Semi-private administration of SBDC programs sought

The Commonwealth Development Authority is finalizing preparations for its complete takeover of a federally funded program aimed at intensifying business activities in the islands through entrepreneurship and better management.

CDA Board Chair John S. Tenorio bared plans to administer programs under the Small Business Development Center in close partnership with major business organizations in the Northern Marianas.

According to Mr. Tenorio, increased participation of the private sector in the administration of SBDC programs, which will be completely transferred to CDA next week, would prove to be more advantageous to both the Development Authority and the program’s target groups.

Mr. Tenorio also disclosed CDA does not intend to hire permanent and regular staff to run SBDC programs, adding that discussions are already underway to name two part-time consultants.

In the meantime, CDA Executive Director Marylou Ada, who is also corporate director of the Northern Marianas Housing Corporation, will be tasked to administer the program.

CDA intends to hold business workshops and seminars in partnership with the Hotel Association, the Saipan Chamber of Commerce, the Saipan Garment Manufacturers Association and the Northern Marianas College.

“We don’t have any problem with the college. As a matter of fact, we will be soliciting their close involvement in the carrying out of activities under the SBDC,” Mr. Tenorio said.

He said SBDC under the government’s major lending arm will try to reach out to more clients through seminars and workshops focused at identifying the types of business activities that are likely to rake profits, as well as labor and immigration concerns.

SBDC equipment will be transferred to CDA from NMC on Feb. 15, 2000, as agreed by College and U.S. Small Business Administration officials in Guam.

NMC finally agreed to transfer the federally funded program to the Development Authority on condition that all the equipment will remain in the college until Feb. 15.

SBA officials have said the program will be transferred to CDA due to their dissatisfaction over the way CNMI’s lone higher learning institution handled the local program which receives thousands of dollars in grants every year. SBA did not renew the contract with the college when it expired last Dec. 31, effectively giving control to CDA.

While some government officials have persistently opposed the center’s transfer to CDA, federal officials stressed the move is intended to save the program and keep the funds in the CNMI.