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Puerto Rico's governor defies board, rejects pension cuts

SAN JUAN, Puerto Rico -- Puerto Rico's governor is defying the federal control board overseeing the island's troubled finances. Ricardo Rossello says he will submit a fiscal plan to the board on Thursday that will not contain any layoffs, reductions in pensions or a labor reform.

The announcement late Sunday defies the board's demands that the U.S. territory implement a labor reform and a 10 percent cut to a pension system facing nearly $50 billion in liabilities.

A board spokesman did not immediately respond to a request for comment.

Public Affairs Secretary Ramon Rosario told NotiUno radio station on Monday that the board cannot impose public policy in Puerto Rico and asked members to reach a consensus with the island's government.

Meanwhile, Puerto Rico is still recovering, more than six months after Hurricane Maria devastated the island. The Category 4 storm knocked out power, at least 64 people died, and more than 135,000 people reportedly left Puerto Rico for the U.S. mainland.

Months after Maria, some Puerto Ricans still without running water
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