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HAGATNA, GUAM – No budget process is ever simple. Each year brings spirited debate, tough decisions, and the challenge of balancing priorities. Yet this year’s Fiscal Year 2026 budget bill represents a milestone achievement for Guam. By passing Bill 44-38, our Legislature has delivered a balanced framework that not only funds essential public services but also provides long-awaited relief to our island’s businesses and families.
Among the most meaningful elements of the budget is the phased reduction of the Business Privilege Tax (BPT), lowering the rate from 5% to 4.5% effective October 1, 2025, and further down to 4% on October 1, 2026. This long-overdue adjustment will provide tangible relief for a number of Guam businesses that fuel our economy. Lowering the BPT allows businesses to reinvest in their employees, stabilize prices, and strengthen their ability to recover from years of economic challenges.
The budget also commits substantial resources to education and health. Over $266 million is appropriated to the Guam Department of Education, ensuring our children and teachers have the support they need. The bill secures funding for the rebuild of Simon Sanchez High School and supports charter schools, scholarships, and workforce training programs that prepare our people for the jobs of tomorrow. At the same time, dedicated funds are directed to the Guam Memorial Hospital and to public safety agencies, strengthening essential services that touch every family on our island.
The General Appropriations Act of 2026 also sets aside funding for tax refunds, prioritizes debt obligations, and allocates revenues responsibly to reserve funds and infrastructure improvements. These measures reflect sound governance—spending wisely, while also planning for long-term stability and resilience.
On behalf of Guam’s private sector community, the Chamber extends its appreciation to the Senators who worked diligently to advance this legislation. We also recognize the Governor’s pivotal role in stewarding Guam’s financial future. We respectfully encourage the Governor to sign this budget into law. Doing so will deliver meaningful relief to Guam businesses, secure vital investments in education and healthcare, and ensure our public safety agencies have the resources they need.
The FY 2026 budget bill is not just a financial blueprint—it is a statement of priorities. And this year, those priorities align with what our community has long called for: relief, recovery, and renewal.
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August 26, 2025
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