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House Finance Committee reviews Department of Natural and Environmental Resources budget; agency cites $152 million gap
Summary
The House Finance Committee on May 2 reviewed the Department of Natural and Environmental Resources proposed budget for fiscal 2025–26, where the agency reported a $152 million gap between assigned funds and projected needs.
The House Finance Committee on May 2 reviewed the Department of Natural and Environmental Resources (DRNA) proposed budget for fiscal 2025–26, Secretary Waldermar Quiles Pérez told lawmakers the consolidated agency budget assigned by the Office of Management and Budget totaled about $100,338,000, plus roughly $7,000,000 in special allocations.
The hearing was convened under a joint resolution referenced by the committee and in the context of the oversight board review required by PROMESA, the Puerto Rico Oversight, Management, and Economic Stability Act. Secretary Quiles Pérez said the department estimates a gap of about $152,000,000 between the amounts assigned and the agency’s projected operational needs in the coming year.
Why it matters: DRNA oversees flood-control infrastructure, coastal and marine protection, enforcement personnel and natural-areas management. Quiles Pérez told the committee that while some line items can be reprogrammed during the fiscal year, other needs require discussion now with the governor’s office and the fiscal oversight board.
Key numbers and funding sources cited at the hearing: - Consolidated budget (OGP-assigned): $100,338,000, plus $7,000,000 in special allocations, per Secretary Waldermar Quiles Pérez. - Agency-estimated shortfall vs. assigned amounts: $152,000,000. - Federal funds received by DRNA (year-to-date reported in the hearing): roughly $700,000,000 from a mix of federal partners, including FEMA, NOAA, U.S. Fish and Wildlife, Coast Guard, EPA and others. - Agency own-source revenue projection: approximately $48,000,000. - Recovery/FEMA figures mentioned in the presentation: a remnant balance of about $94,000,000, 147 FEMA projects totaling roughly $234,000,000 assigned, and ARPA-related resolutions near $62,000,000.
Committee members asked for follow-up documentation on several items, including a project-by-project list of FEMA and ARPA funds, which the secretary accepted and the committee set a five-day turnaround to provide.
Throughout the hearing lawmakers and agency staff emphasized that a large portion of the department’s work is operational rather than administrative; Quiles Pérez said the department is approximately 75% operational and 25% administrative, which underpins the department’s argument for maintaining and augmenting operational funding.
Quiles Pérez also highlighted that some elements of the department’s portfolio — including infrastructure and long-term capital projects — will be subject to oversight and revision as the governor and the oversight board complete their budget reviews and adjustments.
The committee recessed and then closed the hearing after lawmakers confirmed they would receive the additional financial materials requested.
Ending: The Finance Committee scheduled additional hearings on related agency budgets and asked DRNA to provide the requested documentation within the timeline the panel set.
