GAO-20-491, COMPACTS OF FREE ASSOCIATION: Populations in

COMPACTS OF

FREE ASSOCIATION

Populations in U.S.

Areas Have Grown,

with Varying Reported

Effects

Report to the Chairman of the

Committee on Energy and Natural

Resources, U.S. Senate

June 2020

GAO-20-491

United States Government Accountability Office

Highlights of GAO-20-491, a report to the

Chairman of the Committee on Energy and

Natural Resources, U.S. Senate

June 2020

COMPACTS OF FREE ASSOCIATION

Populations in U.S. Areas Have Grown,

with Varying

Reported

Effects

What GAO Found

More than 94,000 compact migrants—that is, citizens of the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands),

and the Republic of Palau (Palau) as well as their U.S.-born children and

grandchildren younger than 18 years—live and work in the United States and its

territories, according to Census Bureau data. Data from Census Bureau surveys

covering the periods 2005-2009 and 2013-2017 and an enumeration in 2018

show that the combined compact migrant populations in U.S. areas grew by an

estimated 68 percent, from about 56,000 to about 94,000. Historically, many

compact migrants have lived in Hawaii, Guam, and the Commonwealth of the

Northern Mariana Islands (CNMI). From 2013 to 2018, an estimated 50 percent

of compact migrants lived on the U.S. mainland.

Estimated Compact Migrant Populations in Selected U.S. Areas, 2013-2018

Hawaii, Guam, and the CNMI track and report the financial costs related to

compact migration, or compact impact, for their state or territory. These areas

reported estimated costs totaling $3.2 billion during the period fiscal years 2004

through 2018. In fiscal years 2004 through 2019, Hawaii, Guam, and the CNMI

received a combined total of approximately $509 million in federal grants to help

defray the costs of providing services to compact migrants.

In the U.S. areas GAO visited—Arkansas, the CNMI, Guam, Hawaii, Oregon,

and Washington—state and territorial officials identified effects of providing public

education and health care services to compact migrants. Some area

governments use a combination of federal and state or territorial funds to extend

health care coverage to compact migrants. For example, some states help

compact migrants pay for coverage through health insurance exchanges, created

under the 2010 Patient Protection and Affordable Care Act, by covering the cost

of premiums not covered by advanced premium tax credits available to eligible

compact migrants. Effects of compact migration in these U.S. areas also include

compact migrants’ budgetary contributions through payment of taxes and fees as

well as their workforce contributions—for example, through jobs in hotels,

manufacturing, the U.S. military, poultry processing, caregiving, and government.

View GAO-20-491. For more information,

contact

David Gootnick at (202) 512-3149

[email protected].

Why GAO Did This Study

The

U.S. compacts of free association

permit

eligible citizens from the freely

associated states

(FAS), including

Micronesia

, the Marshall Islands, and

Palau,

to migrate to the United States

and its territories

without visa and

labor certification requirements.

fiscal year 2004, Congress

authorized

and

appropriated $30 million annually

for 20 years to help defray

costs

associated with compact migration in

affected jurisdictions

, particularly

awaii, Guam, and the CNMI. This

funding ends in 2023, though

migration to U.S. areas is permitted

continue

and is expected to grow.

GAO was asked to

review topics

related to

compact migration. This

report describes (1)

estimated

compact migrant

populations and

recent trends in compact migration

;

(2)

reported costs related to compact

migration

in Hawaii, Guam, and the

CNMI

; and (3) effects of compact

migration on governments,

workforces, and societies

in these and

other

U.S. areas. GAO reviewed

ensus Bureau data to determine the

number

s of compact migrants in U.S.

areas.

In addition, GAO interviewed

federal, state, and territory

government officials

; representatives

of private sector and nonprofit groups

employing or serving compact

migrants

; FAS embassy and consular

officials; and members of compact

migrant communities

In commenting on a draft of th

report, U.S. area governments and

FAS Ambassadors to the United

States identified areas for additional

study related to compact migration

and impact. Some also discussed

policy considerations, including

restor

ation of Medicaid benefits to

compact migrants.

Page i GAO-20-491 Compacts of Free Association

Letter 1

Background 3

Compact Migrant Population Has Grown, with About Half Residing

on U.S. Mainland 13

Hawaii, Guam, and the CNMI Have Reported Compact Impact

Costs and Received Annual Grants to Defray Them 21

Compact Migration Affects Government Programs, Workforces,

and Societies 30

Agency Comments, Third-Party Views, and Our Evaluation 47

Comments from U.S. Areas 47

Comments from Freely Associated States 50

Appendix I Objectives, Scope, and Methodology 53

Appendix II Estimates of Compact Migrants in U.S. Areas 58

Appendix III Federal Travel Data Showing Compact Migration to U.S. Areas 65

Appendix IV Demographics and Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and Puerto Rico 67

Appendix V Compact Impact Costs Reported by Hawaii, Guam, and the

Commonwealth of the Northern Mariana Islands 74

Appendix VI Compact Migrant Enumeration Methods, Definitions, and Error 76

Appendix VII Stakeholder Suggestions to Address Challenges Related to Compact

Migration 82

Contents

Page ii GAO-20-491 Compacts of Free Association

Appendix VIII Nonprofit and Private Sector Organizations Supporting Compact

Migrants 89

Appendix IX Review of Academic Studies of the Workforce Effects of Migration

Similar to Compact Migration 94

Appendix X Compact Migrant Eligibility for, and Access to, REAL ID–Compliant

Identification 98

Appendix XI Comments from the Government of Hawaii 101

Appendix XII Comments from the Government of Guam 102

Appendix XIII Comments from the Government of the Commonwealth of the

Northern Mariana Islands 105

Appendix XIV Comments from the Government of Arkansas 107

Appendix XV Comments from the Government of Oregon 111

Appendix XVI Comments from the Government of Washington 117

Appendix XVII Comments from the Government of the Federated States of

Micronesia 122

Page iii GAO-20-491 Compacts of Free Association

Appendix XVIII Comments from the Government of the Republic of the Marshall

Islands 136

Appendix XIX Comments from the Government of the Republic of Palau 140

Appendix XX GAO Contact and Staff Acknowledgements 144

Tables

Table 1: Compact Migrant Eligibility for Selected U.S. Federal

Programs as of November 2019 12

Table 2: Estimated Compact Impact Costs Reported by Hawaii,

Guam, and the CNMI, by Sector, Fiscal Year 2017 23

Table 3: Compact Impact Grant Funding to Hawaii, Guam, and the

Commonwealth of the Northern Mariana Islands (CNMI),

Fiscal Years 2004-2019 25

Table 4: Total Underpayment and Overpayment of Compact

Impact Grant Funding to Affected Jurisdictions Resulting

from Enumeration Error, Fiscal Years 2015-2020 28

Table 5: Original and Corrected Allocations of Compact Impact

Grant Funding and Proposed Grant Amounts for Affected

Jurisdictions for Fiscal Years 2021-2023 30

Table 6: Estimated Number of Compact Migrant Students in State

and Territorial Public Schools in Selected U.S. Areas 31

Table 7: Examples of Industries Employing Compact Migrants in

Selected U.S. Areas 41

Table 8: U.S. Areas and FAS Communities Where We Interviewed

Compact Migrants 56

Table 9: Estimated Compact Migrant Populations in Selected U.S.

Areas and Percentage Changes in Populations from

2005-2009 to 2013-2018 58

Table 10: Estimated Compact Migrant Populations, by U.S. Area

of Residence, 2013-2017 60

Table 11: Estimated Compact Migrant Populations, by U.S. Area

of Residence and Freely Associated State (FAS)

Birthplace, 2013-2017 62

Page iv GAO-20-491 Compacts of Free Association

Table 12: Demographic Estimates of the Compact Migrant

Populations in the 50 U.S. States, the District of

Columbia, and Puerto Rico, 2013-2017 67

Table 13: Demographic Estimates of Compact Migrants in Hawaii,

2013-2017 70

Table 14: Estimated Compact Impact Costs Reported by Hawaii,

Guam, and the CNMI, 1986-2018 74

Table 15: Census Bureau Methods Used to Enumerate Compact

Migrants in Affected Jurisdictions, 1993-2018 77

Table 16: Definitions of “Compact Migrant” Used in Census

Bureau Enumerations, 1993-2018 79

Table 17: Original and Corrected Enumeration Counts, 2013 and

2018 81

Figures

Figure 1: Locations of the Freely Associated States and Affected

Jurisdictions 10

Figure 2: Compact Migrant Populations in U.S. Areas, 2013-2018 16

Figure 3: Estimated Compact Impact Costs Reported by Hawaii,

Guam, and the CNMI, Fiscal Years 2004-2018 22

Figure 4: Guam Schools Built through Leaseback Program

Funded by Compact Impact Grants 27

Figure 5: States and Territories That Had Extended Coverage to

Lawfully Residing Children or Pregnant Women under the

Children’s Health Insurance Program Reauthorization Act

of 2009 as of February 2020 33

Figure 6: Washington State Health Care Authority Advertisement

with Information in English and Six Other Languages

Spoken by Compact Migrants 36

Figure 7: Federally Qualified Health Center Offering Services to

Compact Migrants in Honolulu, Hawaii 38

Figure 8: Cumulative Monthly Net Migration of Migrants from the

Freely Associated States to U.S. Areas, 2017-2019 66

Figure 9: Estimates of Compact Migrant Populations in Hawaii,

Guam, and the CNMI, 1993-2018 80

Figure 10: We Are Oceania One-Stop Shop for Compact Migrants

in Hawaii 90

Figure 11: Charity Organization That Provides Services to

Compact Migrants on Saipan, Commonwealth of the

Northern Mariana Islands 92

Page v GAO-20-491 Compacts of Free Association

Abbreviations

ACS American Community Survey

ADIS Arrival and Departure Information System

CBP Customs and Border Protection, Department of

Homeland Security

CHIP Children’s Health Insurance Program

CNMI Commonwealth of the Northern Mariana Islands

DHS Department of Homeland Security

EAD employment authorization document

FAS freely associated state

Interior Department of the Interior

Marshall Islands Republic of the Marshall Islands

Micronesia Federated States of Micronesia

OIA Office of Insular Affairs, Department of the Interior

Palau Republic of Palau

PPACA Patient Protection and Affordable Care Act

PRWORA Personal Responsibility and Work Opportunity

Reconciliation Act of 1996

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Page 1 GAO-20-491 Compacts of Free Association

441 G St. N.W.

Washington, DC 20548

June 15, 2020

The Honorable Lisa Murkowski

Chairman

Committee on Energy and Natural Resources

United States Senate

Dear Madam Chairman:

In May 2019, the Presidents of the United States, the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall

Islands), and the Republic of Palau (Palau) reaffirmed their countries’

commitments to the compacts of free association between the United

States and each of the three other nations. These agreements provide,

among other things, for U.S. economic assistance to these three freely

associated states (FAS), exclusive U.S. military use rights and defense

responsibilities in the FASs, and the ability of eligible FAS citizens to

enter the United States without a visa and reside indefinitely in U.S.

areas—the 50 U.S. states, the District of Columbia, and the U.S.

territories. Since the compacts went into effect—in 1986 for Micronesia

and the Marshall Islands and in 1994 for Palau—tens of thousands of

migrants from these countries have established residence in U.S. areas.

While many compact provisions are ongoing, certain economic

assistance to Micronesia and the Marshall Islands ends in fiscal year

2023 and assistance to Palau ends in fiscal year 2024.

In addition,

certain annual federal grants to designated U.S. areas to defray costs

resulting from migration under the compacts (compact migration) from the

three FASs to these areas are set to end in fiscal year 2023. Legislation

defines these designated areas—Hawaii, Guam, the Commonwealth of

the Northern Mariana Islands (CNMI), and American Samoa—as affected

jurisdictions.

Migration from the FASs to U.S. areas can be expected to

Many compact provisions, including some related to defense and migration, last in

perpetuity or until terminated in accordance with the terms of the compacts, according to

officials at the Department of State.

Compact of Free Association Amendments Act of 2003, Pub. L. No.108-188 (2003). In

this report, we refer to the act as “the amended compacts’ implementing legislation.” The

act included provisions in addition to those necessary to implement the compacts,

including provisions authorizing and appropriating grants for the affected jurisdictions until

2023.

Letter

Page 2 GAO-20-491 Compacts of Free Association

continue beyond the expiration of these grants to the affected

jurisdictions. In September 2019, the Deputy Assistant Secretary of State

for Australia, New Zealand, and the Pacific Islands testified that the

Department of State is coordinating an interagency group to evaluate a

range of options to promote the United States’ continued relationship with

Micronesia, the Marshall Islands, and Palau.

You asked us to review topics related to compact migration in advance of

upcoming discussions regarding the expiration of certain assistance

under the compacts in 2023. This report (1) presents estimates of

compact migrant populations and describes recent trends in compact

migration; (2) summarizes the reported costs related to compact

migration (compact impact costs) in three affected jurisdictions—Hawaii,

Guam, and the CNMI; and (3) describes effects of compact migration on

governments, workforces, and societies in these and other U.S. areas.

As part of this review, we obtained special tabulations of data from the

Census Bureau’s 2013-2017 American Community Survey for the 50 U.S.

states, District of Columbia, and Puerto Rico. For the U.S. territories

included in this review that are not covered by the survey (Guam and the

CNMI), we used the revised 2018 Census Bureau enumeration of

compact migrants in these areas. We also obtained compact impact cost

information that the affected jurisdictions reported annually to the

Department of the Interior (Interior) and information about grants that they

received to defray these costs.

Additionally, we traveled to, and interviewed stakeholders in, six U.S.

states and territories with compact migrant populations, including three

affected jurisdictions (Hawaii, Guam, and the CNMI) and three mainland

states (Arkansas, Oregon, and Washington). We selected these areas on

the basis of previously reported compact migrant populations and the

locations of consulates or Honorary Consuls for Micronesia, the Marshall

Sandra Oudkirk, Deputy Assistant Secretary for Australia, New Zealand, and the Pacific

Islands, Bureau of East Asian and Pacific Affairs, Department of State, testimony before

the U.S. House of Representatives Committees on Foreign Affairs and Natural Resources,

Sept. 26, 2019.

Because of American Samoa’s small reported FAS population—estimated by the Census

Bureau at 25 in 2018—this report does not address compact migrants in American

Samoa. For information about American Samoa minimum wage increases, see GAO,

American Samoa: Economic Trends, Status of the Tuna Canning Industry, and

Stakeholders' Views on Minimum Wage Increases, GAO-20-467 (Washington, D.C.: June

11, 2020).

Page 3 GAO-20-491 Compacts of Free Association

Islands, and Palau. Stakeholders whom we interviewed for this review

included federal officials from agencies such as Interior, the Department

of State, and the Department of Homeland Security (DHS); state and

territorial government officials in areas we visited; representatives of

private sector and nonprofit organizations such as chambers of

commerce, employers of compact migrants, and nonprofit service

providers; FAS embassy and consulate officials or Honorary Consuls; and

compact migrants living in the areas we visited.

We also obtained data from DHS Customs and Border Protection’s Arrival

and Departure Information System to determine net migration to U.S.

areas. To assess the reliability of the data, we spoke with DHS officials to

identify potential data reliability concerns and other limitations, and we

validated the data by checking it against publicly available passenger

data from the Department of Transportation. We found that the data were

sufficiently reliable to describe net compact migration from 2017 through

2019.

For more details of our objectives, scope, and methodology, see

appendix I.

We conducted this performance audit from March 2019 through June

2020 in accordance with generally accepted government auditing

standards. Those standards require that we plan and perform the audit to

obtain sufficient, appropriate evidence to provide a reasonable basis for

our findings and conclusions based on our audit objectives. We believe

that the evidence obtained provides a reasonable basis for our findings

and conclusions based on our audit objectives.

Micronesia, the Marshall Islands, and Palau are among the smallest

countries in the world. In fiscal year 2017, the three FASs had a

combined resident population of approximately 175,000 (102,622 in

Consular officials and local community members helped us promote and organize

meetings with compact migrants in areas we visited. The approximately 280 individuals

we met with do not represent a generalizable sample of compact migrants, and the

challenges they discussed are not comprehensive.

Background

Page 4 GAO-20-491 Compacts of Free Association

Micronesia; 54,354 in the Marshall Islands; and 17,901 in Palau).

Interior’s Office of Insular Affairs (OIA) has primary responsibility for

monitoring and coordinating U.S. assistance to the FASs, and State is

responsible for government-to-government relations.

The U.S. relationship with the FASs began when American forces

liberated the islands from Japanese control near the end of World War II.

In 1947, the United States entered into a trusteeship with the United

Nations and became the administering authority over Micronesia, the

Marshall Islands, and Palau.

Voters approved the Constitution of the

Federated States of Micronesia in 1978 and approved the Constitution of

the Marshall Islands in 1979. Both Micronesia and the Marshall Islands

remained subject to the authority of the United States until 1986, when a

compact of free association went into effect between the United States

and the two nations.

The Palau constitution took effect in 1981, and

Palau entered into a compact of free association with the United States in

1994.

Micronesia and Marshall Islands became members of the United

Nations in 1991, while Palau joined the organization in 1994.

Under its compacts with Micronesia, the Marshall Islands, and Palau, the

United States provided economic assistance that includes access to

certain federal services and programs, among other things, for defined

time periods.

These population estimates were developed by the Economic Monitoring and Analysis

Program of the Graduate School USA with funding assistance from Interior’s Office of

Insular Affairs. See Graduate School USA, Economic Monitoring and Analysis Program,

FSM FY 2018 Economic Brief (August 2019), RMI FY 2018 Economic Brief (August

2019), and Palau FY 2018 Economic Brief (June 2019).

Under the United Nations trusteeship agreement, the United States was the

administering authority for the Trust Territory of the Pacific Islands: Micronesia, the

Marshall Islands, Palau, and the Northern Mariana Islands. In 1975, the Northern

Marianas became a commonwealth in political union with the United States.

Compact of Free Association Act of 1985, Pub. L. No. 99-239 (Jan. 14, 1986).

See Proclamation 6726, Placing into Full Force and Effect the Compact of Free

Association with the Republic of Palau, 59 Fed. Reg. 49777 (Sept. 27, 1994) and Palau

Compact of Free Association, Pub. L. No. 99-658 (Nov. 14, 1986).

Compacts of Free

Association

Economic Assistance

Provisions

Page 5 GAO-20-491 Compacts of Free Association

• Economic assistance to Micronesia and the Marshall Islands. The

1986 compact of free association between the United States and

Micronesia and the Marshall Islands, respectively, provided about

$2.6 billion in funding for fiscal years 1987 through 2003.

In 2003,

the United States approved amended compacts of free association

with the two countries. According to Interior, economic assistance

under the amended compacts is projected to total $3.6 billion,

including payments for compact sector grants and trust fund

contributions for both countries in fiscal years 2004 through 2023.

Funding under the original compact and amended compacts has been

provided to Micronesia and the Marshall Islands through Interior.

• Economic assistance to Palau. The compact of free association

between the United States and Palau entered into force in 1994 and

provided $574 million in funding through Interior for fiscal years 1995

through 2009 for assistance to the government, contributions to a trust

fund, construction of a road, and federal services.

In September

2010, the United States and Palau signed an agreement that would,

among other things, provide for additional assistance to Palau,

See Department of the Interior, Office of Insular Affairs, Budget Justifications and

Performance Information, Fiscal Year 2021. For more information about the compacts with

Micronesia and the Marshall Islands, see GAO, Foreign Assistance: U.S. Funds to Two

Micronesian Nations Had Little Impact on Economic Development, GAO/NSIAD-00-216

(Washington, D.C.: Sept. 22, 2000). In addition to receiving funding through Interior,

Micronesia and the Marshall Islands received funding through other federal agencies. For

further information on selected federal programs, loans, and services, see GAO, Foreign

Assistance: Effectiveness and Accountability Problems Common in U.S. Programs to

Assist Two Micronesian Nations, GAO-02-70 (Washington D.C.: Jan. 22, 2002).

See Department of the Interior, Office of Insular Affairs, Budget Justifications and

Performance Information, Fiscal Year 2021. For more information about the amended

compacts and the sector grants and trust funds, see GAO, Compacts of Free Association:

Actions Needed to Prepare for the Transition of Micronesia and the Marshall Islands to

Trust Fund Income, GAO-18-415 (Washington, D.C.: May 17, 2018). Under the amended

compacts with Micronesia and the Marshall Islands, economic assistance includes sector

grants in annually decreasing amounts for 2004 through 2023. The amended compacts

require that the sector grants be targeted to sectors such as education, health care, the

environment, public sector capacity building, private sector development, and public

infrastructure or to other sectors as mutually agreed, with priority given to education and

health. See GAO-18-415, appendix IV, for information about U.S. grants and programs

that end, or do not end, in 2023.

See Department of the Interior, Office of Insular Affairs, Budget Justifications and

Performance Information, Fiscal Year 2021. For more information about the Palau

compact, see GAO, Compact of Free Association: Palau's Use of and Accountability for

U.S. Assistance and Prospects for Economic Self-Sufficiency, GAO-08-732 (Washington,

D.C.: June 10, 2008). In addition to receiving funding through Interior, Palau received

funding through other federal agencies; see GAO-08-732, appendix VI.

Page 6 GAO-20-491 Compacts of Free Association

including contributions to its trust fund.

The 2010 agreement and

subsequent amendments entered into force in September 2018.

According to Interior, direct assistance to Palau under the compact

will total $229 million for fiscal years 2010 through 2024, including

$105 million that Congress provided in annual appropriations in fiscal

years 2010 through 2017.

Under the compacts, the United States has responsibility for defense and

security matters in, and relating to, each of the FASs, and subsidiary

agreements pursuant to the compacts provide for U.S. military use and

operating rights in these countries. According to the Department of

Defense, the compacts have enabled it to maintain a critical strategic

position in the Indo–Pacific region.

The compact with the Marshall

Islands also provided for a separate agreement that constituted a full and

final settlement of all claims resulting from U.S. nuclear tests conducted in

The Agreement between the Government of the United States of America and the

Government of the Republic of Palau Following the Compact of Free Association Section

432 Review, September 3, 2010. For more information about U.S. assistance to Palau,

see GAO, Compact of Free Association: Proposed U.S. Assistance to Palau and Its Likely

Impact, GAO-11-559T (Washington, D.C.: June 16, 2011).

See Consolidated Appropriations Act, 2018, Pub. L. No. 115-141, Div. G, title I, § 114,

132 Stat. 348, 660 (2018).

See Department of the Interior, Office of Insular Affairs, Budget Justifications and

Performance Information, Fiscal Year 2021. For more information about the 2010 Palau

agreement, see GAO, Compact of Free Association: Proposed U.S. Assistance to Palau

for Fiscal Years 2016 to 2024, GAO-16-788T (Washington, D.C.: July 6, 2016).

See testimony before the House Committees on Foreign Affairs and Natural Resources

of Randall G. Schriver, Assistant Secretary of Defense for Indo-Pacific Security Affairs,

Office of the Secretary of Defense, September 26, 2019.

Defense-Related Provisions

Page 7 GAO-20-491 Compacts of Free Association

the Marshall Islands during the period 1946 through 1958.

In addition, a

subsidiary agreement with the Marshall Islands secured the United

States’ access to the U.S. military facilities on Kwajalein Atoll, which are

used for missile testing and space tracking activities.

Under the compacts, eligible FAS citizens are exempt from certain visa

and labor certification requirements of the Immigration and Nationality Act

as amended.

The migration provisions of the compacts allow eligible

FAS citizens to enter the United States (including all states, territories,

and possessions) and to lawfully work and reside in the United States

indefinitely.

The implementing legislation for the 1986 compact with Micronesia and

the Marshall Islands stated that it was not Congress’s intent to cause any

The United States conducted nuclear tests in the Marshall Islands from 1946 to 1958.

Under the agreement for the implementation of Section 177 of the Compact (Section 177

Agreement), the U.S. government provided $150 million to the Marshall Islands to

establish a nuclear claims fund and an independent Nuclear Claims Tribunal to adjudicate

all claims. While the Section 177 Agreement constituted a full and final settlement of all

claims resulting from the U.S. nuclear testing program, Article IX of the Section 177

Agreement, entitled “Changed Circumstances,” provides for the government of the

Marshall Islands to request the U.S. Congress to consider the provision of additional

compensation for injuries resulting from the U.S. nuclear testing program in the

circumstances specified. Article IX provides that “[i]f loss or damage to property and

person of the citizens of the Marshall Islands, resulting from the Nuclear Testing Program,

arises or is discovered after the effective date of this Agreement, and such injuries were

not and could not reasonably have been identified as of the effective date of this

Agreement, and if such injuries render the provisions of this Agreement manifestly

inadequate," the government of the Marshall Islands may request that the U.S.

government provide additional compensation for such injuries by submitting such a

request to the U.S. Congress. Article IX explicitly states that it is understood that it does

not commit the Congress to authorize and appropriate funds. The government of the

Marshall Islands submitted such a petition in September 2000. In November 2004, the

Executive Branch provided a report evaluating this petition. The report advised that the

facts did not constitute changed circumstances warranting compensation beyond the $150

million contained in the compact.

The compacts of free association use the term “immigration” when referring to these

provisions. For the purposes of this report, we refer to them as migration provisions.

Under the amended compacts, compact migrants from Micronesia and the Marshall

Islands must have a valid machine-readable passport to be admitted into the United

States. While the compacts allow eligible FAS citizens to work in the United States,

documentation issued by the U.S. government may be required to demonstrate work

authorization to employers. For example, an FAS citizen from Micronesia or the Marshall

Islands may present an unexpired FAS passport and Form I-94 Arrival/Departure Record

(known as Form I-94) to employers to demonstrate identity and employment authorization.

Migration-Related Provisions

Page 8 GAO-20-491 Compacts of Free Association

adverse consequences for U.S. territories and commonwealths and the

state of Hawaii.

The legislation further declared that Congress would act

sympathetically and expeditiously to redress any adverse consequences.

In addition, the legislation authorized compensation to be appropriated for

these areas that might experience increased demands on their

educational and social services from compact migrants from Micronesia,

the Marshall Islands, and Palau.

The legislation required the President to report and make

recommendations annually to Congress regarding adverse consequences

resulting from the compact and provide statistics on compact migration. In

November 2000, Congress made the submission of annual reports about

the impact of compact migration in affected jurisdictions—that is, compact

impact reports—optional and shifted the responsibility for preparing these

reports from the President to the governors of Hawaii and the territories.

In December 2003, Congress took steps in the amended compacts’

implementing legislation to address compact impact in designated U.S.

areas. The legislation restated Congress’s intent not to cause any

adverse consequences for the areas defined as affected jurisdictions—

Hawaii, Guam, the CNMI, and American Samoa. In addition, the

legislation authorized and appropriated funding for compact impact grants

to the affected jurisdictions, to be allocated on the basis of the proportion

of compact migrants living in each jurisdiction. Further, the legislation

required an enumeration of compact migrants to be undertaken at least

every 5 years. The legislation also permitted affected jurisdictions to

submit compact impact reports to the Secretary of the Interior.

The implementing legislation for the amended compacts authorized and

appropriated $30 million for each fiscal year from 2004 through 2023 for

grants to the affected jurisdictions. According to the legislation, the grants

are provided to aid in defraying costs incurred by these jurisdictions as a

result of increased demand for services due to the residence of compact

Compact of Free Association Act of 1985, Pub. L. No. 99-239, § 104(e) (1986).

Financial compensation was provided to Guam and the CNMI in some years during the

period 1986 through 2001.

See Pub. L. No. 106-504, § 2 (2000).

Legislative Actions to

Address Compact Impact

Compact Impact Grants to

Affected Jurisdictions

Page 9 GAO-20-491 Compacts of Free Association

migrants.

OIA reviews the affected jurisdictions’ annual proposals for

the use of the funds and provides the funds to the jurisdictions as

compact impact grants. The grants are to be used only for health,

educational, social, or public safety services or for infrastructure related to

such services.

Figure 1 shows the locations of the FASs and the affected jurisdictions.

The amended compacts’ implementing legislation, Sec. 104 (e)(6), also “authorized to

be appropriated to the Secretary of the Interior such sums as may be necessary to

reimburse health care institutions in the affected jurisdictions for costs resulting from the

migration of citizens of the Republic of the Marshall Islands, the Federated States of

Micronesia and the Republic of Palau to the affected jurisdictions as a result of the

implementation of the [compacts].” The amended compacts’ implementing legislation,

Sec. 104 (e)(7), requires the Secretary of Defense to make Department of Defense

medical facilities available to properly referred citizens of Micronesia and the Marshall

Islands on a space-available and reimbursable basis.

The amended compacts’ implementing legislation, Sec. 104 (e)(10), authorized

additional appropriations to the Secretary of the Interior for each of fiscal years 2004

through 2023 “as may be necessary for grants to the governments of Guam, the State of

Hawaii, the [CNMI], and American Samoa, as a result of increased demands placed on

educational, social, or public safety services or infrastructure related to service due to the

presence in Guam, Hawaii, the [CNMI], and American Samoa” of compact migrants from

the three FASs. Sec. 104 (e)(9) authorized the President to reduce, release, or waive

amounts owed by the governments of Guam and the CNMI to the United States to

address previously accrued and unreimbursed impact expenses, at the request of the

Governor of Guam or the Governor of the CNMI. Guam requested, but did not receive,

such debt relief. The authority granted in Sec. 104 (e)(9)(A) expired on February 28, 2005.

Page 10 GAO-20-491 Compacts of Free Association

Figure 1: Locations of the Freely Associated States and Affected Jurisdictions

Note: The line around each freely associated state or affected jurisdiction illustrates the general

vicinity of the island area but does not correspond to a territorial boundary or any exclusive economic

zone.

The implementing legislation for the amended compacts requires Interior

to conduct an enumeration of compact migrants, which is to be

supervised by the Census Bureau or another organization selected by

Interior, at least every 5 years beginning in fiscal year 2003. On the basis

of these enumerations, each affected jurisdiction is to receive a portion of

Required Enumerations of

Compact Migrants

Page 11 GAO-20-491 Compacts of Free Association

the annual $30 million appropriation in proportion to the number of

compact migrants living there. The legislation permits Interior to use up to

$300,000, adjusted for inflation, of the annual appropriation for compact

impact to conduct each enumeration.

The amended compacts’ implementing legislation defines a compact

migrant, for the purposes of the enumeration, as “a person, or their

children under the age of 18, admitted or resident pursuant to [the

compacts] who as of a date referenced in the most recently published

enumeration is a resident of an affected jurisdiction.”

Compact migrants have varying eligibility for certain U.S. federal

government programs. Eligibility for some federal programs changed as a

result of the 1996 Personal Responsibility and Work Opportunity

Reconciliation Act.

For example, when the compacts were signed, FAS

citizens were eligible for Medicaid; however, the act removed this

eligibility.

Table 1 shows compact migrants’ eligibility status for selected

federal benefit programs as of November 2019.

Under the agreement between the Census Bureau and Interior, Interior reimbursed the

bureau for these enumerations. In 2008, the enumeration cost approximately $1.3 million,

including headquarters and field costs as well as the cost of final reporting. In 2013 and

2018, the enumerations cost $9,700 and $1.5 million, respectively, according to Interior

officials. The officials noted that the costs of the enumerations ranged widely because the

Census Bureau used existing 2010 Census data in 2013 but collected new data through

special surveys in 2008 and 2018.

The Personal Responsibility and Work Opportunity Reconciliation Act of 1996

(PRWORA), Pub. L. No. 104-193, § 401 (1996).

Section 401 of PRWORA, codified at 8 U.S.C. § 1611, provides that aliens who are not

considered “qualified aliens” under the definition provided in section 431 of PRWORA,

codified at 8 U.S.C. § 1641, are ineligible for certain federal public benefits. Compact

migrants are not considered qualified aliens under that definition.

Compact Migrant Eligibility

for Selected Federal

Programs

Page 12 GAO-20-491 Compacts of Free Association

Table 1: Compact Migrant Eligibility for Selected U.S. Federal Programs as of November 2019

Federal program

Eligible

Ineligible

Old Age, Survivors, and Disability Insurance



Supplemental Security Income



Medicaid



Emergency Medicaid



Medicare



Children’s Health Insurance Program (CHIP)



Temporary Assistance for Needy Families



Supplemental Nutrition Assistance Program



National School Lunch Program/School Breakfast Program



Housing and Urban Development rental assistance



Federal Emergency Management Agency Individuals and Households Program



Enrollment in Patient Protection and Affordable Care Act (PPACA) exchanges



Financial assistance through PPACA exchanges



Source: GAO analysis of relevant laws and regulations and discussions with agency officials. | GAO-20-491

Note: This information applies to compact migrants who are not U.S. citizens.

Eligibility status shown is based solely on compact migrant status. Other eligibility requirements

apply, and a compact migrant may be deemed eligible or ineligible for a benefit on the basis of other

criteria.

Eligibility for Old Age, Survivors, and Disability Insurance (commonly known as Social Security) is

based on work history.

While compact migrants are generally ineligible for Supplemental Security Income, a compact

migrant may be eligible if he or she was receiving such benefits on August 22, 1996.

Section 401 of The Personal Responsibility and Work Opportunity Reconciliation Act of 1996

(PRWORA), Pub. L. No. 104-193, § 401 (1996), codified at 8 U.S.C. § 1611, provides that aliens who

are not considered “qualified aliens” under the definition provided in section 431 of PRWORA,

codified at 8 U.S.C. § 1641, are ineligible for certain federal public benefits, including Medicaid and

CHIP. Compact migrants are not considered qualified aliens under that definition. However, the

Children’s Health Insurance Program Reauthorization Act of 2009, Pub. L. No. 111-3 permits states

to elect to cover children younger than 21 years and pregnant women in both Medicaid and CHIP

who are “lawfully residing in the United States”—a definition that includes compact migrants—and

who are otherwise eligible under the states’ plans. As of February 2020, 38 states and territories and

the District of Columbia had extended coverage under Medicaid or under both Medicaid and CHIP to

lawfully residing non–U.S. citizen pregnant women, children, or both, including compact migrants who

meet all other eligibility requirements.

Compact migrants are generally ineligible for Medicaid and CHIP, although some exceptions apply.

See note d for more detail. States can elect to cover children younger than 21 years and pregnant

women who are lawfully residing in the United States and otherwise eligible under the state plan.

Medicaid provides payment for treatment of an emergency medical condition for a compact migrant if

he or she satisfies all other Medicaid eligibility requirements in the state, such as income and state

residency standards.

Compact migrants are eligible for Medicare parts A, B, C, and D.

In addition to administering the National School Lunch Program and the School Breakfast Program,

the Department of Agriculture administers other child nutrition programs, including the Child and Adult

Care Food Program, Summer Food Service Program, the Fresh Fruit and Vegetable Program, and

the Special Milk Program. While individuals who are eligible to receive free public education benefits

Page 13 GAO-20-491 Compacts of Free Association

under state or local law may not be deemed ineligible to receive benefits in National School Lunch

Program or School Breakfast Program on the basis of citizenship, alienage, or immigration status,

states have some flexibility with regard to citizenship requirements for some of the other programs.

According to the department, no states limit these other programs’ provision of services to U.S.

citizens.

”Housing and Urban Development rental assistance” refers to public housing, Section 8 Housing

Choice Vouchers, Project-based Section 8, and certain other smaller programs (Section 236 and

Rent Supplement program).

According to officials of the Federal Emergency Management Agency, compact migrants are

ineligible for disaster assistance programs, such as the Individuals and Households Program, that are

considered to be federal public benefits and are thus subject to citizenship requirements; however,

they may be eligible to receive certain types of short-term, noncash, in-kind emergency relief. For

example, compact migrants may receive Public Assistance Emergency Assistance services such as

search and rescue; emergency medical care; emergency mass care; emergency shelter; and

provision of food, water, medicine, and other essential needs.

Compact migrants are eligible to apply for coverage in qualified health plans through the

marketplace. They may also be eligible for financial assistance through the marketplace in the form of

premium tax credits or cost-sharing reductions, if they meet the income and other eligibility

requirements.

From 2009 to 2018, the number of compact migrants living in U.S. states

and territories rose by an estimated 68 percent, from about 56,000 to

about 94,000.

• In 2011, we reported that combined data from the Census Bureau’s

2005-2009 American Community Survey and 2008 enumeration

All Census Bureau data in our report have a confidence interval and margin of error at

the 90 percent confidence level (i.e., the Census Bureau is 90 percent confident that the

true number falls within the given range or margin of error). The estimated increase in the

compact migrant population has a margin of error of 11 percentage points. See

GAO-12-64.

Compact Migrant

Population Has

Grown, with About

Half Residing on U.S.

Mainland

Total Compact Migrant

Population in U.S. Areas

Grew by 68 Percent over 9

Years

Page 14 GAO-20-491 Compacts of Free Association

showed an estimated 56,345 compact migrants

living in U.S.

areas.

• During the period 2013 to 2018, an estimated 94,399 compact

migrants lived in U.S. areas, according to combined data from the

Census Bureau’s 2013-2017 American Community Survey and 2018

required enumeration in Guam, the CNMI, and American Samoa.

This estimate includes Micronesian and Marshallese citizens who

entered the United States after 1986, Palauan citizens who entered

the United States after 1994, and certain U.S.-born children younger

than 18 years.

Data from the 2013-2017 American Community Survey and the 2018

enumeration indicate that an estimated 50 percent of compact migrants

lived on the U.S. mainland and an estimated 49 percent lived in the

The Census Bureau’s 2005-2009 American Community Survey and 2008 enumeration

estimated the total number of compact migrants in U.S. states, the District of Columbia,

Puerto Rico, Guam, and the CNMI as ranging from 51,925 to 60,795. Some assumptions

differ from our 2011 analysis, which did not include American Samoa’s estimated

population of 15 compact migrants.

GAO-12-64. The data we reported in 2011 did not include grandchildren.

These U.S. areas included the 50 U.S. states, the District of Columbia, American

Samoa, the CNMI, Guam and Puerto Rico. The American Community Survey does not

cover the U.S. Virgin Islands, and the Census Bureau does not perform a special territorial

enumeration of compact migrants in that territory. Therefore, this estimate and other data

in this report do not count any compact migrants who may live in the U.S. Virgin Islands.

This estimate includes FAS citizens who entered the United States after 1986 (from

Micronesia and the Marshall Islands) or 1994 (from Palau) and their U.S.-born children

(biological, adopted, and step-) and grandchildren younger than 18 years. Because the

Census Bureau also included grandchildren of compact migrants in this estimate, it may

comprise some U.S.-born grandchildren of compact migrants (first- or second-generation

U.S. citizens). In contrast to a census, which produces a population count, the American

Community Survey is a statistical survey and produces estimates with a range of

uncertainty. The Census Bureau’s 2013-2017 American Community Survey for the U.S.

states, the District of Columbia, and Puerto Rico and its 2018 enumeration for Guam, the

CNMI, and American Samoa estimated the total number of compact migrants as ranging

from 89,171 to 99,627. According to Census Bureau officials, because of disclosure

considerations, after providing us with data that include grandchildren, the bureau could

not provide us with data that do not include grandchildren.

About Half of All Compact

Migrants Resided on U.S.

Mainland in 2013-2018

Page 15 GAO-20-491 Compacts of Free Association

affected jurisdictions during this period

: 26 percent in Hawaii, 20 percent

in Guam, and 3 percent in the CNMI.

This estimate indicates growth in

the number of compact migrants on the U.S. mainland since 2011, when

we reported that the Census Bureau estimated 58 percent of compact

migrants lived in the affected jurisdictions.

The Census Bureau estimated that 11 states in the U.S. mainland, in

addition to three of the four affected jurisdictions—Hawaii, Guam, and the

CNMI—had compact migrant populations of more than 1,000, according

to the 2013-2017 American Community Survey and the 2018

enumeration (see fig. 2).

All Census Bureau data in our report have a confidence interval and margin of error at

the 90 percent confidence level. The estimated percentages of compact migrants living on

the U.S. mainland and in the affected jurisdictions each have a margin of error of 4

percentage points. Because of rounding, the percentages do not sum precisely to 100.

The U.S. mainland estimate excludes Alaska, Hawaii, and Puerto Rico in addition to

Guam and the CNMI.

Data from the 2013-2017 American Community Survey and the 2018 enumeration

indicate that an estimated 25 compact migrants—less than 0.1 percent of all compact

migrants—were living in American Samoa, the fourth affected jurisdiction.

The Census Bureau’s estimate had a margin of error of 8 percentage points.

See appendix II for more information about compact migrant populations by state and

territory.

Page 16 GAO-20-491 Compacts of Free Association

Figure 2: Compact Migrant Populations in U.S. Areas, 2013-2018

Notes: For U.S. areas shown with solid shading, the 90 percent confidence interval for the population

point estimate falls entirely in one category (i.e., 0-1,000; 1,000-2,999; or 3,000+). For U.S. areas

shown with variegated shading, the 90 percent confidence interval for the population point estimate

spans the two categories indicated by the shading.

Page 17 GAO-20-491 Compacts of Free Association

Estimates shown for Guam and the CNMI are from the Census Bureau’s revised 2018 compact

migrant enumeration. Estimates for U.S. states are from the bureau’s 2013-2017 American

Community Survey. The estimate for Hawaii, using 2013-2017 data, differs from the revised 2018

compact migrant enumeration, which used 2015-2017 data.

All estimates shown represent citizens of the freely associated states—the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands), and the Republic of

Palau—who entered the United States after 1986 (from Micronesia and the Marshall Islands) or 1994

(from Palau) and their U.S.-born children (biological, adopted, and step-) and grandchildren younger

than 18 years.

Stakeholders we interviewed—including FAS embassy and consular

officials, FAS community members, state government officials, and

representatives of private sector and nonprofit organizations—expressed

concerns about the Census Bureau’s prior estimates of compact

migrants. Some Arkansas stakeholders cited other, higher estimates of

the FAS population in their state. Moreover, some stakeholders said that

compact migrant populations are apprehensive or distrustful about being

formally counted through surveys or the census. Stakeholders also noted

that some compact migrant communities have felt frustrated at having

been encouraged to respond to surveys and be counted but not

experiencing any benefit from these efforts, according to a nonprofit

official and FAS community members.

Marshallese consular officials

said that they believed the 2010 census undercounted their citizens,

noting that the Census Bureau did not employ any Marshallese surveyors

in the Arkansas counties with Marshallese populations.

Stakeholders also expressed concern about the decennial census to be

conducted in 2020, which, like the 2010 decennial census, will collect

information on race.

Nonprofit organization officials whom we

interviewed expressed concern that the 2020 census could result in an

undercounting of compact migrants because of language barriers and

compact migrants’ difficulty accessing the census form online. Arkansas

health care and private sector representatives and the Marshallese

consulate described plans to address barriers to obtaining a more

accurate count of the population in the 2020 census. Hawaii is making a

statewide effort to ensure that compact migrants are counted in the 2020

census, according to Hawaii state officials. According to Guam officials,

an outreach effort in Guam has leveraged “trusted voices,” or parties

Other sources of federal data on compact migration may be available. For example,

Customs and Border Protection’s (CBP) Arrival and Departure Information System

contains arrival and departure data associated with FAS passports; for more information

about these data and estimated net migration to U.S. areas, see appendix III.

FAS respondents to the 2020 decennial census can select “Other Pacific Islander,”

among other options, and can also add a race (e.g., Marshallese).

Stakeholders Expressed

Concerns about

Undercounting of Compact

Migrants

Page 18 GAO-20-491 Compacts of Free Association

known to compact migrant communities there, to communicate the

importance of responding to the 2020 census.

Data from the American Community Survey showed an estimated 72,965

compact migrants living in the 50 states, the District of Columbia, and

Puerto Rico in 2013 through 2017.

• An estimated 31,425 compact migrants living in these areas (43

percent) were U.S. citizens.

The remaining estimated 41,540 (57

percent) were not U.S. citizens.

The U.S. citizens who were counted

included naturalized citizens and minor-age U.S. citizen children of

compact migrants, who would no longer be counted as compact

migrants after reaching 18 years of age.

• An estimated 25,555 compact migrants living in these areas were

born in Micronesia; 20,545 were born in the Marshall Islands; and

3,435 were born in Palau.

These totals do not include compact

All Census Bureau data in our report have a confidence interval and margin of error at

the 90 percent confidence level. The 2018 enumeration of compact migrants did not

provide detailed information about Guam, the CNMI, and American Samoa, and the

American Community Survey does not cover these three territories. The 2013-2017

American Community Survey estimated the number of compact migrants in the 50 U.S.

states, the District of Columbia, and Puerto Rico as ranging from 69,474 to 76,456. See

appendix II for the Census Bureau’s 2013-2017 American Community Survey estimates of

compact migrants, by U.S. area (table 10) and place of birth (table 11). The American

Community Survey also collects data on self-identified ethnicity, age, gender, and

educational attainment, among other things. See appendix IV for additional demographic

information on compact migrants living in the 50 U.S. states, the District of Columbia, and

Puerto Rico.

The Census Bureau’s 2013-2017 American Community Survey estimated the number of

compact migrants living in the 50 states, the District of Columbia, and Puerto Rico who are

U.S. citizens (including those born in U.S. areas, born abroad to U.S. parents, or

naturalized) as ranging from 29,583 to 33,267. This estimate has a margin of error of 1

percentage point. This estimate may include individuals younger than 18 years who held

dual citizenship in the United States and one of the FASs. For example, an FAS official

noted that U.S.-born children of Micronesian citizens hold Micronesian citizenship until

they reach 18 years of age, at which point they have 3 years to decide whether to retain

either their U.S. citizenship or their Micronesian citizenship.

The Census Bureau’s 2013-2017 American Community Survey estimated the number of

compact migrants living in the 50 states, the District of Columbia, and Puerto Rico who are

not U.S. citizens as ranging from 39,064 to 44,016. This estimate has a margin of error of

2 percentage points.

The Census Bureau estimated the number of compact migrants living in U.S. areas who

were born in Micronesia as ranging from 23,573 to 27,537; in the Marshall Islands, from

19,074 to 22,016; and in Palau, from 2,728 to 4,142.

Census Data Provide

Additional Information

about Compact Migrants

in the States, the District

of Columbia, and Puerto

Rico

Page 19 GAO-20-491 Compacts of Free Association

migrants born in the FAS and living in Guam, the CNMI, or American

Samoa, because the American Community Survey does not cover

these territories.

• An estimated 27,735 compact migrants living in these areas who were

18 years and older (69 percent) were in the civilian labor force.

those, 24,540 (89 percent) were employed and 3,195 (12 percent)

were unemployed.

• An estimated 1,660 compact migrants living in these areas—4 percent

of compact migrants 17 years and older—were on active duty in the

U.S. military or had served on active duty in the past.

For additional American Community Survey data on compact migrant

demographics, see appendix IV.

Compact migrants move to U.S. areas for a range of reasons, including

greater economic and educational opportunities, better access to health

care, a desire to join family members in the United States, and a wish for

greater personal freedom. In some communities we visited, stakeholders

noted that FAS citizens had come to the United States for school or work

before the compact with Micronesia and the Marshall Islands and the

compact with Palau went into effect but that the compacts had opened

the option of migration to a broader range of individuals.

• Economic opportunities. Compact migrants described moving to

U.S. areas for better, more reliable jobs and higher wages. Having a

better-paying job in the United States sometimes allows individuals to

The totals also do not include compact migrants with FAS citizenship born outside the

FASs.

The Census Bureau estimated the number of compact migrants 18 years and older in

the civilian labor force (which includes people classified as employed or unemployed) as

ranging from 26,215 to 29,255. This estimate has a margin of error of 1 percentage point.

The Census Bureau estimated the number of employed compact migrants 18 years and

older in the civilian labor force as ranging from 23,168 to 25,912. This estimate has a

margin of error of 1 percentage point. The Census Bureau estimated the number of

unemployed compact migrants 18 years and older in the civilian labor force as ranging

from 2,701 to 3,689. This estimate has a margin of error of 2 percentage points.

The Census Bureau estimated the number of compact migrants 17 years and older who

were on active duty at some point as ranging from 1,369 to 1,951, with a margin of error of

0.7 percentage points. The Census Bureau has also estimated that 7.7 percent of the total

U.S. population who are 18 years and older have been on active duty at some point. This

estimate has a margin of error of 0.1 percentage point.

Reasons for Migration to

U.S. Areas Vary

Page 20 GAO-20-491 Compacts of Free Association

send remittances or consumer goods to family members living in an

FAS. Other compact migrants move to U.S. areas to join the military.

• Educational opportunities. Compact migrant families often move to

U.S. areas so that their children will have access to improved primary

and secondary education, according to compact migrants. Some

compact migrants travel to U.S. areas to attend college and choose to

stay to work, including to pay off their student loans, according to

consular officials and compact migrants.

• Health care access. Compact migrants sometimes migrate to U.S.

areas to obtain medical treatment for themselves or family members,

according to FAS community members and consular officials. Some

medical procedures or treatments, such as dialysis or access to

specialists, are not available in the FASs, according to federal and

nonprofit officials.

• Family. Many compact migrants relocate to the United States to join

family members and communities already living there, according to

consular and nonprofit officials.

• Personal freedom. Some compact migrants said that they have more

personal, social, and cultural freedom in the United States than in

their more traditional home country.

Changes in the natural environment in the FASs have also prompted

migration from those areas, according to FAS representatives. Depleted

food resources and effects of climate change—including more-frequent

typhoons, coral reef bleaching, and depletion of fishing stocks—have

contributed to migration, according to an FAS official. In addition,

members of Marshallese communities cited rising sea levels and frequent

tidal flooding as reasons for migrating from the Marshall Islands to U.S.

areas. Some Marshallese community members also noted that the legacy

of U.S. nuclear testing had contributed to their decision or need to

move.

Compact migrants cited varied reasons for choosing to migrate to specific

locations. For example, representatives of FAS communities in Guam and

the CNMI noted the FASs’ closer proximity to those territories than to the

U.S. mainland as well as the similarity of Guam’s and the CNMI’s island

U.S. nuclear weapons tests were conducted in the Marshall Islands in the 1940s and

1950s. To conduct these tests, the U.S. government moved 167 people from Bikini Atoll

and 142 people from Enewetak Atoll to other locations. In addition, during a test code-

named Castle Bravo, the residents of Rongelap Atoll and Utrik Atoll were exposed to

radioactive fallout and subsequently were moved from their homes.

Page 21 GAO-20-491 Compacts of Free Association

cultures to those of their home countries. Also, some compact migrants in

Arkansas and Oregon cited the lower cost of living and a perception of

less discrimination or greater safety there than in Hawaii. Marshallese

community members often migrate to Arkansas for jobs in the poultry

industry.

Consular officials noted that, because of comparatively lower wages and

fewer housing options in the FASs, returning to their countries after living

in U.S. areas can be difficult for some compact migrants. Some compact

migrants said that it is also difficult to find a good job in their home

countries without family or political connections. According to an FAS

official, some compact migrants retire to their home countries. However,

several compact migrants we spoke with said they planned to stay in U.S.

areas to be close to medical care or to children and grandchildren born

there.

The affected jurisdictions of Hawaii, Guam, and the CNMI reported

estimated compact impact costs (i.e., costs incurred as a result of

increased demands on public services from compact migrants) that

totaled $3.2 billion during the period fiscal years 2004 through 2018 and

increased over time for Hawaii and Guam. Interior has provided compact

impact grants totaling more than $30 million annually to the affected

jurisdictions, each of which uses the funds differently. In October 2019,

Census discovered an error in the 2013 and 2018 enumerations, which

Interior had used to determine the distribution of compact impact grant

funds and which resulted in misallocation of these funds for fiscal years

2015 through 2020. In February 2020, Interior officials told us that the

department had developed a modified plan for compact impact grants in

fiscal years 2021 through 2023 that, according to the officials, is intended

to correct the misallocation.

Hawaii, Guam, and the CNMI reported a total of $3.2 billion in estimated

compact impact costs during the period fiscal years 2004 through 2018,

with estimated annual costs increasing over time for Hawaii and Guam

and fluctuating for the CNMI.

• Hawaii reported $1.8 billion in total estimated compact impact costs.

Hawaii’s reported annual costs increased from $55 million in fiscal

year 2004 to $198 million in fiscal year 2018.

Hawaii, Guam, and

the CNMI Have

Reported Compact

Impact Costs and

Received Annual

Grants to Defray

Them

Hawaii’s and Guam’s

Reported Compact Impact

Costs Have Risen, while

the CNMI’s Have Varied

Page 22 GAO-20-491 Compacts of Free Association

• Guam reported $1.2 billion in total estimated compact impact costs.

Guam’s reported annual costs increased from $33 million in fiscal

year 2004 to $147 million in fiscal year 2017.

• The CNMI reported $116 million in total estimated compact impact

costs. The CNMI’s reported annual costs amounted to $10 million in

both fiscal year 2004 and fiscal year 2018 but fluctuated over time,

ranging from a low of about $3 million in fiscal year 2011 to a high of

$12 million in fiscal year 2014.

For a summary of the estimated compact impact costs reported by the

three affected jurisdictions, see figure 3.

For more details of their

compact impact reporting, see appendix V.

Figure 3: Estimated Compact Impact Costs Reported by Hawaii, Guam, and the CNMI, Fiscal Years 2004-2018

Guam did not report compact impact costs for fiscal year 2018.

Hawaii’s Department of Business, Economic Development, and Tourism separately

reported estimated compact impact costs of $246.1 million to the state for 2017.

Page 23 GAO-20-491 Compacts of Free Association

Note: Compact impact costs are costs that Hawaii, Guam, and the CNMI reported having incurred as

a result of increased demands on public services from compact migrants from the Federated States

of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau.

Guam did not report compact impact costs for fiscal year 2018.

The three affected jurisdictions reported compact impact costs for

education, health, public safety, and social services (see table 2). As the

table shows, the highest total costs in fiscal year 2017 were for education

and health services.

Table 2: Estimated Compact Impact Costs Reported by Hawaii, Guam, and the CNMI, by Sector, Fiscal Year 2017

Dollars

Sector

Hawaii

Guam

CNMI

Total

Educational services

117,870,113

72,586,977

775,832

191,232,922

Health services

22,954,383

31,718,391

2,818,223

57,490,997

Public safety

1,009,460

35,277,650

3,487,420

39,774,530

Social services

42,028,662

7,749,290

194,061

49,972,013

Total

183,862,618

147,332,308

7,275,536

338,470,462

Source: GAO analysis of compact impact reporting and grant proposals from Hawaii, Guam, and the Commonwealth of the Northern Mariana Islands (CNMI). | GAO-20-491

In November 2011, we found that Interior’s reporting to Congress on

compact impact had been limited, and we identified weaknesses in

existing compact impact reporting.

We found that some jurisdictions did

not accurately define compact migrants, account for federal funding that

supplemented local expenditures, or include revenue received from

compact migrants. Our November 2011 report recommended that the

Secretary of the Interior disseminate guidelines to the affected

jurisdictions that adequately addressed concepts essential to producing

reliable impact estimates and that the Secretary call for the use of these

guidelines in developing compact impact reports.

Although Interior

developed a draft of compact impact reporting guidelines in 2014, it had

GAO-12-64.

Page 24 GAO-20-491 Compacts of Free Association

not disseminated such guidelines to the affected jurisdictions as of

February 2020.

In 2019, Interior awarded the Guam government a technical assistance

grant for $280,000 to conduct a cost-benefit analysis to determine

compact migrants’ economic contribution to the local economy. The effort

will reportedly also seek to address weaknesses and methodological

concerns related to compact impact costs calculated by Hawaii, Guam,

and the CNMI. Guam officials said that the grant application was

prepared in response to our prior critique of their compact impact

estimation methodology.

The grant was awarded to the Guam Bureau of

Statistics and Plans, which contracted with University of Guam

consultants to carry out the work beginning in October 2019. Guam

officials expected this work to result in two reports—one identifying

economic contributions by compact migrants (expected September 2021)

and another proposing a methodology for determining compact impact

costs (expected August 2022).

During fiscal years 2004 through 2019, Hawaii, Guam, and the CNMI

received a combined total of approximately $509 million in compact

impact grant funding. This total includes (1) annual compact impact grant

funding allocated from $30 million authorized and appropriated in the

Since 2011, Hawaii, Guam, and the CNMI have reported on compact impacts to Interior

with varying frequency. For example, Hawaii submitted a report for fiscal year 2010 but

combined its reporting for fiscal years 2011 through 2014 in a single document submitted

in 2015. Guam submitted a report for each fiscal year through 2017 but did not submit a

report for fiscal year 2018. The CNMI did not submit formal reports, instead embedding

some compact impact data in annual grant applications to Interior. The amended

compacts’ implementing legislation permits, but does not require, affected jurisdictions to

report on compact migrant impact. These reports, which are made publicly available on

OIA’s website, do not affect the allocation of compact impact grants, which OIA bases on

the most recent enumeration. If Interior receives such reports from an affected jurisdiction,

Interior must submit reports to Congress that include, among other things, comments from

the jurisdiction’s governor and from the administration.

GAO-12-64.

Hawaii, Guam, and the

CNMI Have Received

Grants to Defray Compact

Impact Costs

Compact Impact Grant

Funding

Page 25 GAO-20-491 Compacts of Free Association

amended compacts’ implementing legislation and (2) additional compact

impact grant funding allocated from annual appropriations.

• In fiscal years 2004 through 2019, Interior made annual allocations of

the $30 million of compact impact grant funds authorized and

appropriated in the amended compacts’ implementing legislation.

Interior provided these allocations as compact impact grants to each

affected jurisdiction to defray their costs due to the residence of

compact migrants. Interior used the four most recent enumerations—

conducted in 2003, 2008, 2013, and 2018—as the basis for these

annual allocations.

• Since fiscal year 2012, Interior has provided additional compact

impact grant funding to the affected jurisdictions from annual

appropriations. This additional funding has ranged from approximately

$3 million to $5 million per year since fiscal year 2012. Interior has

allocated the additional funding on the basis of the 2013 and 2018

enumerations.

Table 3 shows the total amounts that Hawaii, Guam, and the CNMI

received as compact impact grant funding in fiscal years 2004 through

2019.

Table 3: Compact Impact Grant Funding to Hawaii, Guam, and the Commonwealth

of the Northern Mariana Islands (CNMI), Fiscal Years 2004-2019

Dollars (in millions)

Affected

jurisdiction

Compact impact

grant funding

Additional compact

impact grant funding

Total

Hawaii

183.5

12.1

195.7

Guam

244.0

15.7

259.7

CNMI

51.8

2.1

53.9

Total

479.3

30.0

509.3

Source: GAO analysis of data from the U.S. Department of the Interior, Office of Insular Affairs. | GAO-20-491

Notes: Numbers in columns and rows may not sum precisely to totals because of rounding. The

additional compact impact grant funding was provided in annual appropriations in fiscal years 2012

through 2019. In 2019, the Census Bureau notified the Department of the Interior that the bureau had

miscounted the compact migrant population in Hawaii, which would affect the department’s

allocations based on the 2013 and 2018 compact migrant enumerations.

Compact impact grant funding consists of funding authorized and appropriated by the implementing

legislation for the amended compacts between the United States and the Federated States of

Micronesia and the Republic of the Marshall Islands, respectively.

For more information about the methods and definitions used in compact migrant

enumerations, see appendix VI.

Page 26 GAO-20-491 Compacts of Free Association

Additional compact impact grant funding consists of additional funding authorized by the amended

compacts’ implementing legislation and appropriated through annual appropriations.

Affected jurisdictions use their compact impact grant funding in varying

ways and report on their use of the funds to Interior. Hawaii allocates the

entirety of its compact impact grant—approximately $13 million annually

since fiscal year 2015—to the state’s MedQuest division to defray costs of

providing medical services to compact migrants. Guam has used some of

its approximately $15 million of compact impact funding each year for

new schools constructed through leasebacks (see fig. 4 for photos of

several schools built by the Guam government with compact impact

funds). The CNMI allocates its approximately $2 million of compact

impact funding each year across the education, health care, public safety,

and social service sectors. Hawaii, Guam, and CNMI officials have

emphasized that compact impact funding does not fully compensate for

the expenses associated with compact migration. For stakeholder

suggestions related to compact impact funding and other issues, see

appendix VII.

Page 27 GAO-20-491 Compacts of Free Association

Figure 4: Guam Schools Built through Leaseback Program Funded by Compact

Impact Grants

In October 2019, Census Bureau officials discovered an error in the 2013

and 2018 Census Bureau enumerations that caused inaccurate counts of

compact migrants in Hawaii and, according to Interior officials, resulted in

misallocation of compact impact funding for Hawaii, Guam, the CNMI,

and American Samoa in fiscal years 2015 through 2020.

Relative to the

proportion of compact migrants in each jurisdiction, allocations to Hawaii

were a total of $16.9 million lower than they would have been without the

enumeration error while allocations to Guam, the CNMI, and American

See appendix VI for more information about the enumeration error.

Misallocation of Compact

Impact Grant Funding in Fiscal

Years 2015-2020

Page 28 GAO-20-491 Compacts of Free Association

Samoa were higher than they would have been without the error.

Table

4 summarizes the under- and overpayments of compact impact funding to

each affected jurisdiction that, according to Interior officials, resulted from

the enumeration error.

Table 4: Total Underpayment and Overpayment of Compact Impact Grant Funding to Affected Jurisdictions Resulting from

Enumeration Error, Fiscal Years 2015-2020

Dollars

Affected

jurisdiction

Compact impact

grant funding

Additional compact

impact grant funding

Total

Underpayment

Overpayment

Underpayment

Overpayment

Underpayment

Overpayment

Hawaii

15,487,644

—

1,457,558

—

16,945,202

—

Guam

—

13,476,739

—

1,266,018

—

14,742,757

CNMI

—

1,991,894

—

189,737

—

2,181,631

American Samoa

—

19,011

—

1,803

—

20,814

Legend: CNMI = Commonwealth of the Northern Mariana Islands.

Source: U.S. Department of the Interior, Office of Insular Affairs. | GAO-20-491

Compact impact grant funding consists of funding authorized and appropriated by the implementing

legislation for the amended compacts between the United States and the Federated States of

Micronesia and the Republic of the Marshall Islands, respectively.

Additional compact impact grant funding consists of additional funding authorized by the amended

compacts’ implementing legislation and appropriated through annual appropriations.

The enumeration error was discovered in late October 2019, near the

beginning of fiscal year 2020.

As of February 2020, OIA officials had

developed a modified planned allocation of compact impact funds for

The enumeration errors affected compact impact grant funding to all affected

jurisdictions, because OIA uses the proportion determined by the enumeration to allocate

both the $30 million of annual compact impact grant funding as well as any additional

compact impact grant funding. The amount of under- or overpayment of the additional

compact impact grant funding is included in the totals under- or overpaid.

By the time the Census Bureau discovered the error and notified Interior, OIA had

already transferred fiscal year 2020 compact impact grant funding to Guam based on the

incorrect enumeration, according to Interior officials. As of February 2020, Guam was the

only affected jurisdiction to have received its fiscal year 2020 compact impact grant

funding. Each year, Guam receives its funding earlier than the other affected jurisdictions

so that it can make required payments for schools built through the leaseback program.

As of February 2020, OIA officials had not determined how they would disburse fiscal year

2020 funds to the other affected jurisdictions in light of the enumeration error.

Page 29 GAO-20-491 Compacts of Free Association

fiscal years 2021 to 2023.

Beginning in fiscal year 2021, OIA plans to

divide the $30 million of annual compact impact grant funding in fiscal

years 2021 through 2023 using corrected base allocations from the

updated 2018 enumeration from Census Bureau, according to an Interior

preliminary assessment. The base allocations will be adjusted upward for

Hawaii and downward for Guam, the CNMI, and American Samoa to

correct for the erroneous payments in fiscal years 2015 through 2020.

See table 5 for a comparison of the originally planned fiscal year 2020

allocation (based on the erroneous enumeration) and the revised

allocation (based on the corrected enumeration) as well as the grant

amounts that OIA proposed for fiscal years 2021 through 2023 to correct

for the erroneous payments.

A memorandum prepared by Interior’s Acting Assistant Solicitor in the Division of

General Law asserts that Interior has the legal authority to enact this plan, including by

paying lesser amounts to Guam, the CNMI, and American Samoa over the coming years

while increasing payments to Hawaii for the purposes of ensuring that each affected

jurisdiction receives an amount commensurate with the intentions of Congress when it

enacted Section 104(e).

In determining the amount owed to or by each affected jurisdiction, OIA took into

account the under- and overpayments of compact impact grant funding as well as under-

and overpayments of additional compact impact grant funding that had been provided in

annual appropriations. Under this plan, OIA seeks to correct the misallocation of additional

compact impact grant funding through allocations of future compact impact grant funding.

According to OIA officials, additional compact impact grant funding is not guaranteed to be

available in future years and therefore is not part of Interior’s proposed plan for the

corrective payments.

Page 30 GAO-20-491 Compacts of Free Association

Table 5: Original and Corrected Allocations of Compact Impact Grant Funding and Proposed Grant Amounts for Affected

Jurisdictions for Fiscal Years 2021-2023

Dollars

Affected jurisdiction

Original

annual allocation

Corrected

annual allocation

Annual

adjustment for prior

under- or overpayment

Proposed

annual grant amount

Hawaii

13,129,034

15,772,320

5,648,401

21,420,720

Guam

14,855,958

12,528,377

(4,914,252)

7,614,125

CNMI

1,995,330

1,682,708

(727,210)

955,498

American Samoa

19,678

16,595

(6,938)

9,657

Legend: CNMI = Commonwealth of the Northern Mariana Islands.

Source: U.S. Department of the Interior, Office of Insular Affairs. | GAO-20-491

Note: Compact impact funding is allocated on the basis of the proportion of total compact migrants in

each affected jurisdiction, as determined by the most recent Census Bureau enumeration. Compact

impact funding was allocated erroneously in fiscal years 2015 through 2020 because of an error in

the 2013 and 2018 Census Bureau enumerations that resulted in undercounting of compact migrants

in Hawaii.

The totals shown reflect the amounts that Interior allocated in fiscal year 2020, on the basis of the

original 2018 enumeration, before the enumeration error was discovered.

These totals reflect the amount that Interior would have allocated in fiscal year 2020 on the basis of

the revised 2018 enumeration that corrected for the error.

These totals include under- and overpayments of both compact impact grant funding and additional

compact impact grant funding provided in annual appropriations in fiscal years 2015 through 2020.

Amounts shown in parentheses indicate planned reductions in future funding to correct for past

overpayments.

Interior proposed the annual grant amounts for fiscal years 2021 through 2023 to correct for

erroneous payments resulting from prior misallocations of compact impact grant funding and

additional compact impact grant funding.

The governments of some of the U.S. areas we visited identified effects of

providing public education and health care services to compact

migrants.

Compact migration’s effects in U.S. areas we visited also

include budgetary contributions from compact migrants’ payment of taxes

and fees as well as budgetary costs of other government programs and

We visited Arkansas, the CNMI, Guam, Hawaii, Oregon, and Washington. Some

programs and services to which compact migrants have access may vary by state and

territory. The examples cited in this report do not represent an exhaustive list of all

programs and services that compact migrants may access or of states’ and territories’

efforts to support compact migrants.

Compact Migration

Affects Government

Programs,

Workforces, and

Societies

Page 31 GAO-20-491 Compacts of Free Association

services to compact migrants.

Stakeholders in the U.S. areas

additionally discussed the participation of compact migrants in those

areas’ workforces and communities in terms of contributions and impacts

of compact migration.

Children of compact migrants attending U.S. public primary and

secondary schools sometimes receive additional or specialized services,

such as support for English language learners, according to state and

territorial officials. In the U.S. areas we visited, state and territorial

departments and school districts have identified and counted compact

migrant students by means of one or more criteria, including ethnicity,

language, and place of birth. See table 6 for estimated numbers of

compact migrant students in the states and territories we visited and the

criteria that each state or territory used to count students as compact

migrants.

Table 6: Estimated Number of Compact Migrant Students in State and Territorial Public Schools in Selected U.S. Areas

Selected U.S. states

and territories

Estimated compact

migrant students

School year

Criteria used to count students as compact migrants

Arkansas

4,175

2018-2019

Ethnicity (Hawaiian and Pacific Islander)

CNMI

1,155

2017-2018

Ethnicity (FAS)

Guam

7,797

2016-2017

Ethnicity (FAS) and year of entry into the United States or year

of birth in the United States

Hawaii

9,186

2018-2019

Ethnicity (FAS) or place of birth (FAS) or language spoken

(FAS)

Oregon

1,814

2018-2019

Ethnicity (Pacific Islander) and language of origin (FAS)

Washington

1,663

2019-2020

Place of birth (FAS)

Legend: CNMI = Commonwealth of the Northern Mariana Islands, FAS = freely associated state.

Source: Documents and GAO interviews with officials from the Arkansas Department of Education, the CNMI Public School System, the Guam Department of Education, the Hawaii Department of

Education, the Oregon Department of Education, and the Washington State Office of Superintendent of Public Instruction. | GAO-20-491

See appendix VIII for information about nonprofit and private sector organizations that

provide separate programs and services or support to compact migrants.

Examples of contributions by compact migrants and other compact impacts cited in this

report do not constitute an exhaustive list.

U.S. Area Governments

Identify Effects of

Providing Programs and

Services to Compact

Migrants

Education

Page 32 GAO-20-491 Compacts of Free Association

Compact migrants are eligible for in-state tuition at some U.S.-based

colleges and universities, according to university, nonprofit, and state

officials. For example, in Guam, compact migrants attending the

University of Guam are eligible for in-state tuition. In Oregon, FAS citizens

are eligible for in-state tuition after a 1-year residency period in the state,

according to nonprofit officials.

In Arkansas, Marshallese citizens are

eligible for in-state tuition after a 3-year residency period in the state,

according to state tuition policy and officials.

States and territories have reported budget and program effects related to

health care for compact migrants who are eligible for federal benefits as

well as health care for individuals, including compact migrants, who are

ineligible for federal benefits and lack private insurance or other means of

payment. U.S. area governments sought to enable compact migrants’

access to health care in several ways, including extending access to the

federal Children’s Health Insurance Program (CHIP) or Medicaid and

leveraging federal health insurance tax credits and other federal funding.

According to some U.S. area government officials, some of these

programs are provided specifically because compact migrants are

ineligible for certain programs at the federal level.

Extended Access to Children’s Health Insurance Program or

Medicaid

The Children’s Health Insurance Program Reauthorization Act of 2009

included an option for states to cover children younger than 21 years and

pregnant women in both CHIP and Medicaid who are lawfully residing in

the United States—a definition that includes compact migrants—and who

are otherwise eligible under the state plan.

Therefore, in some U.S.

areas, non-U.S. citizen compact migrants who are children or pregnant

may access federal health insurance coverage through CHIP or Medicaid.

As of February 2020, 38 states and territories and the District of Columbia

If an FAS citizen migrates to Oregon expressly to obtain an education, he or she may

not meet the residency requirements for in-state tuition, according to an FAS official. State

policies may require that individuals reside in Oregon for 12 consecutive months primarily

for non-education-related reasons before becoming eligible, according to the FAS official.

This coverage may be applied to pregnant women in Medicaid and CHIP or to children

younger than 19 years for CHIP or younger than 21 years for Medicaid (19 years of age in

some states) who are eligible for coverage through these programs (i.e., meeting income

and state residency requirements) and are lawfully residing in the United States. See

Section 214, The Children’s Health Insurance Program Reauthorization Act of 2009, Pub.

L. No. 111-3 (2009), codified at 1903(v)(4) of the Social Security Act (the Act) and section

2107(e)(1)(N) of the Act.

Health Care

Page 33 GAO-20-491 Compacts of Free Association

had extended such coverage to lawfully residing non–U.S. citizen

pregnant women or children, including compact migrants, who met all

other eligibility requirements (see fig. 5). According to Arkansas officials,

their state’s decision to extend this coverage was sought in part to

address unmet needs of compact migrants living in Arkansas.

Figure 5: States and Territories That Had Extended Coverage to Lawfully Residing Children or Pregnant Women under the

Children’s Health Insurance Program Reauthorization Act of 2009 as of February 2020

Note: This information applies to lawfully residing children and pregnant women who are not U.S.

citizens and who meet all other program eligibility requirements. States may offer coverage through

the Medicaid program or through both the Children’s Health Insurance Program and Medicaid.

Additionally, states may have other programs providing health insurance assistance.

Page 34 GAO-20-491 Compacts of Free Association

Maximum age of coverage for children varies by state as indicated in each state’s Medicaid and

Children’s Health Insurance Program State Plan.

Subsidized Coverage in Patient Protection and Affordable Care Act

Exchanges

Compact migrants are eligible to purchase individual market health

insurance plans through health insurance exchanges established under

the Patient Protection and Affordable Care Act (PPACA).

Individuals

purchasing coverage through the exchanges may be eligible, depending

on their incomes, to receive financial assistance in the form of premium

tax credits to offset the costs of their coverage. Premium tax credits,

which are designed to reduce an eligible individual’s premium costs, may

be either paid in advance on a monthly basis to an enrollee’s issuer

(referred to as advance premium tax credits) or received after the

individual files federal income taxes for the prior year.

Some state governments have elected to cover the remaining balance of

some individuals’ exchange plans, leveraging a combination of advance

premium tax credits and state funds to fully cover health insurance

premiums on certain exchange plans. For example, Hawaii created the

Health Care Premium Assistance Program, a special state program that

covers the cost of premiums on eligible plans for qualified residents who

do not qualify for Medicaid.

While Hawaii’s program was not created

specifically in response to compact migration and is not limited to

compact migrants, most of its enrollees are compact migrants, according

to Hawaii government officials. Since its launch in 2015, the program

pays the balance of health insurance premiums not covered by advance

premium tax credits for those who would otherwise be qualified for federal

See PPACA, Pub. L. No. 111-148, §§ 1311(b), 124 Stat. 119, 173 (2010), as amended

by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124

Stat. 1029 (2010).

According to Hawaii officials, the state government also covers emergency room

expenses for individuals who do not qualify for Medicaid, including some compact

migrants, and pays the state’s share for compact migrants who qualify for Emergency

Medicaid. Covered expenses include emergency services but not follow-up visits. Hawaii

officials described seeing an increase in the use of emergency room visits for this

purpose. They noted that hospitals in Hawaii are tracking such visits and can identify

some bad debt as a result of these services provided to compact migrants.

Page 35 GAO-20-491 Compacts of Free Association

Medicaid if not for their citizenship status, including compact migrants.

According to state officials, the program covered 3,223 compact migrants

residing in Hawaii as of June 2017.

Oregon and Washington developed premium assistance programs

specific to compact migrants that leverage advance premium tax credits

to eliminate health care premium costs.

In addition to covering

premiums, these programs provide for out-of-pocket health care costs,

according to the programs’ websites and state officials.

• Oregon COFA Premium Assistance Program. The Oregon COFA

Premium Assistance Program was launched in 2017, expressly to

help compact migrants gain access to health care. In Oregon,

participants pay for out-of-pocket costs at the time of service and

subsequently apply to the program for reimbursement.

Oregon’s

program covered 780 compact migrants as of October 2019,

according to state officials. The officials estimated that this program

leverages $9 of federal funds through advance premium tax credits for

every $1 of Oregon state funds contributed.

• Washington COFA Islander Health Care. The Washington COFA

Islander Health Care program was launched in 2019, expressly to

help compact migrants gain access to health care, and was based in

part on the Oregon program, according to state officials. Washington

will also cover dental insurance costs for compact migrants beginning

in 2021, according to the program’s website and state officials.

Participants in Washington’s program receive a payment card with

preloaded funds to use for out-of-pocket costs. The program covered

approximately 1,100 compact migrants in 2019, according to state

officials. (Fig. 6 shows an example of an advertisement for

Participants in the Hawaii Health Care Premium Assistance Program must enroll in a

silver-level plan through the exchange and take the full tax credit available, according to

the program’s website. The program does not cover deductibles or copays.

Participants in the Oregon and Washington premium assistance plans specific to

compact migrants must be enrolled in a silver-level plan through the exchange, according

to the programs’ websites.

Out-of-pocket health care costs are not reimbursed by insurance. They include

deductibles, coinsurance, and copayments for covered services plus all costs for services

that are not covered.

Officials said that since its inception, the program had reimbursed $9,646, as of

December 2019, for out-of-pocket costs to compact migrants living in Oregon.

Page 36 GAO-20-491 Compacts of Free Association

Washington’s program, presenting information in six languages

spoken by compact migrants.)

Figure 6: Washington State Health Care Authority Advertisement with Information

in English and Six Other Languages Spoken by Compact Migrants

Note: Languages shown, from top to bottom, are English, Pohnpeian, Palauan, Kosraean, Yapese,

Marshallese, and Chuukese.

Additional Federal Health Care Funding in U.S. Territories

All U.S. territories, including Guam and the CNMI, receive federal funding

through Medicaid, which is subject to an annual cap. Section 2005 of the

PPACA, as amended, increased the funding caps for the territories for the

period beginning on July 1, 2011, and ending on September 30, 2019,

Page 37 GAO-20-491 Compacts of Free Association

and provided a total of $6.3 billion in additional federal funding for health

care to the territories.

Guam and the CNMI have used some of this funding, in addition to other

federal funding for health care, to partially support compact migrants’

health care costs or to alleviate the burden on programs that cover

compact migrants.

• Guam. PPACA Section 2005 funding partly alleviated the financial

shortfall of Guam’s Medically Indigent Program, according to a

territory official.

The Medically Indigent Program pays for health care

costs of primarily non-U.S. citizens living in Guam, including compact

migrants, who do not have other health insurance. Most compact

migrants in Guam qualify for this program after meeting the 6-month

residency requirement, according to Guam officials. In fiscal year

2019, compact migrants participating in the program numbered 8,616,

according to Guam officials, and made up 73 percent of the program’s

total participation. The officials said that the program is also funded

through Guam local appropriations and federal Medicaid

Undocumented Emergency Services funding.

• CNMI. Territorial hospital officials said that PPACA Section 2005

funding available in fiscal years 2011 through 2019 partially covered

patient care costs in excess of the territory’s annual Medicaid cap,

including care for compact migrants. The CNMI Medicaid program

uses federal Disaster Relief Assistance funding to reimburse the

hospital for emergency services provided to compact migrants,

according to CNMI officials.

Pub. L. No. 111-148, §§ 1323, 2005(a), 124 Stat. 119, 283 (2010), as amended by the

Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, § 1204(a)-

(b), 124 Stat. 1029, 1055 (2010). From the $6.3 billion provided by Section 2005 of the

PPACA, as amended, Puerto Rico received $5.5 billion, the U.S. Virgin Islands received

$273.8 million, Guam received $268.3 million, American Samoa received $181.3 million,

and the CNMI received $100.1 million, according to the Congressional Research Service.

Additionally, Section 6009 of the Families First Coronavirus Response Act, Pub. L. No.

116-127 (2020), contained additional federal Medicaid funding for U.S. territories.

Maria Theresa Arcangel, Chief Human Service Program Administrator, Division of Public

Welfare, Guam Department of Public Health and Social Services, testimony before the

U.S. House of Representatives Committee on Natural Resources, May 23, 2019.

Page 38 GAO-20-491 Compacts of Free Association

Other Health Care Services Available to Compact Migrants

Non-U.S. citizens, including compact migrants, may access health care

through the U.S. Department of Health and Human Services Health

Resources and Services Administration’s Health Center Program and

through state government–supported clinics. The Health Center Program

was established in the mid-1960s to help low-income individuals gain

access to health care services.

Health centers are responsible for

delivering affordable, accessible, high-quality, comprehensive primary

health care regardless of recipients’ ability to pay, according to

Department of Health and Human Services officials. Figure 7 shows the

entrance to Kokua Kalihi Valley, a federally qualified health center in

Honolulu that estimates one-third of its patient population to be compact

migrants, mostly from Micronesia.

Figure 7: Federally Qualified Health Center Offering Services to Compact Migrants

in Honolulu, Hawaii

According to the Health Resources and Services Administration, in fiscal year 2018, the

Health Center Program supported nearly 1,400 health centers operating service delivery

sites in all U.S. states, territories, and the District of Columbia. The agency reported in

2018 that the majority of health center operating funds came from Medicaid, Medicare,

private insurance, patient fees, and other resources.

Page 39 GAO-20-491 Compacts of Free Association

State clinics provide health services such as screening and treatment of

certain infectious diseases to compact migrants, among other state

residents. For example, the Arkansas Department of Health established

the Dr. Joseph Bates Outreach Clinic to provide public health services to

Marshallese in the region. As of September 2019, approximately 95

percent of the clinic’s patients were Marshallese, according to clinic

officials. In addition, the University of Arkansas for Medical Sciences

Northwest Campus facilitates research and community health programs

in the Marshallese community and has established a clinic focused on

diabetes.

The budgetary effects of compact migration in the U.S. areas we visited

include contributions by compact migrants, such as payment of federal

and state taxes and fees, and also include several types of government

program costs related to compact migration.

• Budgetary contributions. Compact migrants pay payroll taxes,

including income taxes, and contributions to Social Security and

Medicare. They also pay fees associated with state or territorial

documentation or licensing, including driver’s licenses. In general,

reliable data on budgetary contributions of compact migrants are not

available, because state and territorial tax filings and related

databases do not provide data on citizenship or ethnicity, according to

state and territorial officials. However, the Hawaiian government

reported that in 2017, compact migrants generated an estimated

$36.6 million in state revenue from fees and taxes, such as the

individual income tax, general excise taxes, and taxes generated from

state government spending.

According to University of Guam

officials and an FAS community member, the presence of FAS

communities may have helped Guam institutions obtain funding,

including funding for research.

• Budgetary costs. State and territorial officials identified budgetary

costs related to compact migration. For example, officials cited costs

of providing translators or interpreters for government programs and

costs associated with compact migrant interactions with police and the

Hawaii Department of Business, Economic Development, and Tourism, Research and

Economic Analysis Division, COFA Migrants in Hawaii (December 2019).

For example, Micronesian community members noted that they often see grants

awarded to Guam on the basis of its population of lower-income residents, including

Micronesian communities or compact migrants, and they concluded that Guam was able

to leverage the Micronesian population’s statistics to apply for, and win, funding.

Compact Migration Has

Other Budgetary Effects

Page 40 GAO-20-491 Compacts of Free Association

justice system.

Some states have elected to extend state-level

programs for food or cash-based assistance to compact migrants who

are ineligible for the federal equivalents. For example, Washington’s

Cash Assistance and Food Assistance Programs provide financial

support to FAS citizens who are ineligible for the federal

Supplemental Nutrition Assistance Program and Temporary

Assistance for Needy Families.

In Guam, some compact migrants

qualify for the federal earned income tax credit, according to officials

of Guam’s Department of Revenue and Taxation. The officials noted

that because Guam’s tax system mirrors the federal system, any

earned income tax credit paid in Guam is an expense to the territorial

government.

Compact migrants are eligible to work in U.S. areas and have contributed

to the workforces of receiving communities, holding jobs in a range of

industries. According to stakeholders we interviewed, compact migrants

have encountered challenges while participating in the workforce.

In the U.S. areas where they reside, compact migrants participate in the

local economies in part by serving in the workforce in a variety of fields,

including manufacturing, service industries, and professional industries,

according to stakeholders we interviewed.

See table 7 for examples.

Some public safety or law enforcement departments track compact migrant arrests and

incarcerations and calculate associated costs.

In fiscal year 2018, Washington’s Food Assistance Program served 3,205 enrollees from

the Marshall Islands, 1,878 enrollees from Micronesia, and 112 enrollees from Palau.

During that fiscal year, 20 percent of all program enrollees were from the Marshall Islands.

Stakeholders also noted that compact migrants contribute to local economies as

consumers who make retail purchases and pay rent.

Compact Migrants

Contribute to Workforces

and Face Reported

Challenges

Workforce Contributions by

Compact Migrants

Page 41 GAO-20-491 Compacts of Free Association

Table 7: Examples of Industries Employing Compact Migrants in Selected U.S. Areas

U.S. area

Industry and job examples

Arkansas

Meat-processing (poultry), caregiving, airport, retail, hotels

CNMI

Grounds-keeping and maintenance, restaurants, hotels

Guam

Hotels, restaurants, construction, contracted work on military bases, territorial government employees

Hawaii

Hotels, restaurants, security, retail, warehousing, custodial work, teachers, state and local government employees

Oregon

Warehousing, manufacturing, canneries, caregiving (senior care homes, adults and children with intellectual and

developmental disabilities), restaurants, airport

Washington

Warehousing, manufacturing, caregiving (senior care homes), restaurants, airport, nonprofits

Source: GAO interviews with government officials and with representatives of private sector and nonprofit organizations, chambers of commerce, freely associated state consulates, and compact migrant

communities. | GAO-20-491

The following describes compact migrants’ participation in the areas we

visited.

• Arkansas. Arkansas private sector representatives described

Marshallese workers as essential to poultry plant operations,

comprising one-quarter to one-third of some plants’ workers. At one

such plant, most Marshallese employed are line workers on the floor

of the plant, while others work as trainers and translators. Other

compact migrants in Arkansas work at an airport; in hotels; in retail; or

as caregivers, including in adult day care, according to FAS consular

officials and nonprofit representatives.

• CNMI. CNMI officials and a private sector representative described

compact migrants as a valuable resource in supplementing the

CNMI’s small labor pool.

Officials also noted that without compact

migrants, businesses would have to recruit more foreign labor and

face more-severe hiring challenges than they do now. Officials and a

private sector representative stated that several businesses and

franchises were founded by, and employ, compact migrants.

• Guam. Guam Chamber of Commerce representatives indicated that

compact migrant workers would not be easily replaced if they were no

longer eligible to work in Guam and that hiring other foreign workers in

Guam involves difficult visa processes. Compact migrants tend to hold

entry-level and low-skill jobs in Guam and have high turnover rates,

according to representatives from one company. Several businesses

The Northern Mariana Islands U.S. Workforce Act of 2018, Pub. L. No. 115-218 (2018)

was enacted to, among other things, encourage the hiring of U.S. workers into the CNMI

workforce.

Page 42

GAO-20-491 Compacts of Free Association

in Guam were founded by, or cater to, compact migrants, according to

private sector representatives.

• Hawaii. Micronesian officials noted that established communities of

compact migrants in Hawaii help other FAS citizens to migrate,

network, and find job opportunities. FAS community members in

Hawaii identified multiple local businesses that either are owned by

compact migrants or employ a large number of compact migrants.

• Oregon. In Oregon, some compact migrants work as caregivers or in

a plant manufacturing reusable plastic containers for food storage and

transport, according to an FAS official and community members.

Oregon state government officials noted that compact migrants play

an important role in working with adults and children with intellectual

and developmental disabilities and in other paid caregiver capacities.

The Governor of Oregon noted that compact migrants bring a

tremendous amount of value to Oregon communities as educators,

social workers, caregivers, and as members of the U.S. military. Other

jobs or industries in which compact migrants work include

warehousing, fast-food restaurants, and airport jobs, according to FAS

officials.

• Washington. Some compact migrants work in caregiving, including at

senior care homes; in manufacturing, warehousing, fast-food

restaurants, or nonprofits; as artisans; or at airports, according to

state and FAS officials and FAS community members.

Stakeholders reported that compact migrants have encountered various

challenges related to participation in the U.S. workforce. See appendix VII

for additional challenges experienced by compact migrant communities.

• Form I-94. Compact migrants from Micronesia and the Marshall

Islands may present an unexpired FAS passport and Form I-94

Arrival/Departure Record (known as Form I-94) to employers to

demonstrate their identity and employment authorizations.

Before

2013, compact migrants entering the United States received a paper

copy of the form to document their legal entry and their ability to

Compact migrants from Palau are subject to different requirements and may not use

Form I-94 as evidence of work authorization. See U.S. Citizenship and Immigration

Services, “Federated States of Micronesia, Republic of the Marshall Islands, and Palau,”

accessed March 23, 2020, https://www.uscis.gov/i-9-central/complete-correct-form-i-9

/who-needs-form-i-9/federated-states-micronesia-republic-marshall-islands-and-palau.

Workforce Challenges Faced

by Compact Migrants

Page 43 GAO-20-491 Compacts of Free Association

legally reside indefinitely in the United States.

The DHS transition in

2013 from issuing Forms I-94 on paper to issuing them electronically

created challenges for compact migrants, according to FAS

community members. According to consulate officials, communities

were not adequately notified that DHS would maintain these records

in publicly accessible databases for only 5 years. As a result, some

compact migrants who entered the United States after mid-2013 did

not download their Forms I-94 before they became unavailable and

thus did not have a Form I-94 to show to employers, according to

stakeholders we interviewed.

• REAL ID–compliant driver’s licenses. Some employers require

employees to have REAL ID–compliant driver’s licenses, according to

FAS officials and community members. Before September 2019, DHS

required compact migrants and other nonimmigrants applying for a

REAL ID–compliant driver’s license to present an unexpired passport

with an unexpired visa and Form I-94 or to present an employment

authorization document. However, because compact migrants do not

receive a visa and are not otherwise required to obtain an

employment authorization document, they were unable to obtain the

licenses. In September 2019, DHS changed its requirements

specifically to allow compact migrants to receive REAL ID–compliant

driver’s licenses by presenting an unexpired passport and Form I-

94.

Some compact migrants in Guam said that challenges related to

REAL ID before the DHS regulation change had negatively affected

their employment because some military base jobs required these

CBP has automated Form I-94 at air and sea ports of entry, shifting away from relying

on paper forms for many travelers. According to DHS documentation, CBP now gathers

travelers’ arrival/departure information automatically from their electronic travel records.

Because advance information is transmitted only for air and sea travelers, CBP will still

issue a paper Form I-94 at land-border ports of entry.

To obtain a new Form I-94 after the 5-year online availability period ends, individuals

can apply to DHS, incurring a fee. As of February 2020, DHS imposed a $445 filing fee for

replacing a lost Form I-94 by submitting Form I-102, Application for Replacement/Initial

Nonimmigrant Arrival-Departure Document (see U.S. Citizenship and Immigration

Services, “I-102, Application for Replacement/Initial Nonimmigrant Arrival-Departure

Document,” accessed March 23, 2020, https://www.uscis.gov/i-102). Alternatively, some

compact migrants have replaced their I-94 by exiting and reentering the United States,

according to consulate officials and compact migrants. For stakeholder suggestions

related to compact migrants and Form I-94, see appendix VII.

On September 4, 2019, DHS issued a federal register notice providing that compact

migrants can obtain full-term REAL ID-compliant driver’s licenses or identification cards by

presenting an unexpired passport and Form I-94 issued by CBP. See appendix X for a

description of compact migrant eligibility for, and access to, REAL ID–compliant

identification. See 84 Fed. Reg. 46,556 (Sept. 4, 2019) for the DHS notice.

Page 44 GAO-20-491 Compacts of Free Association

documents for employment or for base access. In addition, some

compact migrants have lost jobs at airports because of difficulty in

obtaining REAL ID–compliant identification, according to Marshallese

embassy officials. See appendix X for information about legislative

and DHS policy changes that affected compact migrants’ ability to

access full-term REAL ID–compliant driver’s licenses and

identification cards.

• Commercial driver’s licenses. Various stakeholders discussed

difficulties that compact migrants had encountered in obtaining

commercial driver’s licenses required by certain jobs and obtaining

standard driver’s licenses that are compliant with REAL ID

requirements in some states. Marshallese officials said that compact

migrants’ inability to obtain or renew commercial driver’s licenses had

prevented them from being able to work in related jobs, such as truck

driving.

• Labor abuse and discrimination. In September 2019, the

government of Micronesia requested that the Department of State

provide assistance to investigate abuse and mistreatment of

Micronesian citizens who were recruited to move to the United States

to work for a U.S. company in Iowa. In addition, compact migrants in

Hawaii, Guam, and Oregon told us that they had faced workplace

discrimination or were seen as harming the local economy. For

example, compact migrants in Guam said that they had experienced

discrimination in hiring and pay and sometimes were made to feel like

a burden on the community.

Additionally, a March 2019 report by

the Hawaii Advisory Committee to the U.S. Commission on Civil

Rights concluded that some compact migrants find it difficult to report

workplace discrimination because they are concerned about

retaliation from employers.

The report found, among other things,

that compact migrants face discrimination in access to employment

and housing and also face widespread negative public perception in

Hawaii.

Stakeholders expressed some concerns about compact migration with

respect to public health and law enforcement interactions. In addition to

participating in the workforce, compact migrants participate in social

Compact migrant community members in U.S. areas with large proportions of compact

migrants relative to the overall population told us that they face social tensions because

they are often perceived as being the newest group of migrants.

Hawaii Advisory Committee to the U.S. Commission on Civil Rights, Micronesians in

Hawaii: Migrant Group Faces Barriers to Equal Opportunity, March 2019.

Compact Migration Has

Societal Effects

Page 45 GAO-20-491 Compacts of Free Association

institutions and create diversity and cultural exchange in their receiving

communities.

State and territorial health department officials and health care providers

in the U.S. areas we visited noted concerns about the prevalence of

communicable diseases such as tuberculosis and Hansen’s disease in

compact migrant communities.

• Tuberculosis. State and territorial health departments have worked

to identify and treat cases of active and latent tuberculosis in compact

migrant communities. About 15 to 20 percent of active, communicable

tuberculosis cases in Hawaii have occurred in the FAS community,

including several cases of antimicrobial drug–resistant variants of

tuberculosis, according to Hawaii government officials. In 2019, 23

communicable tuberculosis cases were diagnosed in compact

migrants in Hawaii. In Arkansas, public health officials estimated that

they had screened 30 percent of the Marshallese population since

2000 and reported 202 active cases and 500 cases of latent

tuberculosis infection between 1997 and 2019. Arkansas officials also

said that they screened 1,728 Marshallese and reported five cases of

active disease and 95 cases of tuberculosis infection in fiscal years

2018 and 2019. In 2017 and 2018, Arkansas officials traveled to the

Marshall Islands to conduct screening for active and latent

tuberculosis in addition to diabetes and Hansen’s disease.

• Hansen’s disease. Hansen’s disease affects some members of

compact migrant communities, according to health care providers and

state government officials.

For example, the Hawaii Department of

Health has a registry of 281 patients who are on active treatment or

monitoring for recurrence of Hansen’s disease or complications from

the disease. The department manages 10 to 20 new cases of

Hansen’s disease each year. According to Hawaii public health

officials, 95 percent of the individuals diagnosed with Hansen’s

disease in the state were from the Micronesian or Marshallese

communities. From 2003 to 2019, the Arkansas Department of Health

reported that 54 individuals, including 42 compact migrants, had been

diagnosed with Hansen’s disease.

Hansen’s disease, also known as leprosy, is a bacterial infection that grows slowly and

can affect the nerves, skin, eyes, and lining of the nose. If left untreated, nerve damage

can result in paralysis of victims’ hands and feet, according to the Centers for Disease

Control and Prevention.

Public Health

Page 46 GAO-20-491 Compacts of Free Association

Some stakeholders reported concerns regarding public order and law

enforcement interactions with compact migrants in Guam, Hawaii, and

Washington.

• Guam. Guam law enforcement agencies report on crimes committed

by, or attributed to, FAS groups in each location. Guam private sector

representatives we interviewed expressed a belief that social tension

with the FAS communities was driven in part by some compact

migrants’ public drunkenness or violence. In addition, language

barriers can hinder compact migrants’ social integration into receiving

communities, according to Guam law enforcement officials.

• Hawaii. Common offenses for which compact migrants are cited or

arrested in Hawaii include quality-of-life or social-order offenses, such

as trespassing, disorderly conduct, drinking in public or driving under

the influence of alcohol, assault, or harassment, according to state

officials. These interactions with the public or with law enforcement

officials may contribute to a strained relationship between compact

migrants and receiving communities. Hawaii officials estimated that 20

to 25 percent of the population using the state’s homeless services

self-identify as part of the FAS community. Compact migrants may

sleep in public parks, which can lead to legal charges. A lack of

affordable housing may be a cause for homelessness among FAS

communities.

• Washington. Marshallese embassy officials cited sporadic problems

with gang activity and drug use among some younger Marshallese

community members, particularly those living in Washington. These

officials suggested that some migrant children who feel bullied or

pressured may band together, resulting in a negative or gang-like

situation.

In some U.S. areas we visited, stakeholders we interviewed said that

compact migrants seek to contribute to, or engage with, their surrounding

U.S. communities through volunteer work, including church activities,

environmental work, and other efforts. For example, FAS communities

described participating in environmental cleanup efforts, including efforts

to control invasive species and leveraging their agricultural knowledge to

help Hawaiian farmers grow a more resilient variety of taro. Several

community representatives in multiple states noted that some compact

migrants spend a significant amount of time supporting their fellow

community members as translators or interpreters or volunteering to help

others navigate complex systems in U.S. areas. FAS citizens also serve

Public Order and Law

Enforcement Interactions

Community and Volunteer

Work

Page 47 GAO-20-491 Compacts of Free Association

in the U.S. military. The FAS countries have a high rate of military service,

according to FAS officials and State documentation.

Stakeholders in some U.S. areas we visited described compact migrant

populations as contributing to the diversity of receiving communities and

educational institutions. For example, University of Guam officials said

that FAS student association groups sponsor cultural events and activities

that help to define the character of the university. The officials also noted

that FAS students contribute to research portfolios and bring FAS

government and community perspectives to classroom discussions. The

officials observed that the presence of compact migrants increases the

university community’s diversity and its cultural awareness and

competency. In Arkansas, Marshallese community members said that

they had helped to teach local U.S. residents about Marshallese culture

and history not otherwise taught in U.S. schools. Marshallese community

members in Arkansas also expressed a belief that the community brought

a greater emphasis on family and respect for elders to the region.

We provided a draft of this report for review and comment to the

Departments of Agriculture, Commerce, Health and Human Services,

Homeland Security, Housing and Urban Development, the Interior, State,

and Transportation; the Social Security Administration; the Governors of

Hawaii, Guam, the CNMI, Arkansas, Oregon, and Washington; and the

Ambassadors of Micronesia, the Marshall Islands, and Palau to the

United States. The Departments of Agriculture, Health and Human

Services, Homeland Security, and State and the Social Security

Administration provided technical comments, which we incorporated as

appropriate. The Departments of Commerce, Housing and Urban

Development, the Interior, and Transportation did not provide comments.

U.S. areas and the FAS Ambassadors provided written comments that we

have summarized below and reproduced in appendixes XI through XIX,

and responded to their comments, where appropriate, at the end of those

appendixes.

• Hawaii. The government of Hawaii commented that the health and

economic impacts of the coronavirus pandemic, in addition to Hawaii’s

high cost of living and public charge concerns, affect the state’s

compact migrant communities in particular. The government also

observed that racial disparities and other determinants of health and

well-being are exacerbated for compact migrants. Noting that compact

migrants lack access to Medicaid and the Supplemental Nutrition

Assistance Program, the government urged that compact migrants’

Increased Diversity

Agency Comments,

Third-Party Views,

and Our Evaluation

Comments from U.S.

Areas

Page 48 GAO-20-491 Compacts of Free Association

access to health care and food nutrition programs be treated as a

federal priority.

• Guam. The government of Guam advocated, in the context of the

coronavirus pandemic, for restoring debt relief provisions associated

with compact migration to offset unreimbursed compact expenses.

The government noted that from the time the compacts went into

effect until 1996, FAS citizens maintained access to federal health

coverage. The government also commented that in 2017, Interior’s

Office of Insular Affairs reported to Congress that restoring this

eligibility would be in line with Congress’ intent to never cause

adverse consequences to the territories and Hawaii. In addition, the

government observed that moving compact migrants from Guam’s

locally funded Medically Indigent Program to Medicaid would help

Guam provide government services to all residents who need them.

The government of Guam noted that the ongoing absence of an

agreed definition for compact migrant for the purposes of data

collection creates confusion.

• CNMI. The government of the CNMI commented on the importance of

compact migrants’ contributions to the territory’s workforce needs and

noted that they enrich the cultural makeup of the CNMI. Separately,

the government stated that the response to the enumeration error

discovered by the U.S. Census Bureau that led to a misallocation of

compact impact funds has penalized the territories. According to

Interior’s modified plan, future allocations to the CNMI (in addition to

Guam and American Samoa) would be adjusted downward to account

for past overpayment. The CNMI commented that reducing the future

amounts of compact impact funds because of an error of the federal

government does not recognize the present needs of the CNMI. The

CNMI government also noted that the territories receive less data

collection support from the American Community Survey, the U.S.

Bureau of Economic Analysis, and the U.S. Bureau of Labor Statistics

than other U.S. areas receive.

• Arkansas. The government of Arkansas commented that it

considered the Census Bureau data in our report to underestimate the

compact migrant population in Arkansas, and it cited several higher

Our report notes that the amended compacts’ implementing legislation authorized the

President to reduce, release, or waive amounts owed by the governments of Guam and

the CNMI to the United States to address previously accrued and unreimbursed impact

expenses at the request of the Governor of Guam or the Governor of the CNMI.

Previously, Guam requested, but did not receive, such debt relief. The President’s

authority was provided by Pub. L. No. 108-188, §104 (e)(9)(A), and expired on February

28, 2005.

Page 49 GAO-20-491 Compacts of Free Association

estimates. The government noted that the state does not receive

compact funding, despite its high population of Marshallese, because

it is not an affected jurisdiction as defined in the Compacts of Free

Association Amendments Act of 2003. The government projected that

approximately 12,000 compact migrants reside in Arkansas and

estimated its annual costs related to compact migration at about $72

million. We believe that the Census Bureau data are sufficiently

reliable for our purposes of estimating the number of compact

migrants in U.S. areas. However, our report includes a discussion of

stakeholder concerns that the compact migrant population in

Arkansas may have been undercounted. We reported that the Census

Bureau had estimated the compact migrant population in Arkansas

during the period 2013 to 2017 at 5,895 on the basis of the definition

of “compact migrants” used for its enumerations—citizens of

Micronesia, the Marshall Islands, and Palau who entered the United

States after 1986 (from Micronesia and the Marshall Islands) or 1994

(from Palau) and their U.S.-born children (biological, adopted, and

step-) and grandchildren younger than 18 years.

• Oregon. The government of Oregon advocated for more reporting on

the effects that U.S. military access to, and U.S. testing of 67 nuclear

weapons in, the Marshall Islands has had on compact migration, citing

the devastating impact of nuclear fallout on inhabitants’ health and the

environment. The government of Oregon also cited a need to report

on compact migrants’ positive contributions to receiving areas. Our

report provides qualitative descriptions of compact migrants’

contributions, including budgetary, workforce, and social contributions,

and also provides high-level data on estimated mean and median

incomes among compact migrants. We have incorporated additional

statements by the government of Oregon about compact migrant

contributions in our report. The government noted that it has taken

steps at the state level to provide health care access to compact

migrant populations while also urging Congress to restore this

populations’ access to federal programs such as Medicaid and

Temporary Assistance for Needy Families. Further, the government

called on Interior to expand the definition of “affected jurisdiction” and

appropriate grant funds equitably. As we note in our report, this

definition and the associated grant funding were established by

Congress in the amended compacts’ implementing legislation.

• Washington. The government of Washington commented that our

report did not provide a detailed history of U.S. military nuclear testing

in the FASs and subsequent impacts on them and their citizens. The

government noted that such information is necessary to explain FAS

citizens’ current challenges and why additional resources are required

Page 50 GAO-20-491 Compacts of Free Association

to meet their needs. Further, the government commented that our

report omits the personal narratives that are critical to a holistic

account of the FAS experience in the United States, including the

struggles many compact migrants face. Our report incorporates

information that we obtained through our interviews with members of

compact migrant communities, including those in Washington, such

as reasons for migration, workforce and other challenges they faced,

and stakeholder suggestions for improving experiences or outcomes

of compact migration (see app. VII). The government of Washington

stated that it hoped our report would prompt the federal government to

make additional resources available to U.S. areas with sizeable

compact migrant populations, and it called for inclusion of Washington

among affected jurisdictions receiving compact impact grant funding.

• Micronesia. The Embassy of the Federated States of Micronesia

emphasized the importance of quantifying not only costs but also

economic benefits of compact migration, including job creation, taxes

paid, and community contributions. The embassy also called for

guidelines and enumeration methods that better capture actual costs

and revenue. The embassy noted the relationship between FAS

citizens’ ineligibility for federal programs such as Medicaid and the

costs borne by local governments and communities in the absence of

these federal programs. According to the embassy, the continuing

challenge of Micronesian citizens’ ineligibility for Medicaid since 1996,

compounded by the effects of relevant social determinants of health,

make their successful integration in U.S. areas more difficult. Noting

that these circumstances have a direct effect on Micronesian

migrants’ ability to contribute positively in receiving areas and become

less reliant on public assistance programs, the embassy expressed

support for the restoration of FAS citizens’ eligibility for Medicaid and

for expanded veterans’ health care in Micronesia. The embassy

commented that compact impact grant funding is a domestic issue

and that discussions related to this issue should not diminish the

priority of ongoing U.S. assistance to Micronesia under the compact.

The embassy also raised concerns about challenges facing compact

migrants, including the challenges described in our report.

• Marshall Islands. The Embassy of the Republic of the Marshall

Islands described the migration rights provided in the compact as

fundamental and essential to its country’s relationship with the United

States. Additionally, the embassy observed that restoring Medicaid

eligibility for its citizens living and working in the United States would

greatly benefit its citizens and substantially reduce impact costs to

certain areas. The embassy noted that, although Marshall Islands

Comments from

Freely Associated

States

Page 51 GAO-20-491 Compacts of Free Association

citizens living in the United States are eligible to purchase individual

market health insurance plans through exchanges established under

the Patient Protection and Affordable Care Act, many who are

employed lack access to affordable health care because of the limited

insurance benefits offered by most service industries or the high cost

of covering family members. Furthermore, the embassy called for an

objective accounting of revenue received from compact migrants and

depiction of their contributions to, for example, the health and food

security of the United States through employment in the food

processing industry and other essential work. Last, the embassy

commented that the addition of Marshallese workers to the 2020

census effort may remedy the potential undercounting of its citizens in

the previous census.

• Palau. The Embassy of the Republic of Palau observed that it would

be helpful to know the number of compact migrants from each FAS

country who are able to access the federal programs for which they

are eligible. This question was outside the scope of our review.

Further, the embassy commented that it would like the U.S. federal

government to inform and educate state departments of motor

vehicles regarding the special status of FAS citizens in the United

States, and it highlighted the difficulties that compact migrants

historically have faced in obtaining REAL ID–compliant identification.

We are sending copies of this report to the appropriate congressional

committees and to the Departments of Agriculture, Commerce, Health

and Human Services, Homeland Security, Housing and Urban

Development, the Interior, State, and Transportation; the Social Security

Administration; and the Governors of Arkansas, the CNMI, Guam, Hawaii,

Oregon, and Washington; and the Ambassadors of Micronesia, the

Marshall Islands, and Palau. In addition, the report is available at no

charge on the GAO website at https://www.gao.gov.

Page 52 GAO-20-491 Compacts of Free Association

If you or your staff have any questions about this report, please contact

me at (202) 512-3149 or [email protected]. Contact points for our

Offices of Congressional Relations and Public Affairs may be found on

the last page of this report. GAO staff who made key contributions to this

report are listed in appendix XX.

Sincerely yours,

David Gootnick

Director, International Affairs and Trade

Appendix I: Objectives, Scope, and

Methodology

Page 53 GAO-20-491 Compacts of Free Association

We were asked to review topics related to migration to U.S. areas from

the freely associated states (FAS)—the Federated States of Micronesia

(Micronesia), the Republic of the Marshall Islands (Marshall Islands), and

the Republic of Palau (Palau)—under those countries’ compacts of free

association with the United States. This report (1) presents estimates of

compact migrant populations and describes recent trends in compact

migration; (2) summarizes the reported costs related to compact

migration (compact impact costs) in three affected jurisdictions—Hawaii,

Guam, and the Commonwealth of the Northern Mariana Islands (CNMI);

and (3) describes effects of compact migration on governments,

workforces, and societies in these and other U.S. areas.

To present estimates of compact migrant populations in U.S. areas and

describe recent trends in compact migration, we obtained special

tabulations of data from the U.S. Census Bureau’s 2013-2017 American

Community Survey (ACS) for the 50 U.S. states, the District of Columbia,

and Puerto Rico.

For Guam and the CNMI—U.S. territories that are not

covered by the ACS—we used the Census Bureau’s revised 2018

enumeration of compact migrants in these areas.

The special

tabulations of ACS data and the Census Bureau’s 2013 and 2018

enumeration reports defined compact migrants as individuals residing in

U.S. areas who were born in the FASs and entered the United States

after 1986 (for Micronesia and the Marshall Islands) or 1994 (for Palau)

and their U.S.-born children (biological, adopted, step-) and grandchildren

younger than 18 years.

We calculated percentage changes in states

and territories that had more than 1,000 estimated compact migrants (or

were designated as affected jurisdictions by the 2003 compacts’

The ACS estimates numbers of compact migrants in U.S. states, the District of

Columbia, and Puerto Rico if they are present in sufficient numbers to protect respondent

confidentiality. However, the Census Bureau suppresses the number and location of

compact migrants in areas with fewer than 50 responses.

In 2019, the Census Bureau identified a coding error that resulted in undercounts of

compact migrants in Hawaii in the bureau’s 2013 and 2018 enumeration reports. We

received revised numbers from the Census Bureau that corrected this error, and we

reflected these revisions in our report. In addition to not covering Guam, the CNMI, or

American Samoa, the ACS does not cover the U.S. Virgin Islands, and there is not a

special territorial enumeration of compact migrants residing there. Therefore, our

population estimates do not include compact migrants who may live in the U.S. Virgin

Islands.

The Census Bureau included U.S.-born grandchildren of compact migrants in its 2013

and 2018 enumeration reports but not in the enumeration reports that it issued in 2008 or

earlier. See table 16 for a summary of compact migrant definitions that the Census Bureau

has used over time.

Appendix I: Objectives, Scope, and

Methodology

Migration Data

Appendix I: Objectives, Scope, and

Methodology

Page 54 GAO-20-491 Compacts of Free Association

implementing legislation) by comparing 2005-2009 ACS data and the

2008 enumeration with 2013-2017 ACS data and the revised 2018

enumeration.

To identify and describe changes in Census Bureau methods and

definitions for enumerating compact migrants over time (see app. VI), we

reviewed the definitions of “compact migrant” in the bureau’s enumeration

reports for tabulations before and including 2018. We also interviewed

Census Bureau and Department of the Interior (Interior) officials. For

example, we asked when and where grandchildren were counted among

compact migrants younger than 18 years.

To estimate net arrivals to U.S. areas by travelers with FAS passports

(see app. III), we analyzed data from the Department of Homeland

Security’s (DHS) Customs and Border Protection’s (CBP) Arrival and

Departure Information System (ADIS). According to CBP officials, ADIS

consolidates data from several DHS systems to create unique, person-

centric travel records for all travelers regardless of citizenship. We

calculated monthly FAS net arrivals to U.S. areas from 2017 through

2019 by using ADIS data that DHS provided, showing numbers of

individuals with FAS-issued passports entering and exiting U.S. ports of

entry each month during the period.

To assess the reliability of ADIS data, we spoke with DHS officials to

identify potential data reliability concerns and other limitations of ADIS.

Officials said that any compact migrant who enters on an FAS passport

and holds U.S. citizenship will be masked or not appear in the ADIS

system. Officials also said that compact migrants who become U.S.

citizens after arrival or are later discovered to be U.S. citizens are

removed from the data; CBP officials believed these numbers to be small.

We also conducted statistical checks for consistency and completeness

of the ADIS data, including validating the ADIS data against publicly

available passenger data from the U.S. Department of Transportation Air

Carrier Statistics (TranStats) T-100 database for 2015 to 2019 (data for

2019 were partial). We used flight segment data from the T-100 database

containing total passenger counts reported by both U.S. and foreign air

carriers for flights that compact migrants take to U.S. areas. We found

that data from ADIS and the T-100 database were positively correlated for

2015, 2017, 2018, and 2019 but were not correlated for 2016. According

to CBP officials, ADIS was significantly changed in 2016 and may contain

duplicate entries for that year. As a result, we determined that ADIS data

for 2017 and later were sufficiently reliable for our intended use.

Appendix I: Objectives, Scope, and

Methodology

Page 55 GAO-20-491 Compacts of Free Association

To quantify costs related to compact migration that were reported by the

affected jurisdictions included in our review—Hawaii, Guam, and the

CNMI—we reviewed documents that they had published or provided to

Interior, such as compact impact reports submitted by Hawaii and Guam

and grant documents submitted by the CNMI. We used the most recent

data available for 2004 through 2018. To identify the amount of funding

distributed by Interior as compact impact grants to the affected

jurisdictions, we interviewed Interior officials and reviewed relevant

documentation.

To identify and describe effects of compact migration on governments,

workforces, and societies of receiving U.S. areas, we reviewed relevant

documentation and conducted interviews with stakeholders in six U.S.

areas that we visited.

• Documentation that we reviewed included program information and

counts of compact migrants using state-level benefits programs,

treated by state or local health clinics, enrolled in public schools or

higher-education institutions, or using interpreters. Because various

sources may define compact migrants by ethnicity, place of birth,

language of origin, or other metrics, we noted the definition used for

each count in this report. To identify the eligibility of compact migrants

for selected federal programs, we reviewed relevant statutes and

regulations and held discussions with officials from the U.S. agencies

that oversee the programs. We selected the programs included in

table 1 on the basis of those we included in a prior report, and we

added other selected programs that we learned about in the course of

interviews for our current report.

• We traveled to, and interviewed stakeholders in, six U.S. states and

territories where compact migrants live, including three of the U.S.

areas designated in the 2003 amended compacts’ implementing

legislation as affected jurisdictions—Hawaii, Guam, and the CNMI—

and three mainland states—Arkansas, Oregon, and Washington.

We selected these areas on the basis of previously reported compact

migrant population distributions in U.S. areas

and of the locations of

GAO, Compacts of Free Association: Improvements Needed to Assess and Address

Growing Migration, GAO-12-64 (Washington, D.C.: Nov. 14, 2011).

For more information about affected jurisdictions, see Compact of Free Association

Amendments Act of 2003, Pub. L. No.108-188, § 104(e)(2) (2003).

GAO-12-64, p. 14.

Reported Costs Related to

Compact Migration

Effects of Compact

Migration on

Governments, Workforces,

and Societies

Appendix I: Objectives, Scope, and

Methodology

Page 56 GAO-20-491 Compacts of Free Association

consulates or honorary consuls established by Micronesia, the

Marshall Islands, and Palau.

Stakeholders we interviewed included

officials from nine federal agencies; state and territorial government

officials in areas we visited; private sector and nonprofit organization

representatives such as chambers of commerce, employers of

compact migrants, and nonprofit service providers; officials from the

FAS embassies and consulates or honorary consuls in areas we

visited; and compact migrants living in areas we visited (see table

8).

FAS embassy officials in Washington, D.C., connected us with

local community members who helped us promote and organize the

local community meetings in areas we visited. Participants whom we

interviewed in the meetings do not represent a generalizable sample

of compact migrants, and the challenges they discussed are not

comprehensive (see app. VII for a discussion of challenges faced by

compact migrants, according to stakeholders we interviewed).

Table 8: U.S. Areas and FAS Communities Where We Interviewed Compact Migrants

U.S. area

FAS communities

Arkansas (Springdale)

Marshall Islands

Commonwealth of the Northern Mariana Islands

Micronesia, Palau

Guam

Micronesia, Marshall Islands, Palau

Hawaii (Honolulu and Waipahu)

Micronesia, Marshall Islands, Palau

Oregon (Portland and Salem)

Micronesia, Marshall Islands, Palau

Washington (Auburn)

Micronesia, Marshall Islands

Legend: FAS = freely associated state, Marshall Islands = Republic of the Marshall Islands,

Micronesia = Federated States of Micronesia, Palau = Republic of Palau.

Source: GAO. | GAO-20-491

To describe academic studies of workforce and fiscal impacts of new

migrants (see app. IX), we conducted a search, using keywords relevant

to the economic impact of migration, in American and European

economics academic journals published during the period 2015 to 2019.

We reviewed a subset of these articles that we deemed most relevant to

These consulates and honorary consuls included the Micronesia, Marshall Islands, and

Palau consulates in Honolulu, HI; the Micronesia and Palau consulates in Guam; the

Micronesia and Palau Honorary Consuls in the CNMI; the Marshall Islands consulate in

Springdale, AR; and the Micronesia consulate in Portland, OR.

We interviewed officials from the following federal agencies: the Social Security

Administration and the Departments of Agriculture, Commerce, Health and Human

Services, Homeland Security, Housing and Urban Development, the Interior, State, and

Transportation.

Appendix I: Objectives, Scope, and

Methodology

Page 57 GAO-20-491 Compacts of Free Association

the context of compact migration, including articles that related to

migration of lower-skilled workers and that included empirical analysis of

the impact of this migration on various economic aspects. We also

reviewed survey articles reviewing the conclusions of prior relevant

publications.

We conducted this performance audit from March 2019 through June

2020 in accordance with generally accepted government auditing

standards. Those standards require that we plan and perform the audit to

obtain sufficient, appropriate evidence to provide a reasonable basis for

our findings and conclusions based on our audit objectives. We believe

that the evidence obtained provides a reasonable basis for our findings

and conclusions based on our audit objectives.

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 58 GAO-20-491 Compacts of Free Association

Table 9 presents Census Bureau data for U.S. states and territories that

had estimated compact migrant populations of more than 1,000 in 2013

through 2018 and shows percentage changes in these populations from

2005-2009 to 2013-2018. Data for U.S. areas not covered by the

American Community Survey, including Guam, the Commonwealth of the

Northern Mariana Islands (CNMI), and American Samoa, are from

compact migration enumerations that the Census Bureau performed on

behalf of the Department of the Interior.

Table 9: Estimated Compact Migrant Populations in Selected U.S. Areas and Percentage Changes in Populations from 2005-

2009 to 2013-2018

U.S. area

Estimated population,

2005-2009

Estimated population,

2013-2017

Estimated

percentage change

in population from

2005-2009 to 2013-2017

(confidence interval)

Percentage

of all compact

migrants living in this

U.S. area in 2013-2017

(confidence interval)

American Samoa

15 (2008)

25 (2018)

+67 percent (2008-2018)

<1 percent (2018)

Arizona

1,030

2,030

+97 percent

(±54 percentage points)

2 percent

(±1 percentage points)

Arkansas

1,155

5,895

+410 percent

(±88 percentage points)

6 percent

(<1 percentage point)

California

2,920

4,190

+44 percent

(±37 percentage points)

4 percent

(±1 percentage points)

Colorado

1,405

1 percent

(±1 percentage points)

CNMI

2,100 (2008)

2,535 (2018)

+21 percent (2008-2018)

(±39 percentage points)

3 percent (2018)

(±1 percentage points)

Georgia

1,635

2 percent

(±1 percentage points)

Guam

18,305 (2008)

18,874 (2018)

+3 percent (2008-2018)

(±28 percentage points)

20 percent (2018)

(±4 percentage points)

Hawaii

12,060

24,755

+105 percent

(±21 percentage points)

26 percent

(±2 percentage points)

Iowa

1,130

1 percent

(<1 percentage point)

Missouri

1,090

2,020

+85 percent

(±47 percentage points)

2 percent

(<1 percentage point)

The American Community Survey does not cover the U.S. Virgin Islands, and the

Census Bureau does not perform a special territorial enumeration of compact migrants in

that territory.

Appendix II: Estimates of Compact Migrants

in U.S. Areas

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 59 GAO-20-491 Compacts of Free Association

U.S. area

Estimated population,

2005-2009

Estimated population,

2013-2017

Estimated

percentage change

in population from

2005-2009 to 2013-2017

(confidence interval)

Percentage

of all compact

migrants living in this

U.S. area in 2013-2017

(confidence interval)

Oklahoma

1,190

2,505

+111 percent

(±41 percentage points)

3 percent

(±1 percentage points)

Oregon

2,210

4,320

+96 percent

(±32 percentage points)

5 percent

(±1 percentage points)

Texas

4,000

4 percent

(±1 percentage points)

Washington

2,800

7,270

+160 percent

(±33 percentage points)

8 percent

(±1 percentage points)

Legend: CNMI = Commonwealth of the Northern Mariana Islands, NA = not available.

Source: GAO analysis of data from a special Census Bureau tabulation of the American Community Survey 2005-2009 and 2013-2017 for U.S. states and a revised Census Bureau 2018 compact migrant

enumeration for Guam, the CNMI, and American Samoa. | GAO-20-491

Notes: Each U.S. area shown is either an affected jurisdiction or a state with a population of more

than 1,000 compact migrants in 2013 to 2018. Of the four affected jurisdictions—American Samoa,

the CNMI, Guam, and Hawaii—three had populations of more than 1,000 compact migrants during

this period.

The estimates shown are for citizens of the freely associated states—the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands), and the Republic of

Palau (Palau)—who entered the United States after 1986 (for Micronesia and the Marshall Islands) or

1994 (for Palau) and their U.S.-born children (biological, adopted, and step-) and grandchildren

younger than 18 years.

Data shown are for 2005-2009 except where noted.

The estimated percentage changes have a 90 percent confidence interval.

The estimated percentages of compact migrants living in the given U.S. areas in 2013-2017 or in

2018 have a 90 percent confidence interval.

The Census Bureau’s revised 2018 enumeration used 2010 Census data for American Samoa and

did not include margins of error.

The Census Bureau suppressed some locations and numbers of migrants for privacy reasons.

Suppression is a method of disclosure avoidance used to protect individuals’ confidentiality by not

showing (i.e., suppressing) the cell values in tables of aggregate data for cases where only a few

individuals are represented or dominate the cell value to protect the confidentiality of individual

respondents.

According to 5-year data from the Census Bureau’s 2013-2017 American

Community Survey, 72,965 compact migrants resided in the 50 U.S.

states, the District of Columbia, and Puerto Rico. (The American

Community Survey does not cover American Samoa, the CNMI, Guam,

or the U.S. Virgin Islands.)

For estimates of the number of compact migrants in each of the 50 U.S.

states, the District of Columbia, and Puerto Rico, see table 10.

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 60 GAO-20-491 Compacts of Free Association

Table 10: Estimated Compact Migrant Populations, by U.S. Area of Residence, 2013-2017

U.S. area

Estimated number

of total compact migrants

Margin of error

Alabama

325

±176

Alaska

555

±242

Arizona

2,030

±545

Arkansas

5,895

±425

California

4,190

±795

Colorado

1,405

±484

Connecticut

Not reported by Census

Delaware

Not reportable

District of Columbia

Not reportable

Florida

985

±414

Georgia

1,635

±833

Hawaii

24,755

±2,537

Idaho

580

±327

Illinois

170

±100

Indiana

230

±65

Iowa

1,130

±301

Kansas

525

±295

Kentucky

640

±266

Louisiana

130

±120

Maine

Not reported by Census

Maryland

Not reported by Census

Massachusetts

±38

Michigan

210

±141

Minnesota

555

±205

Mississippi

Not reportable

Missouri

2,020

±377

Montana

±69

Nebraska

270

±241

Nevada

755

±374

New Hampshire

Not reported by Census

New Jersey

245

±183

New Mexico

Not reported by Census

New York

685

±303

North Carolina

840

±325

North Dakota

Not reportable

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 61 GAO-20-491 Compacts of Free Association

U.S. area

Estimated number

of total compact migrants Margin of error

Ohio

475

±193

Oklahoma

2,505

±530

Oregon

4,320

±699

Pennsylvania

225

±147

Puerto Rico

Not reportable

Rhode Island

Not reportable

South Carolina

780

±385

South Dakota

Not reportable

Tennessee

525

±301

Texas

4,000

±1,045

Utah

990

±473

Vermont

Not reported by Census

Virginia

285

±169

Washington

7,270

±1,158

West Virginia

Not reported by Census

Wisconsin

410

±291

Wyoming

Not reportable

Source: Census Bureau special tabulation of American Community Survey 2013-2017 data for U.S. states, the District of Columbia, and Puerto Rico. | GAO-20-491

Note: The estimates shown represent citizens of the freely associated states—the Federated States

of Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands), and the Republic

of Palau (Palau)—who entered the United States after 1986 (for Micronesia and the Marshall Islands)

or 1994 (for Palau) and their U.S.-born children (biological, adopted, step-) and grandchildren

younger than 18 years.

The Census Bureau suppressed some locations and numbers of migrants for privacy reasons.

Suppression is a method of disclosure avoidance used to protect individuals’ confidentiality by not

showing (i.e., suppressing) the cell values in tables of aggregate data for cases where only a few

individuals are represented or dominate the cell value.

Because the 90 percent margin of error exceeded the value of the estimate, we view the estimate as

unreportable.

The American Community Survey captures, among other things,

respondents’ place of birth (by country) and state of residence. Table 11

provides Census Bureau estimates, using 2013-2017 American

Community Survey data, of the numbers of compact migrants born in the

freely associated states—the Federated States of Micronesia, the

Republic of the Marshall Islands, and the Republic of Palau—and residing

in each of the 50 states, the District of Columbia, and Puerto Rico.

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 62 GAO-20-491 Compacts of Free Association

Table 11: Estimated Compact Migrant Populations, by U.S. Area of Residence and Freely Associated State (FAS) Birthplace,

2013-2017

U.S. area

FAS birthplace

Federated

States of Micronesia

Republic of

the Marshall Islands

Republic of Palau

Alabama

(±69)

155

(±136)

Not reported by Census

Alaska

245

(±148)

Not reported by Census

Not reportable

Arizona

580

(±256)

750

(±271)

Not reportable

Arkansas

Not reported by Census

4,345

(±458)

Not reported by Census

California

940

(±309)

1,240

(±396)

430

(±142)

Colorado

260

(±156)

495

(±280)

185

(±122)

Connecticut

Not reported by Census

Delaware

Not reported by Census

District of Columbia

Not reportable

Florida

315

(±170)

315

(±222)

Not reported by Census

Georgia

885

(±398)

(±34)

Not reportable

Hawaii

11,440

(±1,461)

5,355

(±1,100)

390

(±224)

Idaho

210

(±153)

115

(±71)

Not reportable

Illinois

Not reported by Census

(±53)

Indiana

Not reportable

125

(±64)

Not reportable

Iowa

275

(±106)

350

(±116)

Not reportable

Kansas

235

(±181)

Not reported by Census

110

(±82)

Kentucky

285

(±106)

Not reported by Census

Louisiana

(±75)

Not reportable

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 63 GAO-20-491 Compacts of Free Association

U.S. area

FAS birthplace

Federated

States of Micronesia

Republic of

the Marshall Islands

Republic of Palau

Maine

Not reported by Census

Maryland

Not reported by Census

Massachusetts

Not reported by Census

Michigan

(±65)

(±25)

Not reportable

Minnesota

385

(±215)

(±49)

(±62)

Mississippi

Not reportable

Missouri

1,300

(±282)

(±51)

Not reportable

Montana

Not reportable

Not reported by Census

Nebraska

(±23)

Not reported by Census

Nevada

375

(±245)

Not reported by Census

New Hampshire

Not reportable

Not reported by Census

Not reportable

New Jersey

220

(±163)

Not reportable

New Mexico

Not reported by Census

Not reportable

New York

420

(±245)

(±36)

Not reported by Census

North Carolina

400

(±186)

(±34)

Not reported by Census

North Dakota

Not reported by Census

Not reportable

Ohio

(±79)

120

(±38)

Not reportable

Oklahoma

565

(±158)

1,185

(±274)

(±39)

Oregon

1,350

(±426)

1,030

(±287)

395

(±191)

Pennsylvania

(±75)

Not reported by Census

Puerto Rico

Not reportable

Rhode Island

Not reportable

South Carolina

465

(±228)

(±46)

Not reportable

South Dakota

Not reportable

Appendix II: Estimates of Compact Migrants in

U.S. Areas

Page 64 GAO-20-491 Compacts of Free Association

U.S. area

FAS birthplace

Federated

States of Micronesia

Republic of

the Marshall Islands

Republic of Palau

Tennessee

135

(±92)

Not reported by Census

Texas

1,475

(±334)

425

(±223)

720

(±606)

Utah

175

(±102)

555

(±239)

Not reportable

Vermont

Not reported by Census

Virginia

(±44)

120

(±81)

Not reported by Census

Washington

1,635

(±477)

3,010

(±648)

440

(±220)

West Virginia

Not reported by Census

Wisconsin

320

(±231)

Not reported by Census

Wyoming

Not reportable

Total

25,555

(±1,982)

20,545

(±1,471)

3,435

(±707)

Source: Census Bureau special tabulation of American Community Survey 2013-2017 data for U.S. states, the District of Columbia, and Puerto Rico. | GAO-20-491

Notes: The estimates shown represent individuals born in the FASs—the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands), and the Republic of

Palau (Palau)—who entered the United States after 1986 (for Micronesia and the Marshall Islands) or

1994 (for Palau).

The individual U.S. area estimates shown do not sum precisely to the estimated totals because of

margins of error. In addition, the numbers shown for each U.S. area do not sum to total estimated

compact migrants in the area because the numbers do not include individuals born outside the FASs,

such as compact migrant children born in the United States.

The Census Bureau suppressed some locations and numbers of migrants for privacy reasons.

Suppression is a method of disclosure avoidance used to protect individuals’ confidentiality by not

showing (i.e., suppressing) the cell values in tables of aggregate data for cases where only a few

individuals are represented or dominate the cell value.

The 90 percent margin of error exceeded the value of the estimate, and we therefore view the

estimate as unreportable.

Appendix III: Federal Travel Data Showing

Compact Migration to U.S. Areas

Page 65 GAO-20-491 Compacts of Free Association

From 2017 through 2019, an average of about 366 more migrants from

the Federated States of Micronesia (Micronesia), Republic of the Marshall

Islands (Marshall Islands), and Republic of Palau (Palau) arrived in U.S.

areas per month (4,390 per year) than departed, according to the

Department of Homeland Security’s Customs and Border Protection’s

Arrival and Departure Information System (ADIS).

As figure 8 shows,

this trend was driven by migrants from Micronesia and the Marshall

Islands (3,343 and 1,487 per year on average, respectively). Each year

during this period, an average of about 440 more Palauan citizens

departed from the United States than arrived.

According to DHS officials, the ADIS database consolidates data from several DHS

systems to create unique person-centric travel records for all travelers regardless of

citizenship. ADIS tracks entry and exit data at U.S. airports and some land border

crossings, including passenger arrival or departure class and passport by country of

issuance. We validated the data by checking them against publicly available passenger

data from the U.S. Department of Transportation Air Carrier Statistics (TranStats) T-100

database and found the sources were sufficiently reliable for 2017 through 2019. (See

app. I for more information about the ADIS and TranStats databases and how we used

them.)

Appendix III: Federal Travel Data Showing

Compact Migration to U.S. Areas

Appendix III: Federal Travel Data Showing

Compact Migration to U.S. Areas

Page 66 GAO-20-491 Compacts of Free Association

Figure 8: Cumulative Monthly Net Migration of Migrants from the Freely Associated States to U.S. Areas, 2017-2019

Notes: The freely associated states are the Federated States of Micronesia, the Republic of the

Marshall Islands, and the Republic of Palau. U.S. areas include the 50 states, territories, and the

District of Columbia.

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 67 GAO-20-491 Compacts of Free Association

The Census Bureau’s American Community Survey is an ongoing survey

that provides information on a yearly basis, including employment status,

educational attainment, veteran status, and age of survey respondents,

among other topics. The survey covers the 50 U.S. states, the District of

Columbia, and Puerto Rico. (The survey does not cover American

Samoa, the Commonwealth of the Northern Mariana Islands, Guam, or

the U.S. Virgin Islands.)

Some data for compact migrant populations are available through the

American Community Survey. See table 12 for demographic information

about compact migrant populations in the 50 U.S. states, the District of

Columbia, and Puerto Rico in 2013 to 2017.

Table 12: Demographic Estimates of the Compact Migrant Populations in the 50 U.S. States, the District of Columbia, and

Puerto Rico, 2013-2017

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

Citizenship status

U.S. citizen, born in the United States, Puerto

Rico, or U.S. Island Areas

23,105

(±1,597)

31.7 percent

(±1.6 percentage points)

U.S. citizen, born abroad of American parent(s)

or by naturalization

8,320

(±918)

11.4 percent

(±1.1 percentage points)

Not a U.S. citizen

41,540

(±2,476)

56.9 percent

(±2.0 percentage points)

Age

0-4 years

10,225

(±920)

14.0 percent

(±1.1 percentage points)

5-9 years

9,820

(±892)

13.5 percent

(±1.0 percentage points)

10-14 years

8,045

(±756)

11.0 percent

(±0.9 percentage points)

15-19 years

5,320

(±622)

7.3 percent

(±0.8 percentage points)

20-24 years

4,440

(±549)

6.1 percent

(±0.7 percentage points)

25-29 years

7,440

(±729)

10.2 percent

(±0.9 percentage points)

30-34 years

7,830

(±782)

10.7 percent

(±0.9 percentage points)

Appendix IV: Demographics and

Characteristics of Compact Migrants in the

50 U.S. States, the District of Columbia, and

Puerto Rico

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 68 GAO-20-491 Compacts of Free Association

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

35-39 years

6,425

(±682)

8.8 percent

(±0.8 percentage points)

40-44 years

5,020

(±605)

6.9 percent

(±0.8 percentage points)

45-49 years

2,730

(±363)

3.7 percent

(±0.5 percentage points)

50-54 years

2,210

(±408)

3.0 percent

(±0.5 percentage points)

55-59 years

1,325

(±284)

1.8 percent

(±0.4 percentage points)

60-64 years

865

(±258)

1.2 percent

(±0.3 percentage points)

65 years and older

1,265

(±300)

1.7 percent

(±0.4 percentage points)

Educational attainment, individuals 25 years and older

Less than 9th grade

3,545

(±479)

10.1 percent

(±1.3 percentage points)

9th-12th grade, no diploma

5,635

(±620)

16.0 percent

(±1.6 percentage points)

High school diploma or alternative

13,420

(±1,124)

38.2 percent

(±2.6 percentage points)

Some college, no degree

8,150

(±848)

23.2 percent

(±2.1 percentage points)

Associate’s, bachelor’s, or graduate/professional

degree

4,365

(±483)

12.4 percent

(±1.2 percentage points)

Employment status, individuals 18 years and older

In labor force

27,735

(±1,520)

69.2 percent

(±1.4 percentage points)

Employed

24,540

(±1,372)

61.0 percent

(±1.4 percentage points)

Unemployed

3,195

(±494)

8.0 percent

(±1.2 percentage points)

Not in labor force

12,325

(±973)

30.8 percent

(±1.9 percentage points)

Armed forces status, individuals 17 years and older

Yes, on active duty now or in the past

1,660

(±291)

4.0 percent

(±0.7 percentage points)

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 69 GAO-20-491 Compacts of Free Association

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

No, never served or in training only

40,325

(±2,044)

96.1 percent

(±1.1 percentage points)

Health insurance coverage, noninstitutionalized individuals

No health insurance coverage

15,595

(±1,526)

21.7 percent

(±1.8 percentage points)

One type of health insurance coverage

52,860

(±2,727)

73.4 percent

(±1.3 percentage points)

Private coverage only (employer based, direct-

purchase, or TRICARE/military)

26,255

(±1,602)

36.5 percent

(±1.4 percentage points)

Public coverage only (Medicare or Medicaid)

26,460

(±2,073)

36.7 percent

(±2.3 percentage points)

Public coverage only (Veterans Affairs Health

Care or other local or federal government

assistance plan)

140

(±111)

0.2 percent

(±0.2 percentage points)

Two or more types of health insurance coverage

3,560

(±515)

4.9 percent

(±0.7 percentage points)

Public assistance or Social Security income in past 12 months, individuals 15 years and older

With public assistance or Social Security income

3,160

(±517)

7.0 percent

(±1.1 percentage points)

No public assistance or Social Security income

41,715

(±2,139)

93.0 percent

(±1.1 percentage points)

Personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older

No income or loss

13,465

(±1,130)

30.0 percent

(±2.0 percentage points)

1-999

995

(±210)

2.2 percent

(±0.5 percentage points)

1,000-4,999

3,465

(±597)

7.7 percent

(±1.3 percentage points)

5,000-9,999

3,215

(±414)

7.2 percent

(±0.9 percentage points)

10,000-14,999

3,890

(±485)

8.7 percent

(±1.0 percentage points)

15,000-19,999

4,255

(±627)

9.5 percent

(±1.3 percentage points)

20,000 or more

15,590

(±975)

34.7 percent

(±1.3 percentage points)

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 70 GAO-20-491 Compacts of Free Association

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

Median personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older with income

Total

19,874

(±678)

Not applicable

Mean personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older with income

Total

23,924

(±982)

Not applicable

Aggregate personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older with income

Total

751,462,200

(±48,685,965)

Not applicable

Source: Census Bureau special tabulation of American Community Survey 2013-2017 data. | GAO-20-491

The estimates shown are for citizens of the freely associated states—the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands), and the Republic of

Palau (Palau)—who entered the United States after 1986 (for Micronesia and the Marshall Islands) or

1994 (for Palau), and their U.S.-born children (biological, adopted, and step-) and grandchildren

younger than 18 years.

According to American Community Survey data for 2013-2017, there were an estimated 31,410

compact migrants (±1,738) aged 15 years and older with income.

See table 13 for demographic information about the compact migrant

population in Hawaii only.

Table 13: Demographic Estimates of Compact Migrants in Hawaii, 2013-2017

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

Citizenship status

U.S. citizen, born in the United States, Puerto

Rico, or U.S. island areas

7,570

(±1,070)

30.6 percent

(±3.0 percentage points)

U.S. citizen, born abroad of American parent(s)

or by naturalization

1,125

(±273)

4.5 percent

(±1.0 percentage points)

Not a U.S. citizen

16,060

(±1,771)

64.9 percent

(±2.6 percentage points)

Age

0-4 years

3,145

(±458)

12.7 percent

(±1.3 percentage points)

5-9 years

3,180

(±521)

12.8 percent

(±1.6 percentage points)

10-14 years

2,920

(±548)

11.8 percent

(±1.9 percentage points)

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 71 GAO-20-491 Compacts of Free Association

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

15-19 years

1,620

(±315)

6.5 percent

(±1.1 percentage points)

20-24 years

1,290

(±314)

5.2 percent

(±1.2 percentage points)

25-29 years

2,440

(±425)

9.9 percent

(±1.4 percentage points)

30-34 years

2,510

(±420)

10.1 percent

(±1.3 percentage points)

35-39 years

2,070

(±377)

8.4 percent

(±1.3 percentage points)

40-44 years

1,575

(±282)

6.4 percent

(±0.9 percentage points)

45-49 years

1,225

(±279)

4.9 percent

(±1.0 percentage points)

50-54 years

940

(±276)

3.8 percent

(±1.0 percentage points)

55-59 years

470

(±160)

1.9 percent

(±0.6 percentage points)

60-64 years

515

(±195)

2.1 percent

(±0.8 percentage points)

65 years and older

850

(±256)

3.4 percent

(±1.0 percentage points)

Educational attainment, individuals 25 years and older

Less than 9th grade

1,400

(±269)

11.1 percent

(±1.8 percentage points)

9th-12th grade, no diploma

2,160

(±400)

17.1 percent

(±2.7 percentage points)

High school diploma or alternative

4,920

(±705)

39.1 percent

(±4.0 percentage points)

Some college, no degree

2,620

(±520)

20.8 percent

(±3.6 percentage points)

Associate’s, bachelor’s, or graduate/professional

degree

1,495

(±319)

11.9 percent

(±2.2 percentage points)

Employment status, individuals 18 years and older

In labor force

8,980

(±981)

63.4 percent

(±2.3 percentage points)

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 72 GAO-20-491 Compacts of Free Association

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

Employed

7,875

(±894)

55.6 percent

(±2.6 percentage points)

Unemployed

1,105

(±234)

7.8 percent

(±1.4 percentage points)

Not in labor force

5,185

(±800)

36.6 percent

(±4.2 percentage points)

Armed forces status, individuals 17 years and older

Yes, on active duty now or in the past

245

(±112)

1.7 percent

(±0.8 percentage points)

No, never served or in training only

14,265

(±1,464)

98.3 percent

(±1.2 percentage points)

Health insurance coverage, noninstitutionalized individuals

No health insurance coverage

3,405

(±770)

13.9 percent

(±2.8 percentage points)

One type of health insurance coverage

19,405

(±2,035)

79.0 percent

(±1.5 percentage points)

Private coverage only (employer based, direct-

purchase, or TRICARE/military)

6,155

(±863)

25.1 percent

(±2.4 percentage points)

Public coverage only (Medicare or Medicaid)

13,200

(±1,621)

53.8 percent

(±3.6 percentage points)

Public coverage only (Veterans Affairs Health

Care, or other local or federal government

assistance plan)

Not reportable

Two or more types of health insurance coverage

1,740

(±386)

7.1 percent

(±1.4 percentage points)

Public assistance or Social Security income in the past 12 months, individuals 15 years and older

With public assistance or social security income

1,865

(±376)

12.0 percent

(±2.1 percentage points)

No public assistance or social security income

13,645

(±1,506)

88.0 percent

(±3.8 percentage points)

Personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older

No income or loss

4,810

(±775)

31.0 percent

(±3.9 percentage points)

1-999

360

(±130)

2.3 percent

(±0.8 percentage points)

1,000-4,999

1,305

(±327)

8.4 percent

(±1.9 percentage points)

Appendix IV: Demographics and

Characteristics of Compact Migrants in the 50

U.S. States, the District of Columbia, and

Puerto Rico

Page 73 GAO-20-491 Compacts of Free Association

Category

Estimated number

of compact migrants

(margin of error)

Estimated percentage

of compact migrants

(margin of error in percentage points)

5,000-9,999

1,705

(±329)

11.0 percent

(±1.8 percentage points)

10,000-14,999

1,755

(±383)

11.3 percent

(±2.2 percentage points)

15,000-19,999

1,625

(±398)

10.5 percent

(±2.3 percentage points)

20,000 or more

3,950

(±523)

25.5 percent

(±2.2 percentage points)

Median personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older with income

Total

15,930

(±1,651)

Not applicable

Mean personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older with income

Total

20,104

(±1,357)

Not applicable

Aggregate personal income (in 2017 inflation-adjusted dollars), individuals 15 years and older with income

Total

215,010,400

(±26,099,177)

Not applicable

Source: Census Bureau special tabulation of American Community Survey 2013-2017 data. | GAO-20-491

The estimates shown are for citizens of the freely associated states—the Federated States of

Micronesia (Micronesia), the Republic of the Marshall Islands (Marshall Islands), and the Republic of

Palau (Palau)—who entered the United States after 1986 (for Micronesia and the Marshall Islands) or

1994 (for Palau), and their U.S.-born children (biological, adopted, and step-) and grandchildren

younger than 18 years.

Because the 90 percent margin of error exceeded the value of the estimate, we view the estimate as

unreportable.

According to American Community Survey data for 2013-2017, there were an estimated 10,695

compact migrants (±1,064) with income in Hawaii.

Appendix V: Compact Impact Costs Reported

by Hawaii, Guam, and the Commonwealth of

the Northern Mariana Islands

Page 74 GAO-20-491 Compacts of Free Association

Since 1986, Hawaii, Guam, and the Commonwealth of the Northern

Mariana Islands (CNMI) have submitted to the Department of the Interior

(Interior) intermittent compact impact reports and other documents that

include descriptions of, and estimated costs for, education, health, public

safety, and social services that local government agencies provided to

compact migrants. Hawaii and Guam have submitted compact impact

reports, which are available on Interior’s Office of Insular Affairs’

website.

The CNMI has not submitted a compact impact report since

fiscal year 2003 but reports compact impact costs to Interior in the

CNMI’s annual plan for the use of compact impact grants. Table 14

shows the estimated costs that these affected jurisdictions reported to

Interior or provided to us for 1986 through 2018.

Table 14: Estimated Compact Impact Costs Reported by Hawaii, Guam, and the CNMI, 1986-2018

Dollars (in millions)

Year

Hawaii

Guam

CNMI

Total

1986-1995

23.4

60.6

43.7-71.7

127.7-155.7

1996

6.4

16.1

11.0

33.5

1997

12.2

19.1

13.7

45.0

1998

12.4

19.1

15.1

46.6

1999

14.1

18.9

12.3

45.3

2000

17.5

24.5

9.2

51.2

2001

21.5

23.4

4.6

49.5

2002

30.4

23.3

4.6

58.3

2003

47.4

30.9

4.2

82.5

2004

55.3

33.2

10.0

98.5

2005

66.9

33.6

10.3

110.8

2006

81.0

43.3

9.7

134.0

2007

90.8

46.5

8.6

145.9

2008

101.0

56.0

8.2

165.2

2009

118.8

64.0

4.0

186.8

2010

114.9

71.8

4.7

191.4

2011

113.9

99.6

2.8

216.3

2012

130.3

99.6

5.9

235.8

2013

144.8

115.5

8.3

268.6

2014

163.3

130.0

12.3

305.6

Department of the Interior, Office of Insular Affairs, “Compact Impact Reports,” accessed

January 13, 2020, https://www.doi.gov/oia/reports/Compact-Impact-Reports.

Appendix V: Compact Impact Costs

Reported by Hawaii, Guam, and the

Commonwealth of the Northern Mariana

Islands

Appendix V: Compact Impact Costs Reported

by Hawaii, Guam, and the Commonwealth of

the Northern Mariana Islands

Page 75 GAO-20-491 Compacts of Free Association

Dollars (in millions)

Year

Hawaii

Guam

CNMI

Total

2015

145.1

136.8

5.9

287.8

2016

140.2

7.7

288.1

2017

183.9

147.3

7.3

338.5

2018

197.8

Not reported

9.8

207.6

Total

2,033.3

1,453.3

234.0-262.0

3,720.6-3,748.6

Source: GAO analysis of compact impact reporting, grant proposals, and documents from the governments of Hawaii, Guam, and the Commonwealth of the Northern Mariana Islands (CNMI). |

GAO-20-491

Notes: Amounts shown are rounded and unadjusted for inflation.

Not all local government agencies in affected jurisdictions reported compact impact every year,

although costs may have been incurred.

The CNMI’s range of estimated costs for 1986 through 1995 was provided in a 2000 CNMI

congressional testimony.

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Page 76 GAO-20-491 Compacts of Free Association

The Census Bureau, working under an interagency agreement with the

Department of the Interior (Interior), has conducted six sets of

enumerations of compact migrants in affected jurisdictions for the

purpose of allocating compact impact grant funding and has performed

the enumerations every 5 years. Enumeration methods and definitions

have changed over time. During the course of our work, an error was

discovered that affected the accuracy of the 2013 and 2018 enumerations

and also affected Interior’s allocations of compact impact grants for

several fiscal years.

Census Bureau methods of gathering new data or analyzing existing data

for compact migrant enumerations on behalf of Interior have changed

over time. In 1993,1998, and 2003, the bureau used the “snowball”

technique; in 2008, 2013, and 2018, the bureau employed a two-pronged

approach.

• For enumerations in 1993, 1998, and 2003, the Census Bureau

employed a survey method known as snowball sampling to count

compact migrants in Hawaii, Guam, and the Commonwealth of the

Northern Mariana Islands (CNMI).

Because the surveys relied on

referrals by respondents to identify new respondents, they were likely

to undercount compact migrants who were not referred.

100

• For the enumerations in 2008, 2013, and 2018, the Census Bureau

used a combination of existing and new survey data to count or

estimate the numbers of compact migrants in Hawaii, Guam, and the

CNMI. However, for the enumerations in Hawaii, the bureau used a

different approach than it used for the enumerations in Guam and the

CNMI. Also, for the enumerations in Guam and the CNMI, the bureau

used a different approach in 2013 than it used in 2008 and 2018. To

estimate the number of compact migrants in Hawaii, the Census

Bureau used existing American Community Survey data. To estimate

the numbers of compact migrants in Guam and the CNMI, the bureau

The initial survey was conducted in 1992 in Guam and 1993 in the CNMI; Hawaii was

not surveyed at that time. The second survey was conducted in Guam and Hawaii in 1997

and the CNMI in 1998. In addition to these surveys, a 1995 survey of Palauans on Guam

identified 2,276 Palauans, 1,014 of whom were born in Palau.

100

Because snowball sampling is a nonprobability method, it produces a count of survey

subjects, rather than a statistical estimate with a determined level of precision, and is likely

to undercount them. The Census Bureau surveys in 1993, 1998, and 2003 provided

counts of compact migrants and demographic information such as employment,

occupation, education, and reasons for migration.

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Compact Migrant

Enumeration Methods

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Page 77 GAO-20-491 Compacts of Free Association

used existing decennial census data in 2013 and gathered new

survey data in 2008 and 2018.

See table 15 for a summary of the enumeration methods that the Census

Bureau has used over time.

Table 15: Census Bureau Methods Used to Enumerate Compact Migrants in Affected Jurisdictions, 1993-2018

Affected

jurisdiction

Method

1993

1998

2003

2008

2013

2018

Hawaii

Not surveyed

Survey using

referrals to

count migrants

Survey using

referrals to

count migrants

Existing data from

the ACS (2005-

2007)

Existing data

from the ACS

(2009-2011)

Existing data from

the ACS (2015-

2017)

Guam and CNMI

Survey using

referrals to

count migrants

Block sample

probability survey

Existing data

from the 2010

Census

Block sample

probability survey

Legend: ACS = American Community Survey, CNMI = Commonwealth of the Northern Mariana Islands.

Source: Census Bureau. | GAO-20-491

Note: From 1993 through 2003, the Census Bureau used a survey method known as snowball

sampling, relying on respondent referrals to identify and count compact migrants. From 2008 through

2018, the bureau estimated, rather than counted, compact migrants.

In 2008 and 2018, the Census Bureau conducted a block sample probability survey in Saipan, CNMI.

For areas of the CNMI outside Saipan in 2008 and 2018, the Census Bureau produced estimates of

compact migrants using 2000 and 2010 Census data.

The definition of “compact migrant” that the Census Bureau used for the

enumerations has changed over time. Each enumeration has counted as

a compact migrant any individual, of any age, who was born in the

Federated States of Micronesia (Micronesia), the Republic of the Marshall

Islands (Marshall Islands), or the Republic of Palau (Palau) and who

entered the United States after the effective date of their country’s

compact. However, the enumerations in 2003, in 2008, and in 2013 and

2018 used various criteria for counting U.S.-born (U.S. citizen) individuals

as children of compact migrants and therefore as compact migrants.

2003 enumeration. The definition of “compact migrant” in the 2003

amended compacts’ implementing legislation indicates that the children of

compact migrants were to be considered compact migrants until 18 years

of age. Interior interpreted the legislation’s definition of “compact migrant”

as including all children younger than 18 years who were born to a

compact migrant or migrants in the United States, thus including some

U.S. citizens.

Definitions of “Compact

Migrant” Used in

Enumerations

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Page 78 GAO-20-491 Compacts of Free Association

2008 enumeration. For the 2008 enumeration, the Census Bureau, on

behalf of Interior, counted as compact migrants all children (biological,

adopted, and step-) younger than 18 years who were born in the United

States to a compact migrant head of household or to his or her spouse,

were adopted by a compact migrant head of household or by his or her

spouse, or were stepchildren of a compact migrant head of household or

of his or her spouse.

2013 and 2018 enumerations. Starting with the 2013 enumeration, the

Census Bureau also began counting as compact migrants

• all children (biological, adopted, and step-) younger than 18 years

who were born in the United States to a compact migrant or to his or

her spouse, regardless of whether they were the children of the head

of household or of his or her spouse,

101

and

• all grandchildren

102

of a compact migrant who were younger than 18

years, regardless of whether they were the grandchildren of the head

of household or of his or her spouse.

Also starting with the 2013 enumeration, the Census Bureau introduced a

requirement that to be counted as a compact migrant, a child or

grandchild of a compact migrant must never have been married.

103

For a

summary of “compact migrant” definitions used for the enumerations over

time, see table 16.

101

A compact migrant household may consist of several family groups. Starting with the

2013 enumeration, U.S.-born children of, for example, a compact migrant head of

household’s brother who was also a compact migrant would be counted as compact

migrants until 18 years of age.

102

For example, a U.S.-born child of a compact migrant is counted as a compact migrant

for the purpose of the enumeration only until 18 years of age. If that individual continues to

share a household with his or her compact migrant parent or parents and gives birth to a

child in the United States, that grandchild inherits the compact migrant grandparent’s

status. Under the current Census Bureau definition, the grandchild, a second-generation

U.S. citizen by birth, is counted as a compact migrant until 18 years of age as long as he

or she remains in the same household as the grandparent.

103

The Census Bureau’s programming associated with marital status caused an error in

the American Community Survey results for Hawaii for the 2013 and 2018 enumerations.

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Page 79 GAO-20-491 Compacts of Free Association

Table 16: Definitions of “Compact Migrant” Used in Census Bureau Enumerations, 1993-2018

Citizenship and age

“Compact migrant” definition

1993-2003

Enumerations

2008 Enumeration 2013 Enumeration

2018 Enumeration

FAS citizen of any age

Any individual who

• was born in Micronesia and entered the United States after 1986,

• was born in the Marshall Islands and entered the United States after 1986, or

• was born in Palau and entered the United States after 1994.

Compact migrant’s child

who is a U.S. citizen and

younger than 18 years

Child of a compact

migrant

Child (biological,

adopted, and step-) of a

compact migrant head of

household or his or her

spouse

Never-married child or grandchild (biological,

adopted, and step-) of a compact migrant,

regardless of the child’s or grandchild’s

relationship to the head of household.

Legend: FAS = freely associated state, Micronesia = Federated States of Micronesia, Marshall Islands = Republic of the Marshall Islands,

Palau = Republic of Palau.

Source: Department of the Interior (Interior) and Census Bureau enumerations of compact migrants and related documentation; GAO interviews with Interior and Census Bureau officials. | GAO-20-491

According to Census Bureau officials, because of coding rules introduced in the 2013 enumeration,

the 2013 and 2018 enumerations in Hawaii may have counted a small number of great-grandchildren

of compact migrants as compact migrants.

It is unclear whether the 2013 and 2018 enumerations explicitly instructed enumerators or

participants to include biological or adopted children or stepchildren.

The six sets of enumerations of compact migrants that the Census

Bureau conducted on behalf of Interior in affected jurisdictions from 1993

through 2018 showed these populations growing in Hawaii and Guam

and fluctuating in the CNMI. During our work with the Census Bureau to

obtain American Community Survey data related to compact migrant

populations, bureau officials discovered a programming error in the 2013

and 2018 enumerations of compact migrants that had resulted in an

underestimate of certain compact migrants in Hawaii. The bureau revised

these estimates in October 2019 to correct for the error in Hawaii. Figure

9 shows the Census Bureau’s revised estimates of compact migrants in

the affected jurisdictions as of October 2019.

Compact Migrant

Enumeration Results,

1993-2018

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Page 80 GAO-20-491 Compacts of Free Association

Figure 9: Estimates of Compact Migrant Populations in Hawaii, Guam, and the

CNMI, 1993-2018

Note: In October 2019, the Census Bureau notified the Department of the Interior that it had identified

a coding error in the 2013 and 2018 enumerations that excluded from the enumerations all U.S.-born

children younger than 15 years in Hawaii who had compact migrant status through a parent or other

family member. The totals shown reflect the revised enumeration totals, which include this population

for Hawaii and therefore differ from the 2013 and 2018 enumerations previously published on the

Department of the Interior’s website.

In February 2020, Interior requested that the Census Bureau further

revise its estimates for 2013 and 2018 to no longer count grandchildren.

As of March 2020, the results of this revision were not yet available.

According to Census Bureau officials and Interior documentation, a

programming error affected the 2013 and 2018 estimates of compact

migrants in Hawaii that were generated for the bureau’s enumerations.

Starting with the 2013 enumeration, the Census Bureau introduced a

requirement that, to be counted as a compact migrant, a child of a

compact migrant must never have been married. In implementing this

requirement, the Census Bureau used an incorrect marital status variable

that caused the omission of all U.S.-born compact migrant children in

Hawaii who were younger than 15 years from the 2013 and 2018

2013 and 2018

Enumeration Error

Appendix VI: Compact Migrant Enumeration

Methods, Definitions, and Error

Page 81 GAO-20-491 Compacts of Free Association

enumerations.

104

As a result, those enumerations did not count as

compact migrants 6,000 to 8,000 individuals who were U.S.-born children

of compact migrants. Table 17 shows the originally published

enumeration estimates and the corrected estimates:

Table 17: Original and Corrected Enumeration Counts, 2013 and 2018

2013 Enumeration

2018 Enumeration

Original

Corrected

Original

Corrected

Hawaii

14,700

20,700

16,680

23,761

Guam

17,170

18,874

Commonwealth of the Northern Mariana

Islands

2,660

2,535

American Samoa

Total

34,555

40,555

38,114

45,195

Source: Department of the Interior, Office of Insular Affairs. | GAO-20-491

104

The error occurred when the American Community Survey variable “married, spouse

present or absent” or “MSP” was used instead of “marital status” or “MAR.” Because the

MSP field is not used for individuals 15 years and younger, none of these individuals were

counted in Hawaii when the MSP field was used in the 2013 and 2018 enumerations. The

corrected, revised enumerations used the correct MAR field to include unmarried

individuals 15 years and younger in the count of compact migrants in Hawaii.

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 82 GAO-20-491 Compacts of Free Association

In the U.S. areas we visited, stakeholders from state and territorial

governments, private sector and nonprofit organizations, and freely

associated state (FAS) consulates and communities made suggestions

for improving experiences or outcomes of compact migration for both the

receiving areas and the migrants themselves.

105

Stakeholders

recommended that some actions be taken in both the United States after

compact migrants’ arrival and in the FASs before the migrants’ departure.

Provide more information and education about the compacts.

Several stakeholders said that U.S. agencies should better understand

the compacts and coordinate their related work. These stakeholders,

including members of compact migrant communities, noted that U.S.

government officials in some cases have seemed uncertain or unaware

that compact migrants are able to live and work in U.S. areas without a

visa or other documentation and have asked them to present immigration

documents they do not possess or are not required to obtain.

106

An FAS

official and community members noted a need for more education of

employers and state government officials regarding the migration terms of

the compacts and the migration status of FAS citizens in the United

States.

Restore Medicaid eligibility and expand benefits access. State

government officials and health care providers advocated restoring

Medicaid access to FAS populations.

107

An FAS Consul General

105

We traveled to, and interviewed stakeholders in, six U.S. states and territories where

compact migrants live, including three of the U.S. areas designated as affected

jurisdictions (the Commonwealth of the Northern Mariana Islands, Guam, and Hawaii) and

three mainland states (Arkansas, Oregon, and Washington).

106

For example, when compact migrants applied for a full-term driver’s license or

identification card compliant with federal requirements under the REAL ID Act of 2005,

some state government agencies asked them to show documents that they were not

required to obtain, such as visas or employment authorization documents, according to

compact migrants. We generally heard this from FAS community members and consular

officials before September 4, 2019, when the Department of Homeland Security ended its

requirement that compact migrants present a visa or employment authorization document

to receive a REAL ID–compliant license.

107

Eligibility for some federal programs changed as a result of the 1996 Personal

Responsibility and Work Opportunity Reconciliation Act, Pub. L. No. 104-193, § 401

(1996). For example, when the compacts were signed, FAS citizens were eligible for

Medicaid; however, the act removed this eligibility. State government officials and health

care providers noted that Medicaid covers transportation costs to medical appointments,

which are often a barrier to compact migrants seeking treatment.

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Federal Policies,

Operations, and Funding

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 83 GAO-20-491 Compacts of Free Association

advocated restoring Medicaid eligibility to its pre-1996 status for compact

migrants.

108

FAS community members suggested extending

Supplemental Nutrition Assistance Program benefits and expanding

federal student loan access to compact migrants.

Provide more information and guidelines about federal programs

and policies. State government officials suggested that changes to

federal government policies should include specific information about the

applicability of the changes to FAS citizens. Health care providers

suggested that the federal government should share more data about

compact migration and noted a need for federally established guidelines

to support accurate, rather than exaggerated, cost reporting. The

providers noted that compact impact estimating was chaotic and had a

negative effect on the community. FAS community members expressed

interest in federally provided educational sessions and clear eligibility

criteria for federal benefits.

Simplify Form I-94 access for compact migrants. FAS consular

officials and community members said that compact migrants entering the

United States should receive information about the importance of their

Form I-94 Arrival/Departure Record (Form I-94) and how to retrieve it

online.

109

Because compact migrants have had difficulty in accessing

these forms, and given the cost of replacing them, FAS community

members requested that federal agencies be enabled to retrieve

migrants’ Forms I-94 for them. FAS consular officials recommended that

compact migrants’ Forms I-94 be made accessible on the Customs and

108

Compact migrant eligibility for some federal programs, including Medicaid, changed

with the enactment of the Personal Responsibility and Work Opportunity Reconciliation

Act of 1996, Pub. L. No. 104-193, § 401 (1996).

109

According to Customs and Border Protection (CBP) officials, if an individual's Form I-94

is not publicly available, the individual may report to a local CBP Deferred Inspection Site

to obtain a copy of his or her Form I-94. (For a list of deferred inspection sites, see U.S.

Customs and Border Protection, “Deferred Inspection Sites,” accessed March 2, 2020,

https://www.cbp.gov/contact/ports/deferred-inspection-sites.) Officials at the Deferred

Inspection Site in Honolulu said that they would correct an individual’s Form I-94 if CBP

made an error on the original form but that they do not provide replacement copies of

Forms I-94. According to a CBP official in Guam, Deferred Inspection Site officials will not

generate replacement copies for forms older than 5 years. The official said that, on a

case-by-case basis, Deferred Inspection Site officials may be able to locate and provide

the I-94 number or to print a form if they can locate it, but replacement of a form older than

5 years must be requested through U.S. Citizenship and Immigration Services.

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 84 GAO-20-491 Compacts of Free Association

Border Protection website indefinitely, not only for the current 5-year

period, since compact migrants’ forms do not expire.

110

Provide more and broader funding to U.S. states and territories.

State government officials, nonprofit representatives, and FAS community

members said that more federal funding and resources were needed to

accommodate the compact migrant population or to support the receiving

states and territories. State government officials also said that the federal

government should increase compact impact funds to a “reasonable

amount,” even if the full costs cannot be covered. They noted that the

compacts represent a federal obligation and expressed a belief that the

federal government should take care of compact migrants. According to

some health care providers, the United States’ treatment of the compact

migrant population in U.S. areas could affect the FASs’ compact

negotiations with the U.S. government. State government officials also

suggested that allowing compact migrants access to more federal

benefits would help alleviate compact impact on states and territories.

Clarify immigration provisions under the compacts of free

association. FAS community members in some locations we visited

expressed a need for clarification about the status of migration provisions

of the compacts. Specifically, they expressed concern that they might

have to leave the United States in 2023. For example, in one FAS

community we visited, community members registered confusion about

whether provisions of the compacts (including migration provisions) are

scheduled to end in 2023 and whether FAS citizens in U.S. areas can

become U.S. citizens. One community member expressed concern that

compact migrants would be “chased” out of U.S. areas after 2023 and

that “all of their rights” under the compacts would be revoked. FAS

community members also sought clarification about the implementation of

the DHS rule for considering public charge while determining admissibility

110

Some compact migrants have replaced their Forms I-94 by driving to the U.S. southern

border, according to consulate officials and compact migrants. By crossing into Mexico

and reentering the United States, they are able to obtain a new I-94 without paying U.S.

Citizenship and Immigration Services’ $445 replacement fee.

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 85 GAO-20-491 Compacts of Free Association

to U.S. areas.

111

According to community members and other

stakeholders, the rule has caused uncertainty in compact migrant

communities, which may result in some compact migrants’ not enrolling

in, or unenrolling from, public benefits programs. FAS community

members said that they are uncertain whether and how the rule change

will apply to them and whether enrolling in public benefits or enrolling

eligible children will make them ineligible to reenter the United States.

112

FAS consular officials and community members also suggested revising

certain immigration provisions—for example, changing compact migrants’

nonimmigrant status to allow them access to a wider range of jobs,

including law enforcement and military officer positions.

Expand health care access and clinics in U.S. areas. State

government officials said they believed that more health education and

outreach to FAS communities were needed. A nonprofit representative

noted that FAS communities lack vision care and that the extension of

postpartum care to FAS communities would improve maternal and child

health. FAS community members suggested the creation of a Pacific

Islander–specific health clinic in the Pacific Northwest, with translators on

staff and on-site enrollment for health insurance. Representatives of a

nongovernmental organization in Hawaii that is led and staffed by

compact migrants noted that a series of changes in compact migrants’

eligibility for the Hawaii state health care program, Med-QUEST, had

caused confusion about compact migrants’ eligibility for public health care

benefits.

113

111

See Final Rule for Inadmissibility on Public Charge Grounds, 84 Fed. Reg. 41,292

(Aug. 14, 2019). The final rule defines the term “public charge” as an alien who receives

one or more designated public benefits for more than 12 months in the aggregate within

any 36-month period (such that, for instance, receipt of two benefits in 1 month counts as

2 months). In considering whether an alien is likely to become a public charge under 8

C.F.R. § 212.22, DHS considers a number of factors, including age, health, family status,

assets, resources, financial status, education, and skills. See U.S. Citizenship and

Immigration Services, Public Charge Fact Sheet, accessed March 2, 2020,

https://www.uscis.gov/news/fact-sheets/public-charge-fact-sheet.

112

According to the DHS final rule, compact migrants entering the United States under the

terms of the compacts of free association are not exempt from the public charge ground of

inadmissibility. According to CBP officials, the public charge inadmissibility regulation does

not change how CBP will inspect applicants for admission.

113

Some compact migrants may fail to enroll in health insurance plans, through the federal

exchange or state marketplaces or by other means, because of such confusion or

because of the insurance premiums or out-of-pocket costs. Additionally, some

stakeholders noted that compact migrants may lack access to reliable transportation,

which can be a barrier to arriving timely for appointments or reaching health care facilities.

Health Care

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 86 GAO-20-491 Compacts of Free Association

Address preventative care, dialysis needs, and communicable

diseases in the FASs. State and territorial government officials and

health care providers said that greater access to in-country care,

including more resources for primary care, was needed in the FASs. They

recommended making more preventative treatment available in the FASs,

including diabetes prevention, and establishing clinics in the FASs to

potentially reduce the number of individuals moving to the United States

for health care. Health care providers suggested that the Department of

the Interior (Interior) should produce or fund a study on dialysis in the

FASs, including an analysis of whether high-quality dialysis services in

the FASs would decrease migration solely for access to dialysis.

Territorial government officials suggested that compact migrants should

receive health screenings before departing for the United States to

identify any serious conditions or communicable diseases. Some health

care providers and state government officials proposed that the U.S.

federal government focus on reducing or eliminating the transmission of

tuberculosis in the FASs.

Offer predeparture education to compact migrants in the FASs. State

government officials and nonprofit representatives suggested that videos

be aired on television in the FASs to support predeparture education, to

explain differences they would find in the United States, and to reduce

culture shock after arrival. Some state government officials and health

care providers suggested that FAS citizens be encouraged to gather

documentation, such as immunization and medical records, school

records, and anything necessary to obtain a U.S. driver’s license, before

departing for the United States. State government officials also suggested

that lists of community-based organizations, by U.S. state or territory and

city, be provided to FAS citizens before their departure.

Offer orientation and information to compact migrants arriving in the

United States. State government officials said that U.S. areas should

offer and fund location-specific orientations for FAS citizens after arrival.

The officials suggested that these orientations should cover how health

care eligibility works, what resources are available to compact migrants,

and how they can contact interpreters. State government officials also

said that proactive education about U.S. laws could help compact

migrants avoid behavior or circumstances that might cause them to run

afoul of the law, given cultural differences and misunderstandings. Health

care providers noted that compact migrants could be given more

information to encourage better nutritional choices and more exercise.

Compact Migrant

Orientation and Services

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 87 GAO-20-491 Compacts of Free Association

Expand and professionalize translation and interpretation

resources. Compact migrants who are not fluent in English may

experience challenges accessing or navigating health care, the judicial

system, and educational institutions, according to state government

officials, FAS consulate officials, private sector and nonprofit organization

representatives, and compact migrant communities.

114

State government

officials reported frequent difficulty in finding interpreters and translators

for the multiple languages spoken by compact migrants.

115

State

government officials recommended that grants be made available to help

pay for interpreters until more FAS community members graduate from

college and become qualified. The officials also said that interpreters

should be encouraged to develop greater proficiency in fields such as law

and medicine so that they can serve in multiple capacities. In addition, the

officials identified a need for more in-person interpreters in hospitals and

medical facilities. State government officials noted that FAS communities

speak many different languages, and they acknowledged the need for a

culturally-specific approach for each group. They said that, in addition to

translating content, interpreters should fully explain the context of

programs to ensure compact migrants’ understanding. FAS community

members proposed the creation of a group of paid, full-time interpreters

and a language certification requirement to guarantee the availability and

quality of language services.

Create “one-stop shops” with information and resources for

compact migrants. State government officials and health care providers

identified a need for one-stop shops—centers that serve compact migrant

populations—in areas that do not currently have them. According to

114

Compact migrants may speak one or more languages, for which an interpreter may not

be available in person or on demand in every U.S. area. Various stakeholders said that

the lack of interpreter services limits compact migrants’ ability to access and navigate

state government services and programs and may result in compact migrants’ foregoing

medical treatment or delaying judicial proceedings. Languages spoken by compact

migrant populations include, but are not limited to, Chuukese, English, Kapingamarangi,

Kosraen, Marshallese, Palauan, Pohnpeian, and Yapese.

115

Stakeholders said that high certification costs and standards—or conversely, a lack of

testing and certification in some FAS languages—for interpreters working in medical or

legal environments (such as hospitals and courts) further contribute to this challenge. In

Washington, compact migrants said that interpreters for compact migrant languages are

often underpaid because some languages cannot be officially certified in the state or

because institutions have become accustomed to compact migrants’ translating on a

volunteer basis. According to Washington state officials and documentation, the state

government can test languages for interpreters for medical and social services in

Kosraean, Marshallese, and Pohnpeian.

Appendix VII: Stakeholder Suggestions to

Address Challenges Related to Compact

Migration

Page 88 GAO-20-491 Compacts of Free Association

stakeholders in a U.S. state without such a center, a one-stop shop could

reduce duplication and increase coordination among the many groups

that serve the FAS community. Other stakeholders suggested that each

state government establish a single point of contact for compact migrants.

FAS community members and nonprofit representatives identified a need

for a cultural center or other physical space that could be used to hold

events and provide centralized communication and resources for the FAS

community in the Pacific Northwest, in particular.

Emphasize community-based approaches to supporting compact

migrants. State government officials noted the importance of community-

based approaches to supporting compact migrants. For example,

stakeholders recommended hiring community health workers from the

FAS population to engage with their communities in U.S. areas.

According to the officials, community health workers, as known and

trusted entities, are better sources of information for FAS communities

than any government agency. The officials also acknowledged the

importance of engaging with FAS community leaders (including embassy

or consular officials and church leaders) in U.S. areas to successfully

connect with FAS community members.

Provide compact migrant–dedicated housing. State government

officials, FAS consulate officials, and nonprofit organization

representatives discussed discrimination that compact migrants

experienced in housing. For example, stakeholders in some areas we

visited described landlords who failed to maintain or repair housing

leased to compact migrants, who targeted compact migrants for evictions,

or who avoided renting units to compact migrants.

116

Officials in one state

suggested that FAS communities need access to dedicated housing

options that align with their community traditions and cultural norms, such

as units that can accommodate large or multiple families.

116

Compact migrants’ cultural practice of living with many extended family members in

large households sometimes is associated with housing challenges.

Appendix VIII: Nonprofit and Private Sector

Organizations Supporting Compact Migrants

Page 89 GAO-20-491 Compacts of Free Association

Nonprofit organizations provide compact migrants with a range of

assistance, such as assistance with housing or rent, food, documentation

and legal matters, and enrollment in health insurance. Some

organizations, such as “one-stop shops” (i.e., centers serving compact

migrant populations), serve only compact migrants, while other

organizations serve compact migrants among other members of the

receiving community. Additionally, some companies that employ compact

migrants offer programs intended to help them adjust to life in the United

States.

117

The information presented in this appendix is based mainly on

documentation provided by the organizations and interviews with their

representatives.

Several nonprofit organizations in U.S. areas that we visited target their

services to compact migrants. Two of these organizations—one-stop

shops in Hawaii and Guam—aim to support the compact migrant

communities by connecting the migrants to existing resources and, in

some cases, creating new programs and services to support freely

associated state (FAS) communities, according to nonprofit and

government officials and documentation.

118

These one-stop shops

receive funding from the U.S. Department of the Interior (Interior) as well

as other governmental and nongovernmental sources.

• In Guam, the Micronesian Resource Center One-Stop Shop was

developed with input from various communities in Guam and

government agencies and launched in October 2015, according to

one-stop shop officials and Interior documentation. The one-stop shop

has received an Interior grant each year starting in fiscal year 2016.

The amount of the grant has steadily increased, rising from $210,000

in fiscal year 2016 to $217,000 in fiscal year 2017, $250,000 in fiscal

year 2018, and $267,000 in fiscal year 2019, according to Interior

documentation and officials. The one-stop shop employs both case

workers and cultural mediators and uses a mobile van to bring

services directly to FAS communities, according to one-stop shop

officials. These services include outreach to communities, including

youths; workshops for parenting and driving; and assistance with lost

or replacement documentation. For example, when conflict escalated

117

Examples of nonprofit and private sector efforts to support compact migrants cited in

this appendix do not constitute an exhaustive list.

118

The FASs are countries that entered into compacts of free association with the United

States and include the Federated States of Micronesia, the Republic of the Marshall

Islands, and the Republic of Palau.

Appendix VIII: Nonprofit and Private Sector

Organizations Supporting Compact Migrants

Nonprofit Organizations

That Serve Compact

Migrants Only

Appendix VIII: Nonprofit and Private Sector

Organizations Supporting Compact Migrants

Page 90 GAO-20-491 Compacts of Free Association

among compact migrants living in a Guam apartment complex,

Interior and Guam officials noted that the one-stop shop worked with

police to facilitate meetings and participation in neighborhood watch

programs. The one-stop shop has hosted “Welcome to Guam”

orientations to educate compact migrants about finding housing,

setting up utilities, and opening a bank account in Guam; employees’

rights; medical insurance; deportable offenses; and the danger of

human trafficking, according to one-stop shop officials.

• In Hawaii, the one-stop shop We Are Oceania was established with

Interior funding in 2015. The organization provides case management,

helping compact migrants to find jobs, address housing or legal

issues, and enroll in health insurance through Hawaii’s Premium

Assistance Program, according to one-stop shop officials and

documentation. We Are Oceania has also provided cultural

consultations and trainings to Hawaii public school teachers and

service providers to educate them about cultural differences and

potential challenges that compact migrants may face, according to

nonprofit representatives and documentation. The officials also said

that the organization hosts a youth summit and helped open a

newcomer welcome center at a middle school. Figure 10 shows

photos of the We Are Oceania facility, including desks where compact

migrants can apply for health insurance and other services.

Figure 10: We Are Oceania One-Stop Shop for Compact Migrants in Hawaii

Other nonprofit organizations were also founded specifically to assist the

compact migrant community in navigating various U.S. systems, such as

education and health care, and obtaining documentation such as driver’s

licenses or Forms I-94 Arrival/Departure Records.

Appendix VIII: Nonprofit and Private Sector

Organizations Supporting Compact Migrants

Page 91 GAO-20-491 Compacts of Free Association

• The Arkansas Coalition of Marshallese in Springdale, Arkansas,

according to representatives of the organization, helps local compact

migrants with tasks such as retrieving new Forms I-94 from Customs

and Border Protection; translating state driver’s license applications

into Marshallese; providing education about diabetes prevention and

management; and enrolling compact migrant children in ARKids, the

state’s public health insurance program that extends federal health

insurance coverage for children younger than 19 years.

119

• In 2018, the Micronesian Islander Community Organization in Oregon

announced a study among local compact migrants to identify barriers

that they faced in the region, such as a lack of certified health care

interpreters. Additionally, the Oregon-based COFA Alliance National

Network conducts policy and advocacy work aimed at supporting

compact migrant communities, according to representatives of the

organization.

120

Charities, legal services, and other programs assist compact migrants

and other eligible individuals in selected U.S. areas. For example:

• In Hawaii, the Salvation Army of the Hawaiian and Pacific Islands

provides assistance with rent, utilities, and food; interpreters to assist

non–English speakers with accessing health and legal services; and

digital literacy training (e.g., how to use email), according to Salvation

Army officials. In Guam, the Salvation Army Guam Corps provides

assistance with rent, utilities, food, and clothing and also provides

case management services, according to Guam officials.

• In the Commonwealth of the Northern Mariana Islands (CNMI),

Karidat provides a food pantry, clothing assistance, rental assistance,

and victim advocacy, among other services. (Fig. 11 shows a public

bulletin board and donated clothing in Karidat’s offices.) In 2018,

compact migrants made up 20.4 percent of individuals accessing

Karidat’s food pantry and 39.5 percent of individuals receiving clothing

assistance, according to Karidat estimates.

119

Arkansas Coalition of Marshallese representatives estimated that they enrolled more

than 1,000 compact migrant children in the program from January 2018 to September

2019.

120

The COFA Alliance National Network supported work on Oregon state legislation

enacted to open nonfederal law enforcement jobs in Oregon to FAS citizens and to initiate

a study of the costs of providing dental coverage to FAS citizens in Oregon, among other

efforts, according to representatives of the organization. The organization has chapters in

Arizona, Texas, and Washington.

Nonprofit Organizations

That Serve Compact

Migrants

Appendix VIII: Nonprofit and Private Sector

Organizations Supporting Compact Migrants

Page 92 GAO-20-491 Compacts of Free Association

Figure 11: Charity Organization That Provides Services to Compact Migrants on Saipan, Commonwealth of the Northern

Mariana Islands

• The Hawaii and Arkansas chapters of the Legal Aid Society provide

legal services to local residents, such as victims of crime, according to

Hawaii and Arkansas officials. According to Hawaii chapter officials,

they served 569 compact migrants (8.5 percent of their total clients) in

fiscal year 2019.

• The Asian Family Center within Oregon’s Immigrant and Refugee

Community Organization provides similar services, including defense

for parties engaged in deportation removal proceedings, according to

representatives of the organization.

121

Some employers with compact migrant workers provide employee

services, programs, or accommodations specific to these workers’ needs.

In Arkansas, Tyson, Inc., provides written materials in Marshallese and

operates a program that appoints chaplains to help the company’s

Marshallese workers, as well as other non–U.S. citizen employees,

navigate life in the United States generally and in Arkansas specifically,

according to private sector representatives. Additionally, the

121

According to U.S. Immigration and Customs Enforcement’s Fiscal Year 2019

Enforcement and Removal Operations Report, 91 Micronesian citizens, 32 Marshallese

citizens, and 10 Palauan citizens were deported from the United States in fiscal year

2019.

Private Sector

Organizations

Appendix VIII: Nonprofit and Private Sector

Organizations Supporting Compact Migrants

Page 93 GAO-20-491 Compacts of Free Association

representatives told us that the company provides free classes in financial

literacy and English as a second language to its employees, including

compact migrants. Another company in the region, Cargill Protein, has

partnered with local nongovernmental organizations to educate its

compact migrant employees about U.S. driving laws and help prepare

them for driver’s license tests.

Appendix IX: Review of Academic Studies of

the Workforce Effects of Migration Similar to

Compact Migration

Page 94 GAO-20-491 Compacts of Free Association

We examined academic studies published from 2015 through 2019 to

determine what is known about the likely effects of migration similar to

compact migration on the workforces of receiving countries. Because we

were unable to identify articles published during this period that focused

specifically on compact migration, we focused our search on studies

examining the effects of migration by other groups with relatively few

skills.

Studies that we reviewed sometimes reached differing conclusions about

whether migration is associated with a negative, neutral, or positive effect

on the employment and earnings of nonmigrant workers in the receiving

countries.

122

Some studies found that migration may result in worsened

employment prospects or wages—particularly in the short term and if the

influx of migrants is sudden—for nonmigrant workers who are most

similar to the migrants in terms of demographics and skills.

123

If the

migrant workers are close substitutes for nonmigrants, they may intensify

competition for jobs, increasing unemployment and lowering wages for

such nonmigrant workers as well as for similar prior migrants. In the case

of compact migration, this might include younger and less educated

nonmigrants.

However, according to other studies and survey papers that we reviewed,

nonmigrants, both low and high skill, could benefit as a whole from

migration. For example, one study of the effects of migration on 20

countries found that both low- and high-skill nonmigrants clearly benefited

122

For examples of studies that found neutral-to-positive effects of migration see G.

Basso, “Introduction: The Association between Immigration and Labor Market Outcomes

in the United States,” in The Economics of International Migration, ed. Giovanni Peri,

World Scientific Studies in International Economics, vol. 49 (February 2016); and Frédéric

Docquier, Cağlar Ozden, and Giovanni Peri, “The Labour Market Effects of Immigration

and Emigration in OECD Countries,” The Economic Journal, vol. 124 (September 2013).

For an example of a study finding a negative effect of migration on employment, see Olof

Åslund and Mattias Engdahl, “Open Borders, Transport Links, and Local Labor Markets,”

International Migration Review, vol. 53, no. 3 (2019): pp. 706-735. For an example of a

study finding a negative effect of migration on wages, see Joan Llull, “The Effect of

Immigration on Wages: Exploiting Exogenous Variation at the National Level,” Journal of

Human Resources, vol. 53, no. 3 (2018): pp. 608-662. For an example of a study finding

negative effects of migration on employment and wages, see Christian Dustmann, Uta

Schönberg, and Jan Stuhler, “Labor Supply Shocks, Native Wages, and the Adjustment of

Local Employment,” Quarterly Journal of Economics, vol. 132, no. 1 (2017): pp. 435-483.

123

For example, see Anthony Edu, “The Impact of Immigration on the Labor Market,”

Journal of Economic Surveys, vol. 33, no. 3 (2019): pp. 922-948.

Appendix IX: Review of Academic Studies of

the Workforce Effects of Migration Similar to

Compact Migration

Appendix IX: Review of Academic Studies of

the Workforce Effects of Migration Similar to

Compact Migration

Page 95 GAO-20-491 Compacts of Free Association

from an influx of migrant workers about two-thirds of the time.

124

Nonmigrant workers may benefit from migration if the migrant workers

specialize in different skills and vocations than the nonmigrant population,

leading to complementary effects from scale and specialization.

125

For

example, larger numbers of construction workers may result in greater

efficiency and quality in the building of more restaurants and bars,

benefitting workers in nonconstruction trades as well as nonmigrant

investors and business owners.

Institutions may play an important role in determining the effects of

migration on the receiving country’s workforce. For example, a study

estimating the effect of migrant workers in European Union countries and

controlling for institutional and noninstitutional factors showed that the

effect of migrants varied between countries, driven in part by differences

in their institutional environment, such as the extent of unemployment

insurance, fiscal redistribution, and government spending on services and

public goods.

126

This study found that, while fiscal redistribution to migrant

workers through taxation and unemployment benefits somewhat worsens

outcomes for nonmigrants, this effect is often outweighed by the

economic contribution of these migrants.

Distinctions in statistical methodologies and assumptions may explain

studies’ seemingly contradictory conclusions about the effects of

migration on the workforce of receiving countries. According to a survey

paper reviewing other previously published work, the statistical controls

selected for studies of the impact of migration can result in subtle but

economically important distinctions in what the studies attempt to

measure, such as the total effects of migration on a given region or the

effects of migration on a specific group (e.g., a particular education or skill

group).

127

According to this and a second survey paper we reviewed,

124

Michele Battisti, Gabriel Felbermayr, Giovanni Peri, and Panu Poutvaara, “Immigration,

Search and Redistribution: A Quantitative Assessment of Native Welfare,” Journal of the

European Economic Association, vol. 16, no. 4 (2018): pp. 1137–1188.

125

G. Basso, “Introduction: The Association between Immigration and Labor Market

Outcomes in the United States.”

126

Battisti et al., “Immigration, Search and Redistribution.”

127

Christian Dustmann, Uta Schönberg, and Jan Stuhler, “The Impact of Immigration: Why

Do Studies Reach Such Different Results?” Journal of Economic Perspectives, vol. 30, no.

4 (2016): pp. 31-56.

Appendix IX: Review of Academic Studies of

the Workforce Effects of Migration Similar to

Compact Migration

Page 96 GAO-20-491 Compacts of Free Association

contradictory conclusions may also result from differing assumptions

about factors such as the extent to which migrants “downskill” (compete

for jobs for which they may be overqualified) and, therefore, about the

nonmigrants that should be used as a comparison group to examine the

effect of migrants of a particular skill and education level.

128

According to

a third survey paper we reviewed, studies also vary in whether they

measure the shorter- or longer-term effects of migration; the survey found

that negative effects are more often reported when studies measure

migration’s shorter-term effects.

129

Academic journal articles that we examined also discuss the potential

fiscal effect of migration. Several studies argue that evaluations of

migration’s fiscal effect should consider the potential effects over multiple

generations and should also consider the indirect fiscal effect of migrants’

influence on native workers. For example, a panel discussion report of the

National Academies of Sciences, Engineering, and Medicine states that

descendants of immigrants are often studied only as children, in cross-

sectional data providing a point-in-time snapshot.

130

As a result,

according to the report, the average immigrant household is counted as a

net fiscal burden in part because young children of immigrants, like the

children of natives, receive public education. The report stated that

studying the descendants of immigrants as they complete their education,

become workers, and start paying taxes provides a more complete

measure of migration’s fiscal effect, because such an analysis may

include not only the cost of their education but also the delayed fiscal

benefits of that education: larger tax payments made possible by the

investment in human capital that education represents.

131

Another paper

we reviewed argues that because migrant workers can positively

influence the upward mobility of native workers, the higher taxable

128

Andrea Ariu, “Determinants and Consequences of International Migration,” in New

Frontiers in Interregional Migration Research, eds. Bianca Biagi, Alessandra Faggian, Isha

Rajbhandari, and Viktor A. Venhorst (Cham, Switzerland: Springer, 2018): pp. 49-60.

129

National Academies of Science, Engineering, and Medicine, “The Economic and Fiscal

Consequences of Immigration,” eds. Francine D. Blau and Christopher Mackie

(Washington, D.C.: National Academies Press, 2017).

130

National Academies of Sciences, Engineering, and Medicine, The Economic and Fiscal

Consequences of Immigration.

131

A similar argument is presented in Francesco Furlanetto and Ørjan Robstad,

“Immigration and the Macroeconomy: Some New Empirical Evidence,” Review of

Economic Dynamics, vol. 34 (October 2019): pp. 1-19

Appendix IX: Review of Academic Studies of

the Workforce Effects of Migration Similar to

Compact Migration

Page 97 GAO-20-491 Compacts of Free Association

income from these native workers should be considered, in addition to the

low taxable income of the migrants, to avoid negatively biasing the

estimated fiscal effect of migrants.

132

Lars Frederik Andersson, Rikard Eriksson, and Sandro Scocco, “Refugee Immigration

and the Growth of Low-Wage Work in the EU15,” Comparative Migration Studies, vol. 7,

no. 39 (2019).

Appendix X: Compact Migrant Eligibility for,

and Access to, REAL ID–Compliant

Identification

Page 98 GAO-20-491 Compacts of Free Association

The REAL ID Act, passed by Congress in 2005, set minimum document

requirements and issuance standards for driver’s licenses and personal

identification cards.

133

The act also prohibits federal agencies from

accepting for certain purposes driver’s licenses and identification cards

from states that do not meet the act’s minimum standards. Citizens of the

freely associated states (FAS)—the Federated States of Micronesia, the

Republic of the Marshall Islands, and the Republic of Palau—have always

been eligible for REAL ID–compliant driver’s licenses or identification.

However, the term of the licenses’ or identification’s validity and the

documents that the Department of Homeland Security (DHS) required to

establish compact migrants’ identity have varied over time.

134

Currently,

compact migrants are eligible for full-term REAL ID–compliant

identification. Since September 2019, they have been required to present

an unexpired FAS passport and the most recent Form I-94

Arrival/Departure Record (Form I-94) as evidence of identity to obtain the

identification.

DHS regulations previously required compact migrants to provide

documents they were not required to have. Before September 2019,

DHS required compact migrants applying for REAL ID–compliant

identification to present, in addition to their unexpired foreign passport

and Form I-94, either an unexpired U.S. visa (affixed to the passport) or

an employment authorization document (EAD). However, under the

compacts of free association, compact migrants are not required to obtain

a visa or an EAD. On September 4, 2019, DHS modified its policy,

designating an unexpired passport from one of the FAS countries, in

combination with an individual’s most recent Form I-94, as acceptable

evidence of identity that compact migrants may present to obtain REAL

ID–compliant identification.

135

133

The REAL ID Act of 2005, Pub. L. No. 109-13, div. B, tit. II (2005).

134

Because DHS did not begin making determinations of REAL ID compliance until

December 2012, no state issued REAL ID-compliant documents to any party from 2005

through 2012.

135

The Federal Register notice “Designation of REAL ID Identity Documents for Citizens

of the Freely Associated States; Unexpired Foreign Passport With an Approved Form I-94,

Documenting the Applicant’s Most Recent Admission to the United States” (Sept. 4, 2019)

acknowledged that compact migrants may not have a visa or EAD. The notice designated

an unexpired FAS passport and Form I-94 as acceptable documentation for a REAL ID-

compliant driver’s license or identification, effective immediately.

Appendix X: Compact Migrant Eligibility for,

and Access to, REAL ID–Compliant

Identification

Compact Migrant Eligibility

for, and Access to, REAL

ID–Compliant

Identification

Appendix X: Compact Migrant Eligibility for,

and Access to, REAL ID–Compliant

Identification

Page 99 GAO-20-491 Compacts of Free Association

Federal law previously restricted the term of the REAL ID–compliant

identification that compact migrants could receive. Before December

2018, compact migrants were eligible to receive temporary, limited-term

REAL ID–compliant identification, valid until the expiration date on their

EAD, which could be a maximum of 5 years, according to DHS officials.

In December 2018, the REAL ID Act Modification for Freely Associated

States Act made FAS citizens eligible for full-term REAL ID–compliant

identification.

136

Since then, compact migrants have been eligible for full-

term REAL ID–compliant identification, valid for the maximum number of

years for any license or identification as set by individual U.S. states and

territories, according to DHS officials.

In several areas that we visited, compact migrant communities described

challenges they had experienced in obtaining or renewing their REAL ID–

compliant identification.

137

Some compact migrants spoke of difficulty due

to the requirement to present a visa or an EAD as evidence of identity. In

one location, FAS community members said that other members of the

community had lost employment on a military base because they were

unable to obtain REAL ID–compliant identification. (We heard many of

these observations before September 2019, when DHS modified the

policy that required applicants for REAL ID–compliant identification to

present a visa or EAD.)

Some compact migrants reported being unable to obtain REAL ID–

compliant identification for other reasons.

• In some locations, compact migrants said that state or territorial

government agencies did not understand compact migrants’

nonimmigrant status in the United States or did not understand that

compact migrants were eligible to apply for REAL ID–compliant

identification.

• FAS consular officials and community members said that compact

migrants had been denied licenses or identification cards because the

passport numbers displayed on their Forms I-94 did not match the

136

The REAL ID Act Modification for Freely Associated States Act, Pub. L. No. 115-323

(2018) made FAS citizens eligible for full-term REAL ID–compliant identification but did

not modify REAL ID documentation requirements.

137

We traveled to, and interviewed stakeholders in, six U.S. states and territories where

compact migrants live, including three of the U.S. areas designated as affected

jurisdictions (the Commonwealth of the Northern Mariana Islands, Guam, and Hawaii) and

three mainland states (Arkansas, Oregon, and Washington).

Compact Migrant

Challenges Related to

REAL ID–Compliant

Identification

Appendix X: Compact Migrant Eligibility for,

and Access to, REAL ID–Compliant

Identification

Page 100 GAO-20-491 Compacts of Free Association

number on their current foreign passports. When an FAS citizen’s

passport expires and he or she renews it while in the United States,

the new passport has a different number than the former passport

number displayed on the FAS citizen’s Form I-94.

138

Form I-94 displays an individual’s foreign passport number at the time of arrival in the

United States. An FAS citizen’s Form I-94 does not have an expiration date and may

remain valid longer than the passport used to enter the United States. According to FAS

officials, when an FAS passport expires after several years, an FAS citizen often renews it

through the mail or a consulate while remaining in a U.S. area. The new passport will have

a different number than the old passport number displayed on the Form I-94, which can

cause verification issues or confusion. FAS consular officials recommended that any FAS

citizen with an expired passport retain it or a copy and present it alongside the Form I-94

and new passport to avoid issues relating to the discrepancy between the old and new

passport numbers. In October 2019, DHS issued guidance indicating that in these

instances, the original Form I-94 presented with the new passport is sufficient for

verification purposes.

Appendix XI: Comments from the Government

of Hawaii

Page 101 GAO-20-491 Compacts of Free Association

Appendix XI: Comments from the

Government of Hawaii

Appendix XII: Comments from the Government

of Guam

Page 102 GAO-20-491 Compacts of Free Association

Appendix XII: Comments from the

Government of Guam

Note: GAO comments

supplementing those in

the report text appear at

the end of this appendix.

See comment 1.

Appendix XII: Comments from the Government

of Guam

Page 103 GAO-20-491 Compacts of Free Association

See comment 2.

Appendix XII: Comments from the Government

of Guam

Page 104 GAO-20-491 Compacts of Free Association

1. Section 104(e)(9)(A) of the amended compacts’ enabling legislation

authorized the President of the United States, at the request of the

Governor of Guam or the Governor of the Commonwealth of the

Northern Mariana Islands (CNMI), to reduce, release, or waive all or

part of any amounts owed by the Guam or CNMI government (or

either government’s autonomous agencies or instrumentalities),

respectively, to any department, agency, independent agency, office,

or instrumentality of the United States. According to section

104(e)(9)(B)(iv), that authority expired on February 28, 2005.

2. The Census Bureau data that we report reflect a definition of

“compact migrants” that includes citizens of the Federated States of

Micronesia (Micronesia), Republic of the Marshall Islands (Marshall

Islands), and Republic of Palau (Palau) who entered the United States

after 1986 (from Micronesia and the Marshall Islands) or 1994 (from

Palau) and their U.S.-born children (biological, adopted, and step-)

and grandchildren younger than 18 years.

GAO Comments

Appendix XIII: Comments from the

Government of the Commonwealth of the

Northern Mariana Islands

Page 105 GAO-20-491 Compacts of Free Association

Appendix XIII: Comments from the

Government of the Commonwealth of the

Northern Mariana Islands

Appendix XIII: Comments from the

Government of the Commonwealth of the

Northern Mariana Islands

Page 106 GAO-20-491 Compacts of Free Association

Appendix XIV: Comments from the

Government of Arkansas

Page 107 GAO-20-491 Compacts of Free Association

Appendix XIV: Comments from the

Government of Arkansas

Note: GAO comments

supplementing those in

the report text appear at

the end of this appendix.

Appendix XIV: Comments from the

Government of Arkansas

Page 108 GAO-20-491 Compacts of Free Association

See comment 4.

See comment 3.

See comment 2.

See comment 1.

Appendix XIV: Comments from the

Government of Arkansas

Page 109 GAO-20-491 Compacts of Free Association

Appendix XIV: Comments from the

Government of Arkansas

Page 110 GAO-20-491 Compacts of Free Association

1. The Arkansas Department of Education’s data estimating the number

of compact migrant students at 4,175 is based on students’ ethnicity

(Hawaiian and Pacific Islander) in the 2018-2019 school year. As a

result, Arkansas’s estimate may include students who are not

Marshallese. In addition, Arkansas’s estimate may include second-

generation U.S. citizens, including Marshallese children born in the

United States to Marshallese parents who were also born in the

United States. The American Community Survey data that we report

reflect a definition of “compact migrants” that includes only citizens of

the Federated States of Micronesia (Micronesia), Republic of the

Marshall Islands (Marshall Islands), and Republic of Palau (Palau)

who entered the United States after 1986 (from Micronesia and the

Marshall Islands) or 1994 (from Palau) and their U.S.-born children

(biological, adopted, and step-) and grandchildren younger than 18

years. The 5,895 compact migrants that the Census Bureau estimated

resided in Arkansas during the period 2013 to 2017 (a different time

period from that of the data cited by the government of Arkansas)

includes only adults and children who met those criteria. We believe

that the Census Bureau data are sufficiently reliable for our purposes

of estimating the number of compact migrants in U.S. areas.

However, our report includes a discussion of stakeholder concerns

that the compact migrant population in Arkansas may be

undercounted.

2. The population estimate cited in the published study from Arkansas is

based in part on a 2013 statement by a Marshallese consulate official.

The Arkansas Department of Education estimated there were 4,175

Hawaiian and Pacific Islander students in Arkansas schools in the

2018-2019 school year.

3. Costs related to compact migration in U.S. areas not considered

affected jurisdictions are outside the scope of our review.

4. We updated our report to reflect the data that the government of

Arkansas cites for the period 1997 to 2019.

GAO Comments

Appendix XV: Comments from the Government

of Oregon

Page 111 GAO-20-491 Compacts of Free Association

Appendix XV: Comments from the

Government of Oregon

Note: GAO comments

supplementing those in

the report text appear at

the end of this appendix.

See comment 1.

Appendix XV: Comments from the Government

of Oregon

Page 112 GAO-20-491 Compacts of Free Association

See comment 4.

See comment 3.

See comment 2.

Appendix XV: Comments from the Government

of Oregon

Page 113 GAO-20-491 Compacts of Free Association

Appendix XV: Comments from the Government

of Oregon

Page 114 GAO-20-491 Compacts of Free Association

Appendix XV: Comments from the Government

of Oregon

Page 115 GAO-20-491 Compacts of Free Association

Appendix XV: Comments from the Government

of Oregon

Page 116 GAO-20-491 Compacts of Free Association

1. We have previously reported on defense issues in the Federated

States of Micronesia and the Republic of the Marshall Islands

(Marshall Islands). For more information about the United States’ right

to use part of the Kwajalein Atoll in the Marshall Islands for missile

tests and space tracking operations, see GAO, Foreign Relations:

Kwajalein Atoll Is the Key U.S. Defense Interest in Two Micronesian

Nations, GAO-02-119 (Washington, D.C.: Jan. 22, 2002). For more

information about the Marshall Islands’ Nuclear Claims Trust Fund,

see GAO, Marshall Islands: Status of the Nuclear Claims Trust Fund,

GAO/NSIAD-92-229 (Washington, D.C.: Sept. 25, 1992).

2. Our report provides some information about contributions by compact

migrants, including qualitative statements about their budgetary,

workforce, and community contributions as well as high-level data on

their average per-capita income (see app. IV). We have added the

government of Oregon’s statements about the contributions of

compact migrants to our report.

3. As our report notes, the affected jurisdictions are defined in the

amended compacts’ implementing legislation, which also establishes

funding for the associated compact impact grants for those

jurisdictions.

4. We made revisions in our report to help direct readers to

stakeholders’ suggestions for improving experiences or outcomes of

compact migration, presented in appendix VII.

GAO Comments

Appendix XVI: Comments from the

Government of Washington

Page 117 GAO-20-491 Compacts of Free Association

Appendix XVI: Comments from the

Government of Washington

Note: GAO comments

supplementing those in

the report text appear at

the end of this appendix.

See comment 2.

See comment 1.

Appendix XVI: Comments from the

Government of Washington

Page 118 GAO-20-491 Compacts of Free Association

Appendix XVI: Comments from the

Government of Washington

Page 119 GAO-20-491 Compacts of Free Association

Appendix XVI: Comments from the

Government of Washington

Page 120 GAO-20-491 Compacts of Free Association

Appendix XVI: Comments from the

Government of Washington

Page 121 GAO-20-491 Compacts of Free Association

1. Our report incorporates the results of our interviews with members of

compact migrant communities, including their reasons for migrating to

U.S. areas, workforce challenges and other challenges they face, and

their contributions to U.S. communities. Our report also includes these

and other stakeholders’ suggestions for improving experiences or

outcomes of compact migration (see app. VII).

2. We have previously reported on defense issues in the Federated