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After consultations, Igisomar withdraws bill on free trade zones
Sen. Sixto Igisomar (R-Saipan) has withdrawn a proposed legislation to establish free trade zones in the CNMI.
There are existing FTZ laws on the CNMI, but Igisomar’s bill will include the Northern Islands as possible site for FTZs.
“I got positive feedback from the different agencies and mayors,” Igisomar said, adding the consultations were held on Wednesday.
Igisomar explained that Senate Bill 19-29 essentially “pressures” the Department of Public Lands to assign Pagan, which is part of the Northern Islands, as an FTZ.
The FTZ bill would have also paved the way to address other concerns including the resettlement of Pagan residents as well as homesteading programs.
The core business of the FTZ on the Northern Islands would have been ecotourism since the zones are proposed to be established near the seaport and airport.
“The idea is start the development from there,” Igisomar said.
However, upon consultation with government agencies, including the Department of Public Lands, Igisomar said he has withdrawn SB 19-29.
One question from the DPL is the potential leases of trade zone areas, which are public lands, Igisomar said.
The DPL has sole discretion to determine leasing negotiations for public lands not exceeding 5 hectares, according to the CNMI Constitution.
A free trade zone board is mandated to handle the negotiations, which run counter to DPL’s mandate on the public land leases.
Igisomar said this is one of the reasons why he has withdrawn the bill for further review and to incorporate the DPL’s comments.
The Commonwealth Development Authority and Carolinian Affairs Office were also consulted, but Igisomar did not disclose any feedback from these agencies.
In March, Igisomar pre-filed SB 19-29 aiming to bring agencies together to set off the process of resettling Pagan.
SB 19-29 seeks to amend Public Law 18-16 on free trade zones so that the departments of Public Works, Public Lands, and Lands and Natural Resources, the Bureau of Environmental and Coastal Quality, and the Commonwealth Ports Authority can collaborate and cooperate with the Northern Islands mayor in identifying free trade zones on Pagan.
