CNMI, feds agree to speed up 902 talks

By Mar-Vic Cagurangan

CNMI and U.S. negotiators have agreed to accelerate the pace of the 902 consultations, aiming to settle key issues on the table “as quickly as possible.”

During a virtual meeting on July 16, the negotiating teams formalized procedural issues, setting a clear direction and an accelerated plan for future meetings that would focus on the priorities listed by the CNMI. 

“We are dedicated to making significant strides through the 902 consultations, and this renewed collaboration with President Trump’s administration marks an important step forward,” said Gov. Arnold Palacios, who led the CNMI team. “Our efforts will help us open opportunities that these 902 discussions present for our CNMI residents.”

The CNMI is seeking the resumption of long-term financial assistance, pledged by the U.S. through the Covenant, to subsidize the local government’s operations and support economic development initiatives.

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Section 702 of the pact authorized the appropriation of “guaranteed annual levels of direct grant assistance” to the CNMI for each of the seven fiscal years following the effective date of the Covenant provision.

In an earlier press conference, Palacios said the CNMI expected to receive $27 million in Covenant funding. However, the Section 702 funding ended on Sept. 30, 2003.

Another item on the CNMI's priority list involves the “strategic initiatives and actions aimed at enhancing tourism and transportation to and from the Northern Mariana Islands.”

Specifically, the CNMI is seeking the reinstatement of Annex VI of the U.S.-China Air Transport Agreement, which would lift restrictions on scheduled air service between the Northern Mariana Islands and China.

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The CNMI is banking on the resurgence of the Chinese market to resuscitate its stagnant tourism.

The third item refers to federal policy updates aimed at facilitating the CNMI’s access to skilled labor.

The commonwealth is facing a potential labor shortage due to the looming expiration of the CW-1 program and the "touchback" rule, which requires foreign workers to return to their home countries for a period before potentially returning. 

 “While our discussions will be based on realistic and meaningful timelines, we are committed to making progress as quickly as possible,” said Scott J. Cameron, U.S. special representative who leads the federal delegation.

Section 902 refers to the provision in the Covenant, which established a formal process for consultation between the U.S. and the CNMI.

According to a press release from the governor’s office, Cameron “expressed enthusiasm about the renewed partnership, emphasizing the importance of working closely with the governor's team to achieve tangible results.” 

The U.S. team includes Angel Demapan, deputy assistant secretary of the Department of Interior’s Insular Affairs. He is the former minority leader of the CNMI House of Representatives and former chief of staff to former Gov. Ralph DLG Torres.

“Both parties acknowledged the past challenges in generating timely reports, and accordingly agreed to a regular rhythm of meetings, potentially as frequent as every other week, to advance discussion and resolution on key issues more expeditiously,” the governor's office said. 

CNMI team:

Gov. Arnold I. Palacios

Michael Sablan, former CNMI public auditor and private sector representative

Wesley M. Bogdan, legal advisor/retired CNMI Superior Court judge

 Matt Adams, legal advisor, Kaplan Kirsch, LLP.

Pete A. Tenorio, former lt. governor

U.S. team

Scott J. Cameron

William Hague, principal deputy assistant secretary of Insular and International Affairs

Angel Demapan, deputy assistant secretary for Insular and International Affairs

Justin Rhee, special advisor

Jonathan Dunn, associate director, Budget Division

Tim Murphy, senior counselor from the Office of the Solicitor 

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