The Northern Marianas Commonwealth Legislature convened on September 27, 2025, to discuss a proposed bill aimed at reforming the practice of backbilling by public agencies. The meeting highlighted the financial strain that unexpected backbills impose on families and the need for greater fairness and transparency in billing practices.

The proposed legislation seeks to eliminate the surprise of receiving large, unexpected bills that can disrupt household budgets. It establishes clear limits on how far back agencies can bill for undercharges when the error is not the customer's fault. Key provisions include requiring advance notice, itemized explanations, and the option for affordable payment plans. Under the new plan, if an agency discovers underbilling, customers would be able to repay the debt in manageable installments over 24 to 36 months, with fees and interest waived if the error lies with the agency.

The bill also aims to stabilize public finances by allowing agencies to recover verified underbilling in a lawful and transparent manner. This approach is expected to improve cash flow for agencies while reducing reliance on the general fund. The proposed legislation outlines five key guardrails: limits on backbilling periods, transparency in billing statements, affordable payment plans, due process for appeals, and internal discipline for agencies to prevent future errors.

Supporters of the bill argue that it promotes fairness and accountability, benefiting both households and public agencies. By ensuring predictable collections, the legislation aims to protect essential services during budget cuts and foster public trust in government operations.

In conclusion, the proposed bill represents a significant step towards reforming billing practices in the Northern Marianas, emphasizing fairness for ratepayers and accountability for public agencies. The legislature is expected to vote on the bill in the coming weeks, with advocates urging swift support to implement these necessary changes.