AGP Executive Report

Municipal Tourism Deal: Dorado signed an agreement to bring a Wyndham Garden hotel to its beachfront in Costa de Oro, a 53-room project officials say will boost tourism and jobs ahead of a December 2026 opening. Puerto Rico Governance & Rights: The Center for Investigative Journalism says it has repeatedly had to sue to obtain public records, including on missing persons—after being told 1,000 people go missing each year. Public Benefits: The Department of the Family moved to calm PAN recipients after confusion over recertification notices, saying eligible participants will keep receiving benefits under the federally required process. Education Tech: Puerto Rico’s education secretary says AI is being introduced with a human-centered approach, emphasizing ethics and student safety, including tools like Copilot and generative AI. Federal Immigration Fight: Congressional Hispanic Caucus and advocacy groups urged lawmakers to oppose a Senate ICE and Border Patrol funding package, citing impacts on Puerto Rico. Aviation Incident (PR-linked): A Frontier flight from San Juan to Chicago was diverted to Miami after a passenger allegedly tried to open an emergency exit door, force entry into the cockpit, and assaulted an off-duty flight attendant. Energy/Trade: A cabotage waiver reportedly enabled nearly two million barrels of U.S. fuel to reach Puerto Rico via foreign-flagged vessels, with economic impact still being assessed.

Aviation Security: A Frontier flight from San Juan to Chicago was diverted to Miami after a passenger tried to open exit doors mid-flight, rushed toward the cockpit, and allegedly choked an off-duty flight attendant; passengers helped restrain him and the flight later continued. Trade & Cost Pressures: Puerto Rico paid $919.7M in import tariffs in 2025—up nearly 289% year over year—pushing the effective tariff rate to 4.81%, with the heaviest burden tied to construction and manufacturing inputs. Tourism Economy: Norwegian Cruise Line canceled Norwegian Viva departures from Puerto Rico for 2027-28, citing port availability, with local estimates of roughly $17M in losses for fiscal 2028. Local Governance (Economic Development): The Connecticut–Puerto Rico Trade Commission’s first meeting set subcommittees for economy, tourism, housing, education, and healthcare, and added energy assistance/efficiency as a priority amid Puerto Rico’s grid and outage concerns. Public Safety & Justice (International): In the Philippines, the PNP said it’s open to an NBI probe into whether a police officer was behind a fake tip in the hunt for ICC-wanted former Sen. Ronald “Bato” dela Rosa.

Cruise Economy Shock: Norwegian Cruise Line canceled Norwegian Viva departures from Puerto Rico for 2027-2028, citing lack of port availability and shifting excursions to Miami—tourism officials warn of about $17M in projected fiscal-year losses, on top of earlier estimates that could push combined impact near $40M. Puerto Rico Legal/Policy: Puerto Rico’s Supreme Court upheld the validity of noncompete clauses for independent contractors, a ruling that could reshape how local businesses structure work agreements. Power Reliability: WAPA said technical issues drove power restoration problems and that a state of emergency isn’t needed, after outages disrupted service. Political Accountability: Coverage continues around Sen. Jinggoy Estrada’s long-running legal troubles, including court steps tied to plunder allegations. Public Safety & Travel: A Frontier flight from San Juan to Chicago diverted to Miami after a passenger allegedly tried to open a cabin door mid-flight at 36,000 feet. Community & Education: Berklee in Puerto Rico launched its 31st music program in Caguas with 211 students, its highest enrollment in 31 years.

Impeachment Security in Focus: Philippine authorities deployed 2,000 police around the Senate as Vice President Sara Duterte prepares to respond to her impeachment case, underscoring how quickly political disputes can turn into high-security standoffs. Corruption Court Clash: In a separate major legal fight, Sen. Jinggoy Estrada surrendered after the Sandiganbayan issued a nonbailable plunder arrest warrant, with officials and allies trading accusations over whether arrest can be carried out inside the Senate. Puerto Rico Public Media Leadership: David Reyes Vázquez was named president of the Puerto Rican Public Broadcasting Corp., following the resignation of Luis Rodríguez Díaz, who hinted at future political ambitions. Maritime Enforcement: The Coast Guard and partners intercepted eight stowaways aboard a barge in San Juan Harbor and transferred them to CBP for processing. Hurricane Readiness Funding: FEMA approved over $5.5 million for disaster recovery projects in Puerto Rico, while separate reporting highlights ongoing preparedness concerns ahead of hurricane season.

Puerto Rico Statehood & U.S. Territories: A new push on Capitol Hill is framing “consent of the governed” for the 3.6 million Americans in U.S. territories who can’t vote for president, with Puerto Rico repeatedly named in the debate over political status and representation. Supreme Court Politics: Democrats and Republicans are trading warnings over Supreme Court expansion ahead of the midterms, with Puerto Rico statehood and D.C. tied to broader reform talk. Local Governance & Federal Oversight: Puerto Rico’s cruise boom and economic shifts are in the background as federal agencies continue funding and oversight moves affecting the island’s infrastructure and disaster readiness. Maritime Security: U.S. Coast Guard and partners intercepted eight stowaways aboard a barge in San Juan Harbor, underscoring continued pressure on the maritime border. Public Safety & Disruption: A Frontier flight from San Juan to O’Hare was diverted to Miami after a passenger disturbance, adding to a wider pattern of unruly-airline incidents. Sports & Community: Puerto Rico’s presence shows up in international athletics and culture, from Cuban triple-jumper Davisleydi Velazco’s rise to Puerto Rican pride events abroad.

Water & Environment: At-large Sen. Ada Álvarez Conde asked the U.S. Department of Justice for oversight on federal water-contamination agreements tied to Condado, after San Juan Mayor Miguel Romero Lugo sued the Aqueduct and Sewer Authority over shortages and residents’ concerns about illegal wastewater discharges. Cost of Living & Oversight: Puerto Rico’s ombudsman, Edwin García Feliciano, urged an “unbreakable” united front to push the Financial Oversight and Management Board to address the high cost of living, calling it a chokehold on low-income families and seniors. Medicaid Funding Push: House Speaker Carlos “Johnny” Méndez Nuñez said lawmakers are heading to Washington to lobby Congress to preserve Puerto Rico’s Medicaid reimbursement at the 76% federal rate ahead of an expiration tied to the Vital Plan. Disaster Readiness: Gov. Jenniffer González Colón’s administration says it’s ready for hurricane season, citing updated interagency protocols and improved emergency communications standards. Local Governance & Culture: Ponce Mayor Marlese Sifre Rodríguez confirmed Cali, Colombia’s mayor will join the Puerto Rican Day Parade, with a push to advance an “American Salsa Trail” concept. Elections Watch (U.S.): The U.S. Supreme Court is set to rule on election-related cases that could affect redistricting, mail ballots, and coordinated campaign spending before the November midterms.

U.S. Supreme Court Watch: The Court is poised to rule by late June in two election-related cases that could reshape how mail ballots are handled and further loosen limits on coordinated political spending—moves Republicans are betting on to protect their slim House and Senate majorities. U.S.-Cuba Tensions: A senior U.S. military officer met Cuban counterparts at Guantánamo Bay to discuss base security and communications, underscoring heightened pressure amid an energy embargo and renewed military signaling. Caribbean Power Crisis: A second blackout hit St. Thomas and St. John in the U.S. Virgin Islands this weekend after generation was lost at a power plant, adding to mounting frustration over frequent outages. Regional Aviation Shakeup: Caribbean Airlines’ withdrawal and route cuts are driving a broader realignment, with new interline connectivity between LIAT 2020 and Air Caraïbes and emerging hub focus across the region. Puerto Rico Cruise Boom: Puerto Rico logged 1.36M cruise passengers in the 2025-26 winter season, up 43%, with 515 cruise operations and more port calls. Local Governance & Economy: Puerto Rico’s coastal erosion emergency is prompting a governor-announced emergency response, while the island also faces a reported three-month economic decline. Culture & Community: Miss Universe Puerto Rico named Four Points by Sheraton Caguas Real Hotel & Casino as its official hotel/venue for key events ahead of the June 25 final.

FEMA Funding for Airport Resilience: Puerto Rico’s Resident Commissioner Pablo José Hernández met with Carolina Mayor José Carlos Aponte Dalmau on reconstruction and infrastructure, highlighting FEMA’s release of $5,014,600 for backup generators at Luis Muñoz Marín International Airport amid reported FEMA staffing and process delays. U.S. Territories and “Consent of the Governed”: Right to Democracy is organizing a June 4 congressional briefing on what “consent of the governed” means for Puerto Rico and other U.S. territories, tying the debate to the Declaration of Independence. Caribbean Security Posture: The 24th Marine Expeditionary Unit has taken over SOUTHCOM’s Caribbean crisis-response role, operating from Puerto Rico as Littoral Combat Force-24 to support counter-narcotics and deterrence missions. Drug Interdiction Off Puerto Rico: U.S. Customs and Border Protection reported an Air Disabling Fire interdiction north of San Juan that stopped a vessel carrying 391 lbs. of cocaine. Local Culture Spotlight: Casa Pueblo’s Solar Cinema in Adjuntas will host a free screening of the Puerto Rican film “Esta isla,” with a discussion featuring its creators and cast.

U.S.-Puerto Rico Security: The 24th Marine Expeditionary Unit has taken over as Littoral Combat Force-24 in the SOUTHCOM region, replacing the 22nd MEU and positioning about 1,300 Marines and sailors from Puerto Rico for counter-narcotics and rapid response missions. Drug Interdiction: U.S. Customs and Border Protection reports a Black Hawk-led “air disabling fire” operation that stopped a vessel carrying 391 lbs. of cocaine off Puerto Rico. Local Governance & Economy: Puerto Rico’s tourism authority says the 2025-2026 winter cruise season hit record passenger movement and port calls in Old San Juan. Public Finance & Development: Ponce presented a $112.2M budget for fiscal year 2026-2027, while FEMA approved over $5.5M for Puerto Rico disaster recovery projects. Elections & Civic Life: Early voting for primary runoffs begins June 6, with June 16 as election day. Legal/Policy Watch: A new report raises questions about whether Puerto Ricans qualify for the Trump “Accounts” program, with eligibility details expected to become clearer after launch. Infrastructure & Safety: Puerto Rico’s coastal erosion emergency is prompting a new governor-issued emergency response.

Tourism & Economy: Puerto Rico closed its 2025-2026 winter cruise season with record momentum: 1.36M passengers in Old San Juan (+43%) and 515 homeport/in-transit calls (+34.1%), underscoring the island’s growing role as a Caribbean cruise hub. Public Finance & Health Workforce: The Economic Development Bank of Puerto Rico and the Health Department convened a roundtable on retaining health professionals, focusing on financing, hospital infrastructure, telemedicine, credentialing, training, and incentives as specialists continue to leave the island. Government Shake-Up: DDEC leadership is in flux after the secretary’s resignation and reports that Fortaleza is weighing more than 15 names for a replacement, with Roberto Lefranc Fortuño expected to stay interim while a permanent pick is made. Legal/Anti-Corruption: NBI Director Melvin Matibag said Sen. Jinggoy Estrada can’t use the Senate as a refuge once a Sandiganbayan arrest warrant is served. Security: Coast Guard and partner agencies intercepted eight stowaways in San Juan Harbor and transferred them to CBP for processing. Regional/Defense: U.S. Army South was inactivated as part of a broader hemispheric command modernization toward U.S. Army Western Hemisphere Command.

US–Cuba Tensions: The Pentagon and White House are reportedly positioning ships, aircraft, and troops across the Caribbean—including assets based in Florida and Puerto Rico—while Democrats introduce a war-powers resolution aimed at blocking any Cuba strike without Congress. Local Disaster Funding: FEMA approved more than $5.5M for Puerto Rico Public Assistance projects, including repairs tied to Hurricanes Fiona and Maria for the Department of Education, Arecibo, Canóvanas, and the Capuchin Friars. Puerto Rico Sports & Youth: NBA Basketball School Puerto Rico announced four summer camp weeks at Colegio Universitario de San Juan for ages 7–16, and the Women’s Softball Premier League opens Friday with Cidra’s Bravas defending their back-to-back titles against Ponce’s Leonas. Governance Watch: San Juan mayor may sue PRASA over water problems in the capital, while Ponce presented a $112.2M budget for FY 2026–2027. Business/Community: Costco reported strong results, noting it operates 639 warehouses in the U.S. and Puerto Rico.

U.S.-Cuba Tensions: Congressional Democrats led by Reps. Nydia Velázquez and Gregory Meeks filed a new war-powers resolution aimed at blocking any Trump administration attack on Cuba without authorization, as reports say the Pentagon has been positioning ships, aircraft, and troops around the Caribbean. Local Government & Budgets: Ponce unveiled a historic $112.2M municipal budget for 2026-27 (plus a $163M consolidated plan), pitching major investments in public safety, housing, tourism, and infrastructure. Disaster Recovery: FEMA approved more than $5.5M in Public Assistance for Puerto Rico repairs tied to hurricanes, including work for the Department of Education, Arecibo, Canóvanas, and the Capuchin Friars. Economy Watch: Puerto Rico’s economy logged a third straight month of contraction in February 2026, with analysts pointing to global geopolitical shocks driving higher oil prices and inflation pressures. Coastal Policy Fight: The ACLU of Puerto Rico renewed opposition to House Bill 25, arguing it would weaken coastal protections and tilt maritime-terrestrial rules toward private development. Business & Ports: Hecho en Puerto Rico elected Pedro J. Rosaly as its new president, and San Juan inaugurated Pan American Pier 2 after a $40M investment to boost cruise tourism.

Business Leadership: Hecho en Puerto Rico (HEPR) named logistics executive Pedro J. Rosaly as its new president, aiming to strengthen Puerto Rican companies and member collaboration. Tourism & Infrastructure: Gov. Jenniffer González Colón inaugurated Pan American Pier 2 after a $40M investment, pitching San Juan as a Caribbean cruise hub and projecting major 2026–2027 economic gains. Coastal Crisis: The governor declared a state of emergency over worsening north-coast erosion, citing sea-level rise and storm surges, with Loíza among the hardest hit. Environment & Law: The ACLU of Puerto Rico urged lawmakers to reject House Bill 25, arguing it weakens coastal protections and tilts maritime-terrestrial rules toward private development. Economic Development Shake-Up: The Puerto Rico Manufacturers Association (PRMA) called for a swift permanent DDEC secretary after leadership changes, warning uncertainty could hurt investor confidence. Military Community: Fort Buchanan highlighted a Puerto Rico-based military youth candidate, Alondra Sofia Zorrilla Benitez, selected for a regional “Military Youth of the Year” competition. U.S.-Cuba Tensions: Reports say the Pentagon has positioned forces in the Caribbean for possible action against Cuba, with Puerto Rico-based fighter assets cited as likely involved.

Coastal Emergency: Puerto Rico Gov. Jenniffer González declared a state of emergency to speed up response to worsening north-coast erosion, citing rising sea levels and storm surges; Loíza is among the hardest hit, with evacuations and sections of coastal roads collapsing into the ocean as the Atlantic hurricane season approaches. Economic Development Shakeup: The head of the Department of Economic Development and Commerce (DDEC), Sebastián Negrón Reichard, resigned after saying he lost confidence in his ability to lead, following an internal probe tied to alleged improper intervention in a federally funded RFP process. Local Governance & Water: San Juan’s mayor is reportedly considering legal action against PRASA over water shortages in the capital, while other municipal moves include a delayed city council vote on a fee schedule. Federal/Regional Security: A U.S. visa delay is keeping Haiti’s lone World Cup-based player, Woodensky Pierre, from joining the squad in Florida, as travel restrictions expand. Defense Logistics: U.S. Army Reserve port operations training continued in Puerto Rico as TRANSMARINER 26 rehearsed rapid ship-to-shore logistics.

Plus Ultra Probe: A Spanish judge says nearly €16M from the airline’s state rescue was diverted through offshore-linked money laundering networks tied to Venezuelan gold, with transfers routed from Spain to places including Puerto Rico. Puerto Rico Politics: Puerto Rico’s economic development chief Sebastián Negrón Reichard resigned, alleging government interference and citing leadership departures after procurement-related suspensions. Local Recovery: Ponce is pushing ahead with $35.7M in community reconstruction tenders for roads, bridges, and municipal infrastructure after Hurricanes Maria and Fiona. Senate Drama (Context): In the Philippines, a Senate rules fight over remote participation is tied to speculation around ICC-linked Sen. Bato dela Rosa—showing how detention and procedure can collide. Culture & Travel: Bad Bunny’s voice role in “Toy Story 5” and his Madrid residency keep Puerto Rico’s pop pull strong abroad. Sports: Puerto Rico’s Jonah Antonio and others are listed as final roster/announcement names for the FIBA 3x3 World Cup in Warsaw.

Puerto Rico Water Crisis Escalates: San Juan Mayor Miguel Romero Lugo is preparing to sue PRASA in federal court this week over ongoing lack of potable water, after residents and businesses reportedly lost about $1 million and the capital marked 20 days of interruptions in areas like Santurce—while the senator alleges PRASA closed valves of the Superaqueduct near Toa Baja. Health System Pressure: A Puerto Rico Senate investigation says insurance companies owe the Puerto Rico Medical Center in Río Piedras $16 million, with lawmakers moving toward standardizing payment rates and tightening ASES oversight. Veterans on the Move: Aguadilla signed a Veterans’ Bill of Rights on Memorial Day, expanding protections for veterans and families. Broader Context: Puerto Rico’s trade with Spain hit about $4.39B in 2025, and the island continues to see major infrastructure and tech modernization deals tied to mobility and payments.