CCC requests $4.2M budget for FY 2025
The Commonwealth Casino Commission is asking for a $4.2-million budget for its operations and other costs in fiscal year 2025.
In their budget request sent last week to Gov. Arnold I. Palacios and special assistant for management and budget Virginia C. Villagomez, acting CCC board chair Rafael S. Demapan, and CCC executive director Andrew Yeom said the $4,278,881 will be used for personnel, operations, and other related costs to enable the CCC to implement its casino statutory and regulatory mandates.
Of this amount, $1,108,831 will be used for wages and salaries, board compensation, and other operational costs, Demapan and Yeom said.
They noted that there is uncertainty whether Saipan exclusive casino licensee Imperial Pacific International (CNMI) LLC will be able to pay the overdue regulatory fees and the penalties that have been assessed against it.
Demapan and Yeom requested assistance and approval from Palacios and Villagomez in appropriating at least $1.1 million to keep the CCC afloat for at least a year.
The two officials said they are aware that there is a public sentiment to shut down the commission since there is no gaming activity. However, they noted that CCC’s existence is necessary as long as there’s still a valid casino license.
The CCC’s office at the Springs Plaza in Gualo Rai has been temporarily closed since Jan. 19, 2023 due to the lack of funds.
The CCC has been facing a budget crisis after IPI was temporarily closed in March 2020 due to the COVID-19 pandemic.
The commission’s entire source of funds for its operations comes from IPI’s annual casino regulatory fee of $3,150,000. IPI has failed to pay that fee since 2020.
Although the casino gaming operations remain closed, Demapan and Yeom said it is imperative that the CCC continues to enforce gaming laws and regulations. That includes working with Office of the Attorney General for all litigation matters in both the CNMI and federal courts, monitoring the ongoing receivership cases involving IPI to safeguard against all illegal movement or usage of gaming assets, and working with the Department of Public Works for all IPI construction and building safety matters, among other things.
They said it is their continuing belief that the casino gaming industry has a significant role in helping improve and diversify the local economy.
At present, the CCC is the only CNMI government entity that has the statutory authority to revoke IPI’s exclusive casino license and to issue a new casino license should IPI’s current license is revoked.
Rafael S. Demapan
