Military makes Continental's hub in Guam more valuable
By BILL HENSEL JR.
HoustonChronicle
May 30, 2008
The military is the reason Continental Airlines has a hub on Guam, and the military is the reason it could get a big boost soon.
Continental Micronesia, which began in 1968 as an offshoot of the carrier's troop transport business during the Vietnam War, is expected to benefit over the next few years as the U.S. territory plays a central role in the realignment of U.S. forces in the region.
Some 170,000 people live on the Pacific island now, but the population is expected to swell by nearly one-third to roughly 225,000 by 2014, according to David Cohen, former deputy assistant secretary of the Interior Department.
That will mean Guam will have to be better equipped to handle the influx, said Cohen, the federal representative to the U.S. Pacific community from 2005 to 2007.
"The military buildup is going to require that Guam's civilian infrastructure be significantly upgraded and significantly expanded," said Cohen, a lawyer who returned to private practice earlier this year.
"The public infrastructure on Guam is not adequate to meet the needs of the current population."
The buildup will require thousands of additional skilled workers, and that is expected to trigger more business for Continental Micronesia, a subsidiary of Houston-based Continental.
Known as Air Mike, the carrier has 30 departures a day to 23 cities across the Pacific Rim, Micronesia and Hawaii.
Continental Micronesia is the dominant carrier in the region and the largest private employer in Guam, with more than 1,500 workers.
Northwest Airlines, Japan Airlines, China Airlines and All Nippon Airways also serve the island.
The carrier already is seeing a "slight uptick" in travelers, said Mark Erwin, its president and chief executive.
He expects that to accelerate quickly, with an increase of about 12,000 more people than normal during the next year. The carrier now flies about 1.5 million people annually.
"We see this as a great growth opportunity for our fourth hub," he said.
Family ties
Guam Gov. Felix Camacho said during a recent news conference related to Air Mike's 40th anniversary on the island that the carrier, which has a payroll of more than $90 million, is part of Guam's family.
"We do recognize that the privilege of having Continental here on Guam establishes a main transportation hub," the governor said.
"It's not only people who come in and out of Guam. It's also the cargo that comes in daily that affects our lives."
Camacho cited heavy investment at Guam's A.B. Won Pat International Airport that Air Mike has helped attract, and the Federal Aviation Administration recently approved an additional runway.
The Pacific region for Continental, which includes Guam, saw growth of
12 percent during the first quarter of this year compared with last year, according to a recent regulatory filing by the airline. The region generated $257 million in revenue during the quarter, compared with $462 million for Latin America, $606 million for the trans-Atlantic region and $1.3 billion domestically.
Guam often isn't mentioned as a Continental hub alongside Houston, Cleveland and Newark, although that could change as the military shifts some 8,000 Marines — along with about 9,000 dependents — from Okinawa, Japan.
Military presence
The U.S. has long had a military presence in Guam, located on the other side of the International Date Line from the U.S mainland, spurring the slogan "Where America's Day Begins."
The entire island would fit inside Houston's Beltway 8, noted Walter Dias, staff vice president of sales and marketing. Dias has worked for Continental both in Houston and in Guam, where he has lived for the past 15 years.
The relocation of the Marines will cost more than $10 billion and will involve the construction of a new base, housing and improved utilities.
Plans call for billions more to be spent for the Army, Navy and Air Force. Japan will foot about 60 percent of the relocation bill, Cohen said.
The U.S. and Japan came to an agreement to realign U.S. forces and determined it would be in the best interest of both countries if troops were shifted from Okinawa, he said.
"Guam is strategically located but on U.S. soil, which gives the military greater room for maneuvering than is usually the case in foreign nations," Cohen said.
Erwin said Continental could have a Houston-to-Guam flight or Los Angeles-to-Guam flight within about three years. For now, flights from the U.S. mainland stop in Hawaii.
The carrier already has a big presence on Guam, with pilots and flight attendants and others living there, he noted.
Continental Micronesia takes its presence in Guam seriously and is an integral part of the community, Erwin said. That includes donating computers to schools and operating medical evacuation flights when a Guamanian suffers emergency health issues. Those flights are conducted using miles donated by frequent fliers.
Air Mike pilots and flight attendants also largely live there.
"So a lot of money stays on the island," he said.
In addition to the Marines, the buildup is expected to attract an influx of foreign workers, many from the Philippines, as there should be more work available than there are locals to do it as port facilities, the electrical system and wastewater plants will need upgrades.
President Bush signed a bill earlier this month that lifted some caps on temporary foreign workers, although that law may have to be tweaked again, Cohen said.
"But it is certainly a good start to help the military attract the workers it needs to make this happen," he said.
A growing reach
As for Continental, the growth will enhance Continental's international expansion program. Air Mike recently ran a charter flight from China to Guam, which already is a major tourist destination for Japan.
Without naming names, Continental Micronesia's Erwin said Guam's reach will only grow in the coming years.
"This gives us additional opportunities to expand to other international destinations from Guam," he said.
bill.hensel@chron.com
Showing posts with label DOI. Show all posts
Showing posts with label DOI. Show all posts
Friday, May 30, 2008
Wednesday, August 15, 2007
Federalization Bill to be Redrafted
US Senate federalization bill will be redrafted
By Gemma Q. Casas
Variety News Staff
August 17, 2007
U.S. Deputy Assistant Interior Secretary for Insular Affairs David Cohen says he’s been asked by the U.S. Senate Committee on Energy and Natural Resources to redraft S. 1634 and include some of the changes that were suggested during their July 19 hearing.
But Cohen said the controversial provision granting nonimmigrant status to nearly 8,000 migrant workers on the islands will stay despite strong opposition from the Fitial administration.
“This is a unique situation —we’re not going to change that,” he said when asked if the latest version of S. 1634, or the Northern Mariana Islands Covenant Implementation Act, will retain the nonimmigrant provision.
He added that the amended version, which is due to be submitted this month, will not include the nonvoting delegate provision for the Northern Marianas in the U.S. Congress as proposed by a similar bill, H.R. 3079, or the Northern Mariana Islands Immigration, Security and Labor Act.
He said many of the amendments to S.1634 are related to technicalities and clearing ambiguous clauses.
According to Cohen, the federal government recognizes that it has the moral responsibility to ensure that all the migrant workers in the CNMI are given due process and protection.
U.S. House Subcommittee on Insular Affairs Chairwoman Donna Christensen, D-U.S. Virgin Islands, told reporters on Wednesday she will only make minor amendments to her bill, H.R. 3079.
“It’s very possible that we will make some technical amendments to maybe clarify some areas. We still have to look at provisions that cause so much concern here, which is the guest workers’ program. We want to make sure that we treat the temporary guest workers fairly and justly and, if we can, at the same time take into consideration the concerns that have been raised,” she said.
As for Fitial’s proposed federalization bill, Christensen said she will review it. “If there’s something in there that can reasonably be placed in our bill, we will give it consideration,” she said.
Gov. Benigno R. Fitial’s version does not include the nonimmigrant status provision.
Cohen said the CNMI will continue to have nonresident workers even if its immigration system is federalized.
He said it’s not true that the CNMI will only be allowed to host migrant workers until 2017.
“If there is a finding that the CNMI guest worker program is needed, it can be extended in five- year increments indefinitely, as many times as necessary,” he said.
Cohen said Christensen and Guam Congresswoman Madeleine Bordallo, while here, met with some victims of labor abuses through the Federal Labor Ombudsman’s Office.
“They met a young lady from the Philippines who was forced to dance nude and was confined in her barracks,” he said.
The congresswomen also met a Chinese man who was recruited to work as a carpenter but ended up paying his recruiter for a non-existent beautician job on Saipan.
“Now he’s in debt, he’s got no job. He can’t go home,” said Cohen. “They also met a young woman from China who was listed as a singer in her application but she has no singing experience and she didn’t know that that’s what the application said. When she arrived here there was no job after she paid thousands of dollars back home.”
He said all of those cases show the extent of the problems in the local labor and immigration systems.
“Our purpose is not to make the CNMI look bad and we know that there’s a lot of sensitivity in the local administration aboutthe CNMI looking bad in any way,” Cohen said. “We respect that but it’s important for the members of the Congress to know that despite the tremendous progress that the CNMI has made in recent years to improve labor conditions, all the problems are not yet solved.”
By Gemma Q. Casas
Variety News Staff
August 17, 2007
U.S. Deputy Assistant Interior Secretary for Insular Affairs David Cohen says he’s been asked by the U.S. Senate Committee on Energy and Natural Resources to redraft S. 1634 and include some of the changes that were suggested during their July 19 hearing.
But Cohen said the controversial provision granting nonimmigrant status to nearly 8,000 migrant workers on the islands will stay despite strong opposition from the Fitial administration.
“This is a unique situation —we’re not going to change that,” he said when asked if the latest version of S. 1634, or the Northern Mariana Islands Covenant Implementation Act, will retain the nonimmigrant provision.
He added that the amended version, which is due to be submitted this month, will not include the nonvoting delegate provision for the Northern Marianas in the U.S. Congress as proposed by a similar bill, H.R. 3079, or the Northern Mariana Islands Immigration, Security and Labor Act.
He said many of the amendments to S.1634 are related to technicalities and clearing ambiguous clauses.
According to Cohen, the federal government recognizes that it has the moral responsibility to ensure that all the migrant workers in the CNMI are given due process and protection.
U.S. House Subcommittee on Insular Affairs Chairwoman Donna Christensen, D-U.S. Virgin Islands, told reporters on Wednesday she will only make minor amendments to her bill, H.R. 3079.
“It’s very possible that we will make some technical amendments to maybe clarify some areas. We still have to look at provisions that cause so much concern here, which is the guest workers’ program. We want to make sure that we treat the temporary guest workers fairly and justly and, if we can, at the same time take into consideration the concerns that have been raised,” she said.
As for Fitial’s proposed federalization bill, Christensen said she will review it. “If there’s something in there that can reasonably be placed in our bill, we will give it consideration,” she said.
Gov. Benigno R. Fitial’s version does not include the nonimmigrant status provision.
Cohen said the CNMI will continue to have nonresident workers even if its immigration system is federalized.
He said it’s not true that the CNMI will only be allowed to host migrant workers until 2017.
“If there is a finding that the CNMI guest worker program is needed, it can be extended in five- year increments indefinitely, as many times as necessary,” he said.
Cohen said Christensen and Guam Congresswoman Madeleine Bordallo, while here, met with some victims of labor abuses through the Federal Labor Ombudsman’s Office.
“They met a young lady from the Philippines who was forced to dance nude and was confined in her barracks,” he said.
The congresswomen also met a Chinese man who was recruited to work as a carpenter but ended up paying his recruiter for a non-existent beautician job on Saipan.
“Now he’s in debt, he’s got no job. He can’t go home,” said Cohen. “They also met a young woman from China who was listed as a singer in her application but she has no singing experience and she didn’t know that that’s what the application said. When she arrived here there was no job after she paid thousands of dollars back home.”
He said all of those cases show the extent of the problems in the local labor and immigration systems.
“Our purpose is not to make the CNMI look bad and we know that there’s a lot of sensitivity in the local administration aboutthe CNMI looking bad in any way,” Cohen said. “We respect that but it’s important for the members of the Congress to know that despite the tremendous progress that the CNMI has made in recent years to improve labor conditions, all the problems are not yet solved.”
Saturday, June 09, 2007
Message from the DOI on the Military Buildup in the Marianas
The Saipan Tribune
Sunday, June 10, 2007
'Coordination vital for Guam military buildup'
Ginnen I Department of Interior
HAGÅTÑA, Guam-The opportunities and challenges posed by the redeployment of 8,000 U.S. Marines and 9,000 military dependents to this island as part of a force realignment in the Asian-Pacific region was the primary focus of discussion during Interior Secretary Dirk Kempthorne's official visit here.
Kempthorne held talks with Guam Gov. Felix Camacho, Lt. Gov. Michael Cruz, members of the Guam Legislature, Navy and Air Force representatives and the Guam Civilian-Military Task Force during two days of meetings in this strategically important U.S. territory in the Western Pacific.
“I cannot overstate how important it is for the Department of the Interior to work in close coordination with the Department of Defense and the Government of Guam to ensure that this transfer is accomplished as seamlessly as possible,” Kempthorne said. “While Guam will derive great economic benefits from the military build up, the government will need assistance in preparing the territory's infrastructure for the influx of so many thousands of people over a relatively short time. The Interior Department stands ready to help.”
Kempthorne, whose department has overall responsibility for federal policy in the U.S. island territories, was accompanied by BJ Penn, Assistant Secretary of the Navy for Installations and Environment; Donald Schregardus, deputy assistant secretary of the Navy for Environment; and David Cohen, Interior's deputy assistant secretary for Insular Affairs.
In addition to the redeployment of U.S. Marines and their dependents from Okinawa, the Defense Department will be moving other Navy, Air Force and Army units to Guam over the next seven years as part of a major regional realignment. The moves could add an additional 30,000 people to the island's population of about 170,000.
The buildup will infuse an estimated $10.5 billion for new construction, rehabilitation and relocation projects in the territory over the next seven years. The work includes housing, naval and air base facility expansion, road and utility work. The Japanese government is contributing about $6 billion of the total cost and the U.S. government about $4 billion. The government of Guam is planning to improve seaport and utility services and significantly expand its labor force to accommodate the build up.
In addition to meeting government and private sector leaders, Kempthorne was briefed at the principal military bases. On Thursday, he visited the naval base for discussions with Capt. Janice Wynn, Chief of Staff, Commander, Naval Forces Marianas. On Friday, he visited Anderson Air Force Base for talks with Brig. Gen. Doug Owens, wing commander. Both bases will play key roles in the Marine redeployment. During both visits, Kempthorne thanked military personnel for their service.
Kempthorne, Penn and Camacho placed a wreath at War in the Pacific National Historic Park, which honors the thousands of Americans and local Chamorros who died during the World War II occupation and liberation of Guam, as well as the citizens of Guam who suffered during the occupation. Kempthorne also attended the interment of Iosiwo Uruo, a U.S. Army soldier from Guam who was recently killed in action while serving in Iraq.
The Cabinet official visited Ritidian Point National Wildlife Refuge for a first-hand look at efforts by the U.S. Fish and Wildlife Service and the U.S. Geological Survey to eradicate the invasive brown tree snake. Native to Southeast Asia, the species has devastated the native bird populations of Guam, and could spread to other sensitive ecosystems in the Pacific. Both agencies are overseen by the Department of the Interior.
Guam was the second stop of Kempthorne's visit to U.S.-affiliated Pacific communities. He earlier visited the Commonwealth of the Northern Mariana Islands and will next visit the freely associated states of Palau, the Federated States of Micronesia and the Marshall Islands, concluding his official visits in American Samoa.
On Monday, June 11, 2007, Kempthorne will meet with leaders of the Federated States of Micronesia and Pohnpei State during his official visit to the FSM capitol.
Kempthorne will confer with FSM President Emmanuel Mori and Vice President Alik L. Alik, FSM Congress Speaker Isaac Figir and meet with Pohnpei State Gov. Johnny P. David. He will also meet with U.S. Ambassador Suzanne Hale as well as veterans of the U.S. Armed Forces from Pohnpei and visit Nan Madol, the site of ancient megalithic structures.
As Secretary of the Interior, Kempthorne is responsible for overall coordination of federal policy for the U.S. insular areas, advocating for the islands within the federal government, overseeing the distribution of appropriated funds for island territories, and administering U.S. financial assistance for the freely associated states.
Guam, a U.S. territory since 1898, is the largest (212 square miles) and southern most island of the Marianas Archipelago as well as the largest island in the Western Pacific, and serves as the telecommunications and air/sea transportation hub of the region.
Located 1,500 miles east of Manila and 1,500 miles south-southeast of Tokyo, Guam provides flexibility of movement for forward-deployed U.S. forces in the region. About 3,700 miles west-southwest of Honolulu, Guam's Apra Harbor is the largest deepwater port between Hawaii and Manila.
Sunday, June 10, 2007
'Coordination vital for Guam military buildup'
Ginnen I Department of Interior
HAGÅTÑA, Guam-The opportunities and challenges posed by the redeployment of 8,000 U.S. Marines and 9,000 military dependents to this island as part of a force realignment in the Asian-Pacific region was the primary focus of discussion during Interior Secretary Dirk Kempthorne's official visit here.
Kempthorne held talks with Guam Gov. Felix Camacho, Lt. Gov. Michael Cruz, members of the Guam Legislature, Navy and Air Force representatives and the Guam Civilian-Military Task Force during two days of meetings in this strategically important U.S. territory in the Western Pacific.
“I cannot overstate how important it is for the Department of the Interior to work in close coordination with the Department of Defense and the Government of Guam to ensure that this transfer is accomplished as seamlessly as possible,” Kempthorne said. “While Guam will derive great economic benefits from the military build up, the government will need assistance in preparing the territory's infrastructure for the influx of so many thousands of people over a relatively short time. The Interior Department stands ready to help.”
Kempthorne, whose department has overall responsibility for federal policy in the U.S. island territories, was accompanied by BJ Penn, Assistant Secretary of the Navy for Installations and Environment; Donald Schregardus, deputy assistant secretary of the Navy for Environment; and David Cohen, Interior's deputy assistant secretary for Insular Affairs.
In addition to the redeployment of U.S. Marines and their dependents from Okinawa, the Defense Department will be moving other Navy, Air Force and Army units to Guam over the next seven years as part of a major regional realignment. The moves could add an additional 30,000 people to the island's population of about 170,000.
The buildup will infuse an estimated $10.5 billion for new construction, rehabilitation and relocation projects in the territory over the next seven years. The work includes housing, naval and air base facility expansion, road and utility work. The Japanese government is contributing about $6 billion of the total cost and the U.S. government about $4 billion. The government of Guam is planning to improve seaport and utility services and significantly expand its labor force to accommodate the build up.
In addition to meeting government and private sector leaders, Kempthorne was briefed at the principal military bases. On Thursday, he visited the naval base for discussions with Capt. Janice Wynn, Chief of Staff, Commander, Naval Forces Marianas. On Friday, he visited Anderson Air Force Base for talks with Brig. Gen. Doug Owens, wing commander. Both bases will play key roles in the Marine redeployment. During both visits, Kempthorne thanked military personnel for their service.
Kempthorne, Penn and Camacho placed a wreath at War in the Pacific National Historic Park, which honors the thousands of Americans and local Chamorros who died during the World War II occupation and liberation of Guam, as well as the citizens of Guam who suffered during the occupation. Kempthorne also attended the interment of Iosiwo Uruo, a U.S. Army soldier from Guam who was recently killed in action while serving in Iraq.
The Cabinet official visited Ritidian Point National Wildlife Refuge for a first-hand look at efforts by the U.S. Fish and Wildlife Service and the U.S. Geological Survey to eradicate the invasive brown tree snake. Native to Southeast Asia, the species has devastated the native bird populations of Guam, and could spread to other sensitive ecosystems in the Pacific. Both agencies are overseen by the Department of the Interior.
Guam was the second stop of Kempthorne's visit to U.S.-affiliated Pacific communities. He earlier visited the Commonwealth of the Northern Mariana Islands and will next visit the freely associated states of Palau, the Federated States of Micronesia and the Marshall Islands, concluding his official visits in American Samoa.
On Monday, June 11, 2007, Kempthorne will meet with leaders of the Federated States of Micronesia and Pohnpei State during his official visit to the FSM capitol.
Kempthorne will confer with FSM President Emmanuel Mori and Vice President Alik L. Alik, FSM Congress Speaker Isaac Figir and meet with Pohnpei State Gov. Johnny P. David. He will also meet with U.S. Ambassador Suzanne Hale as well as veterans of the U.S. Armed Forces from Pohnpei and visit Nan Madol, the site of ancient megalithic structures.
As Secretary of the Interior, Kempthorne is responsible for overall coordination of federal policy for the U.S. insular areas, advocating for the islands within the federal government, overseeing the distribution of appropriated funds for island territories, and administering U.S. financial assistance for the freely associated states.
Guam, a U.S. territory since 1898, is the largest (212 square miles) and southern most island of the Marianas Archipelago as well as the largest island in the Western Pacific, and serves as the telecommunications and air/sea transportation hub of the region.
Located 1,500 miles east of Manila and 1,500 miles south-southeast of Tokyo, Guam provides flexibility of movement for forward-deployed U.S. forces in the region. About 3,700 miles west-southwest of Honolulu, Guam's Apra Harbor is the largest deepwater port between Hawaii and Manila.
Wednesday, May 16, 2007
Guam Included for First Time in Pacific Islands Forum
Guam included for first time in Pacific Islands Forum
by Michele Catahay, KUAM News
Tuesday, May 15, 2007
Governor Felix Camacho, during his recent trip to the mainland, received some positive news at the Eighth Pacific Islands Conference of Leaders in the nation's capitol. Guam's governor will be part of the state delegation to the Pacific Islands Forum, which will be the first time the territory will attend.
Camacho told KUAM News on Monday, "We have always been not allowed to attend even as observers and our argument is that although we are U.S. governors, that we are in the Pacific and we have vested interest in what happens. Decisions that are made out there affect us, so we should have a voice."
The conference in Washington, DC was hosted by the U.S. State Department. The main topic discussed was the impending military buildup and how the opportunities for labor and employment can spill over to the other islands in the region. In addition, the East-West Center out of Honolulu, Hawaii has agreed to conduct a study on the labor opportunities for Guam and other islands in the region.
The fund for the study will come from the Department of the Interior.
by Michele Catahay, KUAM News
Tuesday, May 15, 2007
Governor Felix Camacho, during his recent trip to the mainland, received some positive news at the Eighth Pacific Islands Conference of Leaders in the nation's capitol. Guam's governor will be part of the state delegation to the Pacific Islands Forum, which will be the first time the territory will attend.
Camacho told KUAM News on Monday, "We have always been not allowed to attend even as observers and our argument is that although we are U.S. governors, that we are in the Pacific and we have vested interest in what happens. Decisions that are made out there affect us, so we should have a voice."
The conference in Washington, DC was hosted by the U.S. State Department. The main topic discussed was the impending military buildup and how the opportunities for labor and employment can spill over to the other islands in the region. In addition, the East-West Center out of Honolulu, Hawaii has agreed to conduct a study on the labor opportunities for Guam and other islands in the region.
The fund for the study will come from the Department of the Interior.
Wednesday, May 09, 2007
New Zealand to Take Advantage of Guam's Economic Boom?
Saturday, 05 May 2007
http://www.stuff.co.nz/4046737a13.html
US wants NZ to join Guam boom
The United States Government is urging New Zealand businesses to take advantage of a planned economic boom on the Pacific island of Guam.
David Cohen, Deputy Assistant Secretary of the Interior for Insular Affairs, said the US is to spend US$14 billion (NZ$19 billion) investing in Guam as it moves marines from the Japanese island of Okinawa to a new base.
Mr Cohen is responsible for the US' relationship with its territories in the Pacific, such as Guam and American Samoa, as well as economic assistance to nations in association with the US, such as the Marshall Islands.
He said that, by 2010, the population of Guam would increase by 25 per cent to about 205,000 because of the massive increase in troop numbers.
Besides the construction of the base, there would also be a big development of associated infrastructure to cope with the influx of marines.
Mr Cohen said many New Zealand businesses, including Fletcher Building, had wide experience in the South Pacific, and the US was keen for assistance.
New Zealand business people would also find it easy to travel in the region because of the business waiver agreement with the US.
He called on New Zealand businesses to attend the Island Business Opportunities conference to be held in Guam in October.
The conference would detail opportunities in infrastructure investment and incentives to do business in the island nations with which the US has a strong relationship.
Mr Cohen's office is responsible for a budget of US$425 million, which is mostly spent on aid and other assistance to the US' Pacific territories.
The US recently signed a new compact with the Marshall Islands and the Federated States of Micronesia which allocates US$3.5 billion of assistance to them over 20 years.
Another new compact with Palau is also being negotiated.
Mr Cohen said the US experience with the Micronesian nations had many similarities to New Zealand's relationship with the South Pacific.
Residents of the US territories in the Pacific have rights of citizenship, while the nations in free association have rights of residency.
Mr Cohen said the historical relationship was a double-edged sword that acted as a "safety valve" for those needing employment, but also created a brain-drain effect.
He is in New Zealand for the Pacific Futures conference, being held in Auckland today.
The conference is looking at business opportunities for New Zealanders in the Pacific.
Other speakers include Honolulu Mayor Mufi Hannemann.
http://www.stuff.co.nz/4046737a13.html
US wants NZ to join Guam boom
The United States Government is urging New Zealand businesses to take advantage of a planned economic boom on the Pacific island of Guam.
David Cohen, Deputy Assistant Secretary of the Interior for Insular Affairs, said the US is to spend US$14 billion (NZ$19 billion) investing in Guam as it moves marines from the Japanese island of Okinawa to a new base.
Mr Cohen is responsible for the US' relationship with its territories in the Pacific, such as Guam and American Samoa, as well as economic assistance to nations in association with the US, such as the Marshall Islands.
He said that, by 2010, the population of Guam would increase by 25 per cent to about 205,000 because of the massive increase in troop numbers.
Besides the construction of the base, there would also be a big development of associated infrastructure to cope with the influx of marines.
Mr Cohen said many New Zealand businesses, including Fletcher Building, had wide experience in the South Pacific, and the US was keen for assistance.
New Zealand business people would also find it easy to travel in the region because of the business waiver agreement with the US.
He called on New Zealand businesses to attend the Island Business Opportunities conference to be held in Guam in October.
The conference would detail opportunities in infrastructure investment and incentives to do business in the island nations with which the US has a strong relationship.
Mr Cohen's office is responsible for a budget of US$425 million, which is mostly spent on aid and other assistance to the US' Pacific territories.
The US recently signed a new compact with the Marshall Islands and the Federated States of Micronesia which allocates US$3.5 billion of assistance to them over 20 years.
Another new compact with Palau is also being negotiated.
Mr Cohen said the US experience with the Micronesian nations had many similarities to New Zealand's relationship with the South Pacific.
Residents of the US territories in the Pacific have rights of citizenship, while the nations in free association have rights of residency.
Mr Cohen said the historical relationship was a double-edged sword that acted as a "safety valve" for those needing employment, but also created a brain-drain effect.
He is in New Zealand for the Pacific Futures conference, being held in Auckland today.
The conference is looking at business opportunities for New Zealanders in the Pacific.
Other speakers include Honolulu Mayor Mufi Hannemann.
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