Puerto Rico Debt Crisis: Governor Urges Swift Congressional Action Now With Zika Virus Threatening Island
Puerto Rico Gov. Alejandro Garcia Padilla is continuing his campaign for congressional leaders to move forward with legislation that will give the U.S. commonwealth solutions for its debt and health crises.
A Debt & Medicare Crises, Now Zika Virus Crisis
Garcia Padilla is reportedly meeting with congressional lawmakers on Capitol Hill ahead of Speaker of the House Paul Ryan's March 31 deadline, when select policymakers are expected to submit recommendations solving Puerto Rico's $72 billion debt. The governor is hoping for legislation that will give his government a "broad" restructuring framework and address the faltering health care system affecting the island's 3.5 million U.S. citizens.
During a press call on March 16, Garcia Padilla explained the island's crises has produced more problems including the inability to pay for new emergency measures against the Zika virus. According to the governor, citing the U.S. Centers for Disease Control and Prevention (CDC), the Zika virus may affect up to 20 percent of the territory's population by the end of this year. Garcia Padilla said the Zika virus is the latest issue of the island's worsening humanitarian crisis.
In regards to its debt problems, Garcia Padilla said $50 million in 2014 tax refunds to citizens have yet to be paid and delayed approximately $2 billion to vendors, which range from the gasoline supplier to the commonwealth's police department, the food provider to the prison system and clean both public schools and hospitals.
The "Tools" Puerto Rico Requests
It's not the first time Garcia Padilla visited and called on congressional lawmakers to act for Puerto Rico. Last December, in Washington, D.C., he explained about the "tools' the island needs, including the same Chapter 9 bankruptcy rights as the 50 U.S. states, and reiterated that the territory is not requesting a bailout.
He has criticized the U.S. Congress for playing a role in the island's crises, acknowledging the legislative body's move to eliminate the competitive advantages for American enterprises in Puerto Rico in 1996, which led to hundreds of thousands of jobs, not just leaving the commonwealth, but going to other countries such as Ireland and Singapore.
The governor also called on improved Medicare and Medicare programs. Residents in Puerto Rico do pay the same Medicaid and Medicare payments, but receive less in return compared to mainland-U.S. residents.
President Barack Obama did make a number of proposals for Puerto Rico in his 2017 fiscal year budget. As his budget plan noted, Puerto Rico's economy declined by more than 10 percent since 2006 and encountered over 250,000 job losses. In addition, more than 45 percent of the island's residents, who are born as U.S. citizens, live in poverty. Puerto Rico also has an unemployment rate of 12.5 percent, which is twice the mainland U.S. average.
Although the Affordable Care Act (ACA) provided Puerto Rico with an additional $7.3 billion since July 1, 2011, the aforementioned fund is expected to run out by 2019's end. In Obama's budget plan, he proposes approximately $30 billion in Medicaid funding for Puerto Rico that would last for the next nine years.
Must Read: Declining Population, Jobs in Mainland US Linked to Puerto Rico's Troubles
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For the latest updates, follow Latin Post's Michael Oleaga on Twitter: @EditorMikeO or contact via email: m.oleaga@latinpost.com.
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