COMMONWEALTH PORTS AUTHORITY
CITIZEN CENTRIC REPORTFISCAL YEAR 2023

TABLE OF CONTENTSMISSION STATEMENT

About CPA

Page 1

Our Progress

Page 2

Our Finances

Page 3Outlook

Page 4

To develop air and seaport navigation
to and from the CNMI to its fullest
potential.

WHERE ARE WE

WHO ARE WE
The Commonwealth Ports Authority (CPA) is an autonomous
government agency that was established by Commonwealth ofthe Northern Mariana Islands (CNMI) Public Law 2- 48 on October 08, 1981. CPA is responsible for all airports and seaports on
the islands of Saipan, Tinian and Rota. The island of Pagan has anairstrip but it is currently unavailable for air travel.
CPA has seven Board of Directors who are appointed by theCNMI Governor and confirmed by the Senate.
CNMI’s source of revenue relies heavily on tourism. Over 90% ofgoods entering the islands are passed through its ports. CPA continues to work hard to improve its ports.

DEPARTMENTS
Accounting
Administration
Aircraft Rescue Fire Fighting(ARFF)

Operations

CPA EMPLOYEESCustodial
Engineering

SAIPAN

TINIAN

ROTA

TOTAL

AIRPORT1382222182

Lease Compliance

SEAPORT193224Ports Police

Human Resources

Terminal MaintenancePort of Saipan
GRAND
TOTAL

1572524206

CPA Tinian

CPA RotaPROGRESSION
MAJOR ACCOMPLISHMENTS
1. Route 323 Industrial Drive Road Improvements
2. PSGP - Tinian Harbor Perimeter Fencing
3. PSGP - Surveillance Systems for all three seaports
4. FAA Discretionary Funding for SIA Loading Bridges
5. FAA AIP Funding for SIA ARFF Rapid Refill
6. FAA ATP Grant for SIA Commuter Road Paving

Staff Development•Aircraft Rescue Fire Fighting Training•Management & Leadership Training•Writing Workshops•Procurement Workshops•Safety Management Training•Americans with Disability Training

CAPITAL IMPROVEMENT PROJECTSFrancisco C. Ada/Saipan International Airport
 CTX Replacement Project - Ongoing Airport Master Plan/AGIS - Ongoing ARFF Training Facility Typhoon Repairs - Ongoing Facility Fence Typhoon Repairs – Ongoing Air Traffic Control Tower Renovations – Ongoing Commuter Terminal Construction - Ongoing
Port of Saipan
 Berth 103 Cavity Repairs – Ongoing South Seaplane Ramp Paving - A&E Design
 Delta Dock Improvements - A&E Design Office Roof Leak Repairs - A&E Design
Francisco Manglona Borja/Tinian International Airport
 ARFF Building Renovations—Completed
 Parking Lot Expansion – Ongoing Sewer System Project – A&E Design Departure/Arrival Terminal Federalization – A&E Design
Tinian Harbor Marina Beautification Improvements - Ongoing Perimeter Fence Replacement – Pending Award
Benjamin Taisacan Manglona International Airport
 Airport Drainage Improvements – Ongoing Canopy Roof Replacement - A&E Design
 Apron Rehabilitation – A&E Design
Rota West Harbor Small Commercial Dock Fence Installation A&E Design

OUR FINANCESThe Commonwealth Ports Authority (CPA) generates revenues from port users to fund operating expense, capitalprojects, and debt service requirements. The CPA also receives federal grants from the Federal Aviation Administration (FAA), Department of Homeland Security (DHS), and the Department of Interior (DOI) to fund improvements
throughout the ports.
CPA manages its funds separately for the airports and seaports. CPA’s enabling legislation (CNMI Public Law 2-48),
federal grant assurances and CPA’s Bond Indentures do not allow the comingling of funds between the airports andseaports. CPA operates on a fiscal year (FY) from October 1 through September 30.
OPERATING REVENUES
Operating revenues include revenues earned for operational activities and do not include federal grant funding

OPERATING EXPENSESAIRPORT & SEAPORT - Other expenses include fuel, travel, communications, promotional expenses and penalties and interest expenses.

AIRPORT - FY 2022 operating revenues for the airports increased
by 262% as compared to FY 2021. This significant increase was dueto the return to operations of limited international flights and theimplementation of a new rate methodology. Aviation fees include
landing fees and terminal rental rate charges. Other revenuesinclude parking fees, permit fees and citation and training fees.

AIRPORT - Overall FY 2022 operating expenses for the airports increased by 27% ascompared to FY 2021. This increase is mainly due to the increase in utility costs andrestoration of regular hours for employees due to the receipt of federal grant
funds for operations.

SEAPORT - FY 2022 operating revenues for the seaports remained
steady with a 5% increase as compare to FY 2021. The increase
was due to a slight increase in inbound revenue tonnage. Harborfees include wharfage fees, docking fees, special services, berthingfees and port entry fees. Other revenues include permit fees, citations and security service fees.

AIRPORT REVENUEFY 2021

FY 2022% Change

Aviation Fees$

174,567$

1,212,891

595%

Concession & Lease Income$

1,060,515$

2,884,048

172%

Other

$

80,559$667,074728%

TOTAL $

1,315,641$

4,764,013

262%

SEAPORT REVENUEFY 2021

FY 2022% Change

AIRPORT EXPENSES
Personnel Costs$

5,291,871 $

7,059,367

33%

Harbor Fees$

4,950,798$

5,119,1413%

Concession & Lease Income$

1,518,589$

1,464,314

-4%

Other

SEAPORT - Overall operating expenses for the seaports increased by 37% as compared to FY 2021. This increase is due to the increase in utility costs and the restoration of regular hours for employees.

$761,249$

1,017,719

34%

TOTAL $

7,230,636$

7,601,174

5%FY 2021

FY 2022% ChangeUtilities$

1,704,394 $2,664,497

56%

Insurance$

1,818,033 $2,256,093

24%

Contractual Services$

1,034,632 $

807,789-22%

Supplies, Repairs & Maintenance$865,400 $1,046,861

21%

Other

$

873,500 $931,455

7%

TOTAL $

11,587,830 $

14,766,06227%

FY 2021

FY 2022

SEAPORT EXPENSES% Change

Personnel Costs$

1,177,403 $

1,601,432

36%

Utilities$

274,933 $397,185

44%

Insurance$

1,026,394 $

1,267,081

23%

Contractual Services$

128,860 $

119,139-8%

Supplies, Repairs & Maintenance$

96,464 $

153,182

59%

Other

$

137,289 $358,110161%

TOTAL $

2,841,343 $

3,896,12937%

OUTLOOKOLDCC Grant through CBMA—Owner Agent Engineer Program-contractual services for Project Management Support, CIP Technical Oversight, Airport Supplemental Baseline Condition Assessment, Seaport In-Water Condition Assessment
and Ferry Terminal Planning—$1,500,000.00

CPA has applied for FAA ATP grants for the Rota Airport Roof Canopy Replacement Project. If approved, CPA anticipates funding by 2024. Project includes replacement of entire canopy and repairs to existing concrete roof.

Thee U.S. Department of Transportation Rebuilding America infrastructure withSustainability and Equality (RASE) grant program awarded the CommonwealthPorts Authority $3,3135.000.00 for the Saipan Harbor Navigation Improvements.
This planning project will study potential navigational improvements in the Saipan
Harbor, for two potential future projects: 1) extend Charlie-1 Dock, and 2) associated dredging to allow larger vessels to dock at the port, including cruise ships andupdated liquid bulk vessels.

WHAT’S NEXT

CHALLENGESCOVID 19: The pandemic continues to affect travel to the CNMI whichmakes it difficult to forecast future budget.

Loss of Airlines / Flights: Since the inception of COVID-19, the majority of airlines ceased operations and have pulled out of the CNMI.
There are currently four airlines that have resumed travel to Saipan

Financial Constraints: CPA employees were the first government
employees to have their hours reduced and the last to be restored.
CPA continues to implement cost-cutting measures on operationalcost.

for additional airlines for international and inter-island travel andimprove the airport facilities for better service.

Airport and Seaport Improvements: CPA will continue tomake improvements to its airports and seaports on Saipan, Tinian and Rota to ensure that passengers and cargoes are processed effectively and efficiently.

Training and exercises
FAR Part 139 Live Fire Recertification: Annual mandatory
requirement for all airport fire fighters under FAR Part 139 toparticipate in a live fire recertification burn. Total number recertified only accounts for CPA’s airport fire fighters from Saipan,
Tinian and Rota for a total of 27.

Trainings on Hold: Departments’ personnel job enhancement trainings were put on hold due to lack of funding since the pandemic.

Rota Quarry: Due to limited quarry operations, construction projects
have been delayed. Contractors import quarry fromSaipan or Guam driving thecost of construction up

Firearms Semi/Annual Recertification: Mandatory Annual requirement
for all Ports Police officers.

Canine Unit: Under TSA National
Explosive Detection Canine Team
Program re- quires all Canine Teamsto undergo an Annual Evaluation
Exam

Triennial Exercise: Mandatory every three years, every airport needs to conduct the Triennial
Exercise to test its Airport Emergency Plan in order to meet
FAR Part 139 requirements

Personnel Shortage: All departments were faced with personnel
shortage due to the tight cost-cutting measures. Only critical positions
were approved for replacements.

Promote Additional Airlines: CPA will continue to promote

ARFF AcademyCourses
NFPA

Certificate
IssuedNFPA

Certificate
Issued1001-10 Fire Fighter I

271041-10 Fire Instructor I

1001-20 Fire Fighter II

171041-20 Fire Instructor II

01002-10 Driver/Operator FAEFP

231072-10 HazMat AW

67

1002-50 Driver/Operator ARF

131003-10 Airport Fire Fighter
1021-10 Fire Officer I

1701072-20 HazMat OPS
1072-30 HazMat OPS PPE

27191072-34 HazMat OPS PCMSC

191031-20 Fire Inspector II

01072-40 Hazardous Material Technician

015Ports Police Firearms
Bi-annual Recertification