(Koror, Palau) The House of Delegates passed their final version of the Fiscal Year (FY) 2024 Supplemental Budget bill, which includes significant policy revisions.
President Surangel Whipps initially submitted the budget proposal with various policy changes, particularly regarding social programs. However, the House version added several key modifications.
One key change involves sharing 50% of specific tax revenue with Palau’s states. Additionally, the Ministry of Human Resources, Culture and Tourism will now manage funding for the Micronesian Games and Pacific Games, a shift from the Palau National Olympics Committee.
The legislation also amends Title 9 of the National Code of Palau (1 PNC). This amendment exempts “documents, records, correspondence, and similar materials” related to the pending Saudi Development Fund loan from the Open Government Act. Furthermore, if approved by the Senate (Olbiil Era Kelulau), any transactions with the Saudi Development Fund would be exempt from “all taxes, fees, and other official costs.”
Finally, the proposed amendment grants diplomatic immunity to representatives from the Saudi Development Fund arriving in Palau for loan-related activities.
Currently, this House resolution awaits Senate approval. The resolution authorizes the President or his designee to secure a loan from the Saudi Development Fund, subject to the House-proposed modifications.