business, Acting Floor Leader Urusemal.

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

Chairman Panuelo: Second.

166 May 22, 2017 CONGRESSIONAL JOURNAL –DAYS 10, 11, 12 – 1RS – 20CFSM

Speaker Simina: It has been moved and seconded that this Congress 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 until tomorrow at 10:00 a.m.

Speaker Simina declared that the Congress stand in recess at 11:24 a.m., Monday, May 22, 2017, until tomorrow, Tuesday, May 23, 2017, at 10:00 a.m.

167

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY THIRTEEN

Tuesday, May 23, 2017

The Thirteenth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:38 a.m., Tuesday, May 23, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Eleven Members were present; Senator Aritos, Vice Speaker Moses, and Floor Leader Harper were excused.

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

PRESIDENTIAL COMMUNICATIONS

-No. 20-16 - (dated 05/19/17 and received 05/22/17) – Transmitting a bill on public debt management.

-No. 20-17 - (dated 05/19/17 and received 05/22/17) – Transmitting a bill establishing a civil liability revolving fund that will be used to satisfy money judgement and settlement of civil actions brought against the national government.

-No. 20-18 - (dated 05/19/17 and received 05/22/17) – Transmitting a bill, which will nationalize the regulation of foreign investment pursuant to the authority of Congress to regulate foreign and interstate commerce.

-No. 20-19 - (dated 05/19/17 and received 05/22/17) – Transmitting a bill to appropriate funds up to $725,000 to cover the expenses relating to the grounding of Pingda 7.

-No. 20-20 - (dated 05/19/17 and received 05/22/17) – Transmitting a bill that will overhaul and modernize title 36 of the FSM Code (major corporations).

Speaker Simina: Assign those, Chief Clerk. Chairman Panuelo, those Bills are now re-transmitted, especially the one on Corporate. Next item.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

168 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

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

-No. 20-01 - (dated 05/22/17 and received 05/23/17) – From Mr. Martin Chun gong, Secretary General, IPU, extending congratulations and providing a brief summary of issues, which were covered during the 136th IPU General Assembly in Dhaka, Bangledash.

Speaker Simina: Assign that, Chief Clerk. Order of the Day.

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

The Chief Clerk called attention to Awaiting List No. 20-04 for more Standing Committee Reports, which are awaiting the 24 hours requirement.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 20TH FSM CONGRESS MAY 11, 2017 TO MAY 30, 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. 20-04, 13TH DAY, TUESDAY, MAY 23, 2017, AT 10:00 A.M. REPORT SUBJECT DATE AND TIME NO. SCR No. 20- RE: C.B. No. 20-19, “To further amend title 55 of the Code of 5/23/17 @ 10:00 05 the Federated States of Micronesia (Annotated), as amended, by a.m. inserting a new section 112 to chapter 1, to place a statutory limit

169 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes.” – Submitted by: W&M Committee. SCR No. 20- RE: C.B. No. 20-15, “To amend sections 389 and 391, and 5/23/17 @ 10:00 06 insert a new section 392, under Chapter 3 of title 21 of the a.m. Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the Open Access Entity, and for other purposes.” – Submitted by: T&C Committee.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:41 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:42 a.m.

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

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-08.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 20TH CFSM May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-08, DAY 13, TUESDAY, 05/23/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-27 To further amend Public Law No. 18-99, as amended by W&M Public Laws Nos. 18-106, 18-113, 18-121, 19-05, 19-34, 19- 57, 19-74 and 19-107, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund public projects and social programs for the people of the state of Kosrae, and for other purposes. C.R. NO. SUBJECT COMMITTEE 20-13 Expressing the sincere appreciation to Eastern Oregon NONE University for their support and promotion of students from the Federated States of Micronesia.

170 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-14 (dated and received 05/19/17) – submitting for consideration W&M the Memorandum of Understanding on the Goods and Services Program between the Overseas Fishery Cooperation Foundation of Japan and the Government of the FSM. 20-15 (dated and received 05/19/170 – Returning Congressional Act INFO. No. 19-163 as Public Law No. 20-01, which Congress re- passed certain vetoed items. DEPARTMENTAL SUBJECT COMMITTEE COMM. NO. 20-03 (dated 05/19/17 and received 05/22/17) – From the Hon. INFO. Lorin S. Robert, Secretary, Department of Foreign Affairs, informing that the first meeting on the Joint Compact Review and Planning is now scheduled for Friday, May 25, 2017, at 8:30 a.m. in the Central Facilities Building in Palikir. STATE COMM. SUBJECT COMMITTEE NO. 20-01 (dated 05/17/17 and received 05/19/17a) – From Dee N. INFO. Libian, Chief Clerk, 9th Yap State Legislature, transmitting a certified copy of Yap State Resolution No. 9-45, which was adopted by the 9th Legislature, 3rd Regular Session.

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

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-24 (2nd Reading): To amend sections 1, 2, 3, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146, 19- 160, and 20-01, in order to appropriate $483,650 of additional funds from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes. – W&M – (cf. SCR No. 20-04).

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-24) on second and final reading.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-24. Discussion? Short recess.

171 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 10:44 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. We are still on discussion of C.B. No. 20-24. Chairman Figir.

Chairman Figir: I move to defer action on the said Bill (C.B. No. 20-24) to tomorrow.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the Bill (C.B. No. 20-24) 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. 20-24, is deferred to tomorrow’s Calendar for action. Next bill. Short recess.

Speaker Simina declared the Congress recessed at 11:08 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:09 a.m.

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

Chairman Welly: Thank you, Mr. Speaker. I move to withdraw and place C.B. No. 20-27 on today’s Calendar for action.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-27 be withdrawn from the Committee and placed on the Calendar for action. Acting Floor Leader.

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

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the relevant rules be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Any and all relevant rules that might impede our actions on the motion are suspended. Let’s vote. All those in favor of the Bill, C.B. No. 20-27 to be withdrawn and placed on the Bill Calendar say ‘aye’ – opposed say ‘nay’. The motion is carried. The Bill, C.B. No. 20-27 is now placed on the Calendar for action. Chairman Figir.

Chairman Figir: I move for passage of the said Bill (C.B. No. 20-27) on first reading.

172 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

C.B. No. 20-27 (1st Reading): To further amend Public Law No. 18-99, as amended by Public Laws Nos. 18-106, 18-113, 18-121, 19-05, 19-34, 19-57, 19-74 and 19-107, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund public projects and social programs for the people of the state of Kosrae, and for other purposes.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20-27. Discussion? If none, discussion is closed. Let’s vote by roll call of Members.

The Chief Clerk took the roll call by Members.

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

Chief Clerk: Mr. Speaker, eleven Members voted for, three absent.

Speaker Simina: The Bill, C.B. No. 20-27, has been passed by Congress on first reading. Next bill. If there is none, next item.

RESOLUTION CALENDAR

None

INTRODUCTION OF BILLS

C.B. No. 20-27 Introduced by: Senator Welly Assigned to: W&M Date introduced: May 23, 2017

To further amend Public Law No. 18-99, as amended by Public Laws Nos.18-106, 18-113, 18-121, 19-05, 19-34, 19-57, 19-74 and 19-107, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund public projects and social programs for the people of the state of Kosrae, and for other purposes.

173 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

INTRODUCTION OF RESOLUTIONS

NONE

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Any miscellaneous business?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I just want to reiterate what I said by congratulating the state of Yap for hiring a very, very experience engineer for their PMU to do design for their collateral projects and others. I also congratulate them for hiring a very, very experienced public auditor, too. They are all from the Philippines and they have a lot of experience because they are over eighty years old. Thank you.

Speaker Simina: Thank you, Chairman Figir. First time you said, “very”, and now “very, very”. It must be very, “very”. Do you have any comment on that, Chairman Urusemal?

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. You know, the older you get, the more mature and the more experience – so there is nothing wrong with that. That is why I was opposed mandatory retirement of sixty years old because some people when they get older, they are much better than when they were forty years old. There is nothing wrong with that. I join the state of Yap in making sure that our senior citizens from the world are working.

Speaker Simina: Thank you. I thought you were referring to the senior citizens of Yap. Any other miscellaneous business?

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 11:14 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:31 a.m.

Speaker Simina: Congress comes back to session. We are still on the Miscellaneous Business. Any other miscellaneous business. If none, Announcements.

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

174 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

Chairman Welly: Thank you, Mr. Speaker. At 1:00 p.m., the Committee on External Affairs will have meeting with the Department on budget for the Department and the Office of the Veterans Affairs. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly. Members of External Affairs, take note for that hearing at 1:00 p.m. Chairman Figir.

Chairman Figir: No announcements.

Speaker Simina: Seriously, no announcements? Okay, thank you. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Tomorrow at 2:30 p.m., we will have the nomination of Social Security and other things. Thank you.

Speaker Simina: Thank you, Chairman Perman. Take note of that time for tomorrow’s meeting, members of H&SA. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. Your Committee on J&GO will hold a budget hearing today at 2:30 p.m., in the Hearing Room with Judiciary Branch. Thank you.

Speaker Simina: Thank you. Take note of that, members of J&GO Committee. Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, no announcement from R&D Committee.

Speaker Simina: Thank you, Chairman Panuelo. Chairman Gouland.

Chairman Gouland: No announcements, Mr. Speaker. Thank you.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:32 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. Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. Your Committee on Education will have a mark down session tomorrow at 1:00 o’clock.

Speaker Simina: Sounds ominous, “mark down”, but that is your job. Take note, members of Education Committee. You have a mark down tomorrow at 1:00 o’clock. Senator Neth, do you have any announcement?

Senator Neth: None.

Speaker Simina: Senator Alik, do you have any announcement?

Senator Alik: No announcements, Mr. Speaker.

175 May 23, 2017 CONGRESSIONAL JOURNAL –DAY 13 – 1RS – 20CFSM

Speaker Simina: Thank you. Senator Konman.

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

Speaker Simina: If no further business, Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I move that this Congress stand in recess and be prepared for the lunch until tomorrow at 10:00 a.m.

Chairman Welly: Second.

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

Speaker Simina declared that the Congress stand in recess at 11:35 a.m., Tuesday, May 23, 2017, until tomorrow, Wednesday, May 24, 2017, at 10:00 a.m.

176

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY FOURTEEN

Wednesday, May 24, 2017

The Fourteenth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:40 a.m., Wednesday, May 24, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Thirteen Members were present; Floor Leader Harper was excused.

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

PRESIDENTIAL COMMUNICATIONS

-No. 20-21 - (dated and received 05/23/17) – Inviting Speaker and members of the 20th FSM Congress to join their meeting to discuss the updates pertaining to the issue on the suspension of the infrastructure project grant assistance to FSM.

Speaker Simina: Members, take a look at that. That is an invitation for a meeting. Assign that, Chief Clerk. Next item.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

177 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

STATE COMMUNICATIONS

None

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

STANDING COMMITTEE REPORTS

-SCR No. 20-05, RE: C.B. No. 20-19: “To amend title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by inserting a new section 112 to chapter 1, to replace a statutory limit on the amount of funds that Congress may appropriate to members’ representation funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes.” – W&M – (RECOMMENDS PASSAGE/May 23, 2017).

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the adoption of the Report (SCR No. 20-05).

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-05. Short recess.

Speaker Simina declared the Congress recessed at 10:44 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:44 a.m.

Speaker Simina: Congress comes back to session. We are now on discussion of the Standing Committee Report No. 20-05. Any discussion? If none, let’s vote. All those in favor of the adoption of the Standing Committee Report No. 20-05 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-05, is adopted by Congress. Next report.

-SCR No. 20-06, RE: C.B. No. 20-15: “To amend sections 389 and 391, and insert a new section 392, under chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated), as amended, pertaining to assets and liabilities of the

178 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

Open Access Entity, and for other purposes.” – T&C – (RECOMMENDS THE BILL SHOULD REMAIN IN COMMITTEE/May 23, 2017).

Speaker Simina: Chairman Gouland.

Chairman Gouland: Short recess.

Speaker Simina declared the Congress recessed at 10:45 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. Chairman Gouland, you have the floor.

Chairman Gouland: Mr. Speaker, I move to recommit SCR No. 20-06 to the Committee.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the Standing Committee Report No. 20-06 be recommitted to the Committee. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-06, is now recommitted to the Committee. Next report.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:50 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:50 a.m.

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

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-09.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

179 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

REFERRAL SHEET NO. 20-09, DAY 14, WEDNESDAY, 05/24/17, AT 10:00 A.M.

PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-16 (dated 05/19/17 and received 05/22/17) – Transmitting a bill on W&M public debt management. 20-17 (dated 05/19/17 and received 05/22/17) – Transmitting a bill W&M establishing a civil liability revolving fund that will be used to satisfy money judgement and settlement of civil actions brought against the national government. 20-18 (dated 05/19/17 and received 05/22/17) – Transmitting a bill, R&D which will nationalize the regulation of foreign investment pursuant to the authority of Congress to regulate foreign and interstate commerce. 20-19 (dated 05/19/17 and received 05/22/17) – Transmitting a bill to W&M appropriate funds up to $725,000 to cover the expenses relating to the grounding of Pingda 7. 20-20 (dated 05/19/17 and received 05/22/17) – Transmitting a bill that R&D will overhaul and modernize title 36 of the FSM Code (major corporations). FOREIGN SUBJECT COMMITTEE GOVERNMENT COMM. NO. 20-01 (dated 05/22/17 and received 05/23/17) – From Mr. Martin Chun INFO. gong, Secretary General, IPU, extending congratulations and providing a brief summary of issues, which were covered during the 136th IPU General Assembly in Dhaka, Bangledash.

Speaker Simina: Chairmen and members take a look at the Referral Sheet and make your plans accordingly. Next item. UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-19, CD1 (1st Reading): To further amend Title 3 of the Code of the Federated States of Micronesia (Annotated), as amended, by inserting a new section 305 to chapter 3 to place a statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes. – W&M – (cf. SCR No. 20-05).

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I move for the passage of the Bill (C.B. No. 20-19, CD1) on first reading.

Chairman Perman: Second.

180 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 19, CD1. Discussion? Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. Just a very small question. The phrase, “shall not exceed an amount for fiscal year”, as a lawyer, can you explain to me what that phrase mean?

Speaker Simina: Sure, I can. Short recess.

Speaker Simina declared the Congress recessed at 10:52 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. We are still on discussion of C.B. No. 20-19, CD1. Any further discussion? If none, 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 Nay Senator Figir Aye Senator Gouland Nay Floor Leader Harper Excused Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Nay Speaker Simina Aye

Chief Clerk: Mr. Speaker, ten Members voted for, three against, and one absent.

Speaker Simina: For that reason, C.B. No. 20-19, CD1 has been passed by Congress on first reading. Next bill.

Chairman Gouland: 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. Next bill.

C.B. No. 20-24 (2nd Reading): To amend sections 1, 2, 3, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by Public Laws Nos. 19-125, 19-131, 19-135, 19-146,

181 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

19-160, and 20-01, in order to appropriate $483,650 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes. – W&M – (cf. SCR No. 20-04).

Deferred 05/23/17 to today.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-24) on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass C.B. No. 20-24 on second and final reading. Discussion? Short recess.

Speaker Simina declared the Congress recessed at 11:09 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:09 a.m.

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

Chairman Panuelo: Mr. Speaker, I have a floor amendment that has been distributed to C.B. No. 20-24. I so move for its adoption.

Amendment to C.B. No. 20-24 Offered by Senator David W. Panuelo

C.B. No. 20-04 is hereby amended to read as follows:

1. Page 1 title, line 3, delete “$483, 650” and insert “$630, 065” in lieu thereof. 2. Page 1, line 6, delete “74, 812, 095” and insert “ 74,958,568” in lieu thereof. 3. Page 7, line 24, delete “6,136,568” and insert “6, 246, 568” in lieu thereof. 4. Page 8, line 6, delete “3, 594, 511” and insert “3, 664, 511” in lieu thereof. 5. Page 8, line 16, delete “2, 361, 600” and insert “2, 431, 600” in lieu thereof. 6. Page 8, line 20, delete “2, 052, 057” and insert “2, 092, 057” in lieu thereof. 7. Page 8, line 25, delete “165, 252” and insert “205, 252” in lieu thereof. 8. Page 14, line 3, delete “13,231, 384” and insert “13,267,799” in lieu thereof. 9. Page 17, after line 10, insert : “(m) Pohnpei State Hospital Dialysis Program (Services and Travel………………………………………………………… 20, 000 10. Page 20, after line 23, insert: “(n) Prior Year Obligations…………………. 16, 415

Purpose of these amendments: To appropriate $146,415 of additional funds from the FY 2017 Budget, including $70,000 for “ Speaker and Members: Contractual Services” [Representation Fund], $40,000 for “Staff Offices: Travel”, $20,000 for “ Pohnpei State Hospital Dialysis Program (Services and Travel)’, and $16,415 for “Office of Environment & Emergency Management: Prior Year Obligations” in the FY 2017 Budget, and to adjust the relevant Budget section totals accordingly.

182 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

Date: May 22, 2017 Introduced by: /s/ David W. Panuelo David W. Panuelo

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt the offered floor amendment to C.B. No. 20-24 by Chairman Panuelo. Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: I move for the suspension of the relevant rules.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the relevant rules especially that one prohibiting substantive amendments 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. We are still on discussion of the offered floor amendment to C.B. No. 20-24 by Chairman Panuelo. Because of its length, we will dispense with its reading. Discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of the offered floor amendment to C.B. No. 20-24 say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment is adopted. We now have CD1. Any further discussion on the Bill (C.B. No. 20-24, CD1)?

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

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

RECESS

The Congress reconvened at 11:22 a.m.

Speaker Simina: Congress comes back to session. Any further discussion on the Bill (C.B. No. 2024, CD1)?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: Thank you, Mr. Speaker. I have a very, very small amendment.

Speaker Simina: Please state your tiny amendment.

Chairman Figir: On page 22, item 1, where it says, “Yap Catholic High School Robotics Competition”, add “and other school needs”. I so move.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Figir be adopted. The relevant rules are still suspended at this point. Discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

183 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

Chairman Figir: The oral amendment is to broaden the intent of the use of the fund appropriated herein. In the event, there is a balance of this fund – the school can use for other school needs besides religious activities.

Speaker Simina: There you have it. Short recess.

Speaker Simina declared the Congress recessed at 11:24 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:24 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of the offered oral amendment by Chairman Figir. Any further discussion on that? If none, debate is closed. Let’s vote. All those in favor of the offered oral amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment by Chairman Figir is adopted. We now have CD2. Any further discussion on the Bill (C.B. No. 20- 24, CD2)? If none, debate is closed. Let’s vote on the passage of C.B. No. 20-24, CD2. 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. Speaker, all the four States voted for.

Speaker Simina: The Bill, C.B. No. 20-24, CD2, has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-27 (2nd Reading): To further amend Public Law No. 18-99, as amended by Public Laws Nos. 18-106, 18-113, 18-121, 19-05, 19-34, 19-57, 19-74 and 19-107, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund public projects and social programs for the people of the state of Kosrae, and for other purposes.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-27) on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass C.B. No. 20-27 on second and final reading. Discussion?

Vice Speaker Moses: Mr. Speaker, may I ask that we defer the Bill (C.B. No. 20-27) to tomorrow?

Speaker Simina: Short recess.

184 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

Speaker Simina declared the Congress recessed at 11:26 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:27 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-27.

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

Chairman Figir: I move to defer action on the said Bill (C.B. No. 20-27) to tomorrow.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that C.B. No. 20-27 be deferred to tomorrow’s session. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

RESOLUTION CALENDAR

None

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I wish to make a motion to withdraw and place Congress Resolution No. 20-07 on the Resolution Calendar for action.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that Resolution No. 20-07 be withdrawn and placed on the Resolution Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-07, is now withdrawn and placed on the Resolution Calendar for action. Chairman Urusemal.

Acting Floor Leader Urusemal: As Acting Floor Leader, I take it that relevant rules are still suspended.

Speaker Simina: The relevant rules, if no objection, are still suspended up to this point.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: I so move for the adoption of C.R. No. 20-07.

185 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

C.R. No. 20-07: Approving and accepting a grant amendment in the amount of $113,110 from the United Nations Framework Convention on Climate Change through the Green Climate Fund to the Federated States of Micronesia, to fund a contract for a GCF grant writer specialist.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Resolution No. 20-07. Discussion?

Chairman Panuelo: Mr. Speaker, it is just a right timing that our Congress has also adopted or made a decision to make that Special Committee active again for the Twentieth Congress. This Resolution, Mr. Speaker, is an additional grant. There was an earlier funding or grant request for the Green Climate Fund of $300,216. This additional funding is $113,000 to be used for project development for grant writing. We all know that the Green Climate Fund is a very huge substantial amount of money. Our preparation and capacity building is important. This is what this grant is about: to help us build a capacity to develop projects in grant writing so that we can access that fund throughout all of our States. This is the purpose of the funding. I have more grants here to help us build capacity for our Country Program strategy for the FSM. Thank you, Mr. Speaker.

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

Speaker Simina declared the Congress recessed at 11:31 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. 20-07.

Chairman Figir: Question.

Speaker Simina: Question has been called for. If there is no objection, debate is closed let’s vote. All those in favor of the adoption of C.R. No. 20-07 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-07, is adopted by Congress. Next resolution.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: 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 11:33 a.m.

Speaker Simina: Congress comes back to session. We are still on the Resolution Calendar. if there is no further resolution, next item.

186 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

INTRODUCTION OF BILLS

C.B. No. 20-29 Introduced by: Senator Figir Assigned to: J&GO Date introduced: May 24, 2017

To further amend title 2 of the Code of the Federated States of Micronesia (Annotated), as amended, by adding a new section 211 entitled: “ Salaries of cabinet officers”, and for other purposes.

C.B. No. 20-30 Introduced by: Floor Leader Harper Assigned to: W&M Date introduced: May 24, 2017

To appropriate the sum of $725,000 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, in order to pay for the expenses incurred, or which will be incurred, in connection with the grounding of Pingda 7, and for other purposes.

C.B. No. 20-31 Introduced by: Floor Leader Harper Assigned to: J&GO Date introduced: May 24, 2017

Establishing a civil liability revolving fund by creating new subchapter XVI, under chapter 6 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes.

C.B. No. 20-32 Introduced by: Floor Leader Harper Assigned to: W&M Date introduced: May 24, 2017

Establishing the FSM Public Debt Management Act by further amending title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by creating a new chapter 15, providing for the procedures, terms and conditions of government borrowing, including the terms of on- lending of funds, issuance of sovereign guarantee, creating the Public Debt Management Advisory Group, and for other purposes.

C.B. No. 20-33 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 24, 2017

To further amend the Foreign Investment Act of 1997, as amended, in order to introduce improvements thereof and streamlining of foreign investment by nationalizing the approval of applications of foreign investment permit, and creating a national pre-emption over foreign investment, and to achieve the stated purposes by amending sections 202, 205, 206 and 208 of, and by inserting a new section 202A to, title 32 of the Code of the Federated States of Micronesia (Annotated), and by providing for a transition clause, and for other purposes.

187 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

C.B. No. 20-34 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 24, 2017

To enact a new chapter 1 of Title 36 of the Code of the Federated States of Micronesia (Annotated), and to repeal the existing chapter 1 in its entirety, to renumber chapter 2 of Title 36 of the Code of the Federated States of Micronesia as chapter 3, for the purpose of creating a new FSM national corporations law, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-14 Introduced by: Senator Gouland Assigned to: NONE Date introduced: May 24, 2017

Expressing the sincere gratitude and appreciation to Mr. Lucas Cupps for his dedicated service as staff attorney to the Congress Federated States of Micronesia.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business? If none, next item.

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

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

Speaker Simina: Chairman Figir. Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Your Committee of H&SA will have a hearing with the nominee, Mr. Keller and Social Security. Thank you.

Speaker Simina: Thank you. Take note members of H&SA Committee. Chairman Romolow.

Chairman Romolow: No announcements.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: We are still going through our notice of hearings, which one will be on. For now, no announcements, Mr. Speaker.

Speaker Simina: Chairman Gouland.

188 May 24, 2017 CONGRESSIONAL JOURNAL –DAY 14 – 1RS 20CFSM

Chairman Gouland: Thank you, Mr. Speaker. Your Committee on T&C will do one more round of the Bill with OEEM tomorrow at 8:30 a.m. Members are welcomed.

Speaker Simina: Take note members of T&C Committee. It is an important hearing of the on- going effort to address the fiber optics. Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. Just one-second recess.

Speaker Simina declared the Congress recessed at 11:35 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. Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. Your Committee on Education, to move away from lunch break period, is going to meet right after the H&SA Committee meeting. It will be an executive meeting based on the budget that we have received from the Department, we will do our mark down. That will be right after the H&SA meeting, in the Members’ Lounge.

Speaker Simina: Take note members of Education Committee. You have a mark up, not mark down in the Members’ Lounge. Vice Speaker Moses. Senator Neth. Senator Alik. Senator Aritos. Senator Konman. Okay, I have a short announcement to the four members of the JCRP from Congress: We will have our short sit down right after session in my office. Any further business? Lunch is being ordered by the Committee that come at 1:00 o’clock. If there is no further business, Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I move that this Congress stand in recess until 10:00 o’clock in the morning.

Chairman Perman: Second.

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

Speaker Simina declared that the Congress stand in recess at 11:39 a.m., Wednesday, May 24, 2017, until tomorrow, Thursday, May 25, 2017, at 10:00 a.m.

189

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY FIFTEEN

Thursday, May 25, 2017

The Fifteenth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:37 a.m., Thursday, May 25, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Eleven Members were present; Senator Gouland, Senator Perman, and Floor Leader Harper were excused.

Senator 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 Welly seconded, and the motion carried by voice vote.

PRESIDENTIAL COMMUNICATIONS

-No. 20-22 - (dated 05/23/17 and received 05/24/17) – Transmitting a bill to appropriate funds of up to $147,862 for the completion of the Chuuk State Weno Road Project.

Speaker Simina: Assign that, Chief Clerk. I think that is the explanation for the amount that was questioned yesterday. Next item.

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

-No. 20-04 - (dated and received 05/24/17) – From the Hon. Lorin S. Robert, Secretary, Department of Foreign Affairs, attaching an invitation from the Co-chairs of the 14th General Meeting of the International Parliamentarians’ Coalition for North Korean Refugees and Human Rights (IPCNKR), scheduled to be held in Antigua, Guatemala, from 18-20 July 2017.

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

190 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

-No. 20-02 - (dated 05/09/17 and received 05/24/17) – From the Hon. Johnson S. Elimo, Governor, Chuuk State, extending congratulations, and requesting for matching funding support for certain events scheduled within the next few months for Chuuk State.

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

STATE SUPREME COURT COMMUNICATIONS

None

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

-No. 20-02 - (dated 05/24/17 and received 05/25/17) – From Mr. Taro Aso, President, APPU Japanese National Group, informing on the upcoming APPU 47th General Assembly and the 81st Council Meeting to be held from September 18 to 20, 2017 in Beppu, Oita Prefecture, Japan.

Speaker Simina: Assign that, Chief Clerk. Order of the Day.

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. 20-10.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

191 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-10, DAY 15, THURSDAY, 05/25/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-28 To further amend title 12 of the Code of the Federated States of J&GO Micronesia (Annotated), by creating a new chapter 18 to allow for the appointment of a special prosecutor to independently investigate and prosecute claims of alleged national felonies committed by government officials, and for other purposes. 20-29 To further amend title 2 of the Code of the Federated States of J&GO Micronesia (Annotated), as amended, by adding a new section 211 entitled: “Salaries of cabinet officers”, and for other purposes. 20-30 To appropriate the sum of $725,000 from the General Fund of W&M the Federated States of Micronesia for the fiscal year ending September 30,2017, in order to pay for the expenses incurred, or which will be incurred, in connection with the grounding of Pingda 7, and for other purposes. 20-31 Establishing a civil liability revolving fund by creating new J&GO subchapter XVI, under chapter 6 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes. 20-32 Establishing the FSM Public Debt Management Act by further W&M amending title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by creating a new chapter 15, providing for the procedures, terms and conditions of government borrowing, including the terms of on-lending of funds, issuance of sovereign guarantee, creating the Public Debt Management Advisory Group, and for other purposes. 20-33 To further amend the Foreign Investment Act of 1997, as R&D amended, in order to introduce improvements thereof and streamlining of foreign investment by nationalizing the approval of applications of foreign investment permit, and creating a national pre-emption over foreign investment, and to achieve the stated purposes by amending sections 202, 205,206 and 208 of, and by inserting a new section 202A to, title 32 of the Code of the Federated States of Micronesia (Annotated), and by providing for a transition clause, and for other purposes. 20-34 To enact a new chapter 1 of Title 36 of the Code of the Federated R&D States of Micronesia (Annotated), and to repeal the existing chapter 1 in its entirety, to renumber chapter 2 of Title 36 of the Code of the Federated States of Micronesia as chapter 3, for the purpose of creating a new FSM national corporations law, and for other purposes.

C.R. NO. SUBJECT COMMITTEE 20-14 Expressing the sincere gratitude and appreciation to Mr. Lucas NONE Cupps for his dedicated service as staff attorney to the Congress of the Federated States of Micronesia.

192 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-21 (dated and received 05/23/17)- Inviting Speaker and members INFO. of the 20th FSM Congress to join their meeting to discuss the updates pertaining to the issue on the suspension of the infrastructure project grant assistance to the FSM.

The Chief Clerk called attention to Re-Referral Sheet No. 20-03

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE RE-REFERRAL

RE-REFERRAL SHEET NO. 20-03, DAY 15, THURSDAY, 05/25/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-03 Establishing a citizen repatriation and resettlement revolving J&GO fund by creating a new subchapter XVII under chapter 6 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes.

Speaker Simina: Take note, Chairmen and members of the Committees and plan accordingly. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-27 (2nd Reading): To further amend Public Law No. 18-99, as amended by Public Laws Nos. 18-106, 18-113, 18-121, 19-05, 19-34, 19-57, 19-74 and 19-107, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund public projects and social programs for the people of the state of Kosrae, and for other purposes.

Deferred 05/24/17 to today.

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the said Bill (C.B. No. 20-27) on second and final reading.

Chairman Welly: Second.

193 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. NO. 20-27. Any discussion?

Vice Speaker Moses: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 10:43 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:46 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-27. Chairman Welly, you have the floor.

Chairman Welly: Thank you, Mr. Speaker. Good morning. I have a floor amendment that I wish to offer to the said Bill (C.B. No. 20-27). The amendment was printed, duplicated, and circulated in yesterday’s package. So Members should have copies of it. It is quite lengthy, about three pages long. I will not ask Liwiana (Chief Clerk) to read it. I move for its adoption.

Floor Amendment to C.B. No. 20-27 Offered by Senator Paliknoa K. Welly

C.B. No. 20-27 is hereby amended to read as follows:

15. Title, line 3, delete “sections 3 and 6”, and insert “sections 3, 4 and 6” in lieu thereof. 16. Title, line 5, delete “state of Kosrae”, and insert “states of Kosrae and Pohnpei” in lieu thereof. 17. Page 1, line 9, delete “65,000”, and insert “60,000” in lieu thereof. 18. Page 3, line 5, delete “5,000”, and insert “10,000” in lieu thereof. 19. Page 3, between lines 5 and 6, insert the following: “Section 2. Section 4 of Public Law No. 18-99, as amended by Public Law No. 18-113, 18-121, 19-05 and 19-34, is hereby amended to read as follow: “Section 4. Of the $2,800,000 appropriated in this act, $800,000 is appropriated for public projects and social programs for the people of the State of Pohnpei. (1) At Large ...... $ 200,000 (a) Aid to Non Public Schools (i) OLM Catholic High School ...... 15,000 (ii) Pohnpei Catholic School ...... 10,000 (iii) SDA School ...... 10,000 (iv) Calvary Baptist School ...... 15,000 (b) Students Tuition Assistant Grant ...... 10,000 (c) Pohnpei Local Legislative Conference hosting ...... 15,000 (d) Pohnpei Local Judicial Council workshop, conference hosting ...... 15,000 (e) Two Pohnpei State Police vehicles ...... 50,000 (f) Pohnpei Traditional Leaders Conference, travel and hosting ...... 15,000 (g) Light systems for sports facilities ...... 10,000

194 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

(h) Senpehn ECE Center facility improvement ...... 15,000 (i) Multipurpose Complex, Madolenihmw ...... 15,000 (j) Stipend for FSM 2015 Close-up students to Washington D.C...... 5,000 (2) Election District No. 1 ...... 200,000 (a) Sokehs/Kolonia (Pakin Island) cellular & wifi$ 80,000 (b) Road improvement/maintenance for Kolonia and Sokehs ...... 100,000 (c) Pohras bridge ...... 20,000 (3) Election District NO. 2, ...... 200,000 (a) Nansalohi road improvement ...... 20,000 (b) Oloapoal road paving, PROVIDED THAT, $30,000 will be used for Pahnkoamoau road paving [80,000] ...... 78,854 (c) Kepine, Madolenihmw road improvement ...... [25,000] 22,793 (d) Paies, Kitti road improvement ...... 20,000 (e) Mand community road construction ...... 20,000 (f) Nan Woalin Poahlong road construction ...... [20,000] 0 (g) COM-FSM Cooperative Extension Service (CES)[7,355] ...... $ 6,866 (h) Sports equipment and awards ...... [7,645] 0 (i) Administrative support services ...... 31,487 (4) Election District No. 3 ...... 200,000 (a) Election District No. 3 road paving ...... 100,000 (b) Secondary road improvement ...... 50,000 (c) Medical referral and related expenses ...... 10,000 (d) Municipal Governments’ Subsidy ...... 40,000” 6. Page 4, line 14, after “Development”, insert “the allottee of funds appropriated under sections 4(3(a) and 4(3)(i) in this act shall be the Secretary of the Department of Transportation, Communications and Infrastructure or his designee. 7. Page 4, line 14, delete “the allottee of funds appropriated”. 8. Page 4, lines 15, 16 and 17 in their entirety. 9. Page 4, line 18, delete “Cooperative Extension Service”. 10. Page 5, line 6, delete “Section 3”, and insert “Section 4” in lieu thereof.

Date: March 25, 2017 Introduced by: /s/ Paliknoa K. Welly Paliknoa K. Welly

Purpose of amendment: To change the use and allottee of funds, especially for Kosrae and Pohnpei States under this act.

Chairman Figir: Second.

195 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-27 by Chairman Welly be adopted. Because of its length, we will dispense with its reading. Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that the section of our rules that prohibit substantive amendment on second reading and any other section of the rules that may impede our action on this amendment be suspended.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and second that the relevant rules, specifically the rules prohibiting substantive amendment on second reading 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. Any discussion?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: I would like to make an oral amendment to page 3 on the amendment proposed by Chairman Welly.

Speaker Simina: Proceed.

Vice Speaker Moses: On page 3, at the top, subsection “d” (d), strike out “40,000”, and insert “0” in lieu thereof. Then include a new subsection “e” “(e) conservation trainings and travel 15,000”; “f Nan Welin Rohi, U road paving 25,000”. I so move, Mr. Speaker.

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Vice Speaker Moses to the offered floor amendment by Chairman Welly be adopted. Short recess.

Speaker Simina declared the Congress recessed at 10:48 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 on the offered oral amendment by Vice Speaker Moses. Any discussion?

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

Speaker Simina: Yes. Thank you, Acting Floor Leader. Any discussion of the offered oral amendment? If none, without objection, debate is closed. Let’s vote. All those in favor of the offered oral amendment by Vice Speaker say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered oral amendment is adopted. Any further discussion on the floor amendment as amended? If none, without any objection, debate is closed on the floor amendment by Chairman Welly as amended. Let’s vote. All those in favor of the offered floor amendment to C.B. No. 20-27 by Chairman Welly say

196 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment to C.B. No. 20-27 as amended is adopted. Any further discussion on the Bill (C.B. No. 20-27, CD1)?

Chairman Welly: Mr. Speaker.

Speaker Simina: Chairman Welly.

Chairman Welly: On the Kosrae version of the amendment is just a change of the use of funds and allottee. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Welly for your explanation. Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. I wish to offer a floor amendment. I believe it has been distributed and it is in our package for today. It is quite lengthy so I will ask that we suspended its reading. I move for the adoption of the said amendment.

Floor Amendment to C.B. No. 20-27 Offered by Senator Robson U. Romolow

C.B. No. 20-27 is hereby amended to read as follows:

1. Title, line 3, delete “sections 3 and 6”, and insert “sections 3, 5 and 6” in lieu thereof. 2. Title, line 5, delete “state of Kosrae”, and insert “states of Kosrae and Chuuk” in lieu thereof. 3. Page 3, between lines 5 and 6, insert the following: “Section 2. Section 5 of Public Law No. 18-99, as amended by Public Laws Nos. 18-106, 18-113, 19-05, 19-34, 19-57 and 19-74, is hereby further amended to read as follows: “Section 5. Of the $2,800,000 appropriated in this act, $1,200,000 is appropriated for public projects and social programs for the people of the state of Chuuk. (1) At Large ...... $ 200,000 (a) Community infrastructures & housing renovation ...... 30,000 (b) Contributions to state, municipal and community events/programs/activities ...... 60,000 (c) Administrative support services (Allottee for At Large Chuuk) ...... 15,000 (d) Fishing Project ...... 45,000 (e) Social Security obligations 10,000 (f) Land transportation ...... 10,000 (g) Leadership, patients, students and travel needs, Community Outreach and Advocacy Program ...... 30,000 (2) Election District No. 1 ...... $ 200,000 (a) Municipal Governments’ subsidy ...... 88,000 (b) Mortlocks leadership ...... -0- (c) Poverty alleviation projects, programs and activities ...... 60,000 (d) Health, Education and Sanitation

197 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Project...... -0- (e) Municipal, community and traditional activities/contributions ...... 11,000 (f) Communication, solar projects ...... -0- (g) Purchase and operation of a vessel ...... 41,000 (3) Election District No. 2 ...... 200,000 (a) Housing and Community Hall rehabilitation ...... 70,000 (b) Solar System Project ...... 18,000 (c) Contributions to Hilo, Maui and Portland Associations ...... 12,000 (d) Student financial assistance ...... 10,000 (e) Travel needs ...... 40,000 (f) Land transportation ...... $ 10,000 (g) Poverty alleviation projects, programs and activities ...... 10,000 (h) Administrative support services (Allottee for Election District No. 2) ...... 20,000 (i) Leadership/patients/students contributions ...... 10,000 (4) Election District No. 3 ...... $ 200,000 (a) Fishing Project ...... 40,000 (b) Individual housing effected by Typhoon Maysak ...... 60,000 (c) Community Outreach and Advocacy Program ...... 15,000 (d) Administrative support service (SNDA) ...... 25,000 (e) Poverty alleviations projects, programs and activities ...... -0- (f) Human Repatriation and Medical Referral Program ...... 10,000 (g) Solar lighting system and power generators for housing effected by Typhoon Maysak...... 10,000 (h) Food relief program for areas effected by Typhoon Maysak...... 30,000 (i) POL/charter/utilities and freight ...... 10,000 (5) Election District No. 4 ...... $ 200,000 (a) Community housing improvement and renovation43,052 (b) Leadership/patients/students travel needs ...... 20,000 (c) Fishing Project subsidy ...... 40,000 (d) Humanitarian Assistance subsidy ...... 20,000 (e) Farming Project subsidy...... 20,000 (f) Municipal Governments subsidy ...... 20,000 (g) Water System Project subsidy ...... 6,948 (h) Faichuk Development Authority administrative cost ...... 10,000 (i) Land transportation (students and farmers) ...... 20,000

198 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

(6) Election District No. 5 ...... $ 200,000 (a) Land transportation ...... [40,000] 24,669 (b) Northwest Islands Dispensary boat purchase ...... 20,000 (c) COM-FSM/Palau Community College/ College of the Marshall Islands students’ outstanding debt ...... [30,000] 0 (d) Municipal Government subsidy/ inaugural expenses ...... 47,846 (e) Patient referral/medical and related expenses ...... $ 20,000 (f) UH at Hilo Ph.D. studies ...... -0- (g) Election District No. 5 vehicle ...... 7,350 (h) Turtle conservation program...... -0- (i) Northwest youth musical instruments ...... [20,000] 11,500 (j) POL ...... [14,804] 0 (k) Northwest House of Representative/ Senate subsidy ...... 20,000 (l) Solar street lights ...... 38,635 (m) Food relief program ...... 10,000”

4. Page 5, line 6, delete “section 3”, and insert “section 4” in lieu thereof.

Date: March 25, 3017 Introduced by: /s/ Robson U. Romolow Robson U. Romolow

Purpose of the Amendment: To change the use of funds under this act for Election District No. 5, Chuuk State.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-27 by Chairman Romolow be adopted. Because of its length, the reading of it will be dispensed with. Let the record reflect that the relevant rules are still suspended at this point. Any discussion on the offered floor amendment by Chairman Romolow? If none, without objection, debate is closed. Let’s vote. All those in favor of the adoption of the floor amendment to C.B. No. 20-27, CD1 by Chairman Romolow say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment is adopted. Now we have C.B. No. 20-27, CD2. Any further discussion?

Vice Speaker Moses: Short recess.

Speaker Simina declared the Congress recessed at 10:52 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:53 a.m.

199 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Speaker Simina: Congress comes back to session. We are still on discussion of the offered floor amendment to C.B. No. 20-27, CD2. Any further discussion on the Bill (C.B. No. 20-27, CD2)? If none, 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 Welly 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. 20-27, CD2 has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-19, CD1 (2nd Reading): To further amend Title 3 of the Code of the Federated States of Micronesia (Annotated), as amended, by inserting a new section 305 to chapter 3 to place a statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes. – W&M – (cf. SCR No. 20-05).

Speaker Simina: Chairman Figir.

Chairman Figir: I move for the passage of the Bill (C.B. No. 20-19, CD1) on second and final reading.

Acting Floor Leader Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-19, CD1. Discussion?

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

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

RECESS

The Congress reconvened at 10:56 a.m.

Speaker Simina: Congress comes back to session. We are on discussion of C.B. No. 20-19, CD1. Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. On your behalf, I wish to offer a proposed floor amendment. In the title, line 4, delete “relative to the annual salary of the President of the Federated States of Micronesia”. Item 2, page 2, line 1, delete “to be allotted and disbursed on a quarterly basis.” I so move.

200 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Chairman Figir: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment to C.B. No. 20- 19, CD1 be adopted. Any discussion?

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

Speaker Simina: Yes. Thank you, Acting Floor Leader Urusemal. Let the record reflect that the relevant rules are still suspended up to this point. Any discussion on the offered amendment? If none, debate is closed. Let’s vote. All those in favor of the offered oral amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The oral amendment is adopted. Any further discussion on the Bill (C.B. No. 20-19, CD2)? Short recess.

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

RECESS

The Congress reconvened at 11:01 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-19, CD2? Any further discussion? If none, debate 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

Chairman Panuelo: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:02 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:03 a.m.

Speaker Simina: Congress comes back to session. Continue the roll call, Chief Clerk. State of Pohnpei: Chairman Panuelo Nay State of Kosrae: Chairman Welly

Chairman Welly: I yield the floor to Senator Alik

State of Kosrae: Senator Alik Aye State of Yap: Chairman Urusemal Aye

Chief Clerk: Mr. Speaker, three States voted for, one against.

Speaker Simina: For that reason, C.B. No. 20-19, CD2 has been passed by Congress on second and final reading. Next bill, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

201 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Speaker Simina: Resolution Calendar.

RESOLUTION CALENDAR

None

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:06 a.m., subject to the call of the Chair.

RECESS The Congress reconvened at 11:09 a.m.

Speaker Simina: Congress comes back to session. We are on the Resolution Calendar.

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

Speaker Simina declared the Congress recessed at 11:09 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:10 a.m.

Speaker Simina: Congress comes back to session. Senator Konman.

Senator Konman: Thank you very much, Mr. Speaker. I move to place Congress Resolution No. 20-14 on today’s Resolution Calendar for action. I so move.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that Congress Resolution No. 20-14 be placed on the Resolution Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-14, is now placed on the Resolution Calendar for action. Senator Konman.

Senator Konman: Thank you very much, Mr. Speaker. I move for the adoption of Congress Resolution No. 20-14.

C.R. No. 20-14: Expressing the sincere gratitude and appreciation to Mr. Lucas Cupps for his dedicated service as staff attorney to the Congress of the Federated States of Micronesia.

Acting Floor Leader Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Congress Resolution No. 20-14. Any discussion?

Chairman Figir: Mr. Speaker.

Speaker Simina: Chairman Figir.

202 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Chairman Figir: I find it difficult to support this Resolution (C.R. No. 20-14). Yeah, I appreciate the hard work that Mr. Cupps has been doing for us and I do not want to see him go. Adopting this Resolution (C.R. No. 20-14) implies that we want him to rush out and leave in spite of all the good and hard works that he has been providing this Congress and this Nation, and my constituents, in specific. I have a hard time supporting this. But I thank him and hope that he keeps in touch. Thank you.

Speaker Simina: Thank you, Chairman Figir. I do not think anybody wants him to leave. But it is his decision. We tried asking him to stay and continue here but this is his decision. In fact, we have to appreciate the time that he spent working with us.

Chairman Figir: Thank you, Mr. Speaker. That is my reading of the Resolution (C.R. No. 20-14). I do not want him to go. So, if I vote “yes”, it contradicts my feeling. Thank you.

Speaker Simina: Thank you, Chairman Figir. Yes, I am sure we all share that sentiment. We would rather not do this kind of resolution. But it is part of our work. Chairman Urusemal, I see you fondling your mic.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I also have the same sentiment and concern as raised by the Chairman of Ways and Means. But I must say that – especially because I have hoped that the Yap Delegation would have the opportunity to travel with the good Lawyer here to the outer islands of Yap as we did with Jesse Stutt. Unfortunately, that did not happen. I do not believe we have gone on a trip together to the outer islands. But I am comforted by the fact that, and I hope that Mr. Cupps would see it fit to come back when he has free times, maybe with friends so we can take them out as visitors, including where he is going to work, I understand it is somewhere where the former staff of this Congress is also working. Maybe both of them and their friends can come and visit us and we can go to the islands where we really see what it is like when we talk about grass roots. I wish to good man, Lucas, a safe trip when he leaves next week. I hope that he would think about returning. If not to work, then to enjoy the FSM. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. You can always visit him in Bosnia. I think that is where he is going to stay. It is a nice place to visit. Any further discussion on the Resolution (C.R. No. 20-14)? If none, debate is closed. Let’s vote. All those in favor of the adoption of the Resolution, C.R. No. 20-14, say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolution, C.R. No. 20-14, is adopted by Congress. Next resolution, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

INTRODUCTION OF BILLS

None

INTRODUCTION OF RESOLUTIONS

None

MISCELLANEOUS COMMUNICATIONS

None

203 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business? If none, before we move on to Announcements, I just want to announce to Members of Congress that your joint Committee on review and planning of the Committee has been organized. It is ready to take on the business of doing its mandates as mandated by law. Mr. Asterio Takesy was selected as the Chairman of that Committee. We ask for the continuance support of Congress to that Committee, which has fundamental responsibility of the future of this Nation. That is just a short miscellaneous business that I would like to share with you. Next item.

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

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

RECESS

The Congress reconvened at 11:20 a.m.

Speaker Simina: Congress comes back to session. Announcements.

ANNOUNCEMENTS

Speaker Simina: Chairman Welly.

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

Speaker Simina: Chairman Figir.

Chairman Figir: I’m still working on my small business.

Speaker Simina: Continue working on your small business. Chairman Romolow.

Chairman Romolow: No announcements, Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, your R&D Committee will be holding an oversight hearing on Monday with NORMA at 8:30 a.m. regarding the US Treaty ratification on the amendment. Notice will be sent out today. Thank you.

Speaker Simina: Thank you, Chairman Panuelo. That is important. We need to do our part on that important Treaty. Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. Your Committee on Education will have its mark up/mark down executive meeting today at 2:00 o’clock.

Speaker Simina: Take note members of Education Committee. You have your mark up session at 2:00 o’clock. Vice Speaker Moses. Senator Neth. Senator Alik. Senator Aritos. Senator Konman. If there is no further business, Acting Floor Leader.

204 May 25, 2017 CONGRESSIONAL JOURNAL –DAY 15 – 1RS 20CFSM

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that this Congress stand in recess until Monday morning at 10:00 a.m. That will be on May 29.

Chairman Welly: Second.

Speaker Simina: It has been moved and seconded that Congress stand in recess until Monday, May 29, at 10:00 a.m. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Congress stands in recess until Monday, May 29, at 10:00 a.m.

Speaker Simina declared that the Congress stand in recess at 11:23 a.m., Thursday, May 25, 2017, until Monday, May 29, 2017, at 10:00 a.m.

205

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

DAY SIXTEEN

Friday, May 26, 2017

No Session

DAY SEVENTEEN

Saturday, May 27, 2017 No Session

DAY EIGHTEEN

Sunday, May 28, 2017

No Session

DAY NINETEEN

Monday, May 29, 2017

The Nineteenth Day of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:08 a.m., Monday, May 29, 2017.

Speaker Wesley W. Simina presided.

A moment of silent prayer was observed.

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

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

PRESIDENTIAL COMMUNICATIONS

-No. 20-23 - (dated 05/24/17 and received 05/26/17) – Transmitting a bill to appropriate $802,254 additional budget to support the operation of the PMU for the remaining months of the fiscal year 2017.

-No. 20-24 - (dated 05/24/17 and received 05/26/17) – Transmitting the nomination of Mr. Joseph Villazon to serve as a member of the Board of Regents of the College of Micronesia-FSM, representing the State of Pohnpei.

-No. 20-25 - (dated and received 05/26/17) – Designating Congressional Act No. 20-02 as Public Law No. 20-02: “To amend Public Law No. 19-170, by amending section

206 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.”

-No. 20-26 - (dated and received 05/26/17) – Transmitting a bill to amend section 920 of title 24 of the FSM Code, to change the minimum penalty allowed for citation or administrative penalty for minor fisheries violations.

-No. 20-27 - (dated 05/26/17 and received 05/27/17) - Designating Congressional Act No. 20- 05 as Public Law No. 20-03: “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 and 19-163, by amending sections 3 and 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae and Chuuk, and for other purposes.”

-No. 20-28 - (dated and received 05/27/17) – Designating Congressional Act No. 20-06 as Public Law No. 20-04: “To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes.”

-No. 20-29 - (dated and received 05/27/17) – Designating, with some concerns or issues, Congressional Act No. 20-04 as Public Law No. 20-05: “To amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4, 5 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.”

-No. 20-30 - (dated and received 05/27/17) - Designating Congressional Act No. 20-01 as Public Law No. 20-06: “To amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19-127, 19-151 and 19-159, by amending sections 3, 4 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.”

-No. 20-31 - (dated and received 05/27/17) - Designating Congressional Act No. 20-08 as Public Law No. 20-07: “To further amend Public Law No. 18-70, as previously amended by Public Laws Nos. 18-98, 18-112, 18-122, 19-07, 19-24, 19-41, 19-52, 19-52, 19-73, 19-82, 19-101, 19-114, and 19-19-139, by amending sections 2 and 6 thereof, to change the use and lapse date of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Yap State, and for other purposes.”

-No. 20-32 - (dated and received 05/27/17) - Designating Congressional Act No. 20-07 as Public Law No. 20-08: “To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae State, and for other purposes.”

207 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

-No. 20-33 - (dated and received 05/27/17) - Designating Congressional Act No. 20-10 as Public Law No. 20-09: “To further amend Public Law No. 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Kosrae, and for other purposes.”

-No. 20-34 - (dated and received 05/27/17) - Designating Congressional Act No. 20-03 as Public Law No. 20-10: “To further amend Public Law No. 19-141, as amended by Public Laws. Nos. 19-147 and 19-171, by amending section 1thereof, to change the use of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Chuuk State, and for other purposes.”

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

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

MUNICIPAL OR TOWN COMMUNICATIONS

None

FOREIGN GOVERNMENT COMMUNICATIONS

None

ORDER OF THE DAY

208 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

STANDING COMMITTEE REPORTS

The Chief Clerk called attention to Awaiting List No. 20-05 for Standing Committee Reports, which are awaiting the 24 hours requirement.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION MAY 11, 2017 TO MAY 30, 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. 20-05, 19TH DAY, MONDAY, MAY 29, 2017, AT 10:00 A.M.

REPORT SUBJECT DATE AND NO. TIME SCR No. RE: Presidential Communication No. 19-301, “The National 5/29/17 @ 20-07 Government’s proposed Fiscal Year 2018 budget.” – Submitted By: 10:00 a.m. H&SA Committee. SCR No. RE: C.R. No. 20-03, “A Resolution to confirm the nomination of Mr. 5/29/17 @ 20-08 Kosak M. Keller to serve as a member of the Federated States of 10:00 a.m. Micronesia Social Security Board of Trustees.” – Submitted By: H&SA Committee. SCR No. RE: C.B. No. 20-15, “A Bill for an act to amend sections 389 and 391, 5/29/17 @ 20-09 and insert a new section 392, under chapter 3 of title 21 of the Code of 10:00 a.m. the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the open access entity.” C.B. No. 20-26, “A bill for an act to amend section 203 of title 21 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 18-52, to require the Telecommunications Corporation of the Federated States of Micronesia to provide services and system access on the Hnatru1 cable system to the open access begs leave to report as follows.” – Submitted By: T&C Committee. SCR No. RE: PRESIDENTIAL COMMUNICATION NO. 19-579, regarding 5/29/17 @ 20-10 the National Government’s Recommended FY2018 Budget. – 10:00 a.m. Submitted By: EDUC. Committee. SCR No. RE: C.R. No. 20-10,”A resolution ratifying the agreement to the Treaty 5/29/17 @ 20-11 o Fisheries between the Governments of certain Pacific Island States and 10:00 a.m. the Government of the United States of America.” – Submitted By: R&D Committee.

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.

209 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Speaker Simina: Congress comes back to session. We are still on the Standing Committee Reports. We have an Awaiting List. Please take a look at those Reports. Next item, Chief Clerk.

SPECIAL COMMITTEE REPORTS

None

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-11.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO. 20-11, DAY 19, MONDAY, 05/29/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-35 To appropriate the sum of $147,862 from the General Fund W&M of the Federated States of Micronesia for the fiscal year ending September 30,2017, in order to appropriate additional funding for the completion of the Chuuk State Weno Road Project, and for other purposes. PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-22 (dated 05/23/17 and received 05/24/17) – Transmitting a bill W&M to appropriate funds of up to $147,862 for the completion of the Chuuk State Weno Road Project. DEPARTMENTAL SUBJECT COMMITTEE COMM. NO. 20-04 (dated and received 05/24/17) – From the Hon. Lorin S. INFO. Robert, Secretary, Department of Foreign Affairs, attaching an invitation from the Co-chairs of the 14th General Meeting of the International Parliamentarians’ Coalition for North Korean Refugees and Human Rights (IPCNKR), scheduled to be held in Antigua, Guatemala, from 18-20 July 2017. STATE COMM. SUBJECT COMMITTEE NO. 20-02 (dated 05/09/17 and received 05/24/17) – From the Hon. W&M Johnson S. Elimo, Governor, Chuuk State, extending congratulations, and requesting for matching funding support for certain events scheduled within the next few months for Chuuk State. FOREIGN SUBJECT COMMITTEE GOVERNMENT COMM. NO.

210 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

20-02 (dated 05/24/17 and received 05/25/17) – From Mr. Taro INFO. Aso, President, APPU Japanese National Group, informing on the upcoming APPU 47th General Assembly and the 81st Council Meeting to be held from September 18 to 20, 2017 in Beppu, Oita Prefecture, Japan.

Speaker Simina: Chairmen and members, take a look at the Referral Sheet for your planning purposes.

Chairman Panuelo: Mr. Speaker, point of privilege.

Speaker Simina: State your point, Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker. Allow me recognize a few individuals who are observing our session this morning, on our behalf. We want to welcome them and for the interest in following the important issues that are before Congress this morning, let’s beginning with introducing Mr. Nakama Sana who is our Banking Commissioner. I saw Rob Solomon from the Department of Finance. Our Economist was here. Also, we have here Bill Jaynes who has been away for a long time and he is back. This is an interesting morning. He is back following the important issues that are before Congress. A good friend of ours, constituent of mine, Mr. Kendy Kosia is also here. Can we give them a collective round of applause and thank them for coming to observe this session? (Applause). Thank you.

Speaker Simina: Thank you, Chairman Panuelo. Congress joins you in welcoming those individuals, especially those who have been missing session for a long time. Continue, Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, our good and diligent friend from the President’s Office is here, Mr. Pelsesar Petrus. Let’s also recognize him and give him a round of applause (applause). Thank you.

Speaker Simina: Thank you. He is always welcome even though he does not have much choice to join us. Any other points of privilege? If none, next item.

UNFINISHED BUSINESS

C.B. No. 20-04, CD1 (2nd Reading): To further amend title 2 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-33, 19- 29 and 19-63, by amending sections 203 and 204 thereof, to dissolve the Office of Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes. – J&GO – (cf. SCR No. 20-03, Adopted 05/19/17).

Deferred CD1 5/22/17 to 5/26/17; but since there was no session on 5/26/17 it is on today’s Unfinished Business.

Speaker Simina: Chairman Romolow.

Chairman Romolow: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:17 a.m., subject to the call of the Chair.

211 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

RECESS

The Congress reconvened at 11:19 a.m.

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

Chairman Romolow: Thank you, Mr. Speaker. I move for passage on the said Bill (C.B. No. 20- 04, CD1) on second and final reading.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-04, CD1. Discussion?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I just want to be clarified on that Bill (C.B. No. 20- 04, CD1). Is there any recommendation or suggestion from the Executive Branch being transmitted to this Bill (C.B. No. 20-04, CD1)?

Speaker Simina: Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. We have done our part. We have reviewed the Bill (C.B. No. 20-04, CD1). Since we deferred it from the last session, we have discussed with the potentials and the consequences that might be raised and we feel that it is in the best interest to move on with this Bill (C.B. No. 20-04, CD1) regardless of the communication being transmitted from the Executive Branch. Thank you.

Speaker Simina: Thank you, Chairman Romolow. Are you satisfied, Chairman Gouland?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I just want to add my voice to it. I think the Committee has done its due diligence to review the Bill (C.B. No. 20-04, CD1), and as recommended, we have all read the passage of it. Sometimes we must do what we must do in the best interest of the Nation. I just want to add that and support the motion made by the Chairman of J&GO Committee. We are ready to vote. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo.

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. In the case of Yap, yes, we also discussed the issues between ourselves, the two Members of Yap Delegation and with other members of the other delegations. We were made aware informally by informal communications the potential

212 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM impact, if this Bill (C.B. No. 20-04, CD1) was to be enacted and sent across. I just wish to reiterate a point that I have been usually raising when talking about our National Government. The point is while we should think that we all represent the FSM and all of the people of this Nation and that do not matter where one Cabinet member is from, that Cabinet member should be thinking and working and doing things in the best interest of the Nation and not just to the State where that member of the Cabinet is from. I hope that the Executive Branch, including the President, would take that into consideration, that this Federation is unfortunately made up of human being and considerations should be taken into account of the make-up of the Cabinet, including the President’s Office. Previously, talks were made about special assistants to the President should represent the four States. Unfortunately, whether it is because nobody is interested or whatever the reason, that has not been the case. I hope if this Bill (C.B. No. 20-04, CD1) becomes law, if it is passed on second reading today, that before any action is taken by the Executive, they keep that in mind. I am grateful to a person that may be impacted that, he again, reiterates if this is the thinking of Congress and if this is going to improve our Government, especially in relation to the threat of Sea Level Rise and Climate Change, so be it. We are ready. Thank you.

Speaker Simina: Thank you, Perman.

Chairman Perman: Thank you, Mr. Speaker. Good morning to you, Vice Speaker, Members, and to all that are observing our session this morning. I believe that Pohnpei is ready to vote. I also believe that we are in support of this Bill (C.B. No. 20-04, CD1). My question is, “Is there a formal letter from the President’s Office regarding this Bill (C.B. No. 20-04, CD1)?

Speaker Simina: Chairman Romolow, care to answer the good Chairman?

Chairman Romolow: Thank you, Mr. Speaker and Chairman Perman. We have not received any formal communication in the form of black and white but we have an indication from the President himself and the Cabinet of what President wants with this Bill (C.B. No. 20-04, CD1). The reason why we delayed, it is because we want to see if we could come to a point where we can compromise and see what exactly the President wants. This is the decision that we feel that is the in the best interest of this Government and we thought that we would move forward despite what the President had said earlier and also what decision the individual had expressed that he is in support of what Congress have decided for the best interest of the Nation. Thank you.

Speaker Simina: Thank you, Chairman Romolow. There is no specific formal written letter or document from the Executive Branch opposing to this Bill (C.B. No. 20-04, CD1).

Chairman Perman: Mr. Speaker, for that reason, I think we should move forward. I think it is a good sign because there is no objection to this Bill (C.B. No. 20-04, CD1). Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Perman.

Vice Speaker Moses: Short recess.

Speaker Simina declared the Congress recessed at 11:27 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:33 a.m.

213 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-04, CD1. Chairman Romolow, you have the floor.

Chairman Romolow: I make a motion to pass C.B. No. 20-04, CD1 on second and final reading.

Chairman Panuelo: Second.

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 11:34 a.m.

Speaker Simina: Congress comes back to session. It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-04, CD1. Any further discussion?

Chairman Panuelo: Question.

Speaker Simina: Question has been called for. If there is no objection, 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: Senator 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. 20-04, CD1 has been passed by Congress on second and final reading. Next item under Unfinished Business.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:35 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:36 a.m.

Speaker Simina: Congress comes back to session.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

214 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Chairman Gouland: Thank you, Mr. Speaker. I move that we go back to the Standing Committee Reports.

Chairman Panuelo: Second.

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

STANDING COMMITTEE REPORTS CALENDAR

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move to place on the Order of Business Standing Committee Report No. 20-09 for action.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Standing Committee Report No. 20-09 be placed on the Standing Committee Reports Calendar for action. Before we proceed on, Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. Can I amend the motion?

Speaker Simina: Yes. It is a motion. You can always amend it. I move to amend the motion to include Standing Committee Reports Nos. 20-07 and 20-08.

Chairman Panuelo: Second.

Chairman Urusemal: I also move that the relevant rules especially the 24-hour waiting period be suspended and other section of our rules that may impede our action on these Reports.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the main motion be amended so that it includes SCR Nos. 20-07 and 20-08. The relevant rules especially the one requiring the 24-hour waiting period be suspended. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment to the motion is adopted. Let’s vote. All those in favor of the adoption of the main motion, the placement of Standing Committee Reports Nos. 20-07, 20-08 and 20-09 on the Standing Committee Reports Calendar say ‘aye’ – opposed say ‘nay’. The motion is carried. The Reports, SCR Nos. 20-07, 20- 08, and 20-09, are now placed on the Standing Committee Reports Calendar for action. And as indicated, the relevant rules are now suspended at this point. First report, Chief Clerk.

-SCR No. 20-09, RE: C.B. No. 20-15, “A Bill for an act to amend sections 389 and 391, and insert a new section 392, under chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the open access entity.” – Submitted by: T&C Committee.

C.B. No. 20-26, “A bill for an act to amend section 203 of title 21 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 18-52, to require the Telecommunications Corporation of the Federated

215 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

States of Micronesia to provide services and system access on the Hnatru1 cable system to the open access begs leave to report as follows.” – Submitted By: T&C Committee.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move for the adoption of Standing Committee Report No. 20-09.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Standing Committee Report No. 20-09 be adopted. Any discussion?

Chairman Gouland: Question.

Speaker Simina: Question ahs been called for. If there is no objection, debate is closed. All those in favor of the adoption of SCR No. 20-09 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-09, is adopted. Next report, Chief Clerk.

-SCR No. 20-07, RE: Presidential Communication No. 19-301, “The National Government’s proposed Fiscal Year 2018 budget.” – Submitted By: H&SA Committee.

Speaker Simina: Chairman Perman.

Chairman Perman: I so move for its adoption, Mr. Speaker.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Standing Committee Report No. 20-07 be adopted by Congress. Any discussion? If none, discussion is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-07 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-07, is adopted by Congress. Next report.

-SCR No. 20-08, RE: C.R. No. 20-03, “A Resolution to confirm the nomination of Mr. Kosak M. Keller to serve as a member of the Federated States of Micronesia Social Security Board of Trustees.” – Submitted By: H&SA Committee.

Speaker Simina: Chairman Perman.

Chairman Perman: I so move for its adoption, Mr. Speaker.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-08. Discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-08 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-08, is adopted by Congress. Next report, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

216 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Speaker Simina: If there is no objection, we will go back to item Eighteen, Bill Calendar.

BILL CALENDAR

None

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: I move that we standing recess until 3:30 p.m.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress stand in recess until 3:30 p.m., this afternoon. Short recess.

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

The Congress reconvened at 11:43 a.m.

Speaker Simina: Congress comes back to session. We have a motion to stand in recess until 3:30 p.m., this afternoon. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Congress now stands in recess until 3:30 p.m., this afternoon.

Speaker Simina declared the Congress recessed at 11:43 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:00 p.m.

Speaker Simina: Congress comes back to session. We went into recess on item Eighteen, Bill Calendar. Chairman Urusemal, do you want to take us back?

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I believe we have adopted some reports –

Speaker Simina: Take us back to the Standing Committee Reports Calendar to place yours. Short recess.

Speaker Simina declared the Congress recessed at 4:01 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:02 p.m.

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

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move that we go back to item Fourteen, Standing Committee Reports.

217 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that we go back to the Standing Committee Reports Calendar. If there is no objection, let it be. We are now on the Standing Committee Reports Calendar. We have an additional report on the Calendar. Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move to place Standing Committee Report No. 20-10 on the Order for this Congress to consider.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Standing Committee Report No. 20-10 be placed on the Calendar for action.

-SCR No. 20-10, RE: PRESIDENTIAL COMMUNICATION NO. 19-579, regarding the National Government’s Recommended FY2018 Budget. – Submitted By: EDUC. Committee.

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Acting Floor Leader Urusemal: I also move that the relevant rules, especially the 24-hour waiting period and any other section of our rules that may impede our action on this very good Report be suspended.

Chairman Perman: Second.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 4:03 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:08 p.m.

Speaker Simina: Congress comes back to session. We were about to place SCR No. 20-10. The motion was made. Chief Clerk, can you make some corrections to the record?

Chief Clerk: Mr. Speaker, on this Report (SCR No. 20-10), it is reporting on Presidential Communication No. 19-579, which is the fiscal year 2018 recommended budget. The Report, which had adopted earlier this morning for Health and Social Affairs (SCR No. 20-07), was reporting on a previous year’s fiscal year 2007 budget. So instead of Presidential Communication No. 19-301, it should be Presidential Communication No. 19-579. Congress had already adopted the Report. This is just a correction.

Speaker Simina: Thank you, Chief Clerk for pointing out that technical error. Staff, take note to make the appropriate corrections. It has been stated on the record. There is a motion, which was seconded that Standing Committee Report No. 20-10 be placed on the Standing Committee Reports Calendar for action. The relevant rules are still suspended. All those in favor of the motion say “aye” – opposed “nay”. The motion is carried. The relevant rules are still suspended and the Standing Committee Report No. 20-10

218 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM is placed on the Standing Committee Reports Calendar for action. Chairman Urusemal, make your motion for adoption.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move for the adoption of the said Report (SCR No. 20-10).

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress adopt Standing Committee Report No. 20-10. Any discussion?

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. Just to summarize the Report (SCR No. 20-10), basically for the Department of Education, there is an increase of one position in that Department. It is not in violation of the Congress policy of new positions for this upcoming fiscal year 2018. As you know, Mr. Speaker, one position in the Department of Health dealing with our sport has been moved from the Department of Health and Social Affairs to the Department of Education. So the total number of positions for the Department has increased to twenty-three from the current level of twenty-two. For the salaries, the Committee upheld the decision of the Congress to maintain salaries at FY17 level, including as much as we could travel and all the other categories. There is not much increase in the recommended budget from your Committee on Education for that Department under capital and grants and subsidies, the amount is basically the same except for one project as I had alluded to earlier this morning during our session. That would be subject further review and evaluation when this Congress meets in July or in September. This is relating to the money owed to the College, from our students. As of late last week, that money is still sitting there. They are now just working on the PCD to make the money available. For scholarship, the President budget included an increase of $1 million to $3 million dollars for the National Scholarship. Your Committee, upon review of that request to increase, was made aware from testimonies of this Department, especially those responsible for our scholarship Program, that most of the money has not been expended. Therefore, the Committee does not recommend the increase of the scholarship to $3 million, as proposed by the Executive Branch. I believe those are the highlights of the budget as submitted by your Committee. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Urusemal. You and your Committee will always be commented for your hard and fast work on your portion of budget submission by the President, especially with respect to education, you have the deadline that you always have to work within. Any further discussion?

Vice Speaker Moses: Question.

Speaker Simina: Question has been called for. If there is no further discussion, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-10 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-10, is adopted by Congress. Next report.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: If there is no objection, we will now move back to item Eighteen, Bill Calendar.

219 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move to withdraw and place C.B. No. 20-36 on the Calendar for action.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 4:15 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:18 p.m.

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

Chairman Gouland: Thank you, Mr. Speaker. I move to withdraw and place the following Bills: C.B. Nos. 20-36, 20-37, 20-40, 20-26, and 20-15. I so move, Mr. Speaker.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 4:19 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:21 p.m.

Speaker Simina: Congress comes back to session. Restate your motion, Chairman Gouland.

Chairman Gouland: Mr. Speaker, I move to withdraw and place C.B. Nos. 20-36, 20-37, and 20-40 on the Calendar for action.

Senator Alik: Second.

Speaker Simina: It has been moved and seconded that C.B. Nos. 20-36, 20-37, and 20-40 be withdrawn and placed on the Bill Calendar for first reading action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Chairman Urusemal.

Acting Floor Leader Urusemal: Mr. Speaker, I hope that the relevant rules are still suspended.

Speaker Simina: Thank you, Acting Floor Leader Urusemal. Yes, the relevant rules are still suspended up to this point. Let’s vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The three Bills, C.B. Nos. 20-36, 20-37, and 20-40, are now placed on the Bill Calendar for first reading action. First bill, Chief Clerk.

C.B. No. 20-15, CD1 (1st Reading): To amend section 389 under Chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the Open Access Entity, and for other purposes. – (SCR No. 20-09).

220 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Speaker Simina: Chairman Gouland.

Chairman Gouland: Mr. Speaker, I move for passage of C.B. No. 20-15, CD1 on first reading.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 15, CD1. Any discussion?

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 4:23 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:24 p.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-15, CD1.

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. Basically, what this Bill (C.B. No. 20-15, CD1) is doing is for the Open Access Entity to give free connectivity through the new cable that we will put in through the FSMTC, right?

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you very much, Mr. Speaker. Part of the consultation with the two parties, we consulted with them that whatever they agree upon, if they don’t go on, then we have to move on to take care of whatever version we need to take care of. So, yes.

Speaker Simina: So in short, yes. That is what the CD1 (C.B. No. 20-15, CD1) will do.

Chairman Perman: Thank you, Mr. Speaker.

Speaker Simina: Thank you. Any further discussion?

Acting Floor Leader Urusemal: Are we in recess, Mr. Speaker?

Speaker Simina: We are in session.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Yes.

Chairman Gouland: Question.

Vice Speaker Moses: Mr. Speaker.

221 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Speaker Simina: I will allow Vice Speaker first.

Vice Speaker Moses: Thank you, Mr. Speaker. I know that we have been through several oversight hearings on this issue and certain requirements that we need to make on commitments that our Government has made to certain organizations. I have a strong feeling toward this and that we need the connectivity into Yap. Yap State was the one that initiated this. I’ve travelled to Yap on numerous occasions. What I have noticed is that unlike Pohnpei, when Pohnpei got the cable, Pohnpei was not prepared for that connectivity. So when we were connected, people were scrambling to have their ICT, sort of departments or divisions created; yet they did not have the real ICT Plan in place to actually get connected to the Fiber Optic Cable. However, on my travels to Yap on numerous occasions for during my previous responsibilities, Yap has been very prepared even with the role out of the ADSL, even when they did not have the speed, yet the Department of Education, Department of Health, and numerous government departments have already put in the infrastructure to anticipate connectivity to a Fiber Optic Cable. Now the opportunity arose that the World Bank would provide this opportunity. It came down to a very tedious assignment of Congress to come up with the bill to liberalize the market, and we did that. With that, going on with the grant from World Bank, we negotiated a sort of financing with them. In that financing agreement, it just so happen that we placed in there a requirement for FSM Telecommunications to provide free access. Now, that presented a problem with FSM Telecommunications Corporation and with some Members of Congress. We’ve been through several Committee hearings and we discovered that not all the information was there for us to make a final decision on this. But I believe the hearing that was held on Saturday brought some new light and some more information to this. However, since it was just brought up, we do not have enough time for the two parties to agree on that option B, as they stated during the hearing. So, I think, the two bills before us, beginning with C.B. No. 20-15, CD1, if they are passed in tandem, I think it would medicate the FSM Government from risks that might be associated with not complying with the Agreement. Since we have already committed, on contract, to order cables. I strongly believe that the people of Yap State are entitled to have some connectivity to the outside world through the Fiber Optic Cable. They have worked so hard for this. Now opportunity has presented itself. Although, we have some disappointment on how the effort moving forward is going. I believe Congress has the oversight authority and we are the checks and balance to the Executive Branch. We can make certain policies that will allow us to move forward and project all parties involved. So, I would like to ask Members to please seriously consider this Bill (C.B. No. 20-15, CD1) and have us move forward with it. Thank you very much, Mr. Speaker.

Speaker Simina: Thank you, Vice Speaker Moses. I don’t think we can say any better than what you have explained. That is very important. I will give it to Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I appreciate very much the comments made by the good Vice Speaker, as I was also included or participated in the meetings with the Executive Branch and people from Telecom last Saturday. However, on a point that he raised about the need for Congress to move on these measures, the reference that he made to the Fiber Optic connectivity for Yap State, I just want to know how is it and where is it in the Agreement with the World Bank and with the parties involved that Telecom should be the one – my understanding is that Telecom doesn’t work or is going to own the cable from Guam to Palau with the connectivity to Yap. I am just wondering how is that a requirement for Telecom to grant free access to OAE or whoever for that cable.

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Yes, Vice Speaker Moses.

Vice Speaker Moses: That is a very good concern. The proposed Bill (C.B. No. 20-15, CD1) will not transfer any ownership rights of the Cable to FSM Telecom. What it does is, it allows free access from

222 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM that. Since the requirement by the World Bank that we negotiated will require FSM Telecom to provide free access to the cable and its facilities, we thought to keep things balance. I thought the proposed Bill, C.B. No. 20-15, CD1, we should allow FSM Telecom free access to the cable that will be owned by the OAE, if I am not mistaken.

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you very much, Mr. Speaker. I guess now I can partially understand that the facilities, online facilities, especially owned now by the FSM Telecom will have agree to the use of those land facilities that are currently owned. Question to the Committee, can we pass one and not act on one of these two bills? Or they must go together? Vice Speaker was talking about 20-15, CD1. I seem to be a little bit more comfortable with that and C.B. No. 20-26 because I really have no understanding of that. Can we pass that and defer action on C.B. No. 20-26 or must they go together?

Speaker Simina: That is a good question.

Vice Speaker Moses: Short recess.

Speaker Simina declared the Congress recessed at 4:34 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:46 p.m.

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

Chairman Gouland: Mr. Speaker, I move for passage of C.B. No. 20-15, CD1.

Chairman Panuelo: Second.

Speaker Simina: I think we have already done that. We are on discussion.

Vice Speaker Moses: Question.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that we close debate. Let’s vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. Debate is closed. We will vote on C.B. No. 20-15, CD1 by roll call of Members.

The Chief Clerk took the roll call by Members.

Senator Alik Aye Senator Aritos Aye Senator Figir Excused Senator Gouland Aye Floor Leader Harper Excused Senator Konman Aye

223 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Excused Speaker Simina Aye

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

Speaker Simina: For that reason, C.B. No. 20-15, CD1 has passed Congress on first reading. Next bill.

C.B. No. 20-26 (1st Reading): To further amend section 203 of title 21 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 18- 52, to require the Telecommunications Corporation of the Federated States of Micronesia to provide services and system access on the HANTRU1 Cable System to the Open Access Entity free of charge, and for other purposes.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move for the passage of C.B. No. 20-26.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20-26. Any discussions?

Chairman Urusemal: Mr. Speaker, short recess.

Speaker Simina declared the Congress recessed at 4:49 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:51 p.m.

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

Chairman Gouland: Short recess.

Speaker Simina declared the Congress recessed at 4:51 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 4:51 p.m.

Speaker Simina: Congress comes back to session. We are still on discussion of the said bill (C.B. No. 20-26). Any further discussion? If none, discussion is closed. Let’s vote by roll call of Members. Chief Clerk.

224 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

The Chief Clerk took the roll call by Members.

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

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

Speaker Simina: For that reason, C.B. No. 20-26 has passed Congress on first reading. Next bill.

C.B. No. 20-36 (1st Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150 and 20-05, by amending sections 5 and 6 thereof, to correct technical errors and omissions by changing the use and lapse date of some funds previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes.

Speaker Simina: Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I move for passage of C.B. No. 20-36 on first reading.

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 36. Any discussion? If none, 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 Excused Senator Gouland Aye Floor Leader Harper Excused Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye

225 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Senator Urusemal Aye Senator Welly Excused Speaker Simina Aye

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

Speaker Simina: For that reason, C.B. No. 20-36 has passed Congress on first reading. Next bill.

C.B. No. 20-37 (1st Reading): To further amend Public Law No. 17-36, as amended by Public Laws Nos. 17-48, 17-78, 17-87, 18-36, 18-60, 18-65, 18-84, 19-22 and 19-109, by amending sections 5 and 6 therein, to change the use and lapse date of certain funds previously appropriated therein to fund public projects and social programs in the state of Chuuk, and for other purposes.

Speaker Simina: Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: I so move, Mr. Speaker.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 37. Discussions?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Yes.

Chairman Gouland: I am sorry, Mr. Speaker. I don’t really understand this bill (C.B. No. 20-37). I am about to move this Bill (C.B. No. 20-37) to the special session in July. Thank you, Mr. Speaker.

Speaker Simina: Well, unfortunately, it is not your bill so let’s leave it as that. Any further discussion? If one, 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 Excused Senator Gouland Aye Floor Leader Harper Excused Senator Konman Aye Vice Speaker Moses Aye Senator Neth Aye Senator Panuelo Aye Senator Perman Aye Senator Romolow Aye Senator Urusemal Aye Senator Welly Excused Speaker Simina Aye

226 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

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

Speaker Simina: For that reason, C.B. No. 20-37 has passed Congress on first reading. Next bill.

C.B. No. 20-40 (1st Reading): To further amend Public Law No. 18-70, as previously 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 and 20-07, by amending section 5 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 Chuuk State, and for other purposes.

Speaker Simina: Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Again, Mr. Speaker, I move for the passage of the Bill (C.B. No. 20-40).

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on first reading C.B. No. 20- 40. Discussion?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I have an amendment on this bill.

Speaker Simina: You can do it tomorrow.

Chairman Gouland: Are we adjourning tomorrow, Mr. Speaker?

Speaker Simina: Yes.

Chairman Gouland: Okay.

Speaker Simina: Any further discussion? If none, let’s vote by roll call of Members.

The Chief Clerk took the roll call by Members.

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

227 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Senator Welly Excused Speaker Simina Aye

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

Speaker Simina: For that reason, C.B. No. 20-40 has been passed by Congress on first reading. Next bill.

Chief Clerk: There are none.

Chairman Panuelo: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 5:00 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 5:01 p.m.

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

RESOLUTION CALENDAR

None

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I move that we go back to item number Fourteen.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that we go back to item number Fourteen, Standing Committee Reports Calendar. If there is no objection, let it be. We are now on the Standing Committee Reports Calendar.

STANDING COMMITTEE REPORTS CALENDAR

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I would like to withdraw and place Standing Committee Reports Calendar No. 20-11 on the Standing Committee Reports Calendar for action.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Standing Committee Reports Calendar be withdrawn and placed on the Standing Committee Reports Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried.

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Acting Floor Leader.

228 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

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

Speaker Simina: Yes. The relevant rules are still suspended up to this point. Let’s vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-11, is placed on the Standing Committee Reports Calendar for action. Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I move that SCR No. 20-11 be adopted.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt SCR No. 20-11. Discussion?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Yes, Chairman Panuelo.

Chairman Panuelo: Thank you. I thank the members of your R&D Committee for this morning. It was a very lively oversight to understand the background to the amendment to the U.S. Treaty, which we are going to ratify. Just for pointers, the Treaty has been in place for more than 25 years. The Treaty needs to be reformed to a more commercial arrangement that recognizes the value of our fishing vessel day ski. So Mr. Speaker, the background check on committees that have ratified the amendment, if we take this on, we will be the first Pacific islands party to ratify it. I think it is a show of confidence in the people that are representing us and our membership in the regional organizations as well as party to the U.S. Treaty. There is a briefing that was circulated to Members. The report speaks to the elements that have been reformed in the Treaty. Your Committee recommends that Congress move on with the ratification of the Treaty. If Members need more information, I can give more briefing. I know it is late in the afternoon. Overall, it is a positive trend that we are doing. Our number of days for the Pacific Island parties has been reduced. But value was gone up because of the fact that we have been raising benchmark rate of our fishing day per day. It is a positive one. I think we are ready to support it. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. For those who are not interested in reading the Report (SCR No. 20-11), just look at page 2, third paragraph and I am sure you will be comforted by that. Any further discussion of the Report (SCR No. 20-11). If none, debate is closed. Let’s vote. All those in favor of the adoption of the Report (SCR No. 20-11) say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-11, is adopted by Congress. Next report, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: If there is no objection, we will now go back down to the Resolution Calendar.

RESOLUTION CALENDAR

Speaker Simina: First resolution.

C.R. No. 20-03: To confirm the nomination of Mr. Kosak M. Keller to serve as a member of the Federated States of Micronesia Social Security Board of Trustees, representing the National Government.

229 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Chairman Perman: I so move for its adoption.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C.R. No. 20-03, which is the nomination of Mr. Keller. Any discussion?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. I know we have eleven Members and your Committee of H&SA is asking for full support from other Members. Our representative on the Social Security is vacant. Matthew Chigiyal was the former member and he has moved on. This nomination is not working currently. He is very qualified for the position. I think we all know him. He used to work across the street from us. As your Chairman of the Committee, I ask for full support from other Members. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Perman. I think we need to take that up because we need to have the Social Security Board in full force. Any further discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: During the confirmation hearing on this nominee, I was informed that the nominee is needed to replace a Pingelapese that was in the position who resigned. That is why this nomination is here. Thank you.

Speaker Simina: Thank you. So, what is wrong with that?

Chairman Urusemal: Nothing. I just thought that Matthew Chigiyal was from Yap, but I am corrected that since his heart is in Pingelap, Pohnpei, that is the reason.

Speaker Simina: Nothing wrong with that. He is representing Yap and Pohnpei at the National Government.

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow.

Chairman Romolow: Thank you, Mr. Speaker. I just want to clarify my misunderstanding on nominations representative boards representing the National Government. Is it necessarily had to be an employment of the National Government?

Speaker Simina: Thank you. That is a valid question. I believe it depends on the statutory scheme of the agencies. In this case, I don’t think it’s required. In others, I think it would be required. Any other further discussion? If none, let’s vote. This is a nomination so it requires ten votes to be pass. Short recess.

230 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Speaker Simina declared the Congress recessed at 5:09 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 5:13 p.m.

Speaker Simina: Congress comes back to session. Chief Clerk, announce the results.

Chief Clerk: Mr. Speaker, ten Members voted for that nominee, one against.

Speaker Simina: For that reason, the Resolution (C.R. No. 20-03) is adopted by Congress. Let’s all give him a round of applause (applause). Next resolution.

C.R. No. 20-10: Ratifying the agreement to the Treaty on Fisheries Between the Governments of Certain Pacific Island States and the Government of the United States of America.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I so move for the adoption of C.R. No. 20-10.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C.R. No. 20-10. Any discussions? If none, without any objections, debate is closed. This is a treaty so it requires ten voted for it to be ratified. Short recess.

Speaker Simina declared the Congress recessed at 5:14 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 5:16 p.m.

Speaker Simina: Congress comes back to session. My apologies, this will be a vote of Members because it is a treaty. Chief Clerk.

The Chief Clerk took the roll call by Members.

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

231 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

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

Speaker Simina: The Treaty has been confirmed by Congress. The Treaty between our Government and the Government of the United States has been ratified by the FSM Congress. Next resolution.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

INTRODUCTION OF BILLS

C.B. No. 20-35 Introduced by: Floor Leader Harper Assigned to: W&M Date introduced: May 26, 2017

To appropriate the sum of $147,862 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, in order to appropriate additional funding for the completion of the Chuuk State Weno Road Project, and for other purposes.

C. B. No. 20-38 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 29, 2017

To further amend title 24 of the Code of the Federated States of Micronesia (Annotated), as amended, by amending section 920 thereof, to allow for proper implementation of NORMA administrative penalties, and for other purposes.

C. B. No. 20-39 Introduced by: Floor Leader Harper Assigned to: R&D Date introduced: May 29, 2017

To appropriate the sum of $802,254 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, to fund the operation of the Project Management Unit in the Department of Transportation Communication & Infrastructure for the remaining months of the fiscal year 2017, and for other purposes.

C. B. No. 20-40 Introduced by: Senator Romolow Assigned to: W&M Date introduced: May 29, 2017

To further amend Public Law No. 18-70, as previously 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 and 20-07, by amending section 5 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 Chuuk State, and for other purposes.

232 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-15 Introduced by: Floor Leader Harper Assigned to EDUC Date introduced: May 29, 2017

To confirm the nomination of Mr. Joseph Villazon to serve as a member of the Board of Regents of the College of Micronesia-FSM, representing the state of Pohnpei. C. R. No. 20-16 Introduced by Senator Urusemal Assigned to: NONE Date introduced: May 29, 2017

Authorizing the President to submit the Recommended National Government Compact Budget Request, as revised pursuant to Congress’s recommendations, to the United States under Article V of the Fiscal Procedures Agreement.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business? If none, Announcements.

ANNOUNCEMENTS

Speaker Simina: Chairman Perman.

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 5:18 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 5:18 p.m.

Speaker Simina: Congress comes back to session. Any announcement, Chairman Perman?

Chairman Perman: Thank you, Mr. Speaker. Your Committee of H&SA has no announcement as of now.

Speaker Simina: Chairman Romolow.

Chairman Romolow: None.

Speaker Simina: Chairman Panuelo.

233 May 29, 2017 CONGRESSIONAL JOURNAL – DAYS 16, 17, 18, 19 – 1RS 20CFSM

Chairman Panuelo: No announcements, Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: None, Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: None, Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I would like to remind Members and staff that we will be having a reception tonight at 6:30 p.m. at Club Cupids. The reason for the reception is a farewell occasion for one of our staff attorneys.

Speaker Simina: Thank you, Vice Speaker Moses. That is our farewell reception to Mr. Cupps, one of our very own staff attorneys. Senator Neth? Senator Aritos? Senator Konman?

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

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: I am thinking of announcing that Congress will adjourn sine-die, but no announcements.

Speaker Simina: Make your motion for tomorrow.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I move that Congress stand in recess until tomorrow at 10:00 a.m., here in Palikir.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that Congress stand in recess until tomorrow at 10:00 a.m., in the morning.

Speaker Simina declared that the Congress stand in recess at 5:21 p.m., Monday, May 29, 2017, until tomorrow, Tuesday, May 30, 2017, at 10:00 a.m.

234

CONGRESSIONAL JOURNAL TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION

CLOSING DAY

Tuesday, May 30, 2017

The Closing Day (Day 20) of the First Regular Session of the Twentieth Congress of the Federated States of Micronesia was called to order at 10:27 a.m., Tuesday, May 30, 2017.

Speaker Wesley W. Simina Presided.

A moment of silent prayer was observed.

The Chief Clerk called the roll. Ten Members were present; Senator Aritos, Chairman Figir, Chairman Welly, and Floor Leader were absent.

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

PRESIDENTIAL COMMUNICATIONS

-No. 20-35 - (dated and received 05/29/17) – Re-stating request for Congress to act on bill, which was transmitted and became CB. No. 20-15. [Passed 1st reading on 05/29/17].

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

FSM SUPREME COURT COMMUNICATIONS

None

MEMBER COMMUNICATIONS

None

DEPARTMENTAL COMMUNICATIONS

None

AGENCY OR GOVERNMENTAL AUTHORITY COMMUNICATIONS

None

STATE COMMUNICATIONS

None

235 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

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. 20-06 for Standing Committee Reports, which are awaiting the 24-hour requirement.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION, 20TH FSM CONGRESS MAY 11, 2017 TO MAY 30, 2017

R E P O R T A W A I T I N G R E Q U I R E M E N T S NO. 20-06, 20th Day, Tuesday, May 30, 2017, at 10:00 A.M.

Report SUBJECT DATE AND No. TIME 20-12 RE: C.R. NO. 20-04, “A Resolution approving and accepting 5/30/17 a Grant in the amount of $150,247 from the U.S. Department of 10:00A.M. Health and Human Services, centers for Disease prevention and control project, including all the terms and conditions of the assistance.” (Submitted by: H&SA Committee

Speaker Simina declared the Congress recessed at 10:30 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:31 a.m.

Speaker Simina: Congress comes back to session. Members, wait for your Awaiting List. It is coming. Next item.

SPECIAL COMMITTEE REPORTS

None

236 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

ASSIGNMENT OF MEASURES AND COMMUNICATIONS

The Chief Clerk called attention to Referral Sheet No. 20-12.

TWENTIETH CONGRESS OF THE FEDERATED STATES OF MICRONESIA FIRST REGULAR SESSION May 11, 2017 to May 30, 2017

COMMITTEE REFERRAL

REFERRAL SHEET NO.20-12, DAY 20, TUESDAY, 05/30/17, AT 10:00 A.M.

C.B. NO. SUBJECT COMMITTEE 20-36 To further amend Public Law No. 19-124, as amended by Public W&M Laws Nos. 19-133, 19-140, 19-150 and 20-05, by amending sections 5 and 6 thereof, to correct technical errors and omissions by changing the use and lapse date of some funds previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes. 20-37 To further amend Public Law No. 17-36, as amended by Public W&M Laws Nos. 17-48, 17-78, 17-87, 18-36, 18-60, 18-65, 18-84, 19-22 and 19-109, by amending sections 5 and 6 therein, to change the use and lapse date of certain funds previously appropriated therein to fund public projects and social programs in the state of Chuuk, and for other purpose. 20-38 To further amend title 24 of the Code of the Federated States of R&D Micronesia (Annotated), as amended, by amending section 920 thereof, to allow for proper implementation of NORMA administrative penalties, and for other purposes. 20-39 To appropriate the sum of $802,254 from the General Fund of the T&C Federated States of Micronesia for the fiscal year ending September 30,2017, to fund the operation of the Project Management Unit in the Department of Transportation Communication & Infrastructure for the remaining months of the fiscal year 2017, and for other purposes. 20-40 To further amend Public Law No. 18-70, as previously amended W&M 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 and 20-07, by amending section 5 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 Chuuk State, and for other purposes. C.R. NO. SUBJECT COMMITTEE 20-15 To confirm the nomination of Mr. Joseph Villazon to serve as a EDUC. member of the Board of Regents of the College of Micronesia- FSM, representing the state of Pohnpei. 20-16 Authorizing the President to submit the Recommended National NONE Government Compact Budget Request, as revised pursuant to Congress’s recommendations, to the United States under Article V of the Fiscal Procedures Agreement.

237 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

PRESIDENTIAL SUBJECT COMMITTEE COMM. NO. 20-23 (dated 05/24/17 and received 05/26/17) – Transmitting a bill to W&M appropriate $802,254 additional budget to support the operation of the PMU for the remaining months of the fiscal year 2017. 20-24 (dated 05/24/17 and received 05/26/17) – Transmitting the EDUC. nomination of Mr. Joseph Villazon to serve as a member of the Board of Regents of the College of Micronesia-FSM, representing the State of Pohnpei. 20-25 (dated and received 05/26/17) – Designating Congressional Act INFO. No. 20-02 as Public Law No. 20-02: “To amend Public Law No.19-170, by amending section 2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.” 20-26 (dated and received 05/26/17) – Transmitting a bill to amend J&GO section 920 of title 24 of the FSM Code, to change the minimum penalty allowed for citation or administrative penalty for minor fisheries violations. 20-27 (dated 05/26/17 and received 05/27/17) – Designating INFO. Congressional Act No. 20-05 as Public Law No. 20-03: “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 and 19-163, by amending sections 3 and 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae and Chuuk, and for other purposes.” 20-28 (dated and received 05/27/17) – Designating Congressional Act INFO. No. 20-06 as Public Law No. 20-04: “To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79,19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes.” 20-29 (dated and received 05/27/17) – Designating, with some concerns INFO. or issues, Congressional Act No. 20-04 as Public Law No. 20- 05: “To amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4, 5 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.” 20-30 (dated and received 05/27/18) – Designating Congressional Act INFO. No. 20-01 as Public Law No. 20-06: “To amend Public Law No.19-89, as amended by Public Laws Nos. 19-94, 19-127, 19- 151 and 19-159, by amending sections 3, 4 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.” 20-31 (dated and received 05/27/17) – Designating Congressional Act INFO. No. 20-08 as Public Law No. 20-07: “To further amend Public Law No. 18-70, as previously amended by Public Laws Nos. 18-

238 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

98, 18-112, 18-122, 19-07, 19-24, 19-41, 19-52, 19-52, 19-73, 19- 82, 19-101, 19-114, and 19-19-139, by amending sections 2 and 6 thereof, to change the use and lapse date of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Yap State, and for other purposes.” 20-32 (dated and received 05/27/17) – Designating Congressional Act INFO. No. 20-07 as Public Law No. 20-08: “To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae, and for other purposes.” 20-33 (dated and received 05/27/17) – Designating Congressional Act INFO. No. 20-10 as Public Law No. 20-09: “To further amend Public Law No. 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the State of Kosrae, and for other purposes.” 20-34 (dated and received 05/27/17) – Designating Congressional Act INFO. No. 20-03 as Public Law No. 20-10: “To further amend Public Law No. 19-141, as amended by Public LawsNos. 19-147 and 19- 171, by amending section 1thereof, to change the use of certain funds previously appropriated therein therein, for the purpose of funding public projects and social programs for the people of Chuuk, and for other purposes.”

Speaker Simina: Chairmen and members, review that for your planning purposes. Next item.

UNFINISHED BUSINESS

None

BILL CALENDAR

C.B. No. 20-15, CD1 (2nd Reading): To amend section[s] 389 under Chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the Open Access Entity, and for other purposes. – T&C – (cf. SCR No. 20-09).

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move for the passage oF C.B. No. 20-15, CD1 on second and final reading.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass C.B. No. 20-15, CD1 on second and final reading. Discussion?

239 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Yes, Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I have an amendment to the Bill (C.B. No. 20-15, CD1).

Chairman Urusemal: Short recess, Mr. Speaker.

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

RECESS

The Congress reconvened at 10:48 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-15, CD1. Any further discussion? If none, debate is closed. Let’s vote by roll call of Delegation. Vice Chairman Konman will cast the vote for Chuuk.

The Chief Clerk took the roll call by States.

State of Chuuk: Vice Chairman Konman Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Vice 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. 20-15, CD1 has been passed by Congress on second and final reading. Next bill, Chief Clerk.

C.B. No. 20-26 (2nd Reading): To further amend section 203 of title 21 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Law No. 18-52, to require the Telecommunications Corporation of the Federated States of Micronesia to provide services and system access on the HANTRU1 Cable System to the Open Access Entity free of charge, and for other purposes. – T&C – (cf. SCR No. 20-09).

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. I move for the passage of the Bill (C.B. No. 20-26) on second and final reading.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-26. Discussion?

Chairman Urusemal: Short recess.

240 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina declared the Congress recessed at 10:50 a.m., subject to the call of the Chair. RECESS

The Congress reconvened at 10:51 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-26.

Chairman Gouland: Question.

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

The Chief Clerk took the roll call by States.

State of Chuuk: Vice Chairman Konman Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Vice Chairman Alik Aye State of Yap: Chairman Urusemal Ney

Chief Clerk: Mr. Speaker, three States voted for.

Speaker Simina: For that reason, C.B. No. 20-26 has been passed by Congress on second and final reading. Next bill, Chief Clerk.

C.B. No. 20-36 (2nd Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150 and 20-05, by amending sections 5 and 6 thereof, to correct technical errors and omissions by changing the use and lapse date of some funds previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:52 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 10:53 a.m.

Speaker Simina: Congress comes back to session. Chief Clerk, read the title of the Bill (C.B. No. 20-36).

C.B. No. 20-36 (2nd Reading): To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150 and 20-05, by amending sections 5 and 6 thereof, to correct technical errors and omissions by changing the use and lapse date of some funds previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes.

Speaker Simina: Acting Floor Leader Urusemal.

241 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Acting Floor Leader Urusemal: I so move, Mr. Speaker.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-36. Discussion?

Senator Neth: Mr. Speaker, I have an amendment to offer. It is quite lengthy. It has been distributed. I so move for its adoption.

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 10:54 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. Senator Neth.

Senator Neth: Thank you, Mr. Speaker. I so move for the adoption of my amendment.

Floor Amendment to C.B. No. 20-36 Offered by Senator Dion G. Neth

C.B. No. 20-36 is hereby amended to read as follows:

4. Title, line 2, delete “sections 5 and 6”, and insert “sections 4, 5 and 6” in lieu thereof. 5. Title, line 5, delete “state of Chuuk”, and insert “states of Pohnpei and Chuuk” in lieu thereof. 6. Page 1, line 1, after “Section 1”, insert the following: “Section 4. Section 4 of Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19- 140 and 20-05, is hereby further amended to read as follows: “Section 4. Of the $11,300,000 appropriated under this act, $3,000,000 shall be apportioned for priority infrastructure projects and other programs in the state of Pohnpei. state of Pohnpei...... $ 3,000,000 (1) At Large...... 975,000 (a) Pohnpei delegation office building ...... 250,000 (b) Kolonia Town tennis courts upgrade...... $ 150,000 (c) Kepin Souna, Nett road maintenance...... 35,000 (d) Nanmwaht-Nanwel, road maintenance...... 50,000 (e) Sand and coral materials for pavement ...... 100,000 (f) Parem kep new road extension ...... 50,000 (g) Lahkir Marina, Kitti ...... 50,000

242 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

(h) Community power extensions ...... 25,000 (i) Palikir Pah road improvement ...... 50,000 (j) Kitti road paving ...... 50,000 (k) Madolenihmw road paving ...... 50,000 (l) Wone Catholic Church road paving ...... 35,000 (m) Pohn Awak, Pahnpe, U road maintenance ...... 10,000 (n) Madolenihmw road maintenance ...... 50,000 (o) Seinwar road maintenance ...... 20,000 (2) Election District No. 1 ...... 675,000 (a) Totopai road ...... 30,000 (b) Road maintenance ...... 50,000 (c) Kaselehlia Street sidewalk/ drainage)...... 120,000 (d) Pohnpei delegation loop (New road-pave/wall) ...... 70,000 (e) Seidonokawa Road ...... 60,000 (f) Sokehs Island circumferential road paving/materials/equipment ...... $ 225,000 (g) Roofing, track and field bleachers ...... 30,000 (h) Mercedes building supplemental funding ...... 45,000 (i) Sekere to Nanpohnmal road improvement ...... 25,000 (j) Airport terminal beautification project ...... 20,000 (3) Election District No. 2 priority infrastructure projects...... 675,000 (a) Pohnlangas Dispensary repair and improvement ...... [15,000] 0 (b) Wone Dispensary repair and improvement...... [15,000] 0 (c) Temwen School road paving ...... 30,000 (d) Rohi School road paving ...... 40,000 (e) Pehleng School road paving ...... 40,000 (f) Peilik bridge (Enipein powe) ...... 85,000 (g) Nankoaloau bridge overlay (Pehleng) ...... 15,000 (h) [Steinway School classrooms] ESDM secondary road ...... 70,000 (i) Mwoakot Pah road improvement ...... 15,000 (j) Kitti road cleaning/beautification ...... 15,000 (k) Nan pworenais secondary road ...... 50,000 (l) Nanketipar Bridge (Alohkapw) ...... 87,700 (m) Nanmwet (Madolenihmw) erosion protection/drainage ...... $ 38,000 (n) Ohwa Mission School building repair ...... ……. 13,920 (o) Pohnsauk (Madolenihmw) power extension ...... 35,000 (p) Nankerpene Bridge repair ...... 25,380

243 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

(q) Access road paving (Kaun en Wehi, Kitti) ...... 25,000 (r) Kepine (Madolenihmw) power extension ...... 25,000 (s) [Pahtakai/Oalioaliwi (Kitti)]Ipwitik road upgrade...... 20,000 (t) Purchase of coral materials ...... 5,000 (u) Tanks/water catchments ...... 10,000 (v) Community Outreach and Advocacy Program ...... 30,000 (4) Election District No. 3 ...... 675,000 (a) Kepin Souna, Nett road maintenance ...... 35,000 (b) Dien, U road paving/equipment ...... 70,000 (c) Pahlap, U road paving ...... 70,000 (d) Otohi, U road paving ...... 70,000 (e) Nett District Park ...... 100,000 (f) Road paving (Palipahn Nett) ...... 100,000 (g) Parem/Lenger water systems improvement/purchase of fiberglass water tanks/catchments ...... 100,000 (h) Pingelap Infrastructure projects ...... 65,000 (i) Mwokilloa Infrastructure projects $ ...... 65,000” 7. Page 3, line 1, delete “4(3)(c)”. 8. Page 3, line 2, delete it in its entirety. 9. Page 3, line 6, delete “and”. 10. Page 3,line 7, after “4(2)(j)”, insert “and sections 4(3)(a) to 4(3)(v)” 11. Page 3, line 9, delete “the allottee of funds appropriated under”. 12. Page 3, lines 10 to 12, delete them in their entirety. 13. Page 3, line 13, delete “Lukenmenlap of Kitti”.

Date: March 30, 2017 Introduced by:/s/ Dion G. Neth Dion G. Neth

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

Chairman Gouland: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-36 by Senator Neth be adopted. Because of its length, we will dispense with its reading. Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. I move that the section of our rules, especially the making of substantive amendment on second reading and any other provision or paragraphs of our rules that may impede our action on this amendment be suspended.

Chairman Perman: Second.

244 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: It has been moved and seconded that the section of our rules, specifically the rules 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 now suspended. We now have the offered floor amendment.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: I have an oral amendment to make.

Speaker Simina: Let’s finish with Senator Neth’s amendment first. We haven’t adopted it. Any further discussion? If none, debate is closed. Let’s vote. All those in favor of the adoption of the floor amendment to C.B. No. 20-36 say ‘aye’ – opposed say ‘nay’. The motion is carried. The floor amendment to C.B. No. 20-36 by Senator Neth has been adopted. We now have C.B. No. 20-36, CD1. Short recess.

Speaker Simina declared the Congress recessed at 11:01 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. Any further discussion on the Bill (C.B. No. 20- 36, CD1)?

Chairman Gouland: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:02 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:04 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-36, CD1. Chairman Gouland, you have the floor.

Chairman Gouland: Thank you, Mr. Speaker. My oral amendment is, “On page 1, line 12, [municipal of Ta], the amount is [$1,000,150].” That will be reduced to “$1,000,000”. On page 2, line 3, after “(h)”, insert “(i) Chuuk State Leadership Conference 2017 $50,000”. “(j) Chuuk Goodwill Game 2017 $50,000”. “(k) Chuuk State Special Program/Travel $50,000.” I so move, Mr. Speaker.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the offered oral amendment by Chairman Gouland be adopted. The relevant rules are still suspended. Discussion?

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow.

245 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Chairman Romolow: Thank you, Mr. Speaker. With regards to the oral amendment that was said earlier, I do understand that this is coming from the Chuuk State Leadership. I hope this can be discussed so we have a good understanding before we bring it up to the Chamber and argue on the floor. Thank you.

Speaker Simina: Thank you, Chairman Romolow.

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. With all due respect to my very good Chairman on J&GO, it seems like my good Chairman here has not been updated of those communications that were sent to our Delegation. The letter sent to our Chairman of the Delegation was requesting the needs here. I don’t know if he did not aware of it. We learned that the communication has already been sent to us during the Special Session. With all due respect, this is by request from the state. Thank you.

Speaker Simina: Thank you, Chairman Gouland.

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Yes.

Chairman Urusemal: Just so I understand. The reference to travel, is it going to be the entire Chuuk State traveling with this $50,000? Who will be traveling and where will they be traveling to?

Speaker Simina: Short recess.

Speaker Simina declared the Congress recessed at 11:08 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:12 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of the offered oral amendment by Chairman Gouland. Any further discussion?

Senator Neth: Question.

Speaker Simina: Question has been called for. If there is no objection, debate is closed. Let’s vote. All those in favor of the offered oral amendment by Chairman Gouland say ‘aye’ – opposed say ‘nay’. The motion is carried. The oral amendment is adopted. We now have CD2 of C.B. No. 20-36. Any further 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: Vice Chairman Konman Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Vice Chairman Alik Aye State of Yap: Chairman Urusemal Aye

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

246 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: The Bill, C.B. No. 20-36, CD2 has been passed Congress on First Reading. Next bill.

C.B. No. 20-37 (2nd Reading): To further amend Public Law No. 17-36, as amended by Public Laws Nos. 17-48, 17-78, 17-87, 18-36, 18-60, 18-65, 18-84, 19-22 and 19-109, by amending sections 5 and 6 therein, to change the use and lapse date of certain funds previously appropriated therein to fund public projects and social programs in the state of Chuuk, and for other purposes.

Speaker Simina: Acting Floor Leader Urusemal.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-37. Discussion?

Senator Konman: Mr. Speaker.

Speaker Simina: Senator Konman.

Senator Konman: Thank you, Mr. Speaker. I have a floor amendment I wish to make to the said Bill (C.B. No. 20-37). I so move, Mr. Speaker.

Floor Amendment to C.B. No. 20-37 Offered by Senator Derensio S. Konman

C.B. No. 20-37 is hereby amended to read as follows:

Page 3, line 18, delete “25,000”, and insert “21,704” in lieu thereof. 1. Page 3, line 23, delete “25,000”, and insert “24,901” in lieu thereof. 2. Page 3, line 24, delete “30,000”, and insert “29,513” in lieu thereof. 3. Page 4, line 2, delete “25,000”, and insert “24,052” in lieu thereof. 4. Page 4, line 10, delete “2,500”, and insert “2,246” in lieu thereof. 5. Page 4, between lines 10 and 11, insert “(n) Food Security, relief and poverty alleviation program ...... 5,084”

Date: March 30, 2017 Introduced by: /s/ Derensio S. Konman Derensio S. Konman

Purpose of the Amendment: To change the use of funds under this act for Election District No. 3, Chuuk State.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-37 by Senator Konman be adopted. The relevant rules are still suspended. Its reading will be dispensed with. It has been duplicated and distributed to Members. Is there any discussion?

247 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: Thank you, Mr. Speaker. With all due respect to Chairman of J&GO and my good Vice Chairman here, I have a written amendment and it is being late to be distributed. Would you allow me to defer this Bill (C.B. No. 20-37)?

Speaker Simina: You are late, Chairman Gouland. Let’s take care of this one for Chairman Romolow and Senator Konman. Are there any further discussions? If none, debate is closed. Let’s vote on its adoption. All those in favor of the floor amendment to C.B. No. 20-37 say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment is adopted. We now have C.B. No. 20-37, CD1. Are there any further discussions? 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: Vice Chairman Konman Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Vice 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. 20-37, CD1 has been passed by Congress on second and final reading. Next bill.

C.B. No. 20-40 (2nd Reading): To further amend Public Law No. 18-70, as previously 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 and 20-07, by amending section 5 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 Chuuk State, and for other purposes.

Speaker Simina: Acting Floor Leader Urusemal.

Floor Leader Harper: Mr. Speaker, I move for the passage of the Bill (C.B. No. 20-40) on second and final reading.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that Congress pass C.B. No. 20-40 on second and final reading. Is there any discussion?

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:19 a.m., subject to the call of the Chair.

RECESS

248 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

The Congress reconvened at 11:21 a.m.

Speaker Simina: Congress comes back to session. We are still on discussion of C.B. No. 20-40. Senator Konman.

Senator Konman: Thank you very much, Mr. Speaker. I have a floor amendment to the Bill (C.B. No. 20-40). I so move.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that the offered floor amendment to C.B. No. 20-40 by Senator Konman be adopted. It is a short one. Chief Clerk, read it into the record. Before you do that, let the record reflect that the relevant rules are still suspended. Chief Clerk.

Chief Clerk: Mr. Speaker, we have a floor amendment to C.B. No. 20-40, offered by Senator Derensio S. Konman. C.B. No. 20-40 is hereby amended to read as follows:

C.B. No. 20-40 is hereby amended to read as follows:

1. Page 4, line 5, delete “50,000”, and insert “54,376” in lieu thereof. 2. Page 4, line 7, delete “50,000”, and insert “49,668” in lieu thereof. 3. Page 4, line 12, delete “10,000”, and insert “5,956” in lieu thereof. 4. Date: March 30, 2017 Introduced by: /s/ Derensio S. Konman Derensio S. Konman

Purpose of the Amendment: To change the use of funds under this act for Election District No. 3, Chuuk State.

Speaker Simina: Are there any discussions? If none, debate is closed. Let’s vote for the adoption of the floor amendment. All those in favor of the adoption of the amendment to C.B. No. 20-40 say ‘aye’ – opposed say ‘nay’. The motion is carried. The floor amendment is adopted. We have C.B. No. 20-40, CD1. Are there any further discussions on C.B. No. 20-40, CD1?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. On your behalf, I have an oral amendment that I wish to make on the Bill (C.B. No. 20-40, CD1).

Speaker Simina: Proceed.

Acting Floor Leader Urusemal: Thank you, Mr. Speaker. Page, 1, line 13, delete “$60,271”, and insert “$70,271” in lieu thereof. Page 2, line 1, delete “$30,000”, and insert “$20,000”. I so move, Mr. Speaker.

Vice Speaker Moses: Second.

249 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: It has been moved and seconded that the offered oral amendment by Acting Floor Leader Urusemal be adopted. Let the record reflect that the relevant rules are still suspended. Are there any discussions on the offered oral amendment? If none, debate is closed. Let’s vote. All those in favor of the adoption of the offered floor amendment say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered floor amendment is adopted. We now have C.B. No. 20-40, CD2. Are there any further discussions on C.B. No. 20- 40, C2?

Chairman Gouland: Question.

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

The Chief Clerk took the roll call by States.

State of Chuuk: Vice Chairman Konman Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Vice 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. 20-40, CD2 has been passed by Congress on second and final reading.

Senator Neth: Mr. Speaker.

Speaker Simina: Senator Neth.

Senator Neth: Thank you, Mr. Speaker. I asked the indulgence of Members for I wish to respectfully ask for reconsideration of C.B. No. 20-27, CD2.

Vice Speaker Moses: Second.

Speaker Simina: There is a motion to reconsider C.B. No. 20-27, CD2. Short recess.

Speaker Simina declared the Congress recessed at 11:25 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:27 a.m.

Speaker Simina: Congress comes back to session. We have a motion for reconsideration of C.B. No. 20-27, CD2. It is not subject to debate. Let’s vote by roll call of Delegations.

The Chief Clerk took the roll call by States for reconsideration of C.B. No. 20-27, CD2.

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

250 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

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

Speaker Simina: For that reason, C.B. No. 20-27, CD2 has been reconsidered. Acting Floor Leader.

Acting Floor Leader Urusemal: I so move for its passage, Mr. Speaker.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that Congress pass on second and final reading C.B. No. 20-27, CD2. Discussions? Senator Neth.

Senator Neth: Thank you, Mr. Speaker. My minor amendment is to take $3,000 from one line item to another. I will ask the Chief Clerk to read the amendment.

Speaker Simina: Can you please read the amendment, Chief Clerk?

Chief Clerk: Mr. Speaker, thank you. The amendment is as follows:

1. On page 4, line 15, “Nanselohi road improvement… $20,000”, delete “$20,000”, and insert “$17,000”. 2. Page 5, line 2, between lines 1 and 2, insert “(j) Madolenihmw Ladies Day… $3,000”.

Speaker Simina: There you have it. Let the record reflect that the relevant rules are still suspended. Are there any discussions on the offered oral amendment?

Chairman Urusemal: Short recess, Mr. Speaker.

Speaker Simina declared the Congress recessed at 11:29 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. We are still on discussion of the offered amendment by Senator Neth. Are there any discussions?

Chairman Panuelo: Question.

Speaker Simina: Question has been called for. If there are no objections, debate is closed. Let’s vote. All those in favor of the offered oral amendment by Senator Neth say ‘aye’ – opposed say ‘nay’. The motion is carried. The amendment is adopted. We now have C.B. No. 20-27, CD3. Are there any further discussions?

Chairman Romolow: Mr. Speaker.

Speaker Simina: Chairman Romolow.

Chairman Romolow: I also have a floor amendment that I wish to offer.

Speaker Simina: Short recess.

251 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

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

RECESS

The Congress reconvened at 11:36 a.m.

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

Chairman Romolow: Thank you, Mr. Speaker. I move for the adoption of my floor amendment.

Speaker Simina: Chief Clerk, read the amendment into the record.

Chief Clerk: Mr. Speaker, the amendment offered by Senator Romolow is hereby amended to read as follows:

1. Page 9, line 5, “(m)”, delete “food relief program”, and insert “POL/freight/charter” in lieu thereof.

Speaker Simina: There you have it. The relevant rules are still suspended up to this point. Are there any discussions on the offered oral amendment? If none, debate is closed. Let’s vote. All those in favor of the offered oral amendment by Chairman Romolow say ‘aye’ – opposed say ‘nay’. The motion is carried. The offered amendment by Chairman Romolow is adopted. We now have C.B. No. 20-27, CD4. Are there any further discussions? If none, debate is closed. Let’s vote by roll call of Delegations. Chief Clerk.

The Chief Clerk took the roll call by States.

State of Chuuk: Vice Chairman Konman Aye State of Pohnpei: Chairman Panuelo Aye State of Kosrae: Vice 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. 20-27, CD4 has been passed by Congress on second and final reading. Next bill.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Next item.

RESOLUTION CALENDAR

None Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: I would like to make a motion that we move back to item number Fourteen, Standing Committee Reports Calendar.

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Speaker Simina: If there is no objection, we will go back to the Standing Committee Reports Calendar.

STANDING COMMITTEE REPORTS

Speaker Simina: Chairman Perman.

Chairman Perman: Short recess.

Speaker Simina declared the Congress recessed at 11:39 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. Chairman Perman, you have the floor.

Chairman Perman: Thank you, Mr. Speaker. I make a motion to place SCR No. 20-12 on the Calendar for action.

Chairman Alik: Second.

Speaker Simina: It has been moved and seconded that SCR No. 20-12 be placed on the Standing Committee Reports Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-12, has been placed on the Calendar for action.

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

Speaker Simina: Yes.

Chairman Perman: Mr. Speaker, I move for the adoption of the Report, SCR No. 20-12.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt SCR No. 20-12. Discussions?

Chairman Perman: Mr. Speaker.

Speaker Simina: Chairman Perman.

Chairman Perman: Thank you, Mr. Speaker. It is a grant – a grant of $150,247. I know we have to pull it because this is our last day of session. I am asking Members to support it. Thank you, Mr. Speaker. With that, I move for the previous question.

Speaker Simina: Thank you, Chairman Perman. If there is no objection, debate is closed. Let’s vote. All those in favor of the adoption of Standing Committee Report No. 20-12 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Report, SCR No. 20-12, has now been adopted. Next report.

Chief Clerk: There are none, Mr. Speaker.

253 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: If no objection, we will now go back down to our Order of Business, Resolution Calendar.

RESOLUTION CALENDAR

C.R. No. 20-04: Approving and accepting a grant in the amount of $150,247 from the U.S. Department of Health and Human Services, Centers for Disease Control and Prevention, to fund the FSM Communicable Disease Prevention and Control Project, including all the terms and conditions of the assistance. – FOR ADOPTION – H&SA.

Speaker Simina: Chairman Perman.

Chairman Perman: I so move.

Chairman Urusemal: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C.R. No. 20-04. Discussions? If none, debate is closed. Let’s vote. All those in favor of the adoption of C.R. No. 20-04 say ‘aye’ – opposed say ‘nay’. The motion is carried. The resolution, C.R. No. 20-04, has been adopted by Congress. Next resolution.

Chief Clerk: There are none, Mr. Speaker.

Acting Floor Leader Urusemal: Mr. Speaker.

Speaker Simina: Acting Floor Leader.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. With reservation, I move to place C.R. No. 20-16 on the Calendar for action.

C.R. No. 20-16: Authorizing the President to submit the Recommended National Government Compact Budget Request, as revised pursuant to Congress’s recommendations, to the United States under Article V of the Fiscal Procedures Agreement.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that C.R. No. 20-16 be placed on the Resolution Calendar for action. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. The resolution, C.R. No. 20-16, is now placed on the Calendar for action. Acting Floor Leader Urusemal.

Acting Floor Leader Urusemal: Thank you very much, Mr. Speaker. I move for the adoption of the said resolution, C.R. No. 20-16.

Senator Konman: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C.R. No. 20-16. Discussions?

Chairman Urusemal: Mr. Speaker.

254 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. While this resolution, C.R. No. 20-16, is talking to Compact grants, including the SEG, for the information of this Congress, I am informed that the budget transmitted by President Trump does not include money for SEG for FY’18/’19. I hope that the users of these grants be prepared – just in case, we need to lobby hard in Washington to make sure that SEG is restored. Thank you.

Speaker Simina: Thank you, Chairman Urusemal for that information. It is important. But, what can we do? That is their prerogative. We just have to wait and see. In fact, you are correct. The users of the grant should be ready to accept that consequence if it comes to pass. Are there any further discussions? If none, debate is closed. Let’s vote. All those in favor of the adoption of C.R. No. 20-16 say ‘aye’ – opposed say ‘nay’. The motion is carried. The resolution, C.R. No. 20-16, has been adopted by Congress. Next resolution, Chief Clerk.

Chief Clerk: There are none.

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I make a motion to withdraw and place C.R. Nos. 20-11 and 20- 12 on the Calendar for action.

Chairman Perman: Second.

Speaker Simina: It has been moved and seconded that the resolutions, C.R. Nos. 20-11 and 20-12 be withdrawn and placed on the Resolution Calendar for action.

Chairman Urusemal: Short recess.

Speaker Simina declared the Congress recessed at 11:46 a.m., subject to the call of the Chair. RECESS

The Congress reconvened at 11:47 a.m.

Speaker Simina: Congress comes back to session. We are on the motion to withdraw and place C.R. Nos. 20-11 and 20-12. Let’s vote. All those in favor of the motion to withdraw and place C.R. Nos. 20-11 and 20-12 say ‘aye’ – opposed say ‘nay’. The motion is carried. The Resolutions, C.R. No. 20-11 and 20-12, are now withdrawn and placed on the Calendar for action. First resolution, Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I so move for the adoption of C.R. No. 20-11.

C.R. No. 20-11: To approve and accept a grant in the amount of EUR 436,089 from the Government of the Federal Republic of Germany for protecting islands through learning and leading in adaptation to climate change and renewable energy, including all the terms and conditions of the assistance.

Chairman Perman: Second.

255 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: It has been moved and seconded that Congress adopt C.R. No. 20-11. Discussions?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Yes, Chairman Panuelo.

Chairman Panuelo: Your Committee on R&D had a meeting on this, which was combined with the U.S. Treaty resolution that we had ratified yesterday. This Resolution, C.R. No. 20-11, is from the Federal Republic of German through SPC to a regional organization. SPC is the implementing partner. The two grants (C.R. No. 20-11 and C.R. No. 20-12) are both dated back as far as the year 2005. It has taken this while because – based on the testimony by witnesses is that they needed to sign the Agreement before it is transmitted to Congress for action. This will help with the area of adaptation to climate change and sustainable energy. It will help in area to contribute to the energy security in the FSM to target our National Energy Policy on renewable energy. Both grants, the way they have explained it, will be used by the FSM and the states. There is no specific breakdown for any state. We are not quite happy with that. The amount is not large enough to be given to projects that would be earmarked for the states. It would be applied by the states on the area of enhancing conservation. It was noted during the hearing that this can help prepared ourselves in the area of conservation of energy, but they also testify that our portion of the IDA18 from the World Bank can be given to states on a specific project by project to help our Nation in area of renewable energy. So, I move that this be adopted. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. We are still in discussion. If no further discussions, debate is closed. Let’s vote. All those in favor of the adoption of C.R. No. 20-11 say ‘aye’ – opposed say ‘nay’. The motion is carried. The resolution, C.R. No. 20-11, is adopted by Congress. Next resolution.

C.R. No. 20-12: To approve and accept a grant in the amount of EUR 325,000 from the Government of the Federal Republic of Germany for enhancing investments in small-scale renewable energy technologies in the Federated States of Micronesia, including all the terms and conditions of the assistance.

Speaker Simina: Chairman Panuelo.

Chairman Panuelo: Mr. Speaker, I so move for the adoption of C.R. No. 20-12.

Vice Speaker Moses: Second.

Speaker Simina: It has been moved and seconded that Congress adopt C.R. No. 20-12. Discussion?

Chairman Urusemal: Mr. Speaker.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Thank you, Mr. Speaker. I have a small question to the Chairman of R&D Committee. I recall during the hearing on these two grants, there was a request to the Department of R&D to submit some information to the Committee. I wonder if the information has been submitted.

Speaker Simina: Chairman Panuelo.

256 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Chairman Panuelo: Mr. Speaker, the information was submitted, but we were not quite happy with it. I think it was the full package of 40 pages. We were hoping that they could specifically extract what was asked by the Committee. Nevertheless, our staff will look at it. Rather than waiting and deferring this to the next session, we are doing what we are doing now. So, the answer is “yes”. But, we need to clean from it specific questions that were asked by members of your Committee.

Speaker Simina: There is a saying, “Be careful of what you asked for.” Now you got the bulk of the entire complete information and you cannot read them. We need to be more concise by asking for a summary of all the information. Something like that, but there you have it. You have the information.

Chairman Panuelo: I want to add that the questions we were asking, maybe there is no specific answer to it. The question we wanted was, “In what state, and when it will be implemented?” The testimony they provided was not specifically given to the state so they went back and resubmitted the concept paper that was submitted as requirement to the grant issuers, which approved the grants that were given by the Federal Republic of German through SPC.

Speaker Simina: Are there any further discussions? If none, debate is closed. Let’s vote. All those in favor of the adoption of C.R. No. 20-12 say ‘aye’ – opposed say ‘nay’. The motion is carried. The resolution, C.R. No. 20-12, is adopted by Congress. Next resolution, Chief Clerk.

Chief Clerk: There are none, Mr. Speaker.

Speaker Simina: Are there any other resolutions to place? Short recess.

Speaker Simina declared the Congress recessed at 11:54 a.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 11:58 a.m.

Speaker Simina: Congress comes back to session. We are still on the Resolution Calendar. If there is no other resolution, next item.

INTRODUCTION OF BILLS

C.B. No. 20-36 Introduced by: Senator Gouland Assigned to: Ways & Means Committee Date: May 29, 2017

To further amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140, 19-150, and 20-05, by amending sections 5 and 6 thereof, to correct technical errors and omissions by changing the use and lapse date of some funds previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes.

C.B. No. 20-37 Introduced by: Senator Romolow Assigned to: Ways & Means Committee Date: May 29, 2017

To further amend Public Law No. 17-36, as amended by Public Laws Nos. 17-48, 17-78, 18-36, 18-60, 18-65, 18-84, 19-22 and 19-109, by

257 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

amending sections 5 and 6 therein, to change the use and lapse date of certain funds previously appropriated therein to fund public projects and social programs in the state of Chuuk, and for other purposes.

C.B. No. 20-38 Introduced by: Senator Urusemal Assigned to: R& D Committee Date: May 29, 2017

To further amend title 24 of the Code of the Federated States of Micronesia (Annotated), as amended, by amending section 920 thereof, to allow for proper implementation of NORMA Administrative penalties, and for other purposes.

C.B. No. 20-39 Introduced by: Senator Urusemal Assigned to: T&C Committee Date: May 29, 2017

To appropriate the sum of $802,254 from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017, to fund the operation of the Project Management Unit in the Department of Transportation Communication & Infrastructure for the remaining months of the fiscal year 2017, and for other purposes.

C.B. No. 20-40 Introduced by: Sentor Romolow Assigned to: Ways & Means Committee Date: May 29, 2017

To further amend Public Law No. 18-70, as previously amended by Public Laws Nos. 18-98, 18-112, 19-07, 19-24, 19-41, 19-52, 19-73, 19-82, 19- 101, 19-114, 19-139, and 20-07, by amending section 5 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 Chuuk, and for other purposes.

INTRODUCTION OF RESOLUTIONS

C.R. No. 20-15 Introduced by: Joseph J. Urusemal Assigned to: EDUC. Committee Date: May 29, 2017

To confirm the nomination of Mr. Joseph Villazon to serve as a member of the Board of Regents of the College of Micronesia-FSM, representing the state of Pohnpei.

C.R. No. 20-16 Introduced by: Joseph J. Urusemal Assigned to: NONE Date: May 29, 2017

Authorizing the President to submit the Recommended National Government Compact Budget Request, as revised pursuant to Congress’s

258 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

recommendations, to the United States under Article V of the Fiscal Procedures Agreement.

MISCELLANEOUS COMMUNICATIONS

None

MISCELLANEOUS BUSINESS

Speaker Simina: Do you have any miscellaneous business?

Chairman Panuelo: Mr. Speaker.

Speaker Simina: Yes, Chairman Panuelo.

Chairman Panuelo: Thank you, Mr. Speaker. I just want to note that we appreciate the support of Members and the action we have taken yesterday. Having ratified he U.S. Treaty between the U.S. Government and certain pacific island, this has now put the FSM on record that we are the first country who have ratified the Treaty. The information that is important is, the total package for the U.S. Treaty is $68 million for the FY’17, if not calendar year. We will carry on to 2020 and that will remain around $60 plus million. I would like to say that is a very important development, because the value of our Fisheries has gone up. Whereas, we put up 900 plus days into the Treaty per year. It has been reduced to 400 while the value remains the same. That gave us the ability to sell extra days bilaterally, which gives us the additional money. The FSM share from that for FY’17 or calendar year is 5,400,000. The same number of days that we give will remain in 2020. The value of those days, 400 days, will increase by 5,640,000 in the next three years. We can see the significance or value of days that have been gone up. It will be much more valuable to us. I just want to put on record that our action made yesterday made the FSM be the first one to ratify the U.S. Treaty with the amendment. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Chairman Panuelo. Don’t dream about that. It has already been incorporated in the revenue projection. Are there any further miscellaneous businesses?

Chairman Gouland: Mr. Speaker.

Speaker Simina: Chairman Gouland.

Chairman Gouland: I just want say on the record that we appreciate the action we made yesterday. First of all, I would like to thank our Lawyer Lucas, the Committee on T&C and Members for taking up the time for that bill. It took us so long to come up with the solution on that. Thank you so much, Mr. Speaker and Members for the support of the bill. Thank you.

Speaker Simina: Thank you, Chairman Gouland. It is indeed work in progress. It will continue to evaluate and adjust as the needs come by. This is going to the President and he is going to make his own decision on it and then we will figure it out from there, when we receive back his action. I think it is not yet done in the sense that we still have a lot of work to continue this. At least from our perspective, we have done something. As you said, Chairman Gouland, it is very challenging. I also join you in appreciating Members’ cooperation and understanding on what we have done so far. Is there any further miscellaneous business?

Chairman Romolow: Mr. Speaker.

259 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM

Speaker Simina: Chairman Romolow.

Chairman Romolow: Mr. Speaker, on our Order of Business for today should 20 days, not 30 days. Thank you.

Speaker Simina: Our Chief Clerk stands to be corrected. Is there any miscellaneous business?

Vice Speaker Moses: Mr. Speaker.

Speaker Simina: Vice Speaker Moses.

Vice Speaker Moses: Thank you, Mr. Speaker. I just want to convey my appreciation to you, Mr. Speaker and the Chairmen of our Committees. This, by far, has been the most challenging session since I joined the Congress. I was impressed how our Chairmen conducted business despite all the issues that we had to deal with. I think Education, J&GO, H&SA, R&D, T&C, and all the Committees made significant moves in their Committees. I am also appreciative of the staff that we have. Our legal team has been working very hard to keep us up to day on the legal issues that we have faced. With that, I thank you all. I was very impressed by the way our Congressional leaders conducted their business. Before I end, I would like to convey my appreciation to Lucas. His last day is tomorrow. For the record, I have enjoyed working with you, Lucas, throughout the Nineteenth and Twentieth Congress. I hope you find success in your future endeavours. Thank you, Mr. Speaker.

Speaker Simina: Thank you, Vice Speaker Moses for speaking on our behalf on this. I just want to also express my encouragement to the Chairmen to continue to work on your provisions of your portions of the budget for FY’18. I have noticed that you are progressing smoothly and swiftly on your portions. I congratulate you on that. My special congratulation is to the Chairmen and the Committee on Education and H&SA for their portions that have already been, in a way, done but they still need to transmit the resolutions. Are there any further miscellaneous businesses?

Chairman Panuelo: Mr. Speaker, point of privilege.

Speaker Simina: State your point.

Chairman Panuelo: We have a visitor in our gallery, a man who has dedicated his life working with the Department of Education for Pohnpei State. On our behalf, may I recognize and introduce him? He is Mr. Albert Augustine. He is retired now, but had put in many years in our Pohnpei State education endeavours. Let’s welcome him and give him a round of applause, please (applause). Thank you.

Speaker Simina: Thank you, Chairman Panuelo. Are there any other miscellaneous businesses?

Chairman Urusemal: Yes.

Speaker Simina: Chairman Urusemal.

Chairman Urusemal: Just a couple of little ones. First, I hope that when we come back for the special session, we have been talking it to be in July – yes, I join others in expressing appreciation that are moving ahead on the Fiber Optic Cable. I hope it is ahead in a way that is good for this Nation for the services that this program is going to be providing to our people. But on another serious issue, and I hope it would be resolved by our special session, is the issue of our infrastructure grants being withheld by the United States of America. I hope that during, -in term, between now and July that works are done and that meeting that is now scheduled for June 28-29 will produce a successful conclusion to having the grants

260 May 30, 2017 CONGRESSIONAL JOURNAL – CLOSING DAY – 1RS – 20CFSM start flowing again. We need to move on the projects that have already been approved by JEMCO. Secondly, the usual motion by Floor Leader, I move that you, Mr. Speaker, Vice Speaker, and Floor Leader, review the Journals of our session from Day One to Day Twenty and make any technical corrections on the Journals. I so move.

Chairman Panuelo: Second.

Speaker Simina: It has been moved and seconded that the Presiding Officers, including the Acting Floor Leader be responsible for doing all the reviews of our Journals from Day One to Day Twenty. Discussions? If none, let’s vote. All those in favor of the motion say ‘aye’ – opposed say ‘nay’. The motion is carried. So be it. Are there any further miscellaneous businesses? If none, let’s move down to Announcements.

ANNOUNCEMENTS

Speaker Simina: Are there any announcements? Short recess.

Speaker Simina declared the Congress recessed at 12:09 p.m., subject to the call of the Chair.

RECESS

The Congress reconvened at 12:17 p.m.

Speaker Simina: Congress comes back to session. We are still on Announcements. If no announcements, let’s all rise for a moment of silent prayer. If there is no further business of this First Regular Session of this Twentieth Congress, I now declare the First Regular Session of the Twentieth Congress adjourn sine-die.

Speaker Simina declared that the Congress adjourned sine-die at 12:17 p.m., Tuesday, May 30, 2017.

261

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Standing Committee Reports

262

STANDING COMMITTEE REPORT NO. 20-01 RE: C.A. NO. 19-163 (P.C. NO. 19-589)/W&M SUBJECT: LINE ITEM VETO OF CONGRESSIONAL ACT NO. 19-163

MAY 15, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker: Your Committee on Ways & Means, to which was referred Presidential Communication 19-589 regarding the line item veto of Congressional Act 19-163, entitled:

“AN ACT TO AMEND SECTIONS 1, 2, 3, 8, 9 AND 12 OF PUBLIC LAW 19-118, AS AMENDED BY PUBLIC LAWS NOS. 19-125, 19-131, 19-135 AND 19-146, IN ORDER TO APPROPRIATE $1,684,000 OF ADDITIONAL FUNDS FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017, TO CHANGE THE ALLOTTEE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, AND FOR OTHER PURPOSES.“, begs leave to report as follows:

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

When the President signed Congressional Act 19-163 on April 11, 2017, he line item vetoed the following three items:

Travel ...... $134,212

Contractual Services . . . . $235,006

(h) Settlements/judgments for cases against the FSM . . . $88,000

The first two items represent the corresponding budget lines for the Department of Justice while the third item represents an item in the Grants, Subsidies and Contributions section for the Department of Justice.

Your Committee has reviewed Congressional Act 19-163 and the accompanying veto message (P.C. No. 19-589). Your Committee did not find any legal impediments or drafting errors in the Act. Your Committee has determined that the veto is purely based on a policy decision.

263 STANDING COMMITTEE REPORT NO. 20-01 RE: C.A. NO. 19-163 (P.C. NO. 19-589)/W&M SUBJECT: LINE ITEM VETO OF CONGRESSIONAL ACT NO. 19-163 MAY 15, 2017

Unfortunately, the result of the line item veto was to zero out the appropriations for the Travel and Contractual Services budget lines for the Department of Justice. In order to ensure that the Department of Justice is able to continue to operate through the end of FY 2017, your Committee must recommend that the line item veto be overridden.

CONCLUSION

Your Committee has reviewed the line item veto of Congressional Act 19-163 and the veto message. Your Committee finds that the decision made by the Executive was made based on policy and not on a violation of the law. Your Committee recommends overriding the line item veto of Congressional Act No. 19-163.

Respectfully submitted,

/s/ Isaac V. Figir /s/ Robson U. Romolow Isaac V. Figir, chairman Robson U. Romolow, member

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

/s/ David W. Panuelo /s/ /s/ Joseph J. Urusemal David W. Panuelo, member Joseph J. Urusemal, member

/s/ /s/ Paliknoa K. Welly Paliknoa K. Welly, member

264

STANDING COMMITTEE REPORT NO. 20-02 RE: C.A. NO. 19-169 (P.C. NO. 19-603)/W&M SUBJECT: VETO OVERRIDE OF C.A. NO. 19-169

MAY 15, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker: Your Committee on Ways & Means, to which was referred Presidential Communication 19-603, regarding the veto of Congressional Act 19-169, entitled:

“AN ACT 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, AND 19-138 BY AMENDING SECTIONS 1 AND 2 THEREOF, TO CHANGE THE USE AND ALLOTTEE OF FUNDS PREVIOUSLY APPROPRIATED FOR PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.” begs leave to report as follows:

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

Your Committee has reviewed Congressional Act 19-169 and the accompanying veto message (P.C. No. 19-603). Your Committee did not find any legal impediments or drafting errors in the Act. Your Committee has determined that the veto is purely based on policy.

CONCLUSION

Your Committee has reviewed the veto of Congressional Act 19-169 and the veto message. Your Committee finds that the decision made by the Executive was made based on policy and not on a violation of the law. Your Committee disagrees with this policy decision and recommends overriding the veto of Congressional Act No. 19-169.

265 STANDING COMMITTEE REPORT NO. 20-02 RE: C.A. NO. 19-169 (P.C. NO. 19-603)/W&M SUBJECT: VETO OVERRIDE OF C.A. NO. 19-169 MAY 15, 2017

Respectfully submitted,

/s/ Isaac V. Figir Isaac V. Figir, chairman Robson V. Romolow, member

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

/s/ David W. Panuelo /s/ Joseph J. Urusemal David W. Panuelo, member Joseph J. Urusemal, member

/s/ Paliknoa K. Welly Paliknoa K. Welly, member

266

STANDING COMMITTEE REPORT NO. 20-03 RE: C.B. NO. 20-04/J&GO

SUBJECT: PLACING THE OFFICE OF ENVIRONMENT AND EMERGENCY MANAGEMENT AS AN FSM NATIONAL GOVERNMENT DEPARTMENT

MAY 18, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Judiciary and Governmental Operations, to which was referred C.B. No. 20-04, entitled:

"A BILL FOR AN ACT TO FURTHER AMEND TITLE 2 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), AS AMENDED BY PUBLIC LAWS NOS. 18-33 AND 19-29, BY AMENDING SECTIONS 203 AND 204 THEREOF, TO DISSOLVE THE OFFICE OF ENVIRONMENT AND EMERGENCY MANAGEMENT AND PROPERLY PLACE IT AS ONE OF THE DEPARTMENTS AT THE FSM NATIONAL GOVERNMENT, AND FOR OTHER PURPOSES.", begs leave to report as follows:

The intent and purpose of the bill are expressed in its title.

Public Hearing

Your Committee held a public hearing on the bill on May 16, 2017. Present at the hearing to testify were the following: The Director of the Office of Environment and Emergency Management (OEEM) and a staff member; a representative from the Department of Justice; and a representative from the Office of the President.

Your Chairman opened the hearing and welcomed the witnesses.

Your Chairman explained that the impetus for the bill consisted of previously conveyed concerns that, because the status of “Director” is not universally recognized as equal to that of “Secretary”, the OEEM Director had experienced difficulty in being properly credentialed at both international and regional meetings. Consequently, the government of the FSM had at times not been able to fully advocate for its positions in some forums.

Prior to hearing from the witnesses your Chairman gave members the opportunity to make prefatory comments. It was expressed that perhaps it would have been advisable to have a representative from the Department of Foreign Affairs present given the fact that the work of that office touches upon the substance of the bill. It was also expressed that perhaps a “pro” of the bill is that the OEEM Director would no longer need to go through the lengthy credentialing process in order to participate at relevant forums.

267 STANDING COMMITTEE REPORT NO. 20-03 RE: C.B. NO. 20-04/J&GO

SUBJECT: PLACING THE OFFICE OF ENVIRONMENT AND EMERGENCY MANAGEMENT AS AN FSM NATIONAL GOVERNMENT DEPARTMENT

MAY 18, 2017

Your Chairman then asked the OEEM Director to comment on the bill. The Director began by explaining that it was perhaps awkward for him to be seen to be advocating for an elevation of his own department. But he explained that he could share with your Committee his prior experiences with problems in obtaining credentials for conferences and forums in which the interests of the FSM were at issue. He also explained that prior to the public hearing, he attended a meeting with the Vice President in which the bill was discussed. He previewed that during that meeting a slight change in the name would be suggested should OEEM become a national government department.

He then explained that within the United Nations system, the title of “Director” is not considered equivalent to a “ministerial” or “secretary” level. In fact, “Director” is lower in status within the UN system than even “Director General.” Consequently, there is always a question as to what exactly is his position within the FSM national government and whether he is empowered to speak for the FSM at a meeting (e.g. UN General Assembly, Montreal Protocol, Sendai Conference). He explained that there is also an issue of who is the “head of delegation” for the FSM when he is traveling with a cabinet secretary to a meeting at which he, rather than the secretary, possesses the relevant expertise. He did acknowledge that finally at the regional meeting level, organizations are beginning to recognize and properly credential his role. However, the UN arena remains and will continue to be problematic not only with respect to proper credentialing but also with extension of comparable levels of courtesy and protocol. The representative from the Office of the President explained that the President fully supports the bill. He explained that the OEEM Director is in charge of the issue of climate change, which is an important issue. In response to concerns raised by your Chairman as to any budgetary impact, it was his position that the President did not anticipate any budgetary impact. Members inquired as to why the President was now in support of the bill when he had previously opposed an identical bill in the 19th Congress. The representative from the Office of the President explained that he could not speak as to why the President had changed his mind. Members asked the witnesses to speak further to any potential budgetary impact of the bill. For example, would the conversion from “director” to “secretary” necessitate a salary increase? would additional staff need to be hired?

The OEEM Director explained at this point that during his meeting with the Vice President it was discussed to suggest changing the name of the new department to the “Department of Environment, Climate Change, and Emergency Management.” Consequently, a new division of “Climate Change” would be created and led by an assistant secretary along with perhaps two new staff. He explained that the reason to separate climate change from environment is because climate change is not just an environmental issue. It is widely recognized as a crosscutting issue impacting education, health, security, energy, etc.

Members and the witnesses then engaged in a discussion to better understand and specify the anticipated budgetary impact. It was generally recognized that there would be the need for an increased budget; however, the figures discussed ranged from $100,000 to upwards of $200,000. The difficulty in establishing a precise figure emanated from the fact that no reorganization plan has been created to determine whether functions and divisions from other departments may move into the new department, followed by their existing appropriations.

268

STANDING COMMITTEE REPORT NO. 20-03 RE: C.B. NO. 20-04/J&GO

SUBJECT: PLACING THE OFFICE OF ENVIRONMENT AND EMERGENCY MANAGEMENT AS AN FSM NATIONAL GOVERNMENT DEPARTMENT

MAY 18, 2017

The OEEM Director explained that there is an ongoing ADB funded executive reorganization study, which further clouds the budget issue. The fact that there are many sources of international funding available for climate change related issues (e.g. Green Climate Fund) also complicated the issue as it might be a situation where more money would flow into the new department once the FSM was seen to have clearly made climate change a priority issue. The OEEM Director concluded by thanking your Committee for the chance to comment on the bill.

Conclusion

Your Committee would like to offer the following technical amendments to C.B. No. 20-04:

1. Page 1, bill title: after “19-29” insert the words “and 19-63”; 2. Page 2, line 1: after “Environment” insert the words “Climate Change,”; 3. Page 2, lines 22-23: delete “Office of Statistic, Budget, Overseas Development Assistance and COMPACT Management”; 4. Page 2, line 25: delete “[(4)]”; 5. Page 3, line 2: delete “[(5)] (4)” and insert “(3)” in lieu thereof. Your Committee on Judiciary and Governmental Operations is in accord with the intent and purpose of C.B. No. 20-04 and recommends its adoption in the form attached hereto.

Respectfully submitted,

/s/ Robson U. Romolow /s/ Dion G. Neth

Robson U. Romolow, Chairman Dion G. Neth, Vice Chairman

/s/ /s/Isaac V. Figir /s/ /s/ Tiwiter Aritos

Tiwiter Aritos, Member Isaac V. Figir, Member

/s /s/ Esmond B. Moses /s/ /s/ Wesley W. Simina

Esmond B. Moses, Member Wesley W. Simina, Member

/s/ /s/ Paliknoa K. Welly

Paliknoa K. Welly, Member

269

STANDING COMMITTEE REPORT NO. 20-04 RE: C.B. No. 20-24/W&M May 19, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Speaker: Your Committee on Ways & Means, to which was referred Congressional Bill No. 20-24 entitled:

“A BILL FOR AN ACT TO AMEND SECTIONS 1, 2, 3, 4, 6, 8 AND 9 OF PUBLIC LAW NO. 19-118, AS AMENDED BY PUBLIC LAWS NOS. 19-125, 19-131, 19-135, 19-146, 19-160, and 20-01, IN ORDER TO APPROPRIATE $483,650 OF ADDITIONAL FUNDS FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017, TO CHANGE THE USE OF CERTAIN FUNDS, TO CORRECT FOR A TECHNICAL ERROR, AND FOR OTHER PURPOSES.”, begs leave to report as follows:

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

Your Committee notes that C.B. No. 20-24 is a substitute version of C.B. 20-13 the supplemental budget bill drafted by the Executive and transmitted to Congress in Presidential Communication 20-06.

Your Committee held formal Committee Meetings on May 15-16, 2017, to discuss the supplemental budget. At these meetings, your Committee carefully considered each of the individual line item appropriations requests submitted by the Executive in P.C. 20-06. Your Committee decided to fund a limited set of line items, identified in the table below.

Budget Requesting Department Line Item Amount Section 2(1) Office of the President Travel $30,000 2(3) Dept. of Finance & Travel $15,000 Administration 2(5) Dept. of Transportation, Travel $15,000 Communication & Infrastructure 3(1) Congress: Speaker and Travel $140,000 Members 3(1) Congress: Speaker and Contractual Services (Representation $70,000 Members Fund) 3(1) Congress: Speaker and Contractual Services (Congress $50,000 Members Medical Assistance Program) 4 National Judicial Branch Personnel $48,500 6(5) FSM Postal Services Travel $15,000 8(5)(l) Dept. of Health & Social Youth Summit $25,000 Affairs

270 STANDING COMMITTEE REPORT NO. 20-04 RE: C.B. No. 20-24/W&M May 19, 2017

8(10)(m) Office of Environment and Build Resilience to Disaster & $75,150 Emergency Management Climate Risk in the Outer Islands TOTAL $483,650

Your Committee notes that in P.C. 20-06, the Department of Foreign Affairs made multiple requests for additional funds, especially for funds to cover Outstanding Arrears from past Pacific Islands Forums. Your Committee has decided to refrain from recommending any appropriations for funds for these line items until a fuller explanation for these requests can be provided by the Department of Foreign Affairs, at a future Public Hearing.

Your Committee further notes that both the Department of Health & Social Affairs and the Office of Environment & Emergency Management have requested funds for “Prior Year Obligations.” Your Committee declines to recommend appropriations for these line items, but your Committee wishes to encourage the Department of Health & Social Affairs and the Office of Environment & Emergency Management to use existing appropriations to cover their outstanding obligations, and notes that the Executive Branch may wish to reprogram funds, if necessary.

Your Committee recommends the adoption of the Executive’s requested new language for the line items in Section 8(2)(g) and Section 9(2)(a) of the budget, thereby slightly changing the intended use of funds for these two line items. These changes do not affect the appropriation amounts for any line items.

Your Committee recommends the adoption of certain changes to the language of the line item in Section 8(12)(p) of the budget, thereby changing the intended use of funds for this line item. This change does not affect the appropriation amounts for any line items.

Your Committee notes that it is recommending an additional $50,000 for the Congress Medical Assistance Program, to be added to the amount under “Speaker and Members: Contractual Services.” Moreover, your Committee recommends a slight change in the language to this line item, to allow these funds to be used to cover receipts from medical expenses in FY 2016.

Your Committee wishes to note that in the process of preparing the final engrossed version of P.L. 19- 160, the appropriation amount for the “IPU Annual Dues” line item in Section 8(9)(q) of the Budget was inadvertently reduced to “-0-“. This was a technical error. This bill restores this line item back to its original correct amount of “$12,500.” This technical correction does not affect any of the Section Totals or Overall Totals within the budget.

CONCLUSION

Your Committee on Ways and Means has carefully reviewed Congressional Bill No. 20-24. Your Committee is in accord with the intent and purpose of C.B. No. 20-24, and recommends its passage on First Reading and that it be placed on the Calendar for Second and Final Reading in the form attached hereto as C.B. No. 20-24.

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Respectfully submitted,

/s/ Isaac V. Figir /s/ David W. Panuelo 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/ Paliknoa K. Welly, member

272

STANDING COMMITTEE REPORT NO. 20-05

RE: C.B. NO. 20-19/W&M

SUBJECT: MEMBERS’ REPRESENTATION FUNDS RELATIVE TO ANNUAL SALARY OF THE PRESIDENT

MAY 23, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Ways and Means, to which was referred C.B. No. 20-19 entitled:

“TO FURTHER AMEND TITLE 55 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), AS AMENDED, BY INSERTING A NEW SECTION 112 TO CHAPTER 1, TO PLACE A STATUTORY LIMIT ON THE AMOUNT OF FUNDS THAT CONGRESS MAY APPROPRIATE TO MEMBERS’ REPRESENTATION FUNDS RELATIVE TO THE ANNUAL SALARY OF THE PRESIDENT OF THE FEDERATED STATES OF MICRONESIA, 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 determined that a more logical place for the amendments suggested by this bill is in Title 3 Legislative instead of in Title 55 – Government Finance and Contracts, and is submitting amendments to the bill accordingly.

Your Committee proposes that there be a new Section 305 in chapter 3 of title 3 to contain the proposed amendments to the FSM Code instead of a new section 112 in Chapter 1 of title 55. One reason your Committee recommends putting in a new section is to make clear that the representation funds are distinct from the compensation and expense allowances of Section 302.

Substantively your Committee believes it will be better to have a set amount listed in the bill as a cap for representation funds, in this case $100,000 per fiscal year instead of a percentage of certain salaries. Your Committee also believes that said representation funds should be allotted and disbursed on a quarterly basis.

Your Committee also believes that for the cap to work, any increase in the cap shall only apply to Congresses subsequent to the one passing the increase. In any event the cap shall only be effective from FY 2018 onward.

Your Committee proposes the following amendments to C.B. No. 20-19 to read as follows:

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RE: C.B. NO. 20-19/W&M

SUBJECT: MEMBERS’ REPRESENTATION FUNDS RELATIVE TO ANNUAL SALARY OF THE PRESIDENT

MAY 23, 2017

1. In the Title and wherever they appear in the bill delete “ Title 55” and insert “Title 3”, in lieu thereof 2. In the Title and wherever they appear in the bill delete “section 112 of chapter 1” and insert “section 305 of chapter 3”, in lieu thereof 3. Page 1 line 12, delete “in a fiscal year” and insert “starting fiscal year 2018”, in lieu thereof; 4. Page 1 line 13 delete “shall not exceed 200% of the total salary of the President of the Federated States of Micronesia for the fiscal year in which the funds are appropriated” and insert “shall not exceed $100,000 per fiscal year to be allotted and disbursed in quarterly installments.”, in lieu thereof. 5. Page 1 line 16 insert “An increase in the above cap of representation funds shall not apply to the Congress enacting said increase.”

Your Committee on Ways and Means is in accord with the intent and purpose of C.B. No. 20-19 and recommends its passage on First Reading and that it be placed on Calendar for Second and Final Reading the form attached hereto as C.B. No. 20-19 C.D.1.

Respectfully submitted,

/s/ Isaac V. Figir /s/ David W. Panuelo 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

274

STANDING COMMITTEE REPORT NO. 20-06 RE: C.B. NO. 20-15/T&C SUBJECT: PERTAINING TO ASSETS AND LIABILITIES OF THE OPEN ACCESS ENTITY

MAY 23, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Transportation and Communications, to which was referred C.B. No. 20-15, entitled:

"A BILL FOR AN ACT TO AMEND SECTIONS 389 AND 391, AND INSERT A NEW SECTION 392, UNDER CHAPTER 3 OF TITLE 21 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED) AS AMENDED, PERTAINING TO ASSETS AND LIABILITIES OF THE OPEN ACCESS ENTITY, AND FOR OTHER PURPOSES.", begs leave to report as follows:

The intent and purpose of the bill are expressed in its title.

Public Hearing Your Committee held a widely attended public hearing on the bill on May 18, 2017.

Because of the number of witnesses who appeared, your Chairman asked each witness to introduce himself and explain the role in which he was appearing before the Committee. Each witness did so. Among others, the following were present at the hearing to testify: • Secretary of Transportation, Communication, and Infrastructure; • Secretary of Finance and Administration; • Attorney General; • Assistant Secretary of TC&I in his capacity as both TC&I employee and as a member of the Board of the new Open Access Entity; • TC&I Project Coordinator; • Former Assistant Secretary of TC&I now retained by TC&I Division of Communication as ICT advisor; • President and CEO of FSM Telecommunications Corporation (FSMTC); • Two members of the Board of FSMTC; • Legal counsel to FSMTC; • Consultant employed by Macmillan Keck; and • A member of the media.

Your Chairman began the hearing by stating that your Committee has been frustrated by the brinksmanship approach to legislation: “Congress must do X, or the World Bank will not disburse the funds.”

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MAY 23, 2017

The Project Coordinator explained that the government made a commitment to reform the sector, but has “kicked the can down the road” with respect to hard decisions. He explained that “FSMTC can go wholesale or retail,” but the World Bank will not release the funds until certain guarantees are in place. He explained that the original telecommunications liberalization bill called for the transfer of the HANTRU1 cable system, but that due to objections by FSMTC this was removed.

Members and the Project Coordinator then engaged in a discussion as to whether the Financing Agreement between the FSM government and the World Bank explicitly requires the transfer of legal ownership of the HANTRU1 cable. Members emphasized that the only mention of HANTRU1 in the Financing Agreement relates to FSMTC giving the OAE capacity and access “free of charge on terms as may be demanded by the FSM Open Access Entity.” Members noted that it seems that there is still wide disagreement between TC&I and FSMTC on this crucial issue.

Your Committee then asked TC&I to make its presentation about the bill. The Secretary of TC&I requested the Project Coordinator to speak about the bill. He explained that the World Bank had recently sent the FSM government a letter stating that there must be certain “guarantees” in place before the funds are disbursed. He then explained that the bill has three objectives:

1. FSMTC can not compete with the OAE; 2. Provides a place for the OAE to land the new cables; and 3. Requires that capacity be used by FSMTC.

He explained that the passage of the bill would have very little or no economic impact on FSMTC because it provides FSMTC full access at very little cost.

Members returned to the issue of the transfer of HANTRU1 because the explanation did not clarify the confusion as to whether transfer is legally required.

The Project Coordinator then explained that the wholesale and retail layers must be separated and that not transferring HANTRU1 would result in “regulatory nightmares and economic inefficiencies.”

The Secretary of Finance and Administration then sought to respond to the concern of Members about whether the Financing Agreement requires the legal transfer of HANTRU1 from FSMTC to the new OAE. She explained that after Congress passed resolution CR 18-249, which accepted the $47 million grant from the World Bank (the largest single grant in the history of the FSM), the FSM government signed a Financing Agreement with the World Bank. She explained that it was her understanding that the transfer of HANTRU1 is the last condition before the funds can be disbursed and that the money will not be released without it. She explained that without the release of funds, the FSM government would have a loss of $10 million and be responsible to pay $25 million.

Members again returned to the question of whether the Financing Agreement requires transfer of legal ownership of HANTRU1. The Attorney General was then asked for his legal opinion as to the terms of the Financing Agreement. He responded that before rendering a legal opinion he would need to review the precise language of the Financing Agreement on this particular issue. (See below for action taken by the Committee after the hearing to obtain this legal opinion.)

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MAY 23, 2017

Members then raised concerns about whether FSMTC had been consulted about the terms of the Financing Agreement before it was signed and whether FSMTC had been consulted before the bill was transmitted to Congress. Members also inquired as to whether RUS, which holds the outstanding loan that FSMTC took to fund the purchase of HANTRU1, had agreed to the transfer required by the bill. Members noted that there seemed to be a great deal of confusion already surrounding the bill and its consequences.

At this point, your Committee asked the representatives from FSMTC to offer their perspective on the bill and the ensuing discussions. The FSMTC President began by stating that already during the hearing other parties had been making representations about the position of FSMTC with respect to the bill. He explained that FSMTC understands why there is a push for this bill because there is a large grant at stake and having access to fiber optic cable is highly desirable. However, he reiterated FSMTC’s position, made known to the Executive in writing in November 2016, that FSMTC is not bound by the terms of the Financing Agreement. He further stated that nowhere in the Financing Agreement does it say that HANTRU1 must be transferred to the OAE.

For context, he explained that FSMTC has invested over $120 million in the FSM building its network, and it has repaid over $70 million to RUS on its two loans. He explained that these sums are tantamount to the sums of money at stake in the World Bank grant. He also stated clearly that passage of the bill would absolutely affect FSMTC’s bottom line despite previous assertions by other parties to the contrary. He further explained that the national government would suffer a decline in gross revenue tax because the new OAE, unlike FSMTC, will not pay tax whereas FSMTC had paid in excess of $1.5 million in GRT over the past four years.

With respect to C.B. No. 20-15, the FSMTC President explained that implementation of the bill would be extremely difficult because there are so many parties connected to the HANTRU1 cable system. For example, he explained that he sent a copy of the bill to MINTA, which responded that they are not interested in working with the new OAE because their relationship is with FSMTC, not a new entity.

He stated that all this bill does is disrupt FSMTC, compromise its ability to service customers, and cripple its ability to pay its loans to RUS. He stated that FSMTC does not want to be put in a position where it must take action against its major shareholder.

He further explained that, although the discussion had primarily centered on the transfer of HANTRU1, the bill also requires the transfer of FSMTC’s satellite connectivity contracts. He explained that the transfer of these contracts raise a whole host of other difficulties.

He explained that FSMTC is willing to engage with the new OAE to explore how to meet the “free access” provisions of the Financing Agreement perhaps by pursuing some sort of “contra deal.” However, FSMTC does not agree with the “hostile takeover” approach inherent in the bill. He concluded his comments by urging your Committee not to pass the bill.

Members then raised questions about the hiring of the new CEO for the new OAE. Members expressed concern that the new CEO would be paid in excess of $300,000 per annum when the appropriation for the OAE was for only $500,000. Members asked the Attorney General whether he had reviewed the contract;

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MAY 23, 2017 he replied that he had not. He also stated that it was his view that any contract must still go through the internal national government review process. Members inquired with the Secretary of Finance and Administration whether any of the $500,000 appropriation for the OAE had been disbursed. They encouraged her to withhold disbursement until the Attorney General had rendered a legal opinion as to the validity of the contract.

By the conclusion of the hearing it was apparent to your Committee that, despite your Committee’s exhortation to TC&I and FSMTC at the conclusion of its public hearing on proposed telecommunications restructuring on January 26, 2017, the parties have yet to agree on a constructive way forward. Members expressed the view that the parties should perhaps go back and meet “in the Micronesian way” to talk, listen, and iron out their differences before they return to the Committee. The parties should be encouraged to come back with something that will be good for all.

After the hearing your Chairman sent a letter to the Attorney General documenting the request for legal opinions on two issues:

1. whether the Financing Agreement (Palau-FSM Connectivity Project) between Federated States of Micronesia and International Development Association dated March 6, 2015 (“Financing Agreement”), specifically requires the transfer of legal ownership of the HANTRU1 Cable System from FSMTC to the new OAE; and

2. whether the OAE must comply with the standard national government procedures (e.g. review by Department of Finance and Administration and Department of Justice) before signing a management agreement or consulting contract.

Conclusion

Your Committee on Transportation and Communications makes the following recommendations with respect to the bill:

1. Both TC&I and FSMTC should continue to meet for consultations to craft a mutually agreeable way forward.

2. The bill should remain in Committee until further information is provided regarding the suggested consultations between FSMTC and TC&I and the written legal opinion requested of the Attorney General is received and reviewed.

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MAY 23, 2017

Respectfully submitted,

/s/ Victor V. Gouland /s/ Alik L. Alik Victor V. Gouland, Chairman Alik L. Alik, Vice Chairman

/s/ /s/ /s/ Dion G. Neth Florencio Harper, Member Dion G. Neth, Member

/s/ Ferny S. Perman /s/ /s/ Wesley W. Simina Ferny S. Perman, Member Wesley W. Simina, Member

/s/ /s/ Joseph J. Urusemal Joseph J. Urusemal, Member

279

STANDING COMMITTEE REPORT NO. 20-07

RE: PRESIDIENTAL COMMUNICATION NO. 19-301

SUBJECT: FISCAL YEAR 2018 BUDGET/H&SA

MAY 29, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Health and Social Affairs, to which was jointly referred the National Government’s proposed Fiscal Year 2018 budget, begs leave to report as follows:

Presidential Communication No. 19-301 was transmitted to Congress with the National Government Fiscal Year 2017 Recommended Budget on April 1, 2016. Pursuant to Rule 7, Section 3(b) of the Official Rules of Procedure of the Twentieth Congress of the Federated States of Micronesia, your Committee has limited its review to those portions of the budget relating to matters under its jurisdiction. Your Committee shall review the following departments and divisions of the Department of Health and Social Affairs for the Fiscal Year 2018 budget items:

I. Department of Health and Social Affairs A. Office of the Secretary B. Division of Health System Support C. Division of Environmental Health Services D. Gender Development Unit E. Sport & Youth Unit II. Office of National Archives, Culture and Historic Preservation III. Grants, Subsidies & Contributions A. Department of Health and Social Affairs 1. Grants a. National Board of Nursing & Medical Licensing b. FSM Red Cross 2. Contributions a. United Nations Fund for Population Activity (UNFPA) b. World Health Organization (WHO) c. FSM Amateur Sports Association d. Pacific Islands Health Officer Associations (PIHOA) e. Association of Territorial Health Organizations f. Vaccine &TB Drug Purchasing Scheme g. U.N. Women h. Investing in the Youth through Sports & Health i. Maintenance Effort B. Office of National Archives, Culture and Historic Preservation 1. Contributions

280 STANDING COMMITTEE REPORT NO. 20-07 RE: PRESIDIENTAL COMMUNICATION NO. 19-301 SUBJECT: FISCAL YEAR 2018 BUDGET/H&SA MAY 29, 2017

a. UNESCO Membership Fee b. NCSHPO c. PARBICA d. PIALA e. WHC Membership Fee C. FSM Social Security Administration D. FSM National Government Employee’s Health Insurance Plan IV. Capital and Human Resource Development A. Department of Health and Social Affairs 1. Health Services Special Pathologist 2. Environment (Food & Water Lab Testing) 3. Medical Specialist Team 4. System Upgrade of FSM Health Network 5. National Food Safety Program

This report, and all previous and subsequent reports of your Committee, should be treated as reflecting policies of the Federated States of Micronesia, as defined by Congress. It is the intent of your Committee that any commentary found in this report should be treated as policy for the guidance of the department, agencies and entities.

It is noted by the Committee that a reorganization has just been completed for the Department of Health and Social Affairs. Your Committee has further been advised that changes in funding of the U.S. federally funded programs may result in additional changes in the Department.. It is for these reasons that your Committee has taken decision to delay oversight and review of the FY18 budget for the Department of Health & Social Affairs until the next session of Congress.

It is the sole purpose of this report to memorialize, prior to the consideration of any Congress resolution on or before May 30, 2017, that the President has not proposed, nor is this Committee recommending any use of Compact sector funds for the Fiscal Year 2018.

Respectfully submitted,

/s/ Ferny S. Perman /s/ Alik L. Alik Ferny S. Perman, chairman Alik L. Alik, vice chairman

/s/ /s/ Tiwiter Aritos Tiwiter Aritos, member Florencio S. Harper, member

/s/ /s/ David W. Panuelo /s/ /s/oseph J. Urusemal David W. Panuelo, member Joseph J. Urusemal, member

/s/ /s/ Derensio S. Konman Derensio S. Konman, member

281

STANDING COMMITTEE REPORT NO. 20-08

RE: C.R. NO. 20-03/H&SA

SUBJECT: TO CONFIRM THE NOMINATION OF MR. KOSAK M. KELLER TO SERVE AS A MEMBER OF THE FEDERATED STATES OF MICRONESIA SOCIAL SECURITY BOARD OF TRUSTEES.

MAY 29, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Health and Social Affairs to which was referred C.R. No. 20-03, entitled:

“A RESOLUTION TO CONFIRM THE NOMINATION OF MR. KOSAK M. KELLER TO SERVE AS A MEMBER OF THE FEDERATED STATES OF MICRONESIA SOCIAL SECURITY BOARD OF TRUSTEES, REPRESENTING THE NATIONAL GOVERNMENT.”, begs leave to report as follows:

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

Your Committee held a hearing on May 24, 2017, the witnesses present included the nominee, Mr. Kosak M. Keller, representatives from the Federated States of Micronesia Social Security Board, including the Administrator and his key staff, and the representative from the President’s Office.

Your Committee recognizes the importance of having a diverse set of professional skills represented on the FSM Social Security Board of Trustees, particularly as the Administration faces challenging times ahead. The welfare and sustainability of the program for future generations depends on decisions that will be made in the next few years.

In order to ensure the delivery of quality services and financial viability, the policies and administration of the FSM Social Security Administration must be reviewed and maintained by an efficient Board of Trustees. The nominee’s background in law enforcement and administration in our judicial system would be a valuable asset in the evaluation of legal issues and administration policies. Although the nominee has not worked directly in finance or the Social Security Administration he has familiarized himself with Social Security issues over the years by reviewing the court cases involving Social Security matters, and through his service in the National Government. The nominee stated that he has a willingness to serve and study the issues in detail.

The nominee is well known to your Committee, and his many years of faithful service at the National Government are also well known. This nominee is dedicated, competent and has great integrity. All witnesses and the Committee have confidence in his ability to succeed as a member of the FSM Social Security Board of Trustees. The Administrator of Social Security stated that the nominee’s background

282 STANDING COMMITTEE REPORT NO. 20-08

RE: C.R. NO. 20-03/H&SA

SUBJECT: TO CONFIRM THE NOMINATION OF MR. KOSAK M. KELLER TO SERVE AS A MEMBER OF THE FEDERATED STATES OF MICRONESIA SOCIAL SECURITY BOARD OF TRUSTEES.

MAY 29, 2017

would be an asset to the Board of Trustees and as the nominee will soon be eligible to receive Social Security benefits he could relate to the needs and concerns of other recipients as a peer.

The Committee reiterates that it was very impressed with the nominee’s responses and endorsements by the witnesses during the hearing and his impeccable qualifications. In light of the overwhelmingly comments by the witnesses, and lack of negative comment regarding this individual, your Committee strongly requests that this nominee be confirmed as a member of the Federated States of Micronesia Social Security Board of Trustees at the earliest possible convenience.

Your Committee on Health and Social Affairs is in accord with the intent and purpose of C.R. No. 19-163, and recommends its adoption, in the form attached hereto.

Respectfully submitted,

/s/ Ferny S. Perman /s/ Alik L. Alik Ferny S. Perman, chairman Alik L. Alik, vice chairman

/s/ /s/ Tiwiter Aritos /s/ Tiwiter Aritos, member Florencio S. Harper, member

/s/ /s/ David W. Panuelo /s/ /s/ Joseph J. Urusemal David W. Panuelo, member Joseph J. Urusemal, member

/s/ /s/ Derensio S. Konman Derensio S. Konman, member

283

STANDING COMMITTEE REPORT NO. 20-09 RE: C.B. NOS. 20-15 AND 20-26/T&C SUBJECT: BILLS PERTAINING TO FREE ACCESS BETWEEN THE OPEN ACCESS ENTITY AND FSM TELECOMMUNICATIONS CORPORATION (FSMTC)

MAY 29, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Transportation and Communications, to which was referred C.B. No. 20-15, entitled:

"A BILL FOR AN ACT TO AMEND SECTIONS 389 AND 391, AND INSERT A NEW SECTION 392, UNDER CHAPTER 3 OF TITLE 21 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED) AS AMENDED, PERTAINING TO ASSETS AND LIABILITIES OF THE OPEN ACCESS ENTITY, AND FOR OTHER PURPOSES.", and C.B. No. 20-26, entitled:

"A BILL FOR AN ACT TO AMEND SECTION 203 OF TITLE 21 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), AS AMENDED BY PUBLIC LAW 18-52, TO REQUIRE THE TELECOMMUNICATIONS CORPORATION OF THE FEDERATED STATES OF MICRONESIA TO PROVIDE SERVICES AND SYSTEM ACCESS ON THE HANTRU1 CABLE SYSTEM TO THE OPEN ACCESS ENTITY FREE OF CHARGE, AND FOR OTHER PURPOSES.", begs leave to report as follows:

The intent and purpose of these bills are expressed in their titles.

First Public Hearing on C.B. No. 20-15 Your Committee held a widely attended public hearing on C.B. No. 20-15 on May 18, 2017.

Because of the number of witnesses who appeared, your Chairman asked each witness to introduce himself and explain the role in which he was appearing before the Committee. Each witness did so. Among others, the following were present at the hearing to testify: • Secretary of Transportation, Communication, and Infrastructure; • Secretary of Finance and Administration; • Attorney General; • Assistant Secretary of TC&I in his capacity as both TC&I employee and as a member of the

284 STANDING COMMITTEE REPORT NO. 20-09 RE: C.B. NOS. 20-15 AND 20-26/T&C SUBJECT: BILLS PERTAINING TO FREE ACCESS BETWEEN THE OPEN ACCESS ENTITY AND FSM TELECOMMUNICATIONS CORPORATION (FSMTC)

MAY 29, 2017

• Board of the new Open Access Entity; • TC&I Project Coordinator; • Former Assistant Secretary of TC&I now retained by TC&I Division of Communication as ICT advisor; • President and CEO of FSM Telecommunications Corporation (FSMTC); • Two members of the Board of FSMTC; • Legal counsel to FSMTC; • Consultant employed by Macmillan Keck; and • A member of the media.

Your Chairman began the hearing by stating that your Committee has been frustrated by the brinksmanship approach to legislation: “Congress must do X, or the World Bank will not disburse the funds.” The Project Coordinator explained that the government made a commitment to reform the sector, but has “kicked the can down the road” with respect to hard decisions. He explained that “FSMTC can go wholesale or retail,” but the World Bank will not release the funds until certain guarantees are in place. He explained that the original telecommunications liberalization bill called for the transfer of the HANTRU1 cable system, but that due to objections by FSMTC this was removed.

Members and the Project Coordinator then engaged in a discussion as to whether the Financing Agreement between the FSM government and the World Bank explicitly requires the transfer of legal ownership of the HANTRU1 cable. Members emphasized that the only mention of HANTRU1 in the Financing Agreement relates to FSMTC giving the OAE capacity and access “free of charge…on terms as may be demanded by the FSM Open Access Entity.” Members noted that it seems that there is still wide disagreement between TC&I and FSMTC on this crucial issue.

Your Committee then asked TC&I to make its presentation about the bill. The Secretary of TC&I requested the Project Coordinator to speak about the bill. He explained that the World Bank had recently sent the FSM government a letter stating that there must be certain “guarantees” in place before the funds are disbursed. He then explained that the bill has three objectives:

4. FSMTC cannot compete with the OAE; 5. Provides a place for the OAE to land the new cables; and 6. Requires that capacity be used by FSMTC.

He explained that the passage of the bill would have very little or no economic impact on FSMTC because it provides FSMTC full access at very little cost.

Members returned to the issue of the transfer of HANTRU1 because the explanation did not clarify the confusion as to whether transfer is legally required.

The Project Coordinator then explained that the wholesale and retail layers must be separated and that not transferring HANTRU1 would result in “regulatory nightmares and economic inefficiencies.”

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STANDING COMMITTEE REPORT NO. 20-09 RE: C.B. NOS. 20-15 AND 20-26/T&C SUBJECT: BILLS PERTAINING TO FREE ACCESS BETWEEN THE OPEN ACCESS ENTITY AND FSM TELECOMMUNICATIONS CORPORATION (FSMTC)

MAY 29, 2017

The Secretary of Finance and Administration then sought to respond to the concern of Members about whether the Financing Agreement requires the legal transfer of HANTRU1 from FSMTC to the new OAE. She explained that after Congress passed resolution C.R. No. 18-249, which accepted the $47 million grant from the World Bank (the largest single grant in the history of the FSM), the FSM government signed a Financing Agreement with the World Bank. She explained that it was her understanding that the transfer of HANTRU1 is the last condition before the funds can be disbursed and that the money will not be released without it. She explained that without the release of funds, the FSM government would have a loss of $10 million and be responsible to pay $25 million.

Members again returned to the question of whether the Financing Agreement requires transfer of legal ownership of HANTRU1. The Attorney General was then asked for his legal opinion as to the terms of the Financing Agreement. He responded that before rendering a legal opinion he would need to review the precise language of the Financing Agreement on this particular issue. (See below for action taken by the Committee after the hearing to obtain this legal opinion.)

Members then raised concerns about whether FSMTC had been consulted about the terms of the Financing Agreement before it was signed and whether FSMTC had been consulted before the bill was transmitted to Congress. Members also inquired as to whether RUS, which holds the outstanding loan that FSMTC took to fund the purchase of HANTRU1, had agreed to the transfer required by the bill. Members noted that there seemed to be a great deal of confusion already surrounding the bill and its consequences.

At this point, your Committee asked the representatives from FSMTC to offer their perspective on the bill and the ensuing discussions. The FSMTC President began by stating that already during the hearing other parties had been making representations about the position of FSMTC with respect to the bill. He explained that FSMTC understands why there is a push for this bill because there is a large grant at stake and having access to fiber optic cable is highly desirable. However, he reiterated FSMTC’s position, made known to the Executive in writing in November 2016, that FSMTC is not bound by the terms of the Financing Agreement. He further stated that nowhere in the Financing Agreement does it say that HANTRU1 must be transferred to the OAE.

For context, he explained that FSMTC has invested over $120 million in the FSM building its network, and it has repaid over $70 million to RUS on its two loans. He explained that these sums are tantamount to the sums of money at stake in the World Bank grant. He also stated clearly that passage of the bill would absolutely affect FSMTC’s bottom line despite previous assertions by other parties to the contrary. He further explained that the national government would suffer a decline in gross revenue tax because the new OAE, unlike FSMTC, will not pay tax whereas FSMTC had paid in excess of $1.5 million in GRT over the past four years.

With respect to C.B. No. 20-15, the FSMTC President explained that implementation of the bill would be extremely difficult because there are so many parties connected to the HANTRU1 cable system. For example, he explained that he sent a copy of the bill to MINTA, which responded that they are not interested in working with the new OAE because their relationship is with FSMTC, not a new entity.

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MAY 29, 2017

He stated that all this bill does is disrupt FSMTC, compromise its ability to service customers, and cripple its ability to pay its loans to RUS. He stated that FSMTC does not want to be put in a position where it must take action against its major shareholder.

He further explained that, although the discussion had primarily centered on the transfer of HANTRU1, the bill also requires the transfer of FSMTC’s satellite connectivity contracts. He explained that the transfer of these contracts raise a whole host of other difficulties.

He explained that FSMTC is willing to engage with the new OAE to explore how to meet the “free access” provisions of the Financing Agreement perhaps by pursuing some sort of “contra deal.” However, FSMTC does not agree with the “hostile takeover” approach inherent in the bill. He concluded his comments by urging your Committee not to pass the bill.

Members then raised questions about the hiring of the new CEO for the new OAE. Members expressed concern that the new CEO would be paid in excess of $300,000 per annum when the appropriation for the OAE was for only $500,000. Members asked the Attorney General whether he had reviewed the contract; he replied that he had not. He also stated that it was his view that any contract must still go through the internal national government review process. Members inquired with the Secretary of Finance and Administration whether any of the $500,000 appropriation for the OAE had been disbursed. They encouraged her to withhold disbursement until the Attorney General had rendered a legal opinion as to the validity of the contract.

By the conclusion of the hearing it was apparent to your Committee that, despite your Committee’s exhortation to TC&I and FSMTC at the conclusion of its public hearing on proposed telecommunications restructuring on January 26, 2017, the parties have yet to agree on a constructive way forward. Members expressed the view that the parties should perhaps go back and meet “in the Micronesian way” to talk, listen, and iron out their differences before they return to the Committee. The parties should be encouraged to come back with something that will be good for all.

After the hearing your Chairman sent a letter to the Attorney General documenting the request for legal opinions on two issues:

3. whether the Financing Agreement (Palau-FSM Connectivity Project) between Federated States of Micronesia and International Development Association dated March 6, 2015 (“Financing Agreement”), specifically requires the transfer of legal ownership of the HANTRU1 Cable System from FSMTC to the new OAE; and

4. whether the OAE must comply with the standard national government procedures (e.g. review by Department of Finance and Administration and Department of Justice) before signing a management agreement or consulting contract.

The Attorney General’s written legal opinion was received by your Committee on May 23, 2017.

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MAY 29, 2017

Second Public Hearing on C.B. No. 20-15 and new C.B. No. 20-26 Subsequent to the hearing on C.B. No. 20-15 held on May 18, 2017, C.B. No. 20-26 was introduced and referred to your Committee.

After following up with the parties as to the status of their ongoing consultations, your Committee called for a second public hearing on C.B. No. 20-15 during which consideration would also be given to the newly introduced, but related bill, C.B. No. 20-26. This public hearing was held on May 25, 2017. Substantially the same witnesses appeared before your Committee to testify.

Your Chairman opened the second hearing by stressing the seriousness of the matters under consideration and the need to find a solution. He requested both TC&I and FSMTC to update your Committee on the status of their consultations.

The Secretary of TC&I explained that he and the FSMTC President/CEO met on May 22, 2017. During the meeting he asked FSMTC to provide in writing an assurance they will provide HANTRU1 and satellite access to help meet the disbursement conditions. He explained that this assurance was needed because, despite previously supporting the World Bank project, FSMTC has now repeatedly stated that it completely opposes the project. He also explained that FSMTC is in the process of completing necessary agreements to provide the required access. Despite this, he maintained that C.B. No. 20-15 would ensure that the World Bank disbursement conditions are met.

Before hearing from FSMTC, members of your Committee posed a question to TC&I. Members inquired why TC&I took the rather large step to advance a legal transfer of the HANTRU1 cable (C.B. No. 20-15) rather than the more intermediate step of simply mandating access “free of charge” on HANTRU1 for the OAE. The Secretary explained that this large step was taken because FSMTC opposed the project in its entirety, and therefore the FSM government needed to force FSMTC to give the necessary guarantees of access to the World Bank. He maintained that passage of C.B. No. 20-15 would have no effect on FSMTC and would in fact even be advantageous to FSMTC because its costs would decline once another service provider entered the market.

The FSMTC President/CEO began by explaining that FSMTC has never stated that it opposes the project completely. In fact, FSMTC already accepted the existence of the OAE when it did not oppose passage of what became Public Law No. 18-52 (the liberalization bill). He also explained that he had just received a written response from RUS indicating that they would not be in support of a legal transfer of the HANTRU1 cable as required by C.B. No. 20-15. He indicated that passage of C.B. No. 20-15 would likely result in litigation given the number of parties connected to the HANTRU1 cable (RUS, MINTA, etc). He stated that NEC, the manufacturer of the cables, would likely not have signed a contract with the FSM if it had not been satisfied that the World Bank disbursement conditions could be accomplished without any additional legislation beyond the original liberalization bill (P.L. No. 18-52). He explained again that FSMTC would not block OAE access to HANTRU1 and that FSMTC would be willing to enter into “contra-deals” with the OAE. Given the ongoing consultations, he encouraged the Committee to take a pause and examine alternative solutions.

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MAY 29, 2017

Members and the witnesses then engaged in a discussion about whether there were any other alternatives, besides C.B. No. 20-15, to meet the World Bank disbursement conditions. The responses from the witnesses from the Executive branch were confusing because one department (TC&I) stated that C.B. No. 20-15 was the only way and another department (Finance) implied that the World Bank had indicated a bill like C.B. No. 20-26 would be sufficient, although it would be not be good for FSMTC financially. Members reiterated their concern that they are still not receiving consistent messages from the Executive branch.

Members then inquired whether passage of C.B. No. 20-15 would represent the “final step” in meeting the more than 20 disbursement conditions referenced in the World Bank’s letter dated March 28, 2017. The TC&I Project Coordinator explained that this is the “most critical” and also the most politically controversial step. He explained that all the other conditions are “within the control of the project team” and that they have a “checklist” to ensure those conditions will be met. But he did indicate that, depending on the financial plan approved by the World Bank for the OAE, an additional appropriation by Congress from local revenues might be required. He also explained that, if the World Bank approves a new round of funding for the Kosrae-Kiribati-Nauru cable, a new financing agreement would need to be signed and that the new agreement would likely contain even more conditions (e.g. a requirement that competition actually be introduced before any money is disbursed).

Members and the witnesses then engaged in a discussion about the possibility of FSMTC and the OAE being a single entity. The Project Coordinator explained that the parties had worked on this approach for in excess of a year, but that the World Bank ultimately refused to accept this approach. He did indicate that if FSMTC in the future offered only “wholesale services,” that perhaps FSMTC and the OAE could be combined. The FSMTC President/CEO indicated that both Tahiti and Australia have systems where the incumbent operator also functions as an “open access entity.” The required “separation” is achieved through “accounting separation,” which is the approach that FSMTC advocated for in the “white paper” they circulated as a response to the Macmillan Keck report.

Members also inquired whether it would be possible to come up with a bill that allowed reciprocal free access for both FSMTC and OAE.

Members then questioned the witnesses about various provisions in FSM’s contract with NEC that might allow Congress more time to make a fully informed decision. Members asked questions related to the “60 day cure period” clause and the “no work stop” clause. Ultimately, the Project Coordinator stated that the FSM had not yet received a formal written “default notice,” which is the document under the NEC contract that triggers the 60-day cure period. The Attorney General, although not familiar with the specifics of the cure period in the NEC contract, indicated that cure periods typically allow a party time to cure the default so the contract can continue on as if there had been no default.

At the conclusion of the hearing, your Committee requested the parties to continue their consultations and to return to the Committee with a draft of a compromise bill satisfactory to both parties.

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MAY 29, 2017

Third Public Hearing on both C.B. No. 20-15 and new C.B. No. 20-26 Your Committee held a third public hearing on Saturday, May 27, 2017, to hear once again from the parties as to whether they had agreed to a compromise bill. Substantially the same witnesses appeared to testify, but they were joined by the President’s Chief of Staff.

The Chief of Staff updated your Committee on the progress the parties had made in the past two days. He reported that, although consultations are continuing, the parties had an agreement in principle on a draft IRU deed. He indicated that FSMTC thought the draft IRU deed was a workable agreement; however, the problem continues to be a shortage of time due to the end of the current Session on Tuesday, May 30, 2017. He stated that within the next few days either a final agreement on an IRU deed must be reached or C.B. No. 20-15 should be passed.

The FSMTC President/CEO stated that FSMTC only received a copy of the draft IRU deed on Thursday, May 25 after the second public hearing. He stated that an IRU deed is the type of agreement that FSMTC can work with because such agreements are common in the telecommunications industry. However, he expressed his concern that FSMTC was being pressured to sign a complicated legal agreement without sufficient time to conduct its due diligence. After a back-and-forth discussion regarding how long TC&I had had the draft IRU deed in its possession, the President/CEO stated that a similar document, the IRU deed between the FSM and Telin related to the Yap Spur, took nearly two years to negotiate. He indicated that he wanted your Committee to have this information as context for why FSMTC is insisting upon sufficient time to conduct its due diligence on the IRU deed. Finally, he stated that he had forwarded a copy of the draft IRU deed to both RUS and Armstrong, which is the entity that actually owns the HANTRU1 cable system.

Members informed the witnesses that time was growing short, and that it was their hope that the parties could reach an agreement in time to eliminate the need to legislate on matters that could be dealt with via contracts. Members raised the issue of why FSMTC had not been involved in the lengthy process of negotiating the terms of the draft IRU deed between the World Bank and the outside legal consultants retained by TC&I. Members then inquired if both TC&I and FSMTC could provide an estimate for date upon which final agreement on the IRU deed might be made. The witnesses from the Executive deferred to FSMTC. The FSMTC President/CEO explained that he is pushing hard to move this forward, but that the earliest he could expect a response from RUS would be Wednesday, May 31, 2017.

Members asked the witnesses whether execution of a final IRU deed would eliminate the need for Congress to legislate. The Chief of Staff explained that this was his understanding, but he again stressed that the deadline of June 30, 2017, was looming with respect to meeting the World Bank disbursement conditions.

Your Committee encouraged the parties to continue their consultations and to keep your Committee updated as to the progress towards reaching an agreement on the IRU deed. Members also encouraged all parties to be forthcoming in sharing all relevant information with the Committee and with one another in order to ensure the success of this very important project for the FSM. In the meantime, your Committee assured the witnesses that it would continue to consider the bills before it.

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MAY 29, 2017

Recommended Amendments to C.B. No. 20-15 As a result of your Committee’s extensive hearings, your Committee recommends the following amendments to C.B. No. 20-15:

1. With the exception of the small technical amendment on page 2, line 13, the entirety of the new text in C.B. No. 20-15 will be removed; 2. On page 2, line 2, additional text will be added after the word “terms” so that the entirety of Section 2 will read as follows (new text proposed by your Committee is underlined):

“(2) The Open Access Entity shall provide international and domestic connectivity for the transmission of data for communications services as a wholesaler but not at retail. Such connectivity shall be provided on non-discriminatory and cost-based terms; PROVIDED, HOWEVER, that the Open Access Entity shall provide connectivity free of charge to the Corporation established by Section 202 of Title 21 of the Code of the Federated States of Micronesia from Pohnpei to Chuuk and Chuuk to Guam on terms substantially similar to those demanded by the Open Access Entity from the Corporation on the HANTRU1 Cable System.”

Conclusion Your Committee on Transportation and Communications makes the following recommendations with respect to the two bills:

3. C.B. No. 20-15, as amended above and in the form attached hereto, recommends its passage of First Reading and that it be placed on the Calendar for Second and Final Reading in the form attached hereto as C.B. No. 20-15, C.D.1

4. C.B. No. 20-26, recommends its passage on First Reading and that it placed on Calendar for Second and Final Reading in the form attached hereto.

If the parties (TC&I/OAE and FSMTC) reach a final agreement on the IRU deed, your Committee will reconsider its recommendation with respect to the two bills.

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MAY 29, 2017

Respectfully submitted,

/s/ Victor V. Gouland /s/ Alik L. Alik Victor V. Gouland, chairman Alik L. Alik, vice chairman

Florencio S. Harper, member Ferny S. Perman, member

/s/ Dion G. Neth /s/ Wesley W. Simina Dion G. Neth, member Wesley W. Simina, member

Joseph J. Urusemal, member

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STANDING COMMITTEE REPORT NO. 20-10

RE: PRESIDENTAL COMMUNICATION NO. 19-579/EDUCATION

SUBJECT: FY 2018 RECOMMENDED BUDGET

MAY 29, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Education, to which was jointly referred Presidential Communication No. 19-579 regarding the National Government’s Recommended FY2018 Budget, begs leave to report as follows:

Presidential Communication No. 19-579 was transmitted to Congress with the National Government Fiscal Year 2018 Recommended Budget (“budget book”). Pursuant to Rule 7, Section 3(b), of the Official Rules of Procedure of the Twentieth Congress of the Federated States of Micronesia, your Committee has limited its review to those portions of the recommended budget relating to matters under its jurisdiction. These are:

A. Department of Education 1. Office of the Secretary 2. Division of Quality and Effectiveness (formerly the Division of Basic Education & Accreditation) 3. Division of Formal and Non Formal Education (formerly the Division of Career & Technical) B. Board of Regents COM-FSM C. Grants, Subsidies and Contributions. 1. Aid to Non-Public schools 2. Financial Assistance for FSM students at CMI 3. Financial Assistance for FSM students at PCC 4. National Scholarship 5. National Close-Up 6. National Merit Scholarship 7. COM-FSM Annual Board Meeting D. Resources: Grants, Subsidies and Contributions 1. COM-FSM Treaty Obligations E. Capital & Human Resources Development 1. College of Micronesia-FSM 2. FSM Fisheries and Maritime Institute 3. COM-FSM-SEG 4. National Department of Education 3 Initiatives a. School Accreditation Project b. Teacher Certification Project c. Quality Development Project

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5. NDOE SEG Project Year 3 6. Human Resources in Education

This report, and all previous and subsequent reports of your Committee, should be treated as reflecting policies of the Federated States of Micronesia, as defined by the Congress. It is the intent of your Committee that any commentary found in this report should be treated as policy for the guidance of the department, agencies and entities.

The findings and recommendations of your Committee follow:

I. INTRODUCTORY COMMENTS

Your Committee notes that the FY2018 Budget Book was transmitted to the Nineteenth Congress on April 1, 2017. During your Committee’s review of the Budget Book it has noted some inaccuracies, and these are detailed in the relevant portions of the report below.

Your Committee has prepared its recommendations for the above-cited items on the following breakdown of available funds $922,672 from the Supplemental Education Grant (SEG) for the National Department of Education of which $366,598 is proposed for operations of the Department and the remaining for a project for the Department proposed at $556,074. The amount of SEG available for COM-FSM is $689,948. Pursuant to P.L. No. 18-57, the funding available for NDOE from the Compact Education Sector Grant for FY18 is zero. The funding available for Education Sector Grant for FSM-COM is $1,000,000.

Your Committee held public hearings with the National Department of Education on May 17 and 22, 2017. Your Committee also held a public hearing with the College of Micronesia-FSM on May 19, 2017. Witnesses at the hearings included: the Secretary of the Department of Education and his key staff, the President of COM-FSM and his key staff, and representatives from the Departments of Finance and Administration, representatives from the Department of Justice, representatives from the Office of Personnel, and Office of the President.

The Committee notes that during the previous year the National Department of Education underwent a dramatic reorganization. This reorganization has resulted in major shifts between the three main divisions of this department. The Committee notes its dissatisfaction with the renaming of the Division of Basic Education & Accreditation to the Division of Quality and Effectiveness; and the renaming of the Division of Career and Technical Education to the Division of Formal and Non Formal Education. Your Committee does not feel that these division names reflect our Nation’s efforts to improve education or the dignity that should be strived for at the highest level of government.

There is also a request for an increase in the budget for FY2018. Your Committee is mindful of the timetable for adoption of a resolution regarding the remaining Compact funding and Supplemental Education Grant on May 30, however, it feels that more oversight is needed regarding the restructuring and progress for the National Department of Education. In light of this comment, the Committee has taken decision to do an abbreviated report this session and conduct extensive oversight with the Department in the coming September 2017 regular session.

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Further, the Committee understands that the budget proposed below represents the requests by the Department and College without modification by the President.

For matters under the jurisdiction of your Committee of Education, for its FY18 budget recommendations, it is adhering to the decision of Congress as a whole, not to increase personnel or budget over the FY17 levels. As personnel and activities have shifted between the divisions of the National Department of Education, for clarity the Committee states here that the personnel and budget ceiling applies to the totality of the three divisions.

II. FY 2018 BUDGET – SOURCES AND RECOMMENDATIONS

A. DEPARTMENT OF EDUCATION

1. Office of the Secretary

FY2017 FY2017 FY2017 Appropriated President Committee Recommends Recommends Personnel 80,772 128,983 128,090 Travel 27,063 90,000 50,000 Contract 20,000 15,000 15,000 OCE 21,600 20,649 20,649 Fixed Assets -0- -0- -0- Total 149,435 254,632 213,739

Number of Employees 4 7 7

The President recommended a budget of $254,632 for the Office of the Secretary to be funded entirely from Domestic Revenue for FY18. The Committee’s recommendations are discussed below for the Office of the Secretary with individual budget commentary as specifically set forth:

There is a dramatic increase in the number of positions recommended for the Office of the Secretary for FY18. In previous years there have been four positions, however, for the coming year the President recommends three positions be shifted from other divisions for a total of seven positions for the Office of the Secretary.

The Secretary advised your Committee that all the administrative activities will now be concentrated in his Office, and that it was felt this would make the overall function of the Department more efficient.

The President’s recommendation for personnel differs from the listing provided by the Office of Personnel on May 1, 2017, for two positions. The Administrative Officer II is listed as $19,070 in the Budget Book while it is currently $17,177 according to the Office of Personnel. When questioned NDOE stated that there is an intention to raise the salary, grade and step for this position. Your Committee specifically advised the Department that it would not entertain salary increases for this coming fiscal year as a matter of policy. The other issue is that a Secretary I position is actually listed too low at $9,939 in the Budget Book while the Office of Personnel has this position at $10,978. The Committee recommends including

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The President recommends a substantial increase to the budget for Travel for the Office of the Secretary in FY18. In FY17 travel for the Office of the Secretary was appropriated in the amount of $27,063, while the proposed travel budget for FY18 is $90,000.

The Department stated that some of this increase was due to the inclusion of the Post Secondary Specialist in the Office of the Secretary, and the increased support for the quarterly FACSO meetings. Your Committee agrees with the importance of the FACSO meetings and recommends the funding of those trips in their entirety, as well as, the travel for the Post Secondary Specialist, especially regarding the continued efforts to reconcile the debt owed by our students at Palau Community College. However, this Committee is dismayed at the ever-increasing travel budgets for the National Department of Education, and recommends the travel for the Office of the Secretary be funded at $50,000 for this coming FY18. It is the responsibility of NDOE to set priorities for its travel, other than the FACSO meetings, and to work within this budget.

The President recommends the Office of the Secretary receive a decrease in budget for Contractual Services in FY18 compared to that appropriated in FY17. The recommended budget for FY18 for this category is $15,000. The Secretary stated that the reason behind this decrease was fewer printing needs. Your Committee does not see reason to disagree with this statement and recommends Contractual Services for the Office of the Secretary at $15,000 for FY18.

The President has recommended a slight decrease in the category of OCE for FY18 compared to FY17. The proposed FY18 budget is $20,649. The Department stated that the President, for a second year, has strongly requested reductions from all departments in the category of OCE. When asked if the Office of the Secretary could work effectively in the coming fiscal year within the proposed funding level the Secretary stated they could. Your Committee, absence of evidence to the contrary, defers to the Secretary in this instance, however, is states that the emerging pattern of reducing office operations budgets and increasing travel budgets does not give a favorable impression of the management of the Department.

Your Committee recommends funding for the Office of the Secretary for FY2018 at $213,739 entirely from Domestic Revenue.

2. Division of Quality and Effectiveness (formerly the Division of Basic Education & Accreditation)

FY2017 FY2018 FY2018 Domestic SEG Appropriated President Committee Revenue Recommend Recommend Personnel 295,422 173,661 164,166 -0- 164,166 Travel 116,500 157,829 116,500 16,671 99,829 Contract 101,527 89,157 89,157 15,000 74,157 OCE 36,928 24,046 24,046 1,000 23,046 Fix Assets 2,500 5,400 5,400 -0- 5,400

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Total 552,877 450,093 399,269 32,671 366,598 Employee # 14 8 8 8

The President recommends a budget of $450,093 for the Division of Quality and Effectiveness for FY2018; with $83,495 proposed to come from Domestic Revenue, and $366,598 from SEG.

Your Committee is concerned with the shifting of personnel and funding away from the core and most important division of NDOE. This Division is responsible for the three initiatives of teacher certification, school accreditation and student testing, and are the primary mandates for the National Department of Education.

To begin with in the Personnel category the Committee notes the following positions’ salaries are listed incorrectly in the Budget Book: The Bridging the Gap Specialist for Chuuk State is listed in the Budget Book at $19,070 while the current salary is $16,303 according to the Office of Personnel; The Assessment and Research Specialist is listed in the Budget Book at $19,070 while according to the Office of Personnel it is currently paid at $16,303; and the Data Management Specialist is listed in the Budget Book at $14,723 but according to the Office of Personnel it is being paid at $12,060. Your Committee does not approve of the creation of an administration tier of Assistant Secretary. This position is proposed to be filled by the current head of this division at the same salary, and the Committee believes it should remain with the same title. It is the opinion of this Committee that there needs to be a reduction in the number of administrative positions at the National Government, not an increase. Taking into consideration the above comments, your Committee finds as follows: that all salaries should be recommended at the current level as listed in the Office of Personnel, therefore in consideration of the above your Committee recommends a decrease in personnel cost to $165,166. The entire Personnel budget for this Division will be funded by SEG.

Your Committee notes with concern that the Travel budget for this Division is substantially increased compared to previous years. For FY18 $157,829 is proposed, of which $99,829 would come from SEG and the remaining $58,000 is proposed to come from Domestic Revenue. There are fewer recommended positions for this Division, but they will be traveling even more. The Department stated that in order to improve assessment and coordination more funding had been requested for the FACSSO meeting attendance and the three primary initiatives of NDOE, teacher certification, school accreditation and student testing. The Committee does agree that funding for these areas is very important, but encourages the Department to make the most effective use of this travel as possible. Your Committee, however, strongly disagrees with the proposed international travel and any increase in the travel budget funded by domestic revenue, except where funding for FACSSO trips are indicated. For the above reasons your Committee recommends the travel budget be maintained at $116,500 for the coming FY18.

The President proposes a budget of $89,157 for Contracts for the Division, with $74,157 proposed to come from SEG, and the remaining $15,000 from Domestic Revenue. As in past years the contractual services category for this Division has provided much needed funding for fuel for the trips to our outer islands to do student testing and the school accreditation work. These are necessary and expensive trips that must take place at least annually. Your Committee strongly agrees with the importance of these activities, and concurs with President’s recommendation of $89,157.

The Committee notes that the OCE for this important division is proposed to be reduced by one third, and that is on top of the ten percent reduction taken last year. The current recommendation by the President is

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$24,046 for OCE for FY18. Of the proposed FY18 budget in this category $23,046 is proposed to come from SEG, and the remaining $1,000 from Domestic Revenue. Although the Secretary stated that funding level was sufficient for all of the activities proposed this coming fiscal year the Committee defers to the request of the Secretary but remains skeptical. The Committee concurs with the President’s recommendation of $24,046.

The President’s recommendation funding for Fixed Assets for the Division of Quality and Effectiveness for FY18 is $5,400, and it is proposed that it should be funded from SEG in its entirety. Your Committee concurs with this recommendation by the President.

For the reasons set forth in detail your Committee recommends $399,269 for the Division of Quality and Effectiveness for FY2018. The portion of this Division to be funded by SEG is recommended at $366,598, with the remaining $32,671 to come from Domestic Revenue.

3. Division of Formal and Non Formal Education (formerly the Division of Career and Technical Education)

FY2017 FY2018 FY2018 Appropriated President Committee Recommend Recommend Personnel 36,317 159,910 159,910 Travel 15,000 99,890 15,000 Contract 46,866 47,069 46,866 OCE 11,522 18,350 11,522 Fixed Assets -0- 7,000 -0- Total 109,705 332,219 233,229 Employees # 2 8 8

The President recommends a budget of $374,114 for the Division of Formal and Non Formal Education for FY2018, to come from Domestic Revenue in its entirety. This represents a dramatic proposed budget increase for this Division, and an increase in employees from two to eight.

Your Committee was advised that the position of “SPEC”, the sports specialist was transferred to the Department from the Department of Health and Social Affairs by Executive Order. The ECE Program Manager was changed to this Division from the formerly Division of Basic Education and Accreditation, as were the Education Specialist in Arts (formerly Procurement Officer) and the Gifted and Talented Education Specialist. The Chief of Basic Education and Accreditation has been shifted to this Division with the new title Assistant Secretary.

The Committee is deeply concerned with the enormous shift in personnel to this division. Technical and vocational training strays far from the narrow constitutional mandate for the education at the National level. The States have career, technical and vocational programs that are fully functioning and tailored to their unique needs. Therefore, any expansion at the National level risks duplication and will take a detrimental one size fits all approach.

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The Committee is not critical of our current dedicated employees at NDOE but it fails to see how the transfer of the ECE Program Manager, specialist for math and science, and education specialist in art and gifted & talented education specialist to a technical and vocational education division is a rational decision. It strongly urges the Secretary to reconsider this reorganization. The Committee recommends the full funding of the Personnel category at $159,910, as it is unwilling to defund positions at this time, but it puts NDOE on notice that this newly reorganized division will be called in for oversight with Committee in September 2017. Finally, the Committee again objects to the change in title of division head to Assistant Secretary.

Your Committee does not approve of an expansion of the career, vocational and technical activities for NDOE, and it recommends funding for travel, contractual services, OCE and fixed assets be reduced to the FY17 funding levels.

For the reasons set forth above your Committee recommends the total budget for the Division of Formal and Non Formal Education for FY2018 at $233,229.

OVERALL BUDGET SUMMARY FY2018 – DEPARTMENT OF EDUCATION FY2017 FY2018 FY2018 Domestic SEG Approp. President Committee Revenue Recommend Recommend Personnel 444,621 462,554 452,166 288,000 164,166 Travel 249,986 347,719 181,500 81,671 99,829 Contract 145,226 151,226 151,226 77,069 74,157 OCE 70,050 63,045 56,217 33,171 23,046 Fix Asset 2,500 12,400 5,400 -0- 5,400 Total 912,383 1,036,944 848,509 481,911 366,598 Number 22 23 23 15 8 Employee

B. Board of Regents –COM-FSM

During the hearing with College of Micronesia-FSM the Committee heard about the proposed increase from $105,000 to $115,000 for FY18 for the Board of Regents for additional fundraising activities. Your Committee believes that the efforts of the College and its Board of Regents are worthwhile and the endowment is increasing incrementally every year. The Committee, therefore, concurs with the President’s recommendation of $115,000 for the COM-FSM Board of Regents for funding for FY18.

C. Grants, Subsidies and Contributions

FY2017 FY2018 FY2018 Appropriated President Committee Recommend Recommend Aid to Non-Public 600,000 600,000 600,000 Schools Aid to CMI Students 40,000 40,000 40,000 Aid to PCC Students 150,000 150,000 150,000

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National 2,000,000 3,000,000 2,000,000 Scholarship National Close-Up 75,000 75,000 75,000 Merit Scholarship 300,000 275,000 275,000 COM-Board Mtg 5,000 5,000 5,000 Total 3,170,000 4,140,000 3,145,000

The President’s budget book recommends funding for FY18 for Grants, Subsidies and Contributions for the National Department of Education in the total amount of $4,140,000, to be funded entirely from Domestic Revenue.

Your Committee concurs with the President’s recommendations for all categories except the National Scholarship. The newly formed National Scholarship Board is delayed in making awards to our students, and the National Scholarship balance remains high for this current fiscal year. The Committee intends to do a detailed oversight with the National Scholarship Board and relevant witnesses during the next session of Congress. The Committee believes that the funding appropriated this FY17 in the amount of $260,000 to pay for the outstanding debts of COM-FSM students should be sufficient, at least through the fall term for those students. Without further information the Committee has decided to recommend that the current funding level of $2,000,000 be maintained.

On a final note the Committee remains concerned that the reconciliation of the debt owed by our students at the Palau Community College has not been presented to the Committee during its oversight hearing. Your Committee requests that a detailed analysis of this debt be submitted to the Committee and a recommendation by NDOE as a to a way forward to satisfy the approximately $1,000,000 debt owed by our students. A submission on this matter should be made to the Committee by NDOE by December 15, 2017, so that the Committee may review it prior to the January 2018 regular session of Congress.

In accordance with the above analysis the Committee recommends $3,145,000 for Grants, Subsidies and Contributions for the National Department of Education for FY18.

D. Resources: Grants, Subsidies and Contributions

1. COM-FSM Treaty Obligation

Your Committee recommends funding of $25,000 for the COM-FSM Treaty Obligations for FY18, which remain the same as in past years. The source of this funding is Domestic Revenue.

E. Capital & Human Resources Development

FY2017 FY2018 FY2018 FY2018 FY2018 FY2018 Approp. President Committee Domestic Sector SEG Recomm Recommd COM 3,800,000 3,800,000 3,800,000 2,800,000 1,000,000 FMI 833,915 833,915 833,915 833,915 -0- -0- COM 683,948 689,948 689,948 -0- -0- 689,948 SEG

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COM- 8,545,500 4,252,250 4,252,250 -0- 4,252,250 -0- FSM Build NDOE 404,792 -0- -0- -0- -0- -0- Proj Data 556,074 -0- -0- -0- -0- -0- (SEG) Year 3 1,112,148 556,074 556,074 -0- -0- 556,0 Project 74 (SEG) School -0- 100,000 100,000 100,000 -0- -0- Accred Teach -0- 168,000 168,000 168,000 -0- -0- Cert. Develop -0- 82,650 82,650 82,650 -0- -0- Qual. HR in -0- 700,694 -0- -0- -0- -0- ED COM 260,000 -0- -0- -0- -0- -0- stud debt Total 7,100,803 11,183,531 10,482,837 3,984,565 5,252,250 1,246, 022

The President recommends $11,183,531 in funding for Capital & Human Resources Development for the coming FY18 budget. The recommendations for COM-FSM, FMI, the COM-FSM SEG share, and the NDOE three initiatives are well known to the Committee and the proposed funding remains as in years past. The Committee concurs with these recommendations.

There is SEG funding available to the Department for FY18 in the amount of $556,074. The Committee has been advised that this funding will be used to build on previous programs of data management, teacher & principal training and improved record keeping and reporting. The scope of the use of this funding is currently being slightly modified and the final project narrative has not been provided to the Committee. Your Committee feels comfortable with the general outlines provided it and approves of the recommendation for the NDOE SEG project for Year 3 with the caveat that it will also be reviewing this area during the September session.

A very large budget was proposed by the President for a project titled “Human Resources in Education”. This project was proposed at $700,694 for FY18. When the Committee inquired as to the nature of this project the Secretary stated that this was to fund the first step in the reopening of a high school with a vocational and technical emphasis. Your Committee strongly disagrees with funding this project at the National Government. This does not fit within the narrow constitutional jurisdiction for NDOE, and moreover the teaching of career, vocational and technical education is being exclusively conducted at the State Departments of Education. Your Committee does not recommend any funding for the Human Resources in Education project.

301

Your Committee recommends funding for Capital & Human Resources Development for the coming FY18 budget at $10,482,837 with $3,984,565 from Domestic Revenue, $5,252,250 from Sector funds and $1,246,022 from SEG.

III. SUMMARY OF BUDGET DISTRIBUTION BY FUNDING SOURCES RECOMMENDED BY THE COMMITTEE ON EDUCATION FOR FY2018

Description Domestic Compact Supplemental Compact Revenue Education Education Infrastructure Sector Grant Grant (SEG) Sector Grant NDOE: Office 213,739 -0- -0- -0- Secretary NDOE: 32,671 -0- 366,598 -0- Quality & Effectiveness NDOE: Formal 233,229 -0- -0- -0- Non Formal Board of 115,000 -0- -0- -0- Regents-COM Aid to Non- 600,000 -0- -0- -0- Public Schools CMI Students 40,000 -0- -0- -0- PCC Students 150,000 -0- -0- -0- National 2,000,000 -0- -0- -0- Scholarship National 75,000 -0- -0- -0- Close-Up Merit 275,000 -0- -0- -0- Scholarship COM-FSM 5,000 -0- -0- -0- Board Mtg. COM-Treaty 25,000 -0- -0- -0- COM-FSM 2,800,000 1,000,000 -0- -0- FSM-FMI 833,915 -0- -0- -0- COM-FSM -0- -0- 689,948 -0- SEG Accreditation 100,000 -0- -0- -0- Project Teacher 168,000 -0- -0- -0- Certification Project Development 82,650 -0- -0- -0- Qualification NDOE Yr 3 -0- -0- 556,074 -0- SEG Project HR in ED -0- -0- -0- -0- COM -0- -0- -0- 4,252,250 Infrastructure Total 7,749,204 1,000,000 1,612,620 4,252,250

302 STANDING COMMITTEE REPORT NO. 20-10 RE: PRESIDENTAL COMMUNICATION NO. 19-579/EDUCATION SUBJECT: FY 2018 RECOMMENDED BUDGET MAY 29, 2017

IV. SUMMARY OF PRESIDENT’S RECOMMENDED BUDGET REQUESTS COMPARED TO COMMITTEE RECOMMENDATIONS

The following budget summary reflects your Committee’s recommended funding levels compared to the President’s Recommended Budget Requests for areas of the Fiscal Year 2018 Budget under the purview of your Committee on Education.

Description FY2018 President FY2018 Committee Recommended Recommends NDOE: Office Secretary 254,632 213,739 NDOE: Quality &Effective 450,093 399,269 NDOE: Formal/Nonformal 332,219 233,229 Board of Regents-COM 115,000 115,000 Aid to Non-Public Schools 600,000 600,000 CMI Students Assistance 40,000 40,000 PCC Students Assistance 150,000 150,000 National Scholarship 3,000,000 2,000,000 National Close-Up 75,000 75,000 Merit Scholarship 275,000 275,000 COM-FSM Board Mtg. 5,000 5,000 COM-FSM Treaty 25,000 25,000 COM-FSM 3,800,000 3,800,000 COM-FMI 833,915 833,915 COM-FSM--SEG 689,948 689,948 COM Infrastructure 4,252,250 4,252,250 NDOE Accreditation 100,000 100,000 NDOE Teacher Cert. 168,000 168,000 Development Quality 82,650 82,650 HR in Education 700,694 -0- NDOE SEG Year 3 556,074 556,074 Total 16,505,475 14,614,074

V. CONCLUSION

Your Committee on Education has carefully reviewed the President’s Recommended FY2018 budget and all of the supplemental information provided by the Executive and the entities within your Committee’s jurisdiction. The recommended sums set forth above reflect your Committee’s recommendations on the level of funding for the designated activity, program or project for all of Fiscal Year 2018.

Subject to the conditions and limitations set forth herein, and subject to the availability of funding, your Committee on Education recommends approval of the amounts and source of funds identified as Committee Recommendations.

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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

304

STANDING COMMITTEE REPORT NO. 20-11

RE: C.R. No. 20-10/R&D

SUBJECT: TO RATIFY THE FISHERIES TREATY BETWEEN GOVERNMENTS OF CERTAIN PACIFIC ISLAND STATES AND THE GOVERNMENT OF THE UNITED STATES OF AMERICA

MAY 29, 2017

The Honorable Wesley Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Resources and Development, to which was referred C.R. No. 20-10, entitled:

“A RESOLUTION RATIFYING THE AGREEMENT TO THE TREATY ON FISHERIES BETWEEN THE GOVERNMENTS OF CERTAIN PACIFIC ISLAND STATES AND THE GOVERNMENT OF THE UNITED STATES OF AMERICA.”, begs leave to report as follows:

The intent and purpose of the resolution are expressed in its title.

Congressional Resolution No. 20-10 is a resolution ratifying the amendment to the Multilateral Treaty on Fisheries between the Governments of certain Pacific Island States and the Government of the United States of America. Background The original treaty that allows fishing access to the United State fleets to fish in the FSM exclusive economic zone and fishing zones in the neighboring Pacific countries took effect in 1987. As party to this treaty, the FSM has gained more revenues since 1987. Hearing on the resolution Your Committee on Resources and Development conducted a public hearing on the said resolution on Monday, May 29, 2017. Your Committee was informed that should action be taken during this session, the FSM would be the first to ratify the amendments to the Treaty amongst the Pacific Island Parties.

The changes to this treaty came about because of the new Vessel Day Scheme (VDS) and a few other new fisheries developments. Currently, the provisions under the Treaty did not accommodate the VDS scheme. One of the amendments to the Treaty accommodates the VDS scheme. Another important aspect of the Treaty is that it recognizes National laws of the each party to the Treaty. The Treaty also incorporates a new business model where the PNA and Non PNA members allocate number of days into a Pool. The amendments make the Treaty more commercially oriented and remove the need to meet annual revolving transaction costs. In essence, the FSM is expected to contribute to the VDS 400 days for 2017 and 2018 at a value of $5,040,000 per year. Additional days will be sold to the U.S. vessel owners on a bilateral basis at agreed prices. The Government of the United States supports the amendments to the Treaty. At present the Treaty is

305 STANDING COMMITTEE REPORT NO. 20-11 RE: C.R. No. 20-10/R&D SUBJECT: TO RATIFY THE FISHERIES TREATY BETWEEN GOVERNMENTS OF CERTAIN PACIFIC ISLAND STATES AND THE GOVERNMENT OF THE UNITED STATES OF AMERICA MAY 29, 2017 between the Pacific Island Parties and the United States. The distribution aspect of the Treaty is that fifteen percent is allocated to each country’s Project Development Fund (PDF) and eighty-five percent for each party, which is based on where the fishing actually occurs or based on catch. The Authority (NORMA) is of the view that the amendments to the Treaty are favorable.

CONCLUSION

Your Committee on Resources and Development is in accord with the intent and purpose of C.R. No. 20- 10, and recommends its adoption in the form attached hereto as C.R. No. 20-10.

Respectfully submitted,

/s/ David W. Panuelo /s/ Tiwiter Aritos David W. Panuelo, chairman Tiwiter Aritos, vice-chairman

/s/ Victor Gouland Victor Gouland, member Isaac V. Figir, member

/s/ Derensio S. Konman /s/ Esmond B. Moses Derensio S. Konman, member Esmond B. Moses, member

/s/ Alik L. Alik Alik L. Alik, member

306

STANDING COMMITTEE REPORT NO. 20-12

RE: C.R. NO. 20-04/H&SA

SUBJECT: ACCEPTING A GRANT FROM THE UNITED STATES DEPARTMENT OF HEALTH AND HUMAN SERVICES IN THE AMOUNT OF $150,247.

MAY 30, 2017

The Honorable Wesley W. Simina Speaker, Nineteenth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker:

Your Committee on Health and Social Affairs to which was referred C.R. No. 20-04, entitled:

“A RESOLUTION APPROVING AND ACCEPTING A GRANT IN THE AMOUNT OF $150,247 FROM THE U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES, CENTERS FOR DISEASE CONTROL AND PREVENTION, TO FUND THE FSM COMMUNICABLE DISEASE PREVENTION AND CONTROL PROJECT, 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 hearing on May 29, 2017 the witnesses present included the Department of Health and Social Affairs, including the Secretary and key staff, representatives from the Office of the President, and the Department of Justice.

The program funded by this grant is well known to the Committee. This program provides additional training and travel for our Nation’s efforts in fighting communicable disease. The program supported by this grant is active in all the four States and the primary goal is to eliminate and/or contain contagious diseases.

Your Committee noted that it needed better communication and coordination with the Department of Health and Social Affairs, as well as, timely progress reports. As an example of the need to do better in these areas the Committee stated it had received only a very abbreviated summary of the current status of communicable disease prevention activities and the number of individuals affected while the Department stated that it also provided extensive reports via email. Once your Committee received the more detailed information during the hearing was able to ask more informed questions of the witnesses. The Committee also reports here that the information regarding vaccination rates and the number of our citizens suffering from communicable diseases has been increasing in most categories. The Committee urges the Department to increase their efforts in the prevention, containment and cure of communicable disease.

Your Committee appreciates the program summary and detailed budget, which are attached for the information of members. The Committee intends to do more oversight of all the U.S. federally funded

307 STANDING COMMITTEE REPORT NO. 20-12 RE: C.R. NO. 20-04/H&SA SUBJECT: ACCEPTING A GRANT FROM THE UNITED STATES DEPARTMENT OF HEALTH AND HUMAN SERVICES IN THE AMOUNT OF $150,247. MAY 30, 2017

programs during the next session of Congress. It also intends to hold its hearings on the President’s proposed budget for FY18 for the Department of Health and Social Affairs.

Your Committee is strongly supportive of the program funded by the grant discussed herein, and recommends adoption of the resolution accepting grant funding for the coming year.

It is therefore, for the reasons set forth above, your Committee on Health and Social Affairs supports the grant activities proposed to be funded, it is in accord with the intent and purpose of C.R. No. 20-04, and recommends its adoption in the form attached hereto.

Respectfully submitted,

/s/ Ferny S. Perman /s/ Alik L. Alik Ferny S. Perman, chairman Alik L. Alik, vice chairman

/s/ /s/ Tiwiter Aritos /s/ Tiwiter Aritos, member Florencio S. Harper, member

/s/ /s/ David W. Panuelo /s/ /s/ Joseph J. Urusemal David W. Panuelo, member Joseph J. Urusemal, member

/s/ /s/ Derensio S. Konman Derensio S. Konman, member

308

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Special Committee Reports

309

SPECIAL COMMITTEE REPORT NO. 20-01

RE: COMMITTEE TO WAIT ON THE PRESIDENT

MAY 12, 2017

The Honorable Wesley W. Simina Speaker, Twentieth Congress Federated States of Micronesia First Regular Session, 2017

Dear Mr. Speaker,

Your Committee to Wait on the President, consisting of members Vice Speaker Esmond Moses, Senator Victor V. Gouland, Senator Paliknoa Welly, and Senator Isaac V. Figir, was duly appointed on May 11, 2017. Vice Speaker Moses was designated as the Chairman.

The Committee met with the Vice-President on May 12, 2017, at 8:30 am. Chairman Moses greeted the Vice-President and key members of the Executive on behalf of Congress, and thanked them for the opportunity to meet. Chairman Moses reported that Congress was in session and was ready to transact business.

The Vice President greeted the Committee, and he distributed a written agenda detailing the Executive’s priorities for this session:

• FY17 Supplemental Budget • Resubmission of Pending Bills and Resolutions to 20th FSM Congress • Suspension of Awarding of Public Infrastructure Grant Assistance • CIP – 2018 Microgames funding request from Yap State

FY17 Supplemental Budget A supplemental budget is forthcoming from the Executive, which will be less than the currently available amount of $1.2 million from the revenue projection. The only specific item previewed is for $159,000 for the travel budget of the Office of the President, which is nearly exhausted.

Resubmission of Pending Bills and Resolutions to 20th FSM Congress Perhaps early next week the Executive will transmit to Congress some bills and resolutions that remained pending in the 19th Congress. The Committee encouraged the Executive to include for resubmission the proposed corporations bill from the 19th Congress.

Suspension of Awarding of Public Infrastructure Grant Assistanc

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RE: COMMITTEE TO WAIT ON THE PRESIDENT

MAY 12, 2017

The Executive explained that the earliest date that both the FSM government and the U.S. government can meet to discuss this issue is June 1. However, in the meantime the Executive is working to further understand and clarify the circumstances that led to the suspension.

CIP – 2018 Microgames funding request from Yap State These requests will likely be transmitted to Congress only after the Secretary of Finance and Administration receives a forthcoming audit carry-over figure, which may increase the current revenue projection slightly.

After hearing the priorities of the Executive, the Committee stated that it shared the Executive’s desire to give priority to clarifying and resolving the suspension of public infrastructure grants from the U.S. The Committee also urged the Executive to be proactive in sharing all information related to this highly important and urgent issue especially as that information relates to the structure, staffing, and operation of the current PMU.

The Committee also raised a few other state specific concerns related to federal health grants and infrastructure repair/purchase.

The Committee stated that it would report the priorities to the full body of Congress and do its best to work on the priorities as set forth by the Vice President.

The meeting concluded with mutual agreement to move forward on the above issues in a timely and cooperative manner. Your Committee kindly requests the members address any further questions regarding the priority issues for this session to the members of the Committee during the discussion of this report at session.

Respectfully submitted,

/s/ Esmond B. Moses /s/ Isaac V. Figir Esmond B. Moses, chairman Isaac V. Figir, member

/s/ Victor V. Gouland /s/ Paliknoa Welly Victor V. Gouland, member Paliknoa Welly, member

311

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Presidential Communications

312

PRESIDENTIAL COMMUNICATIONS

-No. 19-586 – (Dated and received 04/10/17) – Designating Congressional Act No. 19-160, as PL. No. 19-157: “TO FURTHER AMEND PUBLIC LAW NO. 15-32, AS AMENDED BY PUBLIC LAWS NOS. 15-36, 15-44, 15-57, 15-63, 15-72, 15-78, 16-03, 16-11, 16-33, 16-46, 17-12, 17-21, 17-33, 17-40, 18-17, 18-67, 18-85, 18-104, 19-17 AND 19-100, BY AMENDING SECTIONS 1 AND 2 THEREOF, FOR THE PURPOSE OF CHANGING THE USE, ALLOTTEE AND THE LAPSE DATE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN TO FUND PUBLIC PROJECTS AND SOCIAL PROGRAMS FOR THE PEOPLE OF YAP AND CHUUK STATE, AND FOR OTHER PURPOSES.”

-No. 19-587 - (Dated and received 04/10/17) – Designating Congressional Act No. 19-161, as PL. No. 19-158: “”TO FURTHER AMEND PUBLIC LAW NO. 19-121, AS AMENDED BY PUBLIC LAWS NOS. 19-130, 19-142 AND 19-145, 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. 19-588 - (Dated & received 04/10/17) – Designating Congressional Act No. 19-162 as Public Law No. 19-159: “TO FURTHER AMEND PUBLIC LAW NO. 19-89, AS AMENDED BY PUBLIC LAWS NOS. 19-94, 19-127 AND 19-151, BY AMENDING SECTIONS 3, 4 AND 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 KOSRAE, POHNPEI AND CHUUK STATES AND FOR OTHER PURPOSES.”

-No. 19-589- (Dated & received 04/11/17) - Designating Congressional Act No. 19-13 as Public Law No. 19-19-160, with item vetoes on Section 2, subsection 8 – Department of Justice Travel and Contractual Services and Section 8, subsection 8 –Department of Justice (h) Settlements/judgements for cases against the FSM: “TO AMEND SECTIONS 1, 2, 3, 8, 9 AND 12 OF PUBLIC LAW NO. 19-118, AS AMENDED BY PUBLIC LAWS NOS. 19-125, 19-131, 19-135 AND 19-146, IN ORDER TO APPROPRIATE $1,684,000 OF ADDITIONAL FUNDS FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017, CLARIFY THE USE OF FUNDS FOR A PARTICULAR LINE ITEM AND TO CHANGE THE ALLOTTEE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, AND FOR OTHER PURPOSES.”

-No. 19-590 – (Dated & received 04/11/17) – Transmitting a Resolution confirming the nomination of Mr. Kohsak M. Keller to serve as a member of the Social Security Board of trustees.

-No. 19-591 - (Dated & received 04/17/17) - Designating Congressional Act No. 19-170 as Public Law No. 19-161: “TO FURTHER AMEND PUBLIC LAW NO. 15-80, AS AMENDED BY PUBLIC LAWS NOS. 16-04, 17-53, 18-37, 18-66, 19-14 AND 19-105, BY AMENDING SECTIONS 1 AND 2 THEREOF, FOR THE PURPOSE OF CHANGING THE USE AND ALLOTTEE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF KOSRAE, AND FOR OTHER PURPOSES.”

313

Presidential Communications (continued p. 2) 20FSMC 1RS May 2017

-No. 19-592 - (Dated & received 04/17/17) – Designating Congressional Act No. 19-171 as Public Law No. 19-162: “TO AMEND PUBLIC LAW NO. 19-152, BY AMENDING SECTIONS 2, 3, 5, AND 6 THEREOF, TO CHANGE THE USE AND ALLOTTEE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS FOR THE PEOPLE OF YAP, KOSRAE, AND CHUUK, AND FOR OTHER PURPOSES.”

-No. 19-593 - (Dated & received 04/17/17) – Designating Congressional Act No. 19-172 as Public Law No. 19-163: “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 AND 19-132, BY AMENDING SECTIONS 3 AND 5 THEREOF, TO CHANGE THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF KOSRAE AND CHUUK, AND FOR OTHER PURPOSES.”

-No. 19-594 - (Dated & received 04/17/17) - Designating Congressional Act No. 19-173 as Public Law No. 19-164: “TO AMEND SECTIONS 201 AND 202 OF TITLE 24 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA, AS AMENDED BY PUBLIC LAW NO. 19-21, TO MODIFY THE TERM LIMIT OF MEMBERS OF THE NATIONAL OCEANIC RESOURCE MANAGEMENT AUTHORITY OF THE FEDERATED STATES OF MICRONESIA, AND FOR OTHER PURPOSES.”

-No. 19-595- (Dated & received 04/17/17) – Designating Congressional Act No. 19-177 as Public Law No. 19-165: “TO FURTHER AMEND PUBLIC LAW NO. 19-60, AS AMENDED BY PUBLIC LAWS NOS. 19-71, 19-80, 19-103 AND 19-148, BY AMENDING SECTION 2 THEREOF, TO CHANGE THE USE OF CERTAIN FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING ESSENTIAL GOVERNMENT FUNCTIONS, PROGRAMS, PROJECTS AND ACTIVITIES IN THE STATE OF YAP, AND FOR OTHER PURPOSES.”

-No. 19-596- (Dated & received 04/17/17) – Designating Congressional Act No. 19-175 as Public Law No. 19-166: “TO AMEND SECTION 108 OF TITLE 4 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), AS AMENDED, TO INCREASE THE SALARIES OF THE CHIEF JUSTICE AND ASSOCIATE JUSTICES OF THE SUPREME COURT OF THE FEDERATED STATES OF MICRONESIA, AND FOR OTHER PURPOSES.”

-No. 19-597- (Dated & received 04/18/17) – Designating Congressional Act No. 19-176 as Public Law No. 19-167: “TO AMEND TITLE 24 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), BY INSERTING A NEW SECTION 505, THAT DECLARES AS A CLOSED AREA, THE TWELVE MILE AREA SEAWARD OF THE TERROTORIAL SEA, NOT TO EXTEND BEYOND TWENTY-FOUR NAUTICAL MILES FROM THE BASELINE FROM WHICH THE BREADTH OF THE TERITORIAL SEA IS MEASURED, PROHIBITING COMMERCIAL FISHING AND EXPLOITATION OF NATURAL RESOURCES THEREON, AND FOR OTHER PURPOSES.”

314

Presidential Communications (continued p. 3) 20FSMC 1RS May 2017 -No. 19-598- (Dated & received 04/18/17) – Designating Congressional Act No. 19-165 as Public Law No. 19-168: “TO FURTHER AMEND PUBLIC LAW NO. 19-93, AS AMENDED BY PUBLIC LAW NO. 19-104, BY AMENDING SECTION 1 THEREOF, TO CLARIFY THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, TO FUND PRIORITY INFRASTRUCTURE PROJECTS AND OTHER PROGRAMS IN THE STATE OF CHUUK, AND FOR OTHER PURPOSES.”

-No. 19-599- (Dated & received 04/18/17) – Designating Congressional Act No. 19-174 as Public Law No. 19-169: ”TO AMEND SECTIONS 101, 102, 103, 106, 204, 205, 303, 402, 404, 407, 603, 606, 611, 701, 907, 910 AND 911 OF TITLE 24 OF THE CODE OF THE FSM (ANNOTATED), AS AMENDED BY PUBLIC LAW NO. 8-109, IN ORDER TO EHANCE THE ABILITY OF THE GOVERNMENT OF THE FSM TO ENFORCE, IN ITS TERRITORY OR EXCLUSIVE ECONOMIC ZONE AND OTHER ZONES WHERE FSM-FLAGGED OR FSM-LICENSED VESSELS UNDERTAKE FISHING ACTIVITIES, THE NATIONA FISHERY LAWS, REGULATIONS, AND THE INTERNATIONAL OBLIGATIONS INCLUDING THOSE IN THE THIRD IMPLEMENTING ARRANGEMENT OF THE PARTIES TO THE NAURU AGREEMENT, AND THE OBLIGATIONS ASSUMED BY THE FSM GOVERNEMNT ON CONSERVATION, SUSTAINABLE EXPLOITATION AND MANAGEMENT OF FISHERY RESOURCES TAKING INTO CONSIDERATION THE NATIONAL DEVELOPMENT NEEDS AND ASPIRATIONS OF THE FSM, AND FOR OTHER PURPOSES.”

-No. 19-600 – (Dated & received 04/20/17) - Designating Congressional Act No. 19-179 as Public Law No. 19-170: “TO APPROPRIATE THE SUM OF $200,000 FROM THE GENERAL FUND OF THE FEDERATED STATES OF MICRONESIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF YAP, KOSRAE, POHNPEI, AND CHUUK, AND FOR OTHER PURPOSES.”

-No. 19-601 – (Dated & received 04/20/17) - Designating Congressional Act No. 19-164 as Public Law No. 19-171:”TO AMEND PUBLIC LAW NO. 19-141, AS AMENDED BY PUBLIC LAW NO. 19-147, BY AMENDING SECTION 1 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. 19-602 – (Dated & received 04/20/17) – Vetoing Congressional Act No. 19-168 in its entirety: “TO FURTHER AMEND PUBLIC LAW NO. 19-64, AS AMENDED BY PUBLIC LAWS NOS. 19-81, 19-97, 19-120, AND 19-137, BY AMENDING SECTION 1 THEREOF, TO CHANGE THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, FOR THE PURPOSE OF FUNDING PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.” [E.D. 2 of Pohnpei.]

315

Presidential Communications (continued p. 4) 20FSMC 1RS May 2017

-No. 19-603 – (Dated 4/25/17 & received 04/26/17) - VetoingCongressional Act No. 19-169 in its entirety: “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, AND 19-138, BY AMENDING SECTIONS 1 AND 2 THEREOF, TO CHANGE THE USE AND ALLOTTEE OF FUNDS PREVIOUSLY APPROPRIATED FOR PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.” [E.D. 2 of Pohnpei.]

-No. 19-604 – (Dated & received 4/28/17) – Vetoing Congressional Act No. 19-166 in its entirety: “TO FURTHER AMEND PUBLIC LAW NO. 19-124, AS AMENDED BY PUBLIC LAWS NOS. 19-133, 19-140, AND 19-150, BY AMENDING SECTIONS 4 AND 6 THEREOF, TO CHANGE THE USE AND ALLOTTEE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN TO FUND PRIORITY INFRASTRUCTURE PROJECTS IN THE STATE OF POHNPEI, AND FOR OTHER PURPOSES.”

-No. 19-605 – (Dated & received 4/28/17) - Designating Congressional Act No. 19-180 as Public Law No. 19-174: “TO FURTHER AMEND TITLE 22 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA (ANNOTATED), AS AMENDED BY PUBLIC LAW NO. 18-68, TO CREATE A NEW CHAPTER 4 THEREOF ENTITLED "BIOSECURITY", TO PREVENT AND ANIMAL AND PLANT PESTS AND DISEASES FROM ENTERING THE FEDERATED STATES OF MICRONESIA, TO REGULATE THE MOVEMENT OF ANIMALS AND PLANTS AND THEIR PRODUCTS, TO CONTROL THE ESTABLISHMENT AND SPREAD OF ANIMAL AND PLANT PESTS AND DISEASES THAT ENTER THE FEDERATED STATES OF MICRONESIA, TO FACILITATE INTERNATIONAL COOPERATION IN RESPECT OF ANIMAL AND PLANT DISEASES, AND FOR OTHER PURPOSES.”

-No. 19-606 – (Dated & received 4/28/17) - Designating Congressional Act No. 19-178 as Public Law No. 19-172:”TO AMEND TITLE 18 OF THE CODE OF THE FEDERATED STATES OF MICRONESIA BY AMENDING EXISTING SECTIONS THEREOF AND INSERTING ADDITIONAL SECTIONS THAT ESTABLISH ADDITIONAL MARITIME ZONES, EXTENSION OF CONTINENTAL SHELF AND BASELINES AS RECOGNIZED BY THE LAW OF THE SEA CONVENTION, TO BRING TITLE 18 IN CONFORMITY WITH CONTEMPORARY NORMS AND PRACTICES UNDER INTERNATIONAL LAW, TO INCORPORATE TREATY OBLIGATIONS ASSUMED BY THE FEDERATED STATES OF MICRONESIA SUCH AS MARITIME BOUNDARY DELIMITATIONS TREATIES WITH NEIGHBORING NATIONS, AND FOR OTHER PURPOSES.”

-No. 19-607 – (Dated & received 04/28/17) - Designating Congressional Act No. 19-167 as Public Law No. 19-173, with some item vetoes - Chuuk State At-Large projects: section 5 (1)(h) & (l): ”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, AND 19-144, BY AMENDINGSECTIONS 4 AND 5 THEREOF, TO CHANGE THE USE OF FUNDS PREVIOUSLY APPROPRIATED THEREIN, TO FUND PUBLIC PROJECTS AND SOCIAL PROGRAMS IN THE STATES OF POHNPEI AND CHUUK, AND FOR OTHER PURPOSES.”

316

Presidential Communications (continued p. 5) 20FSMC 1RS May 2017 -No. 19-608 – (Dated 5/03/17 & received 5/04/17) – Informing about the National Close-Up Program students’ visit to Pohnpei and requesting assistance and support toward their scheduled visit to Congress session on May 16, 2017 at 10:00 a.m.

-No. 19-609 – (Dated 04/26/17 & received 04/28/17) – Transmitting a proposed Bill to amend chapter 1 of title 30 of the FSM Code (Annotated) that created the FSM Development Bank and that the lending practices of the FSMDB should be tailored towards fostering economic activities and development of the nation.

-No. 20-01- (Dated & received May 11, 2017) – Transmitting a Resolution approving a grant amendment from the United Nations Framework Convention on Climate Change (UNFCC) through the Green Climate Fund, in the amount of $113,110 to fund the National Designated Authority (NDA) Office.

-No. 20-02 - (Dated 05/11/17 & received 05/14/15) –Transmitting a resolution approving a grant from the United States Centers for Disease Control and Prevention in the amount of $150,247 to fund the FSM Communicable Disease Prevention and Control Project.

-No. 20-03 – (Dated & received 05/12/17) – Transmitting a bill to amend a few provisions under Chapter 3 of title 21 of the FSM Code (Annotated) that established the National Telecommunications Regulatory Authority; and the purpose of the amendment is to ensure that FSM will meet all the disbursement conditions and be able to access World Bank funding for payment of the Yap and Chuuk cable systems.

-No. 20-04 – (Dated & received 05/12/17) – Transmitting a bill that will amend title 24 of the FSM Code regarding sharks; and the intent of this bill is to align FSM laws with conservation and management measures (CMM) approved under the WCPFC to which FSM as state party is under obligation to mplement.

-No. 20-05 – (Dated & received 05/12/17) – Transmitting a resolution for Congress to approve and accept the grant assistance from the Korea International Cooperation Agency in the amount of $200,000 for the improvement of the airport terminal arrival lobby, immigration and custom inspection areas, restroom and baggage areas.

-No. 20-06 – (Dated & received 05/12/17) – Submitting a supplemental budget request in the amount of $676,015 to support the budgetary needs and obligations of the Government.

-No. 20-07 – (Dated 05/12/17 & received 05/17/17) – Transmitting a bill to amend section 210 of title 55 of the FSM Code (Annotated), as amended by Public Law No. 19-149, to further clarify the process of approving foreign financial assistance and federal grants and to rectify the ambiguity and typographical errors in the law.

-No. 20-08 – (Dated 05/16/17 & received 05/18/17 – Sharing the 17th Micronesia President’s Summit (MPS) Communiqué and associate documents for your information and reference.

-No. 20-09 – (Dated 05/16/17 & received 05/18/17) – Transmitting a Resolution for the acceptance of a foreign assistance in the amount of EUR 325,000 from the Government of the Republic of Germany and the European Union to the Government of the Federated States of Micronesia.

317

Presidential Communications (continued p. 6) 20FSMC 1RS May 2017 -No. 20-10 – (Dated 05/16/17 & received 05/18/17) – Transmitting a Resolution for the acceptance of a foreign assistance in the amount of EUR 436,089 from the Government of the Republic of Germany and the European Union to the Government of the Federated States of Micronesia.

-No. 20-11 – (Dated 05/17/17 & received 05/18/17) – Transmitting a Resolution ratifying the amendment to the Multilateral Treaty on Fisheries between the Governments of certain Pacific Island States and the Government of the United States of America.

-No. 20-12 – (Dated & received 05/18/17) – Bringing to attention the on-going efforts by the FSM National Government with the United States Government on the issue pertaining to the suspension on awarding of public infrastructure grant assistance to the FSM; and inviting Congress members to be part of this important discussion and to also attend an internal meeting on May 19, 2017 in preparation for the upcoming meeting in Honolulu on (proposed) date of June 01, 2017.

-No. 20-13 – (Dated & received 05/18/17) – Inviting members of the Congress leadership to a luncheon meeting on Friday, May 19, 2017 in the President’s conference room to address certain issues, such as fiber optic cable project updates, the upcoming Ocean’s Conference in New York, highlights of the outcomes of the recent Micronesia President’s Summit, the suspension of Compact infrastructure funding for public projects, and the way ahead for the JCRP to commence its important work, and other issues proposed by Congress members.

-No. 20-14 – (Dated & received 05/19/17) – submitting for consideration the Memorandum of Understanding on the Goods and Services Program between the Overseas Fishery Cooperation Foundation of Japan and the Government of the FSM.

-No. 20-15 – (Dated & received 05/19/170 – Returning Congressional Act No. 19-163 as Public Law No. 20-01, which Congress re-passed certain vetoed items.

-No. 20-16 – (Dated 05/19/17 & received 05/22/17) – Transmitting a bill on public debt management.

-No. 20-17 – (Dated 05/19/17 & received 05/22/17) – Transmitting a bill establishing a civil liability revolving fund that will be used to satisfy money judgement and settlement of civil actions brought against the national government.

-No. 20-18 – (Dated 05/19/17 & received 05/22/17) – Transmitting a bill, which will nationalize the regulation of foreign investment pursuant to the authority of Congress to regulate foreign and interstate commerce.

-No. 20-19 – (Dated 05/19/17 & received 05/22/17) – Transmitting a bill to appropriate funds up to $725,000 to cover the expenses relating to the grounding of Pingda 7.

-No. 20-20 – (Dated 05/19/17 & received 05/22/17) – Transmitting a bill that will overhaul and modernize title 36 of the FSM Code (major corporations).

-No. 20-21 – (Dated & received 05/23/17) – Inviting Speaker and members of the 20th FSM Congress to join their meeting to discuss the updates pertaining to the issue on the suspension of the infrastructure project grant assistance to FSM.

318

Presidential Communications (continued p. 7) 20FSMC 1RS May 2017

No. 20-22- (Dated 05/23/17 & received 05/24/17)- Transimitting a bill to appropriate funds of up to @147,862 for the completion of the Chuuk State Weno Road Project.

-No. 20-23 – (Dated 05/24/17 & received 05/26/17) – Transmitting a bill to appropriate $802,254 additional budget to support the operation of the PMU for the remaining months of the fiscal year 2017.

-No. 20-24 – (Dated 05/24/17 & received 05/26/17) – Transmitting the nomination of Mr. Joseph Villazon to serve as a member of the Board of Regents of the College of Micronesia- FSM, representing the State of Pohnpei.

-No. 20-25 – (Dated & received 05/26/17) – Designating Congressional Act No. 20-02 as Public Law No. 20-02: “To amend Public Law No. 19-170, by amending section 2 thereof, to change the use of funds previously appropriated therein, to fund public projects and social programs in the state of Yap, and for other purposes.”

-No. 20-26 – (Dated & received 05/26/17) – Transmitting a bill to amend section 920 of title 24 of the FSM Code, to change the minimum penalty allowed for citation or administrative penalty for minor fisheries violations.

-No. 20-27 – (Dated 05/26/17 & received 05/27/17) - Designating Congressional Act No. 20-05 as Public Law No. 20-03: “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 and 19-163, by amending sections 3 and 5 thereof, to change the use of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae and Chuuk, and for other purposes.”

-No. 20-28 – (Dated & received 05/27/17) – Designating Congressional Act No. 20-06 as Public Law No. 20-04: “To further amend Public Law No. 19-54, as amended by Public Laws Nos. 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes.”

-No. 20-29 – (Dated & received 05/27/17) – Designating, with some concerns or issues, Congressional Act No. 20-04 as Public Law No. 20-05: “To amend Public Law No. 19-124, as amended by Public Laws Nos. 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4, 5 and 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the states of Yap, Kosrae, Pohnpei and Chuuk, and for other purposes.”

-No. 20-30 – (Dated & received 05/27/17) - Designating Congressional Act No. 20-01 as Public Law No. 20-06: “To amend Public Law No.19-89, as amended by Public Laws Nos. 19-94, 19- 127, 19-151 and 19-159, by amending sections 3, 4 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the states of Kosrae, Pohnpei and Chuuk, and for other purposes.”

319

Presidential Communications (continued p. 8) 20FSMC 1RS May 2017

-No. 20-31 – (Dated & received 05/27/17) - Designating Congressional Act No. 20-08 as Public Law No. 20-07: “To further amend Public Law No.18-70, as previously amended by Public Laws Nos. 18-98, 18-112, 18-122, 19-07, 19-24, 19-41, 19-52, 19-52, 19-73, 19-82, 19- 101, 19-114, and 19-19-139, by amending sections 2 and 6 thereof, to change the use and lapse date of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Yap State, and for other purposes.”

-No. 20-32 – (Dated & received 05/27/17) - Designating Congressional Act No. 20-07 as Public Law No. 20-08: “To amend Public Law No. 19-152, as amended by Public LawNo. 19-162, by amending sections 3 and 6 thereof, to change the use and allottee of certain funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae, and for other purposes.”

-No. 20-33 – (Dated & received 05/27/17) - Designating Congressional Act No. 20-10 as Public Law No. 20-09: “To further amend Public Law No. 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the State of Kosrae, and for other purposes.”

-No. 20-34 – (Dated & received 05/27/17) - Designating Congressional Act No. 20-03 as Public Law No. 20-10: “To further amend Public Law No. 19-141, as amended by Public Laws Nos. 19-147 and 19-171, by amending section 1thereof, to change the use of certain funds previously appropriated therein therein, for the purpose of funding public projects and social programs for the people of Chuuk, and for other purposes.”

-No. 20-35 – (Dated & received 05/29/17) – Re-stating request for Congress to act on bill, which was transmitted and became CB. No. 20-15. [Passed 1st reading on 05/29/17].

320

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

FSM Supreme Court Communications

321

FSM SUPREME COURT COMMUNICATIONS

-No. 19-42 – (Dated 04/13/17 & received 04/17/17) –From the Hon. Dennis K. Yamase, Chief Justice, FSM Supreme Court, the leadership and members of Congress for the invite to administer the oath of Office to the Senators of the 20th FSM Congress.

-No. 19-43 – (Dated & received 04/17/17) –From the Hon. Dennis K. Yamase, Chief Justice, FSM Supreme Court, informing that pursuant to the Judiciary Act of 1979, he has designated the Hon. Camillo Noket, Chief Justice of the Chuuk State Supreme Court to serve as a Temporary Justice of the FSM Supreme Court of the FSM in Appeal Case No. P2-2015 and Appeal Case No. P10-2015.

-No. 20-01- (Dated 05/16/17 & received 05/17/17) – From the Hon. Dennis K. Yamase, Chief Justice, FSM Supreme Court, informing that pursuant to the Judiciary Act of 1979 he had designated the Hon. Chang B. William, Chief Justice of the Kosrae State Court to serve as a Temporary Justice of the Supreme Court of the Federated States of Micronesia in Appeal Cases Nos. P1-2013, P13-2014, P6- 2015/P8-2015; and P14-2016.

322

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Member Communications

323

Member Communications

-No. 19-48 – (Dated 04/27/17 & received 05/02/17) – From the Hon. Berney Martin, Vice Speaker, 19th FSM Congress, reporting on an outreach and advocacy to Honolulu and Guam.

-No. 20-01 – (Dated 05/09/17 & received 05/11/17) – From the Hon. Joseph J. Urusemal, Chairman, Yap Congressional Delegation, submitting a Delegation’s Budget Report as of May 09, 2017 for the FY 2017.

-No. 20-02 – (Dated & received 05/15/17) – From Chairman Gouland of T&C Committee and Vice Chairman of the J&GO committee, 19th FSM Congress, submitting a report on an oversight hearing held on May 9, 2017, on the current status of infrastructure projects and funding especially on recent action taken by the JEMCO.

324

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Departmental Communications

325

DEPARTMENTAL COMMUNICATIONS

-No. 19-96 – (Dated 04/20/17 & received 04/21/17) – From Mr. Craigh D. Reffner, Eq., Assistant Attorney General, writing to follow up on a letter to Speaker, dated 03/27/17, on a Civil Action No. 2016-023, and further informing that the complaint filed in this case has been dismissed.

-No. 19-97 – (Dated 05/02/17 & received 05/03/17) – From Mrs. Sihna N. Lawrence, Secretary, Department of Finance & Administration, submitting the updated FY 2017 Revenue Projection.

-No. 20-01 – (Dated & received 05/16/17) – From Mr. Joses R. Gallen, Sr., Secretary, Department of Justice, addressing questions, which were raised during a meeting with Speaker and members of Congress, concerning infrastructure.

-No. 20-02 – (Dated 05/18/17 & received 05/19/17) – From Mrs. Sihna N. Lawrence, Secretary, Department of Finance & Administration, transmitting a Fund Status Report for the FSM National Government, including the appropriations to the four (4) states governments, as of March 31, 2017.

-No. 20-03 – (Dated 05/19/17 & received 05/22/17) – From the Hon. Lorin S. Robert, Secretary, Department of Foreign Affairs, informing that the first meeting on the Joint Compact Review and Planning is now scheduled for Friday, May 26, 2017, at 8:30 a.m. in the Central Facilities Building in Palikir.

-No. 20-04 – (Dated & received 05/24/17) – From the Hon. Lorin S. Robert, Secretary, Department of Foreign Affairs, attaching an invitation from the Co-chairs of the 14th General Meeting of the International Parliamentarians’ Coalition for North Korean Refugees and Human Rights (IPCNKR), scheduled to be held in Antigua, Guatemala, from 18-20 July 2017.

326

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Agency and Governmental

Authority Communications

327

AGENCY AND GOVERNMENTAL AUTHORITY COMMUNICATIONS

-No. 19-94 – (Dated 04/06/17 & received 04/10/17) – From Mr. Alexander R. Narruhn, Administrator, FSM Social Security Administration, presenting the annual report for calendar year 2015.

-No. 20-01 – (Dated 05/15/17 & received 05/16/17) – From the Hon. Haser Hainrick, FSM Public Auditor, transmitting an audit report on Caroline Island Air, Inc., FY 2016.

-No. 20-02 – (Dated 05/16/17 & received 05/17/17) – From the Hon. Haser Hainrick, FSM Public Auditor, transmitting an audit report on the FSM Development Bank, for FY 2016.

328

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

State Communications

329

STATE COMMUNICATIONS

-No. 20-01 – (Dated 05/17/17 & received 05/19/17a) – From Dee N.N. Libian, Chief Clerk, 9th Yap State Legislature, transmitting a certified copy of Yap State Resolution No. 9-45, which was adopted by the 9th Legislature, 3rd Regular Session.

-No. 20-02 – (Dated 05/09/17 & received 05/24/17) – From the Hon. Johnson S. Elimo, Governor, Chuuk State, extending congratulations, and requesting for matching funding support for certain events scheduled within the next few months for Chuuk State.

330

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

State Supreme Court Communications

331

STATE SUPREME COURT COMMUNICATIONS

NONE

332

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Municipal or Town Communications

333

MUNICIPAL OR TOWN COMMUNICATIONS

NONE

334

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Foreign Government

Communications

335

FOREIGN GOVERNMENT COMMUNICATIONS

-No. 20-01 – (Dated 05/22/17 & received 05/23/17) – From Mr. Martin Chun gong, Secretary General, IPU, extending congratulations and providing a brief summary of issues, which were covered during the 136th IPU General Assembly in Dhaka, Bangledash.

-No. 20-02 – (Dated 05/24/17 & received 05/25/17) – From Mr. Taro Aso, President, APPU Japanese National Group, informing on the upcoming APPU 47th General Assembly and the 81st Council Meeting to be held from September 18 to 20, 2017 in Beppu, Oita Prefecture, Japan.

336

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Miscellaneous Communications

337

MISCELLANEOUS COMMUNICATIONS

-No. 20-01 – (Dated 05/11/17 & received 05/11/17) – From Mr. Willy Kostka, Executive Director, Micronesia Conservation Trust, writing to request for matching financial support towards the “Marine-Terrestrial Conservation Enforcement Academy Training” for FSM Conservation enforcement officers.

338

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

Presidential

Veto

339

Presidential Veto

-No. 19-169 -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, and 19-138, by amending sections 1 and 2 thereof, to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes.

- No. 20-15 -To further amend title 2 of the Code of the Federated States of Micronesia (Annotated), as amended by Public Laws Nos. 18-33, 19-29 and 19-63, by amending sections 203 and 204 thereof, to dissolve the Office of the Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes

340

20th CONGRESS of the Federated States of Micronesia

FIRST REGULAR SESSION

FSM CONSTITUTION

341

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.

342

CONSTITUTION OF THE FEDERATED STATES OF MICRONESIA (CONT. 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 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.

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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.

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.

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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

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

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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;

(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;

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(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;

(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.

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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 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.

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(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.

(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.

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.

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(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, the President shall appoint an associate justice to act as Chief Justice until the vacancy is filled or the Chief Justice resumes his duties.

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.

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(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;

(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.

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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 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.

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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.

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.

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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, defense, contract, claim, demand, title, or right continues unaffected except as modified in accordance with the provisions of this Constitution.

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

FIRST REGULAR SESSION

OFFICIAL RULES OF PROCEDURE

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OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25)

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 call the roll.

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

358 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 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

359 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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.

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,

360 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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.

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

361 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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, 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;

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(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 the same in custody; (g) To disallow anyone from entering the floor of the Congress except the Members, authorized employees, and official guests of the Congress; and (h) To execute all other duties and requirements of his office.

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

363 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) place and facilities which will not interfere with the operations of the Congress.

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.

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

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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; (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.

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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 and careful inquiry and investigation into all of the facts and circumstances connected with any bill, resolution, or matter referred to it, or any needed revision of the laws or needed legislation relating to a subject within its jurisdiction. 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

366 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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.

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

367 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 committee for its decision.

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

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Congress. Those subjects which fall within the jurisdiction of this 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 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;

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(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 (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

370 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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, 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,

371 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 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 Transportation, Communication and Infrastructure; and (ii) Telecommunications Corporation.

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.

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Section 1. Property of the Congress. All bills or resolutions introduced in the 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. 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.

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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 (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

374 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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. (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.

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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 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;

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(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. (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,

377 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 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

378 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 suspension of the Rules has been disposed of by the Congress.

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 (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

379 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 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.

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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 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;

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(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 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

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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 Majority of Members present 13, section 2 Journal 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 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:

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“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.

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

384 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25) 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 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

386 Nineteenth Congress of the Federated States of Micronesia OFFICIAL RULES OF PROCEDURE (As amended by C.R. No. 19-25)

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

FIRST REGULAR SESSION

INDEX OF LEGISLATION

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I N D E X CONGRESSIONAL BILLS Twentieth Congress of the Federated States of Micronesia [FIRST REGULAR SESSION – 2017] CB No. Short Title as Introduced SCR No. Page No. C.B.No. To further amend Public Law No. 18-11, as amended by Public Laws Nos. 4/6/17 VIII 19-266 18-44, 18-81, 19-33, 19-106, 19-128, 19-134, and 19-138, by amending sections 1 and 2 thereof, to change the use and allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes. C.B.No. To amend sections 9 and 12 of Public Law No. 19-118, as amended by Public 4/4/17 VIII 19-269, CD2 Laws No. 19-125, 19-131, 19-135 and 19-146, in order to clarify the use of funds for a particular line item and to change the allottee for that line item, and for other purposes. C.B.No. To amend Public Law No. 19-89, as amended by Public Laws Nos. 19-94, 19- 5/18/17 VIII, 13, 33, 20-01 127, 19-151 and 19-159, by amending section 6 thereof, to change the 51, 72, 84 allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs in the state of Chuuk, and for other purposes. C.B.No. To propose an amendment to the Constitution of the Federated States of 13, 33 20-02 Micronesia, for the purpose of expanding the powers expressly delegated to the Congress of the Federated States of Micronesia to include the power to coordinate activities relating to climate change, and for other purposes. C.B.No. Establishing a citizen repatriation and resettlement revolving fund by 35, 45, 193 20-03 creating a new subchapter XVII under chapter 6 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes. C.B.No. To further amend title 2 of the Code of the Federated States of Micronesia SCR. No. VIII, 35, 46, 20-04, CD1 (Annotated), as amended by Public Laws Nos. 18-33 and 19-29, by 20-03 144, 158, 211 amending sections 203 and 204 thereof, to dissolve the Office of 5/30/17 Environment and Emergency Management and properly place it as one of the Departments at the FSM National Government, and for other purposes. C.B.No. To amend chapter 1 of title 30 of the Code of the Federated States of 35, 46 20-05 Micronesia (Annotated) by inserting a new section 139 pertaining to lending practices, and for other purposes C.B. No. To amend Public Law No. 19-170, by amending section 2 thereof, to change 5/19/17 VIII, 35, 46, 20-06 the use of funds previously appropriated therein, to fund public projects 52, 72, 88 and social programs in the state of Yap, and for other purposes. C.B. No. To propose the repeal of article III, section 3 of the Constitution of the 35-36, 46 20-07 Federated States of Micronesia, for the purpose of enabling citizens of the Federated States of Micronesia to retain or obtain citizenship of another state without being required to relinquish citizenship of the Federated States of Micronesia, and for other purposes. C.B. No. To further amend Public Law No. 18-11, as amended by Public Laws Nos. 5/22/17 VIII, 35, 46, 20-08, CD1 18-44, 18-81, 19-33, 19-106, 19-128, 19-134 and 19-138, by amending 52, 72, 88 section 2 thereof, to change the allottee of funds previously appropriated for public projects and social programs in the state of Pohnpei, and for other purposes. C.B. No. To further amend Public Law No. 19-141, as amended by Public Laws Nos. 5/22/17 VIII, 55, 69, 20-09 19-147 and 19-171, by amending section 1 thereof, to change the use of 95, 113 fund previously appropriated therein for the purpose of funding public projects and social programs for the people of Chuuk, and for other purposes.

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C.B. No. Short Title as Introduced (continued Bills 20FSMC.1RS pg. 2) SCR No. Page No. C.B. No. To further amend section 913 of title 24 of the Code of the Federated States 55, 0 20-10 of Micronesia (Annotated), as amended by Public Laws Nos. 18-108, 10-21 and 19-36, to change the required method of handling by-catch, and for other purposes. C.B. No. To further amend Public Law No. 19-124, as amended by Public Laws Nos. VIII, 55, 70, 20-11 19-133, 19-140 and 19-150, by amending the title and sections 1, 2, 3, 4 and 96, 114, 146 6 thereof, to modify the intent of the appropriation act and change the use, allottee and lapse date of some funds previously appropriated therein to fund priority infrastructure projects in the state of Kosrae, and for other purposes. C.B. No. To further amend Public Law No. 19-10, as amended by Public Laws Nos. 5/22/17 VIII, 55, 70, 20-12 19-26, 19-42, 19-51, 19-56, 19-72, 19-78, 19-96, 19-132 and 19-163, by 96, 117 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. C.B. No. To amend sections 1, 4, 6, 8 and 9 of Public Law No. 19-118, as amended by 55, 70 20-13 Public Laws Nos. 19-125, 19-131, 19-135, 19-146 and 19-160, in order to appropriate $676,015 of additional funds from the General Fund of the Federated States of Micronesia for the Fiscal Year ending September 30, 2017, to change the use of certain funds, and for other purposes. C.B. No. To further amend Public Law No. 18-70, as previously amended by Public 5/17/17 VIII, 75, 83, 20-14 Laws Nos. 18-98, 18-112, 18-122, 19-07, 19-24, 19-41, 19-52, 19-73, 19-82, 100, 123, 200 19-101, 19-114, and 19-139, by amending section 2 and 6 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 Yap State, and for other purposes. C.B. No. To amend sections 389 and 391, and insert a new section 392, under IX, 76, 83, 220 20-15, CD1 Chapter 3 of title 21 of the Code of the Federated States of Micronesia (Annotated) as amended, pertaining to assets and liabilities of the Open Access Entity, and for other purposes. C.B. No. To further amend Public Law No. 19-54, as amended by Public Laws Nos. 5/19/17 IX, 9, 104-105, 20-16 19-62, 19-75, 19-79, 19-99 and 19-119, by amending section 6 thereof, to 111, 121 change the allottee of funds previously appropriated therein, to fund public projects and social programs in the state of Kosrae and change the lapse date, and for other purposes. C.B. No. To amend Public Law No. 19-152, as amended by Public Law No. 19-162, by 5/22/17 IX, 98, 105, 20-17 amending sections 3 and 6 thereof, to change the use and allottee of certain 111, 122 funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of Kosrae, and for other purposes. C.B. No. To further amend Public Law No. 19-121, as amended by Public Laws Nos. 5/19/17 IX, 99, 105, 20-18 19-130 and 19-142, by amending sections 3 and 6 thereof, to change the use 111, 122 and allottee of funds previously appropriated therein, for the purpose of funding public projects and social programs for the people of the state of Kosrae, and for other purposes. C.B. No. To further amend title 55 of the Code of the Federated States of Micronesia IX, 105, 111, 20-19, CD1 (Annotated), as amended, by inserting a new section 112 to chapter 1, to 112, 129, 180 place a statutory limit on the amount of funds that Congress may appropriate to Members’ Representation Funds relative to the annual salary of the President of the Federated States of Micronesia, and for other purposes. C.B. No. To amend section 209 of title 2 of the Code of the Federated States of 105, 112 20-20 Micronesia (Annotated), to increase the salaries of the President and Vice President of the Federated States of Micronesia, and for other purposes. C.B. No. To further clarify the procedures for approving foreign financial assistance 133, 142 20-21 and program funds by amending section 210 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, to rectify typographical errors, to replace the Division of Investment Management with the Overseas Development Assistance, and for other purposes.

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C.B. No. Short Title as Introduced (continued Bills 20FSMC.1RS pg. 3) SCR No. Page No. C.B. No. To further amend Public Law No. 16-58, as amended by Public Laws Nos. 5/22/17 IX, 132, 134, 20-22 16-64, 16-72, 17-08, 17-11, 17-20, 17-35, 17-41, 18-77 and 19-38, by 142, 144 amending section 5 thereof, to change the use of certain funds previously appropriated therein, to fund public projects and social programs in the State of Chuuk, and for other purposes. C.B. No. To amend section 391 of title 40 of the Code of the Federated States of 134, 142 20-23 Micronesia, (Annotated), as amended, to include the award of scholarships for summer high school academic programs under the jurisdiction of the National Scholarship Board, and for other purposes. C.B. No. To amend sections 1, 2, 3, 4, 6, 8 and 9 of Public Law No. 19-118, as amended 5/26/17 IX, 134, 155, 20-24, CD2 by Public Laws Nos. 19-125, 19-131, 19-135, 19-146, 19-160, and 20-01, in 157, 171, 181- order to appropriate $483,650 of additional funds from the General Fund of 182 the Federated States of Micronesia for the Fiscal Year ending September 30, 2017, to change the use of certain funds, to correct for a technical error, and for other purposes. C.B. No. To amend section 141 of title 54 of the Code of the Federated States of 148, 155 20-25 Micronesia (Annotated), as amended, to increase by two percent (2%) the rate of taxation on gross revenues of certain businesses subject to chapter 1 of this title, and for other purposes. C.B. No. To further amend section 203 of title 21 of the Code of the Federated States 5/30/17 IX, 148, 155, 20-26 of Micronesia (Annotated), as amended by Public Law No. 18-52, to require 223, 240 the Telecommunications Corporation of the Federated States of Micronesia to provide services and system access on the HANTRU1 Cable System to the Open Access Entity free of charge, and for other purposes. C.B. No. To further amend Public Law No. 18-99, as amended by Public Laws Nos.18- 5/31/17 IX, 170, 173, 20-27 106, 18-113, 18-121, 19-05, 19-34, 19-57, 19-74 and 19-107, by amending 184, 193 sections 3 and 6 thereof, to change the use and allottee of funds previously appropriated therein to fund public projects and social programs for the people of the state of Kosrae, and for other purposes. C.B. No. To further amend title 12 of the Code of the Federated States of Micronesia 149, 192 20-28 (Annotated), by creating a new chapter 18 to allow for the appointment of a special prosecutor to independently investigate and prosecute claims of alleged national felonies committed by government officials, and for other purposes. C.B. No. To further amend title 2 of the Code of the Federated States of Micronesia 187, 192 20-29 (Annotated), as amended, by adding a new section 211 entitled: “ Salaries of cabinet officers”, and for other purposes. C.B. No. To appropriate the sum of $725,000 from the General Fund of the Federated 187, 192 20-30 States of Micronesia for the fiscal year ending September 30, 2017, in order to pay for the expenses incurred, or which will be incurred, in connection with the grounding of Pingda 7, and for other purposes. C.B. No. Establishing a civil liability revolving fund by creating new subchapter XVI, 18, 192 20-31 under chapter 6 of title 55 of the Code of the Federated States of Micronesia (Annotated), as amended, and for other purposes. C.B. No. Establishing the FSM Public Debt Management Act by further amending title 187, 192 20-32 55 of the Code of the Federated States of Micronesia (Annotated), as amended, by creating a new chapter 15, providing for the procedures, terms and conditions of government borrowing, including the terms of on-lending of funds, issuance of sovereign guarantee, creating the Public Debt Management Advisory Group, and for other purposes. C.B. No. To further amend the Foreign Investment Act of 1997, as amended, in order 187, 192 20-33 to introduce improvements thereof and streamlining of foreign investment by nationalizing the approval of applications of foreign investment permit, and creating a national pre-emption over foreign investment, and to achieve the stated purposes by amending sections 202, 205, 206 and 208 of, and by inserting a new section 202A to, title 32 of the Code of the Federated States of Micronesia (Annotated), and by providing for a transition clause, and for other purposes.

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C.B. No. Short Title as Introduced (continued Bills 20FSMC.1RS pg. 4) SCR No. Page No. C.B. No. To appropriate the sum of $147,862 from the General Fund of the Federated 210, 232 20-35 States of Micronesia for the fiscal year ending September 30, 2017, in order to appropriate additional funding for the completion of the Chuuk State Weno Road Project, and for other purposes. C.B. No. To further amend Public Law No. 19-124, as amended by Public Laws Nos. 5/31/17 IX, 225, 232, 20-36 19-133, 19-140, 19-150 and 20-05, by amending sections 5 and 6 thereof, 237, 241, 257 to correct technical errors and omissions by changing the use and lapse date of some funds previously appropriated therein, to fund priority infrastructure projects in the state of Chuuk, and for other purposes. C.B. No. To further amend Public Law No. 17-36, as amended by Public Laws Nos. 5/31/17 IX, 226, 237, 20-37 17-48, 17-78, 17-87, 18-36, 18-60, 18-65, 18-84, 19-22 and 19-109, by 247, 258 amending sections 5 and 6 therein, to change the use and lapse date of certain funds previously appropriated therein to fund public projects and social programs in the state of Chuuk, and for other purposes. C.B. No. To further amend title 24 of the Code of the Federated States of Micronesia 237, 258 20-38 (Annotated), as amended, by amending section 920 thereof, to allow for proper implementation of NORMA administrative penalties, and for other purposes. C.B. No. To appropriate the sum of $802,254 from the General Fund of the Federated 232, 237, 258 20-39 States of Micronesia for the fiscal year ending September 30, 2017, to fund the operation of the Project Management Unit in the Department of Transportation Communication & Infrastructure for the remaining months of the fiscal year 2017, and for other purposes. C.B. No. To further amend Public Law No. 18-70, as previously amended by Public 5/31/17 IX, 227, 232, 20-40 Laws Nos. 18-98, 18-112, 18-122, 19-07, 19-24, 19-41, 19-52, 19-73, 19-82, 237, 248, 258 19-101, 19-114, 19-139 and 20-07, by amending section 5 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 Chuuk State, and for other purposes.

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I N D E X CONGRESSIONAL RESOLUTIONS Twientieth Congress of the Federated States of Micronesia [First Regular Session - 2017] C.R. No. Short Title as Introduced SCR No. Page No. C.R. No. Designating and appointing Mrs. Liwiana Ramon Ioanis to the position of 5/17/17 X, 13, 20-01 Chief Clerk to the Twentieth Congress of the Federated States of 33, 36, Micronesia. 101 C.R. No. Designating and appointment of Mr. T. Lam Dang to the position of 5/17/17 X, 13, 20-02 Legislative Counsel to the Congress of the Federated States of Micronesia. 33, 36, 102, 229 C.R. No. To confirm the nomination of Mr. Kosak M. Keller to serve as a member 5/17/17 X, 46 20-03 of the Federated States of Micronesia Social Security Board of Trustees, representing the National Government. C.R. No. Approving and accepting a grant in the amount of $150,247 from the U.S. 5/30/17 X, 56, 20-04 Department of Health and Human Services, Centers for Disease Control 70, 254 and Prevention, to fund the FSM Communicable Disease Prevention and Control Project, including all the terms and conditions of the assistance. C.R. No. Requesting that the Speaker of the Twentieth Congress of the Federated 5/22/17 X, 56, 20-05 States of Micronesia establish a Special Committee on Climate Change and 70, 160 Environmental Issues. C.R. No. To amend section 1 of rule 6, and to create a new section 8 of rule 7 of the 56, 70 20-06 Official Rules of Procedure of the Nineteenth Congress of the Federated States of Micronesia, to remove a portion of the duties of the Committee on Resources and Development, and to create a new standing committee entitled: “Environmental Affairs”. C.R. No. Approving and accepting a grant amendment in the amount of $113,110 5/24/17 X, 76, 20-07 from the United Nations Framework Convention on Climate Change 83, 186 through the Green Climate Fund to the Federated States of Micronesia, to fund a contract for a GCF grant writer specialist. C.R. No. Setting the ceiling of the total funds estimated to be available for 5/19/17 X, 76, 84 20-08 appropriation from the General Fund of the Federated States of Micronesia for the fiscal year ending September 30, 2017. C.R. No. Approving and accepting the small scale grant aid project from the Korea 76, 84 20-09 International Cooperation Agency in the amount of $200,000 for the improvement of the Kosrae International Airport facilities in the state of Kosrae, including all the terms and conditions of the assistance. C.R. No. Ratifying the agreement to the Treaty on Fisheries Between the 5/30/17 X, 149, 20-10 Governments of Certain Pacific Island States and the Government of the 156, 231 United States of America. C.R. No. To approve and accept a grant in the amount of EUR 436,089 from the 149, 156, 20-11 Government of the Federal Republic of Germany for protecting islands 256 through learning and leading in adaptation to climate change and renewable energy, including all the terms and conditions of the assistance. C.R. No. To approve and accept a grant in the amount of EUR 325,000 from the 5/30/17 X, 149, 20-12 Government of the Federal Republic of Germany for enhancing 156, 256 investments in small-scale renewable energy technologies in the Federated States of Micronesia, including all the terms and conditions of the assistance.

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C.R. No. Short Title as Introduced (continued Resolutions 20FSMC.1RS pg. 2) SCR No. Page No. C.R. No. Expressing the sincere appreciation to Eastern Oregon University for 5/22/17 X, 160, 20-13 their support and promotion of students from the Federated States of 162, 170 Micronesia. C.R. No. Expressing the sincere gratitude and appreciation to Mr. Lucas Cupps for 5/25/17 X, 188, 20-14 his dedicated service as staff attorney to the Congress Federated States of 192 Micronesia. C.R. No. To confirm the nomination of Mr. Joseph Villazon to serve as a member of 233, 237, 20-15 the Board of Regents of the College of Micronesia-FSM, representing the 239, 258 state of Pohnpei. C.R. No. Authorizing the President to submit the Recommended National 5/30/17 X, 233, 20-16 Government Compact Budget Request, as revised pursuant to Congress’s 237, 254, recommendations, to the United States under Article V of the Fiscal 259 Procedures Agreement.

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