Prior Service Trust Fund of Micronesia receives $1.6 million from U.S.
Government

After a series of meetings this week with the U.S Interior Department officials led by Deputy Assistant Secretary, David Cohen, the Prior Service Trust Fund received a $1.6 million grant from a $2 million US Congress Technical Assistance appropriation earmarked for Prior Service and other high priority projects for fiscal year 2004. The Prior Service Trust Fund compensates citizens of the FSM, Marshall Islands, CNMI and Palau who worked in excess of 5 years for the US Department of Navy and the U.S. Trust Territory of the Pacific Islands for the period of 1944 through June 30, 1968. Many Micronesians bravely participated as scouts during the WWII Pacific campaign while working for as little as 9 cents an hour, and many dedicated Micronesians worked for the US government in operating the Trust Territory government before 1968. There are over 4,100 certified members in the Prior Service program of which 3,100 remain active.

Participating in the meetings on behalf of Prior Service were Chairman of the PSTF Board, Jack Niedenthal, PSTF Administrator Jerry Facey, Ambassador from the Republic of the Marshall Islands, Banny Debrum, Ambassador from the Republic of Palau, Hersey Kyota and Frank Soloman. At the meeting RMI Ambassador Debrum presented a letter from RMI President Kessai Note urging the Interior Department to support the request for Prior Service funding.

Before this current appropriation the fund was on the verge of bankruptcy. The new funding will be used to begin bringing the beneficiary payments up to date, continue future payments, and also to implement a plan to decentralize the Prior Service Trust Fund. The future of the Prior Service program remains in doubt, however, the Board and the Administration will continue to seek a final, long term funding solution.

This is the largest single year appropriation for Prior Service since 1986 when the fund received $8 million. Over the past three years the fund received approximately $2 million in other Congressional appropriations.