Committee tables bill to let CETA use preferred dividends after finance questions

Senator Manny Castro introduced Senate Bill 24-52 to authorize the Commonwealth Economic and Trade Authority (CETA / SIDA) to use preferred dividend receipts as a funding source to implement the agency’s duties under Public Law 22-1.

Director Sasamoto told the committee the preferred dividend stream provides recurring revenue that CETA needs to staff an economic development program and fund international promotion and investor engagement. He said SIDA currently receives approximately $1,080,000 per year (explaining the current annual obligation is roughly $900,000 after deferred periods) and described how prior unpaid loans from public agencies reduced revolving capital SIDA could otherwise have used for infrastructure.

Senators sought details about past uses of dividend funds, whether the dividends were predictable year‑to‑year, and whether directing the funds to CETA would reduce capital for infrastructure. Director Sasamoto listed promotional costs (e.g., trade show participation) and said the agency needs a stable mechanism to support investor outreach and technical evaluation.

The committee asked the Office of the Attorney General to review legal consistency; after discussion the chair moved and the committee voted to table Senate Bill 24-52 for additional research and follow-up.