Casino bill introduced in Saipan

The pitch this time is the dedication of up to 80% of license fees and gaming and other taxes to a pension fund and other public services such as health care and education. To smooth opposition from the neighboring islands of Rota and Tinian, which have casinos, would each get 5% of the take.

Financially strapped Saipan, the largest island of the US Commonwealth of the Northern Marianas, is having difficulty supporting the pension fund, which is set to expire in March 2014 without an infusion of us$ 60 million- us$ 70 million starting this year.

The bill would offer investors either a 40-year exclusive license for us$ 2 million a year, half of which is payable in advance within 90 days of license approval, or a non-exclusive setup limited to three casinos in three separate locations for us$ 3 million a year for 10 years, half of which is also payable within 90 days of approval.

A us$ 250,000 license application fee also would apply. Demapan pre-filed the bill days after Governor Eloy S. Inos and Lt. Gov. Jude U. Hofschneider held a joint leadership meeting with House and Senate members to brainstorm on revenue-generating measures for rescuing the pension fund and othe public services.

Saipan voters have twice rejected casinos.