Letter requesting Congress direct the FOMB to release 9 billion dollars in reserve account for recovery CODIV-19 efforts in Puerto Rico

Dear Member of Congress:

We write to you as organizations in Puerto Rico and stateside that are deeply concerned about the impact of COVID-19 on the island. Given Puerto Rico's crumbling healthcare infrastructure and aging population at greater risk of complications, the spread of this virus could result in an unprecedented human catastrophe. Congress should therefore direct the Financial Oversight and Management Board (FOMB) to allow the Government of Puerto Rico to use the more than $9 billion in funds destined for debt payments to instead be used to support Puerto Rican families in this moment of crisis.

Congress, through the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA), made the FOMB the trustee of the Government of Puerto Rico. Over the last three years, Puerto Rico has been hit by a series of natural disasters--hurricanes Maria and Irma, ongoing earthquakes, and now, the COVID-19 pandemic.  These disasters have exacerbated an economic crisis, created by decades of budget cuts and neglect, that had left the island with $129 billion in debt and a crumbling infrastructure.

Over the last three years, the FOMB has forced brutal austerity measures that have further crippled health, educational, and other public infrastructures. These severe cuts created a budget surplus that has ballooned to a staggering $9 billion cash reserve as of February 28, 2020 -- the same size as Puerto Rico's entire operating budget in 2017 -- up from $1.8 billion in December 2018.

The federal government has failed to disburse billions of dollars allocated toward a just recovery to Puerto Rico in the aftermath of Hurricane Maria. Recent earthquakes have compounded Puerto Rico’s distress. Estimated damages reported by hardest-hit local governments on the island exceed $1.4 billion, and the power authority needs significant investment to rebuild one of its main power plants by this summer in order to stabilize service for millions.

Only two months after the earthquakes, with hundreds still living in tents in the south, the island faces yet another disaster.  Today, hundreds of thousands are in their homes, struggling to put food on the table for their families and not knowing when their next paycheck will come. To make matters worse, 20.7% of Puerto Rico’s population is over the age of 65, which means that any response that does not provide the necessary support to the island could result in thousands of deaths.

In accordance with §§ 201(b)(1)(B) and 201(b)(1)(J) of PROMESA, it is the responsibility of the FOMB to account for all government services and capital expenditures that must be provided in order to adequately respond to CODIV-19. This includes providing community driven investments in: (1) ensuring free testing and healthcare services; (2) instituting a moratorium on evictions, foreclosures, and utility shutoffs; (3) making sure everyone has access to food; (4) providing school children with the tools necessary to continue their education from home and; (5) significant investments in clean, local, sustainable energy sources to stabilize service for millions.

The fiscal plan should be revised to reflect these expenditures instead of ever-increasing austerity measures. We must prioritize these critical investments in the public health and safety of Puerto Ricans over debt repayments. Continuing to prioritize austerity measures for the sake of debt repayment will undoubtedly result in preventable deaths. Upon certification of a revised fiscal plan, these funds must be made readily available through any necessary legal and budgetary actions.

For all of these reasons, we believe that Congress should direct the Fiscal Management Oversight Board to allow the Government of Puerto Rico to use more than $9 billion in funds destined for debt payments to be used to support Puerto Rican families in this moment of crisis. Not doing so could spell disaster for hundreds of thousands.

Thank you in advance for your support.

Sincerely,

1. 32BJ SEIU

2. Action NC

3. Alianza Por Puerto Rico - Massachusetts 

4. Alianza Americas

5. Alianza for Progress

6. Asociación Nacional de Escuelas de Trabajo Social de Puerto Rico

7. Asociación Puertorriqueña de Profesores Universitarios (APPU)

8. Ayuda Legal

9. Boricuas de Corazón Inc 

10. Boricuas Unidos en la Diáspora

11. Borisquad

12. Cancel the Debt

13. CASA

14. Central American Resource Center

15. Centro Para Una Nueva Gobernanza

16. Central State Latino Caucus

17. Center for Popular Democracy

18. Chelsea Rising/ LEAPS

19. Chicago Puerto Rican Agenda

20. Churches United For Fair Housing

21. Code Pink 

22. Construyamos Otro Acuerdo

23. Colectiva Feminista en Construcción

24. Colectivo Ilé

25. Colegio de Profesionales del Trabajo Social de Puerto Rico

26. Concilio de Iglesias de Puerto Rico (CIPR)

27. Defend Puerto Rico

28. Democratic Socialist of America

29. Democratic Socialist of America Palm Beach County

30. Diáspora en Acción

31. Diaspora en Resistencia

32. DSA Palm Beach County

33. DSA Boricua Socialist Diaspora Caucus

34. Hedge Clippers

35. Instituto para el Desarrollo de las Comunidades y SIEMPREVIVAS.

36. El Puente-ELAC

37. Espacios Abiertos

38. Federación de Maestros de Puerto Rico

39. Fideicomiso para el Desarrollo de Río Piedras

40. Frente Ciudadano para la Auditoría de la Deuda

41. JUNTE GENTE

42. La Clara

43. LatinoJustice PRLDEF

44. Make the Road CT

45. Make the Road NJ

46. Make the Road NV

47. Make the Road NY

48. Make the Road PA

49. Massachusetts Jobs with Justice

50. Movimiento Victoria Ciudadana

51. Movimiento Amplio de Mujeres

52. Mujeres de Islas

53. National Boricua Human Rights Network (NBHRN)

54. National Puerto Rican Agenda

55. New York Communities for Change

56. Northwest Boricua Resistance

57. Organize Florida & Pa'lante por Mas

58. Organización Puertorriqueña de la Mujer Trabajadora (OPMT)

59. Our Revolution Puerto Rico

60. Philly Boricuas

61. Philadelphia Chapter of the National Puerto Rican Agenda

62. Power 4 Puerto Rico

63. Proyecto Matria

64. Public Accountability Initiative

65. Puerto Ricans In Action

66. Puerto Rico Me Llama

67. QLatinx

68. Sembrando Sentido

69. SEIU

70. SEIU Local 1

71. SPT SEIU Local 1996

72. Strong Economy For All Coalition

73. Taller Salud

74. Taller Puertorriqueño 

75. UNETE

76. Urbe Apie

77. UTIER

78. VAMOS y VAMOS en la Diáspora

79. Vamos4PR 

80. Women’s March Florida