In a letter to Rep. Edmund S. Villagomez, Covenant-Siapan and chairman of the House Committee on Commerce and Tourism, chamber president Douglas Brennan said they agree with the findings of H.B. 17-219, or the CNMI Product Seal Act of 2011.
Introduced by Rep. Joseph M. Palacios, R-Saipan, the bill states there are products sold in the commonwealth that falsely state they are produced in the CNMI, and are therefore misrepresented products of the islands.
Brennan urged the House Committee on Commerce and Tourism to carefully formulate regulations regarding the determinations of “value-added” and “substantial transformation” for qualification and enforcement purposes with the CNMI Product Seal.
Brennan said they are concerned what this bill would propose as far as new responsibilities outlined for the undermanned and understaffed CNMI Department of Commerce.
“The chamber does not believe the CNMI Department of Commerce has the time and resources to administer to this proposed law creating the CNMI Product Seal,” Brennan said.
H.B. No. 17-219 proposes that “CNMI Commerce administer this Act by establishing a fund, creating the Product Seal itself, determining the viability of a CNMI Seal versus individual island Seals, issuing permits to applicants for the Seal, ensuring ongoing compliance with the use of the Seal, conducting field investigations of products bearing the Seal, levying fines for improper use of the Seal, and all the other responsibilities related to the Act.”
Brennan at the same time noted that “there are strict documentation guidelines with Certificate of Origin and Statement of Manufacture to qualify…goods. Therefore, there would need to be a distinction between goods manufactured in the CNMI for export, and for those manufactured for sale on-island.”
