Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698745187727.pdf (Micronesia, Federated States of)
STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 The Honorable Wesley Simina Speaker, Twentieth Congress Federated States of Micronesia Fifth Regular Session, 2018 Dear Mr. Speaker: Your Committee on External Affairs to which was jointly referred Presidential Communication No.
20-211 transmitting the National Government’s proposed fiscal year 2019 budget, begs leave to report as follows: Presidential Communication No.

20-211 was transmitted to Congress with the National Government Fiscal Year 2019 Recommended Budget (“Budget Book”).
Pursuant to Rule 7, Section 5(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 proposed budget relating to matters under its jurisdiction.

These are: 1.

FSM Consulate Office, Hawaii 2.

FSM Consulate Office, Guam 3.

FSM Consulate Office, Portland 4.

FSM Embassy, Tokyo, Japan 5.

UN Mission, New York 6.

FSM Embassy, Suva, Fiji 7.

FSM Embassy, Washington, D.C. 8.


FSM Embassy, Beijing, China 9.

Department of Foreign Affairs: a.

Office of the Secretary; b. Asia Pacific Africa & Multilateral Affairs; SCRL 20-93/FY 2019 RECOMMENDED BUDGET/P.C.

20-211/EXAFF COMMITTEE STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 c. American and European Affairs.

10.

Office of Veteran’s Affairs; 11.

Grants, subsidies and contributions: a.


The Forum Secretariat; b. Secretariat for the Pacific Community; c. United Nations Economic and Social Commission for Asia and Pacific (ESCAP); d. UN Membership fee; e. East-West Center; f. ACP Cotonou Membership; g. SPC Office Rental; h. Diplomatic Relations (China-FSM); i. Hosting of Pacific Island Forum j. SIS Program; k. IOM Membership fees (2012 -2017); l. Pacific Island Forum arrears; and m. SPC Hosting Grant 12.

Capital and Human Resources Development a.


Acting Capacity role b. FSM Embassy in Suva, Fiji residences This report and all previous and subsequent reports by your Committee should be treated as policy for this Nation as defined by Congress.

It is your Committee’s intent that any commentary found in this report should be treated as policy for the guidance of the relevant departments, agencies and offices in the obligations and expenditures of their respective budgets and implementation of their programs.
Your Committee conducted a series of public hearings following the convening of the Fourth Regular Session of the Twentieth Congress on May 11, 2018, and continued during the Fifth Special Session of the Twentieth Congress on August 2 to 7, 2018.

The mark up meeting of the Committee was held on Wednesday, August 8, 2018, a day after the adjournment of the Fifth Special Session of the Twentieth Congress.
The report and recommendations that follow are based upon the information contained in the Budget Book and the input provided by the Secretaries, Ambassadors, Consuls General, staff of the Division of Budget and staff of the various departments during those hearings.

-2- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.


20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 DISCUSSION OF THE PROPOSED FY 2019 BUDGET The figures shown in the charts below for the Department of Foreign Affairs include the total amount appropriated in FY 2018; the FY 2019 amount requested, and the amount transmitted as recommended for FY 2019.

The last column is the amount recommended by your Committee for FY 2019.
The FY18 OVERALL appropriated figures in the five categories were pursuant to Public Law No.

20-94.

The significant increase of $118,718 (FY18 appropriated of $1, 558,196 minus FY19 recommended of $1,676,914 under the Personnel Category is to accommodate the salaries for First Secretaries in some overseas missions.

DEPARTMENT OF FOREIGN AFFAIRS – OVERALL FY 2018 Appropr.

FY 2019 Proposed $337,508 $1,558,196 $1,645,023 Personnel Travel $348,703 Contract.Serv.
$2,561,652 $2,769,543 $335,282 OCE $106,408 Fixed Assets Total $4,565,881 $5,204,959 No.

Employees 39 $298,672 $121,006 42 FY19 Recomm $348,703 Committee Recommends $1,676,914 $1,676,914 $322,264 $2,769,543 $2,752,488 $336,007 $106,408 $5,236,850 $5,194,081 $335,282 $106,408 42 42 The FY18 appropriation was $4,565,881.

For FY19 budget, your Committee recommends $5,194,081.

The increase is $628,200.

I. FSM Consulate, Hawaii FY 2018 Appro.


FY 2019 Proposed FY19 Recom Committee Recommends Personnel Travel Contract.Serv.

OCE Fixed Assets Total $127,211 $12,732 $212,982 $31,950 $0 $345,094 $125,882 $12,732 $216,434 $34,950 $32,000 $421,998 $128,110 $12,732 $216,434 $34,950 $32,000 $424,226 $128,110 $12,732 $216,434 $34,950 $32,000 $424,226 -3- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 No.
Employees 4 4 4 4 The total increase for the FSM Consulate, Hawaii office from FY18 appropriation to FY19 recommended is $39,351.

Personnel – The recommended amount of $128,110 is for four employees inclusive of fringe benefits, which is a $899 increase, as compared to the FY18 appropriation.

The slight increase is on fringe benefit.

Your Committee recommends $128,110.

Travel - An amount of $12,732 was appropriated in fiscal year 2018.

For FY 2019, the same amount is requested and recommended.
Your Committee recommends $12,732.

Contractual Services- The amount appropriated in FY 2018 was $212,732.

The request for FY 2019 is 216,434, which is a $3,452 increase.

This is not a significant increase so your Committee recommends $216,434.

Other Current Expenses- An amount of $31,950 was appropriated in FY18.

For FY 2019, there is a slight increase of $3,000 so the request is $34,950.

The increases are for POL and stamps.

The cost for mailing of passport increases.


Your Committee recommends $34,950.

Fixed Assets-.

In FY 2018, there was no appropriation.

For FY19 the request is 32,000 for computers ($2,000) and a vehicle ($30,000).

Your Committee recommends $32,000.

II.

FSM Consulate, Portland, Oregon FY 2019 Proposed FY 2018 Appro.

FY19 Recom Committee Recommends Personnel Travel Contract.Serv.

OCE Fixed Assets Total No.


Employees $ $ $ $ $ $ $142,091 $15,000 $269,601 $20,000 $5,000 $451,692 $144,606 $15,000 $269,601 $20,000 $5,000 $454,207 5 5 5 $144,606 $15,000 $269,601 $20,000 $5,000 $454,207 -4- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 On November 18, 2017, the FSM Consulate in Portland was established, which is the third FSM Consul General in the United States.
The Office provides consular services to eight jurisdictions: Oregon, California, Washington, Arizona, Idaho, Utah, Nevada, and New Mexico.

Consul General Joe Enlet was confirmed by the FSM Congress to lead that office.

In Public Law No.

20-54, the FSM Congress appropriated an amount of $333,000 for the operations of the office in the later part of fiscal year 2017 and fiscal year 2018.

Personnel - For FY19, an amount of $142,091 is proposed, but an amount of $144,606 was recommended for five employees.
Three positions were filled.

At the mark-up hearing, your Committee recommended the budget for five employees.

The Consul General’s (Joe Enlet) salary is $41,861.

The Foreign Service Officer’s (Dominic Maluchmai) salary is 28,709.

The other Foreign Service Officer’s salary is 21,327.

The Administrative Assistant’s (Bruce Kileng) salary is 19,381.

The Accountant’s salary is 14,466.

An amount of $18,862 is recommended for fringe benefits of five employees.

Your Committee recommends $144,606.


Travel – An amount of $7,000 is to fund the Consul General’s participation in the Annual Budget hearing in Pohnpei.

Another $8,000 is to fund the Consul General for another trip to Pohnpei.

Your Committee recommends $15,000.


Contractual Services – An amount of $269,601 is requested for the following: - CAM - COAP/Rep fund - Contractual services - Health and Dental Insurance - Insurance/maintenance (Office/Car) - Office lease/space 2,000 15,000 15,000 105,169 7,000 27,432 -5- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.


20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 - Staff housing Total 98,000 269,601 At the mark-up meeting, your Committee recommends $269,601.

OCE – The Consulate Office requested $20,000 for Supplies and Materials.

Your Committee recommends $20,000.

Fixed Assets – The Consulate Office requested $5,000 to purchase computer software for new staff.

Your Committee recommends $5,000.

III.

FSM Embassy, Suva, Fiji FY 2018 Appro.


FY 2019 Proposed FY19 Recom Committee Recommends Personnel Travel Contract.

Serv.

OCE Fixed Assets Total No.

Employees 3 $98,452 $35,000 $90,650 $30,510 $54,000 $308,612 $130,182 $41,444 $111,650 $47,900 $0 $331,176 $131,942 $41,444 $111,650 $47,900 $0 332,936 $131,942 $41,444 $111,650 $47,900 $0 $332,936 3 3 3 Personnel – An amount of $98,452 is reflected in the “Budget Book”, as the amount appropriated in FY18.

In Standing Committee Report No.


20-18, your Committee had recommended $130,182 for three positions (Ambassador, DCM and First Secretary positions).

The amount requested for FY19 is $131,942 for the same three positions, and was transmitted as recommended.

At the hearing, your Committee was informed that the First Secretary position is filled (Mr. Kalwin S. Ehmes).

On August 8, 2018, at the mark-up hearing, your Committee recommends $131,942.
Travel - The Embassy’s FY 2018 appropriated amount for travel was $35,000.

The FY 2019 request is $41,444, an increase of -6- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 $6,444, as compared to FY 2018 appropriation.
Of the $41,444 requested, $9,630 for travel within Fiji, $14,000 to attend the annual Pacific Island Forum in PNG, $10,000 to attend the annual congressional budget hearing, and $7,814 to attend conference on budget matters.

After the mark-up meeting, your Committee recommends $41,444.

Contractual Services - The Embassy’s contractual services appropriation for FY18 was $90,650.

For FY 2019, there is a request of $111,650, which was recommended.
The specifics of the FY18 appropriation and FY19 recommended are as follows: FY19 FY18 $ 3,450 3,450 1.

City rate $ 2,000 2,000 2.

Education allowance $18,200 18,200 3.

Local staff benefits 4.

Medical insurance $5,000 10,000 5.

Property, Security insurance/maint.

$15,500 25,500 $13,000 15,000 6.

Rep. Fund/COAP $32,500 32,500 7.

Special Services contracts 8.

Subscriptions $ 1,000 5,000 Total -------------------------------- $90,650 111,650 Your Committee recommends $111,650.
Other Current Expenses – The amount appropriated this fiscal year 2018 was $30,510.

For FY 2019, the Embassy requested amount is $47,900.

The differences in the Embassy’s FY18 appropriation and FY19 recommended are as follows: 1.

Communication 2.

Library Materials 3.

POL 4.

Postage/Postal fee 5.

Printing/Reproduction 6.

Promotion/Reproduction FY19 10,000 400 9,000 800 2,000 1,700 7.

Subscription 0 1,000 6,000 11,000 7.

Supplies & Materials 8.


Utilities FY18 9,000 360 7,200 720 1,800 1,530 3,600 6,300 9.

Vehicle repair/maintenance 0 6,000 -7- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 Total --------------------------- 30,510 47,900 Your Committee recommends 47,900.

Fixed Assets - For FY 2018, an amount of $54,500 was appropriated.
The breakdown is as follows: $6,900 for fixtures, $2,500 for a laptop, $2,000 for a microwave oven, $2,200 for a water dispenser and $40,900 for vehicles.

No request for FY19 so your Committee recommends $0.

IV.

FSM Consulate Office, Guam FY 2018 Appro.

FY 2019 Proposed FY19 Recom Personnel Travel Contract.Serv.

OCE Fixed Assets Total No.


Employees 4 $124,363 $13,200 $96,860 $29,430 $5,000 $268,853 $13,200 $85,000 $36,200 $11,902 $119,601 $121,718 $13,200 $85,000 $36,200 $11,902 $265,903 $268,020 4 4 Committee Recommends $121,718 $13,200 $85,000 $36,200 $11,902 $268,020 4 Personnel - The amount appropriated in FY18 was $124,363.

The requested amount for FY 2019 is $119,601, but $121,718 was recommended.
The salaries for four employees are as follows: the Consul General is $41,861, the Foreign Service Officer I (Johnny Silbanuz) is $21,327, another Foreign Service Officer I (W-III Williander) is $21,327, the Administrative Assistant (Linda Timothy) is $21,327.

The correct amount for fringe benefits is $15,876.

Your Committee recommends $121,718.

Travel - The amount of $13,200 appropriated in FY 2018 is being requested for FY 2019.

Your Committee recommends $13,200.


Contractual Services - The significant decreases are reflected in the short-term contracts for two temporary staff and insurance for residence and vehicle based upon the estimated -8- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 cost after the office was completed.

Following is a comparison of FY18 appropriation and FY19 recommended: 1.

Equipment rental 2.
Equipment rental 2.

Janitorial services 3.

Office equipment/repair 4.

Rep-fund/COAP 5.

Short-term contracts 6.

Staff housing 7.

Subscription 8.

Insurance (residence & vehicle) FY18 2,000 2,800 10,000 15,000 17,760 36,000 300 FY19 Recom 1,500 3,000 10,000 15,000 9,000 36,000 500 13,000 10,000 Total --------------------- 96,860 85,000 Your Committee recommends $85,000.

Other Current Expenses - An amount of $29,430 was appropriated in FY 2018.

The FY19 proposed and recommended is $36,200.


At the mark-up meeting, your Committee learned that the FSM Petroleum Corporation occupied the third floor of the building.

Your Committee learned that the United States Department of State has not approved the arrangement for the FSM Petroleum Corporation to occupy the building.

Based on this issue, several diplomatic privileges are not applicable to staff of the FSM Petroleum Corporation who occupied the facility.
Consequently, the Committee recommends that the FSM Petro Corp needs to move out from the building.

Your Committee recommends $36,200.

Fixed Assets – In FY 2018, an amount of $5,000 was appropriated.

For FY 2019, the office requested $11,902 for office furniture and fixtures.

Your Committee recommends $11,902.

-9- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 V. FSM Embassy, Washington, DC FY 2018 Appro.
FY 2019 Proposed FY19 Recom Committee Recommends $63,158 $206,900 $206,900 $210,563 $210,563 Personnel Travel $63,158 Contract.Serv.

$374,160 $391,215 $391,215 $374,160 $42,750 OCE $42,750 Fixed Assets $10,000 $45,000 $696,968 $779,737 $783,400 $735,631 Total 5 No.

Employees 5 $42,025 $45,000 $42,025 $45,000 $89,597 $89,597 5 5 Personnel – An amount of $206,900 was appropriated in FY2018.
The requested amount for FY19 is $206,900, but the Budget Review Committee recommended $210,563 for five employees including their fringe benefits.

The slight increase is on fringe benefits.

The Ambassador’s (Akillino Susaia) salary is 70,000.

The Deputy Chief of Mission’s (Jackson Soram) salary is 41,861.

The First Secretary’s (Raleigh Welly) salary is $28,709.

The Administrative Specialist’s (vacant) salary is $23,518.

The Secretary’s salary is $19,010.

The fringe benefit is $27,465.


Your Committee recommends $210,563.

Travel – An amount of $63,158 was appropriated in FY18.

The Embassy’s FY19 requested amount is $89,597.

Your Committee considered this as significant and only recommended the FY18 level.

Your Committee recommends $63,158.

Contractual Services – In FY 2018 an amount of $374,160 was appropriated.

The request for FY 2019 is 391,215, an increase of $17,055, as compared to FY18 appropriation.
The differences in the FY18 appropriation, the FY19 requested amount and the FY19 recommended are detailed herein: -10- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 1.

Contractual Services (Personnel) 2.

Maintenance (Equip/Rental) 3.

Health Insurance 4.

Messenger serv.,contr./subscrip.

5.

Property security/insurance 6.

Rep-Fund/COAP 7.


Staff housing FY18 FY19Reg FY19Rec 89,960 48,160 48,160 10,000 10,000 10,000 75,000 121,921 121,921 2,000 2,000 2,000 10,000 10,000 10,000 21,000 21,000 21,000 166,200 178,134 178,134 Total - 374,160 391,215 391,215 At the mark up meeting, your Committee noted significant increases in several line items.
It is your Committee’s decision to approve the FY18 amount with the understanding that there will always a time to supplement the budget should there is dire need to do so.

Your Committee recommends the FY18 level, which is $374,160.

Other Current Expenses - An amount of $42,750 was appropriated in fiscal year 2018.

A lesser amount of $42,025 is requested for FY 2019 and was transmitted.

Your Committee recommends the FY18 level of $42,750.

Fixed Assets - There was $10,000 appropriated in FY 2018.
For FY 2019, the requested amount is $45,000, which was transmitted as recommended.

The $10,000 is for office equipment and another $35,000 for a vehicle.

Your Committee recommends $45,000.

VI.

UN Mission, New York FY 2018 Appro.

FY 2019 Proposed FY19 Recom Committee Recommends Personnel Travel Contract.Serv.

OCE Fixed Assets Total No.


Employees 2 $45,042 $45,042 $33,978 $126,403 $159,898 $167,159 $167,159 $45,042 $537,870 $593,545 $593,545 $593,545 $35,980 $5,000 $733,251 $839,465 $846,726 $846,726 3 $35,980 $5,000 $35,000 $0 $35,980 $5,000 3 3 -11- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 Personnel – The FY 2018 appropriation was $126,403 to fund two employees and their fringe benefits.
For FY19, an amount of $159,898 was proposed, but EBRC recommended $167,159 to fund three employees.

The salary for the Ambassador (Jane Chigiyal) is $70,000.

The salary for the Deputy Permanent Representative (Jeem Lippwe) is $41,861.

An amount of $33,495 is proposed for a First Secretary position.

The fringe benefit for three employees is $21,803.

The total sum for three employees and fringe benefits is $167,159.

Your Committee recommends $167,159.


Travel – An amount of $33,978 was appropriated in FY 2018.

For FY 2019, an amount of $45,042 is requested and recommended, an increase of $11,064.

Your Committee recommends $45,042.

Contractual Services - In FY 2018, an amount of $537,870 was appropriated.

For this FY 2019 request, the UN Mission is requesting $593,545 and was recommended.
These are the specific line items appropriated in FY18 and requested and recommended for FY19: FY18 • $8,000 • 9,000 • $75,000 75,000 FY19 requests 8,000 9,000 - CAM - for car/office insurance; - for healthcare insurance coverage for FSM diplomats and their eligible dependents; 800 • $177,696 178,700 - for office lease; • $87,301 93,339 • $800 • $25,000 25,000 - for representative fund/COAP; • $3,730 • $150,633 199,266 - for staff housing; and • $710 - for professional services; - purchase stamp 710 - stamp machine.
- Richo copier; 3,730 Total: 537,870 593,545 At the hearing, your Committee inquired the status of the UN Mission’s and FSM Embassy, Washington’s effort to merge their medical insurance.

According to them, they will secure a -12- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 private insurance company.
The amount in contractual services for FY19 request has an increase of $55,675, as compared to the compare FY18 appropriation.

The increase is to accommodate the housing for the new First Secretary.

Your Committee recommends $593,545.

Other Current Expenses – The FY18 appropriation was $35,000.

For FY19, the proposed is $35,980.

Your Committee recommends $35,980.

Fixed Assets - There was no amount requested for FY 2018.

For FY 2019, an amount of $5,000 is requested for Office furniture and fixture.
Your Committee recommends $5,000.

VII.

FSM Embassy, Tokyo, Japan FY 2018 Appro.

FY 2019 Proposed FY19 Recom Committee Recommends $15,776 $261,484 $273,288 $278,125 $278,125 Personnel Travel $19,994 Contract.Serv.

$576,802 $599,557 $599,557 $599,557 $60,935 OCE $6,000 Fixed Assets $913,802 $959,774 $964,611 $964,611 Total 3 No.
Employees 3 $60,935 $6,000 $60,935 $6,000 $59,740 $0 $19,994 $19,994 3 3 Personnel - The amount appropriated in FY 2018 was $261,484 and this amount is for three employees, the Ambassador, DCM and a new First Secretary.

For FY 2019, the request is $273,288, but EBRC recommended $278,125.

The salary for the Ambassador (John Fritz) is $95,000.

The salary for the DCM (Roger Mori) is $81,575.

The proposed salary for a new First Secretary is $65,273.

An amount of $36,277 is set aside for fringe benefits.
The total sum for three employees plus fringe benefits is $278,125.

Your Committee recommends $278,125.

-13- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 Travel - The appropriated amount for travel in FY18 was $15,776.

The request for FY 2019 is $19,994.

Your Committee recommends $19,994.

Contractual Services- In FY 2018, an amount of $576,802 was appropriated.
For FY 2019, the requested amount is $599,557, which was recommended.

Herein is a comparison of the $576,802 appropriated in FY 2018 and the $599,557 FY 2019 recommended amount: • Consultant services • Education Allowance • Maintenance contract • Office lease/staff housing • Property/Offc.
Equipment/ • Rep. Fund/COAP • Special Services contract FY18 appr $31,000 $25,000 $9,654 $339,600 $8,800 $25,000 $137,748 576,802 FY19 BRC 51,000 25,000 9,654 339,600 8,800 25,000 140,503 599,557 Your Committee recommends $599,557.

Other Current Expenses - An amount of $59,740 was appropriated in FY 2018.

For FY19, an amount of $60,935 is requested and recommended.

Your Committee recommends $60,935.

Fixed Assets- There was no funding appropriated under this category in FY 2018.
For FY19, an amount of $6,000 is requested to purchase office furniture and fixture for the First Secretary.

Your Committee recommends $6,000.

VIII.

FSM Embassy, Beijing, China FY 2018 Appro.

FY 2019 Proposed FY19 Recom Personnel Travel Contract.Serv.

OCE $126,403 $25,283 $473,328 $21,292 $35,270 $159,466 $161,656 $35,270 $472,541 $472,541 $21,292 $21,292 -14- Committee Recommends $161,656 $35,270 $472,541 $21,292 STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.


20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 Fixed Assets Total No.

Employees 2 $1,506 $647,812 $1,506 $1,506 $690,075 $692,265 3 3 3 $1,506 $692,265 Personnel - An amount of $164,252 was recommended in FY 2018 for three employees, the Ambassador, DCM and a First Secretary with the fringe benefits, which was reflected in SCR No.

20-18.

But, in SCR No.


20-25, the Committee on Ways and Means did not honor the increase, and $126,403 was reflected as the FY18 appropriated amount.

So that is why the figure $126,403 was reflected as the FY18 appropriation.

Your Committee learned that Mr. Francis Anefal is the new First Secretary.

The request for FY19 is $159,466, but BRC increases it to $161,656.

The salary for the Ambassador (Carl Apis) is $70,000.

The salary for the DCM (Vince Sivas) is $41,861.


The First Secretary’s salary (Francis Anefal) is 28,709.

There is $21,086 set aside for fringe benefits.

So the total for three employees and fringe benefits is $161,656.

With the adjustment in the FY18 appropriation and the FY19 proposed, your Committee recommends $161,656.

Travel - The amount appropriated in FY 2018 was $25,283.

The FY 2019 request for travel is $35,270, which was recommended.

Your Committee recommends $35,270.


Contractual Services - In FY 2018, an amount of $473,328 was appropriated.

The request for FY 2019 is $472,541.

This is a decrease of $787, as compared to the FY18 appropriation.

With this minor decrease, your Committee recommends $472,541.

Other Current Expenses - An amount of $21,292 was appropriated in FY 2018.

The request for FY 2019 is the same amount and was recommended.

Your Committee recommends $21,292.


Fixed Assets – There was no funding under this category in the FY 2018 budget.

For FY19, an amount of $1,506 is requested and recommended.

An amount of $1,000 is for office equipment -15- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 and $506 is for office furniture and fixtures.

Your Committee recommends $1,506.

IX(a).

OFFICE OF THE SECRETARY FY 2018 Appro.


FY 2019 Proposed FY19 Recom Committee Recommends Personnel Travel $89,156 Contract.Serv.

$30,000 $29,430 OCE Fixed Assets $0 Total No.

Employees 5 $122,890 $122,890 $124,992 $124,992 $89,156 $30,000 $30,000 $0 $256,529 $352,046 $352,046 $272,046 5 $89,156 $30,000 $30,000 $0 $89,156 $30,000 $30,000 $0 5 5 Personnel – The amount appropriated in FY18 was $122,890.

The same amount is requested for FY19, and was recommended.

The funding is for five employees.


The salary for the Secretary (Lorin Robert) is $40,000.

The salary for the Deputy Secretary (Samson Pretrick) is $25,000.

The salary for the Information Specialist (Kenmore Salvador) is $16,304.

The salary for the Executive Secretary (Juleen Sale) is $9,044.

The salary for the Administrative Officer II (Donna Amaraich) is $14,723.

A sum of $15,761 is set aside for fringe benefits and $4,160 for those eligible for COLA.
The total for five employees plus fringe benefits and COLA is $124,992.

Your Committee recommends $124,992.

Travel - The Office’s FY 2018 budget was $89,156.

The FY19 proposed budget is the same, and was recommended.

Your Committee recommends $89,156.

Contractual Services - An amount of $30,000 was appropriated in FY 2018, and was requested for FY 2019.

Your Committee recommends $30,000.

-16- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.


20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 Other Current Expenses - An amount of $30,000 was appropriated in FY 2018.

For FY19, $31,000 is being requested and recommended.

Your Committee recommends $31,000.

Fixed Assets - In FY 2018, no amount appropriated.

For FY19 there is no request.

Your Committee recommends $0.

IX(b).

ASIA PACIFIC AFRICA & MULTILATERAL AFFAIRS Personnel - The FY 2018 appropriation was $112,787 for six employees.
For FY19, the same amount is being requested and BRC recommended it.

The new Assistant Secretary for Multi- Lateral Affairs is Brendy Carl.

The new DAS/AA under APAMA is Berlino Martin.

Your Committee recommends $112,787.

IX(c).

AMERICAN & EUROPEAN AFFAIRS Personnel - An amount of $92,038 was appropriated in FY 2018.

For FY19, the Office requested $92,038, but BRC recommended $93,373.

This amount is to fund five employees.

The new DAS for A&EA is Kehlen Halbert.


Currently, there is a Foreign Service Office position that vacated when Mr. Kehlen Halbert filled the DAS position.

Your Committee recommends $93,373.

X.

Office of Veteran’s Affairs The Office of Veteran’s Affairs is a newly established office pursuant to Public Law No.

19-63.

The budget for the Office is under the jurisdiction of your Committee on External Affairs.
At the hearing on Saturday, August 4, 2018, your Committee was informed that for two fiscal year (FY17 and FY18), the hiring of staff to fill the Office may materialized in two weeks time.

Leo Falcam, Jr., the Acting Director of the Office of Veteran’s Affairs, explained that so far the Office has expended around $40,000 of its budget.

There were laptops and computers purchased, but no vehicle.

Your Committee asked if the Office will be up and running in -17- STANDING COMMITTEE REPORT NO.
20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 fiscal year 2019, and was told that it may be the first quarter of fiscal year 2019.

Chief of Staff also stated that it is very difficult to work with the United States Office of Veterans Affairs because some confidential issues.

Recom FY19 Appro.

FY18 Appro.

FY17 $79,240 Personnel Travel $42,225 Contract.Serv.

$50,000 $18,000 OCE Fixed Assets $25,000 Total No.

Employees 3 Comm.
Employees 3 Comm.

Recommends $79,240 $42,225 $50,000 $18,000 $50,000 $214,465 $239,465 $239,465 $239,465 3 $79,240 $42,225 $50,000 $18,000 $50,000 $79,240 $42,225 $50,000 $18,000 $50,000 3 3 Personnel – In the FY17 budget, your Committee appropriated funding for three positions, one Director and two additional staff.

The amount was $79,240.

For this FY2018, the same amount was appropriated.

The same amount is requested and recommended for FY19.

Your Committee recommends $79,240.


Travel – In the FY17 budget, an amount of $42,225 was appropriated.

In FY18, the same amount is appropriated.

For FY19, the same amount is requested and recommended.

Your Committee recommends $42,225.

Contractual Services – In the FY 2017 budget, an amount of $50,000 was appropriated.

The same amount is appropriated in FY 2018.

The same amount is requested and recommended for FY19.

Your Committee recommends $50,000.


Other Current Expenses – In the FY 2017 budget, an amount of $18,000 was appropriated.

The same amount is appropriated in FY 2018.

For FY19, the same amount is requested and recommended.

Your Committee recommends $18,000.

Fixed Assets – In the FY 2017 budget, an amount of $25,000 was appropriated for a vehicle and office equipment.

In FY 2018, an amount of $50,000 is appropriated.

For FY19, the -18- STANDING COMMITTEE REPORT NO.


20-76 RE: PRESIDENTIAL COMMUNICATION NO.

20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 same amount is requested and recommended.

Your Committee recommends $50,000.

XI.

Grants, Subsidies and Contributions In addition to the operations budget, your Committee recommends the following Grants, Contributions and Subsidies for the Department.
Basically, some of these requests are membership dues for international organizations: Organization The Forum Secretariat Secretariat for Pacific Community ESCAP UN Membership fee East-West Center ACP Cotonou Membership fees SPC Office Rental Diplomatic Relations between FSM and China (PRC) Hosting Pacific Island Forum SIS Program PIF arrears IOM Membership fees (2012-2017) SPC Hosting Grant Total FY18 Appropr.
FY19 Proposed $46,000 $57,000 FY19 EBRC 57,000 Committee Recommends $57,000 $56,000 $65,000 65,000 $65,000 $5,000 $5,000 $50,000 $50,000 $5,000 $15,000 $17,000 $5,000 5,000 50,000 5,000 17,000 29,670 $29,670 $29,670 $0 $0 $0 $5,000 $50,000 $5,000 $17,000 $29,670 $0 $0 $0 $0 $0 $10,000 $10,000 $10,000 $0 $98,864 $600 $500 $0 $600 $10,000 $0 $600 $0 $20,000 $20,000 $316,034 $259,270 $259,270 $20,000 $259,270 -19- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.


20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 XII.

Capital & Human Resources Development 1.

Acting capacity role 2.

FSM Embassy in Suva, Fiji residences Total FY18 appro.
$36,000 FY19 Proposed $0 FY19 Recom Committee $0 Recom $0 $200,000 $300,000 $300,000 $300,000 236,000 $300,000 $300,000 $300,000 In FY18, an amount of $36,000 was appropriated to pay certain individuals that were in acting capacity roles, as well as assignments undertaken by certain individuals that should have been compensated.

In FY18, an amount of $200,000 was appropriated to fund the renovation of the DCM residence in Suva, Fiji.
Your Committee on External Affairs has carefully reviewed the President’s Recommended FY 2019 Budget and all information provided by the Executive and the entities under 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 FY 2019.

-20- STANDING COMMITTEE REPORT NO.

20-76 RE: PRESIDENTIAL COMMUNICATION NO.


20-211 SUBJECT: FY 2019 RECOMMENDED BUDGET/EXAFF SEPTEMBER 17, 2018 Subject to the conditions and limitations set forth herein and the availability of funds as determined by your Committee on Ways and Means, your Committee on External Affairs recommends approval of the amounts listed above.
Respectfully submitted, /s/ Paliknoa K. Welly Paliknoa K. Welly, chairman /s/ Dion G. Neth Dion G. Neth, vice chairman /s/ Tiwiter Aritos Tiwiter Aritos, member /s/ Isaac V. Figir Isaac V. Figir, member /s/ Victor Gouland Victor Gouland, member /s/ David W. Panuelo David W. Panuelo, member /s/ Robson U. Romolow Robson U. Romolow, member -21-