Senate awaits House action on casino special election

Senate President Paul Manglona (Ind-Rota) said senators will give the House of Representatives time to act on a newly passed Senate bill calling for a special election asking voters whether they want casino gambling on the island, before challenging the Saipan and Northern Islands Legislative Delegation’s passage of a local bill he says is “unconstitutional.”

Manglona also cautioned that a casino operation “is not a silver bullet” that will solve all the CNMI’s financial problems.

“By passing this, the public should not be fooled into thinking that it’s going to save our Retirement Fund, our medical referral, our 16-hour cut in government workers,” the Senate president said in an interview at the investiture ceremony for U.S. District Court for the NMI chief judge Ramona V. Manglona on Saturday.

The Senate president hopes that the House will immediately act on Senate Bill 17-90, which will ask voters in a special election the question, “Shall there be casino gambling in the Third Senatorial District?”

House Speaker Eli Cabrera (R-Saipan) said the leadership has yet to discuss the Senate bill, which the House received on Friday.

Sen. Ralph Torres’ (R-Saipan) SB 17-90 cleared the Senate Friday ahead of the Saipan delegation’s passage hours later of Rep. Stanley Torres’s (Ind-Saipan) House Local Bill 17-44.

Manglona said even if the governor signs the delegation bill into law, no investor will be “crazy” to come in and pay a $10-million or $130-million in general or exclusive license fee knowing that the court could later on declare the measure unconstitutional.

Just the same, Manglona said it would be best if the courts decide on the constitutionality of HLB 17-44.

He said the Senate does not want the CNMI government “to lie to our investors.”

Gov. Benigno R. Fitial, for his part, said he has yet to see the local bill that the Saipan delegation passed on Friday, and at the same time questioned the Senate’s call for another special election to ask voters whether they want casinos on the island.

“Why? You mean you still question your awareness that the economy is bad? You’re going to ask the voters, do you think the economy is bad?” Fitial said in an interview also at the judicial investiture ceremony on Saturday.

The Senate earlier said it will challenge in court the delegation’s passage of a local casino bill.

But after the Senate’s passage on Friday of a bill seeking to ask Saipan voters once again about legalizing casinos on Saipan, Manglona said the court challenge becomes secondary to what the House might decide on the Senate bill.

Press secretary Angel Demapan said the Fitial administration supports any new industry or investment that will revive the ailing economy.

“In this case, it happens to be the establishment of casinos. The governor will need to review the measure as passed and ensure all safeguards to protect our citizens are adequately in place as well as provisions to make sure the industry is regulated well. Once the bill is transmitted to the governor and we have had the opportunity to review it, the governor will render a decision,” Demapan said.

The Saipan delegation is expected to transmit this week the local casino bill to the governor.

House minority leader Joseph Deleon Guerrero (R-Saipan) expressed disappointment that the local casino bill was voted on without discussion on the main motion to pass it.

“All the discussions were about the floor amendments, and none on the main motion. That’s disappointing,” Deleon Guerrero said.
HLB 17-44, CS1, D5 passed on a vote of 11-5 with one voting present and four absences.

House Ways and Means Committee chair Rep. Ray Basa (Cov-Saipan) said by taking the Senate’s route, the CNMI will take years to realize a casino industry that will help fund many of the critical services that the people need including medical referral, scholarship, and government payroll.

Basa said he was one of those who used to oppose casinos on Saipan, but he said there’s no alternative industry seen to help address the current economic conditions other than casinos.

The press secretary, for his part, said the problem with the Senate’s action on Friday is that “special elections can only be established by way of law to amend the constitution.”

“This bill does not aim to amend the Constitution and as such, cannot legally call for a special election. Therefore, it is not ripe for discussion at this time,” Demapan said.

Manglona reiterated that if and when Saipan voters approve of casino legalization on the island, then a bill seeking to allow casino operations can be introduced either in the House or Senate.

Under the Senate bill, a special election shall be held within 90 days of the law’s signing.

“I believe it’s a reasonable proposal by Sen. Ralph Torres in trying to expedite the questionnaire itself…within 90 days. It’s not like we’re going to wait until November next year to have an election… Once the public signifies its approval of a casino gaming industry, we should move fairly quickly,” Manglona said.

Saipan voters had already twice rejected having a Saipan casino industry. The last vote was in 2007.

Manglona reiterated Macau-based casino consultant Ben Lee’s statement that a casino on Saipan should be a part of a bigger tourism project.

“It should be done with a water park, with shopping centers, eco-tourism. That’s the concept he’s foreseeing that will succeed. So it’s not going to be something that will realize $100 million every year for the next how many years,” he said, adding that Lee projected less than $10 million in casino revenue every year for Saipan.

Manglona said CNMI leaders “should not sit back and think that it’s a matter of voting for casino. I think we still need to talk about other issues such as Article 12, government operation, and streamlining departments and services. We need to talk about the Commonwealth Health Center. We have a law that turns that into a corporation. Why are we not moving toward that direction?”

The House leadership is planning to have a House session tomorrow, but there’s still no telling whether the Senate bill will be on the agenda.