House Ways and Means hears Finance budget; officials say audit lag, tax-system rollouts and staffing shortfalls risk operations

The House Committee on Ways and Means heard a budget presentation from the Commonwealth Department of Finance on an internal budget submission and the governor’s proposed funding on a morning hearing called by Representative J.P. Sablan.

Department of Finance Secretary Tracy Narita told the committee the department requested roughly $15.8 million for operations but that the governor’s proposal would keep funding at about $10.8 million. She said the department is continuing rollout of a modernized tax system and Tyler Munis post‑implementation work while trying to close long‑running single‑audit gaps.

The department emphasized three priorities: systems, service and people. Secretary Narita highlighted the Revenue Management Information System (RMIS), noting the tax system’s phase‑2 launch for individual income tax and that the department “has already issued more than $23,000,000 in tax refunds.” Director Daniel Alvarez, who oversees Revenue and Taxation, said the department expects to complete RMIS phase 3 later this year to add enforcement, audit and a citizen portal.

But directors said funding and…