EAGI weighs Teno’s appointees to FTZ

The powerful Senate Committee on Executive Appointments and Governmental Investigations has begun considering five appointees made by Gov. Pedro P. Tenorio to oversee implementation of the free trade zones in the CNMI.

EAGI chair Sen. Joaquin G. Adriano likewise said the governor is likely to announce within the next few days his nominee to the Office of Public Auditor to replace outgoing OPA chief Leo L. LaMotte.

Former congressman Karl T. Reyes led the five people tapped to sit in the administrative body that will set regulations and monitor operations of free trade zones on Saipan, Rota and Tinian.

Others in the list are George Fleming from Tinian, Bank of Guam executive Marcie Tomokane, Pacific Island Aviation executive Jim Stowell, SGMA Executive Director Richard A. Pierce and Triple J Motors executive Jay B. Jones. Mr. Tenorio has yet to name representative from Rota.

The Senate committee held its first public hearing on the nominations yesterday at the chamber in Capitol Hill where members said they don’t expect to see opposition against the governor’s choices. Public hearings are also set to conducted on Rota and Tinian.

The ambitious plan to set up special economic zones was approved by the governor in September after nearly two years of legislative process.

Public Law 12-20, or the “NMI Free Trade Zone Act,” will help diversify the local economy, create jobs for the people and pump more revenues into the government coffers.

It is the centerpiece of the Economic Recovery and Revitalization Task Force which Mr. Tenorio formed after assuming office in 1998 in the wake of the economic difficulties confronting the islands.

The FTZ plan is designed to entice potential investors in other industries other than tourism and garment manufacturing, who will be encouraged to set up their business in especially-designated economic sites with such perks as tax incentives and lower land lease fees.

Based on projections by the government, these free trade zones will expand the economy through a multiplier effect which will contribute additional revenues to local coffers.

Meanwhile, Mr. Tenorio is considering three potential candidates to the OPA post that will be left vacant with Mr. LaMotte’s departure on Dec. 16.

Mike Sablan, the governor’s special assistant for budget and finance, Commerce Sec. Frankie T. Villanueva and former Public Auditor Rex Palacios are in the running to succeed Mr. LaMotte, according to Mr. Adriano.

“These names are being tossed around, but there’s nothing yet transmitted to the Senate for consideration,” he said, adding the three are all qualified to assume the position.

Mr. Sablan, who is the likely contender, declined to comment when asked, but said he will respect whoever is the choice of the governor.