Saipan: us$ 5 million eyed as startup for Rota casino

Representative Crispin M. Ogo, author of the bill, said that startup funding is needed to begin the process of implementing the Rota casino act, which received overwhelming support from voters in the November 3 midterm election.

Ogo added that the establishment of the casino industry has become more urgent, in view of the local government’s failed talks with Japan Airlines to bring direct charter flights from Japan to Rota. Under the bill, the Rota mayor will have expenditure authority over the casino funds.

The casino initiative, as ratified by voters, creates a Rota Casino Gaming Commission made up of five members. The Rota mayor, with the consent of the Rota Municipal Council, will appoint the commissioners. Each commissioner will be paid us$ 60,000 a year.

There will be no restrictions on the total number of casino licenses that may be issued, or the number of casinos that a person or a group may own or operate. Rota’s casino commission will be allowed to impose a license application fee of up to us$ 100,000 and an annual license fee not exceeding us$ 200,000 for the first license year.

A Rota gaming tax equivalent to 5 percent of the gross gaming revenue will also be collected from casino operators. A total of 1,095 voters approved casino gambling on Rota, and 187 voted against it. The number of “yes” votes represents 70 percent of the 1,564 registered voters, and 85 percent of the voter turnout on Rota.

The initiative needed only two-thirds of the registered voters to pass.