“IF our only solution is to raise taxes and fees at this moment, then we will only kill our business sector quicker,” Rep. Thomas John Manglona told his colleagues on Thursday.
One of the four members of the House minority, Manglona expressed his concerns regarding Hyatt Regency Saipan’s announcement that it will close on June 30.
The news “is troubling,” he added.
The Precinct 5 representative thanked Hyatt for its contributions to the CNMI throughout the years. “Honestly, my heart goes out to all those staff that may be losing their jobs as a result. Quite frankly, there are so many businesses that are struggling to stay open at the moment and there are still so many of our government employees on austerity,” he said.
Because he is with the House minority, Manglona said he is not privy to the House leadership’s conversations with the administration or its plans.
But “from my observation over the past year, things have not seemed to get any better with our economic situation and to be honest, if all we’re going to continue to do is blame the past, then we will never move ahead.”
“I lost my daughter last year and as heartbreaking as that experience was, I would not be here sitting before you in this chamber if I continued to focus and cling to the thought that I could have changed the past. To be honest, going through that experience has only made me a stronger person today,” Manglona said.
“Thankfully because of her love for me, I chose to look for the good in every situation, to try my best to focus on positivity and spreading love and light because this life is too short to waste and I will not waste another moment of my time not speaking my truth,” Manglona said.
He said even though things may seem bleak at the moment for the CNMI, he still sees hope for the future. “I look at this as an opportunity to learn from our mistakes, not dwell on them, and to rebuild even better. But there are a few things that need to be addressed,” he added.
No to tax hikes
First off, Manglona said raising taxes and fees “at this moment” will only “kill the business sector quicker.”
“We charge businesses a pure tax, the BGRT, meaning that they don’t receive anything in return like the average working person does every year. They don’t even receive so much as a thank you at times from the government, yet we still want to take more while we don’t even provide an exceptional service to them or any sort of incentive for them to do business here,” he said.
“No offense to anyone working in our government agencies, but our business license and permitting processes are in need of a massive overhaul, something I am desperately trying to push for while I am still in office,” he added.
Manglona said they need to find more ways to support existing business and entice more business activity “so we can grow the [revenue] pool that we can collect from not shrink it.”
The government, he said, needs to find ways to be more business-friendly. “That doesn’t mean that we are going to let just anything slide, but we need to find ways to create a more enticing tax system that will benefit both our government and those who choose to invest [here],” he said.
The government, he stressed, must allow businesses to grow and become stable, and assist them during tough times. Running a business is hard enough, but having an unsupportive government makes it even harder, Manglona said.
Lastly, he said, CNMI leaders must listen to the plea of the remaining hotels and business owners to welcome back all tourism markets willing to partner with the Commonwealth and send tourists here.
“These businesses have invested so much into our community and we cannot afford at this point to pivot away from those that can provide much-needed stability to our tourism industry. We all know that this is our bread and butter and it’s not hard to see that the current existing markets are not enough to sustain us,” he said.
He said CNMI officials must also trust that those tasked with safeguarding the borders will continue to do so regardless of where the visitors are coming from. “And if we have more economic activity, then we can provide more resources to help that cause,” he added.
“If we can help stabilize our current business landscape and give more of a chance for all businesses to survive and thrive, then I truly believe we are only one or two major investors away from turning this ship around,” Manglona said.
“If the administration has them ready down the pipeline, then I truly applaud their efforts. But if not, the only way we can do that is by fixing our current systemic issues and working together,” he said.
Leadership, he said, starts from the top. He said CNMI leaders should “all come together, put politics and personal biases aside, and help fix these long-standing issues to make room for bigger, brighter things and restore hope to the CNMI. Our people deserve no less.”
