Businesses say they are being made to pay now

Restaurants, schools, car rentals, tire shops, poker parlors, clinics, and all other types of small to large businesses have started paying $500 for an annual Fire Code Permit and $500 in fire safety re-inspection fee since December and January, contrary to Commonwealth Fire Division chief Thomas Manglona’s statement to the media that none of these fees have already been assessed.

Some businesses showed Saipan Tribune yesterday copies of their receipts and permits as proof of their payments.

Fire safety inspectors have been visiting businesses on Saipan since December, checking whether their premises comply with fire safety codes and telling them to secure a Fire Code Permit, among other things.

What’s worse is that the $500 Fire Code Permit and $500 re-inspection fee are separate from all other fines and fees that DPS-Fire Division proposed-as early as August 2011-to be increased from just $20 to a whopping $100, $500, $1,000, and $10,000.

“How can they say they’re not asking for payment of these permits and fees yet when a lot of us have already paid? They’re lying. We’ve been visited several times,” QQ Car Rental owner James Han said. Their permit was issued on Jan. 11, 2012, and will expire on Jan. 11, 2013.

Michael Berglund, principal at Seventh-Day Adventist Child Development Center, also said they paid $500 for a Fire Code Permit that was issued on Jan. 18, 2012, and expires on Jan. 18, 2013.

Jim Gebhartd of Pacific Amusement also confirmed paying $500 for the Fire Code Permit and $500 for re-inspection fee. Other smaller businesses also said they paid a total of $1,000 for these two items.

The Department of Public Safety’s Commonwealth Fire Division said that Public Law 11-56 allows for such permit and fee, but it was not fully implemented until recently.

While many affected businesses support fire safety inspections and would like to comply with inspection findings, they said DPS could have done a better job by properly educating the public about the $500 permit and $500 re-inspection fee.

Moreover, spending an additional $1,000 is just “too much” during these tough economic times when businesses are barely surviving.

Affected businesses, including those in the Saipan Chamber of Commerce, pointed out that they support having CNMI fire safety codes and rules to be at par with national and international standards. But they said imposing steep fees and fines is not a good way to do it.

Separate fines and fees

Under DPS-Fire Division’s proposal, fees of mostly $20 will go up to $100, $500, $1,000, and $10,000. The new rates are supposed to take effect on Feb. 10.

That’s because the “proposed” increases in fees and fines published in the Aug. 23, 2011, Commonwealth Register were “adopted” and published in the Jan. 30, 2012, Commonwealth Register, copies of which were released only yesterday. Once “adopted,” the amended rules take effect 10 days after publication in the Commonwealth Register.

Unless the “adopted” increases in fines and fees are “actually” rescinded by the Department of Public Safety or its Commonwealth Fire Division, these fees will go into effect.

Gov. Benigno R. Fitial had instructed DPS not to proceed with the increased fees and fines. But no such formal notice of withdrawal has been issued as of yesterday.

Press secretary Angel Demapan said yesterday that the governor had already instructed DPS Commissioner Ray Mafnas not to go ahead with the proposed increases in fines and fees.

“The governor was advised by the commissioner that it will not go forward as planned,” Demapan said.

But still, there’s no formal notice that it will not go into effect 10 days after the Jan. 30 publication in the Commonwealth Register.

These other fees and fines include a permit for storing or handling aerosol products, operating aircraft refueling vehicles, using a Christmas tree, using candles and open flame device in assembly areas, and storage or handling of different types of hazardous chemicals.

Rep. Stanley Torres (Ind-Saipan) reiterated yesterday his request to DPS not to proceed with the increased fees and fines.

He pre-filed House Bill 17-275, which places the authority to raise fire permit fees and fines in the Legislature, which would also have the power to establish a new fee and fine schedule.

Most of the annual permits and fees that he is proposing are only $30. Some are $10 and $20, compared to DPS’ proposal of $500 to $10,000.

Torres, one of the longest serving lawmakers in the CNMI, said it is “ridiculous” to increase fees by up to 49,900 percent.