On the proposed casino Rota to Tinian: We will do better

Unveiling an ambitious casino project for Rota, Mayor Benjamin T. Manglona yesterday vowed that he would try to improve on Tinian’s experience in order to ensure the success of the planned gambling business in the island municipality.

He also brushed aside fears that the proposal would unfairly compete with the Tinian Dynasty Hotel and Casino, saying they just want a share of the economic windfall of the gambling industry.

“We have studied Tinian’s experience. We will take what has worked for Tinian and set aside what has not worked. Rota’s initiative will be strong, thanks to Tinian’s practical experience,” Manglona said. “We will build a better product.”

In a news conference, the mayor finally set the record straight after days of speculation on the plan which they hope to submit to Rota residents in the balloting during the November midterm elections.

He said Rota is trying to seize the opportunity now as some companies have sent “feelers” to local officials that they are interested in investing in a casino project on the island.

Stringent conditions: But these potential investors will have to pay a stiff price as the plan calls for a $20 million in contribution to the municipality aside from the $30 million to $40 million in starting capital.

Rota envisions two casino licensees to be awarded 10 years apart from each other to avoid “saturating” the market, according to Manglona.

“This will not be awarded under the table. It will be done clean and people will be well informed,” he told reporters.

Apparently drawing from the problems confronting the Dynasty, the proposed casino on Rota will not be as big or elaborate to keep operational costs at a manageable level.

Aside from the gambling attractions, there will be entertainment and good food to lure tourists as well as water parks for families to compliment the eco-tourism promotion being pushed by Rota.

Manglona stressed the $20 million requirement will finance community programs and other local infrastructure projects, while they will do away with an administrative body similar to the Tinian Casino Gaming Commission to reduce public spending of the gambling revenues.

The proposed casino will also be limited to 100 rooms so as not to compete with existing hotels on the island and will have to build its own sewage system, waster water treatment plant and garbage disposal.

Rota leaders likewise intend to provide employment opportunities for locals and the casino is viewed to reserve 75 percent of its manpower for resident workers.

Investors to bite the bullet: Asked whether investors will bite the offer in view of the stringent conditions that the casino project will impose, Manglona said they have to meet halfway and compromise as Rota residents have twice rejected the establishment of the gambling business there.

“If we are going to get the casino initiative, we want it on our own terms,” he explained. “I intended to make (the conditions) tough.”

The mayor believed the casino would greatly help Rota’s economy which, like the rest of the Commonwealth, has been heavily battered by the Asian financial crisis, forcing hotels and other tourist-related businesses to close down.

Manglona claimed businessmen from Asian countries and the United States have expressed interest to build Rota’s casino project, but they have to pass the initiative first before they can accept their offers.

Since the plan has drawn controversy, mainly from Tinian lawmakers anxious over the competition, Manglona assured it would be “good competition,” noting Rota’s casino is smaller.

“We don’t want to be very ambitious in our casino plan,” he said. “Why should you dream of something too big when you don’t have the means to operate it?”

Doing business since April last year, Dynasty has been beset with financial troubles due to the low number of tourist arrivals to the CNMI, particularly from Japan, Korea and Hong Kong where most high-rollers come from.

Manglona expressed hope the casino proposal would not divide the two neighboring islands, saying “why should we deny the people of Rota just because Tinian has a casino?”