Teno keeps hands off Outer Cove Marina dispute

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Posted on Jul 27 2000
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Gov. Pedro P. Tenorio yesterday expressed hope for immediate resolution of the dispute over fees at the Outer Cove Marina, but said he would not step in to mediate between Marine Revitalization Corp. and boat operators and owners.

“I am hoping that this issue will be resolved as soon as possible. I’m sure and I hope that we will find a solution,” he told reporters when sought for comment.

MRC and Tasi Tours the other day got into a bitter fight over fees charged for the use of the marina, stranding bus loads of Japanese tourists scheduled to take a day trip to Managaha island.

Anthony Pellegrino, MRC president, blocked Tasi from using Outer Cove because of its failure to agree to pay $4 departure fee per passenger — up from $2.25 it used to charge under a prior agreement — to board in the ferry boats going to the popular tourist site.

Although there is no specific action yet that his administration will choose to take to settle the matter, the governor maintained the Department of Lands and Natural Resources and the Attorney General’s Office are discussing steps to address the problem.

Mr. Tenorio also declined comment when asked about Mr. Pellegrino’s contention that the operation of Outer Cove is a joint partnership with the CNMI government.

The marina was built by MRC, a non-profit corporation which was granted a 15-year lease by DLNR and approved by the Legislature under Public Law 9-46 on some 16,394 square meters of submerged lands.

“I am not aware of that issue and I don’t want to make any comment at this time,” said Mr. Tenorio.

While lawyers for Tasi have pointed out that the Japanese tour operator will file in court an injunction against MRC in a bid to press its claim, Mr. Tenorio urged both parties instead not to litigate the dispute.

“I am hoping that it’s not [going to be] necessary to go to court,” the chief executive explained. “If that matter can be resolved amicably, that would be the best solution for the best interest of both parties.”

Asked whether he will mediate talks to iron out disagreement despite each side’s declaration not to do so , he said that “I prefer not to interfere at this time.”

Mr. Tenorio likewise brushed aside possibility of the government taking over operation of Outer Cove and assuming MRC’s financial obligations as proposed by Mr. Pellegrino in one option to settle the dispute.

“That will have to be reviewed. If that will happen, we need approval of the Legislature too.. If that will have to be the case, we have to come out with some money,” he said.

“At this time, I have no idea… but the government is not in business to compete with the private sector. If that is the case, then I hope that a group of businessmen in the community will get together and try to solve this and find solution to improve the marina,” added the governor.

Boat owners and tour operators using Outer Cove have been asking assistance of the Legislature and the administration since last year when the dispute was first raised over fees and safety of the marina.

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