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Congresswoman Colleen Hanabusa

Representing the 1st District of Hawaii

BORDALLO, HANABUSA, GABBARD, SABLAN REINTRODUCE COMPACT IMPACT RELIEF ACT

January 10, 2018
Press Release

Washington, D.C. – Congresswoman Madeleine Z. Bordallo, together with Congresswomen Colleen Hanabusa and Tulsi Gabbard of Hawai’i and Congressman Gregorio Kilili Camacho Sablan of the Northern Mariana Islands, reintroduced the Compact Impact Relief Act to provide additional federal resources to Guam, Hawai’i, the CNMI, American Samoa, and other jurisdictions affected by migrants from the Freely Associated States (FAS).

 

Each year, Guam and other affected jurisdictions submit estimates for the cost of providing public service to migrants under the Compacts of Free Association between the United States and three FAS: the Marshall Islands, the Federated States of Micronesia, and Republic of Palau. According to the most recent estimates, Guam remains the primary destination for Compact migrants followed closely by Hawai’i. In 2017, GovGuam estimated Compact impact at $142.6 million for just fiscal year 2016 but received just $16.2 million from the U.S. Department of the Interior, which administers federal Compact aid.

To address this disparity, Congresswoman Bordallo’s bill makes numerous practical policy changes to alleviate costs borne by local jurisdictions, which are required by federal law to provide public services to Compact migrants and other lawful immigrants. The Compact Impact Relief Act introduced today expands upon the Congresswoman’s bill from prior Congresses.

“Addressing Compact impact has always been and remains a top priority for me in Congress. This bill seeks to bring much-needed federal dollars and resources to compensate Guam for the costs of serving Compact migrants.” said Congresswoman Bordallo (D-GU). “I continue to believe that the Compacts are an important national security and economic agreement between the U.S. and the Freely Associated States, but the federal government must do more to help the affected jurisdictions’ governments with the costs they bear to provide services to these migrants. This bill provides a holistic approach to the challenges of the Compacts. If they are to be renewed after they expire in fiscal year 2023, Congress must first increase exponentially Compact impact funding for Guam and the affected jurisdictions. I hope that Governor Calvo will join me in demanding that the Trump Administration and Congressional Republicans increase mandatory Compact impact funding for GovGuam, as a requirement for any renewal of the Compacts after 2023.”

Congresswoman Colleen Hanabusa (D-HI) said, “The benefits to the United States, from the Compacts and the presence of citizens from the Freely Associated States are without question.  Hawaii is home to more than 17,000 FAS citizens and state and county governments spend about $100 million a year to provide healthcare, education and other government services. However, the federal government reimburses about $.16 for every dollar. Mahalo, Congresswoman Bordallo, for introducing this measure and thank you to our co-sponsors, Congresswoman Gabbard and Congressman Sablan for supporting this common sense solution to help our local governments pay for services to support these communities.”

Congresswoman Tulsi Gabbard (D-HI) said, “Without adequate federal funding, Hawaii’s state and local governments have faced tremendous strain and challenge in caring for the more than 17,000 COFA migrants in Hawai‘i, who were promised care and services by the federal government. This legislation will relieve much of this burden by increasing federal funding and resources for Hawai‘i to deliver needed healthcare, education, social, public safety, and other services to COFA migrants who call Hawai‘i home.”

Congressman Gregorio Kilili Camacho Sablan (D-NMI) said, “The U.S. Pacific insular areas should not be saddled with an unfair share of our nation’s foreign policy costs. For that reason, I join with my colleagues from Guam and Hawai’i to introduce the Compact Impact Relief Act. As the only Micronesian in Congress, I also want to be sure that, when our friends and neighbors from the Freely Associated States decide to make their home in one of the U.S. islands, they know they are welcome and not a financial burden. The Compact Impact Relief Act will help achieve both of these goals. I thank Congresswoman Bordallo for her leadership.”

Congresswoman Bordallo’s bill includes her National Community Service Improvement Act of 2015, which was originally developed at the request of Speaker Cruz, 34th Guam Legislature.

“I thank Speaker Cruz for his support and was pleased to incorporate into this year’s bill a section making Compact migrants on Guam eligible for federally funded national and community service program like AmeriCorps,” added Congresswoman Bordallo.

“AmeriCorps exists to build stronger communities. Citizens of the Freely Associated States should have the opportunity to share in this vital work just as much as everyone else. I want to thank Congresswoman Bordallo for taking action through this amendment. With her help, I pray Congress realizes that every person willing to work for it deserves a job not a jail cell,” said Speaker Benjamin J.F. Cruz, 34th Guam Legislature.

Congresswoman Bordallo’s bill would also double Guam’s waiver from the requirement to match federal grants. This change will help Guam seek even more federal grant money, especially for local projects where territorial matching funds are simply unavailable. Each year, the Congresswoman supports local entities like the University of Guam (UOG), as they apply for competitive federal grants.

“Congresswoman Bordallo’s bill will help UOG and all Guam organizations secure additional federal grant money for local projects and initiatives, without the current burdensome matching requirement. UOG appreciates the Congresswoman’s help in securing these federal grants, her support for our students, and her work on this important legislation for Guam,” said Dr. Robert A. Underwood, president of the University of Guam.

Overview of the Compact Impact Relief Act:

  • Increases federal (FMAP) funding for hospitals and clinics in Guam and other affected jurisdictions like Hawai’i to offset costs of serving Compact migrants, with federal Medicaid matching funds from the U.S. Department of Health and Human Services.
  • Increases federal (ESSA) funding for public schools to offset costs of serving Compact migrant schoolchildren on Guam and nationwide, by reclassifying them as “federally connected” students eligible for impact aid from the U.S. Department of Education.
  • Expands federal national/community service programs to make Compact migrants living in the United States eligible for federally funded national and community service programs like AmeriCorps and the Youth Conservation Corps, which also teach job skills.
  • Requires comprehensive assessment of the Compacts of Free Association and their implementation ahead of fiscal year 2023 expiration, including inadequate Compact impact aid to Guam and other affected jurisdictions.
  • Authorizes annual federal economic assessments for all 5 U.S. territories and the 3 Freely Association States, including the economic impact of Compact migrants residing in the territories. Currently, the federal Bureau of Economic Analysis only provide gross domestic product estimates for the five territories.
  • Directs the U.S. Secretary of Health and Human Services to develop a national strategy to meet the health needs of Pacific Islanders, including Native Hawaiians, Guam’s Chamorro people, and FAS citizens. Pacific Islanders have substantially different health challenges and needs than mainland residents. Congresswoman Bordallo’s intent is that better data will improve healthcare delivery to Pacific Islanders and provide additional federal support to underserved islands communities.
  • Expands Guam’s and other Insular Areas’ long-standing waiver from legal requirement that territorial governments match federal funding in order to receive federal grants. Without this expanded waiver, many federally funded infrastructure and economic development projects on Guam and the Insular Areas will remain at a standstill due to lack of available local funding to fulfill federal matching requirements.
  • Doubles existing waiver, from $200,000 to $400,000 for all federal grants to Insular Areas (Guam, the Northern Marianas, American Samoa, and U.S. Virgin Islands), and increases waiver for Guam and other jurisdictions impacted by Compact migrants to $600,000 per grant for unreimbursed Compact impact costs.
  • Allows GovGuam and other governments affected by Compact migrants to meet federal matching fund requirements above the new waiver limit with in-kind services rendered for unreimbursed Compact impact costs. This ensures that federal agencies take into account the significant, unreimbursed costs borne by GovGuam in serving Compact migrants when awarding federal grants.
  • Provides new federal resources for workforce development and vocational training on Guam and other U.S. territories, including federally funded Job Corps centers. Clarifies that Compact migrants are indeed eligible for these federally funded vocational training programs, along with U.S. citizens and nationals.
  • Ensures that, at the request of state or territorial governors, Compact migrants will be eligible for same federal programs and benefits (SNAP, TANF, SSBG) as legal permanent residents of the United States, i.e. green card holders. Congresswoman Bordallo’s bill explicitly requires that no funding or benefits are taken away from Americans in order to serve Compact migrants under any of these federal assistance programs.

 

Links:

Section-by-Section Bill Summary

Bordallo Floor Speech

Full Bill Text