Guam Bond Information
Guam Bond Information
Per Guam Code Annotated (GCA) Title 12, Section 50103(k), the Guam Economic Development Authority (“GEDA”) serves as the central financial manager and consultant for the Government of Guam (“Government”) and those agencies or instrumentalities of the Government requiring financial guidance and assistance.
Such technical assistance by GEDA includes, but is not limited to, obtaining funds through bonds or other obligations, structuring such bond issuances, preparation and dissemination of financial and investment information, including bond prospectuses, development of interest among investment bankers and bond brokers, maintenance of relationships with bond rating agencies and brokerage houses and, generally, acting as the centralized and exclusive financial planner and investment banker for all the agencies and instrumentality’s of the Government.
CURRENT RATINGS AND OUTSTANDING DEBT
PROMESA
- On June 30, 2016, the President signed into law the Puerto Rico Oversight, Management, and Economic Stability Act (“PROMESA”)
- PROMESA establishes a financial oversight and management board for Puerto Rico only
- PROMESA defines a “territory” as (A) Puerto Rico, (B) Guam, (C) American Samoa, (D) the Commonwealth of the Northern Mariana Islands, and (E) the United States Virgin Islands
- The stated purpose of an oversight board is to “provide a method for a covered territory to achieve fiscal responsibility and access to the capital markets” (at Present, only Puerto Rico is a covered territory)
- An earlier version of the Congressional bill that became PROMESA included text providing that, except with respect to Puerto Rico, an oversight board “for a territory is established in accordance with this section only if the Legislature of the territory adopts a resolution signed by the Governor requesting the establishment”
- That provision is not included in the final enacted version of PROMESA
Action by Congress and the President would be required before an oversight board could be established for any territory other than Puerto Rico.
Economic Development Projects
Recently completed projects demonstrate diverse economic development and provide a solid foundation for sustained economic growth.
Update on Marine Relocation & DoD Projects
The signing of the Record of Decision (ROD) in August 2015 for the Marine relocation began the process for significant additional military investment in Guam.
