Guam senator proposes pay raises in new budget

Published: Aug. 19, 2013 at 2:41 PM HST
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HAGATNA, Guam (AP) - A Guam senator is proposing the territory change its budget to add millions of dollars in pay raises for government employees.

Pacific Daily News reported Monday that Sen. Ben Pangelinan is proposing to use a combination of funds budgeted for tax refunds and reimbursements for military members who don't pay local income taxes.

A management and consulting firm said in 2010 that Guam needs $13.1 million to pay for increases for about 6,000 government agency employees. Government-wide, the amount increases to about $18.6 million.

Gov. Eddie Calvo told lawmakers last week to include funding for pay increases.

Pangelinan is chairman of the territorial Legislature's finance committee. It's unclear how much his proposal will cost.

Calvo rescinded a plan for the increases in 2011, saying the government couldn't afford it.

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