KOROR, Palau (August 4, 2025) — The Ministry of Health and Human Services (MHHS) has submitted its first official progress report on the transition of Belau National Hospital (BNH) management to the newly established BNH Authority, as mandated by Republic of Palau Public Law (RPPL) 11-16. The June 2025 report, transmitted to Senate President Hokkons Baules, outlines foundational steps achieved to date and lays out the path forward for full autonomy of the hospital.
BNH, Palau’s sole hospital located in Meyuns, opened in 1994 and has long faced challenges in maintenance, funding, and evolving health demands. Under RPPL 11-16, enacted in January 2022, governance and operational responsibilities are set to shift from MHHS to an independent BNH Authority within the Executive Branch. The law requires that several preconditions be met before this transition is finalized.
According to the report, the BNH Authority Board is now fully constituted, with all five members confirmed by the Senate as of December 2024. Dr. Gregory Dever serves as Chair, joined by members Sandra Pierantozzi, Dr. Emais Roberts, Berry Moon Watson, and Jason Wells. One of the board’s first actions was to seek legal clarification from the Attorney General, who confirmed in June 2024 that BNH Authority must continue adhering to government personnel and procurement rules.
To meet the five statutory preconditions for the transfer, MHHS and the Authority have started identifying key tasks, including developing a comprehensive transition plan, reviewing necessary legislative amendments, and initiating a feasibility study on funding mechanisms. The Authority has also submitted a proposed budget for FY2026, maintaining current funding levels for administrative continuity.
“The BNH Authority Board, now being fully installed, is now able to move forward with appropriate actions for the BNH governance transition,” Vice President and Minister of Health Raynold B. Oilouch wrote in the report. He noted that although limited progress was made in the early phase following the law’s passage, the current momentum marks a turning point in the transition process.
Among the next steps are the development of internal policies and standard operating procedures, recruitment of a hospital administrator, and the drafting of a comprehensive transition plan. Additionally, a tender process for consultants to conduct the required feasibility study is expected to begin shortly.
An Executive Order is also being drafted to reorganize MHHS to reflect the eventual separation of BNH under its own Authority.
The next progress report is expected in October 2025.