Before fiscal 2025 drew to a close, officials at the Department of Revenue and Taxation were looking to renew a contract with the vendor that operates digital services for the agency.
Director Marie Lizama said Rev and Tax was confronted with a new fee structure that was significantly higher than the previous contract.
During an oversight hearing Monday, Lizama said the cost of renewal was between 50 percent and 80 percent higher than previous rates, and there were complications with Guam procurement laws.
Now, during the height of tax season, online services have been suspended, as have driver licenses and ID processing, business privilege tax payments and most income tax services.
Sen. Telo Taitague said the situation should have been resolved before now.
“I’m very, very concerned with being held hostage, from a vendor, you know, regarding the online services.” Taitague said. “And I say, ‘held hostage,’ because of this. But then, Rev and Tax dropped the ball – last year.”
Lizama expects a resolution soon, but senators, including Speaker Frank Blas Jr., questioned how much money the shutdown is costing the government of Guam.
Lizama said assessments are ongoing.
Online services were suspended on March 21.
Before the shutdown, there was a delay in getting out 2025 property tax bills, which were sent to property owners last week.
Because of the delay, owners will have until Dec. 31 to submit their payments.
