PROMESA

A few weeks ago, I attended the commencement ceremony of the University of Puerto Rico’s Río Piedras campus. One figure was omnipresent throughout the ceremony: the federally appointed Fiscal Control Board, whose enabling federal law, PROMESA, recently marked its 10th anniversary.

The university has not updated its fiscal plan since 2021. After missing this year’s March 24 deadline, it received an extension from the FOMB, but the May 1 final approval date remains unchanged.

The Financial Oversight and Management Board (FOMB) — imposed by the federal government to enforce fiscal discipline over the Puerto Rico government and its agencies — has gone a year without publishing some of its members’ financial disclosure reports, as required by the federal PROMESA law. The board also has not published the financial disclosures of Gov. Jenniffer González, who is subject to the requirement as an ex officio, nonvoting member of the board.

In his second term, U.S. President Donald Trump and the Make America Great Again movement have decided to leave their mark on the entity created by the federal PROMESA Act. Once again, the debt of the Puerto Rico Electric Power Authority and the reconstruction of the power grid are treated as the spoils of war.

Far from seeking its exit, the Fiscal Control Board is at its peak integration with the Puerto Rico government. At a time when each side has its interpretation of what PROMESA requires, it seems unlikely that the Board will leave on its terms.

The CPI launched the “El Buscador de la Junta” platform as a response to the lack of transparency of the organization imposed by the United States Government and Congress. As part of the presentation, the forum “The Board's Archives Revealed” was held on Thursday.

The Fiscal Control Board turned to the United States Supreme Court this Wednesday seeking the reversal of a recent decision by the U.S. Court of Appeals for the First Circuit that orders the delivery of the information.

Examiner's first interim report raises flags over deficiencies in the billing process of attorneys and consultants retained by the Fiscal Control Board, the Government and official committees. The tab for the first five months of the Title III bankruptcy cases amounts to more than $77 million and will be paid with public funds.

The most recent version of Puerto Rico’s fiscal plan for its central government would chart the future of the country, giving some degree of certainty to citizens, businesses and investors to bet on the island’s dismal economy. Yet it is built on economic projections totally incompatible with the historical experience of places that have been […]