I 
108TH CONGRESS 
1ST SESSION H. R. 2522
To amend the Organic Act of Guam to authorize the Secretary of the 
Interior to reduce, release, or waive amounts owed by the Government 
of Guam to the United States to offset unreimbursed Compact impact 
expenses. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 19, 2003
Ms. 
BORDALLO
(for 
herself, 
Mr. 
GALLEGLY, 
Mr. 
RAHALL, 
Mr. 
FALEOMAVAEGA, Mr. REHBERG, Mr. ABERCROMBIE, and Mr. CASE) in-
troduced the following bill; which was referred to the Committee on Re-
sources 
A BILL 
To amend the Organic Act of Guam to authorize the Sec-
retary of the Interior to reduce, release, or waive 
amounts owed by the Government of Guam to the United 
States to offset unreimbursed Compact impact expenses.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Compact Impact Rec-
onciliation Act’’. 
SEC. 2. COMPACT IMPACT RECONCILIATION. 
(a) FINDINGS.—Congress finds the following:
(1) In enacting the Compact of Free Associa-
tion Act of 1985 (Public Law 99–239), Congress au-
thorized unrestricted migration from the Federated 
States of Micronesia, the Republic of the Marshall 
Islands, and the Republic of Palau to the United 
States. Public Law 99–239 stated that if any ad-
verse consequences to Guam resulted from imple-
mentation of the Compacts of Free Association, the 
Congress would act sympathetically and expedi-
tiously to redress those adverse consequences. 
(2) The General Accounting Office has reported 
that such migration permitted under the Compacts 
of Free Association has had a significant impact on 
Guam. 
(3) By placing demands on local government 
for health, educational, and other social services, mi-
gration under the Compacts of Free Association has 
adversely affected the budgetary resources of the 
Government of Guam. 
(4) Insufficient sums have been appropriated to 
cover the costs incurred by the Government of Guam 
resulting from increased demands placed on health, 
educational, and other social services by citizens of 
the Federated States of Micronesia, the Republic of 
the Marshall Islands, and the Republic of Palau.
(5) The Government of Guam has provided 
health, educational, and other social services in good 
faith with the expectation that such incurred costs 
would be reimbursed by the United States. 
(6) Guam has experienced a severe economic 
crisis in recent years which has been exacerbated by 
expenses incurred related to Compact migration 
without adequate reimbursement from the United 
States. 
(7) The Government of Guam has accrued sig-
nificant obligations to the United States Govern-
ment, including but not limited to—
(A) $9,000,000 owed by the Guam Water-
works Authority to the Department of the Navy 
for water consumption; 
(B) $3,000,000 owed by the Guam Com-
munity College to the Department of Education 
for construction of a student housing facility; 
(C) $40,000,000 owed by the Government 
of Guam in local matching funds to the Depart-
ment of Homeland Security for Typhoon 
Chata’an (FEMA–1426–DR) and Supertyphoon 
Pongsona (FEMA–1446–DR) disaster assist-
ance; and
(D) $105,000,000 owed by the Guam Tele-
phone Authority to the Department of Agri-
culture for telephone infrastructure improve-
ments. 
(8) Congress has the authority to reconcile the 
amounts that have not been appropriated to Guam 
for Compact impact assistance with obligations owed 
by the Government of Guam to the United States. 
(9) Reconciliation is in the national interest and 
would promote good will in the future renewal of the 
Compacts of Free Association and the economic re-
covery of Guam. 
(b) IN GENERAL.—The Organic Act of Guam (48 
U.S.C. 1421 et seq.) is amended by adding at the end 
the following new section: 
‘‘SEC. 36. The Secretary of the Interior may reduce, 
release, or waive all or part of any amounts owed by the 
Government of Guam (or its autonomous agencies or in-
strumentalities) to any department, agency, independent 
agency, office, or instrumentality of the United States.’’.
Æ