Pago Pago, AMERICAN SAMOA — The American Samoa Power Authority (ASPA) experienced a significant increase in total assets, amounting to $34.6 million in fiscal year 2025. 

This is outlined in the ASPA audit report for FY 2025, released on January 27, 2026. 

The growth was primarily driven by a substantial $34.9 million increase in utility plant assets, which are crucial for delivering services to customers. In comparison, the previous fiscal year, 2024, saw a total asset increase of $25.1 million, mainly due to a $27.3 million increase in utility plant assets and a $4.8 million rise in unrestricted current assets, underscoring the authority's ongoing investment in infrastructure.

However, despite these asset increases, local net operating revenues declined by $6 million in 2025. This reduction was largely due to a 9% decrease in revenue from the electrical fuel surcharge, amounting to $5.7 million. 

According to the ASPA report, fiscal year 2024 saw a modest $443,000 increase in local net operating revenues compared to fiscal year 2023. This growth was driven primarily by a 2% increase in fuel surcharge revenue, underscoring the importance of fuel pricing in the overall revenue structure.

ASPA's overall local operating expenses also decreased by $6 million in 2025. This decline was mainly due to a $6.8 million reduction in fuel and lubrication oil expenses, which are significant components of operating costs. In fiscal year 2024, local operating expenses increased by $1.05 million compared to fiscal year 2023. That increase was primarily due to rising fuel and lubrication oil costs, as well as higher interest payments and power production expenses, indicating a variable cost structure heavily influenced by energy market fluctuations.

Furthermore, the financial report noted that, for fiscal year 2025, net operating income before capital grants increased to $1.4 million, up $200,000 from $1.2 million in 2024. This improvement was attributed to cost efficiencies, particularly the reduction in fuel and net pension expenses. In comparison, net operating income before capital grants for 2024 was notably lower than in 2023, when it reached $2 million. The significant surplus in fiscal year 2023 was driven by a substantial decrease in net pension expenses, along with a slight decline in general and administrative costs.

For the fiscal year ending September 30, 2025, federal capital grants totaling $38 million were recorded, funding a series of critical projects managed by ASPA. These grants were sourced from various government agencies, including the United States Environmental Protection Agency (USEPA), the Department of the Interior (DOI), and initiatives under the American Rescue Plan Act (ARPA), highlighting the reliance on federal support for infrastructure development and modernization.

On the asset side, unrestricted current assets decreased by $791,000, reflecting declines in cash, cash equivalents, and certificates of deposit, which are short-term financial instruments. In contrast, restricted current assets, which include federal grant receivables and deposits into the employee supplementary income plan, increased by $447,000 due to an increase in certificates of deposit. 

The utility plant remained the most substantial asset, accounting for an impressive 88% of total assets and deferred outflows of resources. These capital assets are vital to delivering services to customers and are earmarked for operational use, not available for immediate spending or liability settlement.

Current liabilities, which represent debts payable within 1 year, yielded a fiscal year 2025 Current Ratio of 3.92, up from 2.69 in fiscal year 2024. This ratio is calculated as unrestricted assets divided by current liabilities. The fiscal year also observed a notable $4 million decrease in current liabilities, attributable to a $3.8 million reduction in notes payable, a $29,000 decrease in accounts payable, and a $361,000 reduction in compensated absences. As a result, ASPA's net position increased to $317 million in fiscal year 2025, compared to $277 million in fiscal year 2024, demonstrating a strong financial foundation.

In fiscal year 2024, unrestricted current assets declined by $4.8 million. The decrease was primarily attributed to reductions in cash, cash equivalents, and certificates of deposit. Conversely, restricted current assets, which included federal grant receivables and deposits into the employee supplementary income plan, increased by $2.6 million, driven by a rise in federal grant receivables. 

The utility plant remained the largest asset, accounting for 86% of total assets and deferred outflows of resources, underscoring its significance in service delivery. As noted previously, these capital assets are utilized exclusively to provide services to customers and cannot be redirected for future expenditures or to settle obligations.

According to the ASPA report, current liabilities, due within one year, resulted in a Current Ratio of 2.69 for fiscal year 2024, down from 4.34 in fiscal year 2023. The increase in current liabilities of $3.6 million was mostly due to a $2.4 million rise in notes payable and a $2.0 million increase in accounts payable, partially offset by a $419,000 decrease in accrued accounts payable. As a result, ASPA's net position rose to $277 million in fiscal year 2024, compared to $255 million in fiscal year 2023, reflecting ongoing financial growth and stability.