SENATE President Paul A. Manglona and Senate Fiscal Affairs Committee Chairman Jose M. Dela Cruz are supporting the position of two other senators who believe that the move to raise the user fee paid by the garment industry should not be confined to the decision of Saipan lawmakers.
In separate interviews, Manglona, R-Rota, and Dela Cruz, D-Tinian, said the Legislature and thus the commonwealth as a whole should address the issue on raising by 1.3 percent the 3.7 percent user fee paid by garment factories that are all doing business on Saipan.
Recently, Speaker Heinz S. Hofschneider, pre-filed House Local Bill 13-25 which seeks to raise the user fee by 1.3 percent.
In a recent letter, Senate Floor Leader Joaquin G. Adriano, D-Tinian, and Sen. Ricardo S. Atalig, R-Rota, informed Hofschneider that the move to raise the user fee “is not a local matter that may be the subject of laws enacted by (Saipan lawmakers).”
They said “the untimely exit of the garment industry will decrease the gross revenue of the CNMI general fund, thereby affecting (Rota and Tinian).”
Manglona echoed his colleagues’ concern.
“I sympathize with the (Saipan lawmakers’) concerns. But I am also questioning if the move could be tackled through this local route,” said Manglona.
Dela Cruz also believes that the user fee hike “is a commonwealth business.”
Hofschneider, R-Saipan, welcomed the Tinian and Rota lawmakers’ concern adding that he could see the rationale in their position.
The speaker, however, said the local measure would fulfill the same purpose even if it was not passed by the entire Legislature.
