Babauta: Hire lobbyists in Washington

Warning of impending doom for the CNMI’s fragile economy, acting Speaker Oscar M. Babauta yesterday appealed for joint efforts of the government and the private sector to thwart attempts to deprive the islands of trade privileges under the Covenant.

At the same time, he said he will sponsor a joint House-Senate resolution that will urge Gov. Pedro P. Tenorio to consider engaging a lobbying or public relations firm that will defend local interests in Washington D.C.

That resolution is expected to be passed today during a special House session, according to its proponent.

“We don’t want to take chances letting our economy slip away with a vote in the U.S. Congress,” Mr. Babauta told in an interview, noting that even proposed extension of federal minimum wage level to the CNMI “is gaining momentum as one favor to win in the forthcoming elections” in the mainland.

Legislation seeking to deny the Commonwealth of the privilege to use “Made in USA” label and to impose tariff on U.S.-bound goods from the islands has slowly inched to drawing majority support in Congress.

HR 222, sponsored by Rep. Bill Franks from New Jersey, may come to a full vote on the floor of the U.S. House before the end of the year and has become one of the election issues intended to gain favor from voters, according to Mr. Babauta.

“Once that bill passes, we can kiss our economic freedom goodbye,” he said. “All of these that we are doing, for instance the free trade zone proposal, will be useless when our privilege to export duty-free to the U.S. is removed.”

The lawmaker stressed that the Headnote 3(a) of the Covenant setting out the trade privilege is one of key tools for the islands’ economic survival, citing the revenues generated by the local garment manufacturing industry for the government. “Once Congress removes that, we’re doomed,” he added.

Amid threats on these Covenant provisions, political observers in the nation’s capital have noted the lack of active campaign to block these attempts, that include proposed extension of federal immigration laws to the CNMI.

“Definitely, the government should realize this and I continue to prod the administration and the Senate to join hands and find [ways to address this problem] whatever it takes,” Mr. Babauta explained.

The joint resolution, he said, will call on Mr. Tenorio to hire lobbyists in order for the government to intensify counter-campaign against all these congressional actions.

“Even if it takes someone to defend us, I believe it’s worth spending even $2 million just to save the $250 million in revenues the Commonwealth spends annually,” the acting speaker pointed out.

The administration has expressed reluctance in hiring a lobbying firm due to the continuous financial difficulties confronting the islands. The firm of Preston, Gates, Ellis & Rouvellas, Meeds used to provide PR services on behalf of the CNMI.