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Chapter FiveCapital Improvements and Infrastructure

5.1 Introduction

The planned expenditures for infrastructureand capital equipment requirements for theimmediate future are provided in the Territory of

American Samoa, Capital Improvements Plan

2002 - 2006. The plan was com pleted in

November of 2000, authorized by the Governorand submitted to the Department of the Interior,Office of Insular Affairs (OIA), as a requirementfor receiving annual funding awards.

A summary of the capital improvement planis provided in this chapter after a briefexplanation of the plan’s purpose andformulation. The funds received from theDepartment of the Interior will not be suffic ient tocover all of the Territory’s needs for 2002 through2006, therefore, government agencies andauthorities will seek and receive other sources offunding.

5.2 Summary of Cap ital Equipment,

Improvements and Infrastructure

Funding

5.2.1 Department of the Interior, Office of

Insular Affairs

The proposed Capital ImprovementsProgram (CIP) budget and projects for the five-year period, 2002 to 2006, are based upon apresent funding level of $10,140,000 per year thatis provided by U.S. Congressional Covenantlegislation. This level of funding i s expected toremain unchanged until Congress revises thelegislation.

The CIP Committee has chosen to maintainthe same level of funding for priorities that wasestablished in 1995. That is, health, education,safety and utilities will receive the bulk ofavai lab le funding. Alth ough economicdevelopment has been elevated in overallimportance, the Committee anticipated thateconomic development infrastructure could beprovided by supplementary funding from the U.S.

Congress.

Because the $10.14 million level of fundingwill not sa tisfactor ily contribute to the Ter ritory’sinfrastructure requirements for economicdevelopment, the CIP Committee w ill submit asupplementary request to Congress for additionalfunding.

5.2.2 Other Sources of Capital

Improvement Funding

Additional sources of financial assistance forcapital improvements and infrastructure areexpected to be received from the:

! U.S. Depar tment of T ranspor tation, Federal Highway Administration funds forthe construction and improvement of theTerritory’s highways and secondary roadsat an average of $3.2 million per year;

! Federal Emergency ManagementAdministration delinquent insurancepayments to be applied to the shorelineprotection valued at $8.5 million;

! U.S. Environmental Protection Agency forconstruction of water supply at $180,000and sewer systems at $800,000 per year;

! U.S. Department of Housing and UrbanDevelopment, Community DevelopmentBlock Grant grants for communitydevelopment projects at $1.0 million peryear;

! Economic Development Administrationgrants for development of an AgricultureMarket in Fagatogo and fish processingfacilities in Tafuna at $2.5 mill ion.

! Bond funding in the value of $3.0 m illion tosupport the expansion of the Tafuna PowerGeneration Station and the purchase ofgeneration equipment.

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Figure 9.1

Figure 5.2

5.2.3 Summary of

Infrastructure Funds

from all Sources

2002 - 2006

Figure 9.1 shows the amountof funding expected to bereceived from the Department ofthe Interior, Office of InsularAffairs, for the five year period,2002 to 2006. This is theamount shown in the CapitalImprovements Plan, 2002 - 2006.It does not represent the totalamount expected.

Figure 5.2 shows the totalamount of funding expected forthe plan period. It includes theproposed $50.8 million dollarsfrom the Department of theInterior and other Federalsources.

The additional funding of$32.0 million, listed in section9.2.2,will bring the total projectedcapital improvements funding to $82.0 million forthe plan period2002 to 2006.

5.3 Capital Improvements Planning

Process

In 1993, at the direction of the Governor,the American Samoa Government began aconcerted effort to strengthen the capitalim provements management process byinitiating a Capital Improvements planningprocess, that included the assignment ofTechn i cal Advisors to the Capita lImprovements Comm i t tee and th eestablishment of a CIP project managementand tracking system. The Technical Advisorswere given the task of formulating a five-yearplan for the use of Department of Interiorawards for infras tructure development.

After a lengthy needs assessment thatidentified and ranked the Ter ri tor y’sinfrastructure and capital equipmen trequirem ents for 1996 through 2001, theTechnical Advisors created, and theComm ittee approved, a plan which guided theuse of the Department of Interior awards for thefive-year plan period, 1996 to 2001.

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Figure 5.3

The purposes of the CIP program as stated inthe 1995 Capital Improvements Program Plan weregiven as, and continue to be the government’sability to:

! provide continuity in carrying out long-termCIP development strategies;

! coordinate public faciliti es development;

! improve the cost effectiveness of capitalimprovement projects; and

! maximize the potential for CIP funding.

The Committee continues to achieve thesepurposes through the Technical Advisors and aCIP Coordinator by:

! identifying infrastructure needs throughoutthe government;

! formulating periodic government-widecapital improvement plans;

! securing funding from the Department ofthe Interior through annual budgetrequests;

! authorizing the release of funds for agencyCIP projects; and

! monitoring the management of CIP fundedprojects of agencies receiving awards.

In 1995 the C IP Comm ittee chose to allocateseventy-f ive percent of the funds to what itdetermined as First Order Priorities, i.e., health,education , safety and utiliti es.

5.4 Statement of Needs

In March 2001 the Technical Advisors began asecond comprehensive assessment of theinfrastructure and capital equipment needs of theTerritory for the five-years, 2002 to 2006. Theassessm ent attempted to cover all necessaryprojects, regardless of actual or potential fundingsources, except the enterprise systems that werealready self-sustaining, e.g. the American SamoaTelecommunications Authority.

The Needs Assessment conducted in 2001should be considered in perspecti ve, as part of a

long-term public facilities development strategythat began with the first CIP Plan of 1995.W hile the Capital Improvements Program Planfor 1996 through 2001 has proved an effectivetool to guide the development of the ter ritory’sinfrastructure, the funds to satisfy the completeneeds of the territory had not becomeavailable. Based upon the projected capitalimprovement needs of $385.0 million for thefive-year period 1996 - 2001, less than fifteenpercent of that value had been awarded forcapital improvements by the end of the plan.

Thus, this second five year plan periodbegins with the unmet needs identified in thefirst six-year plan, plus the infrastructurerequirem ents identified in the second-roundNeeds Assessment. For the five-year planperiod beginning in fiscal year 2002, theCapital Improvements Committee estim ated atotal capital equipment, capital improvementsand infrastructure need of approximately$273.0 million. These funds did not includeFederal highway estimates of need.

Figure 5.3 identifies the needs by category.

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Figure 5.4

Figure 5.5

5.5 Capital Improvements by Category from

U.S. Department of the Interior

The following charts provides information onthe manner in which Department of Interior awardsfor capital improvements will be allocated for theCIP Plan 2002 to 2006. The values are in year2000 U.S. dollars for the entire five year period andare not adjusted for inflation. The CapitalImprovements Plan separates the funding on anannual basis. Refer to the Plan for a year byallocation.

5.5.1 Health Care

The CIP Committee has allocated $9.22 millionfor health care for the plan period. The hospitalauthority will receive ninety-seven percent of funds.

5.5.1.1 American Samoa Hospital Authority

The hospital authority will be refurbishing themedical center over the next five years. Over one-third of the funding for the medical center will beused to rehabilitate the wards. Rehabilitation of theadministration offices, the pharmacy and generalfaciliti es wil l take another fi fteen percent

New facilities include a High Court m andatedmental health facility and a laboratory, histology-cytology lab and darkroom. New construction isprojected to be consume twenty percent of the totalallocation.

5.5.1.2 Department of Health

The Department o f Health wil l receive$255,000 in 2005 for the rehabilitation of theadministration offices and construction of a new laboratory.

The Department of Health will reques t theDepartment of Commerce to apply for about$2.5 million of Community Development BlockGrant funds between 2002 and 2006 to coverthe cost of building two new health clinics.

5.5.2 Educational System

The CIP Committee has alloc ated $15.8million for the five year plan period to thecategory of education. The Department ofEducation wi ll receive approximate ly ninety- fivepercent of the funding.

5.5.2.1 Department of Education

The Department of Education will use two-thirds of its five year plan funding for theconstruction of new classrooms . Roughly two-

thirds of the new classroom construction willbe for high schools. A further is thirteenpercent will be for elementary schoolclassroom rehabilitation.

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Figure 5.6

Figure 5.7

5.5.2.2 American Samoa Community College

The American Samoa Community College isslated to receive only six percent of the totaleducation award. These funds will be used forrepair of facilities.

5.5.3 Department of Public Safety

The Department of Public Safety will receive atotal of $2,8.0 million. T he funds will be dividedbetween the High Court, the Police, Correctionsand Fire Divisions.

The District Court Building was condemned in2000 and is not usable. The CIP Committee hasallocated $1.0 million over two years to build a newDistr ict Court Building compatible with the newlyrefurbished Court House.

The Police will receive about one-third of totalfunding for a Manu’a substation, a Police Academy,and the purchase of computer equipment.

Corrections will receive six percent of funding

for prison repairs and the fire department willreceive the remainder, or twenty-three percent fora new fire station in Tafuna, fire trucks and fireequipment.

5.5.4 Utilities

The American Samoa Power Authority willbe allocated $13.75 million for water system,sewer system and solid waste (Futiga Landfill)improvements.

5.5.4.1 Water Supply

ASPA wi ll receive $4.25 million over the sixyears, 2002 - 2007, to carry out water wellexploration and install water lines in nine areasthroughout the Terr itory.

Figure 5.7 shows the value ofimprovements by area. Tualauta County willreceive the mos t, or twenty percent of all the

counties and villages.

5.5.4.2 Sewerage System

ASPA will receive abut $10.0 million overfive years to construct sewer lines and improvepumping stations , primarily in the W esternDistri ct, although the Pago Pago Bay sewersystem will be allocated fifteen percent of totalfunding for improvements and extensions.

Refer to Figure 5.8 on the next page forsewer construction funding.

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Figure 5.8

Figure 5.10

Figure 5.9

5.5.4.3 Solid Waste

ASPA will receive $250,000 per year forfinishing construction of the existing landfill atFutiga and for the study and construction of a newsanitary landfill, including the purchase of heavyequipment.

5.5.5 Transportation

5.5.5.1 Airports

No funds for the improvement of the airportshave been allocated out of the CIP funds. However,

the Federal Aviation Administration hasprovided grants for the extension of F ituita andOfu airports of the Manu’a Islands. The airportwill use Passenger Service Fees will be usedto improve all airport facilities.

5.5.5.2 Sea Ports

The main port in Pago Pago Harbor hasbeen allocated $4.38 million dollars for 2002 -2006. The funds will be used for rehabilitationof the container yard , construction of a newcontainer wharf and new Port Administrationbuilding.

5.5.5.3 Village and Secondary Roads

The Department of Public Works, hasidentified eight village roads that will beconstructed from 2002 through 2006.

Fagatogo DPS Access Road Petesa-Happy Valley RoadAoloau Village RoadPapa Tai Road in Nuu’uli

Vaitogi Road to Larson CoveTula Village RoadAuto Village RoadFutiga Village Road

The annual funding level is $380,000 for a five-year total of $1.9 m illion.

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Figure 5.11

Figure 5.12

5.5.6 Economic Development

The Department of Commerce wi ll receive$40,000 in 2003 which will be put toward thepurchase of equipment for storage of fish andagricultural products in the new Farmer ’s Market,constructed at the site of the present market

5.5.7 Parks and Recreation

The Department of Parks and Recreation has beenallocated $930,000 for the period of the plan. Thedepartment requested that fifty percent of the fundsbe used for recreationa l park restoration. Thisincludes public restroom s which comprise for typercent of total five-year funding.

The Tony Solaita Baseball field will receive themajor ity of the funding remaining (38%) for lightingimprovements, lockers , security fencing andgrandstands.

5.5.8 Other Public Facilities

The CIP Committeee allocation $1.84 milli ontoward the rehabilitation of public buildings and forthe purchase of capital equipment for theDepartment of Public Works.

The Fono and ASG residential housing inTafuna will receive ten percent of the funding forrehabilitation of buildings. KVZK Television willreceive for the purchase of digital transmitters.

The remaining sixty-eight percent for roadmainte nance, and Archi tectura l andEngineering Division Equipment.

5.6 Other Sources of Capital Improvements

and Infrastructure Funding

As stated in section 9.2.2, the governmentshould receive additional funding from otherU.S. Federal agencies. The m ajority of thefunding will be used for construction of FederalHighway One and preservation of the shorelineto secure Federal Highway One between thevillage of Matu’u and Nuu’uli village.

5.6.1 T r a n s p o r t a t i o n a n d Ro a d

Construction

The Civil Highways Division of theDepartment of Commerce expects to receiveon the average of 3.2 million dollars per yearfor 2002 through 2005 for the construction ofthe main highway. The department will use 8.5million of delinguent insurance payment to theAmerican Samoa Government to create arevetm ent to preserve the main highway.

In addition, the Civil Highways Division willreceive a small am ount of funding, roughly$120,000 per year, for the use toward transitplanning and bus ins tallations .

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5.6.2 Community Development

The Department of Commerce expects toreceive approximately 1.0 million dollars per yearfor the construction of community fac il ities to servelow- income people and foster economicdevelopment . The Department generally allocatesfifty percent, or $500,000, annually to othergovernment agencies for construction of facilities.

During the five year plan period, theDepartment of Commerce will support theconstruction of new medical clini cs for theDepartment of Health with subgrants of $750,000each. In addition, the Department will provide theTerritorial Administration on Aging with $250,000to construct a Senior Citizens Center.

The Department will support the Department ofParks and Recreation in the planning anddevelopment of an indoor recreational centertoward the end of the plan . The estimated sharedcost of the project with the Department of PublicW orks is $500,000.

The Departm ent of Commerce will use theremainder of the CDBG funding for urbanredevelopment and development of facil ities tosupport economic development initiatives in thePago Pago Bay area.

5.6.3 Water and Sewer Systems

The American Samoa Power Authority willreceive a formula grant of $800,000 per year forsewer line construction and $180,000 per year forwater line construction or water systemimprovements. All of the funding is expected to beused for development of the Tualauata Countywater and sewer systems.

5.6.4 Economic Development

The Department of Comm erce will apply forEconomic Development Administration funding inthe amount of 1.5 million dollars to construct a newFarm er’s Market in the Fagatogo village and 1.0million dollars to construct a fish processing planat the Tafuna Industrial Park. The fish process ingplant wil l service the local fishing industry.

5.6.5 Electrical Power Generation

The American Samoa Power Authority iscontemplating paying for the expansion of theTafuna Generation Station and the purchase ofa $2.2 million Deutz generator, including spareparts and high voltage switchgear and relatedaccessories by leveling additional fees uponelectrical usage and the float of bonds in thevalue of $3.0 million.

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Chapter Five: Capital Improvements and Infrastructure

5.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 1

5.2 Summary of Capital Equipment, Improvements and Infrastructure Funding . . . . . . . . . II - 5 - 15.2.1 Department of the Interior, Office of Insular Affairs . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 15.2.2 Other Sources of Capital Improvement Funding . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 15.2.3 Summary of Infrastructure Funds from all Sources 2002 - 2006 . . . . . . . . . . . . . . II - 5 - 2

5.3 Capital Improvements Planning Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 2

5.4 Statement of Needs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 3

5.5 Capital Improvements by Category from U.S. Department of the Interior . . . . . . . . . . . . . II - 5 - 45.5.1 Health Care . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 4

5.5.1.1 American Samoa Hospi tal Authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 45.5.1.2 Departm ent of Health . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 4

5.5.2 Educational System . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 45.5.2.1 Department of Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 45.5.2.2 American Samoa Communi ty College . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 5

5.5.3 Departm ent of Public Safety . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 55.5.4 Utilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 5

5.5.4.1 Water Supply . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 55.5.4.2 Sewerage System . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 55.5.4.3 Solid W aste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 6

5.5.5 Transportation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 65.5.5.1 Airports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 65.5.5.2 Sea Ports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 65.5.5.3 Village and Secondary Roads . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 6

5.5.6 Economic Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 7

5.5.7 Parks and Recreation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 7

5.5.8 Other Public Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 7

5.6 Other Sources of Capital Improvements and Infrastructure Funding . . . . . . . . . . . . . . . II - 5 - 75.6.1 Transportation and Road Construction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 75.6.2 Community Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 85.6.3 Water and Sewer Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 85.6.4 Economic Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 85.6.5 Electrical Power Generation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II - 5 - 8