Hike in poker machine fees on Tinian backed

The 10th Tinian Municipal Council recently adopted a resolution—Resolution 10 TMC-24—encouraging the Legislative Delegation of the 2nd Senatorial District to expedite the passage of a bill that seeks to levy a local poker machine fee on top of the current poker machine fee being paid to the CNMI government.

House Bill 14-19, introduced on April 22 by Tinian Rep. Norman Palacios, proposes to levy a $2,000 local poker machine fee in addition to the current $6,000 CNMI-wide poker machine fee. The council resolution, however, encourages the delegation to amend the proposed bill to increase the local poker machine fee to $3,000 instead of $2,000.

“We are hoping that delegation will consider the changes we’ve suggested so that we can bring some much needed funds into Tinian’s public programs. Tinian needs this more than ever and the council is willing to do everything we can to urge our colleagues to expedite the bill,” said council chair Edwin P. Aldan.

Tinian currently does not assess a local poker machine fee. It also claims to charge the lowest among the three senatorial districts in terms of fees per machine.

In comparison, Saipan currently applies a $12,000 fee on 1,302 licensed poker machines on the island, generating $15.62 million in total revenue per year, of which $7.81 million is allocated for municipal funds.

Rota currently applies an $8,000 fee on 75 licensed poker machines generating $600,000 in total revenue per year, of which $150,000 is allocated for municipal funds.

If Tinian applies the $3,000 local poker machine fee as proposed by the municipal council, it would mean the 167 machines on Tinian would add another $501,000 to the local coffers.

“We believe this new stream of local revenue will ensure that public programs within the 2nd Senatorial District will remain funded and that new beneficial programs may be funded for Tinian. We shouldn’t wait too long on something this beneficial for Tinian,” said council vice chair Jude U. Hofschneider.

Resolution 10 TMC-24 also recommended the use of the additional revenue generated by the poker fee increase to fund the Tinian Municipal Scholarship, the Medical Assistance Program, and to raise public awareness on the dangers of gambling addiction.