SCC to govt: Build malls, new attractions, reduce govt fees

The Saipan Chamber of Commerce called on the government to implement a radical business approach to stir economic activity and enable the CNMI to recover quickly from the impact of Japan Airlines’ pullout.

Outgoing SCC president Alex Sablan said the government needs to revisit its fee structure, reduce or remove certain fees, and offer new tax incentives “to keep business afloat” and to attract new investors.

“We have to reduce all these to keep business afloat. There needs to be some adjustment. We’re asking for tax incentives,” said Sablan.

He said the next leadership of the Legislature needs to address this matter.

“It takes the government to put out a really nice package for investors to come. It requires government agencies to go out and market these packages. They just need to make sure that there’s a level playing field,” said Sablan.

He said the existing qualifying certificate program, which offers tax rebates and abatements to qualified businesses, enumerates what kind of businesses to welcome in the CNMI.

“Yet they are not coming. It’s because we have not packaged [the incentives] good enough,” he said.

Sablan said the CNMI needs to sell itself to both tourists and investors alike.

To attract more tourists, he said the CNMI should focus on developing more attractions.

Right now, he said, “there’s not enough to do” in the CNMI. At the moment, the CNMI attracts “yuppies” and families. To cater to these groups, the CNMI should offer suitable attractions or activities for them.

For instance, he said Saipan needs to have large department stores such as WalMart or JC Penny.

“There should be an open air mall in Garapan, probably in the old MIHA complex and Garapan school location,” he said.

As earlier proposed, he said the Garapan Elementary School should be relocated and open the area to commercial, tourist-based activities.

“If you bring attractions, you’ll get the market. We’re in a tropical setting. We’ve got the natural attraction that sells even better than Guam. Now, we’ve got to enhance our destination by offering activities for tourists. We are lacking in that area. We have young people, office workers, families as tourists. Give them things to do here,” he said.

Further, the chamber official said that the government needs to get rid of “anti-business” measures. This include the “unjustified” $50 fee increase for nonresident workers registration.

“This increase has never been justified. We have been pushing for its recall,” he said.

The moratorium law, which prohibits the entry of certain nonresident workers to the CNMI, should be lifted, he said.

Further, the government and the private sector need to settle once and for all the issue on minimum wage.