Push for 2 Saipan casino licenses faces uphill battle
Gov. Eloy S. Inos said a suggestion from Marianas Stars Entertainment Inc. to award two—instead of one—licenses to develop an integrated casino resort on Saipan would mean starting the whole process all over again, which could include, among other things, throwing out both Marianas Stars and Best Sunshine International Ltd.’s proposals that are now under the Lottery Commission’s review.
House floor leader Ralph Demapan (Cov-Saipan), author of the bill that became the casino law, said yesterday that “changing the rules in the middle of the game” invites more lawsuits and concerns.
Demapan said parties involved “should just wait for the Lottery Commission’s decision.”
“Right now I will not support any proposal to amend the law to have two casino licenses on Saipan because the two applications are now being reviewed based on the existing law,” Demapan told Saipan Tribune.
Public Law 18-38, as amended by P.L. 18-43, allows for an exclusive license to develop a minimum $2 billion integrated casino resort on Saipan.
Demapan said consideration of two licenses instead of one, however, could happen if the Lottery Commission rejects both Marianas Stars and Best Sunshine’s proposals. But he said this is too far ahead.
The House floor leader confirmed receiving a call from a Marianas Stars representative regarding their suggestion.
The governor, in an interview on Sunday, said the existing law only allows one casino license.
“I don’t think that there’s any room for discussion about multi-license at this point. I’m aware of their desire. But it looks like…I guess what they’re trying to do is say that if we have two and they’re not in the frontrunner, they’ll be in, right? I guess that’s what they’re thinking. Well it’s not going to happen like that. We have to start all over again if that were to happen,” Inos said in an interview at the 70th commemoration of the Battles of Saipan and Tinian.
In an “open letter to people of the CNMI” that appears in today’s newspapers, Marianas Stars asks that two licenses instead of one be awarded, assuming that each of the two applicants meets the qualifications, to promote competition, while at the same time maintaining the current annual license and therefore doubling revenues for public services.
Marianas Stars suggests a two-license approach since the Legislature is now considering “a second round of corrections to the Saipan casino law.”
Demapan prefiled last week a bill that “repeals” and “reenacts” P.L. 18-38 as amended by P.L. 18-43, in its entirety, to “ratify good faith actions taken by the Lottery Commission.”
Meanwhile, the Lottery Commission will meet again on Thursday to get more updates from its investigators on the status of their investigations into the two applicants and their business plans, amid two pending lawsuits over the passage of the casino bill into law.
The casino law gives the Lottery Commission the options of a 90-day timeframe ending between late June and early July “or” when the investigations into the applicants “have been completed,” to decide whether to grant an exclusive casino license and to whom.
The whole thing stinks to high heaven from the very start, rushed through Government without any foresight and planning to allow some political people to reap the financial rewards. In saying this what Star Marianas has proposed is logical and would benefit both the government for its taxes and the community for world class entertainment facilities, eg water parks, function facilities and Hotels. The competing companies would strive to no end to out class each other, completing their respective projects on time and as proposed in their submissions. A WIN, WIN situation for Saipan and its constituents.
tsk. tsk. tsk. Welcome to Face City, CNMI. LOL! On Tinian, it took years of drafting, reviewing, amending, and finally came up with an Act that they thought was fair for both the people and operators. On Rota, they reviewed the Tinian Casino Gaming Act and did away with what they thought was too restrictive and added their own version hoping that the relaxed regulation will lure investors, but ended up with pretty much the same basic prinicipal – benefits for the people. On Saipan, they took a draft made by someone or some people, not from Saipan, and passed it in record time. Now, all these differing laws are floating around CNMI -the Saipan Casino Bill is a CNMI not municipal law – regulating casinos. I wonder if anyone else other sees this as a possible conflict as well?
i am against all gambling, period. and while i agree with part of your tsk, Tinian has nothing to show for all its reviews, amending and whatever acts the dynasty needed to go broke with indictments to follow. i do not agree with the Saipan lawbreakers but again, all the work put into casino on Tinian for it to go broke, well, one tsk will suffice. and i don’t find anything to LOL or LMBO about with regards to this situation.
If you do not know the history of it do not add your view to the discussion. There are a lot of LOLs and LMBOs, you just do not know and understand them…LMBO!
well, Tinian dynasty’s history is not impressive and there is certainly nothing to emulate: indictments, suspected money laundering, a handful of gaming commissioners who got paid handsomely, payroll delays, and an eventual buyout. Saipan would be in the same boat and rightly so if we don’t pay attention to our neighbor’s casino history.
The fact is, people chose it as an industry on Tinian. I do not agree with it, but I have to live with it. And, you may not see the beneficial side to it as it was totally blurred by all the negative publicity – mostly true unfortunately – but there is still a positive side to it with the right law, right enforcement team, and right political leaders. Only then can we see true economic benefits. In so far as anything else, I am sorry to say that I agree with you. Other than financial benefit, I do not see anything else having any other significant value in terms of the health and well being of the community. The island will be transformed to the point where you cannot see it for what is, and no culture to speak of. If we contain this industry on Tinian, and leave the rest of the islands to its natural pristine form and build on other industries, such education and other culturally significant industries then we may be able to to balance things out and actually have a nice life in the CNMI…but…such as it is with casinos all over the islands, I do not have any hope of ever seeing these happen.