‘Now is not the time to dismantle CCC’s structure’

The Commonwealth Casino Commission is entering the final stages of litigations and other disputes with Saipan’s casino licensee, Imperial Pacific International (CNMI) LLC, so this is not the time to dismantle the CCC’s structure, according to CCC board chair Edward C. DeLeon Guerrero.

On the contrary, DeLeon Guerrero said, this is the time for the CNMI government to come to the aid of CCC in this “difficult and desperate time” in its efforts to implement and enforce the Commonwealth’s gaming laws and regulations.

DeLeon Guerrero underscored the need for the government to help CCC in his comments opposing the passage of Senate Bill 23-28, which seeks to provide part-time compensation for the CCC commissioners.

Authored by Sen. Paul A. Manglona (Ind-Rota), S.B. 23-28 states that the CCC expends $65,000 per annum for each commissioner’s compensation, for a total of $325,000

Manglona said the commissioners continue to receive compensation, even though CCC’s office is closed, no work is being performed, and no revenue is being collected from the casino, which remains closed since the onset of the COVID-19 pandemic.

In comments submitted to the Senate Resources, Economic Development, and Programs Committee, and to the Gaming Committee, DeLeon Guerrero said the bill’s findings that the CCC commissioners’ compensation is an immense financial burden to the CNMI government is erroneous and is factually incorrect, considering that the government appropriates $1 a year for the CCC’s personnel and operational costs.

He said making the CCC a part-time entity would not fulfill nor accomplish the intent of the legislation that allowed the casino in the CNMI in the first place.

The chairman noted that the commission is currently in the midst of resolving its ongoing litigations and disputes with IPI and that the arbitration ordered by U.S. District Court for the NMI Chief Judge Ramona V. Manglona has been scheduled for May 23 to 25, 2023.

He said their appeal on this matter to the U.S. Court of Appeals for the Ninth Circuit has also been scheduled for June 8, 2023.

The chairman pointed out that it is his understanding that the CCC is the only CNMI government entity trying to hold IPI to honor its obligations as required by Commonwealth gaming laws and by the Casino License Agreement.

DeLeon Guerrero said there are ongoing discussions about re-examining the benefits and disadvantages of having an exclusive license versus entertaining the concept of authorizing additional casino licenses.

He said the casino industry is a 24/7 operations, seven days a week, year-round.

“Rather than making the regulatory body a part-time entity, our Commonwealth government should try to strengthen the agency and let the world know that we are serious about enforcing our gaming laws,” he said.

DeLeon Guerrero urged the Executive Branch and Legislature to demonstrate their strong support and commitment for an effective and efficient gaming regulatory regime.