Senators heard testimony Monday on a number of bills that would deliver more money to Guam Memorial Hospital.
Bill 3-38 would add a 20% excise tax on vaping products, or electronic nicotine delivery systems, sold on Guam. The bill would also implement new license fees for retailers and wholesalers and fines for businesses that are not in compliance.
Most of the money collected, 60%, would go to Guam Memorial Hospital. Some 30% would go to the Department of Revenue and Taxation to assist with enforcement, and 10% would go to tobacco and vaping education and cessation programs.
Rev and Tax Director Marie Lizama said governments are trying “to determine how to best classify and tax these products,” and the bill was taking the first step toward finding a solution for Guam.
The bill was introduced by Sen. Joe S. San Agustin. He said the governor vetoed a similar bill he introduced in the previous legislature.
Bill 187-38 would appropriate $32 million from bond refunding savings, and Bill 188-38 would give $19.7 million from debt service savings to the hospital.
Testifying in support of increased funding, GMH interim CEO Joleen Aguon said the hospital was built in another era, and repairs are essential.
“The roof has exceeded its lifespan. The Z-wing is unsafe and must be demolished. The electrical and fire protection systems are outdated and place patients and staff at risk,” she said. “These are not cosmetic repairs. These are life safety issues, and every day we delay we risk compounding that danger.”
