The American Samoa TeleCommunications Authority Board (ASTCA) has reduced the allowable financial transaction limit to a maximum threshold for the ASTCA Chief Executive Officer, Moefauo Bill Emmsley from $50,000 to $9,500. This was among the issues discussed during the ASTCA board meeting last month.

The motion to decrease the spending authority of the CEO was voiced by ASTCA Board Chair, Roy Hall Jr. and this includes the signing of contracts. The motion was seconded by board member George Reid.

In March the ASTCA Board issued an amendment to ASTCA interim by-laws wherein the ASTCA Board delegated signing authority of the CEO for the approval of financial transactions to a maximum threshold not to exceed $50,000 without Board approval. At that time, the amendment said, the purpose was to require internal controls, which would provide assurance that all financial transactions are in compliance with Board approved policies and procedures.

The ASTCA Chairman stated that ‘it was $50k, but there were limitations that required Board review. A new spending authority will be prepared for Board approval that will limit signing authority for leases and land matters, as well as employment contracts. When it has been approved a copy will be provided to the press.”

The ASTCA board also moved to change the check signing policy to two signatures per check, with signatures of CEO, Chairman or Vice Chairman for any checks $5,000 and over.

It further instructed the ASTCA CEO to provide all documents pertaining to the Leone land lease settlement and to explain the $50,000 payment made to To’omata of Leone. ASTCA board member Don Fuimaono confirmed that Gov. Lolo Matalasi Moliga has demanded the ASTCA Board retrieve the $50,000.

It was alleged that Moefauo had handed the money over to a High Chief in Leone — To’omata — over a land dispute settlement, and this has been confirmed by several ASTCA board members.

Last month, the ASTCA board chair confirmed that the board is looking into the To’omata payment. He also said the CEO did not have the authority to enter into this settlement.

“It is my position as Chair that the CEO did not have the authority to enter into a land dispute settlement without Board approval.” However the Chairman said the “CEO will produce all documents related to this action for Board review and a decision will be made on what remedies are available, if found necessary, to recover these funds.”

During the board meeting last month, the CEO was also told to bring all documents pertaining to the Aloau Village Council lease agreement and to explain the advance payment made to Aloau Village Council. In addition, the CEO was told to provide the board with copies of all contracts for contract employees.

OTHER ASTCA NEWS

Also discussed at the June board meeting was the selection of board member Don Fuimaono as travel officer to deal with the board’s travel arrangements. Fuimaono is tasked with this and deals directly with CEO and staff. Fuimaono also reported to the board that John Turbull from O3B was on island and he has since received a payment from ASTCA. He pointed out that Turbull “stated that it was an ASTCA problem as to why O3B was not operational yet.”

There was further discussion on this matter when the CEO was present. Regarding the 03B there are FCC licenses pending for two antennas, and as for the construction of antennas – the first concrete pad has been poured, with the second to be poured soon. The CEO reported that “all permits O.K. No hold up on this issue, and the assembling will take 15- 20 days.”

The ASTCA board also asked the CEO about the Digicel O3b Network, and he explained that “the Digicel contract was for its whole network which is out of Fiji. That is how they can have O3b operating in Samoa.”

Emmsley reported to the board that cash position is at $650,000 and cash flow is in critical position due to accounts receivable, “mainly due to E-Rate and ASG operations”. The E-Rate Program owes ASTCA 1.8 million for years 15 and 16 and DOE has not paid its 10% for year 16. “This is an ongoing problem which is the main reason cash flow is so tight.”

The Board requested from the CEO a list of Accounts Receivable - “Bad Debts”.

In May, the Chairman told Samoa News that E-rate requires that DOE file proper reports to the grantor and these reports have caused the delay in the payments. The chairman told Samoa News in May, “We are receiving payments, but most of the bulk of the outstanding amount owed was passed on from the last administration.”

Another issue discussed in the June meeting was the amending of the ASTCA Organizational Chart to add the position of Deputy CEO/ Head Engineer. Alex Sene Jr. is to take up this position and his new title is Deputy Director for Engineering.

ASTCA Board member George Reid motioned for ASTCA to sign a three-month contract with Phil Love at $2000 per month to handle all Marketing services for ASTCA as per proposal submitted. At that time, the Marketing Manager’s position will be advertised and that Love is also eligible to apply. The motion carried.