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07/01/2025—Local companies will have to compete against U.S. firms for military contracts.
That appears to be the gist of the U.S. Department of Defense’s acquisition philosophy when it comes to the ongoing military buildup in the Marianas.
“When these bids are open, they're really open for anyone in America,” said U.S. Marine Corps Forces Pacific executive director Mark Hashimoto, adding that all federal government purchases and contracts should be in accordance with Federal Acquisition Regulations.
“Our responsibility is to the American taxpayer and they want to make sure that every tax dollar that is spent, that we get the most out of it. So that's all I can tell you is that, you know, again, that this is an open competition. And, you know, we are looking for price, schedule, and performance on the contracts. And really, you know, we don't discriminate against who might bid on those things, as long as those companies are in accordance, again, with the federal acquisition requirements,” he said during the recent public meeting for the Revised DEIS on Tinian.
If there’s any consolation though, the retired U.S. Marine major general said Naval Facilities Engineering Systems Command conducts what they call “industry days” in the Marianas to keep local companies abreast of the aforementioned federal acquisition requirements.
“That's to help businesses, small businesses, and micro businesses figure out how to navigate this world so that they can meet all of the requirements to essentially get these government contracts. And you know, even the local [Small Business Development Centers] has held their own industry days.”
Hashimoto said the open and- free-for-all contracting environment in getting military contracts happens across the U.S. and even in his native Hawaii.
“There's always a common set of requirements that we have to provide things like food, porta-potties, water, cell phones, things like that. We talk about these things once every quarter. And, you know, what I would urge is that, again, people study the business environment, do what all good businessmen do, is anticipate requirements, make yourself as efficient as possible so that you can compete for that,” he said.
Earlier, Edward C. Camacho, special assistant to the CNMI Governor for Military Affairs, lamented the limited economic benefits trickling down to local businesses despite the military buildup in the region.
"We're talking about close to $500 million in activity in one year alone," he said. "But the reality is most of those contracts are awarded to off-island companies. So, much of that money leaves the Commonwealth."
Camacho called it a form of "capital flight" that undermines the long-term economic promise of military investment.
"We see the impacts at the surface level—hotels, restaurants, car rentals, and catering companies do get a boost— but those are peanuts compared to what's leaving."
He also urged better enforcement of CNMI tax laws to ensure that companies doing business in the U.S. territory pay their fair share.
"If you're building airfields or infrastructure here, you should be registered here, paying BGRT here, and following our laws," he said.
Story Mark Rabago and Thomas Manglona II
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