Bill passed to reallocate IPI licence fee to Health Network Programme
All 18 legislators present voted in favour of the bill to reallocate Imperial Pacific International’s casino licence fee.
Northern Mariana Islands.- The House of Representatives has passed House Bill 23-60, which reallocates a portion of Imperial Pacific International’s casino licence fee to fund the Health Network Program (HNP) in the Commonwealth of the Northern Mariana Islands (CNMI).
The bill, authored by representative Blas Jonathan Attao, seeks to provide additional funding for the programme, previously known as the medical referral services. In 2018, then-governor Ralph DLG Torres signed Public Law 20-61, directing IPI’s US$15m exclusive casino licence fee to various government projects. As part of this reallocation, US$1,085,000 was designated for the construction of a solid waste transfer station.
Under H.B. 23-60, Attao proposed redirecting the remaining funds of US$881,987 towards supporting the Health Network Program. The bill includes a provision to reserve US$50,000 for inter-island medical referrals.
According to Mariana’s Variety, during the House roll call vote, all 18 members present voted in favour of the bill. The CNMI government, through the Commonwealth Healthcare Corporation (CHCC), aims to allocate US$9.66m to the Health Network Program. This funding will support operations, address projected revenue shortfalls, provide a local match for certified public expenditures and cover capital expenditures, including the Tinian Health Center and Rota Health Center.
In June, the US Court of Appeals for the Ninth Circuit ruled in favour of the Commonwealth Casino Commission (CCC) in its appeal against a US District Court order that prevented it from revoking Imperial Pacific International’s (IPI) casino licence.
The appeal was filed by the CCC last October after Chief Judge Ramona V. Manglona granted IPI’s motion to seek arbitration in its dispute with the CCC over its force majeure defence for the non-payment of casino licence fees. She also granted IPI’s request for an injunction barring the CCC from conducting a withdrawal hearing.
The future of the casino operator is uncertain. In the meantime, the fifth auction of the company’s gaming equipment is scheduled to take place in September. The fourth auction raised more than US$225,000. It concluded on March 31 with acceptable bids on 22 out of 31 lots.
