Public Law 15-94 deception

st-Wednesday November 21, 2007 Letters to the Editor
Tuesday, November 20, 2007

To the Legislature:It is with such displeasure to inform you-our leaders-that deception in public office is a crime and is not tolerated lightly. We have spent well over five months pursuing what was good for the people of the CNMI and when we achieved it, something went drastically wrong. All of you had the opportunity to review our proposal of rate change on July 2 and 3, which the Senate president accepted as a working document toward H.B. 15-246, a bill to lower the rates introduced and authored by the minority leader Arnold Palacios. In our proposal we specifically requested further amendments be made, especially the removal of Section 18 thru 22 in the original House bill. The reason why we requested such an amendment is due to the fact that there was no Public Utilities Commission in place and the differences between the Executive branch and the legislative body on appointing a board was an issue hindering the process. At this point we do not believe that appointing anyone to the PUC board can be achieved because of the fact that no one in their right mind would dare take on such a responsibility since, in the end, he or she will be blamed for any wrong move. Although it is an honorable appointed position, we believe that one's credibility and integrity can be forever tarnished in the public view given the present situation of CUC. We are also mindful of the current high global fuel prices all over the world but that alone is not a basis as to why the people of the CNMI were deceived and taken advantage off. Furthermore, to you Mr. Arnold Palacios, we feel that you are the primary person responsible for this current situation we are faced now and we must seriously notify you that you have deceived the people of the CNMI, especially the voters. I respectfully urge you to prioritize CUC's shortfall as promised rather than concentrate on your speakership fight with Benavente. Concerning the speakership, we the people feel that none of you are qualified or even deserve to sit on such an honorable position. Therefore we recommend Congressman Stanley Torres to be Speaker of the House for he is a great leader who cares, understands that the people are suffering and he fights for the people. Gentlemen, we urge you to deliver and return what was promised to the people before the election. A home was burned down because of the use of candles and why is such a mishap happening near Christmas And New Year?

Gregorio S. Cruz Jr. President, Taotao Tano CNMI Association, Inc.

Outage hits Kagman

mv- Local Wednesday, November 21, 2007 By Ferdie de la TorreReporter

Kagman experienced an outage yesterday afternoon when the Commonwealth Utilities Corp. conducted repairs on the electrical wires and equipment that were damaged during Monday's strong rain and winds brought by a trade-wind disturbance.CUC linemen turned off the electric power in Kagman after school or at 3pm as they made the repairs.CUC spokesperson Pamela Mathis said electricity will be restored as soon as the lines are clear of danger.Mathis underscored the need to conduct such repairs before major power failures occur.In addition to Monday morning outages in southern Saipan, CUC also fixed damaged equipment in Dandan, Capital Hill, As Matuis, and Koblerville.A number of trees fell on high voltage lines and took the lines down in several locations during the heavy rains.There were isolated minor outages yesterday as CUC field crews made repairs.Mathis issued the following safety measures for the public to observe during heavy rains:- Customers and children should never touch a fallen power line and always call for help. Electricity may still flow through downed lines.- Parents should not allow children to play in wet trees that are anywhere near high voltage lines because the electricity can also flow through wet vegetation.- If power lines fall on vehicles, stay inside the car-never get out until the CUC personnel advises that it's safe.- Any time a home floods or fills with water, unplug all appliances or cords along the floors or baseboards.

Chalan Kanoa house fire an accident CORRECTION "Chalan Laulau"

mv-Monday November 19, 2007

By Cherrie Anne E. Villahermosa
Variety News Staff



A fire that damaged a home in Chalan Laulau on Thursday evening was an accident, according to Department of Public Safety spokeswoman Lei Ogumoro.

She said a candle used to light the kitchen of a house, which had no electricity, was the cause of the fire that damaged the wood and tin structure.

Ogumoro said no one among the nine family members was hurt in the fire on early Thursday evening.

The candle in the kitchen was placed on a cooler and the family members — five adults and four children — were all outside when they saw their kitchen engulfed in flames.

They tried but failed to extinguish the fire.

Because the structure was made of plywood, the fire was able to spread rapidly throughout the house.

But firefighters dispatched to the scene were able to bring the fire under control and secure the area.

DPS said the incident has been classified as an accident.

The owners of the structure are Gregorio and Tricia Mettao.

CUC employee pleads guilty to misconduct

mv-Monday November 19, 2007


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CUC employee pleads guilty to misconduct

By Cherrie Anne E. Villahermosa
Variety News Staff



A COMMONWEALTH Utilities Corp. employee who was charged for stealing money from a customer has pleaded guilty to misconduct in public office.

Manuel Quitano Camacho, 42, appeared for a change of plea hearing on Friday before Associate Judge Kenneth L. Govendo.

Camacho was represented by attorney Brien Sers Nicholas.

Assistant Attorney General Mike Nisperos agreed to dismiss the theft by deception charge with prejudice in exchange for Camacho’s plea.

Govendo accepted the plea and sentenced Camacho to 60 days of imprisonment, all suspended, except for eight hours of time already served.

Camacho was also placed on probation for 18 months.

He will pay a fine of $500, an assessment fee of $25 and a probation fee to be determined by the Office of Adult probation.

Camacho will perform 100 hours of community work service and submit a letter of apology to CUC and to Charles Cepeda.

Camacho’s review hearing was set for March 13, 2008 at 9 a.m.

Camacho was charged for taking $1,622.61 from Cepeda.

According to the Attorney General’s Office, Camacho committed the illegal acts between Dec. 2006 and April 2007 as CUC’s administrative support assistant.

It was Charles Cepeda, general manager of Pacific Trading, who wrote a letter to CUC regarding several power billing transactions with Camacho.

Camacho received over $1,000 from Cepeda but did not forward the money to CUC.

Camacho said he used the money to purchase a new alternator for his truck.

Palacios says new power rates illegal

mv-Monday November 19, 2007


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Palacios says new power rates illegal

By Gemma Q. Casas
Variety News Staff



HOUSE Minority Leader Rep. Arnold I. Palacios says the emergency regulations allowing the Commonwealth Utilities Corp. to again charge higher power rates are “unlawful” as they disregard the existing law that fixes the rate at 17.6 cents per kilowatt hour.

Palacios, R-Saipan, one of the principal authors of House Bill 15-246, which later became Public Law 15-94 on Oct. 4 after the Legislature overrode Gov. Benigno R. Fitial’s veto, said the executive branch has no power to alter what was set in P.L. 15-94 in the absence of a Public Utilities Commission.

“Because the commission has yet to convene, it is not possible for any rate increase to be reviewed and approved in accordance with law. Therefore, CUC has acted beyond its authority, and the notice of Nov. 11 is void,” Palacios wrote the governor on Nov. 16.

“As a result, CUC is now imposing an unlawful charge on residential customers,” he added.

The emergency regulations took effect on Nov. 2 and will last for 120 days. CUC will then adopt them permanently.

CUC is now charging residential customers 25.8 cents for the first 1,000 kwh of energy they consume and 30.2 cents per kwh in excess of that.

The governor said the emergency regulations are allowed by P.L. 15-94 which states that the government can adjust prices of electricity based on the actual cost of imported fuel.

“We’re only complying with the law,” he said in an earlier interview with Variety. “We didn’t create the law. The cost of fuel was allowed by that law to be factored into the rates that we now have. The emergency regulations were also a function of that law that we promulgated.”

But Palacios said the power to adjust electric rates is specifically entrusted to the yet-to-be-formed Public Utilities Commission.

“Simply put, that intent is to require that any future rate changes be approved by a duly formed and convened Public Utilities Commission,” he added.

Funding hike for utility aid program

Local Thursday, November 15, 2007 By Agnes E. DonatoReporter

Gov. Benigno R. Fitial has signed into law legislation that increases funding for the government's utility aid program.The new law earmarks $300,000 from the Tobacco Control Fund revenues for a supplemental account to the Low Income Home Energy Assistance Program.The new legislation took into effect retroactively to Oct. 1, 2007.Public Law 15-110 was enacted in a bid to help local residents in paying for power bills. Low-income families can apply for the supplemental aid for the portion of their CUC bills not covered by the LIHEAP subsidy.The Department of Community and Cultural Affairs will manage the funds.The Legislature noted that, although LIHEAP provides assistance to low-income consumers, the aid does not cover the full amount of most Commonwealth Utilities Corp. billings.As a result, many-low income families have had their power supply disconnected for non-payment.Nearly 450 residents are receiving financial assistance under LIHEAP, a federal program. This number was reduced from almost 700 a year ago due to utility disconnections.“The creation of a LIHEAP supplemental account from Tobacco Control Fund revenues will assist low income families in paying CUC bills in excess of the LIHEAP subsidy. This will ensure that vital power and water services remain connected, and that the health of low-income families is not jeopardized by the rise in power rates in the Commonwealth,” the Legislature states in the legislation.

Fitial says Legislature allowed him to increase power rates

111507 Gemma Q. Casas Variety News Staff

GOVERNOR Benigno R. Fitial yesterday said the Legislature’s override of his veto of the measure lowering residential power rates still stands as law but his team of legal experts determined they can promulgate emergency regulations.
“I think this whole issue is being misunderstood,” he said. “The Legislature passed a bill that reduced (residential power) rates. But it says, as you know, that there should also be fluctuating rates in the event that the price of fuel goes up. As you know, the price of fuel went up. Now, it’s approaching $100 per barrel,” said the governor.
He vetoed House Bill 15-246 on Sept. 14 which sets the rate at 17.6 cents the first 1,000 kilowatt hours of energy residential customers use and 22 cents per kilowatt hour for anything in excess of that.
But both houses of the Legislature overrode it just before the Nov. 3 election.
Thus, H.B. 15-246 became Public Law 15-94 and took effect on Oct. 4.
Fitial said P.L. 15-94 also states in part: “The electric charges and rates in this section shall supersede and replace the residential rates established by the amendments to part 24 of the Electric Service Regulations of the Commonwealth Utilities Corp. as set forth in 28 Com. Reg. 9 26156, et se. (Sept. 27, 2006), which became effective on Oct. 27, 2006; provided that the electric fuel rates may fluctuate depending on the actual cost of fuel.”
Changes in utility rates can only be made by the Commonwealth Public Utilities Commission.
Pending the creation of the commission, the Legislature enacted a law allowing the attorney general to act as the quasi-body of CUC.
On Nov. 2, Fitial approved the Commonwealth Utilities Corp.’s emergency regulations allowing it to charge residents 25.8 cents per kwh for the first 1,000 kwhs and 30.2 cents per kwh for all electricity they consume over 1,000 kwhs.
“That law, which was overridden by the Legislature, allows for the fluctuating rates. We’re only complying with the law. We didn’t create the law. The cost of fuel was allowed by that law to be factored into the rates that we now have,” said the governor.
“The emergency regulations were a function of that law that we promulgated,” he added.