'Not just a parcel of land:' GWA gears up for showdown with Core Tech over Dededo property

By Pacific Island Times News Staff

 The disputed real estate asset in Dededo “is not just a parcel of land—it is a vital piece of Guam’s infrastructure,” the Guam Waterworks Authority argued in its final reply brief challenging a private company’s claim over the property.

“We remain committed to defending the integrity of Guam’s water and wastewater systems and to protecting the public’s interest in this case,” GWA said in its filing with the Guam Supreme Court, which is set to hear oral arguments on Aug. 28.

The GWA is appealing the Superior Court’s award of the property to Core Tech International Corp.

Backed by amicus briefs from other government entities, the GWA expressed confidence that the Supreme Court’s review of the lower court’s ruling “will remove the cloud of uncertainty” over the property’s ownership.

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“This case involves Core Tech's attempt to obtain a $220 million windfall from GWA based on an erroneous certificate of title that identifies a purported transfer of GWA’s Northern District Wastewater Treatment Plant to a private landowner,” the GWA said.

The dispute involved a piece of property in the Ukudu area, where the wastewater treatment plant is located. Core Tech acquired the land from Younex International.

While challenging the property transfer, GWA questioned the legitimacy of Younex's ownership, arguing that the Department of Land Management “erroneously" issued the certificates of title to the now-defunct company 10 years ago.

In her decision on Aug. 14, 2023, Superior Court Judge Elyse Iriarte upheld CoreTech’s claim, declaring that the company lawfully acquired its title from Younex.

GWA, however, argued that the lower court’s ruling and Core Tech’s arguments disregarded legislative mandates, misinterpreted legal documents and made multiple errors of law.

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GWA pointed out that CoreTech has now abandoned its original “chain of title” argument that was presented in the Superior Court.

Instead, Core Tech now claims that the 1997 Grant Deed conveyed no property interest to GWA and that the government of Guam mistakenly transferred the plant property to the Guam Ancestral Lands Commission, ultimately resulting in Core Tech’s asserted ownership.

GWA’s brief stresses that this argument disregards the plain language of the 1997 grant deed and undermines the legislature’s clear intent when it dismantled the Public Utility Agency of Guam and transferred its assets—including the plant property—to the newly created autonomous agency, GWA.

This legislative action was a deliberate restructuring of Guam’s water and wastewater

management system—not a routine public land transfer.

GWA also refuted Core Tech’s attempt to reframe its claim as an ancestral land issue. The plant property was condemned by the United States in 1950, later transferred to the government of Guam and ultimately placed under GWA’s authority as part of the legislature’s reorganization.

In its amicus brief, the Guam legislature noted that the disposition of government property falls under its authority and that the transfer of land to any other party without legislative approval is prohibited.

“Based on this authority, the legislature directed that ownership of the NDWWTP property was to be held by GWA," the legislayire said.

"The legislature created GWA to oversee the management and distribution of water on Guam, including the treatment and disposal of wastewater,” it added.

The legislature said the Superior Court's order "unduly interferes with the legislature’s exclusive authority to legislate regarding government property and to structure the management and operation of Guam’s water systems."

The Public Utilities Commission, in its amicus brief, warned of an unprecedented rate hike if GWA were forced to pay Core Tech’s claim amount without additional funding support, possibly resulting in a 300 percent increase to water rates.

Using FY 2024 projected revenues, the PUC estimated that the average monthly water bill for a residential ratepayer could go from $93.87 to $238.61 per month if Core Tech were to prevail.

PUC stated that GWA does not currently have access to bond or grant funds to cover the claim amounts demanded.

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