Saipan casino deal OK on Thursday or Friday

With some contentious issues still being ironed out, the Lottery Commission and Best Sunshine International Ltd. rescheduled their meeting yesterday afternoon to Thursday and Friday wherein they are expected to finalize a minimum $2 billion casino development agreement.

That will pave the way for the $30 million payment of retirees’ deferred 25 percent pension and interest on former defined benefit members’ withdrawn contributions.

Once a casino agreement is signed, it would be the biggest development project in the CNMI since the once thriving Saipan garment industry.

“We hope to reach a decision by Thursday or Friday if everything is completed by then,” Lottery Commission Sixto Igisomar told Saipan Tribune yesterday.

Among the still contentious issues in the negotiations include the locations where the hotels and casinos will be built since there is limited land on Saipan to build at least 2,000 guest rooms in just a single area.

Lottery Commission members and Best Sunshine continue to review and suggest changes to the draft casino development agreement. Best Sunshine also has to check with its Hong Kong headquarters on suggested changes.

Based on Best Sunshine’s four-phased integrated resort plan presented in May, the first phase includes a 401-room hotel and casino by 2017-2018. The grand opening is set for 2020, with total rooms of at least 2,000 as required by law.

The Inos administration, meanwhile, asked the public’s patience yesterday as negotiations between the Lottery Commission and Bes Sunshine continue.

Press secretary Angel Demapan said the administration is aware that the parties are finalizing negotiations and “remains hopeful that a license may be issued very soon.”

He said until a license has been issued and the funds are released from escrow, the administration is unable to set any schedule or timelines for payments.

“We ask for the public’s continued patience as we await the official awarding of a license by the commission. We can say, however, that once a license has been issued and the funds are released, the administration intends to work swiftly to give retirees and active DB members the money they deserve,” Demapan said.

Moreover, as of yesterday, there is still no telling whether it would be the Department of Finance or retirement settlement fund trustee Civille & Tang that would process the payments to retirees and former DB plan members.

Igisomar reiterated yesterday that “there is an August 1 deadline,” referring to Bank of Guam releasing the $30 million in escrow to its original owners—the license applicants—if an exclusive casino license is not granted that day.

“We are moving, making sure we get everything together by Thursday or Friday. We set those two dates for meetings so if we can’t reach a decision by Thursday, we will still have Friday,” he added.

This also comes at a time when the Office of the Attorney General is still reviewing referendum petitions to reject the Saipan casino laws. Petitioners want voters to decide in November whether they want a casino on Saipan or not.