Over $180 million left of the $200 million in American Rescue Plan Act (ARPA) funds approved for the new specialized hospital, that was to be built at Tafuna, has been reprogrammed.
Tuala-uta Representative Larry Sanitoa, on Tuesday, queried what has happened to this funding after learning that the money has been re-allocated.
He followed up with an email to the former Executive Director of the ASG ARPA Oversight Office, Keith Gebauer. Gebauer said as he was no longer the head of the ARPA Oversight Office, he was referring the faipule to Acting Executive Director Ms. Charlene Faalevao, to provide details of the reallocation of the funds.
But he did provide information on what has transpired.
He explained that about $186.5 million was reprogrammed to existing sub-recipients “as this was the most effective way to ensure the funds remain available to the incoming administration and satisfies the deadline of December 31, 2024,” for all ARPA funds to be obligated.
The final re-allocation list was approved by then-Governor Lemanu Peleti Mauga on December 27, and the necessary paper work was routed to ensure all obligation requirements were satisfied.
Gebauer pointed out that the sub-recipients were selected to provide the incoming administration maximum flexibility for the use of the funds, based on other urgent needs of the territory that can be addressed through the sub-recipients projects and programs; and with the expectation that the funds can be spent by the expenditure deadline of December 31, 2026.
The ARPA Oversight Office is currently conducting status meetings will all the sub-recipients and clarifying their responsibilities to submit proposals for the funding. A quarterly report is due on January 31, which is critical to meeting the requirement for funds to be obligated,
Rep. Sanitoa had asked how much has been spent on the new hospital project. Gebauer said the architectural design awarded to Architects Hawaii Limited was about $12.9 million. The award was made by the LBJ Hospital, which was then in charge of the project before the former Governor assigned the oversight of the project to the Department of Health. “The final invoices are being reviewed ad routed for final payment.”
Gebauer explained that the designs for the 36-room hospital have been completed, and the Steering and Management Committee was in final negotiations before the decision to suspend the project was made.
Approximately $240,000 was paid to PIOA Consulting Inc. as the Project and Construction Manager.
In his response to Rep. Sanitoa, Gebauer reported that there’s about $400 million of ARPA funds available for American Samoa to be used before the expenditure deadline of December 31, 2026. “Each sub-recipient is in different stages of their programs and projects.” Healthcare related projects account for nearly $340 million.
Rep. Sanitoa has asked the Acting Director of the ARPA Oversight Office to provide a list of the sub-recipients who received the reallocated funding, and the amounts they were awarded.
Rep. Faimealelei Anthony Allen said, on the House floor, on Tuesday, that LBJ Hospital received $30 million of this money.
As readers would recall, a committee that was initially set up of mostly health professionals had recommended that the $200 million allocated for the new hospital be used, instead, to improve the LBJ Hospital. However, the former Governor insisted the new facility was needed to provide specialized care that cannot be provided at the LBJ Hospital, and to reduce the need for elderly residents and veterans to seek treatment off-island.
