COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS
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1 COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS Ralph DLG. Torres Governor Honorable Jude U. Hofschneider Chairman, Tinian and Aguiguan Legislation Delegation Nineteenth Northern Marianas Commonwealth Legislature Saipan, MP Victor B. Hocog Lieutenant Governor 06 JUN 2016 Honorable Francisco M. Borja Senate President, The Senate Nineteenth Northern Marianas Commonwealth Legislature Saipan, MP Dear Mr. Chairman and Mr. President: This is to inform you that I have signed into law S.L.B , S I, entitled, "To amend the Revised Tinian Casino Gaming Control Act of 1989, codified under Title 10, Division 2, Chapter 6 of the Commonwealth Code, to provide clear enumeration of terms, to authorize the Tinian Casino Gaming Control Commission to collect plenary and conditional license fees and investigative fees prior to operations; and for other purposes." The bill was passed by the Tinian and Aguiguan Legislative Delegation of the Nineteenth Northern Marianas Commonwealth Legislature. This bill becomes Tinian Local Law No Copies bearing my signature are forwarded for yotp- reference. \ Sincer ' ly, cc: Governor; Press Secretary; Tinian Casino Gaming Commission; Tinian Mayor; Tinian Municipal Council; Commonwealth Law Revision; Secretary of Finance; Special Assistant for Administration; Special Assistant for Programs & Legislative Review; Attorney General Caller Box Saipan, MP Telephone: (670) Facsimile: (670) /2311
2 TINIAN & AGUIGUAN LEGISLATIVE DELEGATION Second Senatorial District Nineteenth Northern Marianas Commonwealth Legislature P. O. Box Saipan, MP Senator Jude U. Hofschneider, Chairman Senator Francisco Q. Cruz, Vice Chairman Representative Edwin P. Aldan, Floor Leader Senator Francisco M. Borja, Legislative Secretary May 20, 2016 Honorable Ralph DLG. Torres Governor Commonwealth of the Northern Mariana Is. Saipan, MP Dear Governor TOITes: [ am honored to transmit for your action Senate Local Bill No , S1, entitled: A LOCAL BILL FOR AN ACT FOR THE SECOND SENATORIAL DISTRICT "To amend the Revised Tinian Casino Gaming Control Act of 1989, codified under Title 10, Division 2, Chapter 6 of the Commonwealth Code, to provide clear enumeration of lerms, to authorize the Tinian Casino Gaming Control Commission to collect plenary and conditional license fees and investigative fees prior 10 operations; and for other purposes. " This bill was passed unanimously, a quorum duly present, by the Tinian and Aguiguan Legislative Delegation, Nineteenth Northern Marianas Commonwealth Legislature on First and Final Reading, during its First Day, Second Special Session 2016 held on Tinian held on May 6, Respectfully submitted, ' G& Delegation fet Enclosures
3 TINIAN & AGUIGUAN LEGISLATIVE DELEGATION SECOND SENATORIAL DISTRICT NINETEENTH NORTHERN MARIANAS COMMONWEALTH LEGISLATURE SECOND SPECIAL SESSION, 2016 SENATE LOCAL BILL NO , SI A LOCAL BILL FOR AN ACT FOR THE SECOND SENATORIAL DISTRICT To amend the Revised Tinian Casino Gaming Control Act of 1989, codified under Title 10, Division 2, Chapter 6 of the Commonwealth Code, to provide clear enumeration of terms, to authorize the Tinian Casino Gaming Control Commission to collect plenary and conditional license fees and investigative fees prior to operations; and for other purposes. Offered by Senators Jude U. Hofschneider, Francisco M. Borja, and Francisco Q. Cruz on February 10,2016 SENATE ACTION Transmitted to Tinian & Aguiguan Legislative Delegation for action on March 6, DELEGATION ACTION Referred to Comments Solicited Comments Received Standing Committee Report Passed First & Final Reading None 4/5/16 - Mayor of Tinian & Aguiguan; Chairman, Tinian & Aguiguan Municipal Council 5/2/16 - Mayor of Tinian & Aguiguan (Oral testimony by Mayor's Representative1 None May 6, 2016 Guerrero, Delegation Clerk
4 TINIAN & AGUIGUAN LEGISLATIVE DELEGATION Nineteenth Northern Marianas Commonwealth Legislature Second Senatorial District THIRD REGULAR SESSION, 2015 A LOCAL BILL FOR AN ACT FOR THE SECOND SENATORIAL DISTRICT To amend the Revised Tinian Casino Gaming Control Act of 1989, codified under Title 10, Division 2, Chapter 6 of the Commonwealth Code, to provide clear enumeration of terms, to authorize the Tinian Casino Gaming Control Commission to collect plenary and conditional license fees and investigative fees prior to operations; and for other purposes. BE IT ENACTED BY THE SECOND SENATORIAL DISTRICT DELEGATION PURSUANT TO CHAPTER 4, DIVISION 1, TITLE 1 OF THE COMMONWEALTH CODE: Section 1. Findings and Purpose. The Second Senatorial District Delegation, being 2 the duly elected body authorized through N.M.1. Const. Art. II. 6 and the Local Law Act of , specifically I CMC 1401 et seq., to enact laws that relate exclusively to local matters 4 such as, gambling prohibition and regulations, within the Second Senatorial District finds that 5 in the interest of promoting the Tinian gaming industry. it is lawful and necessary to amend 6 certain provisions of the Revised Tinian Casino Gaming Control Act of 1989, codified under 7 Title 10, Division 2, Chapter 6 of the Commonwealth Code, in order to be competitive in the 8 Pacific Region. 9 Section 2. Amendments. 10 II a. 10 CMC 25120) is amended to read: "0) 'casino license' means a conditional or plenary license granted by the Tinian Casino Gaming Control Commission on the recommendation of the Executive Director authorizing the conduct and playing in a casino or such games as may in the 14 particular case be authorized by the Commission."
5 b. 10 CMC 2512( 11) is amended to read: 2 "(11) 'license fees' means any moneys required by law to be paid to obtain or 3 renew a plenary or conditional gaming license, manufacturer's or distributor's license. 4 The term "license fees" shall include any other types of fees imposed by the TCGCC. 5 not expressly identified or defined herein, which is assessed as a matter of course in the 6 conduct of effectuating this Act." 7 c. 10 CMC 2512 is further amended to include the following new definitions, and 8 shall be arranged alphabetically with the affected existing numbered definitions to be 9 renumbered accordingly by the Law Revision Commission: 10 II I. "conditional license" means a license that is granted to an applicant who has not met the plenary licensure requirements under this Act but is licensed to operate a temporary casino complex subject to tenns and conditions imposed by TCGCC. 2. "investigation fee" means any moneys required by law to be paid to investigate the applicant and any related or associated person or entity as the TCGCC determines necessary to protect the public interest. " J. "live training facility" means a temporary gaming facility which is approved by l7 the TCGCC and is described in a conditional license agreement between the licensee and TCGCC. The main purpose of a live training facility shall be to train and prepare staff for future plenary license operations of an approved casino. 4. "plenary license" means a casino license granted to an applicant who has met all the licensure requirements as required under this Act "temporary casino complex" means those areas identified in a conditional casino license agreement as a casino, as defined under this act or as authorized as a temporary live training facility by the TCGCC. A licensee shall only operate a 25 temporary live training facility for a period of up to three (3) years." 26 Section 3. Amendment. 10 CMC 2521 (P)(4) is amended to read as follows: 27 "(P)(4) A simple majority of the full commission shall determine any action of the 28 Commission, eleeej'lt that as easms lieease Sf iatefim easias alithefizatiea may Be issliee 29 withelit the aj3j'lf8'o'al ef felif members. 1a the eveat that a vaeaaey has el[istee ia the 30 Cemmissiea fer mere thaa eo eays, a majerity ef the [lill Cemmissiea may aet with resj'leet te 2
6 EIIIy matter, including the issuance of a conditional or plenary casino license or interim casino 2 authorization." 3 Section 4. Amendment. 10 CMC 2534(a) is hereby amended to read as follows: 4 "(a) The person to whom a plenary casino license is granted shall be the owner of the 5 hotel casino complex in question." 6 Section S. Amendment. 10 CMC 2571 is amended to read: 7 " Casino License Fees, Casino Key Employee and Casino Employee License 8 Fees, Casino Service Industry License Fee, Investigative Fees, Fines and Casino Taxes as 9 Local Revenues. I 0 II (a) Except for investigative fees, AH all license fees and gambling revenue taxes generated by casinos in the Second Senatorial District (Tinian) shall be local revenues and 12 shall be available for appropriation by the TilliEIII Mlillieiflal CeHlleil Tinian Legislative 13 Delegation Ie Be ehflellded By Ihe ma)'er for local public purposes, as specified herein. 14 (b) An appropriation for local public purposes may include, but is not limited to: 15 assistance in education; programs for youth and elderly development; scholarships; full time 16 employees: medical referral: agricultural and fisheries development; cultural programs; 17 community and recreational development; programs for invalids special needs individuals; 18 disabled and disadvantaged individuals; medical and dental insurance assistance; and 19 assistance to law enforcement. 20 (e) III addiliell Ie fhlldihg the items listed ill shbseetiell (B) ef this seetiell, eaeh adhlt 21 residellt efthe MlIIlieiflalily eftilliall shall Be eligible te reeeive: 22 (I) Paymellts Hfl te a SllfIl e[$ioo fler melltfl te flay Htilil)' el(flellse fer eleetrieity, water 23 EIIId sewer sef{iees; EIIId 24 (2) A mellthly eash reyalty ill all BfIleHllt determilled By the TiAiaA CasiAe GamtBg 25 CeAIrel CemmissieA frem 20 flereellt ef the teta! meathl)' reveahe frem all lieebse fees, 26 vellhe tw(es, eivil fleaaities EIIId tines eelleeted IiRder this ehaflter; flre'lided. that enj)' ene flersell fler hehseheld shall Be entitled te reeeive the meathl), eash reyalt)' Hilder this 28 SHBseetiell. 29 (d)(i) An applicant for a casino license fee shall pay a nonrefundable application fee of 30 not less than $200,000 upon submission of the application to the commission and shall also
7 initially deposit no less than one hundred thousand dollars ($ ) for the purposes of 2 investigating the suitability of the applicant. The applicant must maintain a revolving fund for 3 investigative purposes in the amount of fifty thousand dollars ($50.000). 4 (2) An annual conditional or plenary license fee of $500,000 shall be paid to the 5 commission upon approval of the conditional or plenary gaming application; In the case where 6 a prior conditional gaming license has been issued for gaming purposes. the license fee shall be 7 due and prorated on a quarterly basis beginning the third quarter of FY Thereafter. 8 pravieieei that when a conditional or plenary casino lieense application is t5stleei approved with 9 less than the period of 12 months of the financial year ending September 30, the fee shall be 10 calculated on a quarterly basis and paid on the period remaining. II (3) A casino licensee shall renew a conditional or plenarv license upon its expiration by 12 the payment of the annual license fee. Failure to renew a conditional or plenary license upon 13 expiration shall be grounds for the revocation. suspension or termination of a casino license. 14 (e)(1) A gross revenue surtax of one percent of gross revenue as provided by 1 CMC (c)(I ) shall be paid each month by each licensee. 16 (2) A gambling revenue tax pursuant to 1 CMC 1402(c)(4) equal to 12 percent per 17 annum of the casino gross revenues, payable on or before the seventh day of the month 18 following the month the revenue was received. 19 (3) An emmal gambling Bffillsement maefiine tal' PIlfSIlBAt ta I CMC 1492(e)(4) shall 20 Be payable fer all slat maehines anei Ilaker maehines leeateei en the easine Ilremises, in BA 21 amelhlt te Be eietermineei By Ihe eemmissien By reglilatien. 22 (f) Casino license fees paid prior to the operations of a casino may be credited as 23 payment towards the casino license fee for the first three (3) years of operation." 24 Section 6. Severability. If any provision of this Act or the application of any such 25 provision to any person or circumstance should be held invalid by a court of competent 26 jurisdiction, the remainder of this Act or the application of its provisions to persons or 27 circumstances other than those to which it is held invalid shall not be affected thereby. 28 Section 7. Savings Clause. This Act and any repealer contained herein shall not be construed as affecting any existing right acquired under contract or acquired under statutes repealed or under any rule, regulation or order adopted under the statutes. Repealers contained 4
8 in this Act shall not affect any proceeding instituted under or pursuant to prior law. The? enactment of the Act shall not have the effect of terminating, or in any way modifying, any 3 liability, civil or criminal, which shall already be in existence on the date this Act becomes 4 effective. 5 Section 8. Effective Date. This Act shall take effect upon its approval by the 6 Governor or its becoming law without such approval. CERTIFIED BY: i an Tinian i!fl'a.p11iguan egislative Delegation (. Arnold I. Palacios Acting Senate President A I --r ---"':'4 4- ::...l!":"'= - this If da y of _\...J ' =- ---".:::;: Mariana Islands 5
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