April 12, 2001

FOR IMMEDIATE RELEASE

[United States Congress]
 
WASHINGTON, D.C.—PRESIDENT PROPOSES SLIGHT INCREASE IN FY2002 BUDGET FOR AMERICAN SAMOA
 
Congressman Faleomavaega announced today that the fiscal year 2002 federal budget for American Samoa’s primary funding includes $23.1 million to help fund the operations of the American Samoa Government and $10.1 million for construction projects.  This is an increase of approximately $50,000 over previous funding which will be awarded to the High Court of American Samoa, and level funding for construction.  As in prior years, this is only a fraction of the total funding which flows to American Samoa.

“I am again pleased to announce this slight increase in funding for the operations of our government and level funding at the high $10.1 million level for CIP’s,” said Faleomavaega.  “Together with additional federal money coming into the territory from the tobacco loan and a couple of other new initiatives, this money should continue to be of assistance in helping address the most urgent needs of our local government.”

“The supplements provided by the U.S. Congress were never intended to fully fund the operations of the local government, as each state and local government is expected to generate its own revenue.  In American Samoa, however, the United States continues to recognize the difficulty in maintaining an economy on a remote island with no exploitable natural resources,” said the Congressman.

The budget for the Office of Insular Affairs proposes an increase of $500,00 for the coral reef initiative.  Although details are not available yet, some of the funding from this program is expected to be directed to American Samoa as well.  Because of the across-the-board cut made to almost all federal programs last year, the total increase proposed for government operations this year is $100,00; however, this is only $50,000 increase over regular funding.

Additional details of funding in other areas will be released as they become available.  The House Appropriations Committee is not expected to act on the budget until early summer, with the Senate following.  The new fiscal year begins on October 1, 2001.
 
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