Puerto Rico Governor Pushes Back Against U.S. Control Board
- Oversight panel would manage debt restructuring and budgets
- Commonwealth is seeking to reduce $70 billion debt load
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Puerto Rico Governor Alejandro Garcia Padilla welcomed proposed federal legislation that would help the island restructure its $70 billion of debt, while saying it imposes too much U.S. control over the commonwealth.
A draft measure by House Republicans that has circulated on Capitol Hill would give a federal control board the legal authority to oversee a reduction of the island’s debts, instead of entrusting that power to local officials. The board would have the ability to cut the budget if Puerto Rico lawmakers are unable to erase the chronic deficits that are at the root of the fiscal crisis -- a step that would take key decisions away from the island’s legislature and governor.