Media Release
U.S. Delivers $3 Million Infrastructure Maintenance Grant to the FSM
August 8, 2008
The United States Government has awarded an innovative Public Infrastructure Sector Grant of US $3 million to the FSM to be administered by Chuuk, Kosrae, Pohnpei and Yap State Governments in the amount of $750,000 for each state. This grant funding may only be used for projects directly related to the:
- Construction, repair, renovation, or rehabilitation of education and health facilities;
- Provision of potable water to education and health facilities; and
- Public safety
At a special ceremony in the FSM President’s Conference Room on August 8, Secretary of Foreign Affairs Lorin Robert confirmed acceptance of this grant award. Under the terms of the grant, within 30 days each state government must provide a prioritized list that describes their proposed projects. The FSM National and State Governments worked together in close partnership with the United States Embassy and the U.S. Department of the Interior to propose and secure Compact funding for this purpose.
Ambassador Hughes described this new form of Compact assistance as an effort to “direct aid flexibly and responsibly at the grass roots level.” She said, “The states and municipalities are excited.” The Ambassador encouraged the states to use local contractors and employ local labor for these prioritized projects. No matching funds are required.
Secretary Robert praised “the spirit of partnership embodied in the mere availability of this funding.” He described this type of aid delivery as “a positive indication that the implementation of the Amended Compact can be flexible in addressing the special needs and circumstances of the FSM States.” He concluded, “I believe there will be times and situations that will compel both sides to be creative and innovative in pursuing our mutual goals while maintaining the spirit, objective and dignity of the Compact.”
Ambassador Hughes reassured the Micronesians that, “The American Government is prepared to think beyond standardized approaches, if necessary, in order to help you meet the needs of your people.” Vice President Alik, joined by other members of the FSM Cabinet, Governor Ehsa and his Chief of Staff, offered a champagne toast to the spirit of partnership embodied in the new aid delivery mechanism.