Chapter 7

5 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 1 CHAPTER 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING § 7101. Legislative Intent. § 7102. Standards Established for Handling Money. § 7103. Taxpayer Standing to Sue. § 7104. Plaintiff’s Bond. § 7105. Government may Intervene. § 7106. Minimum Amount of Suit. § 7107. Entities Included within Scope of Chapter. § 7108. Limitation on Actions. § 7109. Who May Collect Judgment. § 7110. Limits on Garnishment. § 7111. Representation of Individual Defendants. § 7112. Award of Attorney’s Fees. § 7113. Claims Act Not Applicable. § 7114. Failure to Bond not a Defense. § 7115. Legislative Counsel May Represent Senators As Plaintiffs. § 7116. Expedited Schedule of Discovery. § 7117. Chapter Prospective Only. § 7118. Lobbying Permitted. § 7119. Lobbying Prohibited. § 7101. Legislative Intent. It is the intent of the Legislature that the gover nment of Guam practice fiscal responsibility, and that the person s who spend the taxpayer’s money follow the mandates of law in expe nding government funds. Historically, there have been many instances of government officials in the government of Guam spending and ob ligating money

xpayer’s money follow the mandates of law in expe nding government funds. Historically, there have been many instances of government officials in the government of Guam spending and ob ligating money without appropriation or contrary to law. Since the Attorney General is the only officer empowered to bring court actions t o control such illegal spending and the only officer who can represent the government in recovering such money, and since the Attorney Gener al is an appointed member of the Governor’s cabinet, laws relating to improper spending of funds by the Executive Branch have generally not be en enforced, and in some instances been openly ignored. SOURCE: GC § 6280(a) added by P.L. 18-09. § 7102. Standards Established for Handling Money. COL2220175 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 2 Any officer, agent, contractor, or employee of the Executive Branch of the government of Guam who is charged with or as sumes responsibility for the certification of availabilit y of funds or the spending of money belonging to the territory of Guam, includ ing the Governor and Lt.

ent of Guam who is charged with or as sumes responsibility for the certification of availabilit y of funds or the spending of money belonging to the territory of Guam, includ ing the Governor and Lt. Governor of Guam, stands in a fiduciary relatio nship to the people of Guam in regard to the management of public money. A ny such officer, agent, contractor, or employee of the Executive Bra nch shall discharge their duties with respect to the management of publ ic money solely in the interest of the people of the territory of Guam. An y such officer, agent, contractor, or employee shall discharge his duties with the care, skill, prudence and diligence under the circumstances then prevailing that a prudent person acting in like capacity and familiar with such matters would use in the conduct of an enterprise of like c haracter and with like aims. SOURCE: GC § 6280(b) added by P.L. 18-09. § 7103. Taxpayer Standing to Sue. Any taxpayer who is a resident of Guam shall have standing to sue the government of Guam and any officer, agent, cont ractor, or employee of the Executive Branch of the government of Guam f or the purpose of enjoining any officer, agent, contractor, or employ ee of

the government of Guam and any officer, agent, cont ractor, or employee of the Executive Branch of the government of Guam f or the purpose of enjoining any officer, agent, contractor, or employ ee of the Executive Branch of the government of Guam from expending mon ey without proper appropriation, without proper authority, ill egally, or contrary to law, and to obtain a personal judgment in the court s of Guam against such officers, agents, contractors, or employees of the government of Guam and in favor of the Government of Guam for the return to the Government of Guam of any money which has been expe nded without proper appropriation, without proper authority, ill egally, or contrary to law. For purposes of this Chapter, the Governor and Lt. Governor of Guam are officers of the government of Guam, and ar e included within the scope of this Chapter. SOURCE: GC § 6280(c) added by P.L. 18-9. § 7104. Plaintiff’s Bond. In the event of any action brought under this Chap ter by a taxpayer and resident of Guam against the government of Guam or any of the officers, contractors, or employees of the governme nt of Guam, the court may require that a bond be posted by the Plaintiff in an

er and resident of Guam against the government of Guam or any of the officers, contractors, or employees of the governme nt of Guam, the court may require that a bond be posted by the Plaintiff in an amount not less than $25 nor more than $100. COL2220175 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 3 SOURCE: GC § 6280(d) added by P.L. 18-9. § 7105. Government May Intervene. The government of Guam, through the Attorney Gener al, shall be entitled as a matter of right, to intervene in any suit brought under this Section. SOURCE: GC § 6280(e) added by P.L. 18-9. § 7106. Minimum Amount of Suit. No suit may be brought under this Chapter unless t he cumulative amount of illegal expenditures alleged, both past a nd future, are equal to or exceed $1,000. SOURCE: GC § 6280(f) added by P.L. 18-9. § 7107. Entities Included within Scope of Chapter. As used in this Chapter, the government of Guam in cludes but is not limited to the Governor; the Lt. Governor; Office o f the Governor; Government House; line agencies, bureaus, and depar tments of the government of Guam; autonomous boards, agencies and authorities of the government of Guam; the Guam Visitors’ Bureau

f the Governor; Government House; line agencies, bureaus, and depar tments of the government of Guam; autonomous boards, agencies and authorities of the government of Guam; the Guam Visitors’ Bureau t o the extent that funds contributed or appropriated by the government of Guam are involved; and any other instrumentality, agency, bu reau, or department of the government of Guam. SOURCE: GC § 6280(g) added by P.L. 18-9. § 7108. Limitation on Actions. There shall be a five year statute of limitations upon any action brought under this Chapter. Once judgment is obtain ed, there shall be no statute of limitations upon the collection of any j udgment obtained against any officer, employee, contractor, or agent of the government of Guam under this Chapter. SOURCE: GC § 6280(h) added by P.L. 18-9. § 7109. Who May Collect Judgment. The Attorney General shall take all steps necessar y to collect any judgment obtained under this Chapter. If no collect ion on such judgment is made by the Attorney General within six months o f the date of the judgment, then the taxpayer and resident who origin ally obtained the judgment shall have standing to pursue execution an d collection on the

he Attorney General within six months o f the date of the judgment, then the taxpayer and resident who origin ally obtained the judgment shall have standing to pursue execution an d collection on the COL2220175 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 4 judgment on behalf of the government of Guam, under the supervision of the Superior Court. SOURCE: GC § 6280(i) added by P.L. 18-9. § 7110. Limits on Garnishment. One half of any salary or remuneration due to any agent, officer, contractor, or employee of the government of Guam w ho has a judgment against him pursuant to this statute shall be deduc ted from any pay or other sums due such individual, until the judgment obtained under this Chapter is fully paid. If any federal law prohibits the deduction as herein mandated, then the deduction shall be such lesser a mount as allowed by federal law. SOURCE: GC § 6280(j) added by P.L. 18-9. § 7111. Representation of Individual Defendants. The Attorney General’s Office or the legal counsel for the government of Guam entity for whom an individual de fendant works may represent individual defendants in any action b rought under this Chapter.

Attorney General’s Office or the legal counsel for the government of Guam entity for whom an individual de fendant works may represent individual defendants in any action b rought under this Chapter. In the event that individual defendants wh o are officers, agents, contractors, or employees of the government of Guam have private counsel, and are later exonerated of any wrongdoing , then, and in that event, the government of Guam, or the financially a utonomous government of Guam entity for which the officer or employee works, shall reimburse the defendants for their legal fees . SOURCE: GC § 6280(k) added by P.L. 18-9. § 7112. Award of Attorney’s Fees. The court shall award reasonable costs and attorne y’s fees in favor of the taxpayer and resident who brings suit under this Chapter, against any defendants found liable under this Chapter. SOURCE: GC § 6280(l) added by P.L. 18-9. § 7113. Claims Act Not Applicable. Compliance with the government of Guam Claims Act [Chapter 6 of this Title] shall not be required as a prerequis ite for suit under this Chapter. SOURCE: GC § 6280(m) added by P.L. 18-9. § 7114. Failure to Bond not a Defense. COL2220175 GCA G OVERNMENT OPERATIONS CH.

Title] shall not be required as a prerequis ite for suit under this Chapter. SOURCE: GC § 6280(m) added by P.L. 18-9. § 7114. Failure to Bond not a Defense. COL2220175 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 5 The failure of the government of Guam to bond its employees, agents, contractors, or officers, shall not be a de fense in any action brought under this Chapter. SOURCE: GC § 6280(n) added by P.L. 18-9. § 7115. Standing; Legislative Counsel May Represent Senators and the Guam Legislature as Plaintiffs. The Senators and the Guam Legislature shall have s tanding to sue under this Chapter. The Legislative Counsel, or Ass istant Legislative Counsel, may, as a part of his or her duties for th e Guam Legislature, represent members of the Guam Legislature or the Gu am Legislature, or both, in bringing suit under this Chapter, provided that in such cases, attorney =s fees will not be allowed. SOURCE: Repealed and reenacted by P.L. 24-143:25. § 7116. Expedited Schedule of Discovery. At the first hearing before the Superior Court in any action brought under this Chapter, the court may order an expedite d schedule of discovery and pleading, and an

Expedited Schedule of Discovery. At the first hearing before the Superior Court in any action brought under this Chapter, the court may order an expedite d schedule of discovery and pleading, and an expedited schedule a nd trial date for the case, if requested by any party. SOURCE: GC § 6280(p) added by P.L. 18-9. § 7117. Chapter Prospective Only. No action may be brought under this Chapter except for expenditures made after the effective date of this Act [July 8, 1985]. SOURCE: GC § 6280(q) added by P.L. 18-9. § 7118. Lobbying Permittted. (a) Authorization. I Maga’lahen Guåhan is authorized to procure the services of a lobbyist, provided he expends no more than One Million Dollars ($1,000,000) within any given fisca l year from the annual operating budget appropriated to the Office of the Governor. I Maga’lahen Guåhan is further authorized to hire as many lobbyist as may be necessary in order to meet the mandates of t his Chapter, provided that the aggregate amount of all such contracts pur suant to this authorization does not exceed One Million Dollars ($1,000,000) in any one fiscal year.

o meet the mandates of t his Chapter, provided that the aggregate amount of all such contracts pur suant to this authorization does not exceed One Million Dollars ($1,000,000) in any one fiscal year. I Maga’lahen Guåhan shall not transfer funds into the Office of the Governor’s budget in order to pay for such contracts. COL2220175 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 6 (b) Scope of Work. Any lobbying contracts entered into by I Maga’lahen Guåhan , on behalf of the people of Guam, and any individual, individuals, firm or firms contracted a s lobbyist shall be limited to the following areas: (1) The impending Military Buildup; (2) Immigration policies and controls, including vi sa waiver programs for China and the Philippines; (3) Compact Impact Reimbursement; (4) Section 30 funding; (5) Veteran’s Issues; (6) War reparations; (7) Political status; (8) Chamorro self-determination; (9) Return of ancestral lands; (10) Cleanup of environmental hazards; (11) Investigation of serious health problems possi bly related to federal activity; (12) Mass transit and public transportation; (13) Utilities and telecommunications; (14) Public education

hazards; (11) Investigation of serious health problems possi bly related to federal activity; (12) Mass transit and public transportation; (13) Utilities and telecommunications; (14) Public education (Department of Education, Gua m Community College and the University of Guam); (15) Public health; (16) Public safety and homeland security; (17) Protecting the environment; and (18) Economic development. (c) Team Guam Approach. [Repealed.] SOURCE: Added by P.L. 27-29:V:27. Repealed and reenacted by P.L. 29- 113:VI:28 (Sept. 30, 2008). Subsection (c) repealed by P.L. 33-066:XII:37(b) (Sept. 5, 2015). COL2220175 GCA G OVERNMENT OPERATIONS CH. 7 ENFORCEMENT OF PROPER GOVERNMENT SPENDING 7 2016 NOTE: With regard to the repeal of subsection (c), P.L. 33-066:XII:37(a) stated the following: (a) Legislative Intent. On 21 February 2012, I Maga’låhen Guåhan issued Executive Order 2012-06, establishing the Gu am First Advisory Commission. On 16 February 2015, I Maga’låhen Guåhan issued Executive Order 2015-06, superseding his previous executive o rder and expanding the powers of the Guam First Advisory Commission.

Advisory Commission. On 16 February 2015, I Maga’låhen Guåhan issued Executive Order 2015-06, superseding his previous executive o rder and expanding the powers of the Guam First Advisory Commission. The powers of the Guam First Advisory Commission include advising I Maga’låhi , pursuant to a One Voice approach, in all dealings with the U.S. Congr ess and the Department of Defense relative to the Guam buildup and relations with the Armed Forces, on the Compacts of Free Association, and on additio nal federal and local issues that are of significant concern to the peopl e and the Island. Since its formation, the Guam First Advisory Commis sion has met on several occasions to deliberate issues and advise t he Governor. I Liheslatura finds that the spirit and intent of 5 GCA §7118(c) is satisfied by Executive Orders 2012-06 and 2015-06. 2009 NOTE: P.L. 28-045:10 (June 6, 2005) changed the name of the Department of Education to the Guam Public School System. P.L . 30-050:2 (July 14, 2009) reverted the name of the Guam Public School System to the Department of Education. § 7119. Lobbying Prohibited.

epartment of Education to the Guam Public School System. P.L . 30-050:2 (July 14, 2009) reverted the name of the Guam Public School System to the Department of Education. § 7119. Lobbying Prohibited. No government or public funds of any nature shall be expended in support of any lobbyist, unless specifically author ized by law. This Section shall apply to all line agencies, all auton omous agencies, and public corporations. No government officer or empl oyee may accept the services of a lobbyist on a volunteer basis. SOURCE: Added by P.L. 29-113:VI:27 (Sept. 30, 2008). . ---------- COL222017