grams with an assessment of needs, costs, benefits
and provision of local funds where available. The
capital improvement plan shall take into account all
related economic development projects and plans by
the Commonwealth of Guam.
(4) There is hereby authorized a revolving fund
to establish an Economic Development Fund on
Guam with authority to assist in the financing of the
private sector needs of Guam in its efforts to achieve
a higher standard of living for its people as members
of the American community and to develop the eco-
nomic resources needed to meet the financial respon-
sibilities of local self-government. To this end, the
Economic Development Fund is authorized to pro-
vide financial and other assistance to increase in-
vestments (including loans, tax incentives, guaran-
tees and equity capital) and to start or expand com-
mercial businesses on Guam in order to provide em-
ployment and ownership opportunities for the resi-
dents of Guam. Participation by private banks and
savings and loan institutions in the Economic Devel-
opment Fund shall be encouraged. Funds shall be
made available to the Economic Development Fund
by Congress after the following conditions have been
met:
(A) The submission of a set of procedures
to Congress for the participation of private
lending institutions and for the processing of
applications for assistance, indicating the role
of the Economic Development Fund’s staff, out-
side consultants, and board review, and to guide
reviewers in making assistance and determining
eligibility.
(B) Submission of an economic develop-
ment plan, to be updated annually, by the Gov-
ernor of Guam to Congress, showing the pro-
posed amount, the proposed distribution of the
funds, and the terms on which the funds will be
made available. Such plan will take into account
any capital improvement projects and other pro-
grams related to economic development. The
funds granted to the Economic Development
Fund shall be a revolving fund, available to the
Economic Development Fund until expended.
(C) The Economic Development Fund
shall be headed by a five-member Board of Di-
rectors with financial experience for fixed terms
and selected by the Governor of Guam. The
Economic Development Fund shall issue a pub-
lic and audited report annually, setting forth
the administrative and programmatic develop-
ments for the year with full disclosure of the
utilization of its funds, the recipients of its as-
sistance, and the applications in process.
TITLE XII—TECHNICAL AMEND-
MENTS 
AND 
INTERPRETA-
TION
SEC. 1201. INTERPRETATION AND JURISDICTION.
(a) It is the intention of Congress that this Act pro-
vide complete internal self-government for the Common-
wealth of Guam and, to that end, that this Act be inter-
preted liberally to accomplish that purpose.
(b) When ruling upon the laws of the Commonwealth,
the courts of the United States shall give the same def-
erence to the laws of the Commonwealth as they give to
the laws of the several States. Jurisdiction to interpret the
provisions of this Act is vested in appropriate courts of
the United States and in the local courts of Guam.
SEC. 1202. CONTINUED EFFECTIVENESS OF LOCAL LAWS.
The laws of Guam in force on the date of enactment
of this Act, except as amended by this Act, are hereby
continued in force, subject to modification or repeal by the
Legislature of Guam.
SEC. 1203. ACTS REPEALED AND CONTINUED.
(a) All laws or parts of laws inconsistent with this
Act are hereby repealed to the extent of such inconsist-
ency.
(b) Upon the enactment of this Act, the following sec-
tions of the Organic Act of Guam (Act of August 1, 1950,
64 Stat. 384), as amended, are repealed: Sections 1, 2,
and 3; fourth sentence of section 11, sections 25, 27, 33,
and section 34.
(c) Upon the effective date of the Constitution adopt-
ed by the people of Guam, the following provisions of the
Organic Act of Guam (Act of August 1, 1950, 64 Stat.
384), as amended, and in effect at that time, are repealed:
Sections 5(a) through (t), 6, 7, 8, 9, 9–A, 10; the first
three sentences of section 11; sections 12, 13, 14, 15, 16,
17, 18, 19, 20, 21, 22, 22A, 22B, 22C, 22D, 24, 26, 29,
30, and section 31.
(d) The following sections of the Organic Act of
Guam (Act of August 1, 1950, 64 Stat. 384), as amended,
shall continue in force and shall be deemed to be a part
of this Act: Section 5(u), beginning at the fifth sentence,
all the remainder of sections 11, 21–A, 24–A, section 28
as modified by Article 10 of this Act; 32, and section 35.
(e) Public Law 94–584 (90 Stat. 2899), as amended,
is repealed as it affects Guam.
SEC. 1204. EFFECTIVE DATE OF THE GUAM COMMON-
WEALTH ACT.
This Act, upon approval by Congress, shall be sub-
mitted to the registered voters of Guam for ratification
through a plebiscite to be held in accordance with the laws
of Guam. This Act will become effective upon the approval
of this Act by a majority of the voters who participate
in such plebiscite, and at that time, except as provided
in section 1203 of this Act, the Organic Act of Guam,
August 1, 1950, 64 Stat. 384, shall be repealed.
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