we OSs i oe td - - . ae . : . ’ . 18:06 > eae, .- 2 owe, dees. wn ws, wan Loin -eol, Section 205 Section 5(g) of Public Law 95-348 authorized $3,000,000 for the “development , maintenance and operation” of the American Memorial Park on Saipan. ‘The Government of the Northern Mariana Islands is interested in developing the park as a memorial to those who died in World War II fighting on Saipan and as a facility for recreation. Section 205 of H.R. 3756 would provide for an open-ended authorization for maintenance and operation, and up to $3,000,000 far development. The Administration supports section 205. Section Section 302 would fargive the payment of interest by Guam on all funds borrowed pursuant to the Guam Rehabilitation Act of Novenber 4, 1963, and would apply interest already paid against principal owed. The 1963 Act was designed to aid Guam in its rehabilitation after the Gestruction of typhoon Karen in 1962. The amount ariginally borrowed under the authorization was $41,500,000. Principal in the amunt of . $5,900,000 and interest in the amount of $18,000,000 have been paid by Guan through May 15, 1979.. If previously paid interest were comverted to principal according to H.R. 3756, the principal outstanding would be reduced fram $35,600,000 to $17,500,000. The Administration continues to oppose debt forgiveness for Guam because valid existing debts should be repaid in order to affirm the principle of fiseal responsibility. co at MEN Section 33 Section 303 would extend from Deceher 31, 1980, to Decenber 31, 2010, the loan € the Guam Power Authority (epprexdmately $36,000,000) guaranteed by the Secretary of the Interior against the possibility that the Guam Power Authority may not be able to refinance this ebligation in the private market by Decenber 31, 1980; provide for repayitent throug the Goverment of-Guam: and forgive interest to the Government ofGuam. - 2 ° ae The Administration supports extension of the guarantee and loan. However, as noted below, we favor modifying certain aspects of this section. > a ee ce = lo. we 242h,De ae, ., Mg ~ aga . . = . . op =e roe SET OS UT 4 pecs ete Va ' Yh ye Pa’ RIG yl CUT The sm an ee a kg te 7 mt CRT eI a ge : ee .