JAN 2 1 I981
o
The Honorable Joaquin I. Pangelinan
Speaker
House of Representatives
and
The Honorable Benjamin T. Manglona
Acting President, The Senate
Second Northern Marianas Commonwealth Legislature
Saipan, CM
96950
Dear Speaker Pangelinan and Acting President Manglona:
I am pleased to inform you that I have approved this
date the following Act passed by the Second Northern
Marianas Commonwealth Legislature
,
-
Session, 1980 as follow:
House Bill No. 168, H.D.2, S.D.2, C.D.1, entitled:
''An Act to establish an Advisory Commission on
Revenue and Taxation, and for other purposes"
as Public Law No. 2-12.
Certified copy of the above Act bearing my signature
forwarded herewith for your file,
is
CARLOS S. CAMACHO
Governor
PUBLIC LAW NO. 2-12
H.B.
NO.
168, H.D.2,
S.D.2,
C.D.1
SECOND NORTHERN MARIANAS COMMONWEALTH LEGISLATURE
SECOND REGULAR SESSION, 1980
AN ACT
To e s t a b l i s h an Advisory Commission on Revenue and Taxation, and f o r other
purposes.
Offered by Representative
Date:
Vicente M. Sablan
September 9, 1980
House Action
Referred to:
Committee on Appropriations
Standing Commi t t e Report No. 2-52; Conference Committee Report No. 2-73
F i r s t Reading:
September 25, 1980
Second Reading:
September 26, 1980
January 8, 1981
Senate Action
Referred to:
Committee on Fiscal A f f a i r s
Standing Committee Report No. 2-65; Conference Committee Report No. 2-4
F i r s t Reading:
November 5, 1980
Second Reading:
November 7, 1980
January 8, 1981
h%&
Esteban I. Pangel inan
Cl erk
House o f Representatives
SECOND NORTHERN MARIANAS COMMONWEALTH LEGISLATURE
H.B. 168, H.D.2,
S.D.2, C.D.l
SECOND REGULAR SESSION, 1980
To e s t a b l i s h an Advisory Commission on Revenue and Taxation, and f o r
o t h e r purposes.
BE I T ENACTED BY THE NORTHERN MARIANAS COMMONWEALTH LEGISLATURE:
Section 1.
Finding.
The L e g i s l a t u r e f i n d s t h a t the various
revenue and t a x a t i o n laws o f the Commonwealth do n o t provide a clear,
comprehensive, and coordinated system o f t a x a t i o n t o generate an
appropriate amount o f revenue f o r t h e operation o f the Commonwealth
Government.
Section 2.
Establishment o f Commission.
(a)
There i s hereby
e s t a b lished the Advisory Commission on Revenue and Taxation (hereina f t e r
r e f e r r e d t o i n t h i s Act as " the Commission''),
which s h a l l c o n s i s t o f
seven members as follows:
(1) The D i r e c t o r o f Finance o r h i s designee;
(2)
One member t o be appointed by t h e Saipan
Chamber o f Commerce;
(3)
One member t o be appointed by t h e Governor;
(4)
Two members t o be appointed by t h e President
o f t h e Senate; and
(5)
Two members t o be appointed by the Speaker
o f t h e House o f Representatives.
(b)
No person who i s an elected o f f i c i a l , o r an o f f i c e r o f
anv p o l i t i c a l party, s h a l l be appointed as a member o f the Commission.
H.B.
168, H.D.2.
S.D.2.
C.D.1
The Commission s h a l l e l e c t a Chairman from among
(c)
i t s members who s h a l l schedule and preside over meetings o f t h e
Commi ssion.
The Commission may adopt r u l e s and operating procedures
i n order t o f a c i l i t a t e i t s work w i t h o u t regard t o t h e p r o v i s i o n s o f
T i t l e 17 o f t h e T r u s t T e r r i t o r y Code.
Section 3.
Quorum.
Four members s h a l l c o n s t i t u t e a quorum f o r t h e
t r a n s a c t i o n o f a l l business o f t h e Commission, and a l l matters s h a l l be
decided by a m a j o r i t y o f those members present and voting, except t h a t
t h e concurrence of a t l e a s t four members s h a l l be necessary f o r t h e
adoption of any r e p o r t r e q u i r e d t o be transmitted pursuant t o Section 6
o f t h i s Act.
Voting by proxy s h a l l n o t be permitted.
Section 4.
Compensation.
Members o f t h e Commission s h a l l serve
w i t h o u t compensation, b u t s h a l l be reimbursed f o r reasonable and
necessary expenses i n c u r r e d i n t h e performance o f t h e i r duties.
Costs
f o r such reimbursement s h a l l be d i v i d e d e q u a l l y among t h e House of
Representatives, the Senate, and the Executive Branch, upon request o f
t h e Commission.
Section 5.
Removal and Vacancies.
Persons appointed as members o f
t h e Commission s h a l l serve a t the pleasure o f t h e appointing a u t h o r i t y .
Vacancies on t h e Commission s h a l l be f i l l e d i n t h e same manner as t h e
o r i g i n a l appointment.
Section 6.
Duties o f the Commission.
The Commission s h a l l make a
comprehensive review o f al l e x i s t i n g revenue and t a x a t i o n laws appl i c a b l e
i n t h e Commonwealth and r e p o r t i t s f i n d i n g s and recommendations f o r any
necessary changes i n such laws which w i l l provide adequate revenues t o
H.B.
168, H.D.2,
S.D.2,
C.D.1
1
finance the operations of the Commonwealth Government and which w i l l be
2
appropriate i n l i g h t o f economic conditions, taking i n t o consideration
3
the need f o r incentives for economic development, the cost o f l iving,
4
and the median income of individuals.
5
findings regarding the socio-economic impact o f f u l l y implementing the
6
United States Internal Revenue Code i n the Commonwealth.
7
s h a l l be transmitted t o the Legislature and the Governor not l a t e r than
8
March 31, 1981.
9
Section 7.
Staffing.
Such r e p o r t shall include
Such r e p o r t
The Commission s h a l l not h i r e i t s own s t a f f
10
o r contract f o r personal services.
11
provided by the House o f Representatives, the Senate, the Department
12
of Finance, and the O f f i c e o f the Governor, upon the request o f the
13
Commission.
14
Section 8.
Tenure.
Reasonable s t a f f support s h a l l be
The Commission s h a l l come i n t o being on the
15
date o f the enactment o f t h i s Act, and s h a l l cease t o e x i s t s i x months
16
a f t e r transmission o f i t s r e p o r t t o the Legislature and the Governor
17
as required by Section 6 o f t h i s Act.
18
19
Section 9.
E f f e c t i v e Date.
This
approval by t h e Governor, o r upon i t s be
Speaker
o f the Northern Mariana Islands
Page 3