Oversight Board’s Day-to-Day Operations Continue in Accordance with its Mandate under PROMESA
After the White House terminated six Board Members, the Oversight Board continues its day-to-day operations and its work with the administration of Governor Jenniffer González Colón and the Puerto Rico Legislative Assembly on the priorities around fiscal responsibility, as mandated under PROMESA.
The budget for the Commonwealth and the covered instrumentalities were certified by the Oversight Board in June, and the Fiscal Plans were also certified earlier this year. The Oversight Board expects new members to join before the next budget and fiscal plan certification.
Fiscal stability and government reform are in the interest of the people of Puerto Rico, and the Oversight Board fully intends to continue to work on those priorities.
Executive Director Robert F. Mujica Jr. Testifies in Congress on the Oversight Board’s Work
PROMESA is working. This is one of the key points that the Oversight Board’s Executive Director Robert F. Mujica, Jr. told Congress during his testimony on July 16.
In 2016, Puerto Rico’s liabilities – over $130 billion – was comparable to a sovereign debt crisis like Argentina or Greece. With the Oversight Board’s support, Puerto Rico has made significant progress.
“Debt service costs are now affordable. Government spending is now aligned with revenues. Structural deficits have been eliminated. Pensions are funded,” said Mujica Jr. “Congress gave Puerto Rico a path out of crisis. Our commitment now is to finish the job.”
The Oversight Board estimates that it has saved Puerto Rico more than $72 billion in debt payments and reduced spending through aligning expenses with revenues and other reforms. In addition, the Oversight Board stopped laws from implementation that would have added at least $30 billion in cost to the government’s budget over the long term.
“My family left Puerto Rico and found opportunity in New York. My grandfather owned a grocery store, which is where I learned to understand the discipline and responsibility that comes with running a business. My parents, dedicated public servants, taught me that good government can change lives. That is what guides me in my work for Puerto Rico. I came here to help build a future where families have opportunities and where there is a path for progress. This is personal to me.”
Mujica spoke before the U.S. House Subcommittee on Indian and Insular Affairs’ Committee on Natural Resources, which is chaired by Chair Rep. Jeff Hurd (R-CO) and Ranking Member Rep. Teresa Leger Fernández (D-NM), and was attended by Rep. Bruce Westerman (R-AR), the chairman of the House Committee on Natural Resources, P.R. Resident Commissioner Rep. Pablo José Hernández Rivera (D-PR), Rep. Alexandria Ocasio Cortez (D-NY), Rep. Ritchie John Torres (D-NY), Rep. Nydia Velázquez (D-NY), among others.
Click here for the full hearing and related documents.
New Fortress Energy Contract is Withdrawn After Oversight Board Review
After the Oversight Board cited concerns with a proposed contract between Genera PR (as agent to PREPA) and NF Energía (NFE) to supply liquefied natural gas (LNG) to Puerto Rico, Puerto Rico’s Third-Party Procurement Office informed the Oversight Board that the proposed contract is no longer being advanced for the Oversight Board’s review and approval.
The proposed contract had a 15-year term and an estimated value of approximately $20 billion. It is the largest contract ever submitted to the Oversight Board for review and approval. The proposed contract would have locked Puerto Rico into a long-term commitment with a single supplier.
The Oversight Board conducted a comprehensive review of the proposed contract and requested information and documentation from the relevant parties and issued letters on July 9, 2025, and July 22, 2025 outlining its concerns, including inconsistencies with the Request for Proposal (RFP).
Notably, the Oversight did not find any party on the Government side who provided a compelling rationale for the terms of the proposed contract or advocate for its approval. This raises serious questions about the soundness of the agreement and the need for further scrutiny.
Improving Salaries for School Cafeteria Workers
The Oversight Board, working with the Puerto Rico Department of Education (PRDE) and its School Food, increased salaries for thousands of school cafeteria workers, one of several remuneration plans for government employees the Oversight Board and the Government overhauled together.
The Oversight Board spoke with workers, union representatives, and officials about the process and the results, and what it means for the workers who provide thousands of meals to public school children.
Just like in other cases, the Government and the Oversight Board together established a compensation methodology to set the salaries of job classifications and employees outside of a salary structure. The methodology is grounded in leading practices, market-based data, fiscal responsibility and equity, and is aligned with the methods, principles, and approaches employed in the development of the Central Government’s new Uniform Classification and Remuneration Plan developed through the Civil Service Reform.
The teamwork between the Oversight Board and PRDE resulted in salary increases to over 3,040 cafeteria workers with an average salary increase of $5,500 a year.
Various stakeholders were involved in the process and discussed the need for the salary increases with the Oversight Board, including representatives from the School Food Authority and the union that represents the cafeteria workers.
Watch the English videos here.
In the news
July 23, 2025
Oversight Board Deputy Executive Director Arnaldo Cruz was interviewed by reporter Sonia Valentín for her program “El Calentón” on Radio Isla 1320. Cruz discussed topics related to PROMESA such as why the federal law was enacted, the benefits of PROMESA, the Oversight Board’s accomplishments and challenges, and what the Puerto Rico Government must achieve for the Oversight Board to meet its mandate.
July 10, 2025
Arnaldo Cruz, the Oversight Board’s Deputy Executive Director, was interviewed by WIPR after his presentation before the Primary Health Association of Puerto Rico. Cruz spoke about the challenges in attracting and retaining medical specialists on the Island, and the need to establish more medical residencies for newly graduated doctors, as identified by the Puerto Rico Healthcare Workforce Study commissioned by the Oversight Board.
Watch the interview here.
Stakeholders engagement:
July 23, 2025
Oversight Board Executive Director Robert Mujica met with the new President of the Puerto Rico Chamber of Commerce (PRCC), Margaret Ramírez Báez, and other PRCC directors to discuss key priorities to help move Puerto Rico forward. From energy and healthcare to long-term economic growth, the meeting centered on what matters most to both businesses and local communities.
July 10, 2025
Oversight Board Deputy Executive Director Arnaldo Cruz spoke at the annual conference of the Primary Health Association of Puerto Rico on the next steps to improve the Island’s healthcare sector, including proposals on increasing medical residencies, pilot projects for Centers of Excellence clinics, expanding telemedicine opportunities, and incentive programs for doctors.
July 10, 2025
Executive Director of the Oversight Board, Robert F. Mujica, Jr., met with interns from the Fiscal Agency and Financial Advisory Authority (AFAAF) to discuss Puerto Rico’s financial trajectory, the role of the Oversight Board in this endeavor, and the principles that shape lasting careers. “Reputation is your best letter of introduction,” he told them, emphasizing integrity, loyalty, and other values as the foundation of professional success.
July 9, 2025
Oversight Board officials, including Executive Director Robert F. Mujica, Jr. and Deputy Executive Director Arnaldo Cruz, met with the new President of the University of Puerto Rico (UPR), Zayira Jordán Conde, who began her new post on June 21, 2025. The Oversight Board has been working toward improving the UPR’s fiscal condition and providing better educational services to the public university’s students.
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