Community Development

In fiscal ·year 1969, building activities continued on the upswing with an increase of 20 percent over the previous year.

A total of 1,900 building and miscellaneous permits was issued by the Department of Public Works for an estimated value on residential and commercial construction of $15.5 million. Of the permits issued, 1,530 were for new residential dwellings.

Despite the increase in the building boom, there remains acute housing shortage in the territory. With the continuing annual population increase, boosted in part by newcomers establishing permanent or temporary residency, the problem is likely to remain acute for the next few years. It is estimated that the territory needs approximately 4,000 more homes to satisfy the ever-growing housing requirement, including at least 1,400 to accommodate military families.

The Guam Housing and Urban Renewal Authority in fiscal year 1969 began construction of a 250-unit lowrent housing project. These units will be used primarily to accommodate low-income families who are to be displaced by one of two urban renewal projects the authority is implementing.

At an estimated cost of $5.1 million in Federal funds, the low-rent project consists of six sites, all located within a mile of the capital city of Agaria. The units include duplexes and fourplexes,-ranging in size from one bedroom to six bedrooms.

Construction began in February 1969 by the Central Mill Supply Co., a South Korean firm which submitted the lowest bid in competition with other • qualified local contractors. Lawrence Johnsrud and Associates of Guam is the architect for the project.

Construction schedule calls for 18 months, with the completion of the entire project expected by June of 1970. At this writing, all six sites were cleared and being graded. At one site, where construction first started, the streets have been laid out, building foundations have been poured and hollow block walls were being laid.

Federal funds allocated for the project thus far totaled $2,167,000.

In conjunction with urban renewal, the development of the nontitle I subdivision adjacent to the Sinajana project area was authorized by the Ninth Guam Legislature and approved by the Governor. It calls for 18 acres of undeveloped land to be developed into 54 residential lots, averaging 6,500 square feet in size.

Initially, the sum of $300,883 in Concurrences on acquisition prices for funds was earmarked by the Legislature for the project. Of the amount, $93,075 has been utilized for land purchase, and another $18,000 has been committed to pay for the plans and specifications contracted to Trasen and Associates of Guam. Bids for site development were announced at the end of the fiscal year, and construction is expected to begin before the end of 1969.

Meanwhile, work on the urban re-

sI T E 4 (38·UN1TS) PROJECT GUAM H. AGANA

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The Guam Housing and Urban Renewal Authority this year began the construction of a 250-unit low-rent public housing project primarily oo accommodate families to be relocated as a result of urban renewal action. The $5.1 million project is federally funded by HUD and consists of six sites all located close oo the capital of Agana. Photo above shows the architecture's sketch of site 4 in Agana Heights.

newal projects continued to progress. Concurrences on acquisition prices for 240 properties to be acquired by the authority in the Sinajana project were received from the U.S. Department of Housing and Urban Development. A total of 525 parcels are scheduled to be acquired as part of the Sinajana Urban Renewal Plan.

For the Yona urban renewal project, the first acquisition appraisal report by the Norman D. Fitzgerald and Associates of California was completed during the year. However, the execution of the Loan and Grant Contract with HUD was held back because the territory's workable program certification which expired in November 1968 has not been recertified by HUD.

The Sinajana project consists of 214.9 acres and includes 679 residential and other buildings. Of the 679 structures, 426 are to be cleared, 229 designated for rehabilitation, and 24 to be retained as they are.

About half the size of Sinajana, the Yona urban renewal project encompasses 87.14 acres. It includes 237 buildings, of which 156 are to be cleared, 73 designated for rehabilitation, and eight to remain as they are.

Both urban renewal projects are financed on a 75/25 percent matching basis. Of the $12,292,040 estimated gross cost for Sinajana, the Federal share amounts to $9,298,436 and the local government's contribution is $2,993,604. For the Yona project, the Federal Government has reserved $3,821,115 and the local share is $1,230,345 for a gross total of $5,051,460.

The Guam Housing Corporation approved 72 loan applications for a total value of $986,315 during the fiscal year. This is almost double that of the previous year, when 49 home loans were approved for an estimated value of $661,500.

At the end of fiscal year, 71 applications for loans totaling approximately $1 million were still awaiting availability of funds. The corporation has already sought a legislative appropriation for that amount, which has yet to be approved. In addition, there were approximately 180 more application valued at $2.5 million being processed.

To help .alleviate the housing shortage, the Guam Rental Corporation has under construction 115 rental units. This is an FHA multifamily housing project under section 221 ( d) 3, otherwise known as Below Market Interest Rate Program. It is designed for low and moderate income families and for nonhomeowners in the same bracket.

Being developed by the Kaiser-Hawaii Kai contractor, work on the project began in December 1968. As of the end of the fiscal year 1969, .57 units were completed. The rest are expected to be completed by November 1969.

The Guam Power Authority, created by law the previous fiscal year, began operation on March 15, 1969 when it took over the assets and facilities of the electric system for the private sector of the territory, formerly operated by the Public Utility Agency of the Government of Guam.

Headed by a board of directors, the nucleus of the GPA personnel included 113 employees who were formerly with PUAG engaged in power operation. A general manager also was hired by the Board to direct the day-to-day operations of the authority. • A resolution signed by the Governor on June 16, 1969 authorized the Guam Power Authority to issue revenue bonds in the aggregate principal

A 115-unit low-rent public housing project began construction during the year and is expected to be completed by November 1969. Built by the Guam Housing Corporation for low- and moderate-income families, it is an FHA multifamily housing project federally financed under what is known as Below Market Interest Rate Program.

amount of $11 million, of which $1,425,000 in series A bonds.

Revenue from the series A bonds will be used to purchase and install an 11,000 kilowatts diesel generating equipment. It will be located at the new Tamuning Commercial Industrial Park, a site secured from the Guam Economic Development Authority. The new equipment is expected to arrive on Guam by December 1969, and test operation to begin February 1, 1970.

The remaining funds on the bond financing program are to be used for expansions and improvements of the island's power system.

The GPA also has finalized plans to build a 33,000 kilowatt steam generating • plant at an estimated cost of $9,575,000. Other plans call for increasing substation capacity and higher voltage transmission system.

In fiscal year 1969, the authority's annual gross revenue amounted to $4,563,919.

Expansion of the islandwide telephone system continued during the year under the Public Utility Agency of Guam. The $2:5 million expansion program included the construction of a new 6,000-line capacity exchange in Tumon and the additions of new lines to the Agana Central Exchange to bring its capacity to 6,000.

Also under construction were an 800-line central office in Agat to serve the southwestern portion of the island, and a 400-line central office in Merizo to serve the southern communities. The exchange in Mangilao was being expanded to satisfy the growing demand for telephone services in the central portion of the island, which is also served by the Agana Central Exchange.

Extensive preparation was also made during the year to convert the island's dialing system from six to seven digits and bring Guam in line with the international system. The change-over, scheduled for August 1969, will affect only telephones serviced by the Government of Guam exchanges, exclusive of the military.

An increase in telephone rates was approved during the fiscal year but will not become effective until October 1, 1969 after improvements of services have been accomplished. The hike affects both residential and commercial telephones, with an increase of as much as $4 for the co~mercial private line, from $16 to $20 per month.

Consumption of water for both commercial and domestic use in fiscal year 1969 was approximately 7.3 million gallons per day. This is an increase of 4.3 percent over the previous year's 7.0 million requirement per day. The increase was attributed to the 848 new water services connected to various consumers during the year. It is anticipated that by 1970, the daily consumption will rise to 8.5 million gallons, and by 1975 the average will be 12.5 million gallons per day.

There were 29 deep water wells in operation as the second increment of the water resource development program was completed. The third inc~ment now underway includes six additional reservoirs, two new booster stations, rehabilitation of used springs, and the interconnection of the Central Water System with Talofofo, Malojloj, and Inarajan in the southern part of the island.

The island's water supply comes from four major sources-Government of Guam, Layne International, Navy, and the Air Force. Because of its limited w~ter sources, Government of Guam purchases water from Layne International, Navy, and Air Force in order to meet the requirement for the ever-growing civilian community.

To help defray the rising cost in operation and services, Public Utility also increased the water rate for com-

mercial and domestic use on April 1, 1969 from 50 cents per thousand gallons to 65 cents.

Work on the construction of an islandwide sewer system continued during fiscal year 1969. The Dededo sewer lines in the northern part of the island were completed as well as portions of the Tumon sewer lines and pumping s~tions. There are now 10 sewer pumping stations either in use or under construction. Work was underway in Asan, Piti and the western section of Agana in preparation for linkage to the central sewer system.

In Fiscal Year 1969, 147 tie-ins were made to the sewer lines. This number was lower than had been anticipated. One reason was that it cost the homeowner or commercial establishment approximately $300 to make the tie-in from his property to the sewer lines. Another w~. the law which gives the property owner a grace period • of 5 years to make the hookup if his cesspool or septic iank is still in good condition.

The Department of Land Management completed two survey projects for subdivisions, One was an agricultural subdivision in Malojloj comprising 95 lots ~nd the other was a 26-lot residential subdivision in Talofofo, both in the southern part of the island.

During the year, 200 parcels were surveyed, 383 private maps were processed, and 44 land registration cases were verified. The Department's Land Planning Division received 255 maps, of which 111 were for lot parceling, 19 tracts for residential subdivision, 63 tracts for rural subdivision, and 62 parcels for land registration. The Territorial Land Planning Commission, an arm of Land Management, approved 46 applications for changes in zone, 4 7 for variances, and also rejected 19 requests for zone changes or variances.

During the year, the Department's Land Administration Division acquired 18 parcels of land by exchange and seven parcels by purchase. It also acquired 133 grants of easement for power, 155 grants of easement for water and sewer lines, 17 grants of easement for road rights of way, and 11 parcels for school sites.

A total of 91 parcels of land in Malojloj and Talofofo were disposed of by the Land Transfer Board. Building permits for 765 units were also inspected for compliance with the building setback requirement, and 790 business licenses were processed. During the year, 6,210 documents were also recorded and the number of Certificates of Title issued totaled 2,309.

Revenues collected included $4,344 for application fees, $21,147 for document tax, $448 for photographic services, $31,059 for registry fees, $22,856 for rental of government land, and under the Agana Revolving Fund, $175,915 was collected for land sales.

The Board of Engineering and Architectural Examiners reported an increase in registered engineers from 43 to 47.

As part of the antipoverty program, the Guam Economic Opportunity Commission initiated a home improvement project to provide temporary repairs of homes of low-income families as a stopgap measure to health hazards. During the year, the EOG completed repairs on 37 homes throughout the island, while repairs on 26 others were underway.