Governor projects a rosy outlook in State of the Territory address

Pago Pago, AMERICAN SAMOA — Based on unaudited financial statements, Gov Lemanu P. S. Mauga told lawmakers that the American Samoa Government is forecasting a surplus in local revenue for fiscal year 2022 — which ended on Sept. 30, 2022.

Additionally, ASG collected more local revenue, as compared to the budget, for the current fiscal year 2023, which began on Oct. 01, 2022, according to the governor in his State of the Territory address to lawmakers yesterday during the opening of the 38th Legislature in a joint session at the Gov. H. Rex Lee Auditorium.

Lemanu, who delivered his address in Samoan, gave a brief summary of ASG’s financial status for FY 2022, saying that based on unaudited financial records, the government is looking at a $1.7 million surplus in local revenue.

He explained that $122.8 million was projected in FY 2022 from local revenues while expenditures were about $121.1 million. He said a full financial report would be submitted to the Fono once an audit is completed. (Read story on FY-2022 Continuing Disclosure Report elsewhere in this issue.)

Lemanu noted that despite the many challenges American Samoa faced last year — such as the community spread of COVID-19 — that the government remains financially healthy was able to maintain good revenue collection.

In the English version of his 181-page State of the Territory Address Comprehensive Report distributed to lawmakers, the governor declared that, “our general fund is strong and sound” at the close of FY 2022.

“Despite chaotic headwinds within our global market that continue to drive the illusion of a potential recession, our local economy continues to be resilient and thriving,” Lemanu pointed out.

In his Samoan address, as well as in the Comprehensive Report, the governor also touched on the finances for the first quarter of FY 2023 for the period of Oct. 01 to Dec. 31, 2022.

“Although the global economy struggles with the risks of political instability and market uncertainty, our local economy is resilient as it continues to thrive,” the governor said, and noted that ASG’s current year-to-date (YTD) estimated expenditures for 1st quarter of FY2023 is about $29 million.

“Given the current trend, we are projected to attain a $1 million surplus and achieve our commitment to a balanced budget by year end FY2023. We also have confidence that our vibrant economy will continue to drive our revenue base to sustainable levels,” the governor said.

At the outset of the Comprehensive Report, the governor noted that as “we conclude our second year in office, our Administration confronted unprecedented global challenges that continue to impact our way of life in the Territory.”

“Namely, the COVID-19 pandemic and its evolving variants that made its way into the Pacific and breached our shores,” he said. “While we mourn and grieve the loss of family members, friends, and loved ones due to COVID-19, we were fortunate that our vaccination rates minimized the effect of the threat.”

The governor commend the hard work of the COVID- 19 Task force, frontline healthcare workers, and first responders to protect and preserve lives and restore normalcy to the Territory.

“Through their tireless efforts as well as our Federal and Territorial partners, and the support of the community, our pandemic response is a testament to our resolve and exceptional ability to come together in times of crisis,” he said.

“While the worst of the Omicron outbreak is now behind us, we acknowledge the lasting impacts of the pandemic as we enter a period of long- term recovery,” Lemanu said. “Coupled with the threat of climate change, it is imperative that we draw from lessons learned and best practices to build a safer, healthier, and more resilient community.”

Lemanu went on to express appreciations to all who answered the call to serve on the Constitutional review committee and who were selected as delegates to the Sixth Constitutional Convention last year.

While the outbreak posed challenges and delays to the Constitutional review process –– leaders, staff and members of the community leveraged technology and put forth the time, effort, and resources to educate and encourage the public to participate in these important discussions, the governor said.

“Matters of self-government, political parity, and administrative changes were on the ballot. In a historic midterm election, eleven constitutional amendments were proposed and five were ultimately passed by the will of the people,” he said.

He explained that the Comprehensive Report “highlights the results of our combined efforts to strengthen our economy and improve the quality of life for American Samoa.”

“While much has been accomplished in 2022; we are cognizant of the reality that we have only just begun our work, and that much work remains ahead. We are committed to improving public programs and services as we endeavor toward building a government that is more responsive to our community's needs and building a foundation upon which future generations can thrive,” he said.

Lemanu said he and Lt. Gov. Talauega E.V. Ale express heartfelt appreciation to church leaders, territorial leaders and members of the Fono, Judges, village leaders, non-profit organizations, non-government organizations, local government, federal partners, and members of the community “that have contributed the time and effort to building and enriching our Territory.”

Samoa News will report throughout this week other issues of importance cited in the governor’s Comprehensive Report.