30 Dec 2005

American Samoa governor vetoes sections of hospital loan bill

5:04 am on 30 December 2005

American Samoa's Governor Togiola Tulafono vetoed 14 sections of the 10 million US dollar loan bill for the LBJ hospital, when he signed the legislation into law this week.

The governor has left unchanged, the list of hospital vendors to be paid with the loan proceeds but has deleted the amounts.

The total of liabilities to be paid with the loan proceeds is eight POINT three million US dollars.

The governor vetoed the section of the bill which states that one POINT seven million US dollars of the loan proceeds ought to be contingent upon the Medical Center cancelling an increase in fees.

Togiola said the board and management had made several sworn statements that the increase in hospital fees was necessary for the hospital to survive into the future.

The governor said that the board had hard enough decisions to make without the legislature pressuring the authority to mortgage its future.