216 the contemporary pacific • spr ing 2001 hardship, and loss of land use (M I J, While Imata Kabua and Tom 21 April 1999, 1). The current com- Kijiner (6th term senator) are the sole pensation package under the compact survivors of the past cast of major is consistently shown to be inadequate players, their allies still represent a to address both health and land loss threat to the new government. Presi- claims. dent Note has prohibited his cabinet In other foreign affairs, the repub- from traveling during the Nitijela ses- lic’s Korean consul, “Mr Big” Mo sion, perhaps because of the precari- Haeng Yong, was arrested for swin- ous majority his party maintains; the dling $88 million from followers of potential for a backlash vote of no his doomsday cult (M I J, 4 Feb 2000, confidence is carefully measured (M I J, 1). Yong had planned a $6 million 11 Feb 2000, 24). The fact that this resort on Mili that was never con- possibility even exists, and that both structed. parties are in the position of strug- Marshall Islands relations with Tai- gling to earn or maintain a majority, wan were enhanced by the acceptance marks the development of a true par- of Taiwanese funds that had been put liamentary system. on six-month hold after the elections julianne m wa l s h while the new government investigated rum o r ed Taiwanese campaign involve- ments. A supplementary budget of Re f e re n c e s

$27.9 million (two-thirds from Tai- M I J, Marshall Islands Journal. Weekly. wan) was passed in the first special Majuro. session of the Nitijela in June 2000 RMI Online. 18 March 2000. (M I J, 23 June 2000). (h t tp://www.rmiem b a s s y us.org) In sum, the year has witnessed a turn of the tides in the politics of the Walsh, Julianne M. 1999. Political Review Marshall Islands. A new government of the Marshall Islands. The Contempo- that promotes accountability, trans- rary Pacific 12:204–211. parency, and fiscal responsibility has taken charge. Young, educated stu- N o rthern dents are returning to work in the government and a youthful hopeful- The garment industry continued to ness and optimism is in the air, as receive heavy criticism and negative long-term opposition leaders and new actions in the course of the year under public servants step into office. Fish- review. As noted in last year’s report, eries, tuna transshipment, pearls, and class-action lawsuits targeting retail a top-performing maritime registry outlets inside the United States were are generating revenues. Previously filed against the garment industry in marginalized outer-island communi- , Washington d c , and San ties are receiving attention and Francisco. The Saipan lawsuit was resources. Citizens are being filed on behalf of some 22 an o n y m o u s approached for their ideas, asked garment workers. In July an attempt about their needs, and having them was made in state and federal court to addressed. throw out the case because the work- political reviews • micron e s i a 217 ers were not identified. Their lawyers known as the Western Pacific Eco- claimed that identifying plaintiffs nomic Council to keep lobbyist Pre- would subject them to harassment ston Gates working in Washington to and possibly serious danger, both on prevent a federal takeover of immi- Saipan and in their countries of origin. gration and minimum wage in the Judge Munson found that the fairness commonwealth. doctrine required the defendants to Eff o r ts to bring the North e r n Mari- know who the plaintiffs are, and rul e d anas into the federal immigration and against the garment workers. Their wage system continued. The US Senate lawyers appealed the case to the Ninth adopted by unanimous consent Bill Circuit Court, which overturned 1052, which provided for a ten-year Judge Munson’s decision. gradual implementation of the Immi- As a result of the class-action suit, gration and Naturalization Service and many garment retailers agreed to an federal minimum wage laws. However, out-of-court settlement, which the bill languished in the House Com- included money to pay for monitoring mi t t e e on Natural Resources, whose the garment factories where they buy chairman, Representative Don Young, their products, attorney fees, and has adamantly opposed attempts to compensation for the workers. A $1.5 federalize these issues. It is not million fund was established by the expected to come to a vote before retailers for this purpose. The decision the November 2000 elections. was not welcomed by the Saipan Gar- In a related series of events of ment Manufacturers Association, major significance Representative which wanted to go to trial to prove Young’s committee received informa- the charges were false. In order to tion that the director of the Office of compromise with federal enforcement Insular Affairs (oia) and a few of his agencies, however, the association staff members were engaged in possi- made an arrangement with the Occu- bly illegal activities. Young’s commit- pational Safety and Health Adminis- tee subpoenaed the hard drives of all tration and other federal agencies to the computers in that office. Public provide workshops and other educa- Information Officer David North was tional activities in the factories. found to have been feeding the Demo- In February 2000 Speaker Ben cratic national committee with nega- Fitial introduced legislation to raise tive information about Republican the ceiling on the number of contract candidates who were opposing the workers and garment factories administration’s position on federal- allowed in the commonwealth. ization. North had been using his Known as the Omnibus Labor Reform office computer and working time to Act, it contained many other provi- carry on this campaign. The Saipan sions to lift restrictions on private Tribune newspaper suggested that the enterprise. However, by July 2000 this oia campaign involved deliberately bill had not been passed. The Saipan issuing negative information about Garment Manufacturers Association, the living conditions and treatment of the Chamber of Commerce, and the the garment workers on Saipan. As hotel association formed a group soon as subpoenas were issued for 218 the contemporary pacific • spr ing 2001 the computers, North resigned. As Cayetano decision in the US Supreme the story was breaking, oia Director Court. Alan Stayman transferred to the State Although the Democrats won the Department as chief negotiator for election and a majority in the House talks with the Republic of the Mar- of Representatives and held a caucus shall Islands and the Federated States to select their next Speaker, Republi- of Micronesia concerning the renewal can was elected to the of the compacts of free association position instead. Fitial had resigned with the United States. A hearing was the top management position in Tan held by Young’s committee, but an Holdings, owned by garment factory official report has not been released. magnate Willy Tan, to run for the In local elections, former governor House of Representatives. He lobbied fielded a slate of can- several Democrats, especially those didates for the legislature under the from Tinian and Rota, and with the banner of the new Reform Party. To “moral support” of two staffers from nearly everyone’s surprise, Ramon Congressman Tom Delay’s office in Guerrero defeated all candidates for Washington dc won the office. Fitial the single seat in the Senate open for was able to convince enough Demo- Saipan. He did this without the sup- crats to vote for him on the promise port of either of the traditional par- of greater support for the Tinian and ties. He also garne r ed the largest num- Rota budgets, and with the idea that ber of votes of any single candidate in only he had the connections with the commonwealth. Using his new- Congressman Young’s committee in found political strength, Guerrero Washington to maintain the defensive asked the public auditor to audit how position against a federal takeover of members of the legislature spent their minimum wage and immigration. The $30,000 discretionary funds. The new Speaker then commenced to take commonwealth budget officer has very strong hold of the House of Rep- refused to fund or to reimburse legis- resentatives and to challenge anyone lators for some of their expenditures. who differed with his position. He led In return, some members of the legis- a large delegation to Washington and lature asked the public auditor to introduced legislation on the first day reopen the case against Guerrer o rel a t - to repeal all laws on the books that ing to the audit report that showed he were perceived as anti-garment and had dispensed some thousands of dol- anti–private sector. He appointed only lars illegally when he was the director his supporters to committee chairma n - of the Utilities Corporation. ships. He has also taken a very vocal Only one of three legislative ini- position against the current Washing- tiatives to amend the constitution ton representative, passed. This would limit future voting Babauta, who is considered one of the on issues relating to public land to front runners in a large field of candi- persons of Northern Marianas dates for governor in the 2001 elec- descent. However, it is highly ques- tion. tionable whether it will stand up in There is much concern in the com- the courts in light of the Rice versus monwealth about the outcome of the political reviews • micron e s i a 219

2000 federal elections. If George W recreations of traditional voyaging Bush wins the presidency and Repub- took place under the overall super- licans retain control of the House of vision of Master Navigator Mao Representatives, the general consensus Piailug. Three canoes assembled on is that the status quo will be retained and three more on Pulusuk as far as minimum wage and immi- (). They met at a central gration control are concerned. How- islet and some sixty people, including ever, if the Democrats become the one woman, made the long voyage to majority in the House and Al Gore Saipan. Although two of the canoes wins the presidency, most observers developed leaks and had to stop at believe that the current administrative Rota for forty-eight hours, they all position on federalization of minimum participated in a masterfully choreo- wage and immigration will be imple- graphed sail-in at Tanapag village har- mented. If there is a change in the bo r , where they enjoyed a day of Car- House it is assumed that Representa- olinian dancing and a welcome feast. tive Young, chairman of the Natural The Commonwealth Utilities Cor- Re s o u r ces Committee, will be rep l a c e d poration has been trying to get a deci- by a Democrat and Tom Delay of sion on a new generator for Saipan, Texas, presently the majority whip, at an estimated cost of $80 million. will no longer be in a position to When the Board of Directors began block legislation affecting the com- reviewing the bids, Representative monwealth. Delay wrote to the corporation The results of the census, which threatening to withdraw his opposi- got underway on 1 April 2000, will tion to federalization if he felt the have far-reaching effects on the rela- review was not conducted fairly. He tionship between the commonwealth was supported by Representative and the federal government. Although Helen Chernowith, who also wrote no one is quite sure how many people the directors. Enron, a Texas com- there are in the Northern Marianas, pany, was finally selected. That selec- the latest CNMI Department of Com- tion is being challenged by the unsuc- merce figures suggested a population cessful bidders and examined by the of around 79,000, the vast majority commonwealth’s attorney general. In of whom are contract workers, many the meantime negotiations are under of them illegal. However, the gover- way with Enron to revise their bid to nor’s office disputes that number, cit- meet new specifications. ing instead the 1995 figure of 66,000. The probate hearings on the for- The higher figure is frequently used tune of Larry Hillblom, whose plane by federal officials to demonstrate disappeared at sea in 1995, finally how out of control immigration is in came to a close in the year under the commonwealth. The lower figure review. Each of the children claiming preferred by the local administration paternity received some $40 million is used show that everything is under in final payments, as well as certain control. The census results should put properties. The University of Califor- this dispute to rest. nia received some $60 million, and In April, one of the most ambitious the lawyers most of everything else. 220 the contemporary pacific • spr ing 2001

There is still some infighting going on ing summit in Japan and performed over the distribution of the funds and superbly at both as chair. the management of the children’s In mid 20 0 0 , Nakamura traveled to assets. But Judge Castro closed the Japan to attend the funeral of forme r books on the overall case, and most prime minister Keizo Obuchi. It was of the lawyers have packed their bags Ob u c h i ’ s government that prov i d e d and returned to their homes. In a con- Palau with some $33 million for a new troversial decision, the judge also dis- Ko ro r -Babeldaob bridge and a coral tributed some of the assets to people reef res e a r ch center now under con- who had made significant contribu- st r uction. Nakamura continued to cul- tions to the conduct of the proceed- tivate the generosity of the Japanese in ings. A law allowing the courts to recent requests for aid to construct a retain the interest on trust funds under new air terminal building; a national their care for their own use was chal- capital facility in Melekeok State, lenged in federal court and found to located in central east-coast Babel- be unconstitutional. The Superior daob; a coral reef road for Koror Court lost some $800,000 in interest town, which now confronts work-day accrued from the Hillblom trust. traffic jams; and the establishment of samuel f mcphetres a Koror-Tokyo sister-city relationship. The Japan International Cooperation Agency agreed to fund yet another development study to determine the Pa l au best ways to expand Palau’s local Pr esident Nakamura, in his eighth and economy. In the role of statesman, last year in office, was parti c u l a r l y President Nakamura made a plea for busy in foreign relations during the international leaders to pressure the period under rev i e w . After some con- Fiji coup leaders to end the crisis that siderable waiting—at least four years began on 19 May. —he established formal diplomatic Despite these considerable achieve- relations with the Republic of China ments in the international arena, (Taiwan) and received its first ambas- Nakamura could not escape the snags sador to Palau, Clark Chen. In May, of local politics and problems. He the president led a large delegation indicated that he would announce the sp o n s o r ed by Taiwan to the inaugura- “anointed one,” the presidential can- tion of the newly elected Chen Shui- didate he supported as his successor, bian and Annette Lu as Tai w a n ’ s pres - but this took some time. Given that ident and vice president, res p e c t i v e l y . campaign politics are Nakamura’s Coming on the heels of the new diplo- specialty, subtleties emerged, such as matic recognition was a grant to Palau the first lady’s attendance at Vice Pres - of $10 million, with ref e r ences to ident Remengesau’s first big campaign another $90 million “in the pipeline” rally prior to the announcement in (Tia Belau, 16–22 April 20 0 0 , 14 ). favor of him in late June. What is Nakamura also chaired both the Palau worrisome is the perceived abuse of meeting of the South Pacific Forum power and alleged illegality that cast and the Pacific Islands Leaders Meet- gray clouds over the Nakamura presi-