commitment to the high-growth scenario. We need to increase our tax collection-this has long been one of our big problems. Right now we need to focus on transitioning [U.S. Compact] capacity building money into local revenue. But other states are in the difficult position of having to transition out money into something they don't have-local revenue.
PM: How has the most recent typhoon affected your administration?
RR: I'm an old man, and I've never in my entire life seen a typhoon like this. We estimate 80 percent damage to the food crop throughout Yap. Seventy percent of betelnut trees were knocked down, which seriously impacted our exports-Yap had been averaging $3.5 to $4 million in annual betel nut exports.
This typhoon has really been a big challenge, and it has changed the plans that I brought into office with me. We were fortunate to have saved money which can now help us; without that I don't know how we could have pulled through. Our state legislature has appropriated over $2 million.
Private homes and government buildings are 80 percent damaged. We're grateful for FEMA's (Federal Emergency Management Agency) assistance, but I believe this will be the last time FEMA helps us, since we've negotiated a different deal under the new Compact. We've prioritized health and education buildings for reconstruction and repair, and we intend to expand from there once those projects are completed. FEMA has been good about compensating families, but repair of public facilities has been slow. We still need to repair our sports facilities for the Micro Games in 2006.
PM: How do you feel about the newly amended Compact with the U.S. and the next 20 years of assistance?
RR: I am not satisfied with the results of the negotiations, but then, who am I to say I am not happy since I was not involved in negotiating? My role is implementation, but I tell you it is very difficult to implement something I totally disagree with.
I think the way the Compact's final product is written is too much of an infringement on the part of the United States. The real problem the U.S. has is with the way we used the money under the first Compact, and is the cause for the Compact we have today. We are now paying the price. The U.S. wants to make sure we don't misuse the money this time around.
So we goofed, and now we're being penalized. But this is very disappointing for me, because I don't think that Yap is the one that goofed. But we're part of a team, so this is how it works.
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