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Saipan Ready To Try Again

Newsdesk by Newsdesk
Wed 26 Feb 2014 at 01:01
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The leader of Saipan’s House of Representatives has introduced a new bill legalizing casinos on the western Pacific island—the fourth in four years—and one that is expected, like its predecessors, to face obstacles in the Senate.

“Things have changed over the past months,” Ralph Demapan told the Saipan Tribune.

Mostly what’s changed is that the government of the US territory needs revenue more than ever. It has been mandated to pay annually into a retirement fund, pensions have been cut by 25%, and government health insurance premiums have increased, on top of other public health services.

Which are the only reasons why Senate President Ralph Torres says he’s prepared to consider the latest measure.

The Senate has nine members, three each from Saipan, Rota and Tinian, the three main islands constituting the Commonwealth of the Northern Marianas. Casinos are legal on Rota and Tinian, whose leaders have been protective of their tiny markets. They claim their casinos would be harmed if casinos are also allowed on Saipan, the largest island of the group.

The most recent bill passed the House last June by a vote of 13-7, but predictably it died in the Senate.

Among Saipan’s population of 48,000, casinos remain a divisive issue as well. Voters have twice rejected them because of concerns about social impacts.

Mr Demapan, however, says that with the recent legalization of machine gaming and video lottery on the island, this time is different. His new bill provides for only one license instead of the multiple venues envisioned by the earlier bills. The 25-year license will require a US$30 million payment up front and $15 million a year after that, along with a tax on gross gaming revenue and other taxes and fees.

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