25 Jul 2018

Guam fire stations plan partial shutdown over funding shortfall

4:33 pm on 25 July 2018

Some of Guam's fire stations could be closed as the territory's government tries to cope with a shortage of funds.

Guam is looking at a plan which would include standing down some of its workers.

Guam

Guam Photo: Supplied

The Guam government is working on a plan to shut some of its operations to address an estimated $US145 million shortfall in revenue for the 2019 financial year.

The governor's office said the Department of Administration is working on a plan to temporarily relieve staff.

Government regulations require that employees first receive a 90-day notice before such a move.

The Pacific Daily News reports agency heads told senators earlier this month that a 32-hour work week is inevitable, along with laying off employees and reducing operations.

The estimated budget shortfall comes as a result of federal tax reform, including the repeal of a sales tax.

In March lawmakers approved a two percent sales tax to generate $US120 million a year, but senators later repealed it.

The Fire Department is now considering shutting down two fire stations, a rescue unit and an advance life support unit.

Government agencies had until this week to resubmit an action plan.

Those plans include reduced work hours for police officers and firefighters, reduced election-related services on an election year, reduced personnel at the Department of Revenue and Taxation, as well as the cancellation of a maintenance contract for park restrooms.

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