5 Sep 2013

American Samoa Govt faces 10 million US dollar deficit

10:15 am on 5 September 2013

Independent auditors say the American Samoa Government's deficit in the last fiscal year increased to 10 million US dollars due to a bail-out for the government owned LBJ Medical Centre, which is facing financial woes.

A Seattle-based independent firm, Moss Adams LLP audited the American Samoa government's Financial Statements for fiscal year 2012 that ended on September 30th last year.

During fiscal year 2012, the auditors say the territorial government faced some financial speed-bumps such as the LBJ Medical Centre's ongoing struggle to deal with an unsustainable cost structure.

The auditors say this resulted in emergency legislation to provide 3 million US dollars to the hospital from the government.