[Congressional Record (Bound Edition), Volume 149 (2003), Part 13]
[Extensions of Remarks]
[Page 17948]
[From the U.S. Government Publishing Office, www.gpo.gov]




          INTRODUCTION OF THE COMPACT IMPACT REIMBURSEMENT ACT

                                 ______
                                 

                       HON. MADELEINE Z. BORDALLO

                                of guam

                    in the house of representatives

                         Monday, July 14, 2003

  Ms. BORDALLO. Mr. Speaker, today, along with my colleagues, Mr. 
Abercrombie, Mr. Case, and Mr. Faleomavaega, I am introducing a bill to 
amend the Compact of Free Association Act of 1985 to provide for 
adequate Compact-impact aid and to continue authority for valuable U.S. 
assistance for citizens of the Freely Associated States. Compact-impact 
aid is assistance that has been provided by the Federal Government from 
time to time over the past seventeen years to Guam, the Commonwealth of 
the Northern Mariana Islands, and more recently, the State of Hawaii, 
to mitigate the impact and adverse financial consequences arising from 
immigration permitted under the Compacts of Free Association with the 
Federated States of Micronesia, the Republic of the Marshall Islands, 
and the Republic of Palau. These three island states are all former 
Trust Territories of the United Nations that were administered by the 
United States from 1946 to 1986.
  In 1985, Congress passed legislation affording these islands the 
opportunity to become sovereign states in free association with the 
United States. In enacting the Compact of Free Association Act (Public 
Law 99-239), Congress authorized unrestricted migration from the 
Federated States of Micronesia, the Republic of the Marshall Islands, 
and the Republic of Palau to the United States, including its 
territories. Since the implementation of the Compacts in 1986, many 
citizens of the Freely Associated States (FAS) have availed themselves 
of the immigration provisions and traveled to Guam, the Commonwealth of 
the Northern Mariana Islands, and the State of Hawaii for work and 
residence. These FAS citizens have entered our classrooms, utilized our 
hospitals, and availed themselves of other social services, to a 
significant degree. The General Accounting Office has documented the 
impact of this migration (GAO-02-40). One of the major concerns for 
Guam, the Commonwealth of the Northern Mariana Islands, and the State 
of Hawaii remains the reimbursement of costs incurred by our 
jurisdictions due to the Compacts.
  As Congress prepares to reauthorize the Compacts, we must ensure that 
the issue of Compact-impact is adequately and comprehensively 
addressed. Our bill proposes that more accountable and reliable means 
be utilized on the part of the Federal Government to help Guam, the 
State of Hawaii, the Commonwealth of the Northern Mariana Islands, and 
American Samoa, recoup the costs of providing critical education, 
medical and other social services for citizens of the Freely Associated 
States who migrate to our islands. Our bill proposes to utilize 
Medicaid to reimburse the costs of medical services furnished to FAS 
citizens. Clearly, Medicaid is a preferred option as it is an existing 
means-tested program with its own accountability controls and 
eligibility standards. Our bill would also grant FAS citizens 
eligibility for food stamps. Additionally, our bill proposes to extend 
authority for grants to the governments of the Republic of the Marshall 
Islands, Republic of Palau, Guam, the Commonwealth of the Northern 
Mariana Islands, American Samoa, and the State of Hawaii, to control 
and prevent the spread of communicable diseases. Current law simply 
authorizes this assistance for the Federated States of Micronesia. The 
bill also proposes to extend referral authority for medical facilities 
of the Department of Defense to the Republic of Palau, Guam, the 
Commonwealth of the Northern Mariana Islands, American Samoa, and the 
State of Hawaii. Current law restricts referral authority to the 
Federated States of Micronesia and the Republic of the Marshall 
Islands. Lastly, our bill would make available to the governments of 
the Federated States of Micronesia, the Republic of the Marshall 
Islands, and the Republic of Palau funds needed to pay obligations 
incurred for the use of medical facilities in the United States prior 
to October 1, 2003. Under current law, such authorization applies to 
debt accrued before September 1, 1985.
  The governments of Guam, the Commonwealth of the Northern Mariana 
Islands, and the State of Hawaii, have provided health, educational, 
and other social services to the citizens of these Freely Associated 
States in good faith with the expectation that such incurred costs 
would be reimbursed by the United States Government. We have before us 
an opportunity to address this most important issue within the context 
of the reauthorization of the Compacts of Free Association. It is my 
sincere desire to work with my colleagues to ensure that the provisions 
proposed by this bill are seriously considered in the reauthorization 
process.

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