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Friday, May 20, 2011

Pierluisi Says A Status Change Is Essential To Stop Exodus of Puerto Ricans to the States

Resident Commissioner also details actions he has taken with respect to the Jones Act


Kissimmee, Florida- Resident Commissioner Pedro Pierluisi said today that the only way to haltthe exodus of Puerto Rico residents to the United States is to change the Island’s political status to one that better fosters economic development and job creation.

Pierluisi made these remarks in a speech delivered at the Second Summit on Puerto Rico Affairs, held in Kissimmee, Florida. Also participating at the Summit were representatives of the National Coalition of Puerto Rican Chambers of Commerce, Florida Senator Bill Nelson and Kissimmee Vice-Mayor Art Otero.

The Resident Commissioner noted that every state but one experienced an increase in population between 2000 and 2010, whereas Puerto Rico, according to the most recent data from the U.S. Census Bureau, experienced a population decrease of 2.2%, or about 83,000 people.

“Although there is a longstanding tradition of migration from Puerto Rico to the states, the departure rate exploded beginning in 2006, the year in which the Island’s economy entered a recession. Between 2005 and 2009, more than 300,000 people moved from Puerto Rico to the states. Many settled right here in Florida,” said the Resident Commissioner.

According to data collected by the Statistical Institute of Puerto Rico, Puerto Ricans leaving the Island tend, on average, to be younger and more educated than those who remain. This “brain drain” has hit fields like medicine, science and engineering particularly hard. Individuals in vital service sectors—such as teachers, police officer and firefighters—appear to be leaving Puerto Rico in high numbers as well.

“For Puerto Rico leaders, this data should serve as a wake-up call. More than that, it should serve as a call to action. The reality is this: people, no matter where they are from, will always seek greater economic opportunities for themselves and their families. If migrating means a better job, better health care or a better education for their children, then many will migrate,” said the Resident Commissioner in his speech.

Pierluisi said that, from his perspective, it is clear that Puerto Rico’s present political status— under which Island residents are treated worse than their fellow American citizens in the states in countless ways—has significantly impeded the Island’s economic progress.

The Resident Commissioner also noted that the recently-issued White House Task Force Report on Puerto Rico’s Status expressly stated that resolving Puerto Rico’s political status question is central to advancing the Island’s economy.

“Put simply, Puerto Rico cannot wait another 10, 20, or 112 years to resolve its status. We must act now if we want to bolster the Island’s economic growth, lower unemployment, and stop the exodus of Island residents to the states,” he said.

In his speech, Pierluisi also argued that Puerto Ricans in the Sunshine State have transformed themselves into a force to be reckoned with—politically, socially and economically.

In addition, the Resident Commissioner outlined the steps he has taken with respect to the Jones Act. Earlier this week, Pierluisi asked the Government Accountability Office, Congress’s investigative arm, to prepare a report examining the impact of the Jones Act’s application to Puerto Rico, in terms of its effect on both the Puerto Rico economy and the broader U.S. economy.

“Many of my constituents, including respected Island economists, have expressed concern that Puerto Rico consumers and producers are hurt—and the Island’s economic growth is hindered— by higher shipping costs potentially associated with the Jones Act. My goal in requesting the report is simple: to obtain the economic data needed to develop a well-informed opinion on the issue. If GAO performs the study, and if that study shows Puerto Rico is being economically disadvantaged by the Jones Act, I will consider offering legislation to address the problem. But any actions I take will be based on hard evidence, not speculation,” said Pierluisi.

The Resident Commissioner emphasized that Puerto Rico ought to be an attractive location for Florida companies to invest, noting that the Island is part of the U.S. currency and banking system, enjoys the protection of the U.S. legal system, provides a variety of investment incentives, and is home to an educated and bilingual workforce.

Finally, Pierluisi detailed the actions undertaken by the administration of Governor Luis
Fortuño to put Puerto Rico’s fiscal house in order after inheriting a $3.3 billion deficit from his predecessor. The Resident Commissioner noted that the current administration’s efforts have been recognized by the major credit rating agencies, and also observed the the government has developed a comprehensive strategy to address Puerto Rico’s extremely high energy costs and to reduce the burden they place on Island businesses.