Previous Story
Managaha bidding pushed back
|
Posted on Dec 21 1998
The Board of Public Land has decided to defer next year the bidding for the multi-million contract to operate the Managaha Island pending completion of the selection rules that will accommodate a controversial law giving preference to local corporations, its chairman said.
The board met Friday , but BPL chairman Tomas B. Aldan said they decided to put it on hold until after the Division of Public Lands has finalized the criteria in selecting the next concessionaire of the popular island resort.
The policy-making body previously said it would seek fresh proposals for the commercial development of Managaha to draw more participants in CNMI’s biggest tourism project so far in light of the implementation of Public Law 11-48 favoring NMI descent.
The law, which was put in place following the Legislature’s override of Gov. Pedro P. Tenorio’s veto on a measure has drew outrage from businessmen seeking concession rights who felt the legislation was unfair.
Under the law, locally-owned companies should be given preferential treatment in running Managaha, a protected area considered historical to the Northern Marianas, even if their proposals are only 20 percent within the highest bid.
But Aldan allayed fears that the law would influence the board in awarding the Managaha contract, saying the amount of bid and capability of the operator to bring in tourists onto the island would be the main criteria in selecting the next developer.
“It’s a nice law but it does not guarantee preference and it does not guarantee that a local will be awarded the contract for Managaha,” Aldan said in a previous interview, “We will make sure that the commonwealth gets the maximum benefit.”
Last August, six companies, including two local corporations, have submitted proposals to the board seeking rights to operate the tiny resort, the premier tourist destination west of Saipan whose potential revenue could reach up to $25 million annually.
Among those competing for the lease contract are Pacific Development Inc., Saipan Marine Tours, Robert J. Emmett, Marianas Marine Management, Inc., Managaha Island Trust Corporation, and Tasi Tours, the current lease holder.
