PROMESA

The governor asked the high court to review a ruling that gave the board broad power to overturn laws it deems inconsistent with the island's fiscal health.

Analysts say the PROMESA bankruptcy law is more creditor friendly than how the judge in the PREPA case interprets it.

The ruling may open the way for approval of a payout to bondholders as small as 0.21%.

A magistrate told PREPA bondholders and Oversight Board to continue negotiations for at least another 13 days.

Holders of COFINA subordinate bonds are seeking compensation from the U.S. government, claiming their property was taken without just compensation.

The ruling could set a precedent for the board's control over local government policies affecting the economy.

Judge Swain will approve the disclosure statement and sent the parties back to mediation.

The bond trustee has said treating bondholders differently violates the bond's trust agreement and makes the plan of adjustment unconfirmable.

The federal government has set aside $12 billion to help rebuild Puerto Rico's grid. If used effectively to rebuild a greener and more resilient grid, this federal lifeline can be a substantial downpayment toward affordable, reliable, cleaner energy for Puerto Ricans.

While the FAFAA backed the board's discovery timeline, bondholders argue the board is trying to "run out the clock."

It says the plan of adjustment can treat bonds of National Public Finance Guarantee differently and let National vote in a different class.

The proposed plan's superior treatment of National Public Finance Guarantee-insured bonds is discriminatory and thus illegal, they allege.

"The board's arguments are bad for the future of infrastructure financing in the United States," Oversight Board member Justin Peterson said.

The board says the Ad Hoc Group of PREPA bondholders wrongly focused on "confirmation" issues in their attack on the board's proposed disclosure.

Low income residents of Puerto Rico won't be charged the proposed monthly fees the Oversight Board said.

The Oversight Board and the other PREPA parties are attempting to create precedent that frontally attacks not only PREPA bondholders and their insurers but also municipal revenue bond finance and basic bankruptcy jurisprudence.

Complaints include assertions the plan is unconfirmable and that it fails to offer necessary information.

"This settlement offer allows you to settle for payment in the form of new bonds of approximately half your claims," the Puerto Rico Oversight Board said.

They also came in 14% higher than those of December 2021.

The Puerto Rico Oversight Board says PREPA electric demand will decline 50% by 2051.