US: Proposed control board for Puerto Rico would cost $370M

SAN JUAN, Puerto Rico – The U.S. government says that it would cost $370 million to implement a federal control board envisioned by legislation pending in Congress to oversee Puerto Rico’s finances and that the island would have to pay the cost.

The Congressional Budget Office issued the report Friday as Puerto Rico seeks help from the U.S. Congress to restructure $70 billion in public debt as the U.S. territory’s government runs out of money amid the island’s decade-long economic slump.

The U.S. House is expected in upcoming weeks to debate the bill that proposes creation of a financial control board for Puerto Rico, among other things.

The Congressional Budget Office also says that completing reports and administrative requirements detailed in the measure would cost the U.S. government $1 million next year.