Dear Governor Torres and Commissioner Ada — Waiver of the Maintenance of Effort (October 12, 2022)
Summary
A letter dated October 12, 2022 from the U.S. Department of Education's Office of Elementary and Secondary Education, signed by Laura Jimenez, to Governor Ralph Torres and Commissioner Alfred Ada of the Commonwealth of the Northern Mariana Islands. It responds to the July 27, 2022 request from the Governor's office for a waiver of maintenance of effort requirements for higher education and to the November 30, 2021 request from the Public School System for elementary and secondary education. It says the Commonwealth complied with the requirements for fiscal year 2022 and approves the waiver requests for fiscal years 2020 and 2021, citing the effect of the pandemic on tourism and earlier typhoons.
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“Dear Governor Torres and Commissioner Ada — Waiver of the Maintenance of Effort (October 12, 2022).”
Original at www.ed.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/department-of-education-fys-2020-and-2021-waiver-approved-www-ed-gov-5-bb0ca13cc3/
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UNITED STATES DEPARTMENT OF EDUCATION
OFFICE OF ELEMENTARY AND SECONDARY EDUCATION
October 12, 2022
The Honorable Ralph Torres
Governor
Commonwealth of the Northern Mariana Islands
Caller Box 10007
Saipan, MP 96950–8907
Dr. Alfred Ada
Commissioner of Education
Commonwealth of the Northern Mariana Islands Public School System
P.O. Box 501370
Saipan, MP 96950
Dear Governor Torres and Commissioner Ada:
I am responding to: 1) the July 27, 2022, request from the Commonwealth of the Northern Mariana Islands Office
of the Governor (CNMI Governor) to the U.S. Department of Education (Department) for a waiver of the
maintenance of effort (MOE) requirements in section 18008(a) of the Coronavirus Aid, Relief, and Economic
Security Act (CARES Act); section 317(a) of the Coronavirus Response and Relief Supplemental Appropriations
Act, 2021 (CRRSA Act); and section 2004(a)(1) of the American Rescue Plan Act of 2021 (ARP Act) with
respect to higher education; and 2) the November 30, 2021 request from the Commonwealth of the Northern
Mariana Islands Public School System (CNMI PSS) for a waiver of the MOE requirements in section 18008(a) of
the CARES Act with respect to elementary and secondary education.
The Department has reviewed the MOE data submitted by the CNMI Office of the Governor and CNMI PSS and
has determined that CNMI has complied with MOE requirements for FY 2022 under the CRRSA and ARP.
Accordingly, this response only provides a determination applicable to the CARES Act MOE requirements for
fiscal year (FY) 2020 and FY 2021.
Under Part B, Item 3 of the Certification and Agreement for Funding under the Education Stabilization Fund
Program-Outlying Areas-State Educational Agency (ESF-SEA), CNMI PSS assured compliance with section
18008(a) of the CARES Act. Under Part B, at the fourth bullet of the Certification and Agreement for Funding
under the Education Stabilization Fund Program- Outlying Areas-Governors (ESF-Governor), CNMI Governor
assured compliance with section 18008(a) of the CARES Act. Section 18008(a) states that the entity receiving
funds under ESF-SEA or ESF-Governor programs must: 1) maintain State support for elementary and secondary
education in FYs 2020 and 2021 at least at the levels of such support that is the average of such State’s support
for elementary and secondary education provided over FYs 2017, 2018, and 2019; and 2) maintain State support
for higher education in FYs 2020 and 2021 at least at the levels of such support that is the average of such State’s
support for higher education provided over FYs 2017, 2018, and 2019. Section 2004(a)(2) of the ARP Act, which
also applies to both the CARES Act and the CRRSA Act, allows the Department to grant a waiver of the MOE
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The Department of Education’s mission is to promote student achievement and preparation for global competitiveness by
fostering educational excellence and ensuring equal access.
Page 2 – The Honorable Governor Ralph Torres and Commissioner Alfred Ada
requirements “for the purpose of relieving fiscal burdens incurred by States in preventing, preparing for, and
responding to the coronavirus.”
Under the authority in section 2004(a)(2) of the ARP Act, we are approving the CNMI Office of the Governor
and CNMI PSS MOE waiver requests to relieve fiscal burdens experienced by CNMI for FYs 2020 and 2021. As
indicated in the Department’s Frequently Asked Questions (FAQ) document, the Department’s approach to MOE
waiver requests is rooted in consideration of the impact on students. In evaluating the CNMI Office of the
Governor and CNMI PSS MOE waiver requests, the Department considered all information and data included in
CNMI’s request and the totality of the circumstances.
Based on this information, the Department determined that, despite its efforts to avoid or minimize reductions in
support for elementary and secondary and higher education, multiple emergencies prior to the COVID-19
pandemic—including two extreme natural disasters— compounded by the precipitous decline in financial
resources related to the pandemic forced CNMI to reduce its allocations to all budget areas equally by over 49
percent. Specifically, Super Typhoon Soudelor (2015) caused severe damage to the CNMI and resulted in power
outages and gas lines lasting multiple months. The people of CNMI and their infrastructure had only begun to
recover when Super Typhoon Yutu hit in late 2018, causing more extensive destruction to various parts of the
islands of Saipan and Tinian.
The Department also considered the impact of the COVID-19 pandemic on tourism, CNMI’s primary industry.
The 2015 and 2018 typhoons had already depressed tourism in CNMI, limiting CNMI’s ability to prevent, prepare
for, and respond to the COVID-19 pandemic. This vulnerability was exacerbated by pandemic-related travel
restrictions in East Asian countries such as China, Japan, and South Korea that make up the majority of visitors to
CNMI. The CNMI continues to experience below average economic activity since the tourism industry has not
yet recovered, which led to additional government-wide budget declines in FYs 2021 and 2022.
The Department determined that approval of the MOE waiver requests for FY 2020 and 2021 is appropriate based
upon our consideration of the totality of the circumstances, including review of the CNMI Office of the Governor
and CNMI PSS MOE waiver requests; the Department’s application of the statutory requirements; and the
Department’s approach to MOE waiver requests noted in the FAQ.
Thank you for reaching out to the Department and for your ongoing commitment to education. If you have any
questions, please contact ESF.Outlying@ed.gov.
Sincerely,
Laura Jimenez
Laura Jimenez
Director, Office of State and Grantee Relations
Office of Elementary and Secondary Education
United States Department of Education
CC: Patrick Carr, Director, Rural, Insular, and Native Achievement Programs
Office of Elementary and Secondary Education
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