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MVA cautions feds on takeover bid
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Posted on Jan 11 1999
The Marianas Visitors Authority has cautioned the federal government against pushing for a takeover of labor and immigration laws of the Northern Marianas because it will severely hamper efforts to revive the half-a-billion-dollar tourism industry which has been battered by the Asian financial crisis.
Amid continued threats of a federal takeover, the tourism agency will continue its mandated task of promoting the CNMI as an ideal destination in the Pacific.
“I will not allow that to bother us but the U.S. government will have to pay for the expected earnings in tourism if they continue to push for the takeover,” according to Dave M. Sablan, board chairman.
In a move to save the teetering tourism economy, the MVA has launched the Visit the Marianas ’99 Campaign to entice more tourists to come to the island and provide more value to the CNMI as a destination.
Talks of federalization of local immigration and minimum wage laws recently surfaced with the scheduled resumption of stalled bilateral discussion between the CNMI and the U.S.
The U.S. panel led by Edward B. Cohen, representative of Clinton, will meet with the Saipan Chamber of Commerce, Hotel Association of Northern Mariana Islands and government officials when they arrive next week.
More than a year since the Asian crisis began, visitor arrivals in the CNMI have suffered a double-digit decline which eventually led to the closure of many shops that cater to tourist.
The situation is expected to get worse as Japan, the island’s main source of tourist, has been mired in recession since last year. Arrivals of Japanese tourists showed a slight improvement during the Christmas season as Japan Airlines stepped up its efforts to improve the CNMI’s market share.
Many are waiting for Japan to come out of the doldrums so that it can help its Asian neighbors which have been suffering from the regional financial crisis.
Members of the hotel association have strongly opposed the federal takeover because it will result in the loss of skilled workers which the island could not provide.
