House defers action on land lease extension initiatives

Due to the issuance of a “minority report,” the House leadership on Tuesday deferred the action on the initiatives calling for land lease extensions.

“In consideration of the minority report, the leadership decided to defer action on the initiatives. Actually, it’s the leadership intention to conduct a…public hearing to allow people to voice their opinion on these issues,” said House leadership spokesman Charles Reyes Jr. yesterday.

The report refers to the position paper submitted Tuesday by the minority bloc headed by Rep. Arnold I. Palacios, opposing two initiatives that aim to extend the land lease terms in the CNMI to 75 years.

Palacios’ group objects to the passage of Senate Legislative Initiative 14-3, which seeks to extend land leases of private lands from 55 years to 75 years, as well as House Legislative Initiative 14-10, which extends public land leases from 25 years to 50 years.

Palacios said that extending the term up to 55 years is tantamount to selling the land. Such trend he said would eventually disenfranchise the indigenous people in the CNMI.

“We strongly oppose these initiatives because it’s not in the best interest of the indigenous people. We keep on saying it’s good for the economy. It’s a lame excuse. We don’t think it’s the reason why we are in this economic downturn,” said Palacios.

SLI 14-3, authored by Rota Sen. Diego Songao, aims to amend Article 12 of the CNMI Constitution. The initiative said that extending the land lease period from 55 to 75 years “will revitalize major investments projects in the Commonwealth.”

“Such change will also revive the real estate market benefiting landowners, real estate brokers, and investors,” it said.

HLI 14-10, introduced by House Committee on Commerce chair Rep. Martin Ada, who was formerly aligned with the House minority, aims to amend Article 11 of the Constitution to increase the leasehold interests in public lands from 25 to 50 years.

Ada, in the proposal said it would be in the best interest of the Commonwealth to increase the term of leases of public lands “to allow the proper people or entities to manage such developed properties or establishments.”

He said that extending the lease terms to 50 years would further create stability within the local real estate market and generate revenues for the Commonwealth.

If passed by three-fourths of the members of each chamber, the initiatives would be placed on the ballot for people to vote on.

SLI 14-3 has already passed the Senate.