Opinion: The Saipan Casino Control Act of 2010: Analysis

At the outset, the local council applauds Chairman Edmund S. Villagomez of Saipan for duly recognizing the constitutional role of the local municipal council in the formation and deliberation of public policies affecting the local community, by seeking the position of the Municipality of Saipan over an approach to building a policy infrastructure necessary for sustainable growth, development and prosperity in the Third Senatorial District through casino gaming.

Do know it is the desire of the local council to be part of a solution in crafting sound public policies to facilitate investment and business success on Saipan to the extent that policies fully comport with Article VI on local constitutional governance vested in the Saipan municipal council and the Saipan mayor’s office.

Specifically, section 7(a) of the constitution vests unto the municipal council general and enumerated powers over all local matters of a predominantly local nature affecting the Municipality of Saipan and the Northern Islands archipelago, which includes subject matters dealing with casino gaming for the Third Senatorial District of Saipan and the islands north of Saipan-the Northern Islands!

Furthermore, section 8(a) in Article VI is implicated in House Bill 17-56 over the establishment of new agencies of local government, such as the Saipan Municipal Treasury and the Saipan Casino Commission as prescribed in HB 17-56.

It is in this context that the council examines the merits, challenges and implications on certain salient provisions in House Bill 17-56 and anchors our recommendations over the proper course of action and disposition of the bill at hand.

For this reason, the council purposely limited its analysis strictly to HB 17-56, as only Speaker Tenorio endorses HB 17-55. By contrast, HB 17-56 is not only supported by other members of the house, but also reviewed for legal form, thus ripe for meaningful deliberation through this public hearing and subsequent action for improvements by this body based on public testimonies, including the analysis by the Saipan and Northern Islands Municipal Council.

I.  ANALYSIS:

A. Purpose:

House Bill 17-56, hereinafter refer to the “Saipan Casino Act,” advocates casino gaming as an alternative approach in rejuvenating the ailing local economy, largely caused by certain enumerated external factors identified in the bill, notwithstanding the role existing local policies, regulations and administrative indecisions and inactions played in and contributed to the present economic debacle.

Advocates of HB 17-56 appear optimistic over casino gaming revenue generating capacity and multiplier spin-off, providing fresh public funds for improvements in “health care and medical referrals services, education, scholarship programs, public safety, and many other essential government services benefiting the general public, (including) …meeting government payroll.” The advocates further believe that the incidence of brain drain and unemployment in the CNMI is arguably caused by the sluggish economy (though the ease in hiring non-resident workers in the private sector and government is just as culpable, if not the culprit).

While HB 17-56 takes into consideration the sentiment of a “majority of our people (who) are strongly against poker establishment in the villages and …want them out” the bill fails to mention that the people of Saipan have overwhelmingly rejected casino gaming in past referenda. Instead, HB 17-56 conveniently uses the opposition by some local people to poker arcades embedded in the inner villages, near schools and churches as a justification to transfer to and expand the power and authority of a proposed agency referred to casino gaming commission, by consolidating the commission’s functions and jurisdiction to also encompass the licensing of all existing and new poker, pachinko slot machine and related games already addressed in existing statutes.

Moreover, HB 17-56 purports to represent a desire of person of Northern Marianas descent in allowing foreign investors “to own and operate a Five Star Hotel and Casino with a Convention Center, shopping, restaurants, entertainments, and other amenities” for visitors.” HB 17-56 even makes a sweeping generalization in support of “NMD Casino can make Saipan as the most attractive and favorite tourist destination” in the entire pacific, “for fun, relax and enjoy [sic].”

To be continued

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