‘Casino industry has key role in revitalizing tourism’

The CNMI’s casino gaming industry has a significant role to play in revitalizing and sustaining CNMI’s primary industry—tourism—but the gaming industry cannot succeed nor operate without the presence of the Commonwealth Casino Commission, which regulates it.

That’s according to CCC board chair Edward C. DeLeon Guerrero, who highlighted the importance of the casino industry in the commission’s request for $3.16 million to be used for personnel, operations, and other related costs, for fiscal year 2024.

CCC is also asking for 51 full-time employees, which is the same number of positions the CCC had in previous appropriations.

DeLeon Guerrero submitted CCC’s fiscal year 2024 budget request to the Legislature last March 30, shortly after the CCC board unanimously approved the request during their meeting that day.

DeLeon Guerrero said the casino industry offers the CNMI a great opportunity to general additional source of revenue that will enable the CNMI to satisfy its financial obligations.

He said with the loss of American Rescue Plan Act funds, the CNMI needs every available revenue-generating activity to generate additional funds to allow the government to continue delivery of vital public services.

As the enforcement and regulatory entity for the Saipan gaming industry, the CCC will need $3,167,501 to enable it to implement its mandates, DeLeon Guerrero said.

Of this amount, he said, they are asking for $1 from the government’s local general fund pursuant to the Office of Management and Budget’s instructions to maintain CCC’s local funding at the fiscal year 2023 funding level and $3,167,500 from the CCC regulatory fee fund.

Public Law 19-24 authorized the assessment of $3 million on the exclusive casino licensee, Imperial Pacific International (CNMI) LLC, as part of the CCC regulatory fee fund, with the $3 million due on or before Oct. 1 of each year beginning Oct. 1, 2015. However, IPI now owes CCC over $55.4 million after having failed to pay the $15.5 million annual license fee and $3.1 million annual regulatory fee since 2020, DeLeon Guerrero said.

He said the commission’s budget is based on the $3,150,000 CCC regulatory fee plus the $17,500 from the other regulatory fees already collected and $1 request from local appropriations.

The chairman said the commission recently lost is entire staffing due to IPI’s nonpayment of the regulatory fees.

He said funding from the budget request will be used to hire staff and to provide the necessary training and operational resources.