Fiscal board authorizes funding for community programs, scolds gov’t

By THE STAR STAFF

The Financial Oversight and Management Board for Puerto Rico has given the green light to a reallocation of over $1.2 million in unused government funds to support community-focused programs, as outlined in Joint Resolution 30-2025.

The oversight board authorized the allocation even though the government did not seek its permission first to legislate it.

The resolution, passed by the Legislative Assembly, aims to distribute $20 million from the Commonwealth’s Fiscal Year 2026 budget to public, semi-public, and private organizations working to improve the quality of life of people in Puerto Rico. In addition, it seeks to reprogram $1,270,744 from prior years’ allocations originally designated for the Special Joint Commission on Legislative Funds for Community Impact.

Although the oversight board noted that the government’s submission lacked a required certification under the federal Puerto Rico Oversight, Management and Economic Stability Act (PROMESA), it chose not to request corrections, citing that the funds are already held by the Joint Commission. The board emphasized that the decision was made on a non-precedential basis, meaning it does not set a standard for future cases.

To streamline the process, the oversight board treated the submission as a formal reprogramming request. After reviewing the materials, it determined that the proposed use of funds is consistent with Puerto Rico’s certified fiscal plan and budget, and approved the reallocation.

The resolution allows the Joint Commission to match the reprogrammed funds with additional resources from state, municipal, federal or private sources. The funding period runs from July 1 of this year to June 30, 2026.

The oversight board also reminded government agencies that any future reprogramming of funds must be submitted through the Office of Management and Budget, not through the PROMESA certification process.

The approval marks a step forward in channeling unused public funds toward initiatives that aim to make a tangible impact in Puerto Rico’s communities.