I
103D CONGRESS
1ST SESSION
H. R. 1521
To establish the Commonwealth of Guam, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 29, 1993
Mr. UNDERWOOD (for himself, Mr. MONTGOMERY, Mr. GONZALEZ, Mr. LA-
FALCE, Mr. BILBRAY, Mr. DARDEN, Mr. FRANK of Massachusetts, Mr.
ROMERO-BARCELO´, Mr. YOUNG of Alaska, Mr. BARCIA, Mr. CLAY, Mr.
GINGRICH, Mr. LIVINGSTON, Mr. GENE GREEN of Texas, Mr. HOLDEN,
Mr. MCHALE, Mrs. MEEK, Mr. PASTOR, Mr. DE LUGO, Mr. RUSH, Mr.
RAHALL, Mrs. UNSOELD, Mr. BECERRA, Mr. ACKERMAN, Mr.
FALEOMAVAEGA, Ms. ROYBAL-ALLARD, Mr. SERRANO, Mr. TORRES, Mrs.
VUCANOVICH, Mr. BURTON of Indiana, Mr. DEUTSCH, Mr. BONIOR, Mr.
HINCHEY, Ms. NORTON, Mr. PAXON, Mr. INHOFE, Mr. DE LA GARZA,
Mr. KREIDLER, Mr. HASTINGS, Mr. WHEAT, Mr. ABERCROMBIE, Mr.
TUCKER, Mr. GALLEGLY, Mr. MARTINEZ, Mr. KENNEDY, Mr.
GUTIERREZ, Mr. RANGEL, Mr. MINETA, Mr. HENRY, and Mr. LEHMAN)
introduced the following bill; which was referred jointly to the Committees
on Natural Resources and Ways and Means
A BILL
To establish the Commonwealth of Guam, and for other
purposes.
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 ‘‘Guam Commonwealth
Act’’.
SEC. 2. PREAMBLE.
(a) In recognition of the long-cherished aspiration of
the people of Guam to direct the course of their own des-
tiny, and with the belief that mutual respect, understand-
ing, and compromise among people form a more perfect
Union, the people of the United States of America, nur-
tured in the ideals of liberty and democracy, conscious of
their obligations under the Treaty of Paris of 1899 and
the Charter of the United Nations, do hereby embrace the
establishment of the Commonwealth of Guam, ever mind-
ful that the right of self-determination and the heritage
of the Chamorro people of Guam shall be protected.
(b) This Act reflects the will of the people of Guam
to attain a greater measure of self-government in concert
with the United States of America, and reaffirms the prin-
ciple that governments derive their just powers only from
the consent of the governed.
(c) To this end, the Senate and House of Representa-
tives of the United States of America in Congress assem-
bled, now adopt this Act.
TITLE I—POLITICAL
RELATIONSHIP
SEC. 101. CREATION OF THE COMMONWEALTH AND FULL
SELF-GOVERNMENT.
(a) The Island of Guam, and its adjacent islands and
waters shall upon the enactment of this Act become a self-
governing Commonwealth known as the ‘‘Commonwealth
of Guam’’. This Act, the provisions of the United States
Constitution, treaties, and laws of the United States appli-
cable to Guam, and the Constitution of Guam shall be the
supreme law of the Commonwealth.
(b) The people of Guam shall have the right of full
self-government, which shall extend to all rightful subjects
of government not inconsistent with this Act and the laws
of the United States applicable to Guam, and shall govern
themselves in accordance with this Act through a Con-
stitution of their own adoption. Such Constitution shall—
(1) recognize, and be consistent with, the sov-
ereignty of the United States over Guam, and the
supremacy of the provisions of the Constitution,
treaties, and laws of the United States applicable to
Guam;
(2) provide for a republican form of govern-
ment;
(3) provide for three branches of government;
and
(4) contain a bill of rights.
(c) The Government of the Commonwealth shall have
the power to sue in its own name, and, with the consent
of the Legislature, may be sued upon any contract entered
into with respect to, or any tort committed incident to,
the exercise by the Government of the Commonwealth of
Guam or any of its lawful powers.
(d) The Government of the Commonwealth of Guam
shall have the power to establish, maintain, and operate
a public educational system to the same extent as the
several States.
SEC. 102. SELF-DETERMINATION AND UNITED STATES CITI-
ZENSHIP RIGHTS.
(a) The Congress recognizes the inalienable right of
self-determination of the indigenous Chamorro people of
Guam, defined as all those born on Guam before August
1, 1950, and their descendants. The exercise of such right
of self-determination shall be provided for in a Constitu-
tion of the Commonwealth of Guam.
(b) The Government of Guam shall ensure that, not-
withstanding the provisions of the preceding paragraph,
nothing herein shall be interpreted as depriving any quali-
fied resident of Guam of the right to participate as a voter
in any referendum or plebiscite held under the ratification
procedure for this Act set forth in section 1204 hereof.
(c) The United States Government shall, by means
of additional federally funded programs, and the Common-
wealth of Guam may promote—
(1) the maintenance and preservation of the
Chamorro language, culture, and traditions;
(2) the enhancement of economic, social, and
educational opportunities for Chamorros; and
(3) training of Chamorros for employment as
professionals, skilled workers, and leaders in busi-
ness and industry.
(d) The establishment of such additional programs
shall not affect the continued eligibility for the benefits
of existing programs of members of all minority groups
presently qualifying for such programs under current law.
(e) Nothing in this Act or in the Constitution of the
Commonwealth of Guam shall impair the United States
citizenship of the residents of Guam or their descendants,
or the entitlement of legally admitted aliens permanently
residing in Guam, to the respective rights and privileges
accorded to each such class of persons under the first sen-
tence of the fourteenth amendment of the United States
Constitution.
(f) Notwithstanding any other provisions of law or
of this Act, the Commonwealth of Guam shall establish
a trust to be known as the ‘‘Chamorro Land Trust’’ for
the benefit of the indigenous Chamorro people of Guam
and composed of certain lands returned by the United
States before and after the effective date of this Act to
the Commonwealth of Guam. Nothing in this section shall
inhibit or prevent the direct return of lands to the original
(c) The Commission is authorized to appoint and fix
the compensation of an Executive Secretary and such
other additional personnel as may be necessary to enable
the Commission to carry out its functions without regard
to the Federal Property and Administrative Services Act
of 1949 and civil service laws, rules, and regulations, but
any Federal employee subject to those laws, rules, and reg-
ulations, who may be detailed to the Commission (which
detail is hereby authorized) shall retain his civil service
status without interruption or loss of status or privilege.
In addition, the Commission may enter into contracts in
order to carry out its mandate.
(d) The United States will bear the cost of the work
of the Commission.
SEC. 204. DELEGATION OF AUTHORITY.
The Congress hereby authorizes the President or his
designee to delegate to the Governor of Guam total or par-
tial performance of functions now vested in administrative
agencies in the Federal Government. The President or his
designee and the Governor of Guam shall consult from
time to time on the implementation of this provision.
TITLE III—FOREIGN AFFAIRS
AND DEFENSE
SEC. 301. UNITED STATES AUTHORITY.
The United States shall have responsibility for an au-
thority with respect to matters relating to foreign affairs
and defense that affect the Commonwealth of Guam.
SEC. 302. CONSULTATION WITH GUAM.
(a) The United States agrees to consult with the
Commonwealth of Guam in advance of negotiations to-
ward any treaties or international agreements, including
Executive Agreements, which affect the well-being of the
people of Guam.
(b) No military security zones shall be established
and no foreign military personnel shall be stationed on the
Island of Guam without approval of the Government of
the Commonwealth except in time of declared war, and
no military bases will be established without consultation
with the Governor of the Commonwealth of Guam.
(c) The United States shall consult with the Govern-
ment of the Commonwealth of Guam with respect to any
proposed plan to increase or decrease Department of
Defense activities within the Commonwealth.
SEC. 
303. 
UNITED 
STATES 
CONSULAR 
AND 
TRADE
ASSISTANCE.
(a)(1) The United States shall assist and facilitate
the establishment by Guam of offices in the United States
and abroad.
(2) The United States shall assist the Commonwealth
of Guam to become a member or participate in appro-
priate regional and other international organizations to in-
clude, but not be limited to, the South Pacific Forum, the
regional organizations of the United Nations Specialized
agencies, and the Asian Development Bank. Under such
authority Guam shall be free to accept and grant financial
and technical assistance, to enter into bilateral and multi-
lateral agreements to promote joint ventures private and
public, exchange programs, and to become a party to all
agreements between and among foreign entities involving
regional and subregional affairs. The Commonwealth may
enter into agreements with sovereign states, and the politi-
cal entities resulting from the Trust Territory of the Pa-
cific Islands, relative to reciprocal trade and tax questions
and their application to the respective jurisdictions.
(b) The Government of the United States shall seek
to obtain from foreign countries favorable treatment for
exports from the Commonwealth of Guam and will encour-
age other countries to consider the Commonwealth of
Guam a developing territory.
SEC. 304. NUCLEAR WASTE.
(a) The United States shall not utilize the water sur-
rounding the Commonwealth of Guam or the island for
dumping or storage of nuclear waste.
(b) The United States shall clean up and make safe
for human habitation all chemical waste dump sites used
by the military in the past and at present, and shall not,
at any time, use the island and the surrounding waters
of Guam as a depository for hazardous chemicals in the
future.
(c) The United States shall compensate, in a manner
to be decided by the District Court of Guam, any person
injured as a result of chemical, nuclear, or other hazard-
ous materials stored, used, or disposed of by agencies of
the United States Government in the Commonwealth of
Guam or its surrounding waters.
TITLE IV—COURTS
SEC. 401. JUDICIAL RELATIONSHIP OF GUAM TO THE UNIT-
ED STATES.
The relations between the courts established by the
Constitution or laws of the United States and the local
courts of Guam with respect to appeals, certiorari, removal
of causes, the issuance of writs of habeas corpus, and
other matters or proceedings shall be governed by the laws
of the United States pertaining to the relations between
the courts of the United States, including the Supreme
Court of the United States, and the courts of the several
States in such matters and proceedings.
SEC. 402. JURISDICTION OF DISTRICT COURT.
(a) The District Court of Guam established by sec-
tion 22 of the Organic Act of Guam, as amended, is con-
tinued by this Act as the ‘‘District Court of Guam’’.
(b) The District Court of Guam shall have the juris-
diction of a district court of the United States, including,
but not limited to, the diversity jurisdiction provided for
in section 1332 of title 28, United States Code, and that
of a bankruptcy court of the United States.
SEC. 403. APPLICABLE DISTRICT COURT RULES.
Where appropriate, the provisions of part II of title
18 and of title 28, United States Code, and notwithstand-
ing the provision in rule 54(a), Federal Rules of Criminal
Procedure, relating to the prosecution of criminal offenses
on Guam by information, the rules of practice and proce-
dure heretofore or hereafter promulgated and made effec-
tive by the Congress or the Supreme Court of the United
States pursuant to titles 11, 18, and 28, United States
Code, shall apply to the District Court of Guam and ap-
peals therefrom; except that the terms, ‘‘Attorney for the
government’’ and ‘‘United States Attorney’’, as used in
the Federal Rules of Criminal Procedure, Federal Rules
of Civil Procedure and Federal Rules of Appellate Proce-
dure shall, when applicable to cases arising under the laws
of Guam, including the Guam Commonwealth income tax,
mean the Attorney General of Guam or such other person
or persons as may be authorized by the laws of Guam to
act therein.
SEC. 404. DISTRICT COURT JUDGE, UNITED STATES ATTOR-
NEY, MARSHAL.
(a) The President shall appoint, by and with the ad-
vice and consent of the Senate, a judge for the District
Court of Guam who shall hold office for the term of 10
years and until his successor is chosen and qualified unless
sooner removed by the President for cause. The judge
shall receive a salary payable by the United States which
shall be at the rate prescribed for judges of the United
States district courts. The chief judge of the Ninth Judi-
cial Circuit of the United States may assign a judge of
a local court of record, a judge of the High Court of the
Trust Territory of the Pacific Islands, a circuit or district
judge of the Ninth Circuit, or a recalled senior judge of
the District Court of Guam or of the District Court for
the Northern Mariana Islands, and the Chief Justice of
the United States may assign any other United States cir-
cuit or district judge with the consent of the judge so as-
signed and of the chief judge of his circuit, to serve tempo-
rarily as a judge in the District Court of Guam whenever
it is made to appear that such an assignment is necessary
for the proper dispatch of the business of the court.
(b) The President shall appoint, by and with the ad-
vice and consent of the Senate, a United States attorney
and United States marshal for Guam to whose offices the
provisions of chapters 31 and 33 of title 28, United States
Code, respectively, shall apply.
(c) The judge of the District Court of Guam and the
United States attorney and marshal serving on the effec-
tive date of this section shall continue to hold their posi-
tions under this Act until the expiration of their current
terms of office.
TITLE V—TRADE
SEC. 501. GUAM-UNITED STATES FREE TRADE AREA.
(a) The Commonwealth of Guam will remain outside
the customs territory of the United States, and no duty,
tariff, or quota restrictions shall be imposed or collected
by the United States. Economic, trade, and commercial
relationships between the United States and the Common-
wealth of Guam shall be conducted within the framework
of the free trade area between the United States and the
Commonwealth of Guam as established by subsection (b).
(b) The Commonwealth of Guam shall not impose du-
ties, quotas, or other restrictions on products of the Unit-
ed States imported into Guam, nor shall the United States
impose duties, quotas, or other restrictions on ‘‘products
of Guam’’ imported into the United States, nor shall the
United States treat products of Guam as having origi-
nated in any other country.
(c) The term ‘‘products of Guam’’ shall mean articles
that contain at least 30 percent value added in Guam.
Value added includes—
(1) all actual labor costs involved in the growth,
production, manufacture, or assembly of the specific
merchandise, including fringe benefits, on-the-job
training, and the cost of engineering supervisory,
quality control, and similar personnel;
(2) dies, molds, tooling, and depreciation on
machinery and equipment which are allocable to the
specific merchandise; and
(3) research, development, design, engineering,
and blueprint costs insofar as they are allocable to
the specific merchandise; and costs of inspecting and
testing the specific merchandise.
(d) The Commonwealth of Guam may impose, in-
crease, reduce, or eliminate duties and other restrictions—
(1) on products that originate in any area out-
side the customs territory of the United States and
that are imported into Guam; and
(2) on exports from Guam, whether or not
products of Guam.
(e) The Governor of Guam shall make a certificate
that the origin of the products as defined in subsection
(c) above is the Commonwealth of Guam pursuant to the
provisions of this Act. An agent of the United States Cus-
toms Service stationed on Guam shall then perform such
customs inspections as are necessary for compliance with
this Act and the appropriate laws of the United States.
Upon completion of such inspections such products shall
enter the United States without further inspection by the
United States Customs Service.
(f) Nothing herein contained shall be construed to
have any effect on any obligations or benefits accruing to
the Commonwealth of Guam or the United States under
the Generalized System of Preferences.
(g) Except as provided for in subsection (b) above
the Trade and Development Act of 1974 shall continue
to apply to the Commonwealth of Guam.
TITLE VI—TAXATION
SEC. 601. MIRROR IMAGE TAX.
(a) The income tax laws in force in the United States
of America and those which may hereafter be enacted shall
be held to be likewise in force in Guam.
(b) The income tax laws in force in Guam pursuant
to subsection (a) of this section shall be deemed to impose
a separate Commonwealth income tax, payable to the Gov-
ernment of Guam, which tax is designated the ‘‘Guam
Commonwealth Income Tax’’.
(c) The administration and enforcement of the Guam
Commonwealth Income Tax shall be performed pursuant
to the laws of Guam. Any function needful to the adminis-
tration and enforcement of the income tax laws in force
in Guam pursuant to subsection (a) of this section shall
be performed by any duly authorized officer or employee
of the Government of Guam.
(d)(1) The income tax laws in force in Guam pursu-
ant to subsection (a) of this section include, but are not
limited to, the following provisions of the Internal Revenue
Code of 1954, where not manifestly inapplicable or incom-
patible with the intent of this section: Subtitle A (not in-
cluding chapter 2 and section 931); chapters 24 and 25
of subtitle C, with reference to the collection of income
tax at source on wages; and all provisions of subtitle F
which apply to the income tax, including provisions as to
crimes, other offenses and forfeitures contained in chapter
75. For the period after 1950 and prior to the effective
date of the repeal of any provision of the Internal Revenue
Code of 1939 which corresponds to one or more of those
provisions of the Internal Revenue Code of 1954 which
are included in the income tax laws in force in Guam pur-
suant to subsection (a) of this section, such income tax
laws include, but are not limited to, such provisions of the
Internal Revenue Code of 1939.
(2) The Governor or his delegate or other official duly
authorized to act under the laws of Guam shall have the
same administrative and enforcement powers and rem-
edies with regard to the Commonwealth of Guam Income
Tax as the Secretary of the Treasury and other United
States officials of the executive branch have with respect
to the United States income tax. Rules and regulations
required for enforcement of the Commonwealth of Guam
income tax shall be prescribed pursuant to the laws of
Guam. The Governor or his delegate or other official duly
authorized to act under the laws of Guam shall have au-
thority to issue, from time to time, in whole or in part,
the text of the income tax laws in force in Guam pursuant
to subsection (a) of this section.
(e) In applying as the Commonwealth of Guam In-
come Tax the income tax laws in force in Guam pursuant
to subsection (a) of this section, except where it is mani-
festly otherwise required, the applicable provisions of the
Internal Revenue Code of 1954 and 1939 shall be read
so as to substitute ‘‘Guam’’ for ‘‘United States,’’ ‘‘Gov-
ernor or his delegate or other official duly authorized to
act under the laws of Guam’’ for ‘‘Secretary or his dele-
gate,’’ ‘‘Governor or his delegate or other official duly au-
thorized to act under the laws of Guam’’ for ‘‘Commis-
sioner of Internal Revenue’’ and ‘‘Collector of Internal
Revenue’’ for ‘‘Collector of Internal Revenue,’’ ‘‘District
Court of Guam’’ for ‘‘District Court’’ and with other
changes in nomenclature and other language, including
the omission of inapplicable language, where necessary to
effect the intent of this section.
SEC. 602. ENFORCEMENT INSTITUTIONS.
(a) Any act or failure to act with respect to the Guam
Commonwealth Income Tax which constitutes a criminal
offense under Chapter 75 of Subtitle F of the Internal
Revenue Code of 1986, or the corresponding provisions of
the Internal Revenue Code of 1939, as included in the in-
come tax laws in force in Guam pursuant to this section,
shall be an offense against the Government of Guam and
may be prosecuted in the name of the Government of
Guam by the appropriate officers thereof.
(b) The Government of Guam shall have a lien with
respect to the Guam Commonwealth Income Tax in the
same manner and with the same effect and subject to the
same conditions, as the United States has a lien with re-
spect to the United States income tax. Such lien in respect
of the Guam Commonwealth Income Tax shall be enforce-
able in the name of and by the Government of Guam.
Where filing of a notice of lien is prescribed by the income
tax laws in force in Guam pursuant to subsection (a) of
this section, such notice shall be filed in the Office of the
Clerk of the District Court of Guam or such other court
as the Guam Legislature may provide.
(c)(1) The District Court of Guam shall have exclu-
sive original jurisdiction over all judicial proceedings in
Guam, both criminal and civil, regardless of the degree
of the offense or of the amount involved, with respect to
the Guam Commonwealth Income Tax.
(2) Suits for the recovery of any Guam Common-
wealth Income Tax alleged to have been erroneously or
illegally assessed or collected, or of any penalty claimed
to have been collected without authority, or of any sum
alleged to have been excessive or in any manner wrongfully
collected, under the income tax laws in force in Guam,
pursuant to subsection (a) of this section, may, regardless
of the amount of claim, be maintained against the Govern-
ment of Guam subject to the same statutory requirements
as are applicable to suits for the recovery of such amounts
maintained against the United States in the United States
District Court of Guam with respect to the United States
income tax. When any judgment against the Government
of Guam under this paragraph has become final, the Gov-
ernor shall order the payment of such judgments out of
any unencumbered funds in the Treasury of Guam.
(3) Execution shall not issue against the Governor
or any officer or employee of the Government of Guam
on a final judgment in any proceeding against him for any
acts or for the recovery of money exacted by or paid to
him and subsequently paid into the Treasury of Guam,
in performing his official duties under the income tax laws
in force in Guam pursuant to subsection (a) of this sec-
tion, if the court certifies that probable cause existed, or
such officer or employee acted under the direction of the
Governor or his delegate or other official duly authorized
to act under the laws of Guam. When such certificate has
been issued, the Governor shall order the payment of such
judgment out of any unencumbered funds in the Treasury
of Guam.
(4) A civil action for the collection of the Guam Com-
monwealth Income Tax, together with fines, penalties, and
forfeitures, or for the recovery of any erroneous refund
of such tax, may be brought in the name of and by the
Government of Guam in the District Court of Guam or
in any district court of the United States or in any court
having the jurisdiction of a district court of the United
States.
(5) The jurisdiction conferred upon the District
Court of Guam by this subsection may be subject to trans-
fer to any local court by the Legislature of Guam.
SEC. 603. REBATE OF TAXES.
The Government of the Commonwealth of Guam may
by local law provide for the rebate or reduction of any
taxes received by it in order to assist new industries com-
ing to Guam or to assist Guam’s economic development.
SEC. 604. GUAM INCOME TAX AUTHORITY.
(a) The Commonwealth of Guam shall have the power
to determine under the laws of Guam the nature and
amount of taxes imposed upon the income and property
of persons within its jurisdiction, from whatever source
derived.
(b) The income tax established in section 601 of this
Act shall be repealed one year following certification by
the Chief Executive of Guam that Guam has enacted into
law a comprehensive local income tax to replace that set
forth in section 601. Upon this repeal the income tax laws
of the United States, except for chapters 2 and 21 of the
Internal Revenue Code of 1954, shall not be applicable
to Guam or to the persons within the jurisdiction of Guam
who have met their tax obligations imposed by the laws
of Guam.
SEC. 605. BONDS TAX EXEMPTION.
All bonds or other obligations issued by the Common-
wealth of Guam or by its authority shall be exempt, as
to principal and interest, from taxation by the Government
of the United States, or by any State or Territory or any
political subdivision thereof, or by the District of
Columbia.
TITLE VII—IMMIGRATION
SEC. 701. GUAM IMMIGRATION AUTHORITY.
(a) The Congress recognizes that Guam is a small
and densely populated insular commonwealth with limited
infrastructure and resources, that it is that portion of the
United States which is in closest proximity to nations of
Asia and the Pacific which supply a large proportion of
the immigrants coming to the United States, that signifi-
cant numbers of such immigrants have in recent years
chosen to make Guam their home, and that the admission
of substantial additional numbers of immigrants to Guam
threatens to produce a severe impact on the limited infra-
structure, health, education, housing, and other services
available in Guam. Congress therefore further recognizes
that there is a necessary and compelling need henceforth
to limit the number of persons permitted to immigrate to
Guam, and therefore the Commonwealth of Guam shall
have the authority to control entry of all aliens into the
Commonwealth of Guam to include the admission, exclu-
sion, and expulsion of such aliens.
(b) The Immigration and Nationality Act, and Fed-
eral regulations applicable thereto, shall remain applicable
to Guam for 2 years from enactment of this Act. The
Commonwealth of Guam shall, within the 2-year period
of this subsection, enact a comprehensive law on immigra-
tion for Guam, such law to become effective at the end
of the said 2-year period. Enactment of local law by the
Legislature of Guam under this authority, and the actions
of the Commonwealth of Guam pursuant to such authority
shall be duly coordinated with the Immigration and Na-
tionality Service, the Department of Labor, and the
Department of State.
(c)(1) Such actions by the Commonwealth of Guam
shall not impair the free movement of United States citi-
zens to and from Guam.
(2) Such authority shall not include naturalization of
aliens for United States citizenship.
(3) The Governor of Guam shall continue to have the
authority to issue United States passports within existing
regulations.
(4) Entry of aliens into Guam under the authority
of subsection (a) above, shall not affect, either favorably
or unfavorably, an alien’s entry to any other part of the
United States. This title shall not preclude a person who
previously has been lawfully admitted for permanent resi-
dence in the United States and who is otherwise admissi-
ble from being readmitted in Guam upon return to the
United States.
(d) Guam shall not be considered as a port of entry
for the entrance into the United States of aliens lawfully
admitted for permanent residence into the United States
except as provided for in subsection (b) or in those cases
where the Governor of Guam has made labor determina-
tions.
SEC. 702. GUAM-ONLY VISA.
United States consular officials, and other officials
authorized to issue visas for entry into the United States,
are authorized to issue visas for travel only to the Com-
monwealth of Guam for any alien seeking to enter Guam
as a nonimmigrant in order to encourage investors and
tourists to come to Guam. Regulations governing the issu-
ance of such visas shall be coordinated with the Governor
of Guam. Such regulations shall consider the points of ori-
gin, duration of permitted stay, the means by which the
aliens could alter visas to permit entry into the United
States, and other appropriate conditions to assure the reg-
ulation serves the best interests of the Commonwealth of
Guam. The United States and the Commonwealth of
Guam shall adopt appropriate measures for the implemen-
tation and the enforcement of this section upon or after
entry of the aliens into Guam.
TITLE VIII—LABOR
SEC. 801. FEDERAL EMPLOYMENT.
In all vacancies in the Federal Civil Service occurring
in Guam, residents of Guam possessing the requisite
standards of age, health, character, education, knowledge,
and experience shall be given preference over transfers of
persons from off Guam or the recruiting of persons from
outside Guam.
SEC. 802. GUAM LABOR LAWS.
Except and to the extent prohibited by Congress, the
Commonwealth of Guam shall have authority to enact and
enforce all laws regulating or affecting employment in the
Commonwealth. All applicable laws of the United States
which regulate employment on Guam on the effective date
of this Act shall remain applicable to Guam until replaced
as to their applicability to Guam by duly enacted law of
the Guam Legislature.
TITLE IX—TRANSPORTATION
AND TELECOMMUNICATIONS
SEC. 901. MARITIME SHIPPING.
(a) No provision of the laws of the United States,
including, without limitation, the vessel documentation
laws of the United States, shall apply to prevent the Unit-
ed States registration of, and use of, any foreign-built ves-
sel (including vessels engaged in towing, barges, dredges,
vessels or boats leased, rented, or chartered to another for
any use, including, without limitation, vessels used to take
out chartered fishing and diving parties or sightseeing
tours) for any purpose whatsoever within the internal wa-
ters, harbors, territorial sea and adjacent Exclusive
Economic Zone around Guam.
(b) The shipment of fish or fish products from Guam
to any coastwise point of the United States shall not be
subject to the coastwise laws of the United States.
(c) The application of the coastwise laws of the Unit-
ed States to Guam pursuant to 46 U.S.C. 883 shall be
periodically examined by the Commission to determine,
mutually, the desirability of the continued applicability of
such laws to Guam. Such determination by the Commis-
sion shall be based solely on the criteria of whether such
laws or any or a part thereof as applied to Guam constrain
Guam’s economic development and, if such a determina-
tion is made, the Commission shall recommend such laws
should not continue to apply to Guam: Provided, That so
long as the coastwise laws are applicable to Guam the
United States Government shall be responsible for ensur-
ing adequate and reliable cargo service between Guam and
the United States as determined mutually in the Commis-
sion.
SEC. 902. AIRLINES.
(a) The Governor of Guam shall have the authority
to sponsor any qualified air service carrier to come to
Guam subject only to presidential consultation concerning
articulated foreign policy and national defense interests of
the United States. The Commonwealth of Guam shall be
exempt from all bilateral treaties between the United
States and foreign states with respect to scheduling and
to technical specifications of aircraft, other than safety re-
quirements, for foreign or United States charter passenger
flights to and from Guam where such flights originate
from foreign jurisdictions. This provision shall not be ap-
plied in such a manner as to impair regularly scheduled
passenger and cargo flights from any of the several United
States States and Territories to and from Guam.
(b) The Commonwealth of Guam shall remain an ‘‘el-
igible point’’ for purposes of being ensured essential air
transportation under applicable provisions of the Federal
Aviation Act of 1958, as amended by Public Law 98–213,
section 10, with passenger and other service to be sched-
uled to provide regular and satisfactory delivery of postal
mail and cargo to and from the United States.
(c) In addition to any other requirement in compli-
ance with Federal law for new, additional, or changed
routes, United States domestic air carriers shall obtain the
concurrence of the Governor of Guam on any application
filed for such service to Guam.
SEC. 903. TELECOMMUNICATIONS.
The Commonwealth of Guam shall be defined as do-
mestic for the purposes of setting rates in telecommuni-
cations by the Federal Communications Commission.
TITLE X—LAND, NATURAL
RESOURCES AND UTILITIES
SEC. 1001. AUTHORITY OVER LAND AND RESOURCES.
(a) The Government of the Commonwealth of Guam
shall have power of eminent domain over property within
the Commonwealth in accord with the Constitution of
Guam.
(b) The Commonwealth of Guam shall have jurisdic-
tion over all living and nonliving natural resources of the
seabed, subsoil, tidelands, and adjacent territorial waters,
as defined by the United States law, of the Island of
Guam. The Commonwealth shall exercise rights to deter-
mine the conditions, including pollution control, and terms
of all scientific research, management, exploration, and ex-
ploitation of all ocean resources and all sources of energy
and prevention of pollution within the 200-mile Exclusive
Economic Zone, including pollution originating outside the
zone that poses a threat within the zone.
(c) The United States may, upon written notice to
the Government of the Commonwealth of Guam, acquire
for public purposes in accordance with Federal laws and
procedures, any interest in real property in the Common-
wealth only by voluntary means, under such terms and
conditions as may be negotiated by the parties. The Unit-
ed States will continue to recognize and respect the scar-
city and special importance of land in the Commonwealth
of Guam. If the United States must acquire any interest
in real property, it will follow the policy of seeking to ac-
quire only the minimum area necessary to accomplish the
public purpose for which the real property is required, of
seeking only the minimum interest in real property nec-
essary to support such public purpose, and of seeking first
to satisfy its requirement by acquiring an interest in pub-
lic rather than private real property. No interest in real
property on Guam will be acquired by the United States
unless duly authorized by the Congress of the United
States and for which appropriations are available.
(d) The United States agrees not to exercise within
the Commonwealth the power of eminent domain except
in time of war and then only to the extent necessary and
in compliance with applicable United States and Common-
wealth of Guam laws, and with full recognition of due
process required by the Constitutions of Guam and the
United States.
(e) The Commonwealth of Guam is exempt from the
Federal regulations governing the transfer or sale of ex-
cess Federal real property. All excess real properties of
the United States on the Island of Guam released after
establishment of the Commonwealth will be conveyed in
fee simple to the Government of the Commonwealth of
Guam without any condition, limitation or reversion clause
in said conveyance.
(f) All land heretofore transferred to the Government
of Guam by the United States are released from any and
all provisions limiting the use of such land, and are
conveyed in fee simple.
SEC. 1002. TRANSFER OF EXCESS FEDERAL REAL PROP-
ERTY.
All real property, including undeveloped land and de-
veloped recreational facilities, controlled or owned by any
United States military service or Federal agency on Guam
and not necessary for direct and continuous operational,
logistical, or security use as a military facility or other
Federal function shall be transferred as excess Federal
real property to the Government of Guam: Provided, That
all national parks, historical sites, monuments, and ceme-
teries shall be exempt from this provision. Such transfers
will be, whenever possible, at no cost to the people of
Guam, or, when appropriate, at cost no higher than the
valuation of the property at the time of original acquisition
by the Federal authority, regardless of any subsequent al-
terations or additions to the property. Final determination
of which Federal real property is excess to Federal needs,
and the authority to mandate prompt and fair transfer
to the Government of Guam by the Federal proprietor,
shall be with the Joint Commission after consultations
with the proprietor.
SEC. 1003. ACCESS TO FEDERAL PROPERTY.
(a) All recreational facilities, and all historical and
archaeological sites on real property retained under Fed-
eral, civil, or military authority shall be open to access and
use by the residents of Guam so long as military security
requirements are not compromised.
(b) Except where prevented by military security re-
quirements, easements for roadways or other means of
public access through property retained under Federal,
civil, or military authority shall be granted the Govern-
ment of Guam when such easements constitute the only
practicable means of land access by the Government of
Guam or the public to localities within the jurisdiction of
the Government of Guam.
(c) The Joint Commission shall determine, after con-
sultation with the general proprietor, which Federal rec-
reational facilities and which easements over Federal prop-
erty shall be open to the Government of Guam and to the
general public on Guam and the manner of access.
SEC. 1004. AUTHORITY OVER UTILITIES.
Within 90 days after the enactment of this Act, the
United States shall transfer to the Commonwealth of
Guam all rights, title, and interest possessed by the Unit-
ed States in the island’s power, water, sewer, and other
utility systems, except for those portions of the systems
which are located within the confines of property owned
by the United States and which are used solely for the
purposes of the United States, and which do not serve or
impact upon the normal operations of the island’s utility
system. The Government of the Commonwealth of Guam
may decline to accept any portion of such utilities which
it believes would act as a detriment to effective use of the
utilities it owns. The United States shall provide access
for the Commonwealth of Guam, or its agents, to all utili-
ties and transmission lines which the Commonwealth owns
on Federal property on Guam.