Strangling Regs and Fees
The Issue: The economic crisis warrants immediate repeal of strangling regulations and piles of fees.
When a prospective entrepreneur (local or foreigner) sets his sight on investing in small or large business venture here, the first thing he or she runs into are strangling regulations and umpteen number of fees.
For instance, a businessman who wanted to establish a small business must deal with various levels of regulations. Each step of the way requires fees that are a bit too steep for beginners.
He goes through the exercise of applying for a business license. When he leases a piece of private or public land, it involves monetary payment. Then he must go through local regulations–permit to break ground–from the Division of Environmental Quality.
Next, he must submit a structural plan to the Department of Public Works. This involves the work of a licensed architectural engineer in order for the plan to be approved. This, too, involves fees for both the engineer and DPW; the amount varies depending on the scope of the project.
If the business is a restaurant, the employer must ensure Public Health examination of his kitchen staff. This also involves a certain fee.
If he employs people from outside the NMI, he must go through the Department of Labor and Immigration. The process involves various forms of fees.
When the employees arrive on island, they must all submit to public health exams. This involves a certain fee.
Renewal of contracts involves another layer of fees. The fee is basically the same as the original requirement. The layer of fees is dizzying, not to mention other fees that employees may levy on their own, which go to their pockets. Admittedly, those found with this form of abuse have been terminated.
What’s the point?
There are too many fees not to mention having to deal with strangling regulations that are very discouraging. These are fees that are best spent on business operations, improvement or expansion. Any expansion translates to more business. More business translates into more jobs and bigger tax contributions to the local coffers.
But then, when can the NMI settle down to repealing layers of fees and regulations that strangle the health of the private sector?
