A BILL FOR
AN ACT TO GRANT CERTAIN IMPORT CONCESSIONS ON CONSTRUCTION
MATERIALS REQUIRED FOR AIRPORTS AND MATTERS CONNECTED THEREWITH
SENATE OF THE COMMONWEALTH OF THE BAHAMAS
Madam President,
Today we have a rare opportunity to discuss and engage
in debate, although separate, in a series of Bills which have direct impact
on two of the major pillars of our economy, that is tourism and financial
services, which together generate about 65 to 70 percent of our GDP or
about $4.5 billion of our $6.5 billion economy. As we discuss these
Bills today, I think it is somewhat incumbent upon us, especially considering
the time of year that these debate are occurring, that we reflect on the
importance of these two pillars of our economy, that we reflect on some
mistakes we have made, the lessons we have learned and moving forward how
will we be able to improve the position and standing of Bahamians in an
ever increasingly competitive global environment.
Madam President
It is also incumbent upon us that in our reflection we
attempt to look deep into the future and ignite the transformational spirit
of our forefathers and think big again. Dr. Myles Munroe’s book The Principles
and Power of Vision states that “You don’t need to be big to think great
thoughts. You need to think great thoughts to become big. That
is the faith of vision”
He further says, in his book, that “You are not defined
by your past or confined by external factors” and also “Your greatest challenge
is not in choosing between good or bad but between good and best”.
Madam President
You will recall that it was the great vision of men and
women of the PLP when Sir Lynden Pindling, Sir Milo Butler, Sir Cecil Wallace-Whitfield,
Sir Clement Maynard, His Excellency Arthur Hanna, Carlton Francis, Arthur
Foulkes, Doris Johnson and Clarence Bain, to name a few, dreamt big and:-
It was then Prime Minister, the Rt. Hon. Perry G. Christie, who between the years of 2002 -2007:-
Introduced the Anchor Projects to stimulate
growth on our family Island and slow the exodus and displacement of families
Challenged the Board of the College
of The Bahamas to transform the College of The Bahamas to become the University
of The Bahamas. I had the privilege of serving on that Board for
five years, and we worked tirelessly under the focused Chairmanship of
Mr. Franklyn Wilson to put the groundwork in place so that, God willing,
under the stellar leadership of President Hodder with the continued support
of the present Council and the FNM Government, the year 2009 will see the
formation of the University of the Bahamas.
Then Prime Minister, The Rt. Hon. Perry Christie also:-
Introduced legislation to Parliament
for the enactment of The National Health Insurance Act which was passed
by the House and Senate.
Commissioned and oversaw a master
plan for the redevelopment of the City of Nassau which included the revitalization
of downtown, the relocation of the container Port to Clifton, the development
of a new airport and the signing of a management contract with the internationally
recognized YVRAS to oversee this vision for the airport which would promote
not only national unity but encourage economic expansion and the empowerment
of more Bahamains.
These are the transformational ideas, policies and thinking
that PLP leaders over the years have encouraged and made us a party that
encouraged Bahamians to be Nation builders. Madam President
Surely the present Prime Minister and the Free National
Movement have a plan and the vision to complete the transformation of the
Bahamas as envisioned by our forefathers and if they do not they must possess
the political maturity and wisdom to cause the brightest minds in the Country
to come together and map a plan for the way forward.
Madam President
No one will hold it against them if they don’t have all
the answers or that they don’t have all the ideas. No one expects them
to. As the Government though we expect them not to play petty politics
and do what is in the best interest of the Country.
Now is the time to build on these ideas and to stand on the broad shoulders of the pioneers of the modern Bahamas and look deep into the future and chart a new and steady course for The Bahamas in the 21st century.
Sir Lynden Pindling Airport.
Madam President,
There can be no doubt that a world class airport is vital
to the continued and sustained improvement of any tourist destination,
and this one of the driving forces that led the then Rt.Hon. Perry G. Christie,
leader of the PLP, to develop a master plan for the redevelopment of the
City of Nassau which foresaw the substantial upgrade of the Sir Lynden
International Airport by a qualified and well-respected international airport
management company who would give the airport not only the structure and
capital works needed, but would also give it a “sense of place”.
Madam President,
As you are aware, the then PLP selected YVRAS as the
preferred management company and they were given a 30-year lease to manage
and operate the Airport along with the transfer of the assets from the
Airport Authority.
The Airport Authority was then able, through its wholly-owned subsidiary, NAD, to enter into a management agreement with YVR Airport Services Ltd. on October 19th, 2006 with the responsibility for management, maintenance, operation and the development of the Sir Lynden Pindling International Airport.
We have said before that we are pleased that the FNM did not stop or review this contract and that is was allowed to proceed as envisaged by The Rt.Hon. Perry Christie and the PLP.
The of the LPIA was a part of a master plan by the Progressive Liberal Party for the revitalization and sustained economic growth of the Island of New Providence and the City of Nassau in particular. This included the Phase III development at Atlantis, the Heads of Agreement entered into with BahaMar for the redevelopment and enhancement of the Cable Beach strip, the Albany project and the remodeling of the South Ocean Beach Hotel in the southwest, the movement of the container port from downtown Bay Street to the southwest and the revitalization and upgrading of the City of Nassau from Arawak Cay to the Montague foreshore.
I have on many occasions asked this government to review this plan and say whether they are agree with the plan and if not enter into discussions with stakeholders which include the Opposition, as to why they disagree with the plan and if they don’t when will they commence begin the role out of the revitalization plan for the city of Nassau.
Madam President
Millions of dollars were spent, hundreds of thousands
of man hours consumed and the intellectual imagination of many persons
from all walks of life from around the world were engaged in this master
plan.
Madame President,
In the overview and goals section of the report by the
EDAW states the following:
“There are three major efforts presented in this master
plan that are considered ‘the critical moves’ for Nassau. These are
projects that present a significant departure from the manner in which
Nassau has traditionally operated. The ‘critical moves’ are as follows
…..
Relocation of the container port to the southwest of
the Island.
Redevelop the waterfront to include expanded public access
– a living waterfront.
Establish a Business Improvement District Authority that
will serve as a champion for downtown development.”
Madam President,
Unfortunately, the present Prime Minister and his FNM
Government did not fully appreciate the vision for the redevelopment of
the City of Nassau and in the process have made one bad decision after
another which, if not corrected, will inhibit us as a people from being
able to experience the full impact of an improved tourist product which
must include the rejuvenation and renaissance of downtown and the removal
of the container port from the City of Nassau.
Madam President,
The rebirth of downtown is critical to not only the survival
of our tourist product but also to ensuring that Bahamians continue to
be involved in and play a major role in this part of our retail economy.
Madame President
During the debate on the Bill for an Act to Encourage
the Revitalization of The City of Nassau, I commented at the time that,
while I was supportive of the Bill, I was of the opinion that the approach
to the development of downtown by the present Government was not correct
and, in fact, they would have been better advised to follow the recommendation
as laid out in the EDAW Report and as envisaged by us on this side i.e.
that an Empowerment Zone be created or Business Improvement District be
formed, and that this authority would be made up of persons who have a
vested interest in the redevelopment of Bay Street, i.e. the Bay Street
merchants and the Government, and that this authority would have the capacity
to not only levy taxes against businesses, but would also be able to collect
real property taxes, business license fees and a share of the passenger
taxes from the cruise ships for a predetermined number of years in order
that they would have the revenue base to attract the $150 to $200 million
that is needed to finance this effort.
Madam President
This philosophy would be similar to what we have committed
to with the Sir Lynden International Airport where the Government has not
only given up it’s a portion of its tax revenue to the Nassau Airport Development
Company (“NAD”) but has also increased the passenger tax in order to facilitate
whatever financial requirements NAD have to meet to raise he requisite
financing.
Madam President,
You will recall that during the Debate on a Bill to Amend
the Airport Authority Act before we recessed for the summer break I raised
the issue if the estimated 400 million dollar price tag for the redevelopment
of the Sir Lynden Pindling price tag was firm as I had received information
that the price tag had increased and may be now as high as 600 million
dollars. I also enquired whether the Government had considered the slowing
economy, the decline in stop over visits and the fact that the Bahamar
project was unlikely to materialize, the Albany and South Ocean project
had slowed. I was told in this place that it was considered by the Government
and that the revenue directed to NAD by the Amendment to the Airport Authority
Act would be sufficient to cover the 400 million dollar price tag. My concern
then as it is now is that at the end of the day the government and by extension
the people of the Bahamas are responsible for the payment of this loan
and although the revenue last year increased last year by almost 30 million
dollars to approximately 46 million dollars the Airport Authority still
operated at a loss of a million and a half dollars.
Madam President,
Imagine my surprise then when the Government introduced
The Airport Authority (Passenger Facility and Security Charge) (Amendment)
Order, 2008 to increase the passenger facility charge at the airport from
$15 to $20 and in August of 2010 we are told it will increased to $25.
Madam President
I was appalled although not surprised by the comments
made by the Prime Minister as he sought to blame the PLP for his government
having to increase the facility charge to $20 because the PLP had grossly
underestimated the cost. The Prime Minister continues with the unwarranted,
unnecessary and politically immature statements which have no bearing to
the truth and he continues to divide us at a time, when more so than any
time in our history, we need a leader to unite us. Bahamians are wearing
tired of the Prime Minister and his continued attempts to politically polarize
our Country.
Madam President
I witnessed an event in the house the other day when
they were debating I think an Amendment to the Penal Code when the Government
conspiring with the Speaker bought closure to the Debate when the Leader
for Government business, the member for Bain and Grants town was
about to make his contribution. This act was a disgrace in itself but in
the gallery that evening were members of the Torch Bearers, the youth arm
of the FNM, who obviously were being told this is the way to conduct debate
in that other place, where you have no respect for those who may disagree
with you. Those on the government side found it quite amusing. But this
is what we have come to expect from the Prime Minister and the FNM, who
espouse transparency, accountability, freedom of speech, but muzzle debate
with predetermined cut off times for debate. It is a sad state really when
the leaders in that other place set an example that they are no better
than the common thug. Leadership must start at the top and I will leave
it at that for now.
Madam President
The Government has even gone so far as to commit to borrowing
$50 million of the first $80 million needed to commence the work at the
airport, to show its commitment to the project and to emphasize its importance
to the development of our economy, our country and its people.
Madam President
I would hope that the government would consider giving
the airport development and management contract for the Islands of Abaco,
Eleuthera and Exuma to Bahamians or at the very least that Bahamians be
the majority shareholders.
Bay Street Redevelopment.
Madam President,
I make the case today that it is critical that this same
effort, this same commitment, the same zeal, be put into the redevelopment
of Bay Street and the City of Nassau. If the airport has proven nothing
else to us, it has shown us that even bringing in a large well-respected
international operator, the Government may still be required to give major
support to such a project.
Madame President,
The difference with the redevelopment of the City of
Nassau is that we would have Bahamians at the fore driving the process
for the redevelopment of the City of Nassau which I argue is equally, if
not more important, when you examine the direct impact it will have on
Bahamian businessmen and the direct injection of revenue into our
economy.
Madam President,
I fear that without the creation of the empowerment zone
or the business improvement district, the redevelopment of Bay Street will
continue to linger aimlessly on that dark and dreary road to nowhere.
Madam President,
The redevelopment of the City of Nassau included the
movement of the container port away from the city of Nassau. A report was
commissioned from Ecorys Inc., by the Government and the private sector
at a shared cost of $500,000 to determine the cost and feasibility the
port after the EDAW report in conjunction with the Coastal Systems International
Environmental impact Assessment, concluded that the Southwest Port was
the best location for the port. I am advised that the Ecorys report was
concluded and presented to the Government last September, over 1 year ago
and still today no mention of it. Not one word from the government of “transparency”
and “accountability” not one word, not even an acknowledgement that they
received it. The Bahamian people contributed $250,000 towards this report
and they will not even tell the people what it contains.
Madam President
After extensive research and analysis, the EDAW Group
concluded the following:-
“The project design team investigated seven possible
new locations for the consolidation of cargo activities which included
(1) No action/optimization of the existing port facilities
downtown;
(2) Arawak Cay;
(3) Clifton Point;
(4) Power Plant;
(5) South Ocean;
(6) Adelaide; and
(7) Coral Harbour.
Relevant information for the alternatives analysis/assessment was obtained through literature review, a series of site visits and field inspections, interviews with Government officials, stakeholder meetings, and preparation of an intensive coastal engineering analysis for each of the project alternate sites. The project team used the compiled data to evaluate each potential port relocation site according to a matrix of criteria covering environmental impacts, compatibility with island long term master planning, engineering and construction issues and socio-economic concerns.”
They concluded the following based on the Coastal Systems
International Environmental Assessment:
“From their review of all available data concerning the
proposed cargo relocation and consolidation project, the project team selected
the power plant site as the preferred alternative. Relocating the
port to the Power Plant site would clearly meet the Project goals of increasing
port capacity, beautifying downtown Nassau and alleviating traffic.
In terms of environmental impacts, construction of a port facility at the
Power Plant would minimize the impact to marine resources to the greatest
extent practicable.”
Madam President
What I find most troubling about the governments decision
to move the port to Arawak Cay is that they have done so on the whim of
one man with not even as much as a report to support him. In fact the Coastal
System EIA data in its report supported a view that it was better to leave
the port downtown rather than move it to Arawak Cay. Of the 7 locations
examined Arawak Cay was ranked 6 as the least desirable location, with
downtown (the existing site) ranking 5th ahead of Arawak Cay. Only Clifton
Point was ranked behind Arawak Cay at number 7 as the least desirable location.
Maybe one day soon this self proclaimed government in the sunshine, who
preach accountability and transparency will be forced to reveal
to the Bahamian people why they are making another bone headed decision
and moving the port to Arawak Cay.
Madam President
I have said on many occasions that the government have
made many mistakes during its past 18 months and have failed the Bahamian
people miserably, but this decision will rank as their greatest failure.
The site of it on the Western Shore will be a constant reminder to this
generation and future generations of the inept, arrogant and visionless
Ingraham administration of 2007-2012.
Madam President
That is why the Leader of the Opposition in that other
place and we in this have made it quite clear to the Government that we
will not support the move of the Container Port to Arawak Cay without reasonable
data to support such a move. We go further Madam President and send a message
to those would be investors in the port at Arawak Cay that we do not support
it and they invest at their own risk. We issued a similar message once
before on the Clifton Development and we issue the same message again.
Buyer beware. A word to the wise should be sufficient Madam President and
I will leave it at that for now.
Madam President
In closing I would like to touch briefly on the issue
of diversification of our economy, but for the purposes of this debate
I want to suggest some ways in which we can diversify our approach to tourism
and what we view as tourism especially in difficult times. We need in my
view to develop more “sustainable tourism” which can be viewed as either
recession proof or at the very least able to withstand the economic winds
of change and more directly impact our National and social development.
Madam President
I want to touch
on 4 areas which I will call:
Educational Tourism
Medical Tourism
Sports Tourism
Religious Tourism
Educational Tourism is a great source of sustained tourism which we have overlooked through the years. However with the conversion of the college of the Bahamas to the University of the Bahamas there is a tremendous opportunity to begin to open up our Country to attract foreign students. Ross University is in the process of Converting a 30,000 sq. foot building in Freeport for a Medical School. We now need to begin actively attracting other Universities to set up satellite Schools and give ourselves a mandate that in 10 years we want 25,000 foreign students attending University in the Bahamas and 15,000 Bahamians.
Madam President,
We should be prepared to give whatever Concessions are
necessary to attract quality educational institutions to our shores. This
would ensure a steady flow of foreign students, teachers who will have
families come to visit them. They will need housing, food, electricity,
telephone etc. In essence they will contribute greatly to our economy.
Just imagine the construction boom. If their experience is a great one,
they will come back to visit many times and if we are lucky 5% of them
will decide to build second homes here thereby contributing to our economy
year round. Just imagine the Foreign Direct Investment, construction, jobs,
philanthropy, the increase in our intellectual capacity and the choice
our kids would have for a relatively inexpensive first class education
right at home.
Medical Tourism Madam President is another area where we can strive to build sustainable tourism which directly impacts our National and social development. The best example I have seen of this is the city of Houston Texas where I accompanied my wife as she underwent surgery to remove cancerous cells. 100,000 fly in there everyday to receive medical treatment and care. 250,000 persons are employed in the various hospitals and medical facilities. Madam President that is basically the whole of the Bahamian population employed there. We could build a new city around medical facility and employ thousands of properly trained Bahamians. Another example of Medical tourism at its best is what I recently heard about is where a hospital in England advertises on the internet and they will give you a quote for travel and the operation once you put in your country of origin and the operation you require. This particular hospital specializes in the removal of hernia’s, but what I found particularly interesting was that they suggested that you stay for 2 weeks to recover and they suggested various place in the countryside where you could relax in comfort and gave quotes which were discounted to encourage patients to recover in England. Could you imagine how many people would love to travel to the Bahamas for medical treatment and procedures and also stay here for their recovery. Imagine the FDI, construction, jobs, inexpensive medical care for Bahamians who won’t have to travel great distances for specialized medical treatment. The potential for repeat visitors after they are healed and if we are lucky some second home ownership.
Sport Tourism Madam President is another area which has
huge potential to attract athletes from all around the world to train here
in the off season. This would attract high school athletes, College and
University athletes and of course professional athletes. We would need
to invest in facilities and market them. The Betty Kenning pool is a prime
example of the potential here where you can often find American college
students training here during the off season or on one of their school
breaks. In doing this we would be developing world class facilities for
our own athletes while giving our kids the opportunity to see world class
athletes train. It would contribute to increasing our hotel occupancy rates.
Imagine the construction jobs, maintenance jobs and a steady stream of
athletes running to our shores.
Religious Tourism Madam President is something that has
been discussed for years and we have only touched the iceberg on this one.
We have many world renowned Bahamian religious leaders, the two best known
are probably Rev. Neil Ellis and Dr. Myles Munroe. We need to engage them
and others to get this right with the goal of making the Bahamas the number
1 spot for religious Conventions and conclaves in 10- 15 years. What do
we need to do to achieve this lofty objective. As we all know religion
is big business. Let’s make it big for the Bahamas and the Bahamian people.
Who knows maybe an extra 250,000 prayer warriors coming to our shore annually
may save some more souls here. God knows we need it.
Madam President
Its time to start thinking outside of the box, to start
thinking big again without losing sight of the small details. I am asking
the Prime Minister and the FNM again to bring the Country together to develop
a National Plan. I heard the Prime Minister a couple of months ago during
the Budget Debate saying what was in the genes of the FNM. The only gene
the Bahamian people want now is the gene that directs vision, wisdom, humility
and real leadership.
Madam President my friend on the other side like to say they are a “fix it government”. Well as I have shown on many occasions we did not leave much for theme to fix and they are now busy fixing all the things they broke in the last year and a half. If they are ever able to get out of their way and focus on the development of this country calling all hands on deck we have a chance of achieving greatness. Our challenges call for a Prime Minister and a government with a high level of political maturity combined with the self confidence to know that one individual or one political party does not possess all the solutions to our problems. The question then is can the leopard change his spots. While the Bahamian people wait and suffer, only time will tell. I hope for the sake of my children and all Bahamian children, that the Prime Minister this Country needs will, as the children say “hurry up come quick”.