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Bill seeks to increase retirees’ share of casino license funds
A bill has been introduced seeking to increase the retirees’ share of the funds coming from casino license payments.
House Bill 19-21, introduced by Rep. Blas Jonathan T. Attao (Ind-Saipan), notes that because of the settlement fund agreement, retirees lost 25 percent of their pensions.
“Because of this and the continued increase in prices for basic commodities many residents found it extremely difficult to make ends meet.”
H.B. 19-21 seeks to amend Public Law 18-56, which states that funds collected from the gaming license fees shall be used to address the retirement pension reduction.
Despite the enactment of PL 18-56, only a portion of the license fee was allocated for the payment of the 25 percent reduction in pension, the bill notes.
The law mandates a yearly $15-million license fee from the exclusive casino license holder.
The bill noted, however, that this annual license fee collection is short of what is actually needed to address the pension reduction, which is estimated to cost $17 million.
Despite this fact, only a portion (around $10 million) of the annual license fee is dedicated to address the pension reduction issue.
H.B. 19-21 intends to amend PL 18-56 “to dedicate the entire license fee collections for the payment of retirees’ pension reduction.”
Commenting on H.B. 19-21, Attao said one of his considerations in introducing the bill is the fact that “retirees continue to struggle financially.”
Attao hopes the bill gets passed before Best Sunshine International Ltd., the exclusive casino license holder on Saipan, gives its next round of payment so that the $15 million payment will be given entirely to retirees’ funds.
Attao said he expects that “not all will be pleased with the bill,” but it will still aim to make sure that retirees get their benefits in full.
