Puerto Rico News Digest For June 20, 2016

ROSSELLO TO ASK FOR DECOLONIZATION

From Caribbean Business:

"The president of the New Progressive Party (NPP), Ricardo Rosselló, will 

return Monday to the United Nations to deliver his message in favor of deco-

lonization. “Following the results of the 2012 plebiscite, this forum acquires

more relevance due to Puerto Ricans’ interest in solving the colonial problem.

It is now even more important because the Supreme Court of the United Sta-

tes confirmed the commonwealth has no sovereignty, which has been a decep-

tion, as we have been saying,” the party president said Sunday. In 2013, Rosse-

lló testified before the UN, after delivering to the entity in November 2012 the

results of the referendum in which the statehood option won a majority of votes..."

GROUP BUSINESS UP DESPITE ZIKA

From News Is My Business:

"Puerto Rico’s group business closed off what has come to be known as the

initial Zika period (March to May), “very much open for business,” with 57 

new booked pieces of business including events, conferences, annual meet-

ings and sports activities from now through 2017, Meet Puerto Rico offici-

als said Thursday. This represents a total direct spend of potentially $20.4 

million into the local economy, Milton Segarra, president of Meet Puerto Ri-

co, the Destination Marketing Organization responsible for attracting meeti-

ngs, conventions, trade shows, sporting events and incentive groups to Puer-

to Rico..."

ZIKA CONTRACEPTIVES FAIL TO REACH WOMEN

From Fox News:

"Only a small fraction of contraceptives donated in Puerto Rico to prevent 

Zika-related birth defects are expected to get to the women who need them 

this month, public health officials told Reuters. The donations - tens of thou-

sands of intrauterine devices and birth control pill packs - came from major 

healthcare companies as the virus spreads rapidly through the island. The de-

livery delays illustrate the struggles of Puerto Rico's healthcare system, which 

is faltering amid the commonwealth's financial crisis...

CAR RENTAL TAX GOES FORWARD

From The San Juan Daily Star:

"The island House of Representatives on Thursday approved with a voice
vote the bill to impose a tax of $3.50 per day for the rental of motor vehicles
in Puerto Rico. House Bill 2867, authored by Popular Democratic Party Rep.
Ángel Matos, establishes that the surcharge would be for the first 30 days of
rental and for those who do not have a driver’s license issued by the common-
wealth..."

Puerto Rico News Digest For July 1, 2015

'IVU' SALES TAX JUMPS TO 11.5% TODAY

The 'Impuesto sobre Ventas y Uso' sales tax, or 'IVU', increased to 11.5% at
midnight today. Long lines could be seen at stores all over the island yester-
day, as consumers rushed to purchase home improvement materials, school
supplies, tires and numerous other goods before the tax increase. Most non-
prepared food items are exempt from the tax, although prepared foods are
not. The tax increase, voted in recently by the legislature after some acrimo-
nious debate, has so far proved to be very unpopular among many sectors of
the population. The tax was passed into law with the aim of increasing reve-
nue for the financially desperate island government.

SPANISH LANGUAGE BILL DEFEATED 

From The San Juan Daily Star:

The legislation that would declare Spanish as the official language and English
the second official language was defeated in the Senate late last week. Senate
Bill 1177 would have required the use of Spanish in all three branches of gov-
ernment in detriment to the 22 percent of island residents whose first language
is English and may encounter roadblocks in their dealings with the government.
An amended version of the bill was passed in a voice vote but the bill was de-
feated after it got a vote of 12-10 with three abstentions, falling short of the 26
votes needed for approval. The legislation seeks to repeal a 1993 law that decla-
red Spanish and English as offi cial languages of the Government of Puerto Ri-
co, returning to the state of the law in 1902. The 1993 law had the effect that the
government can use either of the two languages in offi cial documents and ins-
criptions.

GOVERNMENT UPDATES FINANCIAL, DEFICIT INFO

From Caribbean Business:

The Puerto Rico government filed late Tuesday a supplement to its quarterly
report submitted May 7 that updates the financial condition of the common-
wealth amid recent developments that have affected the government’s overall
fiscal picture. Among the document’s disclosures, the Government Develop-
ment Bank (GDB) states that the most recent projections point to a fiscal year
2015 budget deficit of $705 million to $740 million, after taking into consi-
deration tax refunds paid “in excess of the reserve included in the budget for
fiscal year 2015.” The government bank had previously estimated to close this
fiscal year with a deficit amounting to about $191 million. The projected de-
ficit doesn’t include nearly $291 million in tax refunds that are currently pen-
ding payment. Moreover, the report adds this figure may be “significantly
higher,” if U.S. generally accepted accounting principles (GAAP) were used.

DEM CANDIDATE O'MALLEY CALLS FOR PR HELP

From PJ Media:

Democratic presidential candidate and former Maryland Gov. Martin O’Malley
wants the U.S. to step in and bail out Puerto Rico. ”As a nation we must help our
fellow U.S. citizens not only because it’s the right thing to do, but because our re-
gion’s economic stability depends on it,” O’Malley said in a statement today, ur-
ging President Obama and Congress to act. “Those who attempt to exploit this
situation to gain a financial or political advantage” would find that “Puerto Rico
will be united against you,” the governor warned creditors. “While Governor Gar-
cia Padilla has taken the courageous first steps to steer Puerto Rico through this
crisis, we must act now to avoid Puerto Rico’s economic collapse,” O’Malley said.

Puerto Rico News Digest For May 22, 2015

HIGLER'S FAMILY IN PR FOR HEARING

L: Laurens Higler. R: Gerardo de La Paz.

Relatives of Laurens Higler, the Dutch globetrotter and sailor who was
killed in a hit and run car accident in  March, are in Puerto Rico to attend
a court hearing for 49-year-old Gerardo De La Paz, the man accused of
hitting Higler with his car by the side of the road in Guayama and fleeing
the scene. Mother Rianne Higler stated "It is unforgivable that he didn't
stop the car, that he didn't call 911 and that he didn't help my son", in re-
gards to De La Paz, as reported yesterday by El Nuevo Dia. Laurens
Higler would have turned 27 years old on May 20.

At the hearing, De La Paz -- who is free but wearing an ankle monitor --
opted to go directly to trial for the charges of negligent homicide and vio-
lating the recently amended Article 5.07 of Transit Law 22. He was also
driving with an expired driver's license. The judge set the trial date for
June 26. De La Paz could face prison time, but there is  also the possibility
that he might only get a suspended sentence. After the hearing, De La Paz
agreed to meet the late Higler's family in private, but after the brief encoun-
ter, De La Paz hurried out of the building accompanied by his lawyers.

HOUSE APPROVES 11.5%  'IVU' TAX

From Caribbean Business:

After much debate and opposition, the House of Representatives app-
roved Thursday the tax bill that calls for the implementation of an
11.5% sales tax at cash registers, up from the current 7% paid under
the sales & use tax (IVU by its Spanish acronym), after introducing
several amendments on the floor. The final vote count was 26 in favor
and 24 against, including two Popular Democratic Party (PDP) legisla-
tors, Reps. Carlos Vargas and Angel Matos, and the New Progressive
Party minority delegation. It now moves to the Senate, where discussi-
on on the amended bill is expected to take place Friday, with the upper
chamber's session slated to begin at 10 a.m.

ACOSTA BLASTS MOODY'S GDB DOWNGRADE

From News Is My Business:

Government Development Bank President Melba Acosta came down
hard on Moody’s Investors Service’s decision to downgrade the Co-
mmonwealth’s credit rating deeper into junk status by saying the move
shows “ratings agencies are totally out of tune with what’s happening”
in Puerto Rico. Reading off an email she said she received earlier in the
day from a banker who expressed to her that markets were reacting fa-
vorably to the proposed increase in the sales and use tax — up to 11.5
percent from 7 percent approved Thursday by the House — and about
the budget, Acosta called Moody’s decision “a bit ironic.”

BUS OWNERS INDICTED FOR BID-RIGGING

From FBI:

A federal grand jury in San Juan, Puerto Rico, returned an indictment
against five individuals for participating in bid rigging and fraud cons-
piracies at an auction for public school bus transportation contracts in
Puerto Rico’s Caguas municipality, the Department of Justice announ-
ced today. A seven-count felony indictment was filed yesterday in U.S.
District Court of the District of Puerto Rico in San Juan against five bus
transportation company owners: Gavino Rivera-Herrera, Luciano Vega-
Martínez, Alfonso Gonzales-Nevarez, José L. Arroyo-Quiñones and
René Garay-Rodríguez.

Count one charges the bus owners with participating in a conspiracy
to rig bids and allocate the market for public school bus transportation
services in the Caguas municipality. The second count charges the bus
owners with conspiracy to commit mail fraud and counts three through
seven charge the bus owners with committing mail fraud. According to
the indictment, the defendants and others defrauded, and conspired to
defraud, the Puerto Rico Department of Education and the Caguas mu-
nicipality, among others, in order to fraudulently obtain contracts for
school bus transportation services.

Puerto Rico News Digest For March 18, 2015

PR GETS 1ST INDEPENDENT GOVERNOR CANDIDATE

Lawyer and businesswoman Alexandra Lúgaro, age 33, has declared
her intention to run for Governor of Puerto Rico in 2016 as an inde-
pendent candidate. This makes her the island's first ever gubernatorial
contender who does not belong to or publicly identify with any political
party. Lúgaro is in favor of gay marriage, abortion rights and marijuana
legalization, and has also expressed a desire to tackle issues such as
income inequality. Lúgaro is currently finishing a doctorate in Madrid
and is the founder of a student tutoring company in Puerto Rico.

LAURENS HIGLER'S FRIENDS' TOUCHING LETTER

The travelling companions of deceased Dutch globetrotter Laurens 

Higler, who was killed last week in a hit and run accident,  wrote a 

moving letter to the people of Puerto Rico regarding the recent 

tragic events:

LEGAL ISSUES SEEN WITH IVA RECEIPTS

From The San Juan Daily Star:

The Justice Department said Monday that Puerto Rico could
be held liable if merchants are banned from separating the
value added tax from the final price of items on receipts.
“The restriction against merchants separating the IVA [the
Spanish acronym for the value-added tax] from the final
price could be challenged in the courts because it interferes
with free speech rights,” Assistant Justice Secretary Rafael
Ortiz said. The proposed tax reform measure leaves it to the
Treasury secretary to decide whether the IVA should be dis-
played separately.

14 ARRESTED, 1.1 TONS OF COCAINE SEIZED

From Fox News Latino:

Agents of the United Rapid Action Forces, or FURA, of the
Puerto Rican police, seized 1.1 tons of cocaine and arrested
14 Dominicans, most of whom were waiting for the drug to
arrive from a boat off the northern coast of the Caribbean island,
officials said. Puerto Rican Police Chief Jose Caldero said
the boat had sailed to the estuary of Rio Grande de Loiza river
and that the drug had a street value of some $32 million.

PUERTO RICO UNEMPLOYMENT DOWN TO 12.4%

From Caribbean Business:

Puerto Rico Labor Secretary Vance Thomas announced that the
unemployment rate for January stood at 12.4%, representing the
lowest figure since 2008. "Data from the recent employment survey
show that the unemployment rate adjusted for January fell to 12.4%,
making it the lowest reported since August 2008, when it was 12.2%,"
Thomas said Tuesday. He added that the rate is 1.3% lower when
compared with December 2014 (13.7%) and 2.5% down from
January 2014 (14.9%).

UPR AGUADILLA PROVIDES TAX SERVICE

From News Is My Business:

The University of Puerto Rico in Aguadilla announced Tuesday
it will be offering free help to low and middle-class residents
to fill their federal income tax return, Saturdays from 9 a.m.
to 1 p.m. at the campus library through April 11. The UPR-Agua-
dilla Virtual Center for Assistance to Taxpayers (known in
Spanish as the VITA Center) is part of an alliance  with the
UPR-Mayagüez western region VITA Center.



More headlines on our Twitter feed.

Puerto Rico News Digest For March 5, 2015

PROTESTS AGAINST IVA AT CAPITOL

Video: Maria Rivera/YouTube

People from dozens of educational and community organizations are
protesting this morning in front of the Capitol in San Juan against the
proposed 16% Value Added Tax (or IVA, by its Spanish initials).
Schools and colleges have been particularly vocal in their opposition
to the idea of applying the new tax to educational expenses. Governor
Alejandro Garcia Padilla announced last week that the tax proposal
would be ammended to spare private education from the IVA, but
representatives from several organizations opposed to the tax have
expressed skepticism regarding that promise, as reported by El Nuevo
Dia.

DECOLONIZATION PROTEST MAR. 22 IN SAN JUAN

The pro-independence organization Comrades United For The De-
colonization of Puerto Rico ("Compañeros Unidos Para La Desco-
lonizacion de Puerto Rico") will be holding a protest march on
Slavery Abolition Day, March 22nd, at 2:00 PM. The protesters will
demand the release of Puerto Rican "political prisoner" Oscar Lopez
Rivera, as well as the decolonization of the island. The "2nd Oscar-
Mandela March" will start at the Capitol building in Old San Juan
and make its way towards the Federal Court building.

OIL SUPPLIER TO FACE JUSTICE DEPT

From The San Juan Daily Star:

The Special Senate Committee investigating the so-called “oil
cartel” at the Puerto Rico Electric Power Authority (PREPA)
referred Petro West Inc. to the Justice Department on Tuesday
after accusing it of aggravated illegal appropriation for vir-
tually stealing $1.4 million from the public utility.Petro West
is a local company with offices in Mayagüez and Hormigueros
that supplied bunker six fuel to PREPA, but it was not imme-
diately known if they still do. The probe found that the alleged
illegal appropriation took place between 2009 and 2011.

SINGAPORE COMPANY TO OPERATE PONCE PORT

From Fox News Latino:

Portek International, a Singapore-based services company, was
selected to develop infrastructure at Puerto de las Americas in
Ponce, the largest city in southern Puerto Rico, officials said.
"We have carefully evaluated offers from different companies that
showed interest in the project," Secretary of Economic Development
and Commerce Alberto Baco, who serves as chairman of the Puerto
de Ponce Authority board, said.

EMBASSY SUITES BEGINS MAJOR RENOVATION

From News Is My Business:

Embassy Suites hotels in Puerto Rico announced Wednesday the
completion of the first phase of a renovation campaign at the
Isla Verde and Dorado properties. The overhaul included a full
makeover of all 299 suites at the San Juan hotel and bathroom
upgrades in all suites at the Dorado resort. The investment made
to reboot the properties was not disclosed.