The Puerto Rico Oversight Board on Wednesday again postponed the deadline for Puerto Rico government’s submission of fiscal plans for Puerto Rico’s government, electric authority, and water and sewer authority.
The board, which had approved 10-year plans for each entity in the spring, decided that Hurricane Maria’s devastation required revised plans. Originally, the board said the revised plans should be submitted on Dec. 22. The government then asked for and was granted more time, extending the deadline to Jan. 10.
According to a letter from Oversight Board chairman José Carrión III to Gov. Ricardo Rosselló, the governor requested an extension for the Puerto Rico Electric Power Authority plan to Jan. 24 and the board agreed to it.
The 10-year plan approved in March by the Puerto Rico Oversight Board for the commonwealth government and closely related authorities projected enough money to pay off 24% of the debt due. Some observers are projecting that the board will approve fiscal plans making no money available for debt service for the central government's $51.5 billion of bond debt.
Board members “believe the submission of the commonwealth and Puerto Rico Aqueduct and Sewer Authority (‘PRASA’) fiscal plans should be similarly delayed to January 24, 2018 to ensure alignment of the assumptions and plans,” Carrión wrote.
The chairman clarified that it is not changing the deadlines for the other fiscal plans that the board expects. The board is asking that new versions of the fiscal plans for the University of Puerto Rico, Highways and Transportation Authority, Government Development Bank for Puerto Rico, and Public Corporation for the Supervision and Insurance of Cooperatives (COSSEC) be submitted on March 9.
On Wednesday morning Rosselló tweeted that his government was prepared to submit the fiscal plan that day. The board has sought the new versions of the fiscal plans to be five years in duration.