EDITORIAL
New Island compact a good deal for all

A new Compact of Free Association between two former Trust Territory nations and the United States offers great promise, both for the island nations and for jurisdictions that host those islanders for education and work.

President Bush this week signed the new compact that provides $3.5 billion to the Federated States of Micronesia and the Marshall Islands over the next 20 years.

In exchange, the United States retains military rights such as the use of Kwajalein for missile testing and continues foreign policy and security authority over this vast stretch of the Pacific.

Under pressure from Hawai'i's congressional delegation, the new law also doubles to $30 million the proposed amount of "impact" aid given to Hawai'i and three American flag jurisdictions in the Pacific to help offset the costs of providing for immigrants from the island nations.

Under the compact, residents of the Marshalls and the Federated States are free to move to anywhere within the United States. Frequent destinations are Hawai'i and American flag islands such as Guam and American Samoa or the Mariana Islands.

The immigrants come here for schooling, employment or healthcare. Host jurisdictions have long argued that these immigrants, while welcome, often pose a financial burden if they go on welfare or apply for extensive medical care.

Since they are here by virtue of a federal law, the federal government should help foot the bills, Hawai'i has argued.

Doubling the originally proposed $15 million should give Hawai'i a chance to offer more than custodial care to these immigrants. The need is for education, advanced job training and other resources that will ensure they become productive citizens either here or back in their home islands.

That is where much of the "extra" money should go.

Meanwhile, the $3.5 billion, 20-year payout has been creatively structured in such a way that the islands will eventually be able to get along without direct help from the United States. Part of the money will be put into a trust fund that can be tapped when the Compact of Free Association expires.

That's sensible. But the United States must realize that the payments are more than simple welfare. They go to offset costs, both physical and human, that stem from long years of American occupation of these islands.

And they are a direct tradeoff for Micronesian and Marshallese agreement that the United States will maintain a foreign policy and military presence in this part of the Pacific.

Both sides benefit from this deal.