‘NMI govt also has role to play in building casino resort’

The ambitious target date of late 2016 to complete a $500-million, 14-story casino resort in the heart of Garapan has raised questions about the government’s ability to mitigate or facilitate the infrastructure development, as one necessary aspect of the project—a reported 8,500-foot sewer pipeline—would be built off casino grounds and shoot down Garapan toward public sewer facilities in Puerto Rico.

“How much will it cost the CNMI government on just that one small part? Does the government have the cost analysis of how much it’s going to cost? To dig it up, hold the traffic? Are we doing our end?” House minority leader Rep. Ramon Tebuteb (Ind-Saipan) said Thursday.

“What is the plan? We are in it…in the second year, or even more,” Tebuteb said. “My concern is that the government is a part of this whole deal.”

It was revealed Friday that a bid closed in November for an architectural or engineering firm to serve as the Commonwealth’s representative on the “Development Plan Advisory Committee,” a working group made up of the engineering firm hired by the casino and a firm with integrated resort experience to represent the CNMI.

The committee was mandated as part of the 2014 casino licensing agreement.

Only one firm submitted a bid, Saipan Tribune learned Friday.

If selected, the firm would consult the CNMI governor and help steer the ambitious casino project, monitor the casino’s development, and track how it meets project implementation schedules.

According to its exclusive casino licensing agreement with the CNMI government, Best Sunshine International, Ltd. must complete “Phase 1” of its casino project within 36 months of land acquisition.

The project in Garapan forms Phase 1 of the project, with Phase 2 being planned on the northern end of the island.

Among many others, Best Sunshine must meet requirements inclusive of 2,000 hotel guest rooms; 17,000 square meters of total gaming floor area; 13,532 square meters of food and beverage outlets; 15,000 square meters of retail space; a 600-seat theatre; 9,094 square meters of meeting space, including a ballroom; 200 villas, and a $100-million themed entertainment facility.

Waiting on design

Wastewater piping in Garapan has been found inadequate for BSI’s estimated 24,000 gallons of discharge from its casino hotel per day.

If not addressed, public utility officials have said, these flows are expected to inundate the wastewater system in the area, causing discharge to backflow, affecting existing businesses and development.

When asked Thursday, then-acting executive director John Riegel of the Commonwealth Utilities Corp. said he has not seen any plans for the wastewater pipeline.

Riegel called the pipeline “necessary to proceed” with the casino development but he hasn’t seen any proposed plan since the project proceeded with design last June.

That month, Riegel said, the casino had begun design on an approximately 8,500-foot sewer force main, or pressurized pipe system, to accommodate waste flows from its planned 14-story casino resort in Garapan.

The force main would be in an alignment—preliminary—down Beach Road in Garapan to Middle Road, Riegel said then, and would follow along Middle Road to the point of intersection with an existing force main from lift station “S3” to the “ST” treatment plant. It would tie into the existing force main, Riegel had said.

When sought for comment Thursday about the late 2016 completion date in light of the necessary pipeline project, Riegel said, “It’s an extremely ambitious schedule—so I don’t know.”

“The ball is in their court,” he added.

Compliant?

Department of Public Works Secretary James Ada said Friday that the casino has been compliant with its regulatory permit since it began construction in Garapan.

“So far, they are in compliance,” Ada said.

Saipan Tribune was trying to verify reports of that a construction manager hired by Best Sunshine left the project last week, after the Chinese construction company it oversaw continued to frustrate and fail regulations.

Ada said that is news to him.

“Not to my knowledge,” Ada said. “If there was any non-compliance it would have come to my table. But right now, I don’t see any[thing] disruptive…from them. That’s news to me.

“I haven’t seen anything on my desk,” he added.

He noted that his Building Code Division staff of four inspects hotel and construction sites every single day.

“My staff of four goes out north, south, east, west daily,” he said.

DPAC

The November bid proposal will have a three-member committee assigned to review the proposal: a licensed engineer from the Bureau of Environmental and Costal Quality, an engineer from Public Works or the Capital Improvement Office, and an engineer of the casino, according to the request for proposal announcement.

DPAC was established to facilitate communication between the CNMI and the licensee, implement license requirements, and implement development schedule.

The committee is responsible for reviewing and advising on the design of the initial gaming facility and the integrated resort.

The CNMI’s representative on the committee will report directly to the CNMI governor.