The CNMI government will implement austerity measures following a significant drop in projected revenue for fiscal year 2026, Gov. David M. Apatang announced Monday.
The administration initially proposed a $179 million budget but has since revised the spending plan to $156 million, citing economic challenges and reduced revenue forecasts.
“We’re planning for the worst-case scenario,” Apatang said. “Even our people can understand that, you know, we have to cut — we don’t have the money. So we just have to work together and see what we can do to come up with some additional funding somewhere, and hopefully we can get the loan from Marianas Public Land Trust.”
Austerity measures under consideration include reducing pay periods to 64 hours instead of 80, furloughs, and a reduction in force.
Apatang said the administration reassessed the budget to provide a more accurate picture of the government’s financial position.
Finance Secretary Tracy B. Norita attributed the $22.9 million revenue drop to declining tourist arrivals, reduced airline services, and slowing tax collections.
Apatang was joined at the press conference by NMI Delegate Kimberlyn King-Hinds, Lt. Gov. Dennis James Mendiola, Norita, Special Assistant for Management and Budget Vicky Villagomez, and several lawmakers.
