Rota rejects casino plan

The people of Rota thumbed down Saturday a local initiative that would have paved the way for the establishment of a casino industry in the island-municipality.

Unofficial results showed that only 486 voted in favor of the proposed local law, way below the required two-thirds of the 902 votes cast.

Likewise, the proposed amendment to the Tinian Casino Gaming Act of 1989 was rejected by the local people in Tinian as only 564 voted “yes” to the initiative. Tinian needed 730 votes of the 1,095 votes cast to be approved.

The result of the local election in Rota proves that the people are either not ready for the establishment of casino gambling or the Task Force on Casino failed to reach enough voters to educate the public on the pros and cons of the issue, said Sen. President Paul Manglona.

“The people have spoken and we now have to put this issue aside,” he said.

According to Julian Calvo, president of the Tourism Association in Rota, the education campaign was very short that it failed to reach as much number of voters to explain fully the benefits of having a casino. He said the information dissemination should have been held for one year.

“It is unfortunate that the people did not fully understand the benefits of establishing a casino — that it will open the door for other businesses to invest on the island,” said Calvo.

The proposed amendments to the Tinian Casino Gaming Act of 1989 overhauls the fees and taxes imposed by the Tinian Casino Gaming Control Commission to the only casino and hotel resort on the island.

Some of the changes include the lowering of non-refundable casino license from $200,000 to $5,000; reduction of annual license fee from $500,000 to $50,000 for the next five years from the date of the issuance of the casino license. Thereafter, the annual license fee shall increase to $100,000.

From 21 years of age, the proposal lowers the required age to become key casino employee to 18 years.

Sen. David Cing blamed the failure of the Republicans to support the initiative as the main reason why it did not get the much needed votes. “They were jealous. They thought it is only meant for the Democratic Party when in fact it is for the benefit of the whole people regardless of one’s political affiliations,” said Cing.

In justifying the need for such amendments, Cing said adjustments have to be made on the casino regulations due to the pressing economic problems confronting the island.

Based on Rota’s ambitious casino initiative, the investor must put up a minimum investment of $30 million into the facility, which should include a botanical garden, water park, and convention center. The local people must be given free access to these sporting and recreational facilities.

Aside from this, the casino licensee is required to deposit $20 million in an irrevocable trust fund for the benefit of the people of Rota. The proposal encourages that up to 75 percent of the casino workforce be local citizens and that the investor pay federal minimum wage.