ASG gets $20 million loan check from the Retirement Fund
Seven months after it was approved by the Governor with an immediate effective date,
ASG Treasurer Velega Savali has finally received and signed off on a check for $20 million from the ASG Retirement Fund.
The money is for the loan already approved by the Fono earlier this year in March and signed by Governor Togiola Tulafono shortly thereafter in April.
The loan money is to finance infrastructure projects in Tutuila and the Manu’a Islands, as well as provide assistance with the territory’s hosting of next year’s Pacific Arts Festival.
The list of projects includes a new Port Administration Office and Fire Department building, the acquisition of a new tugboat, construction of a new building for the Fono, installation of a much needed antenna for KVZK-TV, and erection of a new animal pound and veterinary clinic.
The loan will be paid through portions of the excise taxes imposed on and collected from alcohol and tobacco products. Loan payments are to be made quarterly (every three months), according to the legislation.
Velega reported that excise taxes on alcohol and tobacco products, in addition to customs fees and charges that go into the Debt Service Fund have decreased in the last six years, dropping to a low $3.6 million last year and peaking at $4 million during fiscal year (FY) 2003.
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