Islands,

federal

and congressional oversight

and authority in local matters, and representation of the people of the Virgin Islands
in the U.S. Congress."

Virgin Island leaders do not view the current status initiative strictly as a means of political evolution. They see
the legislature's efforts as a means to address constraints to
the islands’ economic development.
The proposed "Compact of
Federal Relations" is intended to maintain existing economic

benefits
seeking

a

and

way

to

secure

others.

to resolve

Thus,

outstanding

the

Virgin

problems

and

Islands
remove

is

the

degree of uncertainty in its relationship with the U.S. government.

‘

:

American Samoa and NMI

American Samoa and

the NMI

are not seeking

political relationship with the United States.

to

change

their

American Samoa

currently supports its status as an unincorporated, unorganized
territory.
Its leaders said their primary political objective
is to preserve and maintain the Samoan way of life and land
tenure system, which they believe could be threatened by changes

i

in political status with the United States.

The NMI
terms of its
trusteeship
relationship

will formally be granted commonwealth status under
negotiated covenant with the United States when the
is ended.
The covenant establishes a more defined
with the United States, including a financial and

economic assiStance package and creation of a laws commission to
study
NMI.

U.S. laws to determine whether they should apply to the
NMI officials are generally satisfied with this arrange-

ment and are currently negotiating with the U.S. over new finan-

cial arrangements once the initial 7-year agreement ends in
1985.
However, they expressed hope that the new status and the

NMI laws commission will help resolve some outstanding problems
with the federal government, especially in tax and economic
areas.

(See ch.

5.)

RECENT FEDERAL EFFORTS
TO CLARIFY TERRITORIAL POLICY

In

1979,

the

Carter

administration

began

a

study of U.S.

territory policy.
Its objective was to identify major problems
in federal-territorial relations, and to set forth a series of
actions to remedy them.
The study resulted in a February 1980

presidential statement which reaffirmed the basic principle of
self-determination and established a policy framework to improve
the federal-territory relationship.

did

The 1980 policy statement was criticized by some because it

not

torial

2008221

include

concerns.

Puerto

Rico

or

Nevertheless,

adequately convey

the

14

statement

many

pointed

terri-

out

that

:
‘

Select target paragraph3