‘Time for public to support casino tax’

A casino tax implemented on Best Sunshine International, Ltd. would be the answer to several funding and revenue problems in the Commonwealth, concerned citizen Glen Hunter believes.

According to Hunter, should a 35-percent casino tax be implemented, a “conservative estimate” would more than double the budget of the CNMI government.

“You’re talking nearly $200 million in new revenues even if they continue to operate out of that mall (Best Sunshine Live),” Hunter said.

Basing on reports in Hong Kong, Hunter said, and assuming that 2.8 percent of their revenue stays with the casino, it would have about $50 million per month in gross revenue.

Hunter said this would mean $35 million for the CNMI in two months if there is a casino tax in place.

He added that this would resolve the retirees’ 25 percent issue, the capital improvement fund needs of the Commonwealth Utilities Corp., and the 10 percent Typhoon Soudelor match.

“If the CUC needs money, the Retirement Fund needs money, the government needs to generate revenue, they need to stop sitting on their butts and pass this casino tax. It’s time for the public to get behind that and it’s time for the public to rise up and to say that it be taxed properly,” Hunter said.

Currently, according to the Commonwealth Casino Commission, the casino is required to pay the Business Gross Revenue Tax (BGRT) on their Gross Gaming Revenue (GGR: win minus payout), $15 million every year for a total of 40 years for their exclusive license fee, to pay $20 million a year into a special Community Chest Fund, Infrastructure Impact Fee (Developer’s Tax), and other environmental and regulatory fees, including the $3 million Commonwealth Casino Regulatory Fee (CCRF) fund.

The commission noted that these contributions of the casino to the CNMI economy, along with other community contributions and donations, are “huge and quite substantial.”

Hunter said more revenues were promised because of the casino, however, there was only minimal difference on the budget of the CNMI despite the casino making profit.

“Why the hell is this [Torres] administration and this Legislature unable to properly tax the casino? We embraced a new industry, the casino industry, even though the voters twice before rejected it,” Hunter said.

“They can more than double the cost of soda in a one afternoon session with no foresight, no oversight and no public hearing, God forbid they can’t even pass a simple 35 percent casino gross gaming revenue tax?” he added, referring to the Sugar Tax.

Hunter reiterated that there is “no casino in the world that has no casino tax.”

“It’s the midterm election cycle and we hope that anyone who doesn’t support the casino tax, I hope they get booted out of office,” Hunter said.