This was the first day of Budget Debate focusing on the Cabinet Office's spending plans. Premier Burt presented a $17.3 million budget for the Cabinet Office, representing a 13% increase mainly due to transferring permanent secretary salaries and creating new units. He outlined major initiatives including establishing a Commission of Inquiry to investigate historic land losses, creating an Uptown Development Agency for North Hamilton with $1 million in funding, and providing $500,000 in grants to community clubs. The government also announced plans to achieve 100% paperless processing by 2023 and allocated $3.6 million for IT upgrades.
Budget debate for Cabinet Office operations and spending plans for 2020/21Government reform initiatives including plans for paperless government by 2023New Privacy and Information Protection (PATI/PIPA) unit establishmentCommission of Inquiry into historic land losses in BermudaInformation technology upgrades and cybersecurity improvements
Bills & Motions
Motion to enter Committee of Supply to consider Budget Estimates for 2020/21 - approved
Budget presentations for Head 09 (Cabinet Office), Head 43 (Information and Digital Technologies), and Head 80 (Office of Project Management and Procurement) - presented for committee review
Notable Moments
Premier Burt emphasized this is "the exact opposite of what I would regard as status quo budget" when highlighting new funding initiatives
The Commission of Inquiry into historic land losses was given significant detail, with Justice Norma Wade-Miller appointed as chair
Condolences were offered to MP Commissiong, who was absent due to his mother's recent passing
Debate Transcript
333 speeches from 23 speakers
The SpeakerThe SpeakerGood morning, Members. I trust you all had a nice weekend, short as it was. But it is good to see you here on Monday morning. CONFIRMATION OF MINUTES [Minutes of 28 February 2020]
The SpeakerThe SpeakerMembers, the Minutes from the 28th of February have been deferred. [Minutes of 28 February 2020 deferred] MESSAGES FROM THE GOVERNOR
The SpeakerThe SpeakerThere are none. ANNOUNCEMENTS BY THE SPEAKER OR MEMBER PRESIDING APOLOGIES
The SpeakerThe SpeakerThe announcements this morning, we have three Members we will acknowledge this mor ning for not being present. We received notice from MP Scott Simmons and MP Jeanne Atherden that they will be absent today. And we would also like to extend compassion to MP Commissiong, who will also be …
The announcements this morning, we have three Members we will acknowledge this mor ning for not being present. We received notice from MP Scott Simmons and MP Jeanne Atherden that they will be absent today. And we would also like to extend compassion to MP Commissiong, who will also be out this mor ning, understanding that he just recently lost his good mother. So our compassion is with him at this time.
MESSAGES FROM THE SENATE
The SpeakerThe SpeakerThere are none. PAPERS AND OTHER COMMUNICATIONS T O THE HOUSE
The SpeakerThe SpeakerThere are none. STATEMENTS BY MINISTERS AND JUNIOR MINISTERS
The SpeakerThe SpeakerThere are none. REPORTS OF COMMITTEES
The SpeakerThe SpeakerThere are n one. QUESTION PERIOD
The SpeakerThe SpeakerCarried [over] . CONGRATULATORY AND/OR OBITUARY SPEECHES
The SpeakerThe SpeakerWould any Member like to participate in the congratulations or obituary speeches this mor ning? We recognise the Deputy Speaker. Deputy, you have the floor. Hon. Derrick V. Burgess, Sr.: Yes, Mr. Speaker. Mr. Speaker, I would like for this House to send condolences to the family of Walter “JU” …
Would any Member like to participate in the congratulations or obituary speeches this mor ning? We recognise the Deputy Speaker. Deputy, you have the floor. Hon. Derrick V. Burgess, Sr.: Yes, Mr. Speaker. Mr. Speaker, I would like for this House to send condolences to the family of Walter “JU” Dill. He was the brother of Helena Molly Burgess from the BIU, and also the brother of the late Chairman of the Progressive Labour Party, Maynard Dill . I am sure he will be sorely missed by all his family, his wife , Chery llyn Dill, nieces, nephews, children and all. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Deputy. Does any other Member wish to . . . We recognise the Honourable Member, Mr. Cole Simons. Ms. Simons, you have the floor.
Mr. N. H. Cole SimonsThank you, Mr. Speaker. I rise this morning to send congratulatory r emarks to the Bermuda Festival. They had a fantastic event, Nobuntu. They were a capp ella group of ladies from Zimbabw e. And they gave a performance that was world- class, as usual. 3220 2 March 2020 Official …
Thank you, Mr. Speaker. I rise this morning to send congratulatory r emarks to the Bermuda Festival. They had a fantastic event, Nobuntu. They were a capp ella group of ladies from Zimbabw e. And they gave a performance that was world- class, as usual. 3220 2 March 2020 Official Hansard Report
Bermuda House of Assembly But in particular, I would like to [commend] Hana Bushara and Derek G. Borg (just like Derek Simmons’s name). And I want to say those two young Bermudians equipped themselves so well, and they should have been included as international artists. Ms. Hana Bushara was very articulate. She is a young songwriter. And she is an excellent musician. Her voice is crisp and raspy , and she captivated that aud ience like you cannot imagine. She is a young person who is in university, obviously doing really well. And I would like to commend her for her presentation and her musical gifts. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. Does any other Honourable Member? We recognise the Honourable Member from St. George’s. Honourable Member Swan.
Mr. Hubert (Kim) E. SwanMr. Speaker, I just want to be associated with the condolences offer ed on Fr iday by the Premier to the family of Ms. Vera Beatrice Commissiong, whose son Rolfe sits in this very House. I knew Mrs. Commissiong personally and benefited from the association, but not as much as …
Mr. Speaker, I just want to be associated with the condolences offer ed on Fr iday by the Premier to the family of Ms. Vera Beatrice Commissiong, whose son Rolfe sits in this very House. I knew Mrs. Commissiong personally and benefited from the association, but not as much as her family certainly would have and the wider country has done. As was already stated, she was one of that celebrated group of the progressive group , with only a few remaining surviving, who did so much very quietly behind the scenes for our community. And to the Commissiong family, to the progressive group family, to the Progressive Labour Party family and all her friends, close friends and family here and around the world, I offer deepest condolences from my family. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, sir. Does any other Member wish to speak? We recognise Honourable Member Smith. Honourable Member, you have the floor.
Mr. Ben SmithI would like to have congratulations sent to young Jack Berry, from Somerset Primary, and I would like to associate MP Cole Simons. He partic ipated in a story -writing competition. It is the Collins [Big Cat Writing] Competition. He won for Bermuda. He has just won for the region.
Mr. Ben SmithAnd now he is in the final eight in the world. So congratulations to him.
The SpeakerThe SpeakerYes. Thank you. Does any other Member wish to speak? No other Member. We will move on to the next order on the paper. MATTERS OF PRIVILEGE
The SpeakerThe SpeakerThere are none. PERSONAL EXPLANATIONS
The SpeakerThe SpeakerThere are none. NOTICE OF MOTIONS FOR THE ADJOURNMENT OF THE HOUSE ON MATTERS OF URGENT PUBLIC IMPORTANCE
The SpeakerThe SpeakerThere are none. INTRODUCTION OF BILLS
The SpeakerThe SpeakerThere are none. ORDERS OF THE DAY The Spe aker: Members, and mainly for our listening audience, today is the first day of the Budget Debate, where we enter into the particular ministries and heads which will be debated. And the Heads this morning which we will start off with …
There are none.
ORDERS OF THE DAY
The Spe aker: Members, and mainly for our listening audience, today is the first day of the Budget Debate, where we enter into the particular ministries and heads which will be debated. And the Heads this morning which we will start off with will be for the Ca binet Office. But for the listening public particularly, because I always get asked, the Speaker will not be in the Chamber during this period when the Budget D ebate is in Committee. And we will be in the capable hands of the Deputy Speaker and the panel of Chai rmen. So I would now like to invite the Deputy Speaker to take the proceedings of the House. And, Members, have a good debate.
[Pause and inaudible conversation ]
The SpeakerThe SpeakerMr. Premier, would you like to move us into committee? Hon. E. David Burt: Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you. Bermuda House of Assembly Hon. E. David Burt: Mr. Speaker, I move that the House do now resume in Committee of Supply to consider the Estimates of Revenue and Expenditure for 2020/21.
The SpeakerThe SpeakerThank you, Mr. Premier. And the Deputy will now take the proceedings of the House. House in Committee at 10:10 am [Hon. Derrick V. Burgess, Sr., Deputy Speaker, Chairman] COMMITTEE OF SUPPLY ESTIMATES OF REVENUE AND EXPENDITURE FOR THE YEAR 2020/21
The ChairmanChairmanGood morning, Honourable Members. We are now in Committee of Supply for further consideration on the Estimates of Revenue and Expenditure for the Year 2020/21 for Heads 09, 80 . . . there is no Head 73. It has got to be . . . [Inaudible interjection]
The ChairmanChairmanOkay. Head 43, Head 67 (is that Head 75? Would it be just information? Okay. O kay) . . . for further consideration of the Estimates of Rev enue and Expenditure for the Fiscal Year. Minister. [Inaudible conversation]
The ChairmanChairmanOkay. Continue. Hon. E. David Burt: Thank you, Mr. Chairman. Mr. Chairman, I move the following heads, Head 09, Cabinet Office; Head 43, Department of I nformation and Digital Technologies; and Head 80, the Office of Project Management and Procurement. (There is no Head 67 funded in this project, so …
Okay. Continue.
Hon. E. David Burt: Thank you, Mr. Chairman. Mr. Chairman, I move the following heads, Head 09, Cabinet Office; Head 43, Department of I nformation and Digital Technologies; and Head 80, the Office of Project Management and Procurement. (There is no Head 67 funded in this project, so there is not a brief for Head 67.)
[Inaudible interjection] Hon. E. David Burt: I am happy to do that. Head 09, Cabinet Office; Head 43, the D epartment of Information and Digital Technologies; and Head 80, the Office of Project Management and Pr ocurement. As for the instruments of appointment by the Governor, I will be doing and am responsible for Heads 09 and 43. And the Minister for the Cabinet Office, who has responsibility for the Office of Project Management and Procurement , will be doing Head 80. Are we ready to go, Mr. Chairman? The Chairman: Continue, sir.
Hon. E. David Burt: Thank you very much, Mr. Chairman. Mr. Chairman, the first head that I will do is Head 09, which is for the Cabinet Office, which is found on pages B -42 to B -47.
CABINET OFFICE
HEAD 09 —CABINET OFFICE Hon. E. David Burt: Mr. Chairman, the Cabinet O ffice’s mission is to maintain public confidence by leading the delivery of government services . It gives me great pleasure to present the budget for Head 09, the Cabinet Office, which is found on pages B-42 to B-45 of the Budget Book. Mr. Chairman, the total expenditure is est imated to be $17, 331,000 for 2020/21 and represents an increase of $1,997,000, or approximately 13 per cent, more than the current budget of 2019/20. A significant portion of th at increase, $1,501,000, is due to the once- decentrali sed government -wide permanent secretary [PS] salaries now being centrally held within the Cabinet Office budget. An additional $300,000 relates to the PIPA [Personal Information Protection Act] portion of the current ICT [Information and Communications Tec hnology] Policy and Innovation Department’s budget being transferred over to the new PATI/PIPA unit housed within the Cabinet Office. Emphasis must therefore be placed on the fact that approximately $1,800,000 is a transfer of funds and not an overall increase. The remaining amount is due to th e net effect of the transfer out of the Business Development Unit from the Cabinet Office to the newly formed Ec onomic Development Department, and the addition to Cabinet Office of funding for an implementation team to advance initiatives in support of job creation, r enewed economic activity and economic diversification partially on behalf of the recommendations from BermudaFirst. Mr. Chairman , subjective analysis for the Cabinet Office can be found on page B -44 of the estimates book. Please allow me to highlight the mater ial object code increases as well as decreases . Salaries , line item 1 , estimated at $5,319,000, represent an increase of approximately 34 per cent, or $1,339,000, compared to the current 2019/20 budget provision. This increase is due to the transfer of all PS salaries into the Cabinet Office , as previously stated. The salary addition of $1.5 million is not fully reflected, as the Business Development Unit within the Cabinet Office has now moved to the new Economic Dev elopment Department , Head 94, for 2020/21 . This will result in a net transfer -out of three posts. Travel : Mr. Chairman, while the increase of 6 per cent for T ravel is minor, please note that the entire amount of $17,000 relates to the transfer in of the 3222 2 March 2020 Official Hansard Report
Bermuda House of Assembly travel budget for the PIPA section of the current ICT Policy and Innovation Department , which, as stated, will be dissolved in the next fiscal year. Professional Services , the largest material variance, has an allocation of $2,812,000 in 2020/21, an increase of $1,607,000. Mr. Chairman, key initi atives to diversify the economy and promote economic growth in Bermuda demand the attention of specialists and leaders in their respective fields. In addition, Mr. Chairman, to advance specific government items throughout so the Government can deliver on its platform promises t here was a need found for a specific implementation team inside of the Cabinet Office to advance these particular matters. What is important is that it is necessary to note that right now, Mr. Chairman, currently, various initiative s are advanced by departments who have to deal with their regular business. And we have that this has actually slowed some of the implementation. And that is a reason for the creation of an implementation team within the Cabinet Office. Therefore, $750,000 has been provided to the Cabinet Office for the assembly of an implementation team , who will , in addition to other things, advance initiatives which have been accepted by the Government from the Berm udaFirst report, but also existing initiatives within the Government’s delivery. In addition, funding is also provided for consultancy fees related to the Commission of Inquiry into historic land losses , in the amount of $250,000. The Head of Public Service’s Health Wellness initiative for $110,000, Government Reform for $154,000 for additional work on government reform and PATI/PIPA transferred amount of $222,000 are all included in the 2020/21 Professional Services amount . It should be noted that with the transfer of the PATI/PIPA Office, of course, there is a significant consultant budget which was in the department of ICT Policy and Innovation, and that has been moved over to the Cabinet Office. Finally Mr. Chairman, Public Relations Services and Parliamentary Research Support for both London and Brussels Offices result in additional funding of $113,000 and $50,000, respectively. The Government takes a proactive approach to media engagement in the U nited Kingdom and E urope, where there are always real threats to Berm uda’s financial services industry. With the significant increase of new Members of Parliament following the UK General Election in December 2019, having the necessary access and data of the new MP ’s assists the London Office with continued effort for UK Parli amentary engagement. This also extends to the Eur opean Parliament utilised by the Brussels Office. And part of this increase, Mr. Chairman, is for as I said additional public relations services inside of the United Kingdom and Europe, which is necessary due to the threats we are facing there and also enhanced parliamentary research. We use a system that is called Dods, which gives parliamentary researchers [assi s-tance] as used by the London Office. And we are looking to expand that particular capability. Finally, Mr. Chairman the remaining material variance is seen in Grants and Contributions, the last line item , which shows an allocation of $6,839,000, a 12 per cent decrease, or $925,000 [less] due to a reduced funding grant to the Bermuda Business Development Agency grant allocation for 2020/21.
Manpower
Hon. E. David Burt: Mr. Chairman, as seen on page B-45, Employee numbers , there is a total increase of four FTE ’s [full-time equivalents] in 2020/21 compared to the 2019/ 20 original estimates. This results from the net effect of the transfer into Cabinet Office of eight Permanent Secretary posts and the creation of one intern post —a total increase of nine FTE’s —and the transfer out of three Business Development Unit posts , as well as the two unfunded Washington, DC, Office posts , a total decrease of five FTE ’s.
Capital Expenditure
Hon. E. David Burt: Mr. Chairman, it will be noted that at pages C-4 and C -9 there are funds allocated for Capital Development in the amount of $1,870,000. Of this, $370,000 is for the Shoreside facility . Mr. Chairman, as previously announced under the auspices of the Bermuda Economic Development Corporation [BEDC], we are renewing the effort to create a fishing co- operative for Bermuda. This alloc ation will compl ement the ongoing stakeholder consu ltation and work being done with local fishermen by providing the funding required to revise the existing plans for the facility, including additional site studies and other preparatory works. The aim is to improve the economic fortunes of fishermen, improve acces s to market of local fish and promote fishing as a viable career inside of Bermuda . A capital grant for the Bermuda Economic Development Corporation in the amount of $1 million to support the creation of an Uptown Development Agency . Mr. Chairman, North H amilton has been the subject of much discussion and some action over many years. The area north of Victoria Street retains unique but untapped cultural appeal. There is an opportunity to enhance North Hamilton, and through this allocation the Government is determined to support the work of those who are invested in the area and whose interests are connected to its revival. Mr. Chairman, it is important to note that we recall that in September this House passed amendments to the Bermuda Immigration and Prot ection Act to create approved residential schemes inside of our economic empowerment zones. The job of the U ptown Development Agency will be to get those partic ular aspects moving ahead, and recruitment, Mr. Chairman, is already under way from the Bermuda
Bermuda House of Assembly Economic Development Corporation to ensur e that this body can be up and running as quickly as poss ible in the next fiscal year. It is important to me personally as the Minister responsible for Economic Development that we do get construction going inside of the economic empowerment zones, specifically regarding the approved res idential schemes which were approved by this House. And this body as going to be driving that matter ahead. And that is the reason why specifically funding was assigned to that body, to make sure those things can advance. Because what oftentimes happens, Mr. Chairman, is that if you do not have funding and ded icated funding put towards tasks , sometimes those tasks do not happen. Mr. Chairman, $500,000 is provided for Grants to Community Clubs. Mr. Chairman, Berm uda’s top- flight sportsmen and women often emerged from the youth development programmes of the I sland’s community clubs. These venues have nurtured a community spirit and a friendly rivalry that adds a much -needed lift t o the mundane Monday -to-Friday many of us lead. Committed members do what they can, but more help is needed. Through these grants, the Government will provide assistance with infr astructure and security upgrades so that the buildings can mirror the immense pride that members and supporters have. Mr. Chairman, t here also exists Capital Acqu isition funding in the amount of $4,000 set aside for office furniture and equipment. Before I turn my attention to Output Measures, Mr. Chairman, I would like to recognise that $370,000 for a shoreside facility, $1 million for the creation of the Uptown Development Agency , and $500,000 for Grants to Community Clubs are the exact opposite of what I would regard as status quo budget.
OUTPUT MEASURES
Hon. E. David Burt: Moving on to Output Measures. The performance measures developed in the Cabinet Office are found on page B -46 and B -47.
[Inaudible interjection]
Hon. E. David Burt: You have to agree with me a little bit Craig.
[Laughter] Hon. E. David Burt: The majority of measures outlined in the 2019/20 [budget] have been or are antic ipated to be reali sed by March 31 st, with continuance throughout the 2019/20 period. Of note to mention, the Occupational Safety and Health Unit , 19020, has forecasted a rate of co mpliance of 85 per cent for all ministries and depar t-ments across the public service to establish and mai ntain properly constituted and functioning Workplace Safety and Health Committees. The anticipated rate of compliance firstly r eflects the actual i ntent and operational focus of the Office of the Safety and Health Coordinator for the 2019/20 period. Secondly, the compliance rate is expected to be achieved via continuous reali sed improvements in management and employee workplace safety and health educ ation. Thirdly, increased monitoring of workplace safety and health and general workplace activities across the entire public service on a sustained basis by the Office of the Safety and Health Coordinator has occurred and will continue in 2020/21 with the support of the representative bodies for public officers. Mr. Chairman, turning our attention to Bus iness Unit 19080 on page B -47, I would like to expand on the second measure, Developing a Five-Year Public Service Plan , which requires the review and justification of services provided by the government by June 2020. Phase 1 of the data- gathering process for this initiative was achieved through the budget development process. The zero-based budgeting [ ZBB] form was used to gather data to evaluate servi ces across government , along with specific weighted criteria which also looked at risks and consequences of not providing the various services , as well as the possible alternatives to directly providing the service. The data is now being analysed with a view to prioritis ing all service s and placing them into categories of perceived importance to the public. Consult ation will commence following the prioriti sation process. This is a complex multi -phased process which will u ltimately result in a roadmap for the provision of g overnment services in the future. Mr. Chairman, please also allow me to expand on the last measure, the first cohort to begin the Leadership Programme by October 1st, 2020. Currently, the public s ervice lacks an organi sed leadership programme, making it difficult to ensure a candidate pool is available for vacating senior and executive posts. A Talent Management Task Force [TMTF ] was set up to address this and other talent challenges as part of the People component of the Government R eform initiative. The goal of the pilot leadership pr ogramme is to prepare candidates for the opportunity to compete for Permanent Secretary and Head of D epartment posts once they become vacant. Candidates will be selected through manager or peer nominati on. Candidates will then qualify for participation through job requirement comparison, assessment against the Government of Bermuda lea dership competencies, performance appraisal review and, finally , an interview. Development activities will be tracked a nd customi sed development plans pr epared for each participant. Activities will include coursework, acting or reassignment opportunities , and 3224 2 March 2020 Official Hansard Report
Bermuda House of Assembly a capstone assignment involving a project and/or management issue. Mr. Chairman, you would have heard me speak about the need to develop leaders in the public service before. There is an intense amount of work that is happening inside of the public service reform, more of which I will get to in the brief. But this is something that I think is particularly important, and I am personally happy that it is going to be realise d this year.
PLANS FOR THE UPCOMING YEAR Hon. E. David Burt: Mr. Chairman, I would like to highlight a few of the plans for the 2020/21 upcoming year.
As seen on page B -43, under the General Programme, the Commission of Inquiry has been all ocated $325,000. Pursuant to the Commissions of I nquiry Act 1935, on November 1st, 2019, I announced the appointment of members of the Commission of Inquiry into historic losses in Bermuda of citizens’ property. The establishment of this Commission of I nquiry is in keeping with the mandate of the House of Assembly as expressed in its Resolution o n the 4th of July 2014. The scope of the Commission’s work is as follows: 1. inquire into histori c losses of citizens’ property in Bermuda through theft of property, dispos-session of property, adverse possession claims and/or such other unlawful or irregular means by which land was lost in Bermuda; 2. collect and collate any and all evidence and information available relating to the nature and extent of such historic losses of citizens’ property; 3. prepare a list of all land to which such historic losses relate; and 4. identify any persons, whether individuals or bodies corporate, responsible for such historic losses of citizens’ property. Mr. Chairman, the Chair of the Commission is Justice Norma Wade- Miller OBE, JP. Its members are Hon. Wayne Perinchief, a former Minister of National Security and former Assistant Commissioner of Police; Mrs. Maxine B inns, a corporate legal counsel; Mrs. Frederica Forth , a former banking executive and an experienced realtor; Mrs. Lynda Milligan- Whyte, senior counsel practicing at the Bermuda Bar; Mr. Jonathan Starling, Economic and Cooperative Development Officer with the BEDC ; and Mr. Quinton Stovell, who is a quantity surveyor. Mr. Chairman, the Commission has commenced the process to allow for members of the public to make submissions. And t he Commission is confident that it can do the required work , and given its composition, I am equally confident that it will deliver on this very important mandate. Mr. Chairman, continuing with the General Programme, the Head of the Public Service: Efforts continue to realising the vision of a future- forward Government for the people of Bermuda as expressed in our Government Reform initiative. In accordance with the strategic roadmap for government reform, more than 160 middle and senior technical officers completed a series of strategic alignment and performance measurement wor kshops. Output from these workshops is evidenced in the Estimates of Revenue and Expenditure Blue Book for the fiscal year 2020/21 that is now before this Honourable Chamber. The workshops were key in assisting business unit managers with aligning their r espective depar tment’s mission with the Government’s vision and to develop performance measures which are aligned with their governance priority for the 2020/21 fiscal year. So the Honourable Member for constituency number 23, who has an intense focus on p erformance measures, this year would have seen a change in some of them. Mr. Chairman, to help determine the future of government’s service delivery, an in- depth asses sment of government services is required. The datagathering phase was completed as part of the budgeting process and the output will form a five- year public services plan. Simultaneously, programme management for the government reform initiative is laser - focused on two priority areas —our people and our technology. It is expected that techno logy will drive change in the public service. One of our goals is to achieve 100 per cent paperless processing by 2023. A paperless task force comprising a number of technical officers with expertise in various disciplines from across government is activel y engaging in delivering solutions. The task force has implemented a web content management system and web application fram ework to spearhead Phase 1, which is the digitalisation of government forms. The first forms will be rolled out this month in the Department of Health and the Regi stry General. Following successful completion of this pilot and demo phase, it is expected that officers in de-partments with customer forms will be identified and trained to use the software, which will enable individ ual departments to build digital forms themselves wit hout the need for external consulting resources. All digital forms will be made available through the go vernment portal. Mr. Chairman, achieving paperless processes is a multi- phased initiative. Phase 2 is the digitalis ation of files to transform paper records in various formats into standardised digital format, seamlessly sy nchronising content and processes between premise, mobile and the cloud. I will say that one more time because it is a mouthful. Phase 2 i s the digitalisation
Bermuda House of Assembly of files to transform paper records in various formats into a standardised digital format which will seamles sly synchronise content and processes between onpremise, mobile and in the cloud, which means that they could be accessed in t he office, on mobile phones or from any location as long as persons have the security access to get access to the various documents. Phases 1 and 2 will be underpinned by the roll-out of paperless principles to ensure the alignment of institutional and st aff capabilities across gover nment. With regard to the people component of the reform initiative, the Government is actively engaged in transforming the way that we deliver human r esource services. The amalgamation of the 12 service units and departments commenced in the current fi scal year will continue. A chief employee and organis ational development officer has now been appointed. Meanwhile, the talent management task force is in the process of reviewing learning- anddevelopment programmes across all m inistries and departments and will implement a centralised training platform which will be accessible to all public officers. Mr. Chairman, further to a review and recommendations of the Management Consulting Section, there is now a new PATI/PIPA Unit wi thin the Cabinet Office. The Government of Bermuda is committed to safeguarding and facilitating the right to privacy. The mission of the Government’s Privacy Programme is to enable and support the appropriate use and admi nistration of personal information [PI] without risking the privacy of individuals, while fostering a privacy -aware culture. The Government of Bermuda interacts with the public by collecting and exchanging data, using physical and electronic methods, in the course of conducting everyday business processes. The PATI/PIPA Unit, which has been allocated $689,000, will provide the framework for policy, implementation support, i nternal guidance and training associated with collection, use, disclosure, access, correction, retention, disposal and responsible use of personal information in the course of government processes and services. The unit will also work with the Office of the Privacy Commissioner to support the jurisdiction’s application for adequacy with the European Union [EU] and to prom ote and build awareness of privacy in the community. As briefly mentioned, there has been a separation of the Personal Information Protection Act 2016 (PIPA) from the former ICT Policy and Innovation D epartment, as well as the Public Access to Information Act from the Policy and Strategy Section already wit hin Cabinet Office. The PATI/PIPA Unit takes on a mandate of PATI and PIPA implementation within the Government and coordination of the respective pieces of legislation. This unit will also work in coll aboration with the Offices of the Information Commissioner and the Privacy Commissioner. Mr. Chairman , the PIPA harmoni sation exercise requires the review of the existing legislation as individual laws may contain aspects related to personal information a nd/or data privacy which is now superseded by PIPA. In line with this need, a signif icant harmonisation exercise has taken place with the PATI legislation. Amendments will be brought forward during this legislative session. Privacy is a rapidly developing area globally, and the introduction of the General Data Protection Regulation (GDPR) in Europe has resulted in some suggested amendments to our PIPA Act. Further, the European Data Protection Board has issued updated instructions on the conduct of EU data protection adequacy reviews. As Bermuda wishes to pursue an adequacy ruling from that board, additional changes to PIPA have been identified and will shortly be brought forward for the consideration of Honourable Members. Mr. Chairman, privacy is affected by information technology security, or cybersecurity, which is the protection of electronic data from criminal or unau-thorised access and use. As privacy intersects with cybersecurity, the PATI/PIPA Unit will work in collaboration with the Ministry of National Security to support the implementation of the Bermuda Cybersecurity Strategy. The unit will support the strategy by helping to introduce a bespoke cybersecurity certification scheme for Bermuda. This scheme will be based on Cyber Essentials, a world -leading, cost -effective assurance certification for organisations of all sizes. Cyber Essentials, which is supported by the UK’s N ational Cyber Security Centre, helps to demonstrate to consumers and other stakeholders that the most i mportant basic technic al cybersecurity controls have been implemented. The PATI/PIPA Unit also intends to include an assessment against PIPA as an option for users. This is important. Local organisations will be able to pursue a path to become a certification body, allowing t hem to offer services as local assessors and ensuring that Bermuda develops and retains the skills within the jurisdiction. This programme will aid in both cybers ecurity and privacy education awareness, and will help organisations, particularly small, medi um-sized and charitable entities, to develop safeguards for the most common cyber -threats. Mr. Chairman, as we move down to the Ec onomic Policy and Foreign Affairs Programme on page B-43 we see that it has been allocated a total of $1,573,000. The London Office has a budget allocation of $1,120,000 for the 2020/21 fiscal year. This office continues to provide valuable service to the Gover nment by maintaining our relationship and a high level of dialogue with the UK Government, particularly through increased engagement with government departments across Whitehall. While doing so, this office 3226 2 March 2020 Official Hansard Report
Bermuda House of Assembly works in cohesion with departments of the Overseas Territories on shared policy areas across territories. The London Office is responsible for engaging with both Hous es of Parliament; the UK diplomatic corps, such as embassies and high commissions; the United Kingdom Overseas Territories Association; the Commonwealth Secretariat, along with all UK -based Commonwealth Associations; Bermudians living in the UK including s tudents; the general UK public to i nclude private companies, civil societies and those who have a general or vested interest in Bermuda. The primary function of the London Office for the fiscal term 2019/20 was to continue to monitor the reput ational risk to Bermuda and defend Bermuda’s regul atory regimes to the UK and Europe, ensuring Berm uda upholds our global competitive standard while monitoring the progress of the United Kingdom’s exit from the European Union. Mr. Chairman, the functions of the London Office for the fiscal term 2020/21 are as follows: • to enhance Bermuda’s presence across the UK Parliament by proactively engaging with new and returning MP ’s from the December 2019 General Election; • to manage Bermuda’s policy engagement with UK civil servants relating to all matters as a result of Brexit during the transitional period; • to support Bermuda’s financial services r egime, particularly on beneficial ownership; • to participate at the COP26 S ummit in Gla sgow to showcase efforts from Bermuda and the U nited Kingdom Overseas Territories in tackling climate change and; • to implement political commitments made through the Joint Ministerial Council in March 2019. Mr. Chairman, it should be noted that the London Office team continues to lead the Gover nment’s effort to return the BMU code to Bermuda passports. It will be recalled that in October of last year, the Minister [of National Security] met with the then- Home Office Minister responsible for this area. Since that time, both the Minister for the Home Office and the Minister for the Overseas Territories have changed, but we continue to press the issue with some urgency. It will be front and centre as part of the agenda of the Joint Ministerial C ouncil to be held in London later this month. I will also state, Mr. Chairman, that there was a delegation from the Foreign and Commonwealth Office who was on- Island last week, and that matter was raised again with those particular persons, as well as His Excellency the Governor asking for an update, given that the time for the new Ministers to consider these matters has now come. The London Office is the Government’s official consular service to Bermudians living and studying in the United Kingdom and Europe. The range of imm ediate, and on occasion urgent, assistance required from the office is diverse. Throughout the years the London Office has identified key contacts amongst officials in the United Kingdom and therefore is able to deal with urgent situations effectively, either in the UK or through British embassies across Europe. The London Office budget has allocation for three postings: the Director and UK Representative, and two administrative staff. There is no intention to increase the number of positions in the London Office (as it relates to the Cabinet Office) for this fiscal year. The London Office also provides experience to st udents and graduates through the Cabinet Office i nternship programme. Mr. Chairman, the DC Office shows an alloc ation in the amount of $61,000, and this is for rent expense only. While consideration was given to term inating the lease, doing so before term would have been cost prohibitive. To mitigate the costs pending the revamping of the office it has been deemed to sublet it in accordance with the existing lease. It is important to note, Mr. Chairman, that the $61,000 rep-resents rent expense only. The items for the upkeep of the office are then moved to the Professional Services budget, which is outlined in the Profes sional Services budget. And the $61,000 does not reflect the net amount of money which will come due to the subleasing, as the sublease is in progress. So there will be a revised figure to represent what the actual net outlay is that the Government is payi ng due to the sublease.
Mr. Chairman, on the direction of the Go vernment’s priorities, the fiscal term 2019/20 saw the opening of the Brussels Office in January 2019 to complement the London Office in ensuring greater outreach in Europe. The objective of the Brussels O ffice is to maintain relationships with key stakeholders and decisionmakers on the ground in Brussels while establishing new connections in complementing the work which has been done in the past. With the United Kingdom’s exit from the Eur opean Union, the objectives of the Brussels Office for fiscal term 2020/21 will be as follows: • to maintain close dialogue with the European Commission [, Council] and European Parli ament; • to facilitate access of the Premier and Mini sters to key persons in upholding the Gover nment’s presence in Europe; and • to work under the direction of the Ministry of Finance in working with the European Com-mission and Council for the Government’s pr iority in Europe being compliant with the EU economic substance regime. The Brussels Office is managed by the UK representative through the London Office. The work on the ground is overseen by the EU representative with assistance from graduates and students who have gained experience through the Cabinet Office internship progr amme. The Office has been allocated
Bermuda House of Assembly a total of $392,000 in this upcoming fiscal year. And, Mr. Chairman, as I noted, the existing representative for the Brussels Office will be transitioning out of her role at the end of September, and we will be looking t o fill that role with someone new. And it will most likely be one of the Bermudians who has been working in Brussels and in that office and is likely to able to transition into that role effectively. Mr. Chairman, at this time I would like to take my opportunity to extend my thanks to all of the staff at the Cabinet Office for their ongoing contributions and dedication to servicing the people of Bermuda. That, Mr. Chairman, concludes my present ation on Head 09. I would like to move with your permission now to Head 43, the Office of Information and Digital Technologies.
The ChairmanChairmanContinue. HEAD 43 —OFFICE OF INFORMATION AND DIGITAL TECHNOLOGIES Hon. E. David Burt: Thank you very much, Mr. Chairman. It gives me pleasure to present the budget for Head 43, the Department of Information and Digital Technologies, found on pages B -62 to B -65 of the Budget Book. Mission …
Continue.
HEAD 43 —OFFICE OF INFORMATION AND DIGITAL TECHNOLOGIES Hon. E. David Burt: Thank you very much, Mr. Chairman. It gives me pleasure to present the budget for Head 43, the Department of Information and Digital Technologies, found on pages B -62 to B -65 of the Budget Book.
Mission
Hon. E. David Burt: The department’s mission is to provide secure information and digital services that streamlines processes to facilitate the Government’s strategic business objectives. The department seeks to fulfil its mandate by empowering ministries, departments and civil servants to improve productivity and services by providing I T consulting services and core IT infrastructure at a rea-sonable cost. Furthermore, we work with departments and ministries to identify and progress opportunities for the creation and deployment of online content, transactions, systems and services that meet the needs of government, citizens, businesses and the volunteer sector.
Expenditure Overview
Hon. E. David Burt: Mr. Chairman, the total current expenditure of the Department of Information and Di gital Technologies [IDT] found on page B -62 is estima ted to be $7,013,000 for fiscal year 2020/21, which is an increase of $386,000 more than 2019/20 fiscal year. Mr. Chairman, the subjective analysis of current account estimates of the Department of Infor-mation and Digital Technologies is found on page B - 63. The focus will be on the three line items with the greatest absolute change. Salaries, line item one, i ncreased by $430,000, or 11 per cent, due primarily to four posts being transferred from Communications and Information to IDT. Mr. Chairman, the budget for Other Personnel Costs, line item three, increased by $8,000, or 13 per cent, and this is mainly attributed to growing demand and need for on- call and overtime supporting IT i mprovements, project work and break –fix incidents. Mr. Chairman, the budge t for Communic ations, line item six, decreased by $48,000, or 3 per cent. This is due in part to ongoing data cost reductions that accommodate increased IDT spend in other areas.
Capital Expenditure Hon. E. David Burt: Mr. Chairman, the capital alloc ation for the Department of Information and Digital Technologies can be found on page C -10 and makes provision for new capital expenditure in the amount of $3,575,000, an increase of $1,635,000. This funding will be used for upgrading to newer software licences, enhanced IT security systems, digitisation projects (which we had mentioned previously as part of go vernment reform) and implementing a new telephone system, and the development of new digitised bus iness systems to enhance our server capacity and to accommodate growth.
Manpower
Hon. E. David Burt: Mr. Chairman, the Manpower for the Department of Digital and Information Technol ogies on page B -63 increased from 39 fulltime equiv alents to 43 in 2020/21. Presently, there are four funded vacant positions, and recruitment is currently u nderway. The department aims to fill these positions within the budget year. It should be noted that the manpower change, Mr. Chairman, is a result of transfer of portal posts from Communications over to IDT.
Output Measures
Hon. E. David Burt: The Department of Information and Digital Technologies Output Measures are found on page B -64 and B -65 of the Budget Book. Selected indicators under each Business Unit are outlined as follows:
Business Unit 53030: Device Support Hon. E. David Burt: Indicator: Resolve and repair service tickets within service level targets. Target for 2019/20 —85 per cent were forecasted to be completed within service level target. Actual outcome was achieved within the service level target due primarily to recruitment in this section, which is now fully staffed. The target for 2020/21 is 85 per cent due in 3228 2 March 2020 Official Hansard Report
Bermuda House of Assembly part to the implementation of modernised device management systems and desktop upgrades.
Business Unit 53035: Network Support Hon. E. David Burt: Indicator: Network monitoring, resolve, repair and service tickets within service level targets. Target of 85 per cent was forecasted, and the actual outcome of 85 per cent was achieved due to telephone system stabilisation initiative related to telephone incidents. The target going forward is the same, 85 per cent.
Business Unit 53040: Service Support
Hon. E. David Burt: Indicator: Manage tickets and resolve account administration within service level targets. Target for 2019/20—95 per cent was for ecasted, and the actual outcome was achieved, due in part to a fully manned service desk. The target for 2020/21 is 95 per cent completion within service level target due to continued rollout of self -service online tools.
Business Unit 53060: Business Systems Sup port
Hon. E. David Burt: Indicator: Conduct routine mont hly service level review meetings with key departments, annual review of service level targets with departments and managing of application support tickets. The target was 85 per cent forecasted. The target which was actually achieved was 80 per, cent due in part to reduction in fulltime equivalents and f ocus on recruitment in this unit.
The ChairmanChairmanOne second. I am trying to hear the Premier. Continue. Hon. E. David Burt: The target for 2020/21 is 85 per cent due in part to the introduction of a new IT gov-ernance model and recruitment of vacant posts. Business Unit 53050: Digital Services Hon. E. David Burt: Indicator: Consulting …
One second. I am trying to hear the Premier. Continue.
Hon. E. David Burt: The target for 2020/21 is 85 per cent due in part to the introduction of a new IT gov-ernance model and recruitment of vacant posts.
Business Unit 53050: Digital Services Hon. E. David Burt: Indicator: Consulting and advi sing, and public satisfaction with availability of use and selection of online government services. Target for 2019/20 —70 per cent was forecasted. Actual outcome in 2018/19 of 70 per cent was achieved due in part to additional fulltime equivalents working in this unit, which is now fully staffed. The target for 2020/21 is 80 per cent due in part to the addition of two new bus iness process analysts and progress on paperless, eID and ePayment initiatives.
Business Unit 53090: Security
Hon. E. David Burt: Indicator: Disaster recovery exercises planned and execut ed, servers checked on a monthly basis. Target for 2019/20 —50 per cent was forecasted, and the actual outcome did match.
[Gavel]
The ChairmanChairmanYou are very close to us, right? And I would like to hear the Premier. I do not sit here not to hear.
An Hon. Member An Hon. MemberI will just go outside.
The ChairmanChairmanContinue, Premier. Hon. E. David Burt: Actual outcome in 2019/20 was 50 per cent due in part to the Accountant General’s focus on developin g and implementing the new E1 system. The target for 2020/21 is 50 per cent, as all of E1 upgrades have completed the IDT and, working …
Continue, Premier.
Hon. E. David Burt: Actual outcome in 2019/20 was 50 per cent due in part to the Accountant General’s focus on developin g and implementing the new E1 system. The target for 2020/21 is 50 per cent, as all of E1 upgrades have completed the IDT and, working along with the Accountant General, will focus on coordinating and executing a full disaster recovery exer-cise.
Plans for the Upcoming Year
Hon. E. David Burt: The Department of Information and Digital Technologies will continue with the deve lopment of its core services in the upcoming year by focusing on eight key strategic areas: 1. Infrastructure stability and secure network. Work in this area will progress by enhancing the go vernment departments’ network inter -building comm unications performance by doubling bandwidth r equirements and is anticipated to continue over the next two years. This will impact more than 140 loc ations across the Island. Further, IDT will continue to roll out self -service systems such as account pas sword management and improve the overall network security with state- of-the art artificial intelligence [AI] security monitoring and management systems . The department will introduce a new phone system to replace the current aged and now unstable phone system and to reduce the need for traditional phone sets, with the introduction of a voice app, which will be accessible on any device from anywhere that has access to the Internet. This work will continue over a two- year period. IDT will focus on leveraging the use of cloud services to facilitate the delivery of specific applic ations with far less technical complexity and reduce the need to rely upon str ained IDT engineering resources,
Bermuda House of Assembly thereby allowing IDT to focus more on business value and less on complex IT engineering builds. 2. Budget Efficiency Initiative. Work has commenced on streamlining specific core IT services to achieve greater economies of scale through ongo-ing renegotiation of vendor service agreements or leveraging existing service/product agreements across Government. This process will ultimately serve to reduce IT cost of operations for the government when compared to disparate or silo s ervice agreements. In addition, IDT has investigated inexpensive personal computing devices (PC’s) which will perform the same task as more expensive name brand models. 3. IT Governance. The implementation of the new IT Governance Policy will result in ID T overseeing all IT projects and acquisitions. This will ensure that IT purchases and the business needs are properly aligned, thereby creating greater efficiencies within government and strengthening government's return on investment and the fit between t echnology and bus iness operations. This new policy is in line with the Bermuda First recommendations to streamline IT government processes. Additionally, there will be further IT restructuring within the government, transferring federated IT posts that exi st in various gover nment departments to IDT. Mr. Chairman, those items have not been r eflected in this Budget Book because they have not yet been done and passed through Cabinet. But this is the plan for this upcoming year. Many of these posts do not require fulltime r esources, as system upgrades and newer software offerings have reduced the need for dedicated IT staff in departments. The transferring of these posts will allow for departmental applications to continue to be supported while additional effort can be lent to gover nmentwide IT priorities. 4. ePayment. This year IDT will roll out online payment capabilities for a variety of government services. IDT will continue working in conjunction with Education, Youth and Sport and the Accountant Ge neral cash desk on a standardised ePayment toolbox so that online payments can be easily integrated into existing applications and reconciled directly with the Accountant General’s Enterprise One system. The auto reconciliation will make the process of receiving online payments more efficient, as it will eliminate the need for re- entering online transactions into the accounting system. 5. Electronic Identification (eID). IDT, in conjunction with the FintTech team, has been advancing the eID project. An eID is essentially a single- user identification to be used by the citizens of Bermuda which is linked to various government business sy stems across numerous databases. A partner was s elected for an electronic ID (eID) service proof of con-cept for digitising the p aper-intensive and timeconsuming KYC [know your customer] process. The development phase will culminate at the end of April 2020 with a live demonstration of the technology i nvolving Government, local utilities, a local bank and law firms, and will be coordinated with the Bermuda Monetary Authority to ensure that the approach sati sfies regulatory requirements. Following the demonstration of the proof of concept, phase 2 of the eID project will commence. 6. Training. IDT has committed to enhancing staff skillset to better serve the government IT user base, and a specific focus has been placed on project management professional [PMP] training and certific ation. The PMP certification will ensure IDT staff are adept at managing IT governance and will lead IT project implementation by reducing the need for external IT and project management consultants and directly assist departments with key IT project management initiatives. 7. Enhanced Collaboration. IDT has identified, and now is in the process of field testing, a unified communications system which will, amongst other things, allow government departments to interact and collaborate on one document and share ideas with a team in real time. 8. Telecom cost savings. IT Governance will allow IDT to have ov ersight of current disparate tel ephone systems and determine which of these systems qualify for migration and consolidation onto the IDT - managed centralised phone service. As IDT moves forward with plans to introduce a new phone service, it is anticipated that some of the identified fragmented budget will be used to fund this project and in doing so will reduce the government’s overall telecom oper ational budget requirements. Mr. Chairman, information technology drives innovation, and innovation is the path to business success. In 2019/20, IDT underwent a comprehensive review by Management and Consulting Services to ensure proper alignment of resources and structure that would meet the government’s ever -growing IT demands to deliver, as we seek to maximise efficiency with the use of technology, staffing and service deli very. The IDT has developed a phase 1 right -sizing plan to hire new recruits within the department to faci litate current IT workload which is placed on strained IDT resources. Mr. Chairman, this year will be an important year for the Information and Digital Technologies D epartment. With a significantly enhanced capital bud get, the department will be expected to deliver on IT improvements which will make the government more efficient. To ensure that the department can deliver on its revised mandate that emerged from the aforementioned Management Services review, recruitment is currently underway for a substantive Chief Information Officer [CIO], who will sit on the Public Service Exec utive to ensure the delivery of the government’s IT strategy throughout the entire organisation. 3230 2 March 2020 Official Hansard Report
Bermuda House of Assembly Mr. Chairman, I would like to take this opportunity to thank the acting CIO, Mr. Shawn Lightbourne, and the entire Information and Digital Technologies staff for thei r excellent service that they continue to provide to the Government during a period of constrained IT spending. It is my expectation that with the changes to the department as a result of the MCS review, the new IT governance processes, better alignment of IT resources throughout government and increased investment IT systems, the department will be successful in better delivering IT services to the Government. Thank you, Mr. Chairman. This concludes my budget presentation for Head 43. And I will ask, wit h your permission, to hand it over to the Minister for the Cabinet Office, who will present on Head 80.
The ChairmanChairmanYes. [Pause] Hon. Wayne L. Furbert: Mr. Chairman, if I could start?
The ChairmanChairmanContinue. HEAD 80 —OFFICE OF PROJECT MANAGEMENT AND PROCUREMENT Hon. Wayne L. Furbert: Good morning, Mr. Chai rman. Mr. Chairman, it gives me great pleasure to present the budget for Head 80, the Office of Project Management and Procurement [OPMP], found on pages B -75 through B -77 of the …
Continue.
HEAD 80 —OFFICE OF PROJECT MANAGEMENT AND PROCUREMENT
Hon. Wayne L. Furbert: Good morning, Mr. Chai rman. Mr. Chairman, it gives me great pleasure to present the budget for Head 80, the Office of Project Management and Procurement [OPMP], found on pages B -75 through B -77 of the blue Budget Book. Mission
Hon. Wayne L. Furbert: Mr. Chairman, the mission of the Office of Project Management and Procurement [OPMP] is to provide oversight and guidance in public management and procurement and to ensure transparency and value for money.
Expenditure Overview Hon. Wayne L. Furbert: Mr. Chairman, when we look at expenditure, the total current expenditure is est imated to be $930,000 for 2020/21. There is no i ncrease in the budget from the previous year, [no] i ncreas e or decrease from the previous year.
Capital Expenditure
Hon. Wayne L. Furbert: The total of $1,000 is all ocated for capital expenditure for 2020/21 as found on page C -10 of the Budget Book. As indicated in the Budget Book, these funds are for the purchase of much -needed desktop PC's. Manpower
Hon. Wayne L. Furbert: Mr. Chairman, there are no additional funds budgeted for Manpower for 2020/21. Mr. Chairman, there are two vacancies within the established posts. The office comprises eight pr ofessio nals, including director, procurement manager, senior project manager, two project managers, quant ity surveyor, contracts and compliance manager, and administrative assistant. These professionals have experience in procurement, project management, quantity surveying, contracts, compliance and admi nistration.
Output Measures
Hon. Wayne L. Furbert: When we look at the output, Mr. Chairman, the office’s performance measures for 2019/20 are set out on page B -78 of the Budget Book and are as follows: 1. Assist public authorities to save, reduce or avoid 5 per cent of costs in managing capital projects. The office has implemented the Code of Practice for Project Management and Procurement and is in the process of implementing guidelines for managing capital pro jects. It is anticipated that over time cost savings will be realised by the introduction of a con-sistent, standardised approach to project delivery. There is a significant opportunity to increase the use of effective practices in planning and managing the expenditure of public funds to complete capital pr ojects to ensure that value for money is achieved. And it is up to the public authorities to ensure that it is done. 2. Deliver a report on the operation of the office during the preceding year within thr ee months after the calendar year [ends], which was done. 3. Provide training to at least five public authorities on project management and procurement best practices. The office delivered training to nine technical officers who procure goods and services on behalf of the government on the current rules and best practices the government has implemented to saf eguard the public purse, the Code of Practice for Pr oject Management and Procurement. The office provides training to 34 public offi cers and has 168 r egistered members within the code being discussed during these sessions. Officers are being introduced to project management best practi ces including guidelines for project management, through 21 dedicated training sessions, [with] roughly 79 candidates in volved. 4. Perform five project management, pr ocurement and contract compliance audits on capital projects. No audits were performed during the course of the year. 5. Assist public authorities to achieve 5 per cent cost savings by implementing procurement stra tegies which leverage the government’s purchasing
Bermuda House of Assembly power. In support of the government’s efforts to pr ovide for and promote the efficient delivery of public services, the office is assisting public authorities as part of the reform committee with the mobile phone, fuel and uniform contracts, which are ongoing.
Current Year Achievements
Hon. Wayne L. Furbert: Some current year achiev ements, Mr. Chairman—the office with foresight Planning and Cooperation initiated and collaborated with the Department of Workforce Development, CedarBridge, the Ministry of Public Works and the Depar tment of Planning to execute the Professional Student Relationship Programme. Over 25 technical officers and various private contractors participated in the nine-month programme, delivering workshops, pr oducing experiential learning activities and hosting construction and facility site visits. In total, 56 students were in attendance from 2017 to 2019. Sessions covered quantity surveying, project management, engineering, plum bing, craft smanship and many more. Twenty -two students from CedarBridge Academy and Impact Academy are currently registered. Through the help of professionals, our young people are better placed in the world of work for further edu-cation with additional r esources, more private and public skilled benefits. I just want to touch a little bit more on that. As I said, the actual budget for the department is $930,000. This is on page B -75. And B -76 gives a breakdown of it. So you see that the actual amount for last year was $877,000 for salaries. The revised amount is $877,000. And again, $877,000 is the budget for this year. Personnel costs, no change, $3,000. Training, no change, $8,000. Travel, no change, $7,000. Com-munications, no change, $8,000. Rentals, $1,000, no change from last year and even the previous year. Repairs and maintenance, $4,000. That has come down significantly from 2018/19 when the repairs and maintenance was $58,000. It is down to $4,000 right now. And materials and supplies, $22,000, ma king $930,000 in total expenditure, which is no change at all from last year. Staffing, that is the full -time equivalent, is eight staff. Last year revised, eight, and eight the estimate from 2020/21.
Plans for the Upcoming Year
Hon. Wayne L. Furbert: Mr. Chairman, we are looking to make some changes in OPMP to make it more effective and more efficient. You may recall, and I mentioned before that in the Code of Practice, it states that “ A government’s aim is to use its purchase power to promote equalit y of opportunity with regard to disability, gender and race; facilitate the establishment of a more level pla ying field and diverse contractor base by ensuring to specify businesses ” (and I will define what that is in a few minutes) “ have access to an opportunity to win government contracts; and to work with local contracts to support the local economy .” I would like to touch first on specified bus iness . This comes out of the procurement. The whole part about specified business, Mr. Chairman, has been defi ned as the Bermudian- owned and owner - operated business enterprise with gross annual sales of less than $1 million, or an annual payroll of less than $500,000. And the whole premise of that, as we said in the Code of Practice, is to ensure that spec ified businesses have access to opportunity. There has been no way at all to measure how much small businesses have been able . . . what the government has been given. We have now put in place a code, so every small business has a code, and I will use Code 1 as an example, which identifies small businesses. This has never been done before. So now the go vernment can actually print out how many small bus inesses on dollar value actually get the contracts. But we must go a little further than that, Mr. Chairman. Because what we said at the very begi nning, that a government’s aim is to use its purchasing power to promote equality of opportunity with regard to disability, gender and race. And unless you have a method of measuring that, you cannot know whether you fulfilled your objective and what your goal is. So very soon, we are working also on the idea of how to put those businesses in those categories —disability, gender and race. We already have, under the thres hold of the matrix of allowing . . . by measuring the . . . On the matrix there are five codes. So let us give an example, Mr. Chairman. If myself and the Honourable Member Patricia Gordon- Pamplin were to go for a contract, she would end up probably with a 5 because of her gender and because she has been more disadvantaged in the past. She may get a 5 and I may end up with a 1. But, Mr. Chairman, if, based on the race part, I am up against, and I will use my good friend Michael Dunkley as an example . . . now, r emember there are 100 points in the whole aspect of it. So we may end up if I am going up as a small bus iness, because I fit under [the threshold of] $500,000 and fit there, I will end up as a 5 based on race, and Michael Dunkley may end up with a zero. But he may beat me on other aspects from above or the other part, as far as being . . . that fit the matrix. So these are things that the Government is working on to improve and to ensure that the pr ocurement and the whole idea of giving opportunity to small businesses and those who have been disadvantaged in the past will be accounted for. Mr. Chairman, we are also looking to raise the threshold. The threshold that Government has been using in the past has been very, very low. When we compare ourselves with where everybody, you know, 3232 2 March 2020 Official Hansard Report
Bermuda House of Assembly speaks so highly of, t he Cayman Islands, our thres hold has been much lower than the Cayman Islands. And so what we are doing is looking to raise the thresholds and give more flexibility within ministries themselves, but still being checked by the procur ement, obviously. At the end of the day, I view procurement as, like myself as a former auditor, I come in, I check to see whether the company or the Ministry has complied with the instructions that have been given. So not everything will be actually authorised by the Office of Project Management. The whole idea is to give advice and go from there, and to make sure that things are being followed. Mr. Chairman, the office will increase its efforts to provide oversight of capital projects. Also, Mr. Chairman, you will be aware of c hange orders. Som etimes, government has to move much more quickly when it comes to a change order. I use the example that was up in Dockyard. If we had not moved quickly, that would have cost the government much more money. So working with the Accountant G eneral and the Office of Project Management, we will be raising the threshold on change orders to ensure that we move much more quickly than we have in the past. I still have those checks and balances in place. The office will increase its efforts to prov ide oversight of capital projects. This will be accomplished by ensuring that policies and procedures for tendering are followed. To do this, Code of Practice training sessions, training sessions will be held during the next fiscal year. The office will continue to advise and guide public officers on procurement and project management best practices so as to raise the level of expertise in these areas across the government. The office has diligently worked to provide oversight of all go vernment procurement. Let me take this opportunity, Mr. Chairman, to acknowledge (of course, she is not here today) Acting Director, Elaine Blair -Christopher, but the Acti ngActing , Mr. Fox, is here in the Chambers. And the hardworking and dedicated staff of the Office of P roject Management and Procurement. Thank you, Mr. Chairman. This concludes my budget presentation for Head 80.
The ChairmanChairmanThank you, Honourable Minister. Are there any further speakers? You have 55 minutes. Hon. L. Craig Cannonier: Yes. Thank you, thank you, Mr. Speaker. Let me first start off by saying I did quite e njoy, as the Premier presented some of the information throughout the heads in Cabinet Office, …
Thank you, Honourable Minister. Are there any further speakers? You have 55 minutes.
Hon. L. Craig Cannonier: Yes. Thank you, thank you, Mr. Speaker. Let me first start off by saying I did quite e njoy, as the Premier presented some of the information throughout the heads in Cabinet Office, some of the details which were given. I much appreciated it, and I am sure the public tryi ng to understand exactly what it is sometimes that we do, some of the terms like iSeries , they do not understand this stuff. To listen a little more about that from the Premier is very, very helpful. Understanding also he is a bit of a techie. Sometimes he might forget that he wants to break it down. And he did.
[Laughter]
Hon. L. Craig Cannonier: So we are grateful for that. So, starting off with Cabinet Office, and of course Head 09, it became evident to me . . . on page B-42 I noticed that some of the department objectives had changed. And as you take a look at some of those changes, for instance, the second heading says, “Delivery, efficiency and effective services, the Premier, Ministers and Cabinet,” it has been shor tened as to what it was before. And then if you go to the next one, it says, “Enhance the performance of public value,” there is a significant difference in what was there before. And then of course the next heading is shortened. And we go right thr ough there. It will be good to hear from the Premier exac tly what was the thinking behind last year and then this year in changing those department objectives, some slightly changed, some significantly changed, and then a new one, the last one, “Enhanced government safety management systems.” And as he read through his brief, it was clear the sum of why he was saying that, with cybersecurity, PIPA [Personal Information Protection Act] and the likes. So it will be nice to hear a little more of the overall goal in changing the department objectives, why that was, and give an overview to Bermuda of where he plans on taking Cabinet with some of these objectives which have been changed. And, in partic ular, the ones that mention . . . now, I am not sure if he mentioned them all. The second to the last bullet point talks about government reform priorities , and I am not sure if . . . in his briefing I know he gave some reform. I am not sure whether or not the Premier did give all of the reforms that he actually is looking at, that the team is looking at. It would be nice to hear a list of some of those reforms in and of themselves, or a list just by [itself], of these reforms that we are looking to see. As we know, as we look over on page B -43 under the General Summary, it is very evident. We can see the differences in the amounts there. And of course, the Premier did mention the first line, General Administration, as to why it is $1.6 million over . . . not over, but increased from the r evised and the original amount from 2019/20. And I am going to basically just go through the numbers first and then ask some questions as we go through. And then you can see quite clearly that . . . I will skip down to the Business Development Unit, how it has been removed and taken out, so we understand that. The Commission of Inquiry, of course there is a $325,000 increase from the revised amount of the
Bermuda House of Assembly $9,000. I am not sure what that $9,000 represents at all. But I am sure that he can help us out there. [Inaudible interjection] Hon. L. Craig Cannonier: From the revised amount in 2019/20 the revised amount, there is a $9,000. I am not sure what that was for. And it is a revised amount. It is a bit odd, but I am not sure. Yes, I am not sure exactly what that is for.
[Inaudible interjection]
Hon. L. Craig Cannonier: Yes. Okay. So they are starting now. All right. Good. Thank you very much. So I think I am going to skip on down now to . . . I did not hear under the London Office, I was cur ious there, I did not hear an explanation as to, and for the $162,000 increase. We know that it is an i mportant office. We know that the employee staffing basically has not changed. So the $162,000, there was no explanation, unless I missed it, as to exactly what that is going towards. And maybe some other programmes that they are putting on [to consider] Brexit. I do not know exactly what that constitutes or how many other different things it may have to do with. But it would be interesting to hear from the Premier exactly what that has to do with. Now, what I did find interesting is the next line, the Washington, DC, Office, 19045. So it is ev ident that we are not looking to keep the office. It is interesting. I know when we [the OBA] cut back on the office, we were k ind of beat up over it. But I also n otice now that this Government has decided to do wit hout the office. Concerned in one aspect as to, I was always for the Washington Office. We know that there are issues in London so we need to beef up things there. But with the way that things are going around the world, I am curious as to how we are supplementing that relationship, what we established as a Was hington Office and what it was doing. What have we now done to replace that? Knowing that our relationship with the United States is a very close one, what exactly are we doing now that replaces that? Do we have someone locally here who flies back and forth, you know, conference calls and the likes? What exactly are we now doing to replace that relationship? And I guess as far as details are concerned, the $61,000, he did explain exactly what that was. We are looking to sublet that. So I am curious as to whether or not we have actually been able to sublet it as of yet. Do we already have a tenant or someone who is taking over the empty space? And with the equipment and the like that was within the office itself that we actually purchased to help in running it, what are we doing with those? Whether it was photocop iers, I do not know, Internet, that kind of thing. Wha t are we doing with the equipment that was there, furni-ture and the like? Does that stay there with the new tenant potentially? So it would be interesting to hear about that. And when did we make that decision? When did we make the decision that we were not going to have the Washington Office? And in making that dec ision, was it a recent decision? Was it a decision made in the last year and you were just moving to this? When did we actually make that decision? I think I had another question. But I will move forward with some of my questions. Under the Brus-sels office, obviously we recognise that this $51,000 increase there, we did not hear exactly what that has to do with the $51,000, and also understanding now that I believe we are going to be moving. The head of the Brussels office is moving on. And it is most likely that the person who is going to take over that space, are we going to replace, however —
The ChairmanChairmanHe made that clear, you know. Hon. L. Craig Cannonier: But he did not make it clear who was going to replace the person who is going to take over the position . . . the person who is already there most likely will take over the head. But who …
He made that clear, you know.
Hon. L. Craig Cannonier: But he did not make it clear who was going to replace the person who is going to take over the position . . . the person who is already there most likely will take over the head. But who is going to take over that position? Or are we not going to fill that position? We are not going to f ill it? I do not know. There will be a vacancy in a lower pos ition, per se. Are we going to fill that position? So it would be interesting to hear about that.
[Inaudible interjection]
Hon. L. Craig Cannonier: I do not know. You mentioned the lady. There are two people there. So yes, if she moves up in Brussels, then who will replace her as she moves up into that position? Or maybe you are not going to replace her. I do not know. Okay. Okay. So if we can get some details concerning that. And understandin g, again, the importance of the position right now I think Bermuda really needs to amp up its international relationship, considering all the variances and crazy things that are going on right now. It would be very, very interesting to see how he is going to fill the Washington office, replace that and the likes. I was also curious with the . . . he mentioned . . . where is it now? Let me just make sure I get it right.
[Pause] Hon. L. Craig Cannonier: He also mentioned just up a little further there, Mr. Chairman, 19085, PADI and the PIPA Unit.
The ChairmanChairmanRight. 3234 2 March 2020 Official Hansard Report Bermuda House of Assembly Hon. L. Craig Cannonier: Obviously, that is . . . I was not quite sure of . . . so this 689 . . . so they are falling under the same budgetary restraint? So the whole budget …
Right.
3234 2 March 2020 Official Hansard Report
Bermuda House of Assembly Hon. L. Craig Cannonier: Obviously, that is . . . I was not quite sure of . . . so this 689 . . . so they are falling under the same budgetary restraint? So the whole budget is for both of these units? Because I would consider them to be two separate, two different units.
[Inaudible interjection] Hon. L. Craig Cannonier: It is just one. Okay. And in PIPA, that unit itself, how many people are in there? Is it just one person? Four? [Inaudible interjection]
Hon. L. Craig Cannonier: Okay. All right. Thank you very much. If I continue on down to the Cabinet Ministry, under Administration, I noticed under the revised amount, it is $232,000, which for the estimate amount it was about a $15,000 difference. I know that it says $9,000, but that is comparing to the original. So I do know that under the revised, stuff has happened. So what exactly took place that caused the $15,000 di fference betw een the two? It is certainly much less than the original. Exactly what happened? I do not know. Maybe something broke down. On page B -43, if you look under Economic Policy and Foreign . . . I am sorry. Under Cabinet Ministry, you see Administr ation? You got it? Yes. Just read it.
[Inaudible interjection]
Hon. L. Craig Cannonier: No, no, I am speaking to you. She was looking. No, she was looking. I am just trying to help her. She did not know where it was. So I am just giving her a helping hand there. That is all.
The ChairmanChairmanAll right. [Inaudible interjection] Hon. L. Craig Cannonier: No, no, no, no, no, no, no, no, no. Under Administration. Yes. Yes, no I made the mistake.
The ChairmanChairmanMember, what you want to do, just ask the question for the benefit of all, because these little conversations cannot be heard by all. Hon. L. Craig Cannonier: Yes. Thank you, Mr. Chairman.
The ChairmanChairmanPerfect. Thank you. I appreciate that. Hon. L. Craig Cannonier: Yes. So if we could find out there a little more about what has happened there. Also, if I could go back to the Washington O ffice, I did ask the question already, Do we have someone in mind to …
Perfect. Thank you. I appreciate that.
Hon. L. Craig Cannonier: Yes. So if we could find out there a little more about what has happened there. Also, if I could go back to the Washington O ffice, I did ask the question already, Do we have someone in mind to rent there? And the $61,000, the Premier gave an answer, but it did not seem . . . it seemed to be more. I s that just interest? I was not quite sure exactly.
The ChairmanChairmanYou want more clarity on it. Hon. L. Craig Cannonier: So I am saying I missed that point. Sorry?
The ChairmanChairmanYou want more clarity? Hon. L. Craig Cannonier: Yes, more clarity on that in particular. And in the event . . . I would like to hear a little more of what exactly happened? And I am assuming that if we do not find or sublet the office, that we …
You want more clarity?
Hon. L. Craig Cannonier: Yes, more clarity on that in particular. And in the event . . . I would like to hear a little more of what exactly happened? And I am assuming that if we do not find or sublet the office, that we will continue . . . because it is there that we will continue to have to pay the full rent for the office. So I would be interested to hear a little more about that. Let me just go down, scroll down here. Give me just a second here.
The ChairmanChairmanYes. Take your time. [Pause] Hon. L. Craig Cannonier: I may come back to that. But I am going to flip over to page B -44. The Premier . . . we basically are pretty clear on where we stand with the salaries. He did give a good description and …
Yes. Take your time. [Pause]
Hon. L. Craig Cannonier: I may come back to that. But I am going to flip over to page B -44. The Premier . . . we basically are pretty clear on where we stand with the salaries. He did give a good description and explanation there. Under the Wages, though, I was curious as to how many people fit within that category? Just below there for the anticipated $260,000, a pproximately how many people are we talking about there in relation to the salaried people, wages? Under Travel, I noticed that so far it was a pproximately $29,000 over. I was just curious. As you take a look at the numbers we anticipate . . . listen, I have always been for travel. I believe that it has to be done considering the position that we are in. And I know that I have spoken pers onally to the Premier and said, Look. I believe that it has to be done. So for me to see that for the Cabinet Office we are actually at a lower number, $295,000, what has changed? What objectives have changed that caused that to go down by that amount? And if you take a look at it . . . it is, what? Yes, about $20,000, just a little over $20,000. Why is it less, as far as that Travel is concerned? And I am assuming that it probably has to do with particular staffing that may not be going for Travel; I do not know.
The ChairmanChairmanNo. The Travel has increased from the original. It has increased. Bermuda House of Assembly Hon. L. Craig Cannonier: Yes. But if you look at the revised amount, the revised amount —
The ChairmanChairmanYes. No, I understand that. Hon. L. Craig Cannonier: Yes . . . took $324,000. So we know that we have spent it. It may come in even a little more than that as they get the rest of the figures in by the end of this month. So they …
Yes. No, I understand that. Hon. L. Craig Cannonier: Yes . . . took $324,000. So we know that we have spent it. It may come in even a little more than that as they get the rest of the figures in by the end of this month. So they are estimating that they will travel a bit less. So, just curiousness about that. Now, Professional Services. He went through quite a bit, quite extensively with the Professional Services, $250,000 of that for the Commission of I nquiry and the likes. It would be nice to have a listing of the Professional Services. He did mention some, but he seemed to be a bit vague on others, what all those professional services were. I mean if it is a whole lot, if it is too long to list out, then I would expect maybe he can get it to me later on. But if we can get a briefing on the number of professional s ervices, it is quite a healthy amount. And we recognise a lot of that is going to, like I s aid, the Commission of Inquiry and the like. For the Commission of Inquiry, I am just cur ious also. Do they have office space yet? Because I know that you guys were trying to get office space for them. We did not hear an update as to whether or not they actually did get the final office space that they needed. It would be good to hear a little more about that. I know it was put on a bit of a hold for a little while. It would be nice to get an update on that as well. If you go down further to, under Energy . . . oh, under Insurance (I am sorry), there was an expl anation about the insurance. It was an interesting d ecrease. I do not know what that decrease has to do with . . . whether it is a new negotiated amount or an ything, whether we are not covering something. I do not know. It is a small amount. But considering the total amount, it is almost less than . . . I do not know. It is more than half, cut in half. So it jus t would be interes ting to hear a little more about that, as well. Other Expenses, I was looking at that as well. The original amount for the Other Expenses was $125,000. So far for the revised amount, it is up $136,000. And what we are anticipating is $205,000 for 2020/21. So obviously we are anticipating doing a little more under the Other Expenses. I do not know what it entails. I have no clue. So this could be miscellaneous stuff. At the very bottom under Revenue Source on page B -44, unit number 8288, Work Permit Exemption Fees, we see that they have a revised amount of $260,000, with an estimate of $150,000 for this upcoming year 2020/21. It would be interesting to hear about that as well. We did not get an explanation on that. Now, as far as the Trai ning is concerned, also it would be good to find out what the new training—
The ChairmanChairmanWere you going back up? Hon. L. Craig Cannonier: Sorry, . . . on page 44, yes. Yes, yes. If you go back up to Training, you will see on the same page, it would be good to hear of the new training that is going into place. It is …
Were you going back up?
Hon. L. Craig Cannonier: Sorry, . . . on page 44, yes. Yes, yes. If you go back up to Training, you will see on the same page, it would be good to hear of the new training that is going into place. It is something that we support most definitely. We need to do as much training as we can. Usually, probably it is one of the first places that you cut back on. But it would be interesting to see what that new training will be about, what entails there. On page B -45, I believe the Premier gave an explanation to the unit number 19015, Policy and Strategy, why there was a reduction under the em-ployee numbers there. I was writing a few other things and actually just missed that. But I am pretty sure he did give an explanation. So if you did, do not worry about it. If not, it would be nice to get an explanation there.
[Inaudible interjection]
The ChairmanChairmanPolicy and Strategy. Hon. L. Craig Cannonier: [Unit number] 19015, the two bodies. Yes, the two bodies. I thought I heard you, give an answer but I was not quite, quite sure. Also, under Head of Public Service, 19080, we have three under the Head of Public Service. If you …
Policy and Strategy.
Hon. L. Craig Cannonier: [Unit number] 19015, the two bodies. Yes, the two bodies. I thought I heard you, give an answer but I was not quite, quite sure. Also, under Head of Public Service, 19080, we have three under the Head of Public Service. If you could let us know what the titles of those three different positions are, it would be good to know. Now, if I go over to page B -46 under the Performance Measures, if you go down under business unit 19015, Policy and Strategy, liaise with depar tments and ministries to incr ease their uptake of advice and service at the initial stage of the policy deve lopment . That has been discontinued.
The ChairmanChairmanYes. Hon. L. Craig Cannonier: And I guess the question would be then, Did we believe that it was just not needed, or have we replaced it somewhere else in a different form, considering that the Premier is going through a quite a bit of reform within Cabinet? And over …
Yes.
Hon. L. Craig Cannonier: And I guess the question would be then, Did we believe that it was just not needed, or have we replaced it somewhere else in a different form, considering that the Premier is going through a quite a bit of reform within Cabinet? And over to the following page, B -47, at the very top there, business unit 19080, Head of Public Service, I noticed here gross misconduct cases will be adjudicated within an eight -week period of time. The target outcome projected is 60 per cent. And it goes back to 60 per cent. Just curious as to . . . do they not have the manpower to keep up with this here, consi dering these kinds of cases can blow out of . . . get pretty nasty? And we are looking at gross misconduct. How come it is not within eight weeks? There must be a reason for that, knowing 60 per cent. You want to 3236 2 March 2020 Official Hansard Report
Bermuda House of Assembly get that stuff out of the way as much as possible and as quickly as possible.
The ChairmanChairmanYou have time. Take your time. Hon. L. Craig Cannonier: Yes. I was always told in leadership that if you have got to remove someone, if you spent more than 20 minutes doing it, then you are in trouble. [Laughter]
The ChairmanChairmanLong time. Hon. L. Craig Cannonier: So underneath the Customer Complaint Log, they responded within 48 hours, it is 100 per cent. But just above that, develop a fiveyear public service plan that requires a review . These are all new initiat ives. I must commend Kevin ’s office for …
Long time.
Hon. L. Craig Cannonier: So underneath the Customer Complaint Log, they responded within 48 hours, it is 100 per cent. But just above that, develop a fiveyear public service plan that requires a review . These are all new initiat ives. I must commend Kevin ’s office for these new initiatives. It is nice to see that the new initiatives have been put in place. Develop a five- year plan, public service plan that requires a review and justification of services provided by Government by June of 2020. I am not sure what format they plan on using in coming to that conclusion. It would be nice to expand on that just a little so that the public is aware of that. It is a positive, very positive thing in how that is going to happen. So with the Head 9, because I know I do not have much time, I will sit and allow some answers and go from there.
The ChairmanChairmanAny further speakers? The Chair recognises the Honourable Member Pat Gordon- Pamplin. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. I just have one very brief question, and that is on page B -46 under Performance Measures in r espect of business unit 19015. And it is the third …
Any further speakers? The Chair recognises the Honourable Member Pat Gordon- Pamplin.
Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. I just have one very brief question, and that is on page B -46 under Performance Measures in r espect of business unit 19015. And it is the third bullet point down, which indicates for public access to information to respond within five working days to requests for assistance with admin and legal aspects. And there has been 100 per cent actual outcome forecas ted, targeted. It is 100 per cent. I am just curious as to what number of requests are they getting to be able to achieve this 100 per cent. I mean, it is good to have 100 per cent, but are we talking about one or two r equests? Are we talking about 10 or 20?
The ChairmanChairmanAny further speakers? The Chair recognises the Honourable Member Deputy Opposition Leader, Leah Scott.
Ms. L eah K. ScottThank you, Mr. Chairman. I have a question about the Bermuda [Berm uda Development Agency]. And I am not sure whether I should ask it under 0901 . . . The Chairman: You are on?
Ms. Leah K. ScottUnder 0901, General. And then 19000, General Administration. I believe that it has been subsumed into this. So my question is, What is the direction of the BDA considering the funding that they get? Over the years the BDA has kind of de-volve d into a conference coordinator. And it …
Under 0901, General. And then 19000, General Administration. I believe that it has been subsumed into this. So my question is, What is the direction of the BDA considering the funding that they get? Over the years the BDA has kind of de-volve d into a conference coordinator. And it has not given as much value to industry as we think it deserves. For example, there was a conference in London last November. And most of the people who were there were from the BDA.
The ChairmanChairmanWhen you talk about the BDA, for the listening public —
Ms. Leah K. ScottSorry. Bermuda Development Agency. Thank you, Mr. Chairman. So it is concerning that there was a large co ntingent and the amount of money that was spent on that. And if we are looking to bring revenue and foreign direct investment into Bermuda, then I think there needs to be …
Sorry. Bermuda Development Agency. Thank you, Mr. Chairman. So it is concerning that there was a large co ntingent and the amount of money that was spent on that. And if we are looking to bring revenue and foreign direct investment into Bermuda, then I think there needs to be a balance. So I would like to know what their strategic plan is and what the direction is. Are they looking at how they can best utilise the grant that they are given from the G overnment?
The ChairmanChairmanAny further comments? Any further speakers? Okay. I call off on the Premier to respond. Hon. E. David Burt: I will try to give some answers.
The ChairmanChairmanThank you. Hon. E. David Burt: As much as I can.
The ChairmanChairmanWe appr eciate it. Hon. E. David Burt: And I am sure there will be more questions to come afterwards. And I will admit that I did miss the question from the Honourable Member from constituency 23. So if she could ask again, I might actually get the answers. Because …
We appr eciate it.
Hon. E. David Burt: And I am sure there will be more questions to come afterwards. And I will admit that I did miss the question from the Honourable Member from constituency 23. So if she could ask again, I might actually get the answers. Because I know we missed it. So can I yield, to her?
The ChairmanChairmanCertainly, Premier, certainly. Hon. Patricia J. Gordon -Pamplin: Yes. Thank you, Mr. Chairman. Mr. Chairman, I was just wondering, on bus iness unit 19015 on Policy and Strategy (this is on page B -46, in respect of PATI [public access to information]), I am just curious. The targets were 100 …
Certainly, Premier, certainly. Hon. Patricia J. Gordon -Pamplin: Yes. Thank you, Mr. Chairman. Mr. Chairman, I was just wondering, on bus iness unit 19015 on Policy and Strategy (this is on page B -46, in respect of PATI [public access to information]), I am just curious. The targets were 100 per cent of responses within five working days. I am just
Bermuda House of Assembly trying to figure out how many queries were c oming in? What was called an average number that we were looking at in order to respond to it 100 per cent?
Hon. E. David Burt: I am happy to answer that question. Just so we are aware, this is not a response to a PATI request. So this is not that. What I am sa ying is, this is not a response to a PATI request. We can try to find that information, but I just want to make sure it is clear. The Policy and Strategy Section itself has in it someone who is a PATI expert. So it would be a department who has rec eived the PATI request saying, Can you please help me with this? or , Can you offer me some advice? It may come from a PATI officer and that sort of thing. So it is not an actual request externally. That is what that is, particularly. And I think that is a lso an excellent segue into the question regarding (on page B -45) the reduction of the two persons from the Policy and Strategy Section and the difference there. That is because those persons are going to be transferred to the PATI Unit.
[Inaudible interj ection]
Hon. E. David Burt: What? What does not answer the question? Okay. I am sorry. Well, let me go through. Let me go through, and then I will try to get a more satisfactory answer if one is desired. There was a question regarding the London office increase. As I outlined in the brief, those partic ular things were for fire, House Communications, and Dods parliamentary services, which is our PR firm over in the United Kingdom and Brussels, as well as Dods, which takes place . . . These services were n ot funded in 2019/20, although utilised. So for 2020/21, we have funded them. And I did speak about what was done in both. So they were not funded. The money had to be found from other places. But they are currently now funded. There was a question in regard to what are wages made of. The two posts are housekeeper and caretaker, as well as interns and foreign affairs in the summer and one full -time-internship intern within the Cabinet Office. So that is what makes up the wages budget. Regarding training, there was a question r egarding training. PIPA [Personal Information Protec-tion Act] accounts for much of the increase. And it is not really actually an overall increase, as that money has been transferred from the ICP, Policy and Innov ation Department. But there is a significant amount of training that has to take place with PIPA. In addition to that, there is the exercise of training public officers on those particular issues. There was a question as to reduction of insurance. The decrease of the expense in insurance r elates to the fact that we are not in the DC Office and the provisions there. Subletting, you do not have to pay insurance. You asked a question about subletting itself and whether or not the subletting has been done. I think I did cover that in my brief. It is being looked to be sublet. A sublet has not been completed, but it has been offered to be on a sublet at this time. And that is why I said that there is not an actual figure that is r eflected for the subleasing, but we are expecting tha t once the subleasing takes place, the $61,000 figure will be reflected with the revenue offset [by] the money [from the sublease.] There was a question regarding the Head of the Public Service and the FTEs: the Head of the Public Service, Dr. Binns; the Deputy Head of the Public Service, Cherie Whitter; and the administrator over there, who is Angela Todd. All right. I will try to go through a few additional questions. There was an overall question from the Leader of the Opposition regarding the DC Office itself and when the decision was made to discontinue the DC Office . The DC Office itself is not discontinued. But the Bermuda Government’s affairs in Washington, DC, in the United States, are handled by our lobbying firm of record, The Group. This w as announced, and a direction was announced. And I believe it was in the 2018 Budget Statement regarding the opening of the Brussels Office and the non- reopening of the DC Office, though it was something which I was fully committed to. When you have ratio nalisation of budget expenses, you have to figure out which one is more i mportant. And given the threats that were faced from the European Union, we were there. But we do mai ntain healthy relationships with our Washington, DC, [connections, and] our lobbyi st of record is helpful. And there are many trips that Ministers take to Was hington, DC, and are being supported by our lobbyist firm of record there that not only handles political engagement, but also handles economic engagement. So when the Deputy Prem ier was up there for space conferences, when the Minister of Finance is there dealing with issues with de- risking and various government departments, or whether I am there, in our relationships with various members of Congress and/or with the administration, our items are handled through our lobbying firm of record, and that is reflec ted in the budget, the Professional Services budget. Regarding the Brussels Office , there was a question there regarding persons inside of that parti cular office. I did correc t myself when I spoke. I do not believe that someone is moving up. I believe the per-son who has been identified is in Brussels, but not in the office.
[Inaudible interjection] Hon. E. David Burt: Yes, got you. So I just want to be clear on that one. There are a number of Bermudians who are working in Brussels, and they are working at 3238 2 March 2020 Official Hansard Report
Bermuda House of Assembly the European Commission and other places. So they are persons who do have experience over on that side dealing with those particular issues. There was a question on the PAT I and PIPA Office and the Management Services review. It is a three- person unit. It is one person who is the lead and two persons who are analysts. And those posts are going to be transferred from the Policy and Strategy Section into the PATI/PIPA Unit. There was a question on Travel. The only thing I can say is the Travel budget has been i ncreased from the previous year, and as I had mentioned, that increase itself is reflected of the $17,000 which I covered inside of my presentation. It is due to the PAT I and PIPA Office. There was another question regarding the Commission of Inquiry and did they secure office space. I will look to get back to that. There is also the question of, What are the Other Expenses? I will also look to get the answer to that shortly. Regarding a question of Professional Services, I am happy to go ahead and list out the professional services: • PATI/PIPA has an allocation of $221,500; • Implementation Team, $750,000; • Commission of Inquiry, $290,000; • Boardvantage, $15,000; • The Wellness Initiative , $110,000; • Government Reform Assistance and P rofessional Services regarding that, $154,000; • CARICOM and payments to CARICOM, $187,000; • Miscellaneous for P rotocol, $33,000; • Miscellaneous Professional Services for A dministration, $50,000; • Dods parliamentary service, $28,000; • Fire House Communications, $135,000; • Brussels Office , $156,864; • Our lobbying in the United States, $240,000; • Public Service Negotiating Team, $180,000; • Age Concern, $11,383.
[Inaudible interjection]
Hon. E. David Bu rt: Boardvantage? It is what you use for your Cabinet papers. I think we started using it under your administration.
[Inaudible interjection]
Hon. E. David Burt: Got you. No problem. Wayne Furbert, you got off easy. Commission of Inquiry. Rent, yes, that was the $9,000 for the current Commission of Inquiry charge. It was for Sophia House, $2,800 monthly, all - inclusive of equipment, phones, space, et cetera. So that is what that figure is there for, Regarding Trai ning, Protocol Conferences, Anti -Leak S afety and Health Training, Professional Development Mandat ory, PIPA and PATI Training, Financial Controller, Mandatory Professional Development Training ann ually. Question on General Administration, a majority of the increase relates to the $1.5 million tr ansfer of the permanent secretaries’ salaries to the Cabinet Office. It is not an increase, but a transfer. I think I got all of that. Mr. Chairman, there was a question from the Honourable Member for constituency 30 regarding the Business Development Agency. The Honourable Member would note that the Business Development Agency and its direction is not set by the Government of Bermuda. The Business Development Agency is a public/private partnership, which I say, unfortunately, is majority funded by the Government of Bermuda. The fact is that the Government of Bermuda previous-ly, prior to this point, only had one seat on its board. The Government of Bermuda now holds two seats on the board, with the Cabinet Secretary and also the head of the Bermuda Development Unit, who is on the Board of the Business Development Agency. The Honourable Member I know has relations with the BALT, Bermuda Association of Licensed Trustees, who I think also has a representative on the Board of the Business Development Agency.
[Inaudible interjection]
Hon. E. David Burt: They do not? Well, that is som ething for you to take up. But I will say all of that to say that I will accept the Member’s comments. There are some comments which I will agree. And I think that the Business D evelopment Agency, with the board itself, is looking to (I am going to say) examine how they can be more effective in spending their money in promotion of the jurisdiction externally. And I am happy to debate further, either at this point in time or certai nly at this point in time, if the Honourable Member has any more questions. But it is not under a specific Act of the Government. It is a grant which we give. Therefore, there is no type of body with ministerial control and/or direction otherwise, et ceter a, unless the Honourable Member is recommending we do that.
The ChairmanChairmanAny further? Honourable Member. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, in the Premier’s response in terms of the Washington Office , he referred several times to the lobbying firm of record. But he did not specify who that was. [Inaudible interjection] Bermuda House of Assembly …
Any further? Honourable Member.
Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, in the Premier’s response in terms of the Washington Office , he referred several times to the lobbying firm of record. But he did not specify who that was.
[Inaudible interjection]
Bermuda House of Assembly Hon. Patricia J. Gordon -Pamplin: Okay. Sorry. I did not hear that. And also in respect to the query on page B -44 under Revenue Source for work permit exemption fees of $150,000 that is anticipated, if he could just give us some idea as to what that entails. It seems like if it is work permit related, it should maybe be g oing to Immigration. So I am just curious.
The ChairmanChairmanMr. Premier. Hon. E . David Burt: Happy to answer. Our lobbying firm of record is “The Group.” It has been stated publicly, in press release, et cetera, and mentioned in the House of Assembly — [Inaudible interjection] Hon. E. David Burt: Yes, I am sorry. That is actually their …
Mr. Premier. Hon. E . David Burt: Happy to answer. Our lobbying firm of record is “The Group.” It has been stated publicly, in press release, et cetera, and mentioned in the House of Assembly —
[Inaudible interjection] Hon. E. David Burt: Yes, I am sorry. That is actually their name, The Group. Hon. Patricia J. Gordon -Pamplin: Okay. I got it. Hon. E. David Burt: I understand the confusion now, Honourable Member. Got it; it is actually “The Group.” Regarding the issue of work permit exemption fees, this was something that previously lay underneath . . . it is inside of the Bermuda (somebody correct that) Economic Development Act 1968, which also has incentives for job makers and the exemptions for in centives for job makers. That payment for that exemption is not actually paid for out of Immigration. The incentives for job makers application is paid to the Minister responsible for the Bermuda Economic D evelopment Corporation, as is laid out inside of t he Act. So the exemptions are in the fee for that, which is paid to the Minister responsible for economic . . . not economic development, because there is no such thing, but the Minister responsible, as in the law, the Minister responsible for the Bermuda Economic Development Corporation. That is as it is spelt out in law. And so that is the reason why it is here. Hon. L. Craig Cannonier: Yes, just two more questions. On page B -47, I did ask about . . . this is u nder Performance Measures at the very top on page B - 47. Just an explanation as to why we are still coming in at 60 per cent on this target of gross misconduct in handling these particular cases. It would be nice to have an idea as to why it continues to be at that point. And I also in the very beginning mentioned about the Mission Statement and the Department O bjectives. Just curious as the changes, obviously . . . I am saying “obviously” because you did mention that there are slightly different objectives. I want to hear a little more from [the H onour able Prem ier] as to the change of the objectives and how they fit into what it is that he is looking to do and change.
Hon. E. David Burt: Thank you . . . Mr. Chairman, can I respond?
The ChairmanChairmanCertainly. Hon. E. David Burt: Thank you, Mr. Chai rman. Mr. Chairman, in regard to page B -47 on the question of gross misconduct and how they are adj udicated within the period of time of which they are adjudicated, we will know and recognise . . . I am …
Certainly.
Hon. E. David Burt: Thank you, Mr. Chai rman. Mr. Chairman, in regard to page B -47 on the question of gross misconduct and how they are adj udicated within the period of time of which they are adjudicated, we will know and recognise . . . I am sure the Honourable former Premier will note that we live in an increasingly litigious society. And it is very, very important to dot all i’s and cross all t’s to make sure that things are not subject to a legal challenge. Of course, it would be helpful if they were done more quickly. But at points in time, it is most important to make sure it is done right and that we do not get our-selves into any particular problems. So from that perspective, that is the answer and response which I will give. But I can say on the issue of the Cabinet O ffice regarding the revised Mission Statement and r evised Department Objectives, I believe that all go vernment departments actually have revised objectives this year. The reason why is that we have been going through public sector reform initiatives. I think that I highlighted that inside of my particular items, whether it be with performance measures, whether it be with mission statements, whether it be the alignment of the particular goal inside of all of the various ministries. It is an exercise of which we have gone throug h this year. And there has not been a lot of discussion publicly on public service reform. I think I will be bring-ing a Ministerial Statement shortly to provide colleagues an update on those particular things in case they may have questions that I may be able to answer on those particular matters. I state all that to say that we went through that particular process. And what we are actually doing inside the Cabinet Office is focusing on making sure other ministries can deliver the services to the Government of Bermuda as best as pos-sible. I think there was a question on the last part about enhanced government safety management sy stems?
Hon. L. Craig Cannonier: Yes. Hon. E. David Burt: That is certainly the Safety and Health Officer, who sits inside of the Cabinet Office. I think you referred to the fact that he may have not been there before. And I think it is an update in recognising what the Cabinet Office does. So, like I said, this was part of the review. And this was done. I think you would have heard inside of 3240 2 March 2020 Official Hansard Report
Bermuda House of Assembly my presentation that there were 160 different public officers who were involved inside of the review and the revision of the department objectives, mission statements and all of the performance measures and outputs to make sure that they more accurately r eflected the work that the Government of Bermuda was doing and the individual departments were doing. So I think that is the reason why that has now been added there.
The ChairmanChairmanAny further questions? Mr. Premier, do you want to move the H eads? Hon. E. David Burt: Mr. Chairman, seeing no further questions, I move that Heads 9, 43 and 80 be approved as printed.
The ChairmanChairmanIt has been moved that Heads 9, 43 and 80 be approved. Are there any objections? [Inaudible interjection]
The ChairmanChairmanNo. It is all three. That is what we are doing in this . . . Go ahead. No problem. [Inaudible interjection]
The ChairmanChairmanNo, no, no, no, no. All of them. [Inaudible interjections]
The ChairmanChairmanYou only have 11 more minutes. Hon. L. Craig Cannonier: Yes, I want to use up those minutes.
The ChairmanChairmanWell, you do not have to. But if you want to you can. Hon. L. Craig Cannonier: Certainly, what I will do then is I will go quickly over to page B -65 to the pe rformance measures under Head 43, Disaster recovery exercise planned and executed 50 per cent …
Well, you do not have to. But if you want to you can. Hon. L. Craig Cannonier: Certainly, what I will do then is I will go quickly over to page B -65 to the pe rformance measures under Head 43, Disaster recovery exercise planned and executed 50 per cent . I was c urious as to what fell under this particular disaster r ecovery. Does it include hurricane, oil spill, flooding, disease? I was not quite sure what exactly is entailed in disaster recovery exercises. And I know that in prior . . . there was always oil spill exercises being held. But I do not know if that includes other things. What we are talking about is at 50 per cent. So curious as to what falls under —
The ChairmanChairmanAre you talking about business unit 53090? Hon. L. Craig Cannonier: Under business unit 53090 under Security, yes. I did want to hear from them about that. Also over on page B -62 at the very bottom, Security, 53090, again we are talking about, quite frankly, from the original and …
Are you talking about business unit 53090?
Hon. L. Craig Cannonier: Under business unit 53090 under Security, yes. I did want to hear from them about that. Also over on page B -62 at the very bottom, Security, 53090, again we are talking about, quite frankly, from the original and the revised amount spending half of that. Exactly what falls under this S ecurity in detail as to why we are spending half that amount? (So that we could understand it a little more.) Obviously with technology, maybe something else is out there that they use. I do not know what it refers to. But it would be good to know if we can get an answer to that. And just above that also, under Digital Services we can see the increase of $394,000. I did get some verbiage to this here. But it would be good to hear a little more about that. The phone service that he spoke of, as well, I found that interesting. It would be nice to hear whether or not we are sourcing that —
The ChairmanChairmanWhat business unit are you looking at? Hon. L. Craig Cannonier: Sorry. Under General, in his general statement he was talking about phone service, a new type of service that they would be using throughout.
The ChairmanChairmanYes. What number? What business unit number? Hon. L. Craig Cannonier: I am saying under his general summary, he was giving a summary on that. I mean, obviously it would fall under I -Series. But the problem is — Hon. E. David Burt: Communications. [Crosstalk] Hon. E. David Burt: I …
The ChairmanChairmanAll right . Hon. L. Craig Cannonier: It would be good to hear a little more exactly where they are looking to source this. Do we have sources here locally? It is probably ICOL based with . . . I do not know exactly all of what is happening there. …
All right . Hon. L. Craig Cannonier: It would be good to hear a little more exactly where they are looking to source this. Do we have sources here locally? It is probably ICOL based with . . . I do not know exactly all of what is happening there. But I am glad to hear it, because all of us have been complaining about the phone service and it’s unified.
The ChairmanChairmanIt is. Hon. L. Craig Cannonier: So I will allow him a few minutes then to give us answers to that. Bermuda House of Assembly Hon. E. David Burt: Mr. Chairman, I will state that I did miss the second question. But I will try to get to the other …
It is. Hon. L. Craig Cannonier: So I will allow him a few minutes then to give us answers to that.
Bermuda House of Assembly Hon. E. David Burt: Mr. Chairman, I will state that I did miss the second question. But I will try to get to the other ones. Regarding disaster recovery exercises planned and executed, it is an actual outcome that, originally, was not met. We were able to meet the outcome t his year. And this is two . . . there is a plan to do two disaster recovery exercises a year. This year, hopefully, we will be able to get at least one done. There is a lack of resources in IDT. And we are looking to make sure we redirect the resources in the IDT to hopefully make sure that happens. But these are one of those departments that of course are constrained. But we are hoping that with additional money, with capital, that they will be able to start relieving some of the stress on the IDT budget. To answer the question on security, under 53090 on page B -62, but you can also look over on page B -63 and look at 53090. And the FTE has moved from . . . there is a decline of one post. That is the particular reason for that decline. That post was moved t o the Ministry of National Security from the Department of Information and Digital Technologies. So that would be the reason why that decline is there. Remember, National Security was responsible for the security policy for the government and the pr ivate sector as well. So it is a security issue overall. So that has been something that was previously mentioned. And then the security resources inside of IDT are specifically for internal government security. Digital services . . . that, again, is just a not e and a reminder. That is the transferring of the portal team from the Department of Communications back over to the Information and Digital Technologies, IDT. So that is what that increase in digital services repr esents. And you also see it commence for an increase over on page B -63, where there are an additional four posts. So those four posts are moved from Communications and moved over here. In regard to the new phone system, the new phone system is going to be a fully IP -based system, unified communic ations system. There are a number of systems which are being examined. The most common system which is used around the world is Cisco. Cisco has a number of phone systems, but they basically allow you to have, as I said, the same interface whether you are on your mobile, whether you are at your desk, whether or not you are traveling. And it allows you to have the same voice interfaces of which you would. So it is a fully I -Internet -protocol - based phone system. So we are going to be moving away from the trad itional lines. So the systems which we have right now are all going to be retired. As we know, there are multiple different government phone systems that exist. We have actually been able to start saving money already by transferring some of these persons to our existing IP phone system. But the existing IP phone system is going to be replaced. That is in use in some government d epartments. It is going to be replaced with a fully int egrated phone system that will not only do, as I said, the calls in the o ffices and the calls there, but allows conference facility, videoconference facility, et cetera, so a fully unified communications protocol, which is part of the reason of the increase in funding to the capital spending budgets this year.
The ChairmanChairmanContinue, Mr. Cannonier. Hon. L. Craig Cannonier: Thank you. If we could proceed over to page B -76 under Head 80, Project Management and Procurement. The Honourable Member mentioned under Performance, B-77, Performance Measures, that . . . and it is a new measure, Train potential bidders on government pr …
Continue, Mr. Cannonier.
Hon. L. Craig Cannonier: Thank you. If we could proceed over to page B -76 under Head 80, Project Management and Procurement. The Honourable Member mentioned under Performance, B-77, Performance Measures, that . . . and it is a new measure, Train potential bidders on government pr ocurement. Exactly who is to do that? I know that BDC at one time used to do training and helping out with small business. So exactly who is carrying out this training? And have any sessions happened already , or is this processing for the new fiscal year? But who will be doing that? And also he mentioned about, they were i ncluding a new class, gender and race, a new type of code that they would be including into the procur ement process. I was just curious. A re we still also pul ling information for potential bidders as to how many Bermudians they have hired within their business? And how are we tracking that? We continue to hear complaints about companies who are getting the bids and saying that they got more Bermudians than foreigners, when in actual fact when you go to the site . . . there are more foreigners than Bermudians. How are we tracking that? Thank you.
The ChairmanChairmanMinister Furbert. Hon. Wayne L. Furbert: Mr. Chairman, I believe the Honourable Member is speaking of trained potential bidders in government procurement. That will be done by the office themselves. Did you hear that . . .
The ChairmanChairmanJust do not worry. Talk to me. Hon. Wayne L. Furbert: And the other question was, yes, on the matri x itself. It asked how many Bermudians will be hired. And based on the percentage that is in the matrix, they either get a lower or a higher number on …
Just do not worry. Talk to me.
Hon. Wayne L. Furbert: And the other question was, yes, on the matri x itself. It asked how many Bermudians will be hired. And based on the percentage that is in the matrix, they either get a lower or a higher number on the matrix, which defines whether they will get the contract or not. As far as following up, well, I am assuming that . . . I am not sure we have anything quite in place. But Immigration, that falls directly under them.
The ChairmanChairmanAny further speakers? Mr. Pearman, you have the floor. 3242 2 March 2020 Official Hansard Report Bermuda House of Assembly Mr. Scott Pearman: Thank you, Mr. Chairman. My question is for the Premier under Head 9, page B -43, line item 19060, Commission of Inquiry. There is an allocation there …
Any further speakers? Mr. Pearman, you have the floor.
3242 2 March 2020 Official Hansard Report
Bermuda House of Assembly Mr. Scott Pearman: Thank you, Mr. Chairman. My question is for the Premier under Head 9, page B -43, line item 19060, Commission of Inquiry. There is an allocation there at page B -43, line number 19060, Commission of Inquiry, of $325,000. I am wondering whether all of that amount is earmarked for the Commission of Inquiry into land issues, or whether any of that is earmarked for potential Commission of Inquiry into the Department of Child and Family Services.
The ChairmanChairmanMr. Premier. Hon. E. David Burt: Mr. Chairman, it is for the Commission of Inquiry into land grabs.
The ChairmanChairmanAny further speakers? Mr. Premier, you want to move ahead, please. Hon. E. David Burt: Yes, Mr. Chairman. Mr. Chairman, I move that Heads 9, 43 and 80 be approved as printed.
The ChairmanChairmanIt has been moved that Heads 9, 43 and 80 be approved. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: The Cabinet Office Heads 9, 43 and 80 were approved and stand part of the Estimates of Revenue and Expenditure for the year 2020/21.]
The ChairmanChairmanThe next — POINT OF PRIVILEGE Hon. E. David Burt: Mr. Chairman, I rise on a point of privilege to ask to be excused for two minutes, please.
The ChairmanChairmanOkay. Mr. Simons. [Mr. N. H. Cole Simons, Chairman]
The ChairmanChairmanI thought it was after lunch. [Laughter] [Pause]
Mr. N. H. Cole SimonsMr. Premier, you may pr oceed with the next head, Head 94, Economic Development. You have one hour. Hon. E. David Burt: Thank you, Mr. Chairman. Mr. Chairman, I move the following head, Head 94, Econom ic Development, be now taken under consideration.
The ChairmanChairmanThank you, Mr. Premier. You may proceed. ECONOMIC DEVELOPMENT HEAD 94 —ECONOMIC DEVELOPMENT DEPAR TMENT Hon. E. David Burt: Thank you very much. Mr. Chairman, the Economic Development Department’s mission is to advance the sustainable growth, development and diversification of Bermuda’s economy. I am delighted to present the budget for …
Thank you, Mr. Premier. You may proceed.
ECONOMIC DEVELOPMENT
HEAD 94 —ECONOMIC DEVELOPMENT DEPAR TMENT
Hon. E. David Burt: Thank you very much. Mr. Chairman, the Economic Development Department’s mission is to advance the sustainable growth, development and diversification of Bermuda’s economy. I am delighted to present the budget for Head 94, the Economic Development Department, found on pages B -78 to B -81 of the Budget Book. Before I begin, Mr. Chairman, I want to remind Honourable Members of where this department came from. In the Progressive Labour Party’s election manifesto, it said and I quote, “Your next PLP Government will grow our economy by: Creating an Economic D iversification Unit to create new economic pillars in Bermuda. This unit will identify new opportunities for economic diversification and subject them to struc-tured analysis and research. Once areas have been identified and agreed upon, the unit will seek local and overseas investment to develop new local industry, which will create jobs in Bermuda.” Mr. Chairman, there was a review that was done, and it was arrived at to create the Department of Economic Development, not a parti cular unit, to merge existing departments in order to achieve the same goal and objective. The total expenditure is estimated to be $1,727,000 for 2020/21. Globally, economic diversification has been used as a strategy to develop an economy creating multiple sources of income spread over primary, secondary and tertiary sectors, involving large sections of the population. The prospect that diversification leads to economic growth has caused the political desire for diversification in many countries. Similarly, the Go vernment’s vision for economic development and competitiveness of Bermuda towards socioeconomic growth is through economic diversification, which the Government defined in the 2019/20 Budget Speech as, “new areas of economic activity in Bermuda. ” A diversified economy is needed to open the field of economic opportunity to a wider cross section of Bermudians. The Government has a critical role to play in creating the enabling environment for economic de-velopment and competitiveness. With econom ic development work being provided by various separate entities within the Government, it has been difficult to support a growth and competitiveness agenda. D evelopment and diversification opportunities in other
Bermuda House of Assembly sectors of the economy also remain decentral ised to technical departments which do not have the r esources to adequately determine the feasibility, viabi lity and desirability of options for Bermuda. Mr. Chairman, an organisational review by the Management Consulting Section [MCS] was conduc ted in 2019, and a new Economic Development D epartment was proposed under the remit of the Cabinet Office. Although the previous head number for Ec onomic Development was recycled, the new depar tment, Head 94, was created by merging the ICT Pol icy and Innovation Department, Head 67, which will be dissolved on the 1st of April 2020, with the Business Development Unit and the FinTech Unit, both of which are currently within the Cabinet Office. Mr. Chairman, the subjective analysis for the Economic Development Department is found on page B-79. Naturally, as this is a new department, there are no variances on which to speak. The amount of $1,067,000 is set aside for Salaries; $83,000 for Travel; $395,000 is allocated to Advertising and Prom otion; $108,000 for Professional Services; and $42,000 to Materials and Supplies. Again, Mr. Chairman, these are direct transfers within, and as such it is important to emphasise that the full budget for Head 94 is not an increase of funding but simply an internal ministry transfer. This also extends to Manpower, as seen on page B -80, a total of nine FTEs. Six have been transferred from ICT Policy Innovation, and the remaining three from the Business Development Unit. In terms of Capital Expenditure, Mr. Chai rman, you will not e that in accordance with page C -10 there exists Capital Acquisition funding in the amount of $22,000 set aside for Computer Equipment. The department will be advancing its operations through the use of management software with the development of an online [proprietary] platform which lists the investment opportunities into businesses which are registered in Bermuda. And the title of that is going to be called “ Invest Bermuda. ” So they are creating an Invest Bermuda platform, which I think I may have spoken about when I gave my Ministerial Statement on the 31 st of January. It will collect and showcase a central reposit ory to attract new capital and a new class of investors. The vetting of companies will be strengthened through the access to World Check, whi ch is used, and i mproving our business development coordination with the Business Development Agency through the int egration of Salesforce use within government and with external agencies. So currently, the Business Deve lopment Agency uses Salesforce, and we also in the Department of Economic Development will be sharing the Salesforce resources with the Business Develop-ment Agency. Mr. Chairman, recognising the department itself is a new department, the objectives of this new department are to maintain an Economic Develop-ment and Diversification Strategy for Bermuda . . . And I know that these are items which are similarly listed on page B -78. There will be an erratum that is going to be issued for this. So I am going to go ahead and list them, and I will r ead them slowly, regarding the objectives of this department, which are the exact same which were given in my Ministerial Statement on the 31 st; they just did not make it here. So that is a challenge. But it is the exact same as I read in the Ministerial S tatement on the 31st of January. [The objectives of this new department are to:] 1. maintain an Economic Development and D iversification Strategy for Bermuda; 2. create and facilitate policies and implement plans that support the economic development and divers ification goals; 3. analyse innovative developments and trends through research and stakeholder engagement; 4. position Bermuda as an ideal test market for innovative product and industry development; 5. develop a clear education and training plan to drive innovati on through foundational learning, fostering entrepreneurship, upskilling Berm udians and enabling broad access to knowledge; 6. identify legislative and policy solutions that provide industry confidence; 7. coordinate the work of external agencies such as the Ber muda Business Development Agency and the Bermuda Economic Deve lopment Corporation; and 8. provide a concierge service for new compa-nies that are setting up operations in Berm uda. Mr. Chairman, allow me to expand upon a few of the sections within the various programmes under General Summary on page B -79 for Head 94, begi nning with the Analysis and Policy Section, which has been allocated $1,463,000.
104060— Policy and Legislative Development, $35,000
Hon. E. David Burt: Mr. Chairman, the department will be coordinating many activities relating to policy and legislation for areas in which economic develo pment and diversification work is taking place. Addi-tionally, it will retain responsibility for the elements that its various entities were previously respons ible for b efore its formation and merger. Therefore, by ensuring that the correct legislative and policy framework is in place, the department will be able to facilitate the cr eation, growth and attractiveness of [business in] Ber-muda. Mr. Chairman, the department will have r esponsibility for the Electronic Transactions Act 1999 [ETA], which was developed to promote public conf idence in electronic business and has served the I s3244 2 March 2020 Official Hansard Report
Bermuda House of Assembly land well, as technology has become an essential aspect of our lives. The regul ations that were subs equently implemented to support provisions in the ETA were: • the Standard for Electronic Transactions (“the Standard”) which w as issued in 2000; and • the Certification Service Providers (Relevant Criteria and Security Guidelines) Regulat ions introduced in 2002. Mr. Chairman, given the rapid changes continuously experienced in technology, a review of the Act and its supporting Regulations will occur in 2020/21. Elements for update have been identified through a review of the legislation, and regulations and feedback have been received from the business community. The E -Commerce Advisory Board [ECAB], the statutory board under the Electronic Transactions Act, will incorporate its own input before the proposed changes are submitted for broader consultation. Additionally, the adoption of an international standard will be put forward to replace the Certific ation Service Providers (Relevant Criteria and Security Guidelines) Regulations. Last but not least, the Elec-tronic Transactions Act and the Standard for Electronic Transactions will also be harmonised with the Personal Information Protection Act 2016 [PIPA] in 2020/21.
104080—Technology Awareness and Development, $132,000
Hon. E. David Burt: The Government’s objective is to highlight the attractiveness of Bermuda’s location for innovative businesses. Having timely data that is readily available and that shows the sophistication and scope of services and skills in Bermuda strongly supports our marketing efforts to international bus inesses and investors. Also, benchmarking international indicators allows for comparison with other j urisdictions and helps the Island to see how well it is performing on a global scale. Additionally, develo pment efforts are able to be better defined and sup-ported through the use of tools such as surveys, focus groups and stakeholder meetings.
107090—Technology Marketing, Promotion and Outreach, $70,000
Hon. E. David Burt: Mr. Chairman, the department will continue to leverage activities to promote the i mportance and adoption of technology skills for stim ulating the economy, recognising innovative companies and business ideas, personal and professional empowerment, supporting e- entrepreneurship, and trai ning and ment oring youth in ICT careers. The department will continue the annual Technology Innovation Awards, known as the TechAwards, which have been held every year since 2007 to encourage and promote innovation in the technology arena. They were held in 2019 as part of Tech Week and recognise the development of sol utions that enhance products and services locally and internationally, taking on many of the challenges encountered in the modern world. TechAwards nomina-tions highlight the next crop of Bermudian innovators who will lead the Island into the exciting digital future.
104100— Digital Leadership, Safety and Security, $179,000
Hon. E. David Burt: Mr. Chairman, the department’s work to extend and grow Bermuda’s role as a leading international market economy has been and will co ntinue to be supported by work in policy development, innovation and education. It is through such work like updates to relevant legislation, encouraging innovative development across various industries and ongoing programmes such as Cy bertips that ensure Bermuda continues to develop as a jurisdiction with human cap-ital able to support and grow the international and ebusiness industries. Mr. Chairman, Research and Legislative Su pport has been allocated a total amount of $10,000. The department will provide research in support of legislative affairs and endeavours to ensure that our legislation remains current and relevant, and best serves the needs of our internal and external custom-ers. This Government believes that the greatest driver to economic success is to ensure that we have an appropriate regulatory and legislative framework to incentivise new business and to grow existing bus iness. In this regard, we have been proactive in ident ifying new legislative opportunities and are strengthe ning our capacity to recognise inputs for which amended or new legislation may derive. Finally, Mr. Chairman, Concierge and E ngagement, the third programme, has been allocated $254,000. The management of our clients through our Concierge Service is cr itical to achieving our economic development objectives. The Concierge Service is one of the functions currently performed by the Bus iness Development Unit. These services are designed to enhance the experience of company executives and business persons wh o are looking to establish companies in Bermuda. To assist prospective businesses who may have to navigate our systems for the purposes of i mmigration, taxation and social insurance, clients may use our concierge service as a one- stop shop for gaining ac cess to offerings of those government departments on an expedited basis. And I must state, Mr. Chairman, that this is one of the most celebrated parts of the Business Development Unit and som ething that we will look to continue to enhance with, hopefully, closer coordination with the Bermuda Bus iness Development Agency, which we should be able to do with the joint use of various IT systems such as Salesforce.
Bermuda House of Assembly Mr. Chairman, the FinTech initiative will continue to be a part of the Economic Development D epartment’s aim to cement Bermuda’s leadership in the FinTech industry and in order to encourage economic growth and job creation. The FinTech initiative will have a budget of $150,000, down by $15,000 from its $165,000 allocation during the 2019/20 financial y ear. Working closely with the Bermuda Business Development Agency, the department will continue to drive FinTech strategy, develop business and provide subject matter expertise to establish a Bermuda tec hnology ecosystem that is best in class, has adopted a digital reliance framework and has a cadre of trained Bermudians who are ready to compete for the new jobs that are coming.
Performance Measures
Hon. E. David Burt: Mr. Chairman, the new performance measures developed for Head 94 can be found on page B-81 under Analysis and Policy, the Economic Development and Diversification Strategy. As indicated in my Ministerial Statement of the 31 st of January, the Economic Development Department will concentrate its energy, resources and expertise to stimulate growth and diversify our economy. With regard to Articles and Editorials, please let me first point out the “600” per cent target that has been set should read “6” per cent. And similarly for New Legislation under Research and Legislative Su pport, the tar get of “300” per cent should read “3” per cent. Mr. Chairman, the publication of articles and ed itorials in local and international publications will aid in getting the Bermuda story out and in the minds of those looking for innovative and rigorous practic es. In reference to the performance measures, research and stakeholder initiatives, research and pilot initiatives will help to identify and inform the pol icy direction for development and investment of the department's time and resources. An outcome of t hree has been targeted to be achieved in 2020/21. Finally, Mr. Chairman, a target of three has also been set for initiatives offered in the community, the last measure found under Analysis and Policy. Initiatives such as the TechAwards aid in recognising and encouraging local economic development interests, economic activity and educational pursuits, and help to ensure a talented and vibrant community. Mr. Chairman, it is anticipated and expected that the formation of an Economic Development D epartment w ill concentrate energy, resources and expertise in order to stimulate growth and assist in the Government’s aim of diversifying our economy. Mr. Chairman, that concludes my presentation of Head 94. And I am happy to defer, or I am happy to rise for lunch and pick back up afterwards. Your call.
The ChairmanChairmanOkay. We will do it after then if it goes to me. Mr. Premier, can you adjourn for lunch, please? Hon. E. David Burt: Absolutely, Mr. Chairman. I move that the House do now adjourn until 2:00 pm.
The ChairmanChairmanThank you. Proceedings suspended at 12: 30 pm Proceedings resumed at 2:01 pm [Mr. N. H. Cole Simons, Chairman] COMMITTEE OF SUPPLY ESTIMATES OF REVENUE AND EXPENDITURE FOR THE YEAR 2020/21 ECONOMIC DEVELOPMENT HEAD 94 —ECONOMIC DEVELOPMENT DEPARTMENT [Continuation thereof]
The ChairmanChairmanGood afternoon everyone. We are resuming in the Committee of Supply and we are debating Head 94. Does anyone wish to speak to Head 94? I recognise the Deputy Opposition Leader,
Ms. Leah Scott.
Ms. Leah K. ScottThank you, Mr. Chairman. Mr. Chairman, I would like to start on page B - 78 of the Budget Book please, starting with the D epartment Objectives. And I basically would like to have a summary of how the objectives as set out are going to be impl emented. And …
Thank you, Mr. Chairman. Mr. Chairman, I would like to start on page B - 78 of the Budget Book please, starting with the D epartment Objectives. And I basically would like to have a summary of how the objectives as set out are going to be impl emented. And it does not necessarily have to be done here or today, I can always make an appointment with the technical officer or the PS or whoever I need to to go through it in more detail. But I would like to know what the economic development and diver sification strategy is for Bermuda and then how it is intended to be implemented and facilitated.
The ChairmanChairmanDeputy Opposition Leader, you may proceed.
Ms. Leah K . ScottThank you. [Inaudible interjection] 3246 2 March 2020 Official Hansard Report Bermuda House of Assembly Ms. Leah K. Scott: On page B -78 under the Depar tment Objectives. And, as I have said, Premier, I would like to have more detail about this, but it does not have to be …
Thank you. [Inaudible interjection]
3246 2 March 2020 Official Hansard Report
Bermuda House of Assembly Ms. Leah K. Scott: On page B -78 under the Depar tment Objectives. And, as I have said, Premier, I would like to have more detail about this, but it does not have to be at this point in time. If I could have jus t kind of a 70,000- foot overview of development and impl ementation and things like that. On page B -79 under 9403 and then 104080, Tech Awareness and Development, does this number . . . or is it intended that the FinTech companies which have made commitments to Bermuda, will come to fruition . . . Binance, Medici, [Omega], Shyft? And would that come under this 104080? It is Tech Awareness and Development on page B -79.
Ms. Leah K. ScottSorry, it is 104080. I want Rev enue, sorry. [Inaudible interjection]
Ms. Leah K. ScottYes, okay. On page B -80 under the Concierge Services, I know that the BDA used to offer a concierge service and I would like to know more details about what that would entail. Does it mean like meeting people at the airport? Does it help them with picking out …
Yes, okay. On page B -80 under the Concierge Services, I know that the BDA used to offer a concierge service and I would like to know more details about what that would entail. Does it mean like meeting people at the airport? Does it help them with picking out schools for their kids? What level of concierge service is it going to be? Is it going to be strictly corporate, or is it going to integrate corporate and personal? On page B -79 under . . . okay, under the FinTech unit . . . so that has been subsumed under this Ministry —
Hon. E. David Burt: Yes.
Ms. Leah K. ScottPreviously, the estimate was $165,000 and now it is down to $150,000, and I would like to know why that changes there. And under 104080, Tech Awareness . . . sorry, on the same page B -79, 104080, Tech Awareness and Development, that was $131,000 and now it has gone …
Previously, the estimate was $165,000 and now it is down to $150,000, and I would like to know why that changes there. And under 104080, Tech Awareness . . . sorry, on the same page B -79, 104080, Tech Awareness and Development, that was $131,000 and now it has gone to $132,000 and why has that changed? And, again, on page B -79, 9403, 104100, D igital Leadership, that is now $179,000 down from $194,000. So, why the change for that? In terms of just like going back to the Objectives, for page B -78, objective 3, “Analyse innovative developments and trends through research and stakeholder engagement ,” who will be conducting that analysis? How are they . . . what data are they going to be looking . . . I know that developments and trends, but anything specifically or more specific than that? How will that data be shared and what will be the cost for t hat? Will that be for external consultants, or will it be done or will we be utilising people in Bermuda to be able to do that? I had a question just on objective 4 where it says “Position Bermuda as an idea test market for innovative product and industry development.” And I thought that we were already a premier jurisdiction— and we are, in terms of innovative ideas. We have got the Sandbox, we have got a lot of things that put us ahead of other jurisdictions. So, what do you mean “position us”? I think that we are already in a good place, so I would like to hear more about what that would look like. And, again, on page B -78, “Publish articles and editorial content in local and international public ations to promote and reinforce Bermuda as the opt imal juris diction for business across various industries.” So, because we are comprised of multiple i ndustries —we have got investment management, asset finance, trust, corporate funds, insurance— are you going to be looking at the publications, or how are you going t o be determining which publications we will be advertising in or putting information in? It is important to get the publication that is going to give us the broadest reach. And it is going to be important to get the publications where people actually are i nterested in using Bermuda as a jurisdiction. So, I would like to hear more about that. And then, which jurisdictions you are looking at publishing and what those publications are specif ically and how it is determined. You know, if you are going to publish an article for trusts, how do you determine what publication that is going to be and what your target market is and where your distribution is going to be and where you are going to get the most bang for your buck? And that would be across the board for a ll of the industries. And, again, on the Objectives, “Develop a clear education and training plan to drive innovation through foundational learning, fostering entrepreneur-ship, [upskilling] Bermudians and enabling broad access to knowledge.” And that, I guess, goes back to my question about finance and those other industries and whether or not there is any possibility of the commitments that they made to us coming to fruition. I totally support that and I would like to see it come to fruition and I would just like to know where we are with that and who would be responsible for the development of the training programme. Is there a clear, I guess, high- level overview in place and what does that look like? On page B -81 under Performance Measures . . . and thank you to the Premier for clearing up the 600 per cent and the 300 per cent earlier. So the Ec onomic Development and Diversification Strategy has already been developed, I take it from here. And will that be shared with us? And what does it look like? And, a gain, just going back to the articles and editorial content published, where have those articles been
Bermuda House of Assembly published and what targeted jurisdictions have already been utilised? There were, this says, seven privacy officers who were trained in 2020/21. Is it ant icipated that there will just be those seven or is that number going to increase? Under Public Servants trained in PIPA in 2020/21, do those public servants cover a range of departments? And, if so, what are those departments? And, at some point will all public servants be trained in PIPA? Under the Organisation Certified and the Bermuda- based Cybersecurity and Privacy Pr ogramme, who are those organisations and what does the certification consist of? Research, Stakeholder and Engagement init iatives complet ed, what are those initiatives? Who are the stakeholders who were engaged? And what is the result of those initiatives? And what is anticipated being done with the information that was collected or the data that was aggregated? Initiatives offered in the C ommunity, I would like to know what those initiatives are, what the inte ntion of those initiatives are. Are they one- time initiatives or are they going to be ongoing? Are they going to be built upon? And under New Legislation, programme 9404, Research and Legislative Support, I would like to know what new legislation is anticipated. I know that there is a piece of legislation that we will probably be tabling after the budget, but is there anything else that is anticipated? And if so, what is it? And under programme 9405, Concierge and Entertainment, companies that are satisfied with the concierge services, that is 100 per cent. What are those companies? What were the services provided? And is this part of the Concierge programme that is referred to on page B -79 under 9405, 104120? I would like to hear more about Invest Berm uda and the new capital initiative. And the Premier did state that there will be vetting through World- Check. I would like to know how World- Check was selected and if that is actually the best tool to vet individuals, particularly because there are some people who were vetted but were still able to get through and set up companies in Bermuda which are questionable. And I think that is the extent of my questions. Thank you, Mr. Chairman.
The ChairmanChairmanThank you, Madam. Is there anyone else who would like to speak to Head 94, Economic Development? I call on the Premier. Hon. E. David Burt: Thank you, Mr. Chairman. I will try my best to try to answer some of the questions while I know some of the more …
Thank you, Madam. Is there anyone else who would like to speak to Head 94, Economic Development? I call on the Premier.
Hon. E. David Burt: Thank you, Mr. Chairman. I will try my best to try to answer some of the questions while I know some of the more technical questions will be coming to me. The first question, I think, was along the matters of the concierge service itself. And there was a question as to whether or not the Business Development Agency offers that service. Technically it does not, which is part of the problem. And what I would say is the way that the BDA was set up it is a public/private partnership and so some of the challenges which we have had are that companies will come to the BDA and the BDA will then say, Oh, here are the law firms, here are the people who do this, here are the people who do that, here are the people that . . . and so then it is up to the client to then contact those law firms or contact their service providers, et cetera.
Ms. Leah K. ScottSo, could I just give you a point of information in terms of the BDA?
The ChairmanChairmanWill he accept the point of information? Hon. E. David Burt: Go ahead. POINT OF INFORMATION
Ms. Leah K. ScottThank you. The BDA actually does do that. I do not know if they do it officially, but they have done it for clients that we have had coming in. And so that is why I was . . . and the question is not limited to just the BDA, …
Thank you. The BDA actually does do that. I do not know if they do it officially, but they have done it for clients that we have had coming in. And so that is why I was . . . and the question is not limited to just the BDA, the question is . . . okay, all right, thank you.
Hon. E. David Burt: Yes, I know what the BDA does and I know what the Business Development Unit does currently, and I know what the Economic Development Department will do. The challenge is that what happens is that sometimes that contact can get lost. And so, if you are telling someone, Oh, here are the lists of four law firms, it is up to them to follow up with the law firms themselves. It is up to them to do that type of work and that is just the way that it is set up and s tructured right now because, clearly, they are not supposed to be picking favourites and all the rest because they are a public body. And it presents its own unique challenge. But they do not provide the concierge service which is provided for by the Busin ess Development Unit currently, which will be the Economic Development Department. The reason why I say that is because what they do is that they handle the government interaction. So, if there is an issue of getting the new business work permits done and expedited, they can handle that, any type of residential permissions, et cetera, they can handle those type of things. It is making sure the registration can take place very quickly with social insurance, payroll tax, et cetera. Anything that is ha ving to deal with interfacing with a particular gover nment department, that is what is handled through the concierge service particularly. 3248 2 March 2020 Official Hansard Report
Bermuda House of Assembly Regarding the issue of the BDA itself, because you asked if they did it. I know that this is something which they are looki ng at, figuring out how they can better assist in managing the sales pipeline and actually making sure there is a better job of con-version. Sometimes conversion can die if someone expresses interest and you say, Oh, here, look at these four law firms. Then conversion can somehow die. So, it is a question of that . . . managing the metrics from the sales force, understanding when people drop off, whether people are being followed up with and all those types of items which I think are i mportant. There was a question as to why was there the reduction, $165,000 to $150,000 in the FinTech unit. The only thing I will say is it is part of the particular reduction— not necessarily reductions overall —but you are consolidating departments, so you do not have to spend as much individual as you would have in a broader sense. I mean there is plenty of overlap and that is the beauty of merging a number of de-partments or various items into one so you have the efficiencies. The same work will continue. The work will be pushe d on. But that would be the reasoning for it. One of the questions was when you were r eferring, I guess, to page B -79, who will be analysing the trends in . . . oh, sorry, B -78. You asked who will be analysing these particular trends. It says “Analy sing innovative developments and trends through r esearch and stakeholder engagement.” That is a combination of a number of factors. It is a combination of whether those things come from various market r esearch, whether that is something that comes through the Business Development Agency, whether that is something that comes from the general public. It is a question of economic intelligence, understanding what things are, what the types . . . where things are ge nerally moving. And that is the reason to have a de-partment which is specifically dedicated to that. Right now, you know, if there is something that is happening in Fisheries, it might be over in Agr icultural Fisheries, if it is something that is happening in, you know, subsea cable corridors or all the res t, that is over somewhere in the BDA, but then som ehow in, you know, Agriculture and Fisheries as well with Home Affairs there are lots of different places. And so, the prospective is . . . of course, in other countries they do have departments of commerce whose job it is to try to grow economies. And we just do not have that here in Bermuda, which is part of the reason why I am setting these up because these are handled in multiple departments. So, there can be examples of things which were handed off fro m the BDA to the BDU, which pr edated our time here, where things got dropped. And that is not to place blame; it is an imperfect nature of how these particular things are set up. So, right now what would happen is that someone would be sent to a particular government department. We are trying to avoid that sending to a particular government depar tment and have people deal with one section or one person or one group of people who are dedicated to making sure that development activities happen. I am not tryi ng to be purposely pejorative, but sometimes persons have no incentive to try to do something else for an economic development goal because that is not the remit of their particular mini stry. Their ministry or their department is not there to do that. And that is why I am saying if there is a department that is set up to handle those things and they are the point of contact, then they can go ahead and they can drive and then they can go ahead and ensure that the Minister (or whomever else is respons ible) can be aware of challenges which are happening. At other points in time what will happen is that individuals and potential investors will be dealing with a department that does not have any type of economic development expertise, they will meet a dead end, the issue may not get escalated, and then the person just goes and looks in another jurisdiction because we are dealing with that. And that is what we are trying to resolve in these particular situations. The fourth matter where you said, “position Bermuda as an ideal test market for innovative product and industry developments” and you said you thought we were already there. Our structures are, in some ways; they can get a little bit better. Our structures are, and it is all part of the growth and the evol ution, but the fact is that people do not know.
[Inaudible interjection] Hon. E. David Burt: And that is the thing. People do not know, as well. So, I mean, even inside the FinTech mix people do not know. And so, as much as we may hear about it here, it is not as though people are hearing about it externally as well. And so that is why it is very important to continue that particular drumbeat. But the view is that Bermuda is uniquely pos itioned, and this was also reflected, I think, in the Cornell/Queens Report which was done by the Chamber of Commerce, that Bermuda is uniquely positioned because of the fact that it is 20 square miles, because of the fact that it is 65,000 people, because of the fact that we have incredibly high Internet penetration rates, and it is a closed ecosystem that has everything in it from health care and transportation t o all types of items. Bermuda can be very effective for that type of test place where you can test products and services (especially with technology), see how they work and then scale them up to the world. And it ideally works for us from an intellectual property perspective, that the intellectual property can be developed here, can be marketed here, can be based here, as it is being built and then gets scaled up to the world.
Bermuda House of Assembly So, that is the positioning that we have been moving towards. That is the positi on which, when I go out on the road, I lay it out. And that is the position where we go to Silicone Valley and other places and that has to be . . . and so there are different things that have to be built onto that because it will still be difficult for co mpanies to do that, setting up from scratch. But if you almost lay out a template of how these things can be done, and the type of things, and make sure it is available and easy, then that is what it is about. It is about bringing together all of the types of things that are in support of economic development into one place so that they can continue to be driven as o pposed to, as I said, in different places where they were before. There was a question about publications. I do not know the publications that the things are going to be done by. I would say that the publications are going to be informed by research. For instance, when we look and do certain things, depending on the market which we are going for, although there is not a huge amount of external c ommunications budget here, we have to remember that this is under the Cabinet Office itself, so with the external communication arms which we use, we will also use external communication r esources that the Business Development Agency uses as well to coordi nate those particular efforts. But I would say it would be informed by r esearch. So, if you are trying to, for instance, when we are doing things to reach certain markets —London markets or others —we will use the things to reach those particular markets. I t is just a question of which ones you want to use. And so, that is it. There was a question regarding . . . first of all, there was a question regarding whether 104080, Tech Awareness and Development, was in response to our following up on the MOUs which were signed with r egard to the FinTech items. And I am now going to call . . . I am going to miss one off the top of my head, but there were a number of MOUs which were signed, specifically the ones that you requested and spoke about —Binance and Shyft, specifically. Shyft is cu rrently engaged with the Government of Bermuda. Remember Shyft is the one that is working on the EID pilot. So they did come through actually with inves tments in Bermuda companies. They did make some money for investments in Bermuda companies, and they are continuing to do the proof of our concept pilot. Binance: The engagement continues with B inance. As the crypto- world changes very quickly, so do things change very quickly. But they are still engaged with the FinTech Business Unit. They were here for Tech Week. There are still things which are being worked on, but we have to remember [that] the reason why Binance did not set up in the first place here was the issue of banking. So, it is still on the road to the resolution of those particular matters and those particular challenges, which are difficult. And that is a multi -pronged attack. So, whet her it is the Minister of Finance travelling to the United States supported by our lobbyist of record in dealing with issues of de- risking, dealing with Bermuda’s records, and looking and having meetings with the Office of the Comptroller of the currency to make sure that Bermuda has less of this scrutiny applied to it —both for the gaming perspective and for the FinTech perspective —or whether or not it is the additional work of attracting additional players to the market, which is particularly important, that is a challenge. So, in other jurisdictions there are a multitude of banks where persons can have their options and certain banks have higher risk appetite. We just do not have that here. And we know, we understand, and it is difficult, as has been said. It is difficult for fully esta blished and, no- question legitimate, businesses to establish bank accounts in Bermuda. So any type of thing which provides risk . . . that, in itself, is providing a particular challenge for us. In some cases, those things are managed to be overcome. In other cases, unfortunately, the companies that are here . . . one of our larger players who . . . I do not k now if their next press release went out, so I am not going to step on what they have done. But they have incorporated another company and got another licence here. I do not actually think they do a lot of local banking here, and that is the challenge. I mean, it is a particular challenge and it has constrained the possibility of growth in this area. It has certainly constrained it. But Bermuda is uniquely well - positioned, and the fact is that just about every single one of the largest digital asset compani es in the world has a Bermuda presence . . . a Bermuda company. And every once in a while they are engaged. So, it is there. It is just a question of how those things develop, recognising the constraints with banking. What I would say is that I saw you made a tongue- in-cheek comment about World- Check and other particular items. It is all right. I will go ahead and say that World -Check is used by the Registrar of Companies. I know that the Financial Intelligence Unit will use higher levels of stuff and ther e are ones at the higher levels. But at any point in time persons can ask for a higher level of due diligence checking, and if that higher level of due diligence checking is done, it is able to be facilitated by others. The fact is I will always make sure that ever yone is reminded that just because something happens if you are on the Internet does not necessarily mean that it is going to happen to appear inside of official databases as verified in fact. That is the point. And so, I trust our agencies who vet these persons. I trust the Bermuda Monetary Authority’s view of vetting persons. I trust the enhanced due dil igence which may be done through the Financial Inte lligence Unit when asked for by the Minister of F inance. So, I trust the vetting processes whi ch exist in the Government of Bermuda and I am sure that all of 3250 2 March 2020 Official Hansard Report
Bermuda House of Assembly us trust the vetting process which exists for the Government of Bermuda. However, on just a basic level, when there are meeting requests, which may come into the Economic Development Department, that basic level check will be done facilitated by their own access to WorldCheck, whereas now they have to send off requests to someone else to do it. And it is a question of just facil itating their own access. So, I think there is an add itional lice nce or something in order to . . . just to make it more efficient so it does not have to go somewhere else. Right now, they do not have direct access, so they have to ask someone else to do it. They have to go to the Registrar of Companies or go there and all the rest. Now, it is just to facilitate and expand the existing licence.
Ms. Leah K. ScottSorry. Hon. E. David Burt: That is right. Get her in line, get her in line. [Laughter] Hon. E. David B urt: Anyhow, there was a question about who is responsible for training and education. Right now, the training and education components, which are being handled right now, are currently …
Sorry. Hon. E. David Burt: That is right. Get her in line, get her in line. [Laughter] Hon. E. David B urt: Anyhow, there was a question about who is responsible for training and education. Right now, the training and education components, which are being handled right now, are currently being handled under the FinTech Business Unit. And a lot of it is arou nd technology. That particular issue is being led by Dr. Gina Tucker, who did a fantastic job in upgrading and upskilling, and it is something that is necessary in continued education engagement. We, of course, on the political level do not have the power to state who gets placed where. I do not know who will be leading up that particular aspect. But I do know that it is going to be a public officer because it is important that if you are trying to attract and build industries, you also have to make sure t hat the talent is here and being incubated to be a part of that particular industry. There were questions on privacy officers. R egarding privacy officers trained, the seven that were trained are the first of the trainees. The goal will be to have a privac y officer per Ministry and some depar tments may want and need their own privacy officer , kind of in a similar way that the information officers are set up currently.
The ChairmanChairmanMinister, you have two minutes. Hon. E. David Burt: Oh, sorry. Public servants trained. All public servants will receive training quarterly. [Crosstalk ] Hon. E. David Burt: I am sorry. Everyone is shouting over me. I just want to . . . [Crosstalk ] The Clerk: [There are] 17 minutes …
Minister, you have two minutes.
Hon. E. David Burt: Oh, sorry. Public servants trained. All public servants will receive training quarterly. [Crosstalk ] Hon. E. David Burt: I am sorry. Everyone is shouting over me. I just want to . . . [Crosstalk ] The Clerk: [There are] 17 minutes .
Hon. E. David Burt: Okay. I will cont inue. Public servants trained. All public servants receive training quarterly. Organisations certified in Bermuda’s Cybersecurity and Privacy Programme. The programme will help to ensure that organisations meet privacy and cybersecurity requirements as per the Cybersecurity Strategy and the Personal Information Protection Act. However, it is recognised that doing this may be diff icult for some smaller organisations to know what to do. The Cybersecurity and Privacy Certification programme is primarily focused on smaller organis ations to ensure that they are meeting the key requir ements to secure their businesses. Organisations will be able to be assessed by local authorised entities to be certified under the programme. Most important to note is that one of the things of which I am particularly cognisant of is the desire to not put additional r equirements onto small business. And so, in the interactions and discussions with the privacy, which right now is under the Department of ICT Policy and Innovation (w hich is underneath me) also with the Privacy Commissioner who has now started (who I introduced myself to), I was very firm on this point, that we need to come up with a very simple tool kit, templates that people can follow, and not trying to push this as something else. And I use the . . . she is probably listening, so she will get mad at me. I use the example of my 70 - year-old mother who uses a computer at her beauty salon to check people in. But in some ways you might be collecting privacy information. It is not something that, you know, we are trying to put the burden on those types of persons who come and get a certific ation and do this and all the rest. I think that is partic ularly unrealistic. So, it has to be . . . I would say you have to make sure that whatever is done and impl emented is done in a level of a risk and it is done in a, you know, risk -based framework, kind of saying, of what is necessary proportionally (that was the word I was looking for, thank you) as opposed to, you know, versus th is whole everything issue. I have got your answer for publications, but currently publications include The European, World Commerce Review , e-Bermuda , Visit Bermuda and Your Future. So those are publications that are right now with ICT Policy Innovation. But there are other broader ones that will better used for other particular issues.
Bermuda House of Assembly You asked about the various initiatives that were done. There were tech awards at Tech Week, Digital Leadership Conference and Tech Talk and there will, undoubtedly, be other initiatives that are going to be related to entrepreneurship and economic development as we go forward. Just trying to get all your—
The ChairmanChairmanMinister, you have 15 minutes. Hon. E. David Burt: I am just trying to answer the questions, but I am happy to defer if there are more questions to come and I can go and answer some more afterwards.
The ChairmanChairmanI recognise the Honourable Shadow Minister of Health and Shadow Minister of Finance, Patricia Gordon- Pamplin. Hon. Patricia J. Gordon -Pamplin: And everything else. Thank you, Mr. Chairman. Mr. Chairman, on page B -81 in respect of the Performance Measures relating to programme 9404, Research and Legislative Support, the Premier …
I recognise the Honourable Shadow Minister of Health and Shadow Minister of Finance, Patricia Gordon- Pamplin.
Hon. Patricia J. Gordon -Pamplin: And everything else. Thank you, Mr. Chairman. Mr. Chairman, on page B -81 in respect of the Performance Measures relating to programme 9404, Research and Legislative Support, the Premier hig hlighted that there were meant to be three new bits of legislation. I wonder if he could just give us some ind ication as to what those three, that he perceives them to be at the moment, might be to satisfy that. And also, with respect to the Honourable Member’s explanation of various challenges, one b eing the banking challenge, my question was with r espect to, I guess, initiatives being offered or whatever within the FinTech space and some of the difficulties that we have encountered with respect to banking. The question that I have in that respect is given . . . he mentioned FinTech and gaming in respect to banking. The question that I have in that respect is, with as many jurisdictions as have been successful in making the determination that they are able to have their pr oceeds banked, what engagement have we had with those jurisdictions that might give us some insight as to how to surmount some of the hurdles that we have experienced with getting our jurisdiction approved, as it were, for banking? I am just curious.
The ChairmanChairmanWhich Head was that and which line was that? Hon. Patricia J. Gordon -Pamplin: Well, this was the Minister . . . I would imagine it would have been on the Initiatives, that would be on page B -81, and it was just the response that the Minister — [Inaudible …
Which Head was that and which line was that? Hon. Patricia J. Gordon -Pamplin: Well, this was the Minister . . . I would imagine it would have been on the Initiatives, that would be on page B -81, and it was just the response that the Minister —
[Inaudible interjection]
Hon. Patricia J. Gordo n-Pamplin: No, I am just cur ious, because I think that when you have places like Vegas and all these kinds of places, then I would just be appreciative . . . not so much for me, because I know some of the information. But I think it is more important for the public at large to be able to understand we are experiencing challenges and roadblocks, and our success in these areas is predicated upon having satisfact ory banking arrangements. So, if the Premier could just give a little bit of explanation on that as well as the legislative initiatives that they are planning. Thank you.
The ChairmanChairmanThank you. Is there anyone else that would like to speak to this Head before we have the Minister answer the question? No? Minister. Hon. E. David Burt: I am quite certain there will be more questions coming, I will . . . can I speak, Mr. Chairman?
The ChairmanChairmanYes, you may. Hon. E. David Burt: I am happy to. Regard ing the upcoming legislation, I do know that there are two particular issues that are currently being worked on and advanced under the Business Development Unit, which will be, of course, subsumed into the Economic Development Department. The …
Yes, you may.
Hon. E. David Burt: I am happy to. Regard ing the upcoming legislation, I do know that there are two particular issues that are currently being worked on and advanced under the Business Development Unit, which will be, of course, subsumed into the Economic Development Department. The first one is the Intellectual Property r egime. Intellectual property . . . so it is the upgrade to our intellectual property regime, which is being han-dled and which is being coordinated by the part of the Business Development Unit currently to be migrated into the Ec onomic Development Department. And so, this is a comprehensive review of Bermuda’s intellec-tual property regime to make sure that we can make changes to make it more nimble and more competitive in the global market. There is a view that our things are a little bit out of date. And we want to make sure that we bring them up. This is not just in regard to treaties, but this is how to ensure that in a time when we have ec onomic substance, et cetera, we can make sure we have the most up- to-date intellectual property regime to allow for future economic growth. The next item I know that is being worked on from a legislative perspective is the upgrades and changes to the Incentives for Job Makers Regime as well. And that is being led under the Business Devel-opment Unit who has the administrative responsibility for the processing of requests for incentives for job makers. In regard to the question which you asked about banking, it is . . . the reason why is before there was this heightened concern. These banks al ready had these relationships, they already existed. So, the Bahamas is having a gaming industry from, I guess, 3252 2 March 2020 Official Hansard Report
Bermuda House of Assembly the 1970s. Vegas long before. Therein lies the issue. The issue is what existed before and the banks that were able to do it so were able to ref ine their proces ses, et cetera. As I said, it is the difficulty of the banks here. I give an example—and this one is not in r egard to gaming, but I am going to give you an example in regard to FinTech. And I think I have said it before. One of our banks in Bermuda had even . . . they wanted to . . . because they wanted to participate i nside of this particular activity, they had a company that had set up an operation in Bermuda. They said, Okay, this company has set up their operation in Bermuda. The correspondent bank which they used . . . I am sorry, the bank which they banked with in the United States was the exact same correspondent bank that was used by the local bank which they wanted to bank with. So, they asked their correspondent bank, You bank this client in the United States, we would like to bank this client here in Bermuda, and the correspondent bank said no. So understand, the local bank said, What if we set up a completely separate entity that is outside of our entity that is going to be used f or these things to help to mitigate that risk. Will you be our correspond-ent banking relationship? (For the same client that they are banking in the US.) And they said no. It is a challenge, and it is a difficult challenge. And that is why it is important to make sure we have our ratings on anti -money laundering, counter - terrorism financing up there. But that is why it is also incredibly important for continued engagement with the United States and the Office of the Comptroller of Currency. The reason why i s because there is signif icant, I would say, uncertainty and risk with financial institutions because of so many actions of the D epartment of Justice in recent times in dealing with these particular matters. People just handle this derisking issue with a very broad brush. The Minister of Finance did attend, as facil itated by our DC Office, in addition to a number of ot her CARICOM Ministers of Finance and heads of government, a meeting with the Financial Services Com-mittee of the House of Representatives o n this derisking issue to advance these particular things. I know that part of our advocacy has been helpful, so there has been—
[Inaudible interjection]
Hon. E. David Burt: Yes, on the de- risking stuff, yes, The Group. But part of that advocacy has been hel pful. I think it is also recognising that part of that advocacy has seen that Bermuda people are looking at Bermuda for what Bermuda has been doing inside of the FinTech space and the digital access space as well. So, for the opening statement in the House F inancial Services Committee for a hearing to reference the good work that is being done here means that we are certainly doing a good job of keeping up the foreign advocacy on those particular levels. So, the banking one is a little bit more diffi cult and certainly the more difficult because other places have existing banking relationships. In Bermuda, you know, you needed the permission of the Minister of Finance to open a bank. And as I tell the story, som etimes, the Minister of Finance ran a bank.
The ChairmanChairmanThank you. Does anyone else wish to speak to Head 94, Economic Development? No. Minister, you have the floor. Hon. E. David Burt: Thank you very much, Mr. Chairman. Mr. Chairman, I move that Head 94 be a pproved as printed. The Chai rman: It has been moved that Head …
Thank you. Does anyone else wish to speak to Head 94, Economic Development? No. Minister, you have the floor. Hon. E. David Burt: Thank you very much, Mr. Chairman. Mr. Chairman, I move that Head 94 be a pproved as printed. The Chai rman: It has been moved that Head 94 be approved. Is there any objection to that motion? Hon. Patricia J. Gordon -Pamplin: I have no objection to the motion, but the Minister indicated “as printed” but he also indicated that he had an erratum for page B -78 for Head 94. I wonder if he would just make sure that we are approving with the necessary corrections that will come on the erratum.
The ChairmanChairmanThank you. Point taken. Hon. E. David Burt: Point taken, especially, absolut ely . . . hence, it applies to the money, it is not there. But gotcha, we will make sure it is fixed.
The ChairmanChairmanIt has been moved, as I said, it has been moved that Head 94 be approved with erratum. Is there any objection to that motion? No objection. Thank you. [Motion carried: The Ministry of Economic Development, Head 94, was approved with erratum, and stands part of the Estimates of Revenue …
The ChairmanChairmanOkay, we now move to Home A ffairs—sorry —Tourism — The Clerk: Head 48.
The ChairmanChairmanHead 48, Tourism. Mr. Minister, you may proceed. Bermuda House of Assembly MINISTRY OF TOURISM AND TRANSPORT HEAD 48 —MINISTRY HEADQUARTERS Hon. Zane J. S. De Silva: Thank you, Mr. Chairman. Mr. Chairman, I move the following Head 48, Ministry of Touris m and Transport Headquarters be now taken under …
The ChairmanChairmanYou may proceed. Hon. Zane J. S. De Silva: Mr. Chairman, it gives me great pleasure to present the budget for Head 48 of the Ministry of Tourism and Transport. The budget appropriation for the entire Ministry will total $88,308,337, found on pages B -199 through B -203 of the …
You may proceed.
Hon. Zane J. S. De Silva: Mr. Chairman, it gives me great pleasure to present the budget for Head 48 of the Ministry of Tourism and Transport. The budget appropriation for the entire Ministry will total $88,308,337, found on pages B -199 through B -203 of the Approved Estimates of t he Revenue and Expend itures for the year 2020/21. Departments under the Ministry for the fiscal year include: • Ministry Headquarters (HQ) —Head 48; • Marine & Ports Services (M&P) —Head 30; • Transport Control (TCD) —Head 34; • Public Transportation (DPT) —Head 35.
Mandate or Mission
Hon. Zane J. S. De Silva: The mandate or mission: Driving tourism to grow the economy and promote employment; transporting people and goods efficiently and safely. Mr. Chairman, the Ministry of Tourism and Transport Headquarters or Head 48 consists of an Administration section (cost centre 58000), a Transportation Planning Team (cost centre 58010), and the Hotel Regulatory and Policy section (cost centre 58020). In addition, the Ministry of Tourism and Transport maintains oversight of t he: • Bermuda Civil Aviation Authority; • Bermuda Shipping and Maritime Authority; • Bermuda Airport Authority; and the • Bermuda Tourism Authority.
ADMINISTRATION —HEAD 48 (Cost Centre 58000) Hon. Zane J. S. De Silva: Mr. Chairman, the Ministry Headquarters Admi nistration Budget of $38,303,974 includes the Current Account Operational/Expenditure Grants and Contributions as seen in Schedule 1, page C-19 of the Approved Estimates of Revenue and E xpenditures, to: • The Bermuda Airport Authority in the amount of $14,508,440; and • The Bermuda Tourism Authority in the amount of $22,500,000. For the fiscal year 2020/21 the Administration Budget also includes Grants and Contributions to the following entities: • World Triathlon Series —$443,400 (Year 4 of a 5-year commitment); • Bermuda Heroes Weekend—$70,000; and • Cup Match— $75,000.
Expenditure Overview
Hon. Zane J. S. De Silva: Mr. Chairman, the total current expenditure for the Ministry of Tourism and Transports Headquarters, Head 48— all three sections —is estimated to be $38, 828,000 for the fiscal year 2020/21. The above represents a decrease of $647,000 over the prior year’s original budget of $39,475,000. The decrease is due primarily to a reduction in the 2020 World Triathlon Series (WTS) contractual oblig ation, which decre ased from $2,070,470 in 2019 to $443,400 in 2020. The reduction was mostly offset by an i ncrease in the operational grant provided to the Ber-muda Airport Authority, in the amount of $1,208,440. The WTS grant obligation will increase again in 2021 to $1,635,210.
TRANSPORTATION PLANNING TEAM —HEAD 48 (Cost Centre 58010) Hon. Zane J. S. De Silva: Mr. Chairman, the Transportation Planning section within the Ministry of Transport Headquarters (cost centre 58010) has been allocated a budget of $143,255 and can be found on page B -200 in the Budget Book. The Transportation Planning Team within the Ministry of Transport Headquarters oversees cruise ship operational, regulatory and legislative matters. Together with the Minister and Bermuda Tourism A uthority, the Tr ansport Planning section develops the Island’s cruise ship strategy. Currently, this strategy has a strong focus on increasing cruise ship passenger spending and attracting a mix of cruise brands that can visit the City of Hamilton and the Town of St. Geor ge’s. Mr. Chairman, I would like to update you now on cruise ship activity. In 2019, Bermuda received 184 cruise ship calls bringing 535,561 cruise ship passengers to our shores. In 2020, we are projecting 193 cruise ship calls and forecasting a conservati ve increase in passenger arrivals at 540,000 over 2019. Our conservative approach to estimating the number of passengers and the resultant taxes and fees for the upcoming season is due to four factors: 1. Bermuda experienced a higher than normal number of cr uise ship cancellations due to weather in 2019. There were a total of nine cancellations. 3254 2 March 2020 Official Hansard Report
Bermuda House of Assembly 2. There is a shift in cruise arrival and departure patterns in the 2020 cruise ship schedule compared with 2019. The 2020 schedule features fewer contract cruise ship calls, although both cruise lines —Norwegian Cruise Lines and Royal Caribbean International —will meet their contractual obligations. Additionally, there are a number of calls falling outside the tax period of April 1st to October 31st, and more “occasional” callers too. 3. There are shorter trip stays in port. 4. The impact of the Coronavirus [COVID -19] on Bermuda visitation is an unknown factor at this time. Mr. Chairman, as you will be aware, Bermuda is now almost a year -round cruise ship destination. I would l ike to share an overview of the upcoming 2020 season which begins in earnest in April. Bermuda’s contracted cruise ship partners begin their deployment on the 8th of April and run through to the 17th of December. Grandeur of the Seas will make 19 calls; th e Anthem of Seas goes away for dry -docking in Europe and is replaced by a smaller ship called the Adventure of the Seas with 17 calls; the Norwegian Escape is being replaced by the Norwegian Encore, which is the newest ship in the Norwegian fleet, making 32 calls; the Norwegian Gem returns with 25 calls; and the C elebrity Summit ship has reduced her calls to 7 this season. This represents 100 regular cruise visits. There are 93 occasional cruise calls expected in 2020. Mr. Chairman, of particular note is Carnival Cruise Lines’ expected 28 calls this year —up 8 calls over 2019. Also of note, Norwegian Cruise Lines is deploying an additional 10 occasional calls to Doc kyard using non- contract ships. Norwegian’s Regent Seven Seas and Oceania brand ships will continue to make 12 contract calls to St. George’s between the 4th of April and the 6th of November, with a 13th ship calling into both Dockyard and St. George’s on May 14th and 15th, respectively. Furthermore, St. George’s will see 7 additional occ asional c alls, making a total of 19 calls into the Old Town in 2020. The City of Hamilton will receive 18 calls between April 8th and the December 11th this year. Of particular note, Mr. Chairman, is the Royal Caribbean Cruise Lines six calls of the Empress of the Seas , doing two- port itineraries between St. George’s and Hamilton. We anticipate this number of calls to i ncrease year over year as we continue our negotiations with Royal Caribbean Cruise Line. Mr. Chairman, Disney Cruise Lines will return with three ca lls to Dockyard between October 14th and October 30th this year. On May 1, 2019, the Ministry of Tourism and Transport gave one year’s notice to all cruise lines that the estimated revenue from the large ship infr astructure tax was insufficient to support the transport infrastructure needed to handle current and future i ncreased passenger demand. Therefore, the Government found a solution and made a policy decision to provide one year’s n otice that the “Large Ship Infrastructure Tax” will be redefined and r enamed the “Transport Infrastructure Tax.” Accordingly, the tax rate has been increased from $22 to $25 per passenger over the age of two. This name and increased rate change will take effect 1 May 2020 for all cruise ships, regardless of the size and pass enger count, that berth in Dockyard or anchor and tender to Dockyard between April 1st and October 31st. The projected revenue is $11,100,000 and will go a long way to assist in the refitting, upgrad-ing and new purchase of transportation infrastructure. Mr. Chairman, Cruise Ship Passenger Departure Tax revenue is estimated at $25,200,000 and the Cruise Passenger Visitor Fee, which will go directly to the Bermuda Tourism Authority, is estimated to yield about $6,800,000. Government taxes from cruise ship pas sengers and the BTA cruise passenger visitor fee co mbined will generate an estimated $43,100,000 be-tween April 1 st and October 31, 2020. Mr. Chairman, Bermuda will also host six i naugural cruise ship calls in 2020: • MSC Meraviglia, April 17; • Seven Seas Splendor , April 18; • RCCL’s Rhapsody of the Seas , April 22; • NCL’s Encore, April 24; • RCCL’s Brilliance of the Seas , May 6; • Carnival Radiance, June 27. To close out this section on cruise visitation, Mr. Chairman, the Cruise Ship Schedule can be dow nloaded from the Department of Marine & Ports website at www.marineandports.bm . Cruise ship calls can change, so it is updated regularly and was last revised on the 14 th of February.
REGULATORY AND POLICY/HOTEL ADMINISTRATI ON SECTION—HEAD 48 (Cost Centre 58020)
Hon. Zane J. S. De Silva: The Regulatory and Pol icy/Hotel Administration section within the Ministry of Transport Headquarters (cost centre 58020) has been allocated a budget of $380,735 as seen on page B - 200 of the Budget Book. Mr. Chairman, the unit is responsible for the inspection and licensing of properties listed on the hotel inventory. As of January 2020, there were 42 operating licensed properties, including: 4 large resort hotels; 11 small hotels (the Azura was added to the hotel inventory in January 2020); 4 cottage colonies; 3 clubs; 7 large c ottages, suites and apartments; 5 small cottages, suites and apartments; 2 inns; 4 bed and breakfasts (not to be confused with Airbnb); 1
Bermuda House of Assembly “floatel” (a boat used as a hotel [ The Venetian]); and 1 vacation rental home. Mr. Chairman, that last category is a new h otel inventory category, and is best described as a v acation rental home which can accommodate 10 or more guests. The unit jointly administers the Vacation Rentals Act 2018 with Consumer Affairs (in conjunc-tion with Ministry of Home Affairs). Vacation rental proprietors are required to complete a self -check application form before being issued a vacation rental certificate or a vacation rental (rent control) certificate. Mr. Chairman, the Vacation Rentals Act 2018 amended the definition of a hotel per section 1 of the Hotels (Licensing and Control) Act 1969 to mean a place which provides sleeping accommodation for 10 or more guests (increased from 6 or more guests). As such, a vacation rental unit is one that provides sleeping accommodation for nine or fewer guests. Those proprietors are required to register and secure a vac ation rental certificate issued by either the Minister r esponsible for tourism or the Minster responsible for rent control. [There have been] 119 vacation rental rene wal certificates issued by this unit on behalf of the Mi nister responsible for tourism. These certificates are valid for one year and expire on 31 August 2020. Mr. Chairman, the unit is also responsible for the administration of the Lotteries Act 1944 on behalf of the Sec retary to the Cabinet. During 2019, 32 raffle permits and 29 business permits were issued under this Act. Mr. Chairman, the Regulatory and Policy Unit also administers the Tourism Investment Act 2017 — the successor to the Hotels Concession Act 2000 — which became operative on 10 November 2017. The Tourism Investment Act 2017 revoked 14 inactive or spent Hotels Concession Orders leaving 8 active H otels Concession Orders in place. The Tourism Investment Act 2017 provides relief—depending on the level of investm ent in the property —as follows: for a new hotel for a period not exceeding 10 years; a refurbished hotel for a period not exceeding 5 years; a new restaurant for a period not exceeding 3 years; an existing restaurant for a period of 1 year; and an attracti on for a period of 1 year. Depending on the qualification criteria, the type of relief can include hotel occupancy tax, the emplo yer’s share of payroll tax, customs duty relief and also land tax. Mr. Chairman, the Tourism Investment Act was amended in November 2019. It was necessary to amend this Act so that it could apply to specific hotel developments presently using a hotel concession order made under the Hotels Concession Act 2000 and, thereby, allowing relevant hotel developers to apply for a tourism i nvestment order. This Tourism Inves tment Amendment Act 2019 applies to Rosewood Bermuda, The Loren at Pink Beach and also The A zura.
Manpower
Hon. Zane J. S. De Silva: Mr. Chairman, the Ministry of Tourism and Transport Headquarters, Head 48, employs eight full -time equivalent employees under the following cost centres: • Cost centre 58000 —Three persons: the Mini stry Comptroller, an Accounts Administrative Officer, and an Executive Assistant to the Mi nister and Permanent Secretary. • Cost centre 58010—One Transport Regul ation and Policy Analyst. • Cost centre 58020 —Four persons: the Senior Manager Regulatory and Policy, a Compl iance Officer, a Hotel Inspector and an Admi nistrative Assistant. Compensation, not including overtime, is approximated at $770,574 of t he budget.
Revenue
Hon. Zane J. S. De Silva: Found on page B -201, Subjective Analysis of Current Account Estimates, of the Budget Book. It is anticipated that in 2020/21, the Ministry Headquarters, Head 48, will generate approximately $17,953,000 in rev enue from the following sources: • Bermuda Civil Aviation Authority — $17,300,000; • Cruise Ship Casino Licences —$615,000; • Hotel Licence Fees —$38,000. The increase in revenue is the result of an anticipated increase in shared revenue from the Civil Aviation Authority in the amount of $1.3 million.
Capital Expenditure Hon. Zane J. S. De Silva: Capital Expenditure, found on page C -5 of the Approved Estimates of Revenue and Expenditure for the year 2020/21. Mr. Chairman, Capital Acquisition and Deve lopment projects within the remit of the Ministry Headquarters pertain to those projects managed by the Bermuda Airport Authority. As you are aware, the Bermuda Airport Authority is responsible for “Retained Government Services” and continues to manage a number of ke y Capital Acquisition/Development related projects for the Government of Bermuda. For the fiscal year 2020/21, the Authority will be provided with $2.5 million for a variety of ongoing key Infrastructure and Federal Aviation Administration (FAA) related pr ojects. I will provide more information about these projects later in this brief. Moving on, Mr. Chairman, the Ministry Hea dquarters, Head 48, includes the four Authorities over 3256 2 March 2020 Official Hansard Report
Bermuda House of Assembly which I, as the Minister, have oversight. I will begin with the Bermuda Touris m Authority.
Hon. Zane J. S. De Silva: Mr. Chairman, the Berm uda Tourism Authority (BTA) was established with a mission not only to promote Bermuda as a destination, but also to be catalysts of econom ic development and to ensure the social and economic enhancement of Bermuda through the expansion of tourism. Mr. Chairman, the National Tourism Plan (NTP) which was released in 2018, set out a multi - year roadmap for our aspirational future for tourism by providing a collaborative way forward—from infr astructure improvements to greater year -round visitor balance and greener, more sustainable approaches. The BTA will work with its partners and stakeholders in order to achieve the aims of the National Tourism Plan. The 2020/21 grant to the BTA of $22,500,000 has been maintained at the same level as 2019/20. It can be seen in the Ministry of Tourism and Transport Headquarters, Subjective Analysis of Current Account Estimates, Grants and Contributions budget li ne located on page B -201, and more definitively on Schedule 1 —Grants and Contributions located on [page] C - 19 of the Budget Book. The total income for the BTA in 2020 is est imated to be $38,702,171 against direct costs and overheads of $38,630,935 and loan and loan interest of $2,356,250. The additional income utilised by the BTA is derived from: the hotel tourism fee in the amount of $8,031,395; cruise passenger visitor fee in the amount of $7,320,776; and vacation rental fee in the amount of $550,000. A further $300,000 in income comprises funds previously ring- fenced. This income, together with the government grant, will give the BTA the ability to deliver on its objectives. Mr. Chairman, the majority of the investment will be dedicated to Sales and Mar keting in the amount of $24,800,000 and concentrated in key mar-kets. It will include out -of-home television, digital marketing and events. The BTA will continue with the successful strategy of investing the funds available in integrated marketing campaigns designed to generate in-year demand for Bermuda as a destination. The BTA will also move forward with the Sports strategy and build global awareness through the marketing partnerships established with the PGA Tour, US Open Tennis, the Clipper Round the Wo rld Race and the World Triathlon Series (including preparation for the 2021 World Championship). Additional events supported in 2020 include the CARIFTA Games and Newport to Bermuda race. Mr. Chairman, the Experience Development Team will continue to inves t in local entrepreneurs and to develop curated activities around the Island to enhance traveller experiences. The initiative, in partnership with the Depar tment of Workforce Development and Bermuda’s hoteliers, to ensure that Bermudians are ready and wil ling for the employment opportunities coming in the Island’s tourism sector will continue through 2020 and will deliver a pathway to preparing Bermudians to take advantage of those opportunities. The BTA will also continue to work with key stakeholders to i mprove standards through the National Service Standards and Certified Tourism Ambassadors programmes. Mr. Chairman, staffing and operational costs are being held in line with the 2019 budget. Tourism represents Bermuda’s best opportunity to create inclusiv e economic growth that benefits Bermudian homeowners, workers and entrepr eneurs. The BTA is committed to further growth of the tourism economy. Mr. Chairman, we will next discuss the Bermuda Airport Authority.
Hon. Zane J. S. De Silva: Mr. Chairman, it gives me great pleasure to present the budget for the Bermuda Airport Authority, which is nearing the end of its third year as a quango under the Ministry of Tourism and Transport. The current account expenditure can be seen in the Ministry of Tourism and Transport Headquarters, Subjective Analysis of Current Account E stimates, Grants and Contributions, budget line located on page B -201 and more definitively on Schedule 1, Grants and Contributions locat ed on [page] C -19 of the Budget Book. Mr. Chairman, the Bermuda Airport Authority delivers a range of essential air navigation services, also known as retained government services, at the L. F. Wade International Airport including: air traffic control; ground electronics; Bermuda weather; and aeronautical information services. As owner of the airport, on behalf of the Go vernment of Bermuda, the Airport Authority also over-sees the performance of the airport developer, Bermuda Skyport Corporation Limited, and its 30 -year concession to redevelop, operate, manage and mai ntain the airport. This includes the large- scale capital project to develop a new state- of-the-art passenger terminal building scheduled for substantial completion and commissioning in the summer of this year. The Airport Authority also regulates airport fees and charges. Recently, the Airport Authority’s second annual report, including audited financial statements for the 2018/19 fiscal year, was laid in the House, thus fulfilling their annual st atutory requirement.
Bermuda House of Assembly Expenditure Overview
Hon. Zane J. S. De Silva: Mr. Chairman, the total Ministry of Tourism and Transport operational expenditures grant to the Bermuda Airport Authority will be $14,508,000 for 2020/21, a decrease of $1,792,000 from t he $16,300,000 revised grant for 2019/20. The Bermuda Airport Authority works with the Bermuda Tourism Authority, Bermuda Skyport Corp oration Limited, and other key stakeholders to develop and implement a comprehensive air service develop-ment strategy for the Island. The goal of this strategy is to attract, expand, and maintain suitable air service which meets Bermuda’s diverse and evolving needs. This Government provided a technical supplemental grant of $3 million in the 2019/20 financial year in support of regular airlift from certain North American cities, and has set aside $1,208,440 in the upcoming financial year to build credible, commercially viable air service opportunities that align with our strategic priorities. Additionally, this Government remains committed to ensuring all community partners play their part to support air service development for the Island. Increases in budgeted Finance and Admi nistration costs and Airport Oversight Services costs as a result of training initiatives to support t he development of Bermudian staff, CPI -based cost increases for salaries, and market driven cost increases in emplo yee benefits and aviation insurance will be offset by operational efficiencies in the delivery of essential air navigation services and reduc ed airport development costs for overseas technical and legal consulting fees directly related to completion of the new passenger terminal building. Mr. Chairman, the Bermuda Airport Authority 2020/21 Capital Budget of $2,500,000 mentioned pr eviously, repr esents the same level of planned capital expenditure as 2019/20. Major capital costs in 2019/20 included: • installation and commissioning of the new Doppler Weather Radar system; • upgrading of several Airfield Navigation Equipment Telecommunication links fro m copper wire to fibre cable; and the • replacement of the Air Traffic Control Tower Voice Switch. In the 2020/21 fiscal year the funds will be ut ilised over a number of key Infrastructure and Federal Aviation Administration (FAA) related projects including but not limited to: • Instrument Landing system Replacement (G - BAS); • Air Traffic Control (ATC) Training Simulator; • Ground Electronics systems (GES) Power Upgrade and UPS Backup; • AIS to AIM Organizational Transitional Sof tware purchase for the certification of the A uthority as an Air Navigation Service Provider; • Bermuda Weather Service upgrade and development; and • Immigration E -Gates for new Airport Terminal Building. It is anticipated that a number of these pr ojects will span a two- year period. Mr. Chairman, the Airport Authority is assis ting other government departments with the procur ement of essential security equipment, furniture and fixtures required for their operations in the new passenger terminal building. Also, it has commenced several airfield capi tal projects including the acquisition of new equipment to improve the Bermuda Weather Service aviation and marine meteorological forecasting capabilities; to st abilise ground electronics power supplies to air navigation aids; to provide a local Air Traffi c Control training simulation facility; and to replace obsolete airfield service vehicles. Major capital projects scheduled for 2020/21 include IT hardware and software purchases and r elated database developments to ensure compliance with international aer onautical information management standards and to redesign airfield runway ap-proaches to be compatible with new instrument land-ing systems technology. Mr. Chairman, the Bermuda Airport Authority currently employs a complement of 45 full -time e mployees, inc luding 37 Bermudian staff, which is expected to grow to 48 full -time employees in financial year 2020/21 with the hiring and training of three new Air Traffic Control Specialists (all Bermudian by the way). The Airport Authority continues to report on the performance of Bermuda Skyport Corporation, in accordance with the terms of the project agreement. These include monitoring key performance indicators, such as: technical design specifications; airport regulated revenues; and airport terminal energy consum ption.
Hon. Zane J. S. De Silva: Mr. Chairman, I will now move on to Bermuda Civil Aviation Authority’s 2020/21 highlights. The Bermuda Civil Aviation Authority (BCAA ) was established as a quango in the form of a body corporate. The BCAA has responsibility for the safety oversight of all local aviation activity which includes the aerodrome (Air Traffic Management, Meteorolog ical Services, Communications Navigation and Survei llance): certifying/inspecting one Bermuda air operator; dangerous goods oversight; foreign air operator oversight; and the issuing of flight permits. BCAA does little cost recovery for the provision of these services which are essentially paid for w ith the revenue from the aircraft registration services. 3258 2 March 2020 Official Hansard Report
Bermuda House of Assembly Mr. Chairman, the BCAA’s Bermuda Aircraft Registry includes private aircraft and commercial ai rcraft. The Bermuda Aircraft Registry enjoys a high reputation internationally as a safe, well -regulated register. Significant growth in the registry over many years reflects the status of Bermuda as a preferred jurisdiction for certification, with excellent credibility, and high standards of regulation. Mr. Chairman, operationally the BCAA conti nues to grow the Bermuda Aircraft Registry which currently stands at 885 aircraft. The strategy to diversify the registry has been successful with the addition of the ICAO [International Civil Aviation Organization] Article 83 bis Agreements being signed with Tajikist an and Kazakhstan. In layman’s terms, Mr. Chairman, the Article 83 bis seeks to reduce the requirement that, for aircrafts to be leased internationally, that ai rcraft must comply with two sets of regulations: 1) the foreign legislation under which the airc raft is regi stered; and 2) the local regulations in the country in which the aircraft actually operates. On occasion, the different national requirements could be in direct conflict, which would actually prevent operation of the leased aircraft. The additi on of these new regions will see the continued growth of a significant and important rev enue stream for the BCAA and the Consolidated Fund. It is important to note that the BCAA has contributed approximately $42 million to the Consolidated Fund since October 1, 2016 with an additional $17,300,000 of shared revenue estimated for the fiscal year 2020/21. Mr. Chairman, the BCAA has successfully completed its first financial audit by the Office of the Auditor General for the six months ending March 31, 2017, wi th the annual audit for March 31, 2018 currently nearing completion. Mr. Chairman, to round out discussion on the Authorities over which the Minister of Tourism and Transport has oversight under Head 48, I move now to the Bermuda Shipping and Maritime Aut hority.
Bermuda Shipping and Maritime Authority’s 2020/21 Highlights
Hon. Zane J. S. De Silva: The Bermuda Shipping and Maritime Authority (BSMA) is a Category 1 me mber of the Red Ensign Group (REG) of British shipping registers and comprises three core divisions: Admi nistration, Registry of Ships, and Survey and Certific ation which work collectively to fulfil the international and national statutory obligations as Bermuda’s Mar itime Administration and to deliver the maritime services required by the shipowners for obtaining the mandatory statutory certification for their ships to engage in international trade. These services provided by the Authority are regulatory functions for which the legal powers are derived from the Merchant Shipping Act 2002 (MSA) and the Regulations made thereun-der. The MSA also provides for charging fees for the regulatory services provided by the Authority. As a Category 1 register the Authority can register ships of any type, size or age, and the fleet of ships on the register i nclude passenger ships, cargo ships, container ships, bulk and liquid tankers and ro- ro vessels. The Authority is also the local Maritime A dministration “flag state,” and the flag state has some very important local and jurisdictional responsibilities that include the enactment of legislation to give effect to the various international maritime conventions and intergovernmental conventions. The flag state also must work with and support the local port and coastal state authorities to ensure the IMO Instrument Impl ementation Code (III Code) is fully implemented in Bermuda. The port state authorities are the two m unicipalities and the West End Development Corpor ation, and the coastal state authority is the Department of Marine and Ports. For the upcoming budget year 2020/21, the BSMA will be focused on improving and promoting its services and growing the ship register whilst ensuring that it meets the requirements of being a Category 1 member of the Red Ensign Group. The BSMA will continue to manage the challenges of operating effectively as a self -sufficient semi -autonomous Authority which is responsible for Bermuda’s Maritime Admi nistration with the associated services and support to the coastal and port states that were previously pr ovided by the Government. A key matter that the BSMA will concentrate on for the budget year 2020/21 is the Implementation of IMO Instruments Code (III Code), which deals with the effective and consistent implementation and enforcement of IMO instruments concerning maritime safety and security, and the protection of the marine environment.
The ChairmanChairmanMinister, may I interrupt you for a second? Hon. Zane J. S. De Silva: Sure.
The ChairmanChairmanCan you tell me what line item the Marine Shipping Authority comes under? I am having problems following where it ties in under a line item. Hon. Zane J. S. De Silva: Well, you just made hist ory, I think, Mr. Chairman. [Inaudible interjection] Hon. Zan e J. S. De …
Can you tell me what line item the Marine Shipping Authority comes under? I am having problems following where it ties in under a line item.
Hon. Zane J. S. De Silva: Well, you just made hist ory, I think, Mr. Chairman.
[Inaudible interjection] Hon. Zan e J. S. De Silva: He did. It must have been a different Minister because I could have sworn I read this out last year. Anyway, I will get that for you, Mr. Chairman. The Code compliance process requires Bermuda to consider technical and operational matter s related to how the BSMA operates as an Authority
Bermuda House of Assembly and how it manages the marine industry under its purview. Considered under the III Code are conventions and other mandatory and non- mandatory i nstruments, as well as the preparation of new mandat ory and no n-mandatory instruments, guidelines and recommendations by the various IMO committees, such as: 1. The assessment, monitoring and review of the current level of implementation of IMO instr uments by port and coastal states with a view to identifying areas wher e states may have difficulties in fully implementing them; 2. consideration of proposals to assist states in implementing and complying with IMO instr uments by the development of appropriate mandatory and non- mandatory instruments, guidelines and recommendati ons for the consideration by the committees, as appropriate; 3. review of IMO standards on maritime safety and security and the protection of the marine environment, to maintain an updated and harmonised guidance on survey and certific ation-related requirements; and 4. promotion of global harmonisation of Port State Control (PSC) activities. The III Code also forms the basis of audit standards for the mandatory IMO Member State Audit Scheme [IMSAS Audits]. The IMSAS Audit of the UK which includes Bermuda is scheduled for September of this year. This is a significant task for the BSMA as the designated lead agency for Bermuda for the IMSAS Audit. Much progress has been made over the past year but continued focus and effort will be required by all stakeholders to ensure Bermuda meets the co mpliance requirements.
Plans for the Upcoming Year
Hon. Zane J. S. De Silva: Mr. Chairman, in the u pcoming year, the attention of the Ministry of Tourism and Transport will be very much focused on air ser-vice development and hospitality training and deve lopment. As mentioned previously, this Government will work to support credible, commercially viable air service opportunities that align with our strategic prior ities. To this end, the Bermuda Airport Authority and the Bermuda Tourism Authority engaged the services of Ailevon Pacific (APAC) to review Bermuda’s air service and recommend a strategy going forward. Bermuda’s air capacity is 20 per cent off the record highs set in 2007 before the world financial collapse. Although we are pleased there has been some steady recovery, we require a strategy that suits our unique and, at times, challenging circumstances. Working with Skyport, the Airport Authority, BTA and other stakeholders, the Ministry is seeking an incentive toolkit containing a variety of options that achieves sustainable additive air service. The key word here is “sustainable.” Bermuda has a lot of experience with air service that is of short duration and, therefore, it will be important to continue to build on our rel ationships with our airline partners to pursue growth. Also, Mr. Chairman, the National Training Plan calls for programme development and support for the Hotels and Hospitality sector, and the identif ication of job opportunities and the training and talent development needed to satisfy current and future de-mand. As you know, in light of this, the BTA engaged PwC to conduct a survey of the hospitality sector in early 2019. The survey identified a shortfall of more than 800 people to fill jobs in the hospital ity sector. However, Bermuda has new hotels opening this year and next year —Azura, Bermudiana Beach Resort, and St. Regis. In response, stakeholders have already commenced increasing our state of readiness with the launch of the “Learn to Earn” restaurant initiative late last year. The programme is in three parts: 1) individuals will earn an initial food and beverage server certification; 2) each person will undergo industry-specific training and certifications; and 3) upon successful completion of parts 1 and 2, participants will enter an eight -week paid internship with the restaurant partners, rotating to a different restaurant group every two weeks. I would like to take this time to extend my appreciation to the Bermuda College, Department of Workforce De velopment, BTA and the restaurant partners —Take Five Ltd, Island Restaurant Group, Yellowfin Group and Harbourside Holdings —for ma king this great opportunity available. As Minister, I look forward to reporting more on the steps taken to improve our hospita lity read iness in the coming year. Finally, Mr. Chairman, I wish to extend my thanks to the staff of the Ministry Headquarters and the Hotel Regulatory and Policy Section for their hard work. I want to also acknowledge and commend the dedication of the teams at the Bermuda Tourism A uthority, Bermuda Airport Authority, Bermuda Civil Avi ation Authority and the Bermuda Shipping and Maritime Authority. This concludes the brief on the estimates of revenue and expenditure for the year 2020/21 for Head 48 of the M inistry of Tourism and Transport.
The ChairmanChairmanThank you, Minister. Is there anyone who would like to speak to the Ministry of Tourism, Head 48?
Ms. Leah K. ScottYes, but could I have . . . could we delay it for two minutes? 3260 2 March 2020 Official Hansard Report Bermuda House of Assembly The Chairman: Yes, you w ould like to suspend . . . do you have questions? Okay. I now recognise the Shadow Minister of …
Yes, but could I have . . . could we delay it for two minutes?
3260 2 March 2020 Official Hansard Report
Bermuda House of Assembly The Chairman: Yes, you w ould like to suspend . . . do you have questions? Okay. I now recognise the Shadow Minister of Finance, the Honourable Patricia Gordon- Pamplin.
Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just have a couple of questions for the Minister. And I will go specifically to page C-19 with respect to Grants and Contributions.
The ChairmanChairmanYes. Hon. Patricia J. Gordon -Pamplin: And that is . . . there is a total of $37,597,000 for Grants and Contr ibutions. But I wanted to go specifically to the heading, or to the business unit 7099, which is the Bermuda Airport Authority.
The ChairmanChairmanYes. Hon. Patricia J. Gordon -Pamplin: And on that particular line the Minister indicated that there was a d ecrease because we had gone from $16.3 million down to $14,508,000. Now, I would like for the Minister to explain whether we are going to be looking at this budget in …
Yes.
Hon. Patricia J. Gordon -Pamplin: And on that particular line the Minister indicated that there was a d ecrease because we had gone from $16.3 million down to $14,508,000. Now, I would like for the Minister to explain whether we are going to be looking at this budget in respect of the original estimates that were approved in this Honourable House or if we are looking at the revised estimates. Because if we look at the original estimates that we approved last year in the budget, we had $13.3 million as the estimate for the Airport Authority last year, and then this year it is going to be $14,508,000. Now, the Minister had indicated in his comments that there was $1,208,000 that had been . . . or additional that was going to be provided for MRGs, which would take last year’s original of $13.3 [million] up to this year’s intended (that is 2020/21) to $14,508,000. So, that is $13.3 [million] plus $1,208,000, which makes it $14,508,000 which, effec-tively, is saying that we are looking at the same base estimate this year as we did last year, with the exception of we have added in $1.208 [million] of MRGs. But we moved from $13.3 [million] up to $16.3 [million] in the revised estimate for last year. So the question begs, if the $13.3 [million] was insufficient because it now . . . the revised was $16.3 [million]. How are we comforted that we will actually be reducing that down to $14,508,000? I just wanted to make sure that I follow the math, because I can see exactly where the $1.208 [million] difference is, and that is between the $13.3 [million] and the $14.508 [million], which the Minister indicated in his brief was from MRGs. So, I am happy to get a response on that. Okay, so I also had another . . . I just wanted to make sure that the Minister indicated that there were four areas under his remit within the Ministry of Tourism and Transport . . . well, from the Tourism as-pect. So, there is the T ourism Authority (1); Civil Avi ation Authority (2); Bermuda Shipping and Maritime Authority (3); and the Airport Authority (4). Those are the four? I just want to make sure that I had not missed something. So, with those four, as I have said, we have seen that there are specific grants being given to the Tourism Authority of $22.5 million and to the Airport Authority of $14.508 [million]. So the question begs, apart from these smaller grants to these external bo dies, such as World Triathlon and other bodi es, which include, I guess, Bermuda . . . Cup Match, Bermuda Heroes Weekend, and the fourth of five years for the Triathlon series, which kind of make up those smaller bits, how do we . . . where exactly is the funding relating to civil aviation and mariti me shipping? Is there a specific line item relating to that? That was the question that you had basically put, and I just wonder if the Minister could just clarify that. Because if you look at Grants and Contributions of $37,597,000 that total amount is t he Tourism A uthority, Bermuda Airport Authority, and the smaller two component parts. That $37,597,000 translates over to page B -201 in respect of Grants and Contributions, so we do not have that information in terms of how those other two departments under his remit are actually funded. Could we just get a little bit of clarity, so then I will be able to follow it a little bit better? Okay, I also have another question, and this goes back to the actuals for 2018/19 on page B -201 in respect of the revenue source. And that revenue source indicated from business units 8407 and a plethora of 8431 with some subs, and 8432 with some subs, 8433 and 8434 and 8456 where there was revenue. And we notice that there was none in the 2019/20 budget and there is none in the 2020/21 budget. We are just trying to figure out where those actual revenues from the 2018/19 have been subsumed into, presumably, some other head, some ot her department. I am sure the revenues are still coming in, but I just wanted to understand wher e they are and where we find them in the Budget Book so that we can track whether we are improving or whether we are getting worse. And those numbers are relatively significant because you have got Cellular Fees, Miscellaneous Fees, that is like $14 million there. And then another $2 million on Spectrum Band Fees. I am sure it is there somewhere, it is just not here. And I just wonder if the Minister would be able to help us in terms of where it has shifted to. There is also Other under 8791 and Rei mbursem ents on 8877 and Sundry Receipts on 8899, and because those do not appear in this year’s bud get, I am just curious where they moved from in terms of the revenue source. They have got to be som ewhere in a different ministry. But if the Minister could help us with that, then that would be useful. Thank you.
Bermuda House of Assembly The Chairman: I now recognise the Shadow Minister of Tourism. You may proceed.
Ms. Leah K. ScottThank you, Mr. Chairman. Thank you to the Minister for his brief and recognising that we actually do need to continue to grow our tourism product. The BTA, in my opinion, has done an excellent job in being able to do that. I want to start with Priority Objectives on …
Thank you, Mr. Chairman. Thank you to the Minister for his brief and recognising that we actually do need to continue to grow our tourism product. The BTA, in my opinion, has done an excellent job in being able to do that. I want to start with Priority Objectives on page B-200, Support the delivery of an air services deve lopment plan for Bermuda. I actual ly attended a briefing to look at the different ways of trying to get airlift to Bermuda, and they talked about the difficulty of act ually getting airlines to change. I know that they were trying to look at Virgin Airlines to come to Bermuda, and British A irways has essentially cornered the market on that. And Virgin Airlines is a bit reluctant b ecause British Airways is so entrenched. So I wonder if that is a challenge that we face with all of the airlines in terms of they have got their routes and, you know, are other airlines willing to take the risk and be loss leaders for however long it is before they actually realise a profit? I would like to know where we are with that in terms of actually getting some business here. In last year’s budget there was a $60,000 allocation for a marketing agreement with JetBlue. It was a JetBlue cooperative marketing agreement, and I believe it ended last year. And I wanted to know if that has been renewed or if there is an intention of entering into an arrangement like that with another airline. I would like to . . . I am not sure whether this should just come under General Administration, 4801, 58000. Last year in the budget there was mention of a sports strategy that was going to be implemented. I know that the World Triathlon Final, I think, is in 2020/21 . . . that the five years will end. Is it intended that this would be renewed? What is going to be put there to replace it? I know that we do have the PGA, but what other sports strategies or initiatives are we looking at in order to continue to bring that revenue stream to Bermuda? The other thing that was a part of the national plan was to make Bermuda a year -round destination and to get people here during the non- summer months. And so I would like to know whether we have raised the level of visitors during the non- summer months and, if so, by how much? Again, on page B -201 under Salaries, there is a decrease from $939,000 to $769,000. I am assu ming that somebody left. Could that be confirmed? And under Wages, ther e is an allocation for $30,000, what is that for? I see the training budget has increased . . . or the expenditure has increased from $1[,000] to $25[,000]. What is that increase or why is it i ncreased? Travel has increased from $48[,000] to $104,000. What does that travel consist of and who is doing the travelling? Advertising and Promotion has increased, not by much, but I would be interested to know what has changed? Professional Services has decreased from . . . oh, sorry, it stayed the same. It was $255[,000] in 2018/19. Everything else has pretty much stayed the same.
[Inaudible interjection]
Ms. Leah K. ScottOn page B -202 the Transport ation Planning Team. The Transportation Planning Team last year, I believe, was tasked with implementing a revised plan for traffic coordination of taxis and minibuses and public buses going to Horseshoe [Bay Beach]. Was that plan established and implemented? And, if it was, has …
On page B -202 the Transport ation Planning Team. The Transportation Planning Team last year, I believe, was tasked with implementing a revised plan for traffic coordination of taxis and minibuses and public buses going to Horseshoe [Bay Beach]. Was that plan established and implemented? And, if it was, has it been successful? We were in last year’s budget also looking at a bow -loading facility available for special needs persons at Hunter’s Wharf in St. George’s. Did that act ually transpire? And have we been able to build the bow-loading facility? We also talked about, and the Minister has mentioned, the “transform transport fare media s o that it is frictionless and cashless.” And I know that this has been a goal and an objective for a long time. And so, I would like to know the status of the digital fare media system and the public transportation app, whether this has actually been start ed. Where are we in the process? And if we are not making any pr ogress, why are we not and what are the plans to get things moving? Under General Administration, 4801, again, 58000, and I guess that National Tourism Plan would just come under this general ly. There were seven pi llars under the National Tourism Plan that were going to be implemented including awareness and rel evance about Bermuda. And one of the things that i nterested me was that we were trying to create a “greener” Bermuda. Has the Tourism Plan been successful in being able to do that? In fact, I would actually like to know where we are on the status of all of the seven pillars that are laid out in the National Tourism Plan and just have an interim update as to where we are in terms of all of the initiatives under that plan. My colleague raised the issue about the rev enue sources which have moved to somewhere else. And, notwithstanding the fact that they have moved, I would like to know . . . on page B -201, even though it is not here, 8431.06, Miscellaneous Fees, what those fees are comprised of. Moving to page B -203 under Performance Measures, I see under business unit 58020, Hotel I nspectors, the first four have been discontinued. And I would like to know why they have been discontinued 3262 2 March 2020 Official Hansard Report
Bermuda House of Assembly and are they being carried out somewhere else or under another department. On that same page B -203, business unit 58020, Hotel Inspectors, “hotel complaints acknow ledged within 24 hours of receipt,” what is the time for the resolution of any issues for any complaints, the average time? And what is the average complaint? And I would have the same comment for Vacation Rental Properties and the complaints. Now, I do not really have a lot of questions because my parliamentary colleague is very generous with giv ing me information. So, he keeps me informed about a lot that is going on, for which I am grateful. But he did bring up the “C” word . . . he brought up the “C” word. You are turning red, I am just kidding. Coronavirus. So, I know that it is impacting travel worldwide. France has seen a 30 [per cent] to 40 per cent decrease. And I guess this would be u nder Administration as well, or Advertising and Prom otion on [page] B -201. My question is, while it is seen as a deterrent in terms of travel for some people, there is also an opportunity. I know, like in Alaska, they are selling packages to people in Asia because people do want to travel. And so are we creating o pportunities to get people here . . . we do not necessarily . . . well, I should not say that. But how are we going to attract demand for the people who actually do want to travel? And are we looking at taking advantage of the opportunity that this misfortune that may be befalling other jurisdictions can be advant ageous to Bermuda? The BCAA, what is tha t under? I had a question on their revenue. I want to put it just under Ge neral Administration, 4801, 58000. Last year it was noted that there was a decline in revenue because there was a change in the revenue recognition policy and there was a change in t he accounting practice for the calculation of the deferred revenue. Is that rev enue better? Has the change made a difference in terms of the collection of the revenue and the account ing of the revenue? And has it normalised the airworthiness revenue of the BCAA? Because it was intended to make it more efficient, even though there was a loss in the revenue. I do not think I have any more questions. Oh, Kevin Dallas recently resigned or stepped down from the BTA for other opportunities. Where are we in terms of a search for a CEO? And how likely are we going to be to be able to get a Bermudian in that pos ition? Hopefully it is not a vacancy that is going to exist for a long time. I understand that the National Tourism Plan can be implemented even though Kevin is not there, but I would like to know what sort of strategic direction the Ministry is — [Inaudible interjection]
Ms. Leah K. ScottMake sure you get run flats. That is it. I cannot think of . . . I do not think I have any more questions. Thank you, Mr. Chairman, I do not have any more questions.
The ChairmanChairmanI now recognise the Shadow Minister of Finance, the Honourable Patricia Gordon- Pamplin. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just wonder, also, if the Mini ster indicated the failure to reach the targeted, or the hoped- for targets, in terms of air arrivals. Partially …
I now recognise the Shadow Minister of Finance, the Honourable Patricia Gordon- Pamplin. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just wonder, also, if the Mini ster indicated the failure to reach the targeted, or the hoped- for targets, in terms of air arrivals. Partially it was predicated upon the loss of some airlift. And my question is, what is the new structure surrounding and ensuring that we can try to recoup that airlift that we have lost over . . . because I think we lost airlift from New York, and we lost some airlift from Boston. My understanding was that there was some kind of strategy between Skyport and the Aviation [A uthority] and the BTA in terms of trying to get that airlift back. And I think that my understanding was histor ically prior to 2013, before the advent of the Tourism Authority, the Department of Tourism was responsible for ensuring that the airlift was appropriate. And at the point that w e were losing airlift, it seems like the ball was dropped somewhere. But the responsibility at that point was not left at the hands of the Tourism Author ity once they became embodied, if I can put it that way. So, somewhere along the way something happene d. And when the airlift was reduced out of New York and Boston there seemed to be a bit of a lag between the announcement that the airlift was g oing to be withdrawn and the efforts being put back into place with the organisation of these three entities of Skyport, Bermuda Aviation, and BTA. I am just trying to figure out what has ha ppened in between, and whether the new structure, if I understand the new structure to be correct, whether it has done the necessary [things] to try to bring us back to the plac e where we were in respect of that airlift.
The ChairmanChairmanThank you, thank you. Is there anyone else . . . I recognise the Honourable Member Kim Swan.
Mr. Hubert (Kim) SwanThank you, Mr. Chairman, ever so briefly on a topic that I love so dearly. The Minister announced the transport infr astructure that is going to benefit from an increase. And I was wondering . . . and I am going to ask the Mini ster whether or not my …
Thank you, Mr. Chairman, ever so briefly on a topic that I love so dearly. The Minister announced the transport infr astructure that is going to benefit from an increase. And I was wondering . . . and I am going to ask the Mini ster whether or not my hobby horse of improving forts like Alexandra Battery, Martello Tower, Gates Fort, Whale Bay Battery could be included in this to provide greater opportunity for the minibuses that run around the Island to have facilities that could have bathrooms, parking, little shops for Mr. and Mrs. Bermuda in those particular communities.
Bermuda House of Assembly We have seen cruise ships go from 200 up to 500 visitors, which would only be provided because of the increase of cruise ships in Dockyard and we are grateful for that. But I am just looking for an opportunity for those communities —like my community in St. George’s, which has several forts, and I am prepared to share with Southampton (that great area) if that infrastructure fund could be an opportunity for St. George’s to get those facilities enhanced. And also, with . . . Harbour Radio is a fort that overlooks there, and these areas could be enhanced through this infrastructure fund. If there is another fund, I am not particularly wedded to this one, but I just thought it was an opportunity for me to share this hobby horse that the Minister has heard before. Thank y ou.
The ChairmanChairmanThank you very much. Is there anyone else that would like to speak to Head 48, the Ministry of Tourism?
Mr. W. Lawrence ScottI just wanted to provide some information for the Honourable Member Gordon-Pamplin who asked the question about air service development. What was happening before was DAO (D epartment of Airport Operations) actually controlled or was responsible for air service development at the time. In the transition between DAO and Skyport …
I just wanted to provide some information for the Honourable Member Gordon-Pamplin who asked the question about air service development. What was happening before was DAO (D epartment of Airport Operations) actually controlled or was responsible for air service development at the time. In the transition between DAO and Skyport the same person, which would be A aron Adderley . . . there was that void that happened because he now took on the responsibilities of Skyport. The BAA has now taken over and has created the air service devel-opment through APAC, through the consultant. And that is what I mentioned in the general debate, how we have worked with hoteliers, the hotel industry, we worked with the airlines and we worked with local ticket agents —travel agents —to put together that air service development so that everybody is already i ncluded and we start moving forward. I hope this provides you some . . . there was about a year . . . a year or 18 months where there was no coordinated effort. And so, now, what the BAA has done has coordinated all the major stakeholders into our air service development and we shoul d . . . we are comfortable and confident that we would be seeing green shoots in the future.
[Mr. Hubert (Kim) E Swan, Sr., Chairman]
The ChairmanChairmanThank you, Honourable Member. The Chair recognises the Honourable and Learned Member from Paget, constit uency 22.
Mr. Scott PearmanThank you, Mr. Chairman. I do not know if this question is properly directed to the Honourable Member who just took to his feet or at the Minister, but the question is really about minimum revenue guarantees and which bucket of those two it plans to come out of in …
Thank you, Mr. Chairman. I do not know if this question is properly directed to the Honourable Member who just took to his feet or at the Minister, but the question is really about minimum revenue guarantees and which bucket of those two it plans to come out of in the future, whether it is still under this Head. And also, I would welcome an opportunity to hear from the Tourism Minister as to his general views on minimum revenue guarantees. Thank you, Mr. Chairman.
The Chair man: Any other Member care to . . . Honourable Member from constituency 10. Mr. Dunkley, you have the floor.
Hon. Michael H. Dunkley: Thank you, Mr. Chairman. I thank the Honourable Minister for his overview, and certainly applaud the Government on the initiative to get Bermudians into the hospitality industry with some of the challenges that we face in attracting people, and certainly Bermudians, there. And I look forward to some good results in that. Just carrying on where a couple of my honourable co lleagues have followed on from, and then I have two other points. In regard to minimum revenue guarantees, obviously, governments have done this for some years, and these are the tough decisions that you have to make to try to shore things up. So, a quest ion to the Honourable Minister. I believe I caught in the numbers that there was about $3 million pledged for the last financial year and about $1.2 million pledged for this financial year. Can the Minister give a broad overview . . . obviously, if there i s confidentiality i nvolved in the contracts I do not want to get into that, but a broad overview of what the parameters were for those agreements and what type of results are we looking for from last year and going forward. Secondly, to the Honourable Min ister, there has been some talk for a number of years about Bermuda being in a better position to assume some of the control over aircraft in our airspace. Is this an initiative that the Minister and this Government is interested in? Obviously, I think mos t Members of this Honourable Chamber are aware that the FAA controls the ai rspace and the United States . . . the FAA controls a lot of the ocean airspace throughout the world. And there have been discussions about Bermuda assuming the responsibility, but obviously, this comes with a great deal of training and it would come with a great deal of cost. But in the long run, Mr. Chairman, I believe that some of the cost could be or would be offset by the revenue that we could gain from it in many areas. O bvious ly, people pay for the service, but also air routes will be able to cross the Atlantic for more direct routes from one side of the Atlantic to the other and we could charge for those fees. So, if the Minister or the Member who sits in this House who is responsible for one of the quangos could answer the question I would be most appreci ative of that input. The last thing I will say at this time on my feet, Mr. Chairman, is that my honourable colleague, the 3264 2 March 2020 Official Hansard Report
Bermuda House of Assembly Shadow Minister of Tourism, did [question] what pl an is being put in place or already is in place to replace the CEO of the Bermuda Tourism Authority. And I certainly just would like to follow up on that. Obviously, as a backdrop, Mr. Chairman, and this goes back to line item number 4801, Administr ation, this year in 2020 is going to be a very challenging year. Obviously, we know that our cruise numbers were strong last year, and it looks like they will be strong again this year. We know that our air numbers were a bit weaker than we wanted last year for a number of reasons which have been outlined. And it appears like the forecast for 2020 with air and hotel projections are a bit weak at this time of year for what normally is, so we have that against the backdrop. Secondly, we have the backdrop that our major property will be closing at some time and do not know if that timing has been announced yet. Perhaps the Minister can give an update on when the Fairmont Southampton will close for their extended period of time and their renovations. But with the Fai rmont closing and weaker group bookings, [this] will have an impact on our tourism arrivals this year. And so that is one question. The second question, is the Minister concerned about this closing in regard to any cutting of rates that we might have to do to attract people to Bermuda? Obviously, rate cutting happens at times. But it is really not something you want to do. It is one of those difficult decisions you have to make som etimes. But when you cut rates it impacts every property on the Island, so it is one of those things where you look at the benefits and there are always some negatives that you can argue very strongly against. So, we have that backdrop of our major hotel closing and challenges surrounding that. And also, as my honourable colleague mentioned, the coronavirus fears. And, obviously, we have talked about that a bit in this Honourable House. But I guess when you look at the increase and the rapid increase in air travel throughout the world, if you go back and study . . . and I was just d oing some research for these debates t oday. Yesterday, something flashed up on one of the documentaries I was watching. So I researched, and it is interesting how much air travel has increased over the last couple of years. In 2009, there were about 2.2 billion people who travelled on airlines throughout the world. In 2018, that number had increased to about 4.5 billion people. So in nine years’ time we saw a doubling in air travel passengers, which means that people can travel anywhere around the world to do what they want to do, whether it is business or pleasure. So it makes it that much harder for us to attract people to Bermuda. But what it also means, because people can travel all around the world, is that when you have health issues, they can be carr ied in ways that you would have never expected before because once it is out of containment somewhere it can just track. So, against the backdrop that we have a very challenging year this year, and we have to make good decisions, we have to provide leaders hip so we can continue to grow this industry which is an important industry. I think we agree 100 per cent with the Government that this is a potential area for growth for us, although it would be difficult to achieve because ev eryone is doing it. But I believe that we have some i ntangibles that other people cannot touch. And I will not get into those at this point in time, but based on all of that it is important that we have the BTA firing on all cylinders. And you know, if they are an eight -cylinder vehicle they have got to be firing on all eight cylinders and cannot have two that are out of repair. And so the departure of Mr. Dallas comes at a very critical time. What concerns me about it, Mr. Chairman, is I thought that he was well -respected within the BTA, well -respected within the industry and, certainly, I thought that the team, with him as the leader, was doing a good job. So this sudden departure . . . and as I say that, yes, there is always room for improvement, I get that. But this sudden departure raises concerns with me and many people throughout the community because it came on a Wednesday and he was gone on a Friday. And it means, in my view (and perhaps the Minister can clear it up, and I do not want him to breach any confidentiality, maybe w e can have a chat on the side) that something unexpected happened suddenly. Because professionals do not make decisions like that: give notice Wednesday and leave Friday. And based on what I have said, just leading up to this, I think this Honourable Hous e should get some type of explanation on what precipitated this very sudden change in somebody who was under contract and is a professional. So it is highly unlikely that that type of person would not give notice unless something happened that they could not work through and there was a difference of opinion that came up and it was a critical impasse to them moving forward. I know, Mr. Chairman, as a wind up my comments on this, is that these types of positions are diff icult to fill at times because you require a unique individual, not only for what you want to do here in Ber-muda but somebody that has the experience that is required and all that type of stuff. So my colleague asked, What is the plan? And I think I would like to know. And tagging on to my colleague’s question is, How is the search going to be conducted? Is it going to be done in- house? Is it going to be done through an executive recruiter? Is there going to be an interim CEO put in place? Is the board going to have to get more involved in th e day -to-day operations of it? Those type of things would give some comfort to those who require comfort on how we are going to get through this, because quite easily sometimes the search to fill these positions can take a great deal of time.
Bermuda House of Assembly And the last thing I will say on that is, Is there any risk that we could lose other senior people? B ecause sometimes when there is a change at the top or close to the top, other people will leave for whatever reasons are in their mind, maybe [they had been] comfortabl e with the leadership, [but] the leadership is gone and they will move on as well. Does the Minister believe that there will be any other changes in senior management positions? Because it was my understanding that those individuals at the BTA work well together, but the senior positions worked very closely and very well together. They had a good working rel ationship. Which I think, Mr. Chairman, perhaps contributed to the success that they had going forward. So those are the questions that I have for the Honourable Minister. I look forward to some answers. Thank you, Mr. Chairman.
The ChairmanChairmanThank you. Does any other Member care to speak? Just to share, we are three minutes past four o’clock and this debate will go until 5:40. I recognise the Hono urable Member, the O pposition Leader. You have the floor. Hon. L. Craig Cannonier: Yes. Thank you, very much. Just …
Thank you. Does any other Member care to speak? Just to share, we are three minutes past four o’clock and this debate will go until 5:40. I recognise the Hono urable Member, the O pposition Leader. You have the floor. Hon. L. Craig Cannonier: Yes. Thank you, very much. Just going off the conversation and listening to the Minister as well concerning hotels, I was cur ious. Do we have an update exactly where we are with St. George’s Club? We know that we saw interest in, now, the purchase of Southampton Princess, and we saw the closing of St. George’s Club and we knew that there was interest and it was publicised that there was discussions going on about the purchase St. George’s Club and whether or not . . . I am curious as to where those conversations are going right now, and whether or not a hotel licence will be given to St. George’s Club with this new purchase, hopef ully, to take place. What will be the end result? Is it going to be more boutique? Is he aware of what the intentions are?
The ChairmanChairmanThank you, Opposition Leader. Any other Member care to speak to Head 48, Tourism? Minister, would you like to answ er some of those questions put forward? Hon. Zane J. S. De Silva: Sure. Thank you, Mr. Chairman. I guess I will start from the back and work my way …
Thank you, Opposition Leader. Any other Member care to speak to Head 48, Tourism? Minister, would you like to answ er some of those questions put forward? Hon. Zane J. S. De Silva: Sure. Thank you, Mr. Chairman. I guess I will start from the back and work my way forward. With regard to the Opposition [Leader’s] question on St. George’s, things are progressing very nicely down in St. George’s , I think to the delight, I would think of most, if not all Bermudians —but those in St. George’s in particular , because I think ever ybody is aware of the state that St. George’s Club was in. Whilst we might have some short -term pain, there will be a long -term gain. But with regard to the plans, I would say it might be a little premature just yet, but the good thing is that . . . and certainly the Opposition would know because they had many conversations with the ow ners of St. Regis whilst they were in power, and I think they can attest to the integrity and the confidence that the Purroy’ s have in Bermuda. So I do not think there is goin g to be any differences of opinion there. Whilst I am at it, I would just like to say a big thank you to them for continuing to have confidence in Bermuda and for them reaching out and looking at buying that particular property. And of course, it is going to create . . . I know some of the plans that they have and as I mentioned in my brief the PwC report estimated we are going to need upwards of 800 more people in the hospitality industry. It bodes well for work in the future for our people. This is going to be one of those developments, businesses, which will obviously put our people to work. So we are looking forward to that. I think the Honourable Member Dunkley asked a few questions which I would like to address. He talked about the challenge that we have in the country with increase air visitors. He is absolutely correct. We do have a big challenge. Whilst we enjoy a very lucrative and sought -after business with regard to cruise ships to Bermuda, it is just the opposite for ai rlines. We are just a lit tle dot on the map. It has always been a challenge for us to attract air lift to the country, especially long- term engagements. We mentioned air service development agreements (I will call it that for the moment). I know that he had a few questions on those. I think as a former Premier . . . and certainly you mentioned confidentiality. And I remember when I was Opposition Shadow in Tourism.
[Inaudible interjections]
Hon. Zane J. S. De Silva: I certainly did ask that. And of course I remember the former P remier Dunkley and of course the late Shawn Crockwell, telling me across the floor, Hey look, it is sensitive stuff. We just got to park it. So I think we are all aware of that. Hon. Michael H. Dunkley: Just a point of clarification to the Honourable Mini ster.
The ChairmanChairmanDo you accept his point? Yes. Continue. POINT OF CLARIFICATION Hon. Michael H. Dunkley: Perhaps now that we are on common ground about this and not playing politics over it, can the Minister assure the House that the parameters set by the Government for 2019 have been met? 3266 2 …
Do you accept his point? Yes. Continue.
POINT OF CLARIFICATION Hon. Michael H. Dunkley: Perhaps now that we are on common ground about this and not playing politics over it, can the Minister assure the House that the parameters set by the Government for 2019 have been met? 3266 2 March 2020 Official Hansard Report
Bermuda House of Assembly Hon. Zane J. S. De Silva: Yes, they have. Yes. I think we are all a ware . . . there is no one in this House that is not aware of the challenge we face with regard to airlift in the country. But I can assure you that I think we are in a good space right now in that regard in that we have our consultants, [since] we have hi red AilevonPacific (APAC) [who is] working very closely with the BTA, the Bermuda Hotel Assoc iation, my Ministry, and of course Bermuda Airport A uthority along with Skyport. I think that we are in a space where we have not been maybe in our history. But th e good news is that we have several organis ations who are working together with regard to air service development in the country. We will look for some more positive news for that as the year goes on. Someone had asked, I think it might have been the Sha dow Finance Minister, Pat GordonPamplin, I cannot remember, with regard to JetBlue. Maybe it was the Shadow Minister who asked about JetBlue. No, our agreements with JetBlue are finished and that, again, is a work in progress. I think we had two questions on the former CEO of the Bermuda Tourism Authority, Mr. Dallas. I think two people asked about any replacement. Well, he has only been gone a couple of hours, so that r eplacement will take a normal course . . . or maybe it won’t; it depends on the situation. I think the Honour-able Member Dunkley asked, What did I think about the risk of any more leaving? Well, he is well aware and it is not a bad question, actually, because there are many organisations, businesses, in the world where you may get one pers on leave and if they do maybe several will follow.
[Inaudible interjection]
Hon. Zane J. S. De Silva: Well, I will leave that one alone.
[Laughter]
Hon. Zane J. S. De Silva: But I do not have a crystal ball. I do not know what they are going to do. The board and Mr. Dallas came to a conclusion and it is what it is. We will continue to have discussions with regard the interim period. The people of Bermuda and the world will fi nd out in due course, as we work through that. It is still very, very early days. So we have to see how that pans out. The Honourable Member Dunkley also said that professionals do not make snap decisions like this. Well, I disagree with him. I know many Fortune 500 companies and many other companies worl dwide, not only here in Bermuda, but worldwide, where CEOs and top brass resign in a heartbeat, just when you think they were set for life. Not everybody is a Warren Buffet. But it does happen, and it happens every week. So I disagree with that assessment. The Honourable Member Dunkley also said that from his understanding the C -suite worked very closely together. All I would say is that most C -suite individuals do. Whether it is a company organisation, government or otherwise, most executives do work close together, so I would think that the C -suite at the BTA is no different. There were also a couple of questions on the “C” word —the coronavirus —as my colleague, the Shadow Minister of Tourism mentioned, the “C” word. Well, it is what it is. I said here last week Friday, most people will remember, that we have had probably more now since October, 15,000 people die in the United States alone just from regular flu since October 1 st.
[Inaudible interjectio ns]
Hon. Zane J. S. De Silva: Well, that is right. And the Honourable Member Dunkley rightly points out, that is on a quiet year. So I would not downplay the coronavirus because I think we all know that it has had a fai rly serious effect. In fact, I was talking to a good friend of mine who happens to run a Fortune 500 company and he was explaining to me how it can affect worldwide, and sometimes these things can spin the world into a r ecession. So, we do have to be mindful. But as far as dealing with it, I think it is well documented what the Health Minister and her team have been doing and [how they] have been trying to handle things from this side. But, you know, we . . . and I said it some weeks ago when I went out and met the cruise ship, ever yone was worried about the cruise ship, well, what about the airlines? You have people who travel. We have tons of businesses in Bermuda. People travel all over the world. I think that is what MP Dunkley was referring to, and he is absolutely correct. People trave l. People travel a hell of a lot more now than we did 15 –20 years ago. That is a concern and I think, and hope, that everyone around the world are taking the necessary precautions. There was a question, I am going back a little bit, it could be to Shadow Finance Minister, Pat Gordon-Pamplin or my Shadow, MP Scott, I think it was in regard to BCAA [ Bermuda Civil Aviation Authority] and the revenue. They are self -funded. The BSMA [ Bermuda Shipping and Maritime Authority] actually, we are hoping that they get to that stage where they are self-funded. They actually took out a loan and I think you would be aware that as Shadow Minister ––and certainly from being involved in the former Gover nment ––that you will know because I think it has been in place for a few years now. They do have plans to grow their revenues. I think we have got one person based in London now full -time. That is what he does. Hopefully that will bear some positive fruit before the end of the year.
Bermuda House of Assembly There was also a question I think on . . . and I think this might have been again MP Scott who was asking a question on B -203, Head 48, Performance Measures. We had four discontinued at the very top of the page. Those have been discontinued. We found that . . . well, we are revamping the entire department in terms of how they measure, what they measure, when they measure, and some of the results that we get. So those four will be discontinued and dovetailed into the bottom half of those where you actually see where it is 98 to 100 per cent , the target outcomes. So that is being revamped and I will be happy to share that with you as we progress. There was also a question about British Ai rways [BA] and possibly Virgin [Atlantic] or any other airline to compete with them on that route. Everyone is fami liar that BA has been handling that route for years. What was it? It was Zoom that actually came on board some years ago and then they fell off. But the good news is that we have a fairly good relationship with BA and they are actually aware that we are looking at different airlines and whatnot and they have sort of agreed that some of the partners . . . I think my chairman of the Bermuda Airport Authority can certainly elaborate more, but I know some of the conversations we have had about bringing on other cheaper airlines is that they happen to be owned by BA as well, and we do not want to cannibalise each other. But the good thing is, the good news is that BA are very aware of where we are and we should see a r eflection in prices for both our visitors com ing in and our residents going out in the future. I think that may be it for now, Mr. Chairman. I will look through some more of my notes.
The ChairmanChairmanThank you, Honourable Minister. [I’ll] just jog your memory about the forts. Don’t forget St. George’s when you are looking through your questions. The Chair recognises the Honourable Member from constituency 23. Ms. Gordon- Pamplin, you have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, …
Thank you, Honourable Minister. [I’ll] just jog your memory about the forts. Don’t forget St. George’s when you are looking through your questions. The Chair recognises the Honourable Member from constituency 23. Ms. Gordon- Pamplin, you have the floor.
Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, we were missing response to the revenue source on page B -201 from the actuals of 2018/19 that were not . . . they did not roll over into the 2019/20 or the 2020/21 budgets, but I am just tr ying to figure out where we would find those revenue sources that are here in the Budget Book, page B - 201, under 2018/19 Actual, Revenue Sources, and those are for 8407, 8431, 8432, 8433, 8434, 8456, 8791, 8877, and 8889. I just wondered if the Minister could give us some idea of where we could find those revenue sources so I can learn how to track them.
The ChairmanChairmanThat is on page B -201. Hon. Patricia J. Gordon -Pamplin: Page B -201, yes. Actuals, 2018/19 under Revenue Source.
The ChairmanChairmanThank you. Hon. Patricia J. Gordon -Pamplin: The other thing that I wondered is, I am not sure whether it was in the Minister’s brief or whether it was actually articulated from readings that I have had in the paper. But with the grant that was going to be offered …
Thank you.
Hon. Patricia J. Gordon -Pamplin: The other thing that I wondered is, I am not sure whether it was in the Minister’s brief or whether it was actually articulated from readings that I have had in the paper. But with the grant that was going to be offered to the BTA . . . I think it might have been in the newspaper. I am not sure; it is an information overflow. I had read somewhere or heard somewhere, so I do not know if it was today or another time, that part of the grant that was going to the BTA, a signif icant portion of that would be carved off and given to the Events Authority under the BTA. So I am just wondering if we could get some idea in terms of whether that is still the intent. That, of the $22.5 mi llion that the BTA will get, there will be money from that that is earmarked for the Events Authority. [This money], I guess, is subsumed under the BTA. The other thing that I just wanted to mention is in terms of St. George’s Club. And the Minister did indicate that it is going on, talks are ongoing, and we will get an update at some point in time because there is significant integrity and confidence with the devel-opers of St. Regis who have now agreed that they will take over St. George’s Club and do that redevelo pment. And I just wanted to point out that it is very i nteresting that there are times when we make co mments and they can kind of come back to haunt us, as a people. And we have to be very mindful, because you w ill recall, Mr. Chairman, the negativity that was spewed toward those developers of St. Regis. And sometimes it is just a political thing, but I think it is very important that we have to embrace the partners that we have in this industry. When people are willing to put their money on the line, they come to Bermuda to offer jobs for us, build their investment property that they have, and the Minister indicated that there is lik ely to be an additional maybe 800 jobs that will ult imately happen going forward for tourism, and the like . . we cannot badmouth people because you want to score political points. That is something, it was disgraceful at the time, and now that we see how the developers have embraced us as a country, I think we owe them an apology. So I will on behalf of the people of Bermuda offer an apology to those people who were subjected to some vitriolic comments that were completely u nnecessary. The other thing that I would want to ask is, when it comes to some of the events that are planned with the US Open, and I will just declare an interest inasmuch as that is an event that I attend and have done probably for the last 20 or 25 years, but last year I think it was the first year which we actually had the 3268 2 March 2020 Official Hansard Report
Bermuda House of Assembly Tourism Authority have an agreement wi th the US Open to advertise Bermuda. And we had a dedicated booth at the Open. I can say that in the planning for that going forward it would be really useful if we could ask that we have a more prominent spot that is ded icated to us during that event. I was filled with pride when I was in the stadia in the various stadia, whether it was the Louis Ar mstrong, whether it was the Arthur Ashe, or whether it was the Grandstand to be able to see the Bermuda tourism go to Bermuda, the advertisements that ap-peared around the grounds, and it was really quite exciting. But when I looked for the booth, it was litera lly in the corner in the back in the dark. I think that if we could find within our negotiations a spot that is a little bit more prominent, I think we may be able to get better bang for our buck. I realise that the spaces are expensive, but I think that this is something that we could definitely build on and have a higher degree of return if we had a more prominent location at the Open. In fact, on the trai n I happened to bump into one of the people who were working at the booth and she said, Oh, did you visit the booth? And I said, Well, I looked for it but I couldn’t find it. So then I went searching around and eventually I did find it. And I thought, for what they provided, and the value of the experience and the giveaways and stuff, it was absolutely superb. But you had to go out of your way to find it. And I think if we were a little bit more prominent we would be able to do a little bit better there. So I just wanted to applaud that work that was done by the BTA in that regard from the grant that they would have had. I think I had one more question. Oh, I think the Minister answered with respect to the discontinued performance measures. But I think t hat what I would like to ask is, in terms of the vacation rental properties that will be inspected and certified by the deadline of 31 st of August. The question is . . . there are two levels of these vacation rental properties, one of which would be those that are not under the guidance and control of the consumer affairs because of the ARVs, and others which are sort of . . . there are some that are within that band and then there are some that are outside of that band. And I am just wondering what the att itude is in terms of inspecting and certifying all of the properties? It is one thing to say that you have got properties that fall closer to the hotel kind of categories, but there are also those that are under the licensing of the consumer affairs because of the ARVs. I can declare an interest in this, Mr. Chairman. I have such a unit. I have never been inspected. So it bothers me that I do not have . . . I know that I provide excellence with the property. But I think it is very important because as I have guests coming and they do their reviews, and their reviews are fancy. I give my guests quite a fivestar experience— [Inaudible interjections]
An Hon. Member An Hon. MemberRemember the sheets. Hon. Patricia J. Gordon -Pamplin: With ironed sheets, yes; with pressed sheets. But I would just want to make sure that we . . . you know, everybody is not going to provide the same kind of experience. But we want to at least make sure that …
Remember the sheets. Hon. Patricia J. Gordon -Pamplin: With ironed sheets, yes; with pressed sheets. But I would just want to make sure that we . . . you know, everybody is not going to provide the same kind of experience. But we want to at least make sure that there is something that is standardised that Bermuda does not suffer with a black eye and a poor reputation because of one or two . . . I won’t say rogue, but people who are not as careful about what their offerings are in their particular properties. So I think inspections are welcomed but I think that we should be looking forward to the opportunity to inspecting all of them at some point in time. And if the Minister wants some help, I would be happy to go out there and do some inspections. So thank you, Mr. Chairman.
The ChairmanChairmanAll right. The Honourable Member Mr. Dunkley, constituency 10. Hon. Michael H. Dunkley: Thank you, Mr. Chairman. Mr. Chairman, just two items that I want to reflect back on to the Honourable Minister. In regard to the coronavirus, and let me very clear, I am a very optimistic person but …
All right. The Honourable Member Mr. Dunkley, constituency 10. Hon. Michael H. Dunkley: Thank you, Mr. Chairman. Mr. Chairman, just two items that I want to reflect back on to the Honourable Minister. In regard to the coronavirus, and let me very clear, I am a very optimistic person but when you have a challenge such as the world is facing with the [coronavirus] and the way it is spreading, and we have already talked about the way people travel nowadays, and now take that right to our home court right here in Bermuda, the way Bermudians travel and the large extent of international business that we have. When you look ahead for this year and you see that we are going to attract close to 550,000 cruise ship passen-gers this year, if the virus continues to grow and spread . . . and at the present time the only place that it looks like it might have levelled off is in China. And I am not a health expert in any way, but I am just following what the news is putting out there. We have to assume that there is a reasonable risk that somebody could bring the virus to our shores, just by the way it travels. It incubates in you awhile. You don’t know you have the symptoms, all these types of things. And my point in raising it to the Minister again is, I want to know what the Minist ry and what the BTA are doing to make sure that there is adequate information out there for all travellers to be aware of. Because if you look now . . . throughout conversations people will have in their own WhatsApp conversations, or conversations people have generally on social media, they are as king questions about what your travel plans are. I know in situations like this, with difficult matters like this, with negative matters like this, som etimes people take the approach of let’s just do our
Bermuda House of Assembly best to prepare for it, don’t say much about it and hope that it goes away . We cannot take that approach in Bermuda right now. We need to make sure we pr epare. We need to make sure that all our agencies are working in tandem so that they know what the protocol is behind it. I must say when I arrived back at the ai rport late last week I heard the intercom saying, Where have you travelled? These types of things. So that is good. But we need to be a bit more proactive with i nformation because unless we assure people th at we are on top of the game, they will alter their travel plans. You know, I think we have some positive tangibles that we need to work. We are close to the Uni ted States and they have 330 million people, and a lot of them travel on a regular basis. Since we are very close and since we are very safe and since we are very easy to get to, we need to leverage those things and show people that they can feel comfortable coming to Bermuda because we are staying on top of the game as far as this threat goes, because they sure are not going to travel to other parts of the world. And they might decide they will not travel at all. So let’s use this as an opportunity to pr onounce what we are going to do on a regular basis with tourism, with the Health Department, wit h all the agencies to show that we are staying on top of it. Even if it is just general announcements day by day of what is going on. Because people will see the latest update and they will get confidence in what is going on. The biggest challenge that peo ple face with the [coronavirus] is their fear of the unknown. That is one of the biggest challenges that people face in the world —the fear of the unknown— because they do not know what the cure is. They do not know when it is going to end. They do not reall y know what takes place. We need to try to assist them in making their decisions. People will want to travel. And if we show we are proactive, like some of our competitors to the south have already done, I think we will be putting ourselves in a better pos ition. Now, getting back to the BTA, I appreciate the Honourable Minister’s reply, but these are my words, and I am trying to keep this discussion on a good vein. I found the answer somewhat vague, maybe inten-tionally, maybe not intentionally. I want to c larify something for the Honourable Minister. When I said to the Minister that it appeared to be a snap decision, maybe I wasn’t clear when I spoke, or maybe he mi sunderstood me. What I meant by a snap decision like that is because typically professionals make snap decisions if there is an impasse which is unable to be broached. If professionals have a contract, it is very rare that they will make a snap decision unless there is an impasse they cannot work around. It could be an on-the-job decision. It coul d be a health decision. Something like that. And that is why I said that this appears to be a snap decision. I found the Minister’s answer to be a little bit vague or evasive because he said it will work out in a normal course, or maybe it won’t. But, Mr. Chairman, based on what the Minister said in this place about the BTA and what the Government has said generally about the BTA, and the CEO of the BTA, I find this to be a slight change of course. And I think the Minister owes it to this House and to the people to give some explanation about it. Now, the Minister said that the board will work through it. Those are my words not the Minister’s words. However, the fact of the matter is that the Mi nister said, when he started his brief, that he has mini sterial oversight of these four authorities. And if we are losing the most critical person in the BTA, I would assume ––knowing Minister De Silva, and knowing how he is involved, and he has a lot of energy –– I would assume that he would be asking the board what i s going on. So, to get the answer in the normal course of things, or maybe we won’t , that is not Minister De Si lva speaking to me. I am reading under the tea leaves; there is something else under there that I think needs to come out, Mr. Chairman. I have been around awhile, in business and in politics, [ sniffing ] and I don’t have a cold, something does not smell right, Mr. Chairman.
[Laughter]
Hon. Michael H. Dunkley: [Sniffing] I do not have a cold; it does not smell right. And this is a critical piece. And we have already agreed, we have a challenging year in tourism, no matter if we do not have coronavirus sniffing around—no matter if we do not have our main property closing, no matter if we do not have weak projections. Everybody is chasing that tourism dollar. And we know Bermuda is expensive so we have to have eight cylinders firing. The answer by the Minister just does not smell right with me. And I will leave it in those polite terms.
The ChairmanChairmanThank you. The Chair recognises the Deput y Opposition Leader. Ms. Scott, you have the floor.
Ms. Leah K. ScottThank you, Mr. Chairman. Mr. Chairman, I do have four questions that remain unanswered. One was what the sports strat egy is going to be which was identified in the budget for last year. The World Triathlon Series finishes in 2021. And I know we have the PGA, but what …
Thank you, Mr. Chairman. Mr. Chairman, I do have four questions that remain unanswered. One was what the sports strat egy is going to be which was identified in the budget for last year. The World Triathlon Series finishes in 2021. And I know we have the PGA, but what other things are we working on, and what are we doing to market Bermuda as an all -year round sports jurisdiction? And then on page B -202, 58010, Transport ation Planning T eam. This team of one was supposed to implement a revised plan for traffic coordination of taxis, minibuses and public buses at Horseshoe Bay. 3270 2 March 2020 Official Hansard Report
Bermuda House of Assembly Has this revised plan been implemented and is it effective? Is it working? Are they looking to make further changes? Will it stay as it is, or what? The other question I had was: Are bow - loading facilities available at Hunter ’s Wharf and St. George’s to assist disabled and wheelchair people? What is the status of the digital fare media system and the public transportation planning app that was talked about? And then I just wanted a summary of the se ven pillars of the National Tourism Plan. Where are we in terms of implementing the things contained within those pillars? Thank you.
The ChairmanChairmanThank you. Minister, would you like to answer some of those questions? You still have plenty of time remai ning. It is 4:36 and this debate goes on— The Clerk: Another hour. Hon. Zane J. S. De Silva: Thank you. Thank you, Mr. Chairman. Okay. There was a question with …
Thank you. Minister, would you like to answer some of those questions? You still have plenty of time remai ning. It is 4:36 and this debate goes on— The Clerk: Another hour.
Hon. Zane J. S. De Silva: Thank you. Thank you, Mr. Chairman. Okay. There was a question with r egard to . . . I think Shadow Minister Scott asked about the vac ation rental complaints. You know, when were they r eported? How long did it take to deal with things like that? They are acknowledged within 24 hours. They are investigated within 48 [hours] and a report is given within 10 days. Just getting back to the “C” word, all I can do is reemphasise to those who have asked questions about that is that the Health Department will continue to do what they have been doing, and be proactive with regard to what they have to do in terms of the Health Department and dealing with this as they do. There was another question on air space and what we were doing with the air space. Was it you, Pat? Or someone else?
[Inaudible interjection]
Hon. Zane J. S. De Silva: Oh, MP Dunkley was as king about air space. Currently we have a radius of five miles and [a height of] 3,000 feet. I do know that Lester Nelson, the CEO, has been in talks with the organisation with regard to who controls that. We have just become a member. I can get you the name of the organisation. It is Civil Air Navigation Services Organization (CANSO). We just became a member and I know that we are going to be looking at what opportunities might be available to us. And more will come with that in the future. With regard to bow loading down at Hunter ’s Wharf , Shadow Minister, that will be done this year , and I must say, I will have to thank our cruise lines because they are assisting with that. [There will be] more about that in the future, as well . So that will be done. I think you also asked about the minibus and taxis in the different areas.
An Hon. Member An Hon. MemberThat was Kim. Hon. Zane J. S. De Silva: Yes. You will find that you will see some continued activity in those areas with regard to . . . are you talking about down at Hors eshoe [Bay] and things like that?
Ms. Leah K. ScottThe question was that the Transportation team was supposed to implement a revised plan. So the existing plan was revised. Was it r evised? And it was being revised in terms of coordinating the taxis, minibuses and public buses, so was it revised? And has the revision enabled the coordination …
The question was that the Transportation team was supposed to implement a revised plan. So the existing plan was revised. Was it r evised? And it was being revised in terms of coordinating the taxis, minibuses and public buses, so was it revised? And has the revision enabled the coordination of those vehicles to be more successful? And if it has not been revised, why hasn’t it been revised? When will it be revised?
The ChairmanChairmanMinister. Hon. Zane J. S. De Silva: Just let me say that it is a work in progress. I am very close to having a deeper conversation. I have been having many, many meet-ings with all the stakeholders in the country with r egard to transportation. A nd that is …
Minister.
Hon. Zane J. S. De Silva: Just let me say that it is a work in progress. I am very close to having a deeper conversation. I have been having many, many meet-ings with all the stakeholders in the country with r egard to transportation. A nd that is everybody! I have had meetings after meetings after meetings. And we are very close. In fact, we will have a discussion t omorrow in Cabinet that we have allotted quite a bit of time for that. That is a heavy work in progress. I do not have to t ell anybody about the history of transportation in the country. And with me, it is going to be no different. It has been a challenge. But I am hopeful that we are going to see some significant changes in transportation in the country this year. Also, the Shadow Minister asked about what other events that we might be looking at this year, big events. We continue to turn over all the stones. If and when we do, again, we work closely enough I will cer-tainly keep you in the loop in that regard. Our Fare Media is coming this year too. You will be happy, I think everyone in the country is going to be happy when we get that forward. But we have consultants that are now working on how we can go about impl ementing that. When we can do it, the cost, and things like t hat. So this is on its way, and long overdue. I think you, or maybe MP Pat Gordon- Pamplin, had mentioned it is long overdue, and you are right, it is. Honourable Member Pat Gordon- Pamplin talked about the US Open, and she was happy to see the Bermuda ads [there], and certainly as one . . . and she knows, I am sure, that I still watch tennis, as my daughter was number -one player in the country for 10, 12 years. And it will always be close to my heart. Now that I have grandchildren, a couple of them —I won’t
Bermuda House of Assembly say all of them because I now have five, but a couple of them —are now playing tennis, so hopefully, who knows, we will see them out there. But I was also proud to see Bermuda out there, especially when you had Serena [Williams] playing. One particular pic ture I received from som eone was where [Serena] was playing a shot, and Bermuda was right in the background. My only cha llenge with, not only with that advertisement but any advertisement in Bermuda . . my challenge is ––and I certainly told the board and t he former CEO, and this will be a change you will see in the future––I do not think we emphasise enough how close we are to the United [States]. We don’t. Look. We can put Bermuda everywhere and anywhere we want. And everybody in this House knows. You’ve talked to people, Oh, yes, you guys are only 30 minutes off Miami. No, we are not! That is the problem. And that is what I would like to see more. Like, an ad for Bermuda, 90 minutes from New York City; or, two hours from Miami. Or two and a half hours fro m Atlanta, or whatever that is. I think people need to know how close we really [are] , especially those up in the tri -state area. We just do not do it enough, especially now, as MP Dunkley says. And I wholeheartedly agree, is that especially with the coronavirus moving around the world like it is. Let people know, Look. You don’t want to go to Europe, come to Bermuda. And just so that . . . because I think Honour able Member Dunkley had asked a question, What is the BTA doing about that? Let me assure you, they are. They are well aware of it. They are aware of the opportunities that this has created for us and they are actively looking at doing that. So watch that space and I think you will be satisfied. The only other thing is because you know, people must realise that the board at the BTA make a lot of decisions throughout the year. Now the Honourable Member Dunkley said he smelled something a little funny and he does not have a cold —sniff, sniff. Right? And then he talked about people under contract they do not just quit. Well, do I have to remind anybody in this House, if they follow English football, how many managers have contracts and they are fired on a days’ notice. It happens every year.
Hon. Patricia J. Gordon -Pamplin: Did he get fired?
[Inaudible interjections] Hon. Zane J. S. De Silva: No, I am just using that as an example. Or they leave, or they get sick, or they have personal problems or they have other issues. I mean, it happens. If Honourable Member Dunkley said, you know, he smells something, he sniffs something, go talk to Kevin Dallas. Talk to the board. That is where the decisions were made. Talk to them. One minute you will knock a Minister for being too close, then you knock him for being too far.
An Hon. Member An Hon. MemberAnd it’s appropriate. Hon. Zane J. S. De Silva: And it’s appropriate, I heard that. The other thing, getting back to the US Open real quick with the Honourable Member Pat GordonPamplin . . . she was there; I did not go. You will ha ppy to know I was …
And it’s appropriate.
Hon. Zane J. S. De Silva: And it’s appropriate, I heard that. The other thing, getting back to the US Open real quick with the Honourable Member Pat GordonPamplin . . . she was there; I did not go. You will ha ppy to know I was quite . . . something else was going on so I did not make it. I would have loved to have gone, as you know, because tennis is close to me. So I would have loved to have gone. But I agree with her, we had a booth and I did not know where the booth was, so I thank you for that. I have made a note so if the booth was in the dark, we need to bring it into the light. I will certainly have a conversation with my people about that. And I think that was it for now.
The ChairmanChairmanAny other Member care to . . . yes? Mr. Smith, you were up on your feet pretty quickly that time, Honourable Member, from Southampton.
Mr. Ben SmithGood afternoon, Mr. Chairman. Just a question. Page B -200, 58000, Admi nistration . I just want to ask a question on sports tourism. I know that the BTA had a conference, a session, where they invited local sports to see if they had certain objectives to host events in …
Good afternoon, Mr. Chairman. Just a question. Page B -200, 58000, Admi nistration . I just want to ask a question on sports tourism. I know that the BTA had a conference, a session, where they invited local sports to see if they had certain objectives to host events in Bermuda. Just a thought and a question for the Minister. A lot of our local sports actually travel with teams overseas on a regular basis. It might be an idea to get a package together that was given to our oversea sports because when they go, they actually build relationships with teams and people from different areas w here they would have an opportunity to give that information. A lot of times that travel is going to be based off of relationships. So when you have that opportunity to meet teams from other countries, or potentially just as the Minister was saying, a lot of times our sports teams are actually just going to travel one plane ride from Bermuda so they are going to be in close proximity on the East Coast of the US where they are going to be meeting teams and meeting ind ividuals and coaches where they can have convers ations about the facilities that are in Bermuda and the potential of having teams coming here to train and to compete and putting together competitions. So maybe that is an option that the Minister could be looking at, or if that is something that he is already doing, then maybe he can speak to that. Thank you.
The ChairmanChairmanDeputy Opposition Leader, you have the floor. 3272 2 March 2020 Official Hansard Report Bermuda House of Assembly Ms. Leah K. Scott: Thank you, Mr. Chairman. Mine is kind of a question/response. The BTA still has a New York office, I believe. And if they do, just to the Minister’s …
Deputy Opposition Leader, you have the floor.
3272 2 March 2020 Official Hansard Report
Bermuda House of Assembly Ms. Leah K. Scott: Thank you, Mr. Chairman. Mine is kind of a question/response. The BTA still has a New York office, I believe. And if they do, just to the Minister’s point, why isn’t the New York office advertising that Bermuda is only 90 minutes away? That should be something that is on their agenda when they are doing their promotion and their marketing of the jurisdiction. And I just had another question, I had asked for a summary of the achievements that had been made under the National Tourism Plan, the seven pi llars. But I would like to know, one of the initiatives was to become one of the greenest tourist destinations and being that green destination through more ecofriendly initiatives. And I would like to know where we are with that in terms of achieving that goal.
The ChairmanChairmanThank you. Honourable Member from constituency 23, you have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just had one other question that just came to mind. And that is, fairly recently, I believe five or six months ago, the Minister had the opportunity …
Thank you. Honourable Member from constituency 23, you have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just had one other question that just came to mind. And that is, fairly recently, I believe five or six months ago, the Minister had the opportunity to approach some of the relatively wealthy yacht owners in Monte Carlo in terms of trying to e ntice them to come back to Bermuda, or come to Ber-muda if they had not been before. They made mention at that point in time about the success of the Amer ica’s Cup, and how it had benefited Bermuda in trying to reach out to them. I am just wondering whether we have had any success through that outreach either directly or through the Tourism Authority. Thank you.
The ChairmanChairmanAny other Member care to speak to Head 48, Tourism? Honourable Member from constituency 10. Hon. Michael H. Dunkley: Yes, thank you, Mr. Chairman. Mr. Chairman, back to the vacancy at the top of the BTA and the Minister’s comments that it will be resolved in the normal course, or …
Any other Member care to speak to Head 48, Tourism? Honourable Member from constituency 10.
Hon. Michael H. Dunkley: Yes, thank you, Mr. Chairman. Mr. Chairman, back to the vacancy at the top of the BTA and the Minister’s comments that it will be resolved in the normal course, or maybe it won’t. Here is my concern. The board of the BTA obviously has a great deal of responsibility. But for the best that I know, they work on a part -time basis. They are responsible pe ople. In fact, the current chairman (I do not know if he has been replaced) works overseas in another competing jurisdiction for us. And so in light of the fact that your most critical position within that organisation has finished up very unexpectedly in short terms, I think it is very strange that the Minister appears to be taken, in his words . . . in my words but reflecting on him, a very hands -off approach to it. Because the board works on a part -time basis and [in this situation] we need a full -time push to get somebody to replace Mr. Dallas, who was doing a good job. Secondly, [questions] in regard to the board; Has the Mi nister made any changes to the board or is the Minister considering making any changes to the board? And finally, if the Minister is not willing to give any more information around the sudden departure, which certainly does not add up to me in any way, can the Minister state—
[Inaudible interjections]
Hon. Michael H. Dunkley: I heard the Honourable Member say that, but the Honourable Member certai nly says it in jest, because I can prove him wrong in many times. But a serious question to the Minister, b ecause this is a serious subject, Did the BTA, through the board, because the Minister is saying the board made the decision . . . did the board at the BTA part on good terms with Mr. Dallas? And was the Minister notified in advance of the board’s decision?
The ChairmanChairmanMinister, you have the floor. Hon. Zane J. S. De Silva: Thank you. Thank you, Mr. Chairman. Mr. Chairman, with regard to the Honourable Member Ben Smith and his question with regard to sports tourism, and getting a package together for teams and schools, he certainly is on the right …
Minister, you have the floor. Hon. Zane J. S. De Silva: Thank you. Thank you, Mr. Chairman. Mr. Chairman, with regard to the Honourable Member Ben Smith and his question with regard to sports tourism, and getting a package together for teams and schools, he certainly is on the right track. The BTA folks are certainly on that track too. You will be aware that we brought in some teams over the past year or so. But that remains a segment that, yes, we are chasing. And we will continue to do so. Now, I know swimming is your thing, and I think you have been the spearhead of some teams visiting us in t he past. And whilst we are at it I will thank you for that. But of course we can never sit around on our laurels, and if we can get 10 different schools to come here and train and enjoy our facilities then I am sure we will do so. But to answer your question, yes, we are. With regard to Shadow Minister Scott and the New York office, it is still there. She asked a question about the 90 minutes. Well, I have been pressing the 90 minutes tagline, if you like, since I have been in this seat. So all I can say is, let’s look for that in the future, because I think everybody in the House agrees that it is good to see pictures and advertisements of Bermuda, but we need to really explain to people how close we really are. With regard to green initiatives, she will also know that in the National Tourism Plan there is a sec-tion that talks about the green initiative which we will continue to chase. You also know that those goals were set to be achieved by 2025, and percentages of achievements will be announced every y ear as we pass through the years.
Bermuda House of Assembly The Honourable Member Pat Gordon- Pamplin talked about the booth and being tucked away in the back. I just want to bring to her attention that it was a premium spot. And they had thousands, my people just wrote to me and said we had thousands of people that actually came through the booth and it was close to the area where children and family were located as well. [Inaudible interjection] Hon. Zane J. S. De Silva: Okay. All I am telling you is what my people just wrote to me. They said that we had thousands — thousands —of people who actually came through the booth. So it may have appeared to be in the back, and I can only go by what they told me. But hopefully I will experience it next year for myself and I will be able t o . . . maybe we will be there together. But apparently it seems like it was in a good spot where we did reach a lot of people. I guess I won’t know until . . . if I get out there myself this year. The Honourable Member Dunkley who seems to want to continue to talk about the board and the former CEO. He talked about the current chairman, where is he? What he does not know, obviously, and I will let him know is that even though the chair is working overseas at the moment, he is very, very much i nvolved. And he would know, I am sure, as a former Premier of the country, what the board does, and how much work they do. So, you know, for him to question how much work or how efficient one of the board members will be, let alone the chair, I find a little bit confusing. But be that as it may, I am not saying that there won’t be a change in that regard in the future. Maybe there will be. I can say that we have been doing a lot of . . . we have had a lot of conversations lately. I am sure you are aware. If you were a Minister, you would be too. Hon. Michael H. Dunkley: You are doing a lot of tap dancing today. Hon. Zane J. S. De Silva: You can call it tap dancing if you like. I am trying to be respectful. And the Honourable Member Dunkley did ask, Did the board and Mr. Dallas part on good ways? I think that is documented. We even had a press statement, I think. The board congratulated and thanked him, and so did I. We both thanked him pub-licly. I do not know what the Honourable Member Dunkley is tryin g to start. You know, he smells som ething; he is stirring something. But let him keep going. It is well documented as to what took place. He will know that when you have professionals who are in positions and decisions are made, and sometimes you have conf identiality agreements, sometimes you do not. But, you know, that is all I can say about that. And he did ask (I think he asked), Did the board . . . I’m not quite sure.
[Inaudible interjection]
Hon. Zane J. S. De Silva: Did the board notify me in advance? Yes, they did.
The ChairmanChairmanAll right. Honourable Member, Mr. Smith, you have the floor.
Mr. Ben SmithThank you, Mr. Chairman. Just a follow -up on with the sports tourism question that I asked earlier. I think what I was referring a little mor e to was some kind of package that would kind of lay out what is available in Bermuda that could be given to …
Thank you, Mr. Chairman. Just a follow -up on with the sports tourism question that I asked earlier. I think what I was referring a little mor e to was some kind of package that would kind of lay out what is available in Bermuda that could be given to our sports teams so when they tra vel they have that opportunity to pass it on to whoever they are dealing with. A lot of sports facilities in different jurisdictions have the same kind of set up that is going to lay out potential options for transportation, potential options for food, potential options for facil ities, [and] for where they can work out in the gym. Just with obviously looking at the specifics of Berm uda to show our beauty and that kind of thing so when they hand it out, when those people go back to wher-ever they are from they are going to be talking about Bermuda even though the event —
Hon. Derrick V. Burgess, Sr.: Point of order, Mr. Chairman.
The ChairmanChairmanPoint of order. POINT OF ORDER Hon. Derrick V. Burgess, Sr.: Mr. Chairman, we are doing the budget. Right? You got to keep your questions in line with the unit and the Head. You have to indicate that. [Inaudible interjection] Hon. Derrick V. Burgess, Sr.: No, you have not. He …
The ChairmanChairmanHonourable Member. Hon. Derrick V. Burgess, Sr.: Mm-hmm.
The ChairmanChairmanThe Chair takes your point. Hon. Derrick V. Burgess, Sr.: Thank you.
The ChairmanChairmanHonourable Member, from constit uency 31, you have the floor, if you could indicate your line item for Tourism. 3274 2 March 2020 Official Hansard Report Bermuda House of Assembly Mr. Ben Smith: Yes, so I will go back to . . . I was on page B -200, under …
Honourable Member, from constit uency 31, you have the floor, if you could indicate your line item for Tourism. 3274 2 March 2020 Official Hansard Report
Bermuda House of Assembly Mr. Ben Smith: Yes, so I will go back to . . . I was on page B -200, under Administration. I was just following on because the Minister actually answered my original question off of what I stated. So all I am saying is, the Minister in his response to me knows that we are attracting teams from overseas now , but maybe an option to add to that so that we can increase the number of teams just because of the relationship with local athletes and local teams when they travel gives us an opportunity to increase our coverage because the r elationship is really what tends to bring people to Bermuda. It is the Bermudian way. A lot of times people come to Ber muda the first time and then they meet people in Bermuda and that is what brings them back the next time. So that opportunity is available once we have that contact. It makes it actually easier for the Tourism Authority to get that message out because the locals are already traveling to these destinations.
The ChairmanChairmanThank you. Does any other Member care to speak? Member from constituency 23, you have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just want to go back to my query which I had on page C -19 in respect to Grants and Contributions …
Thank you. Does any other Member care to speak? Member from constituency 23, you have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I just want to go back to my query which I had on page C -19 in respect to Grants and Contributions to the Tourism Authority under business unit 7099 . . . I’m sorry, Bermuda Airport A uthority with respect to 7099. Can the Minister give us an explanation b etween the ori ginal estimate of 2019, $13.3 million and the revised estimate of $16.3 million? Was that $3 million [coming from] minimum revenue guarantees during that period of time to make that extra $3 million from $13.3 [million] to $16.3 [million]? Because this years’ budget is $14,508[,000]. The Minister has said it has gone down, but it has gone up from the original budget of 2019/20 by the 1.208 MRG that he spoke to, that he is budgeting for this coming year. But I am just trying to understand the difference bet ween the $13.3 and the $16.3, whether that was a result of MRGs in that period.
The ChairmanChairmanMinister. Hon. Zane J. S. De Silva: Thank you, Mr. Chairman. She is correct. The first figure of “3” was used for that. I am just trying to be careful. I stay away from that MRG word. I like to say Air Service Development. [Inaudible interjection] Hon. Zane J. S. …
Minister.
Hon. Zane J. S. De Silva: Thank you, Mr. Chairman. She is correct. The first figure of “3” was used for that. I am just trying to be careful. I stay away from that MRG word. I like to say Air Service Development. [Inaudible interjection]
Hon. Zane J. S. De Silva: Yes. We have 1.208 allotted for this y ear and then 1.208 for next year. Hon. Patricia J. Gordon -Pamplin: Thank you.
The ChairmanChairmanOkay. Hon. Zane J. S. De Silva: The other thing too, Pat, Honourable Member —
The ChairmanChairmanHonourable Member, yes. Hon. Zane J. S. De Silva: —you had asked about the . . . I cannot remember the line item, but you were talking about the revenues, it had moved from whatever the cost centres, about four, five, six of them, I think you lined off. They …
Honourable Member, yes.
Hon. Zane J. S. De Silva: —you had asked about the . . . I cannot remember the line item, but you were talking about the revenues, it had moved from whatever the cost centres, about four, five, six of them, I think you lined off. They were in I think it was 201— 2018431, 31, 32, 33 , 34?
[Inaudible interjections]
Hon. Zane J. S. De Silva: Right.
[Inaudible interjections] Hon. Zane J. S. De Silva: Oh, she did. The Regulat ory Authority, and it is not gone . . . yes, okay.
The ChairmanChairmanIt is 5:01. This debate goes on until 5:40, Head 48. Honourable Member, you have the floor. Ms. Jackson.
Ms. Susan E. JacksonThank you, and good afternoon, Mr. Chairman. So I am under line item 7099, I believe . . . or no, I am going to take it at 6835, the Tourism Authority Grant. See on page C -19.
Ms. Susan E. JacksonSo I just wanted a little more clarification and explanation around the passenger tax. I know that this passenger tax has been existence for a while and the Government rightly so has considered an increase. Last year when the increases and the rates for the cruise ship passenger taxes were …
So I just wanted a little more clarification and explanation around the passenger tax. I know that this passenger tax has been existence for a while and the Government rightly so has considered an increase. Last year when the increases and the rates for the cruise ship passenger taxes were released there was a sort of tiered tax. So if you are in Bermuda for 24 hours, then it is a certain amount of money. I think like $25. If you are here in Bermuda on a cruise ship and it is like three days, then you are paying more money. I would just like to know how that tiered part works with the taxes, and whether there would be any influen ce on cruise ships to try to change the time or the duration of when they are in port. If the taxes got to a height, let’s say of $75 or $100 per passenger, whether the cruise ships would start to pushback and what they might —
Bermuda House of Assembly Hon. Derrick V. Burgess, Sr. : Member, I am trying to follow you. What —
Ms. Susan E. JacksonSo I believe that I am on C - 19, and I am under line item 6835, Tourism Authority Grant. I believe that that may be where those taxes are going. Between the Tourism Authority and then I guess the consolidated fund. So actually I am just r eally trying …
So I believe that I am on C - 19, and I am under line item 6835, Tourism Authority Grant. I believe that that may be where those taxes are going. Between the Tourism Authority and then I guess the consolidated fund. So actually I am just r eally trying to find out where it is. Did you just want to answer that and I will continue? Okay.
Hon. Zane J. S. De Silva: Yes. I am not sure if the Member was here when I was reading my brief, but I did explain to everyone that the tax that we used to have was called the “large ship infrastructure tax.” And that has now been changed to the “transport i nfrastructure tax.” We discussed this with the cruise lines and they were very happy to assist us, because they know some of the challenges we are facing with regard moving our people around once they get here. There was no pushback at all. In fact, the cruise lines themselves have actually asked what they can do further to assist. We will be having an announcement soon [as to] some of the things that they are doing. Myself, the PS and several of our other people were actually in Miami just last week. We had further conversations. I think that everyone is going to be happy when we announce some of things that w e will be doing in the future with the cruise lines. So they are always more than happy to work with us in everything and anything that we do. As I said earlier, I think that the cruise lines, unlike the airlines, are falling over each other to come to Be rmuda. So we do not have any problems with them whatsoever with regard to any pushbacks. No.
[Inaudible interjections]
The ChairmanChairmanAddress . . . Member can you address the Chair [for] the benefit of . . . you can ask your question. Hon. Zane J. S. De Silva: Whilst I am on my feet, I think it might have been MP Dunkley who had asked about . . . or …
Address . . . Member can you address the Chair [for] the benefit of . . . you can ask your question. Hon. Zane J. S. De Silva: Whilst I am on my feet, I think it might have been MP Dunkley who had asked about . . . or maybe it was Pat Gordon- Pamplin asked about the Events Authority. There was talk about . . . was it you, Pat? The Honourable Member Pat Gordon- Pamplin had asked about . . . because there was some talk about the Events Authority possibly being carved out of the Tourism Authority. That is still on the agenda. In fact, just a couple of weeks ago myself and the former CEO Dallas were having a conversation and he was saying, Listen, we really need to push that along. That was something that he actually wanted. So that is a work in progress.
The ChairmanChairmanAny other Member care to . . . Hon. Patricia J. Gordon -Pamplin: Yes, it is just for clarity with respect to my honourable colleague, MP Jackson’s query. And that is, the passenger tax. I just wanted to verify whether that is actually just going into the consolidated fund [and] …
Any other Member care to . . . Hon. Patricia J. Gordon -Pamplin: Yes, it is just for clarity with respect to my honourable colleague, MP Jackson’s query. And that is, the passenger tax. I just wanted to verify whether that is actually just going into the consolidated fund [and] it is not g oing into this grant for the Tourism Authority. That is where the confusion arose. I was just asking the question to clarify for her.
Hon. Zane J. S. De Silva: That is . . . obviously, all the money goes into the consolidated fund. But what we have done is once we got to this stage, we had several people in meetings with the Finance Minister, and he has agreed that this money will be separate and apart from all the rest of it. So even though . . . and you know I look over at my PS, because we a lways had this conversation about . . . and you all with know because you were in this seat for a little while. But I can assure you that all these actual monies will be put aside for the infr astructure, things that we want, whether it be buses, docks, and anything of that na ture.
The ChairmanChairmanOkay. We are on Head 48. This debate ends at 5:40. Does any Member care to address this Head? There being no further questions, Minister, you can move the Heads if you would like. Hon. Zane J. S. De Silva: Mr. Chairman, I move that Head 48 be approved as …
The ChairmanChairmanIt has been moved that Head 48 be approved. Are there any objections? No objections. Minister. [Motion carried: The Ministry of Transport , Head 48 was approved and stands part of the Estimates of Revenue and Expenditure for t he year 20 20/21.]
The ChairmanChairmanWith Head 48 approved at 5:08, we will now move on — [Crosstalk]
The ChairmanChairmanHead 89, Home Affairs, Energy, u nder the Deputy Premier, the Honourable Walter Roban. You have the floor, sir. MINISTRY OF HOME AFFAIRS HEAD 89 —DEPARTMENT OF ENERGY Hon. Walter H. Roban: Thank you, Mr. Chairman.
The ChairmanChairmanAnd this is a two- hour debate. 3276 2 March 2020 Official Hansard Report Bermuda House of Assembly Hon. Walter H. Roban: Yes, and I am sure you and other able members of the panel will keep the time tight. Mr. Chairman, I move that Head 89, Energy, be now …
The ChairmanChairmanIt has been moved that Head 89 be taken under consideration. There are no objections, Minister. Continue. Hon. Walter H. Roban: Thank you, Mr. Chairman. I am pleased to present the budget for Head 89, the Department of Energy, found on pages B -328 through B -330, [and pages] C …
It has been moved that Head 89 be taken under consideration. There are no objections, Minister. Continue.
Hon. Walter H. Roban: Thank you, Mr. Chairman. I am pleased to present the budget for Head 89, the Department of Energy, found on pages B -328 through B -330, [and pages] C -8 and C -16 of the A pproved Estimates of Revenue and Expenditure. The mission statement of the Department of Energy, Mr. Chairman, has been simplified in alig nment with the Government reform initiative and the expansion of the department’s remit to read: We pr omote, advocate and develop policy and legislation for the space, energy, and telecommunications indus-tries. With the amalgamation of the Department of Telecommunications the mandate of the department has focused much more on development of the space and satellite sectors than it had in the past. And the new mission statement reflects a broader approach to the three sectors. The department function spans the entirety of the three sectors and includes policy gui dance, assis ting in the development of legislative frameworks, public outreach and engagement, and enhancing opportunities for investment both from without and within Bermuda.
Expenditure Overview Hon. Walter H. Roban: Mr. Chairman, the total current expenditure of Head 89 is estimated to be $880,000, found on page B -328, and represents no difference from last years’ figures. Staffing levels have remained constant throughout the year and work has conti nued with various ongoing projects. There has been some movement of funds in various categories delineated.
Subjective Analysis Hon. Walter H. Roban: Mr. Chairman, Advertising and Promotion, found on page B -329, on line 5, is allocated $64,000, an increa se from last year’s budget of $14,000, or 28 per cent. This budget is used to host conferences, workshops, and summer camps, essentially capturing the expenses of the department’s outreach and education activities in both energy and te lecommunication- related areas. Mr. Chairman, page B -329, line 6, shows the allocation for Professional Services, which includes consultant services. The total in this area has de-creased slightly from last year’s overall allocation for these areas by $15,000, or 4 per cent. Wi thin that allocation category there have been some changes as there will be more reliance on overseas consultants as the department works toward developing the space and satellite industry for Bermuda. There is also an allocation highlighted on [page] C -8, which I will expand on further under the heading of Capital Expenditure. Consultants are hired where the department’s capacity is exceeded, generally for special projects and singular pieces of work for which the creation of a post would be unnecessary due to the duration of the work.
Manpower
Hon. Walter H. Roban: The manpower estimates for the Department of Energy as outlined on page B -329 are four full -time posts, all of which are filled by Bermudian employees. This is no change over the prev ious year.
Output Measures
Hon. Walter H. Roban: The reform project of the public service has seen every department modernise and update its performance measures. In part, the D epartment of Energy’s remit has been to ensure a rel iable and continued inter face with the public on energy and telecommunication matters. In this manner, the performance measures for the department found on page B -330 are those which are readily quantifiable to ensure that the public is given regular [information] and maintains information in a proactive fashion. The performance measures are new, and we seek to build on these in the future.
[Mrs. Renee Ming, Chairman]
Revenue
Hon. Walter H. Roban : Madam Chairman, the rev enue summary for the Department of Energy can be found on page B -329. These figures represent the Government’s authorisation fees in the electronic communications and electricity sectors. Telecommunications is expected to take in approximately $15,224,000 by the end of the fiscal year, and the electricity sector will earn approximately $200,000 in revenue. Spectrum band fees are antic ipated to earn approximately $2,500,000, about the same as last year. In total, with various commercial fees and mass media fees, the department’s revenue is projected to be $18,076, 000, which is a slight i ncrease of $191,000, or 1 per cent over last year’s estimates, due mainly to slight adjustments to some of the radio licensing fees.
Bermuda House of Assembly Capital Expenditures
Hon. Walter H. Roban: Madam Chairman, the D epartment of Energy’s capital dev elopment budget can be found on page C -8. The first line item, under bus iness unit 75269, Satellite Orbital Slots, shows a figure of $250,000. This budget has been used in the past largely in consulting fees to guide us in the comme rcialisation of Bermuda’ s satellite slots, which is part of the broader project of building Bermuda’s space and satellite industry. In the coming year, this budget will be used mainly for consulting fees as policies are developed, and, where appropriate, legislation will be devel oped around the commercialisation of our satellite assets. This is a 67 per cent increase over last year’s budget. The second line item, business unit 75344, shows no funds being allocated for this work; namely, the Solar Photovoltaic Facility at the L. F. Wade International Airport, as that project is approaching completion and is scheduled to be operational within the next few weeks. There is no work anticipated for the coming year on this project. Madam Chairman, the Department of Energy’s capital acqui sition budget can be found on page C-16 and shows the single line item of the Energy Rebate. This year’s allocation shows a figure of $100,000, which is a 60 per cent reduction over last year’s figures. This is in part due to the improved feed- in tariff wh ich should encourage more voluntary uptake of renewable energy, and the continued d ecreased costs of solar technologies worldwide.
Major Achievements
Hon. Walter H. Roban: Madam Chairman, this past year, the department has continued with the Solar Rebat e programme, striving to benefit those in smaller residences and encouraging ordinary homeowners to adopt solar photovoltaic panels to take some demand off the grid. Such adoption clearly and obviously ben efits the homeowners by offering them a price for t he electricity flowing to the grid. What is less obvious, but no less important, is that for every kilowatt deployed, there is less Bermudian capital spent on foreign fuel. While solar PV in and of itself with no storage serves only to displace fuel use, that alone is a meaningful offset, and serves to help stabilise at least a part of every ratepayer’s fuel surcharge. Thus far, the r ebate initiative has deployed about a quarter of a meg-awatt of solar PV over 56 homes with 90 applicants to date. The total amount spent on the rebates so far is $211,699 with a further $76,000 possible depending on whether the projects applied for are completed in this fiscal year. Madam Chairman, another initiative aimed at energy efficiency this past year is the LED exchange initiative, launched in May of 2019. The department worked with the retailers themselves to ensure a smooth and workable solution, in which customers exchanged an old incandescent bulb for a new, eff icient, 60- watt equivalent LED. In all, the department paid for a total of 10,794 LED bulbs, for a total spend of $63,254. Toward the end of the initiative, we a llowed customers to exchange up to 10 bulbs at a time. If the lifespan of the LEDs are about 20 years, and assuming they are used six hours per day every day, then the savings from this one initiative over the lifespan of those bulbs is more than $4 million. We are proud of the result and that return on inves tment, as that capital will circulate in the local economy rather than being sent offshore to buy foreign fuel. Each bulb will save over $3 each month with the use described, and for every month thereafter in its lifespan, at present rates. Apart from the monetary savings, over 12,000 metric tons of carbon dioxide will have been prevented from being released into the atmosphere. This is good news for our wallets and our environment, and shows how small measures, t ogether, add up to result in sizeable outcom es. Madam Chairman, in August of 2019, the department hosted two weeks of Space Camps for Bermuda public school students, for a total cost of $19,733. Selected by the Ministry of Education, there were a total of 35 students from various middle schools enr olled, with students from each middle school. Through connections made through the Space and Satellite Advisory Panel, a team from the NASA Wallops Space Center conducted the first week, and the second week was led by a team from the Challenger [Learning] Center of Alaska. During these weeks, students learned about Bermuda’s unique importance to space missions both in the past and in the future, that without the earth stations in St. David’s, the international space station would not be possible. While ma king a contribution toward increasing the cultural awareness and support of space industry, an important feature of the Space Camp was in the teaching of the [scientist’s] process, with critical thought, defining the challenge of an exercise, and working pathways through it. The response from the students who attended was overwhelmingly positive, (and we know that because we surveyed them after the exercise), and the department looks forward to hosting Space Camp again. Madam Chairman, that particular proj ect was one of my true joys in doing this job, and finally ma king some of the work that we do here in the Gover nment matter to our young people in showing them how technology of the highest advancement actually affects their lives, and maybe perhaps we wil l gain a few scientists or potentially people who work in technology and other areas of space in the future. It may inspire them to do that. So we were very happy with that pr ogramme and that we were able to bring it to our Bermudian children. 3278 2 March 2020 Official Hansard Report
Bermuda House of Assembly The departm ent has also continued to build on the relationships established in the past, particularly as it continues [its] work with the Rocky Mountain Institute, or RMI. RMI, an independent non- profit organisation renowned for its work as a leading think tank for r enewable energy and climate change sol utions, [and] has been working with the Department of Energy and the Department of Public [Transportation] over the past year to help develop solutions to address our energy issues as an Island. The department has wor ked with RMI over the course of the year to establish a process by which it might evaluate prospective sites for solar development. Among the criteria was the need to utilise brownfield sites and rooftops, leaving our green and open spaces available for their primary purpose of providing important natural buffers between deve loped areas, allowing habitat and scenic vistas to be preserved. Prospective sites were those government - controlled sites that offered sufficient space for eff icient and effective deplo yment of solar PV. And about 219 sites were identified as being optimal for devel-opment, with additional sites in less -optimal but still having some development potential. Those optimal sites include rooftops, land parcels, car parks, and water catchments throughout the Island. There are a total of 244,000 square metres of rooftop spaces and 857,000 square metres of land parcels that may be considered for solar development, and the exact numbers will vary as the developments are eng ineered and procured. The next steps will be to move [toward] developing those sites and de- risking them, in order to ensure a fair and just procurement process, in which Bermudians will participate. There is clearly a potential, Madam Chairman, for us to have a cleaner, more ind ependent renewable future, this is just a part of the process we are using so we can get there. So there is a lot of potential. A nybody who says that Bermuda cannot be clean and renewable does not know the facts, but we are on a good path toward achieving that goal. Madam Chairman, in December of 2019, there was a plenary meeting of the Space and Satellite Advisory Panel. In that meeting, progress was made in finalising Bermuda’s first National Space Strategy, which I hope to unveil within the next few weeks. Among the considerations that have shaped the strategy are: • how to leverage, preserve and promote Bermuda’s sterling reputation as a responsible and leading jurisdiction in which to conduct business; • how to enhance domestic space and spacerelated cap abilities; and • how to raise Bermuda’s profile in the international space community. All of these efforts are to effect perhaps the most important outcome, that of generating a sustai nable revenue from our national orbital allotments and our space- related i ndustries. I look forward to repor ting more on developments in this sector to this Hon-ourable House in due course. Madam Chairman, in January of this year, the department hosted the Space Sustainability Workshop in partnership with the Secure World Foundation, a non-profit organisation dedicated to working with governments, among others, to develop and promote the secure, sustainable and peaceful uses of outer space. The workshop was attended by members of the insurance industry, representatives from BIOS, internal stakeholders including staff members of the Depar tment of Environment and Natural Resources, and the Regulatory Authority. There were also a number of overseas participants, as well. As Bermuda develops its space and satellite sector, sustainabil ity is critical in order to ensure that ours is a jurisdiction of best practice and a centre of excellence. Holding ourselves to a high standard in the satellite industry will ensure that our reputation is upheld and enhanced, just as it is in the shipping and the aircraft registries. Madam Chairman, last but not least, the department, in conjunction with the Ministry of Public Works, has worked diligently throughout the year with the developers of “The Finger,” and the project is finally drawing to a close. This project will deliver six megawatts of solar energy to the grid during peak times of production, which will obviate the need for at least some of the diesel -powered peaking engines at the utility during those times of production. This repr esents a si gnificant step forward in creating a more sustainable energy future and will serve as a benc hmark for all projects of this nature as we look toward the fulfilment of the Integrated Resource Plan. We look forward to reporting more about its operations once it is operational, which is scheduled to be completed within the next few weeks.
Plans for the Upcoming Year
Hon. Walter H. Roban: Madam Chairman, in the coming year, the department will offer the Space Camp again, as noted earlier. Continuing the Space Camp initiative will ensure that Bermudian students will learn the critical role Bermuda plays in the space industry and learn how to solve real -world problems using methodology and technology developed for space. While it is not our goal to develop astronauts, necessarily, we hope to promote critical thinking and scientific process, igniting fires in young minds around the STEAM and technology. Madam Chairman, the department will conti nue to work with the Rocky Mountain Institute [RMI] and other stakehol ders to advance Bermuda [toward] its renewable energy goals. Distributed solar is an area that could provide some real “quick wins,” and the work that RMI has done to date identifies many sites, as noted earlier, most of which are perfectly suited for smal ler commercial scale development in
Bermuda House of Assembly solar PV. The next steps are de- risking the projects and putting them out to tender. And I can tell you very clearly, Madam Chai rman, the goal is that Bermudians will be the first up to take advantage of those projects. We are mindful from the experience with the solar finger that there were some who were concerned that an overseas contractor was the preferred bidder and ultimately awarded that particular project. That’s fine. And the fact that we have it built was the goal. But, going forward, having had that experience this Government will ensure that the projects going forward will only be available to Bermudians. There are many Bermudians who are aspiring to move forward in the clean energy sector and we want to give them the best possible opportun ity we can to develop that in Bermuda. It is about energy independence and it is better that we be providing the energy rather than som ebody else. So that is the goal. And as those projects become available, and we hear about them getting out to tender, you should be seeing Bermudians being the lead on all of those projects. Madam Chairman, while the rebate initiative has provided much benefit to the community, as already noted we need to ensure that the benefits are directed where they will have the greatest impact. In the coming year we seek to re- design this initiative to be even more targeted at those who would not otherwise be considering solar technology for their homes, rather than serve only as incentive to tip the sc ales for those who were contemplating solar PV anyway. Madam Chairman, the department is also building on its local relationships, and is working with the Bermuda Business Development Agency [BDA] on hosting the Energy Summit, which will be hosted later this year. Last year, we moved the Summit to a biennial format, thus, this year is the Summit year. This year’s Summit, scheduled for November, seeks to highlight the business opportunities around the energy sector and will be held over two days with international and local participants. We look forward to revealing the final curated product and encourage those wishing to attend to contact the department over the coming months. Madam Chairman, I am also pleased to inform this Honourable House that the Minis try and the department have been working with the BDA, the Reg ulatory Authority, to attract innovative energy technol ogies to Bermuda. To that end, we will be bringing to the House amendments to the Regulatory [Authority ] Act 2011 and the Electricity Act 2016 to introduce special licences to allow new technologies to test their innovations in Bermuda in the same way as the reg ulatory sandbox works with the Bermuda Monetary A uthority in the insurance industry. Madam Chairman, the department will also review and update the 2011 [Bermuda] Energy White Paper. Since that time, technology has advanced, pricing on renewable energy has decreased, climate change events have amplified, and these all bear upon the relevance of that initial policy statement. This year, the department will strive to harmonise the White Paper with the recently -published [Bermuda] Integrated Resource Plan, ensuring that policy and practice are well aligned. Madam Chairman, in closing, I would like to thank a number of people who are part of a small and dedicated team for all their hard work with this partic ular department: The Director, Mrs. Jeane Nikolai, who is here today; Mr. Aran McKittrick; Ms. Patricia Deshields, who deals mostly with the satellite areas that we deal with in the Department of Energy; and also Ms. Vanese Gordon, who w as seconded from the Public Works Department to work with us over the past year. We look forward to the challenges in the coming year of becoming a more forward- facing depar tment and attracting business in the sectors of energy and telecommunications, and also space, where o pportunities for Bermudians do exist, and, of course, working on lowering the costs of energy by empower-ing our community and also consumers. I would also like to thank the Permanent Secretary f or the Ministry, Ms. Rozy Azhar, and also, our controller, who is here, Ms. Maughn for keeping the budget tight at all times, and keeping the Ministry ru nning as best as it can run. So, I would like to thank the both as well, all the team who are here and those who are not here for the work that they do for the Ministry in general, as well as this department. With this overview of the department and its activities, I move that the budget for Head 89 be a pproved.
The ChairmanChairmanThank you, Minister. We are now in the Committee of Supply. We are doing Head 89. We started at 5:09 and we will finish at 7:09. I welcome any Member who would like to speak. I recognise the Member from constituency 30,
Ms. Scott.
Ms. Leah K. ScottThank you, Madam Chairman. Thank you, Minister for your brief, whic h, as usual, answers more of my questions than I can ask. I am going to start with page B -328 and 8901, 99000, Administration. Since the duty has been elim inated from the importing of electric cars, has …
Thank you, Madam Chairman. Thank you, Minister for your brief, whic h, as usual, answers more of my questions than I can ask. I am going to start with page B -328 and 8901, 99000, Administration. Since the duty has been elim inated from the importing of electric cars, has there been an uptake in people purchasing electric c ars? And I actually have an electric car that I love, but I was wondering . . . I know that the Rocky Mountain Institute was looking at possibly seeing whether we would have an infrastructure that could support elec-tric buses. Have electric cars been consi dered for purchase by the government instead of gas cars, which would save on gas and other related expenses 3280 2 March 2020 Official Hansard Report
Bermuda House of Assembly because you only have a battery and no other engine parts to replace? I would like to know where we are on the cl imate change initiative that was discussed in the budget for last year. I note that the fuel policy was i mplemented in September of 2018, and I think that was supposed to be a precursor to legislation surrounding fuel policy. Will there be legislation coming? On page B -329, you mentioned the Space Camp, which I was pleased to hear about. There is not a line item for education. Does that come under Advertising and Promotion? The cost of the camps and bringing the people here for the camps. The other thing is that I am fully supportive of the camps and I think that is a great initiative. I am just wondering whether consideration would be given to possibly joining up with NASA or anywhere else where they would have sort of an apprentice pr ogramme or a mutual programme where children could utilise what they learn at the Space Camp so they have the possibility to not just get this information in Bermuda but be able to partner with somebody to be able to do it somewhere else so that they are not learning in isolation. But I fully support that ini tiative and it is great. And I would like to know when it is g oing to be this year, because I would like to come and see, if that is possible. Under, again, page B -329, under Advertising and Promotion, the original was 50 and then it went up to 90 and then it came down to 64. And I am just asking why [there was] that increase. And again, under Professional Services, it went down and then it has gone back up, so I would like to know why that has increased. I know that in the past there have been consultants that were used for streaming and over - the-top services. Are we still utilising consultants for that and how much of that actually . . . does it actually come under Professional Services? And is that the reason for the increase? The other thing is that one of the reasons that I think it was decided for the Energy Summit to be biennial instead of annual is because the department was going to undergo a greater education and out-reach programme. I would like to know, I guess, what that falls under. Is that Adver tising and Promotion? How much money has been spent on an outreach education programme? I know that CAL shows up on my computer every time I turn it on.
Ms. Leah K. ScottOh, okay. So then you have not had a successful education campaign because I only know CAL. [Inaudible interjections and laughter ]
Ms. Leah K. ScottSo I would like to know what kind of outreach has been done and where that falls as a line item in th is budget. I know that we have been working with overseas partners to ensure that Bermuda is more competitive in the satellite space. Is the cost for …
So I would like to know what kind of outreach has been done and where that falls as a line item in th is budget. I know that we have been working with overseas partners to ensure that Bermuda is more competitive in the satellite space. Is the cost for that also contained under the line item for Professional Services? Again, on page B -329, under General Fees, 8431. I am happy to see that there is an anticipated estimated increase. Why do you anticipate that i ncrease? Are you planning on raising fees? And the same is for the commercial fees, and the spectrum band fees. Is it anticipated that you are going to raise those fees which will contribute to the greater rev enue? On page B -330, the target outcome for the attendees to the biennial Energy Summit. You have got a target outcome of 150. Is that a reasonable number? How many were there last year? Is this an increase? Are you looking to get more people? There was in last year’s budget an allocation for an in- house energy manager, and that person was going to assist with the reduction of the energy expenditure. It was anticipated that they would look at reducing energy expenditure in government buildings. Has that person been hired? Has there been any analysis of whether or not there has been a reduction in energy expenditure in government buildings? The energy rebate has gone down to [$]100,000. I would like to know why that has gone down.
The ChairmanChairmanExcuse me, Member. Which page are you referring to?
Ms. Leah K. ScottSorry. That is page C -16, under Energy, 76889. I support the creation of the energy sandboxes and I look forward to hearing more about that, as well as the National Space Strategy. I would be interested in hearing more detail as to how it is anticipated that this will …
Sorry. That is page C -16, under Energy, 76889. I support the creation of the energy sandboxes and I look forward to hearing more about that, as well as the National Space Strategy. I would be interested in hearing more detail as to how it is anticipated that this will generate revenue. And is it anticipated that Bermuda could become or would become a centre of excellence for this in itiative? And those are all my questions, Minister.
The ChairmanChairmanThank you, Member. Does any other Member wish to speak? Minister, you have some questions. Hon. Walter H. Roban: Thank you, Madam Chai rman. And thank you to the Honourable Member for the questions. Some of the questions actually will pertain to . . . although related, [those] are specifically …
Thank you, Member. Does any other Member wish to speak? Minister, you have some questions.
Hon. Walter H. Roban: Thank you, Madam Chai rman. And thank you to the Honourable Member for the questions. Some of the questions actually will pertain to . . . although related, [those] are specifically the r eBermuda House of Assembly sponsibility of other ministries, [and those are] the matters concerning electric cars. And just to give a slight little bit of bac kgroun d, the initiative with RMI did start with myself when I was with the Transport Ministry, because I also had Energy and Regulatory Affairs under that Ministry. But it is being shared by my Ministry now and the Mi nistry of Tourism and Transport. So, we are n ot directly responsible for the cars initiative, which the Member raised about electric cars, generally, for the country. Although we support that, because the electric car can actually be a very important component of the energy independence mix once it i s fully deployed and the infrastructure that can support electric cars on the I sland is finally put in place. As it relates to . . . I will . . . although I am not aware whether the Minister of Transport was asked that, we support the effort around electr ic cars. We have discussed with RMI identifying models which can actually be brought into the Bermuda market, and working on how we promote that. But that ultimately will be a matter finalised by the Ministry of Transport. As it relates to the government ’s own initiative around electric cars, that is a matter for Public Works. Perhaps that question can be asked of the Public Works Minister once he debates. But, again, we support that effort. In any way we can support Public Works in the conversion of the government’s fleet to electric, we will do so. There were questions about climate change initiatives. That is being principally done under anot her part of my Ministry, which is the Environment. But as it is energy related, we are obviously pushing t oward any energy independence and a cleaner future to respond to the issue of climate change. So ever ything we do is aimed at decreasing emissions that contribute to climate change and supporting other d epartments in those efforts. So, we will support every energ y initiative that contributes to reducing emi ssions, reducing Bermuda’s carbon footprint, and that supports a cleaner energy future. So we are working with other Ministries to do that. As it relates to the fuel policy legislation, that fuel legislation, th at fuel policy is actually in place a lready. That would have been put in place in 2018. The legislation will be done when other legislation r elated to the energy sector is actually amended and modernised. We talked about the Regulatory Act and the Electric ity Act. [They] will also be modernised. So within those changes you will probably see some fol-low up on fuel -related legislation. NASA. In relation to the Honourable Member’s question, the answer is yes. If the Honourable Member recalls, in my brief I talked about the fact that the space programme was done in conjunction and in partnership with two of NASA’s departments. One is in Wallops, which is on the East Coast, and also Cha llenger station, which is in Alaska. So they are provi ding support for us w ith that programme. NASA is, out-side of that, a partner in Bermuda as they have a permanent monitoring station back on the Island again, from when they closed. So NASA is a perm anent partner of Bermuda and they are quite happy and proud of that partnership and, I must say, they and the US Government are working very hard to make that work, not only to their benefit but also to Bermuda’s. And as it relates to some of what the Member said in relation to the young people who are in the programme having benefi ts and having partnerships that helps them to have a diverse experience, one of the things that is going to spin off us having the Space Camp programme is that there is going to be an exchange programme done with Challenger. So Berm udian students will go up to Alaska, and students from Alaska will come to Bermuda. Actually, that is a component that they encouraged to be a part of it because they were happy with the programme. We started with middle schoolers. I think it is obvious that we looked to ensuring that the wider section of our young people in the public system have actual opportunities in this. So that is why the exchange programme, which is prob ably better geared to the high school students, will be place and we are going to organise the exchange with Challenger. Professional Services. Not using services —
[Inaudible interjections]
Hon. Walter H. Roban: —for streaming and over . . . I’m sorry. What were you just saying, Honourable Member?
[Inaudible interjection]
Hon. Walter H. Roban: Okay. Well, we are not using those services for streaming. But we are using professional services . . . that’s right. I’m sorry. Professional services are used mostly for the consultants for the satellite area. How we do that is some of that money comes from cap ital because, originally, the acquisition of the satellite slots was a capital investment of the country. So some of the money that is in that has continued to be . . . it is in both the current account pr ofessional services, and some as capital because the acquisition and maintenance of those slots were a capital investment of the country originally. Most of the consultants for satellites as it r elates to the development of our satellite slots will come out of that capital budget, as I said. Other work in developing space and satellite industries in Berm uda will come out of that consulting budget. So all of the other stuff will come out of the consultant budget under Professional Services, on B -329. We will also likely need consultants to assist with some of the legislative work that is required for us to further advance our interests in the space and satellite area. You raised a question about the infrastructure. Yes, as a county we are going to have to do some 3282 2 March 2020 Official Hansard Report
Bermuda House of Assembly work on electrical infrastructure to suppor t the acquis ition of electric cars. That will also require some legi slative changes to our electricity legislation, as well, to accommodate the relationships so that, as I said earlier, electric cars can actually be complementary to feeding the grid and taking that power and using it at peak load. So that going to mean changing the legi slation. It is also going to mean the advancement of energy infrastructure as well. You had some questions concerning the E nergy Summit. I believe the expenditure out of th at comes out of the advertising and promotion budget for the Energy Summit. Educational Outreach. Madam Chairman, I note that the Honourable and Learned Member did say, Well, perhaps we did not have any educational outreach, because she only hears about CAL (CAL being the figure that has been developed by the Regu latory Authority to promote their own educational initiatives around electricity and the sectors that they regulate). Well, part of our education initiative last year was when we did the LED exc hange programme. If people remember, when we did that programme we also developed energy tips handouts, and we had stuff online as well that could show you what little things people could do to bring down their energy costs other than acquiring the LEDs. S o that was all part of an educational initiative, which we intend to reshape and continue and do some other things, particularly around the conservation and efficiency area which we think is actually the least cost -imposing area. People can actually save m oney by having timers on their water heaters, by having lights in their homes that when they leave the room the lights will go out, or just make sure they turn them off the room. You would be surprised, by doing those little things, how much money you can save. We know that from the installation of the LED bulbs people can save up to 60 per cent on their light bill if they fully deploy their house. Certainly, with a timer on your water heater so that it is not going . . . if you live in a house where there is nobody at home six to ten hours a day, if that heater is not on, you will save a lot of money. And that for some people is one- third to one- half of their [electric] bill, depending on the efficiency of the heater. Those are little things. We have already star ted that education. We are going to continue it because we know it is important. There are inexpensive ways that people can use to save energy. I think that is the majority of the questions. If I have not answered anything, I am sure the Honour able Member or other Members will bring it to my atte ntion. Thank you, Madam Chairman.
The ChairmanChairmanThank you, Minister. I recognise the Member from constituency 30,
Ms. Leah Scott.
Ms. Leah K. ScottThank you, Madam Chairman. I just had one more question on page C -8, under Energy, line item 75344, the Solar . . . Photo — Hon. Walter H. Roban: Photovoltaic, PV.
Ms. Leah K. ScottOkay. PV, Solar PV. My question is, I see that it has gone down to zero because the project is going to be completed in the next couple of weeks. But there is no allowance for any maintenance of the solar PV? Or will there not be any maintenance required? …
The ChairmanChairmanMinister, you will answer that question now? Hon. Walter H. Roban: Yes. Sorry, Madam Chai rman. I think I may have slightly missed the question from the Honourable Member. Could she just repeat it?
The ChairmanChairmanSo I will ask her to repeat that for you.
Ms. Leah K. ScottSure. My question is that you have taken it down to zero because the projec t will be completed and scheduled to be completed and oper ational in the next few weeks. [Is there any] provision for maintenance once it is completed? Is it just going to be . . …
Sure. My question is that you have taken it down to zero because the projec t will be completed and scheduled to be completed and oper ational in the next few weeks. [Is there any] provision for maintenance once it is completed? Is it just going to be . . .
Hon. Walter H. Roban: Yes. Thank you. Thank you for that question. Perhaps the Honourable Member and other members of the public perhaps recall that the solar PV project was a PP, a public/private partnership. The Government provided the land. The preferred bidder who signed the MOU and is currently under a landlord/tenant agreement and an implementation agreement, they are responsible for finance, bills, maintain, decommission. So any monies that we had on [hand] was to get through the period where the land was prepared and some of the implementation compo-nents had to be done. Once we do that, we walk away. And all the other work in the maintenance, once it is installed it is operated and run by the person who owns the Solar Finger. Now, I want to make sure people understand, part of the implementation agreement and in the op-eration of that means that Bermudians will be managing and operating that Solar Finger. This is built into the agreement. So it is not going to be run by people from overseas. They may provide some technical support, but the management and operation of it wi ll be done by local persons. And actually, much of the work to install the actual finger has been done by local companies. And that is something that we are going to
Bermuda House of Assembly make sure is known more, now that the finger array has been installed almost completely no w. We will make sure we tell more of the story around that. And there were actually Bermudians down there who did most of the groundwork. As it relates to revenue, let me just give you some revenue. This is from fees on Telecommunic ations, I think. Revenu e is in one, two, three, four, five areas. Class 3, amateur radios at $1,200; Class 5, marine small craft at $26,700; Class A, professional radio service, $16,080; cellular fees at $7.8 million; and miscellaneous fees at $7.3 million. Coming . . . and my t otal, to an amount of $15,224,640.
The ChairmanChairmanI recognise — Hon. Walter H. Roban: I have one other question around the energy manager.
The ChairmanChairmanSure. Hon. Walter H. Roban: I perhaps ––as I recall, the efforts around Energy Manager by our department, which would have been spoken of, is that we were preparing the description and preparing the actual role of the energy manager. The energy manager was never designed to be in the …
Sure.
Hon. Walter H. Roban: I perhaps ––as I recall, the efforts around Energy Manager by our department, which would have been spoken of, is that we were preparing the description and preparing the actual role of the energy manager. The energy manager was never designed to be in the Energy Department. We went about, because we knew that Government was in need of having someone who could specifically work on managing the Government’s energy usage to potentially bring down the cost of the government’s energy bill throughout the government estate. So we did the work to design the post and what the responsibi lities are and what would be r equired, and the goals and objectives of the post. But it was given Cabinet -level support, but ultimately that is likely to sit in another Ministry, most likely the Ministry for Public Works. [It] would not sit within our Mini stry. So the plan is there for that post. Questions as it r elates to the potential deployment of that role should be perhaps passed on to the Ministry of Public Works.
The ChairmanChairmanI make sure to recognise you so that the listening audience knows who is speaking, okay? So I recognise the Member from constituency 30, Leah Scott.
Ms. Leah K. ScottThank you, Madam Chairman. I just have one question. The Minister stated that the cl ean energy sector was going to be —only Bermudians were going to be hired for that. And so my question is, Do we have enough Bermudians who have the education, experience and expertise for that? …
Thank you, Madam Chairman. I just have one question. The Minister stated that the cl ean energy sector was going to be —only Bermudians were going to be hired for that. And so my question is, Do we have enough Bermudians who have the education, experience and expertise for that? And if we do not, what opportunities are we making available t o them so that they can be skilled-up? And is there a roster or something available so that you have a selection of Bermudians that you can go to and so that Bermudians are not deprived of any opportunities? Because I know that there is a good intention. I also know that this is a very specialised area. And so I would like to know that we do have enough people and we do have enough Bermudians to be able to take advantage of the opportunities as they come available.
The ChairmanChairmanMinister. Hon. Walter H. Roban: Madam Chairman, thank you for that question. And not to . . . I mean, this Government has made it very clear that we are looking to ensure Bermudians come first. So one of the things that was d ecided was that any future development …
Minister.
Hon. Walter H. Roban: Madam Chairman, thank you for that question. And not to . . . I mean, this Government has made it very clear that we are looking to ensure Bermudians come first. So one of the things that was d ecided was that any future development in the energy sector would be shaped by Bermudians. And not cas ting any blame, but the finger project ended up being awarded through a very well -detailed and handled procurement process to a non- Bermudian company. There were a number of other Bermudian companies who did park up and put bids in. But they were not chosen. So when we came in [Government] in 2017, that was something that was brought to our attention. And we said, Well, any future development in this sector, and we were not where we are now in reference to having identified the potential for future solar deve lopment; we were not there yet. We needed to do the work, but we said, Well, we will try and make sure we find ways to ensure that Bermudians become the first in line for any future development in solar, whether it be the installing of solar within the government estate, or if there are any projects similar to what happened at the F inger . Were it devised again on government property, we would look to Bermudians to be the first and only contractors in this area. So here we are working with RMI. We are going to make sure that [the following applies]: (1) As I stated, there are about 200- plus or so sites that have been identified, rooftop and brownfield sites, and the substantial acreage that is potentially available for utility -scale and also commercial -scale, and also even in the area of distributive solar. There are between 8,000 and . . . and when we talk about commercial and utility scale, that is obviously on those types of buildings or those types of s ites. But there are 8,000 to 10,000 rooftops in Bermuda, residences that are actually positioned which could potentially be available for PV solar. So there are a lot of opportunities out there that we believe are there for Bermudians to take advantage of. Now, so it is not the case that there is not a market. The market is there waiting to be exploited. (2) Are there companies in Bermuda that can do it? Right now there are. There are a number of 3284 2 March 2020 Official Hansard Report
Bermuda House of Assembly companies. And I guess I will give them all a sort of shamel ess plug. There is AES. There is BE Solar. There is BAE. There is Greenlight. And there are some others that are existing companies that right now are doing PV installs and other aspects of r enewable . . . I am sorry, BAC, the other one. These are the companies, and I know because I recently had meetings with them to talk about this issue. So they are all there now doing this work. So these are all Bermudian companies. Due to the potential, now that it is clearer as to what can happen in Bermuda, there is room for more. And one of the things that we are actually wor king on . . . and I recently had the opportunity to go to the Caribbean to a couple of islands there that are doing different things in renewable sector. One is Barbados, one is Jamaica. And tha t was for two different reasons. And I am telling this story only because I b elieve it will give the Honourable Member and the public a window as to how we see all this happening. So there are companies already based here that can do a lot of this work. That is not in dispute. (3) About the training side of it, and that is where I talked about the trip to the Caribbean. The Island of Barbados has been actually pushing their renewable development now since the 1970s. So they are a country that is well advanced. Almost every house must, by law, have solar water heating on it. Most commercial buildings you go to there within the government’s side, as well as commercial side, you see solar panels on their buildings. All over the island. And they have a variety of different schemes to pr omote the uptick of not only solar water heating, but also commercial solar. I went to a farm where the irrigation system is totally done by solar. So those are the things that I saw. Added to that, it also is clear that we are going to need more people trained on- Island to be able to participate. So level 1 PV installers and other people who have skills in the area of electrical maintenance and also technology . . . yes, we are going to need more of them. And we are working with parties, local parties, to develop training programmes now. And there were some people who ran some training programmes in the past. We are going to work on bringing training programmes here on Island so you do not have to go away to get the training so that they can in a very short period of time get trained up to do solar PV i nstalls. Those are the components they are working on. So, yes, there is clearly a market. There is massive square footage in Bermuda. Two, other people who can do the work now, yes . Three, are we developing training programmes? Yes. And so, over the upcoming year those things will become very clear. It is going to take time to develop and deploy the trai ning, particularly because to me that is very crucial. We have to train our peop le to be the ones who will run this industry as it goes forward. Energy independence means that. It means energy independence. It means getting over fossil fuel. But it also means being able to maintain the sustainable production of renewable energy for t he cou ntry and making sure that our own people are doing that and that this is not necessarily supplied by an ybody from outside. And the potential there is to ensure that hundreds of millions of dollars are kept on Island [instead of] going elsewhere. So I hope that helps answer the Member’s question.
The ChairmanChairmanI recognise the Member from consti tuency 30.
Ms. Leah K. ScottThank you, Madam Chairman. Thank you, Minister, for your answer. And I have one last question. And I know you are going to look at me cross -eyed, but is there anything that can be done at all to assist in reducing the cost of electric ity in Bermuda?
The ChairmanChairmanMinister. Hon. Walter H. Roban: Madam Chairman, well, I think one thing was done in that we are very pleased with the work that the Regulatory Authority was able to do at the end of last year, incorporating a rate, a feed- in tariff, a rate, a tariff decrease for …
Minister.
Hon. Walter H. Roban: Madam Chairman, well, I think one thing was done in that we are very pleased with the work that the Regulatory Authority was able to do at the end of last year, incorporating a rate, a feed- in tariff, a rate, a tariff decrease for everyone. And that means that anybody whose average usage of electricity is somewhere between 650 megawatt s up to about 900, you should have had a rate d ecrease. Now, if you are somebody who has a house where you are guzzling power like crazy and you are up at the 150- megawatt -per-hour level, no! You are not going to get any savings. But almost every catego-ry of usage of electricity should have received a rate decrease as of the end of the [year] of 2019. And they should begin to see that reduction subject to your maintaining your normal usage. So I expect that people who actually during the Christmastime had Christmas lights and were home and burning their electric ovens, cooking cassava pie and turkey and ham and all that, you probably did not get any savings through December. But you will see it going forward. You should see it based on your . . . if you maintain your usage the same as your previous year, you should see a level of decrease in your bill. You should. And if you think that you are not getting it, I recommend that if you have some questions about that, I would suggest that you can call the Energ y Department. But speak to the Regulatory Authority [RA] because they can give you further clarification on how the rates should be working. Now added to that, this rate decrease will be in place for a year. Over this year the RA intends to do a more subs tantive review of the tariff, which would see even further reductions going forward. Because I
Bermuda House of Assembly can assure you, in my discussions with them, there is no way that this Government or this Minister will support anything being increased. There is much talk abou t the possibility of rate increases due to certain other activities that are going on in the energy sector. This Government does not support that and will not support any rate increases going forward.
The ChairmanChairmanDoes any other Member wish to speak? I recognise the Member from constituency 22,
Mr. Scott Pearman.
Mr. Scott PearmanThank you, Madam Chairman. Minister, thank you for that helpful oversight. Could I just pose a question on capital development in relation to the satellite orbital slots? And that is page C- (for Charlie) 8 in the Budget Book, for those follo wing along. And it is really just a …
Thank you, Madam Chairman. Minister, thank you for that helpful oversight. Could I just pose a question on capital development in relation to the satellite orbital slots? And that is page C- (for Charlie) 8 in the Budget Book, for those follo wing along. And it is really just a generic. I was wondering if you would help us with line item 75269, Satellite Orbital Slots, and just explain, because as I read it, there is a total amount of authorised funds $3.7 million, actual $3.2 million. And then allocations. And it is just quite hard to understand what is going on here from those numbers. And perhaps you could just put a bit of meat on the bones for the listening public and the committee. Thank you.
The ChairmanChairmanThank you, Member. Minister. Hon. Walter H. Roban: Sure. Just to give . . . and I will get even further details of this from my technical officers. Okay. Bermuda currently has about four satellite slots. Those satelli te slots were acquired many, many years ago through application to the …
Thank you, Member. Minister. Hon. Walter H. Roban: Sure. Just to give . . . and I will get even further details of this from my technical officers. Okay. Bermuda currently has about four satellite slots. Those satelli te slots were acquired many, many years ago through application to the International Telecommunications Union. That slot we were able to successfully (and I am talking about Bermuda Government here, not PLP or OBA) . . . The Bermuda Government was able to deposit, get an asset deposited in that slot in 2013, which allowed us to ensure that we had . . . well, on one of the slots. We had three others, access to three others. But [as it was] important to keep one of those slots, we had to ensure an asset was deposited in that slot. So there is now an asset deposited. It is an asset which is . . . so it is actually a Bermuda satellite from a Bermuda company, which is a joint venture between two major players in the satellite industry, SES and EchoStar. It is a joint Bermuda venture company. And that company maintains an asset in the slot. The $250 here I believe is an ongoing fee. I will just get clarification for what that fee is. I would suggest that the money that was the total approved figure had to do with the ongoing work that had to be done to maintain and do certain administration around that slot. I will get clarification as to what that detail is. But at the moment, the asset in that slot is not generating any income for Bermuda. But I do believe we have to have certain proper administration of it, and the $250 represents the ongoing administration of maintaining our satellite slot that we do have. But we are working with the joint venture company to at some point ensure that whatever asset is there d oes generate revenue for Berm uda. Right now it is a geostationary satellite. It is not doing anything which is earning any income. But we have been discussing with them for the past couple of years the idea of what we can call “deorbiting” the current asset. Because once we put something there, it is kind of like, you know, there was nothing built there and somebody could take it away, could take it from us. Once we put the asset there, it is Bermuda’s forever. And so we can interchange different satellites , go with a different satellite operator and put something in there if we want now, because it is permanently our slot. So we are discussing then deorbiting. And when I say deorbiting, I do not mean they are going to crash it into the ocean. Deorbiting is that they are g oing to push it up to an orbit where essentially nonoperating satellites are maintained and put something in the slot that can . . . The understanding is that the satellite industry now is like developing in a different direction from when we originally were like looking at. It is not the DirecTV and the transmission of signals that is actually the money -maker. It is actually the provision of services such as earth observation services, marine services, orbital servicing, which is actually the putting up assets that help to give sate llites an additional life because most satellites have a lifespan. And once the fuel runs out, once some of the technology [ends its lifespan], it just sits there and it is not operating. So there are companies developing. And people may have seen recently in the news Northrop Grumman did one of the first orbital servicing, successful orbiting servicing exercises. And they were able to put something up and like attach it to a satellite which will add another fiv e years to that satellite. Those are the areas where the money is actually growing, not in the old transmission of TV and all that stuff. So that is where Bermuda is looking at. We are looking at doing, working with our partner to put an asset in that slot that will actually begin to develop, to generate income. The income that was estimated originally, as I recall, was something in the area of $30 million annually. If it is a fully operating satellite that is transmitting services, we had the potential to be earning that sort of amount of money. And as the area around the earth gets fuller, satellite slots that are positioned in the right place get much more valuable. So the satellite slot that we have now could potentially transmit services to North Ameri ca. I think the other ones are in areas in other parts of the world. But even that is becoming 3286 2 March 2020 Official Hansard Report
Bermuda House of Assembly valuable as well. So that $250 represents money to make sure that we can ultimately realise that. But I will give you some additional information that may be helpful, other than what I have already rattled off. It is for keeping the satellite in orbit and consulting fees to commercialised existing slots in the geosynchronous area, which I believe the current one is over Kansas. [Inaudible interjection] Hon. Walter H. Roban: Yes. That is where the one that has the satellite is. We had not been up until now, because the FCC [US Federal Communications Commission] had a moratorium on any non -US satellites transmitting into the United States. They have just withi n the last five months removed that moratorium. So I think those who were in Government before will remember that Dr. Gibbons was probably out going to Washington trying to get the US Government to do something about this. And at the time, and even when I went out there in 2017, it was not on their radar. But they have actually, late last year, removed that moratorium. So that actually again creates another potential opportunity for our slot, which is highly commercially valuable. And we cannot do much wit h it until the FCC moratorium, which as I said, had been lifted on sate llites in the US -based operation. So that active morat orium has been lifted, so we are going to work with our partner to see what we can do. And this is thought to be—
[Inaudible inter jection]
Hon. Walter H. Roban: Yes, it is lifted. And that also goes towards attracting business to other slots. So we do have about three other slots that we can potentially . . . we have one, that is [now an] asset. But we have three others that have not been actually . . . there is no asset in it. So there is the potential for Bermuda to do more. But it takes a lot of time and money to attract these operators to consider putting up, putting som ething together that is going to be, you know, hundreds of millions of dollars in value, up into a slot. It has got to be the right business case. So I hope that answers the question.
The ChairmanChairmanI recognise the Member from consti tuency 22.
Mr. Scott PearmanThank you, Madam Chairman. Minister, it is nice to see that the potential opportunity and significant financial opportunity for Bermuda is being shepherded from one government to another without politicisation. So that is very helpful. And let us hope that not only that particular slot that has been populated, but …
Thank you, Madam Chairman. Minister, it is nice to see that the potential opportunity and significant financial opportunity for Bermuda is being shepherded from one government to another without politicisation. So that is very helpful. And let us hope that not only that particular slot that has been populated, but the other three may come to prove financially valuable for the Island. You mentioned revenue. And if I could ask you just to turn, still under Head 89 Energy, but page B (for boy) 329, where we see the Revenue Summary. And if you look at the box in the middle of the page, please, Minister, and it is the first line item, 8431, General Fees. We look across, and it is circa $15 million in general fees. I was just hopeful, again for the purposes of understanding the numbers, if that general fees number could be just broken down in broad terms so that we understand where those fees are being generated. Thank you.
The ChairmanChairmanMinister. I just wa nt to ask one thing, though. Did you break these down already? Hon. Walter H. Roban: Yes, I did.
The ChairmanChairmanYou did. Hon. Walter H. Roban: But I am happy to say them again.
The ChairmanChairmanOkay. Just making sure. Hon. Walter H. Roban: If the Honourable Member asked me. Did your —
Mr. Scott PearmanNo. I know you answered the Honourable Member, the Shadow Minister’s questions. Hon. Walter H. Roban: Yes.
Mr. Scott PearmanBut I did not catch all of them. Hon. Walter H. Roban: Yes.
Mr. Scott PearmanYes. Grateful. Hon. Walter H. Roban: Yes, happy to say them again. These are fees that are collected by the Regulatory Authority and then are transferred to Gover nment. It represents the full amount of $15.224 million, and I will break them down again, happy to do so: • Class …
Yes. Grateful.
Hon. Walter H. Roban: Yes, happy to say them again. These are fees that are collected by the Regulatory Authority and then are transferred to Gover nment. It represents the full amount of $15.224 million, and I will break them down again, happy to do so: • Class 3 amateur, $1,260; • Class 5 marine small craft, $26,700; • Class 8 personal radio service, $1,680; • Cellular fees, $7.895 million; and • Miscellaneous fees, $7.3 million. Coming to a total of $15,224,640. So that is exactl y the figure that is in the Budget Book.
Mr. Scott PearmanThank you, Minister. I am grat eful for that. So that is the bit I missed. The two high-level numbers there were the $7.85 [sic] million — Bermuda House of Assembly [Inaudible interjections]
Mr. Scott PearmanI am sorry . No, I am corrected, $7.8, right, and then the $7.3, which was described as Miscellaneous. Are you able to just in a very rough, high- level way give us a little bit more breakdown as to what sort of miscellaneous fees are generating $7.3 million? Thank …
The ChairmanChairmanMinister. Hon. Walter H. Roban: Honourable Member and Madam Chairman, I will undertake to find out what the Miscellaneous breakdown is. Again, those are fees that are collected by the Regulatory Authority, but by statute must be given over to the government. So I can get the breakdown, and I …
Minister.
Hon. Walter H. Roban: Honourable Member and Madam Chairman, I will undertake to find out what the Miscellaneous breakdown is. Again, those are fees that are collected by the Regulatory Authority, but by statute must be given over to the government. So I can get the breakdown, and I will undertake to get the breakdown and provide that information to the Honourable Member of what the Miscellaneous $7.3 mi llion actually represents. It may actually; but I will still get to find it pr ecisely. It may be responsible for the communications operating licences, COL, call fees. But I will get a more precise breakdown for the Honourable Member as soon as I can.
The ChairmanChairmanThank you, Minister. Does any other Member wish to speak? I recognise the Member from constituency 20,
Ms. S. Jackson.
Ms. Susan E. JacksonGood afternoon, Madam Chairman. I think I am just going to start with the line item on page B -329. And it is under . . . I am going to start with Employee Numbers, 99000, Administration. I just would like to preface and get to this point. So energy …
Good afternoon, Madam Chairman. I think I am just going to start with the line item on page B -329. And it is under . . . I am going to start with Employee Numbers, 99000, Administration. I just would like to preface and get to this point. So energy right now is probably one of the most talked- about lifestyle changes worldwide. And in Bermuda, we have certainly had a number of opportun ities to learn more about how we could have a more energy -efficient community. And I remember on a couple of occasions young students who have walked throug h the streets of Hamilton trying to raise awar eness. And I believe that the country is in a state where it may be ready to assume more responsibilities for a more efficient lifestyle. And so when I look at page B -329, line item 99000, and I see that in our Energy Ministry we have four full -time members of staff, I just wonder what or why the Government is not considering this Ministry, this department as a growth area, that this is an opportunity for us to really engage the community and start to see some changes in the better use of electric efficiency. I was just watching the television the other day, and it was CBS “60 Minutes.” And they did a six - month follow -up on how things are going down in the Bahamas after the hurricane. And the big story around that was that they are now creating solar -panelled fields where they have an awful lot of enthusiasm and hope around creating as they redevelop a completely energy efficient environment. Clearly in that communi-ty they have lost all of their power lines. And their gas - and oil -generating plants have been completely d ecommissioned. And so they are starting from scratch. But the fact that they are starting from scratch with the solar farms and the idea that as they rebuild they will have independent sort of sm aller solar farms to actually provide the electricity for independent buildings such as a solar farm that would actually keep the hospital running or that would keep gover nment buildings running, et cetera. Now yes, they have more of a clean slate, and we are working with a very mature infrastructure. But I just do not . . . I just see an opportunity here for the Government to really start that conversation in Bermuda. You know, I think there is a competitive advantage around having an electricity —just bei ng able to conserve electricity and being able to make the changes in our lifestyle so that we can be more sustainable. And I believe that in Bermuda we probably have an awful lot of support for that change in lif estyle. So I do know that places like the B ermuda Co llege have gone through energy audits. So I know that at the commercial level it is possible to have a com-pany come in and take a look at how you are using electricity and try to find efficiencies. And I believe that if more companies got involved it would be possible even just by the mere fact of knowing where you can save electricity that some companies in particular could start to reduce their use. I do know that quite a few of the buildings in town have become LEED certified, some of the newer buildings, which in and of themselves have been built to be more environmentally sustainable and use less electricity. As the Minister said, you know, the natural dimming of lights, as the sunlight is brighter the electric lights will lower, and those kinds of energy eff iciencies to create an environment here in Bermuda, is just a bit more conscious. And I know that it is necessary for us to get the buy -in of the community. And I do not know. It is a bit of a long shot. But when I think about some of the insurance and reinsurance companies that deal with catastrophes, they are fully aware of the impact of climate change. And whether an Island like ours, which has the opportunity to become a jewel in the crown of energy efficiency, should we take on the challenge, that this would be something that some of the insurance and reinsurance companies might be willing to support economically because they may see that this might be the way that they could set an example for other jurisdictions and how they may be able to reduce some of the oil consumption that is g oing on right now worldwide. 3288 2 March 2020 Official Hansard Report
Bermuda House of Assembly So with that, again, I did not want to move too far off of the line item. But, you know, it just seems to me that we have the potential. And of course, all of our fees and the government taxes that are collected from electric usage, it would be interesting to see whether there is not a way in the future that the Go vernment might not be able to afford a few of the mi llions that are coming [from] the electric and digital and other utility fees, that we might be able to put more emphasis and attention to sustainability in Bermuda, moving forward.
The ChairmanChairmanThank you. I think it was actually only one question in there, Minister. But there was a question about the growth, right? Hon. Walter H. Roban: Yes. Yes. I heard the question that the Honourable Member put. And it is an easy question to answer. It must be remembered that …
Thank you. I think it was actually only one question in there, Minister. But there was a question about the growth, right?
Hon. Walter H. Roban: Yes. Yes. I heard the question that the Honourable Member put. And it is an easy question to answer. It must be remembered that the energy sector in Bermuda is a regulated sector. So that happened a number of years ago. The oversight of that transferred from the government to the Regulatory Authority. With that, it then does not require the government to have all the extra staff to do a lot of what was done in the past. All the expertise and those skill sets and those responsibiliti es are now regulated by the independent regulator and overseen by them. Secondly, yes. The Government is still in the business of making sure that we help to shape policy and form legislation that does shape how our country handles energy. The fuel policy was something that was developed out of the Energy Department. So there. But we do it a number of ways, which allows for the Energy Department to stay small. It does not need to double its size at all, because we can leverage the expertise that we need wi th other departments in government. It just happens that most of those do happen to be under my Ministry. They will be the Planning Ministry, because we are working, there is work going on between the Energy Department and Planning to shape how we focus our planning laws and planning to actually pr omote more building efficiencies and conservation into buildings, the electrical part. And we change building methods that are of a high standard that promote conservation and efficiency in building. And I am tal king to Planning with the Energy Department together on a number of steps that we can take to push our planning regime to be a lot more focused on building up eff iciency in development. And as developers do renov ations, they will incorporate conservation and efficiency measures into those renovations and also potentially have some fee incentive to do so as well. So that is happening. Of course, a lot of the work that we are doing to assist the Government, assist the country in r esponse to climate change is partnership between the Energy Department and the Environment. And there are going to be a number of initiatives that we will announce over the upcoming month. One is our mov ement toward single- use . . . elimination of single- use plastics by 2022. That is one of the climate change response initiatives. There are some other things as well, which we will do. All of these are done in conjunction with the Energy Department working with the other respective departments. So there is not a need to add a whole lot of capacity and personnel, because it exists with our [workforce] with other departments that have this expertise there. So there will be climate change initiatives, energy efficiency initiatives, sort of more like efficient building initiatives are done with other departments working with Energy. And Energy works from the pol icy and the legislative and regulatory changes that need to be done to forward those efforts in the wider community.
The ChairmanChairmanThank you. Hon. Walter H. Roban: Just adding to that, if Me mbers remember, we signed an agreement with the Waitt Institute for the Bermuda Ocean Prosperity init iative to actually do a marine spatial planning exercise for Bermuda, which actually is also going to spin off some energy initiatives …
Thank you. Hon. Walter H. Roban: Just adding to that, if Me mbers remember, we signed an agreement with the Waitt Institute for the Bermuda Ocean Prosperity init iative to actually do a marine spatial planning exercise for Bermuda, which actually is also going to spin off some energy initiatives as well, because through the marine spatial planning exercise, we will be able to identify where within Bermuda’s territorial area in the ocean that we can potentially put some offshore wind [energy generators]. The marine spatial plannin g exercise will help that. So that is an opportunity that the Ministry has designed, but both the Energy Department and the Environment Department, under my Ministry, benefits. So we leverage these relationships locally and exter-nally so it does not requir e a ministry to become topheavy with additional staff when we can leverage expertise which exists within our own sphere and also externally as well.
The ChairmanChairmanDoes any other Member wish to speak? No. Minister. Hon. Walter H. Roban: Thank you very m uch, Madam Chairman. I appreciate the questions of Honour able Members. And I hope I have been informative to Honourable Members, but also to members of the public who I know are very …
Does any other Member wish to speak? No. Minister.
Hon. Walter H. Roban: Thank you very m uch, Madam Chairman. I appreciate the questions of Honour able Members. And I hope I have been informative to Honourable Members, but also to members of the public who I know are very much interested in this. I can assure Members that we get a lot of i nquiries around energy these days. There are enthus iastic people trying to do different things in this sector who are concerned about climate change, concerned about clean energy, concerned about resilience, energy independence, sustainability and all that com es with that and what is required for Bermuda to get there.
Bermuda House of Assembly So we field a lot of questions from the public, who are concerned about this. So we appreciate that this may be a small department, but its responsibilities are quite heavy and wide. So we do appreciate that. And so I appreciate the questions. And I hope that I have been informative to the Members of the House, but also to the general public. So with that, Honourable Chairman, I move that Head 89 be approved as printed.
The ChairmanChairmanIt has been moved that Head— [Desk thumping]
The ChairmanChairmanYou are getting some praise there, Minister. Hon. Walter H. Roban: Yes.
The ChairmanChairmanAnd you said you have moved already the Heads. So I will say my part now. It has been moved that Head 89, Energy, be approved. Is there any objection to that motion? No objection. Agreed to. [Motion carried: The Ministry of Home Affairs, Head 89, was approved and stands …
And you said you have moved already the Heads. So I will say my part now. It has been moved that Head 89, Energy, be approved. Is there any objection to that motion? No objection. Agreed to.
[Motion carried: The Ministry of Home Affairs, Head 89, was approved and stands part of the Estimates of Revenue and Expenditure for the year 2020/21.]
Hon. Walter H. Roban: With that, Madam Chairman, I move that the Committee rise and report progress and ask for leave to sit again.
The ChairmanChairmanIt has been moved that the Commi ttee rise, report progress and ask for leave to sit again. Is there any objection to that motion? No objection. Agreed to. [Motion carried: The Committee of Supply agreed to rise and report progress, and sought leave to sit again.]
The ChairmanChairmanThank you, Minister and Members. House resumed at 6:43 pm [Hon. Dennis P. Lister, Jr., Speaker, in the Chair] REPORT OF COMMITTEE ESTIMATES OF REVENUE AND EXPENDITURE FOR THE YEAR 2020/21
The SpeakerThe SpeakerMembers, are there any objections to the Committee rising and reporting progress to sit again on the next day of sitting? No objection. So moved. We are back in the House. And I understand there are no other items on the Order Paper for today.
The SpeakerThe SpeakerWe now recognise the Honourable Member from St. George’s. Honourable Member Swan, you have the floor. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Mr. Hubert (Kim) E. SwanYes, Mr. Speaker. Mr. Speaker, I wish to speak with regard to some very insensitive comments made on social m edia by very a well -known Bermudian in the music i ndustry, Mr. Tony Brannon. Mr. Brannon has referred to persons in the Government in objection to the pos ition …
Yes, Mr. Speaker. Mr. Speaker, I wish to speak with regard to some very insensitive comments made on social m edia by very a well -known Bermudian in the music i ndustry, Mr. Tony Brannon. Mr. Brannon has referred to persons in the Government in objection to the pos ition the Government holds on immigration as, “Y ou cockroaches need to open up immigration. ” And it has become a firestorm and one which is most concer ning. Mr. Brannon has held many vocal positions in Bermuda, as he relates his commentary around certain issues that he advocates for. I want to say in regard to immigration, Mr. Speaker, anyone in Bermuda, no matter what position they take, knows that immigration is one of the most racially emotive issues that comes up in our country. And we have seen aroun d immigration no less than the House of Parliament shut down several years ago. We know that Bermuda as we know it remains a coun try that is deeply polarised on the subject of race. The Bermuda that we know has a history which has been built on racial inequity to the benefit of one group of Bermudians, particularly the white community over the black. It is a known fact the economic detriment 3290 2 March 2020 Official Hansard Report
Bermuda House of Assembly that this systemic institutional racist community has provided still lingers on. It was not too long ago, Mr. Speaker, I made a speech in this House where I said we need some white leadership on this subject. Mr. Brannon claims to be a leader when it comes to issues that get his attention. But he has shown total irresponsibility. And sometimes it is not good enoug h to just stand up after you have expressed how you felt on an issue without taking on the responsibility that leadership requires. I want to say that I know Mr. Brannon’s mot her and father. They were mentors to me. I know Mr. Brannon’s father as a gentleman who was at the vanguard of breaking down racial injustice in this country when it came to golf. Anyone would go down at Ocean View Golf Club, which was the only place that blacks could play at one point in time, would look amongst the table of contents of persons who were revered in Ocean View and you will see Terence Brannon’s name. Anyone who cared to look back in the late 1970s when I was emerging on the scene in golf when Sir Richard Posnett picked me up down on South Shore and drove me to the banqu et of the Bermuda Golf Association’s Goodwill Tournament because Riddles Bay Golf Club refused to have a Bermudian pro, would know that it was Terry Brannon who was at the vanguard of holding Riddles Bay ac-countable when they would not hire a black Bermudian. Rawn Rabain later became the pro there. Terry Brannon and Marion Brannon, his mother, were right there socially interacting with blacks in Bermuda, with people like the father of the Honourable Member who sits in this House whom I mentioned just Frida y gone, Hubert Smith at Ocean View and many others, integrating this country, stepping way outside of the box. But white privilege in this country allows people even whose parents were at the vanguard standing hand- in-hand and shoulder -toshoulder with blacks when it was uncomfortable wal king down Front Street and having black friends to be a generation next and forget from where they came. That is the essence of white privilege in this country that we speak about. And I will forever hold in great reverenc e the late Marion and the late Terence Brannon—forever! But I am saddened today because their son Tony needs to appreciate that this country is reeling on many, many levels when it comes to how it deals with institutional racism and the benefits that the w hite community enjoy over the black community, and that type of insensitivity is unacceptable, totally unacceptable, Mr. Speaker. And the problem is that if you would read the blogs, there are persons there telling him to stand his ground and it is okay. And you know what? That is because what he says has currency. It has currency in the United States, in areas. I read these insensitive comments daily by persons whom I travelled with, played golf within the United States and around the world, enhanced by c omments that exist even at the highest level of government internationally. And I want to say, Mr. Speaker, that we in this country have a long, long way to go. As it relates to immigration, I know the Immigration Minister, and I know the Cabinet, and I k now my colleagues look at this subject very seriously. But we have a responsibi lity to recognise the social insensitivity that has existed when people allow business as usual to be practiced. And so, in this regard when someone particularly like Mr. Tony B rannon would feel that he has a licence to make such outrageous and fundamentally unaccept able comments in a country that has the opportunity to show the world how to move forward. We have the opportunity, but the reason why we do not grasp on the opport unity is because there are too many people in this country, black and white, who are in denial about the racial positions that this country has, who would sooner take the approach that, Listen, just forget about it and move on. That is the wrong way to go dealing with any problem. An yone who is a problem -fixer knows that you have to get to the core and the fundamental problem. And there are too many in this country who are comfortable, who say, Just do this and everything is going to be all right for me, Jack. And you are going to come along as a consequence. Mr. Brannon’s comments are sym ptomatic of the real problem which exists in this country of why we cannot get to the bottom of it. And for those who would choose to find a way to defend it, shame on you! But I am here to say today that I am totally disappointed. And I am calling on persons who think likewise to Mr. Brannon to be able to make those types of insensitive comments to have a serious, ser ious look in the proverbial mirror. This country, as we look at how we move forward, must first look at our recent past of how it is so similar to what Bermuda experienced 40 years ago and how 40 years ago is so similar to what occurred 40 years prior. You know, when those persons who do speak about the problem s of institutional racism in this country, persons would quickly say, You know, we’ve come a long way, baby. And those who truly know that we have some serious problems to still address, I put it to them like this: Close your eyes. (I teach for a living. I teach a lot blindfolded and with people’s eyes closed because they have to open up their mind’s eye.) Close your eyes and picture a great chocolate bar, for those of you who like chocolate. Picture a Mars bar. And I give you a nice bite of a Mars bar. And I tell you, Close your eyes, and I switch the wrapper. And I switch the wrapper, and I put inside the Mars wrapper a Bounty. And you bite into it, and you taste the coc onut of a Bounty chocolate. And you can —although you cannot see it, you know one of your senses, your taste, something that you cannot see tells you there is a difference. The simple little exercise relates to this: There are those of us who know that in the world of politics,
Bermuda House of Assembly there are a lot of coded, loaded words out there that invoke som e very uncomfortable truth about what is real in our country. And sad to say, this is just one example. But there are many of them out there in r ecent time. Mr. Olson, Mr. Rick Olson was guilty of that not too long ago as well, making a comment that evoked that type of firestorm. And many others. The sad thing is that unlike Mr. Brannon, who I am not afraid to express personally my disappoin tment, I could have a conversation with, there are many out there hiding behind a veil of anonymity who are making equally as offensive comments daily in the blogs, daily in the blogs. I have had them directed at me. I remember reading some of the lies written about me when I was running as an independent. I said, My, my, my. I guess welcome to the real Bermuda, eh? And that is what happens in this country. And sometimes we make the mistake of sim ply looking at it how it affects us personally rather than looking at the underbelly of the root cause of the problem. Institutional racism, systemic racism, white priv ilege is the fundamental problem associated with so much of what we go through! The statistics are not lying. Look in the prisons. You see the same results. Look at the economic disparity. Look at who is not getting hired. And whilst we are just touching on immigr ation, something occurred to me that we have to gra pple with in that space. And that is this: Persons who magically want the Government to look in a direction where it is going to bring other people in as the answer when there are many Bermudians who are t elling me and showing me and are concerned that they cannot even find work in their own country is a pro blem that we have to admit exists! I had that very subject pushed in my face as I walked into this Chamber, not this Chamber, at the bottom of this Cham ber this morning by two persons, working persons exiting just on the street level, right in my face. We cannot find work . And this is what this country wants. That was [just] this morning without solicitation. And what do I take from that? What I take from that is this, Listen. Where is the hue and cry out there for persons in Bermuda, young people coming home to work, getting degrees who are not being snapped up in a place where people want to maybe snatch somebody up who has less training than they or educational requirements than they, snap them up and not the Bermudians? That is something we have to deal with as well. We have got to eat and chew and rub our tummy at the same time.
And so, just to reflect, I hope that the stat ements that this public figure has made will be used as an opportunity for everyone out there who thinks that it was okay to say that, to have a reflection as to how we in this country deal with this monster that still exists. I am remi nded that a hymn that I love, “Amazing Grace," was penned by a gentleman who sailed the seas as a captain of a ship that traded African slaves. Yes. “Amazing grace, how sweet the sound . . . .” Many of us have sung it, from across the spectrum. That is the type of modern- day reflection that needs to be taken on board in great measure in this country! Because the modern- day pain of the of fshoots of this particular problem called “ institutional racism ” is real, and it needs to be addressed across the spectrum . Apologies and really insincere utterances about it are not good enough, because it lives. It dwells. It is like Bermuda grass. Bermuda grass in a temperature under 68 degrees or so lies dormant underneath the surface. It discolours. Rye grass will take it over. Underneath the surface, the roots are every [bit as] much alive today as they were when they were in full flourish and bloom. And it is an irony that the grass is named Bermuda grass , because Bermuda’s racism lives and dwells much the same way as . . . Bermuda racism and Bermuda white supremacy lives and dwells in much the way Bermuda grass does. It is under the surface. It is there. It is real. And given the right temperature, it flourishes. That is the problem that we have to honestly grapple wit h. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. Deputy Speaker. I see you on your feet, Deputy Speaker. I am going to acknowledge you, Deputy. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Derrick V. Burgess, Sr.: Thank you, Mr. Speaker. Mr. Speaker, I had no intentions of speaking tonight. But I have been sent emails …
Thank you, Honourable Member. Deputy Speaker. I see you on your feet, Deputy Speaker. I am going to acknowledge you, Deputy.
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Hon. Derrick V. Burgess, Sr.: Thank you, Mr. Speaker. Mr. Speaker, I had no intentions of speaking tonight. But I have been sent emails today concerning what a local Bermudian entertainer has said about us, Mr. Tony Brannon. Mr. Speaker, let me, if I may, quote what has been said. He said, “You cockroaches need to open up immigration.” Then the other one is, “The cockroaches here wouldn’t even give you a PRC.” Mr. Speaker, when we refer to cockroaches, regardless of who we are, we get the spray and try to kill them, because we do not want them in our houses or even around our houses. This statement is a very serious racial statement against black people, Mr. Speaker. And to refer to a Government as cockroac hes, by a Bermudian local entertainer, I take great offence to that, and many others take great offence to that. And let me say that, Mr. Speaker, because sometimes when we talk on this subject, people think, You’re racist, the person who is just giving the words. Now, I do not think all white people are racist. I really do not. But what I do ask them, those who are not, 3292 2 March 2020 Official Hansard Report
Bermuda House of Assembly they need to come out and condemn these types of statements because what he does, he just perpet uates racism in this country, the ongoing divide. Now, he is just one of those who comes up with statements like this here. He uses his name; okay, fine. That does not give him any credit because he uses his name. It is what he said, what he referred to us as —cockroaches, Mr. Speaker. Mr. Speaker, I spoke on Friday night, and we talked about the messy stuff. We cannot get a resol ution to the ongoing divide in Bermuda unless we talk about the messy stuff. And messy stuff comes from messy people. And this fellow, Tony Brannon—let me repeat, Tony Brannon, who plays in the local establishment entertaining people— how can you entertain people of mixed races when you refer to them as cockroaches? And as we all know what we do around the world, we try to kill cockroaches. And you have to refer to this Government of the day as cockroaches, Mr. Speaker! I take great offence to that. And, you know, I know in tomorrow’s newspaper —
An Hon. Member An Hon. MemberIt will not be in there. Hon. Derrick V. Burgess, Sr.: You will see no condemnation tomorrow of this statement by Tony Brannon. You will not see it. But if someone from this side said something similar to that about others, it would be on page 1, 2 and 3, …
It will not be in there.
Hon. Derrick V. Burgess, Sr.: You will see no condemnation tomorrow of this statement by Tony Brannon. You will not see it. But if someone from this side said something similar to that about others, it would be on page 1, 2 and 3, full page, three full pages. But why do people think that when it comes to black people, you can use any adjective you want, call them anything? We are supposed to accept it. And once somebody comes out and reacts to this, and they take this and say, Well, oh. They look at the reaction, n ot what was said. It is almost like Sally Bassett, Mr. Speaker. When people refer to Sally Bassett, you know what they say? She poisoned her master. Nobody refers to what the master had done. We are not even sure that Sally Bassett poisoned her master. And if she did, with the crimes that he committed, which nobody talks about, maybe he should have gotten worse than that. He should have been executed by the government of the day. But, no. No, that cannot be, because what they are portraying is that whites can do and say an ything. And I am not talking about all whites, because all whites are not like this. Again, I must repeat, look at my complexion. One of my grandmothers was white. I am not talking about great -grandmother, I am talking a grandmother was white. So I am offended, very much offended. And it has offended a lot of people in this country, black and white, Mr. Speaker. And I would ask, and I would hope that m y cousins over there on the other side, Scott Pearman, close relative of mine, and Craig Cannonier and certainly my cousin, Mr. Dunkley, who is not here tonight, I would ask them to get up and make the appropriate comments about this racist statement that was made by Tony Brannon, the local Bermudian entertainer, Mr. Speaker. I am telling you, not only referring to me, I do not get offended so much. But when you are referring to my children and my grandchildren and my cousins as cockroaches, then I am cert ainly offended. When you are talking about my church, cockroaches go there, I am certainly offended for them. And as I would say, they had me in the gutter since birth, so I can take it. But that does not mean because I can take it, it is accepted, Mr. Sp eaker. This is not accepted in this country or any country! And I would hope that the Opposition OBA would join in the chorus to condemn these statements. And then ma ybe they will put it in the Royal rag. Not that I am as king them to, because I will not be offended or upset or shocked if it is not in the Royal Gazette. I understand it. I am clear on that. I know their history, Mr. Speaker. So, Mr. Speaker, I repeat: I am not a rodent. I am not an insect. And I am not a cockroach. And I do not think anyone in this country, whether they be white or black, fits that description. And it is unfair, it is di srespectful to refer to anybody, regardless of the government, as cockroaches. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Deputy. Does any other Member wish to speak? We recognise the Leader of the Opposition. Honourable Member, would you like to have your 20 minutes? Hon. L. Craig Cannonier: Thank you, Thank you, Mr. Speaker.
The SpeakerThe SpeakerGood. Go right ahead. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. L. Craig Cannonier: For my 20 minutes. Listen. I just got a chance, an opportunity to see the comment. I really did not know what was being referred to. And, my goodness, this is not the first time that we …
Good. Go right ahead.
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Hon. L. Craig Cannonier: For my 20 minutes. Listen. I just got a chance, an opportunity to see the comment. I really did not know what was being referred to. And, my goodness, this is not the first time that we have seen this. And I would dare say from similar resources. I have had my run- ins with the likes of. And I can tell you and assure you that there is not anyone within these four walls right now who is not concerned about this comment. How in the world does someone in 2020 even think as a joke that this could be okay? It was not a joke.
Some Hon. Members Some Hon. MembersNo, no, no. Hon. L. Craig Cannonier: But even to try and . . . or maybe even . . . I do not even know what the reasoning is behind it. But at the end of the day, there is nothing that justifies this foolishness. And so I would …
No, no, no. Hon. L. Craig Cannonier: But even to try and . . . or maybe even . . . I do not even know what the reasoning is behind it. But at the end of the day, there is nothing that justifies this foolishness. And so I would encourage everyone in here to approach that indivi dBermuda House of Assembly ual . . . there is no excuse for it. Make it known that if he goes on this line anytime, and an yone else for that matter, they will be met by all 36 MPs with disfavour and however they choose to show their disfavour. That is up to your discretion. What we are going to do in this House is exercise some decorum and let the individual know this is not happening. I literally just saw the comment. I cannot believe it, actually. I am scratching my head; I have probably got a hole in my head now. Getting right back to everyone else, Did you see that comment? One thing about us in Bermuda, you know, we have a rich history. We know what is going on. And there are some things at the end of the day that just cannot be accepted, just cannot be accepted, especially when we are trying to heal an Island that has progressed in so many ways. Yet even in 2020 it feels like we are still stuck —stuck in foolhardiness. There is nothing else that can be said to this. It is ridiculous. It cannot be accepted. The gall of someone to even think that they can make such comments —and in a public forum for that matter. I am sure the individual would not have the guts to come up to one of us and say that.
[Inaudible interjections] Hon. L. Craig Cannonier: Not to your face. I have had the experience with the likes. They will not come to your face and make that comment. It is not going to happen, just not going to happen. Imagine if he had made that comment to my colleague behind me, Pat Gordon- Pamplin. That sister would drag that dude all up and down Front Street.
[Laughter]
An Hon. Member An Hon. MemberYes, she would. She’s a street fighter. Hon. L. Craig Cannonier: Been a street fighter ever since! [Laughter] Hon. L. Craig Cannonier: So I am sure that at least one of them will get up from this side. But my short comments to this here, really and truly it does …
Yes, she would. She’s a street fighter. Hon. L. Craig Cannonier: Been a street fighter ever since! [Laughter] Hon. L. Craig Cannonier: So I am sure that at least one of them will get up from this side. But my short comments to this here, really and truly it does not r equire a whole lot of words to this here and a whole night speaking to it. It just needs to be dealt with, si mple as that. And I am sure that each Member in here will take an opportunity to flex a little— not too much, flex a little —just to show the discontent. Thank you, Mr. Speaker.
[Desk thumping]
The SpeakerThe SpeakerThank you, Honourable Member. I recognise the Honourable Minister Burch. Would you like to have a few minutes on the floor, Minister?
The SpeakerThe SpeakerYes. NEGATIVE COMMENT IN SENATOR JARION RICHARDSON’S MAIDEN SPEECH
Lt. Col. Hon. David A. BurchMr. Speaker, I am going to be all over the place, I think. But let me just start with declaring my position on the daily. Everybody knows I do not buy it. There are also some people who save it for me. But I read it. And I do not …
Mr. Speaker, I am going to be all over the place, I think. But let me just start with declaring my position on the daily. Everybody knows I do not buy it. There are also some people who save it for me. But I read it. And I do not have a reason to necessarily read it on the day it is published, because I do not think fiction should be done t hat way. But I will say, Mr. Speaker, that for the first time in a long time I am current, except for today’s paper. And so I am glad to follow the Opposition Leader because I saw something in the Royal Gazette on Thursday, the 27 th of February, that I fi nd equally offensive. And it is the maiden speech by the new Senator.
Lt. Col. Hon. David A. BurchWho, and I quote, Mr. Speaker, “Bermuda is in danger of becoming a North - Korean style ‘ Dear Leader ’ state, the island’s newest Senator warned in his maiden speech yesterday.” Mr. Speaker, I do not normally comment on what goes on in the Opposition because I do not …
Who, and I quote, Mr. Speaker, “Bermuda is in danger of becoming a North - Korean style ‘ Dear Leader ’ state, the island’s newest Senator warned in his maiden speech yesterday.” Mr. Speaker, I do not normally comment on what goes on in the Opposition because I do not think it is my place. But since it is in the public domain, I feel duty -bound to do that in this particular case because I find it offensive. I find it offensive on so many levels. You pluck somebody from obscurity and make them a Senator, and all of a sudden the daily gives them a profile with photograph and everything else, and bold headlines.
Hon. L. Craig Cannonier: Point of order, Mr. Speaker.
The SpeakerThe SpeakerPoint of order. POINT OF ORDER [Misleading] Hon. L. Craig Cannonier: To comment on the ind ividual as “ plucked from obscurity ” is very unfair to the individual. He has been involved for some time now, worked in pol itics and the likes. That is an unfair comment. [Inaudible …
Point of order.
POINT OF ORDER [Misleading] Hon. L. Craig Cannonier: To comment on the ind ividual as “ plucked from obscurity ” is very unfair to the individual. He has been involved for some time now, worked in pol itics and the likes. That is an unfair comment. [Inaudible interjections ]
3294 2 March 2020 Official Hansard Report
Bermuda House of Assembly Hon. L. Craig Cannonier: It is misleading the public concerning the gentleman.
Lt. Col. Hon. David A. BurchMr. Speaker, he might have been involved. Nobody has heard from him i n politics before. And so he was plucked from obscurity and made a Senator. It is a fact. All I am saying, Mr. Speaker, is that, okay, the Opposition Leader got offended with Tony Brannon. He is …
Lt. Col. Hon. David A. BurchNo surprise. He has no track record, no public track record. He is a rookie. That is not an insult; that is a fact. And the fact that he is standing up talking about how we are on the verge of a Dear Leader state, you do not find that …
Lt. Col. Hon. David A. BurchOkay. I give up. Mr. Speaker, my next one. I know most people do not think I have a sense of humour, Mr. Speaker, but I do actually. And I guess people will find it surprising that my most recent entertainment was ac-tually provided to me by the daily rag. …
Okay. I give up. Mr. Speaker, my next one. I know most people do not think I have a sense of humour, Mr. Speaker, but I do actually. And I guess people will find it surprising that my most recent entertainment was ac-tually provided to me by the daily rag. Yes! Yes, ma’am. I cannot remember what day it was because I did not write it down. But they ran a poll recently on the most effective politician of 2019. And let me just state for the record that I am deeply honoured and privileged not to be on the list!
[Laughter]
Lt. Col. Hon. David A. BurchBut no, I am not on the list. Oh, no. And trust me; I wear that as a badge of honour. But wh at I find in most . . . in fact, I read this somewhere. I was by myself. And if somebody had been listening, they would have …
But no, I am not on the list. Oh, no. And trust me; I wear that as a badge of honour. But wh at I find in most . . . in fact, I read this somewhere. I was by myself. And if somebody had been listening, they would have called the space cen-tre to come and get me because I howled uncontroll ably at the results of the daily rag. First of all, they had 11,029 responses, Mr. Speaker. And they listed one, two, three, four, five, six, seven, eight —eight people who made the polls. And it was hilarious, Mr. Speaker. [Inaudible interjections and laughter ]
Lt. Col. Hon. David A. BurchNo, you are not in i t. So topping the poll, Mr. Speaker, topping the poll is Michael Dunkley at 33 per cent.
An Hon. Member An Hon. MemberThe biggest loser.
Lt. Col. Hon. David A. BurchNick Kempe at 27 per cent. So I do know where those 27go because he is going to Spain. Who is third? Zane is third at 10 per cent.
An Hon. Member An Hon. MemberBecause he is a white dude.
Lt. Col. Hon. David A. BurchZane is third at 10 per cent. Wayne Caines is fourth at 9 per cent. The Premier and Curtis Dickinson are tied at 6 per cent. And Leah, you are at 4 per cent. And, Mr. Speaker, I could not stop howling. This is why nobody takes them seriously. Nobody. …
Zane is third at 10 per cent. Wayne Caines is fourth at 9 per cent. The Premier and Curtis Dickinson are tied at 6 per cent. And Leah, you are at 4 per cent. And, Mr. Speaker, I could not stop howling. This is why nobody takes them seriously. Nobody. First of all, maybe if they had some local reporters they would understand that black people do not answer polls. And when they do, they do not tell the truth! My God! So keep to your polls.
[Laughter]
Lt. Col. Hon. David A. BurchMr. Speaker, I am keeping that because it is going to be the source of entertainment for me, going forward. I do not know what . . . I saw this and I thought, It’s got to be a joke. But then, no, they are dead serious. The most effective …
Mr. Speaker, I am keeping that because it is going to be the source of entertainment for me, going forward. I do not know what . . . I saw this and I thought, It’s got to be a joke. But then, no, they are dead serious. The most effective politician of 2019 too. And the first thing I checked was to make sure that I was not on the list. And then I was so pleased.
[Laughter]
AUDITOR GENERAL
Lt. Col. Hon. David A. BurchMr. Speaker, I would now like to go back to a subject that I touched on on Friday in the debate about the Auditor General, b ecause I tell you I am current. So then I read Friday’s paper, right? And so they have a chart in there. Well, first …
Mr. Speaker, I would now like to go back to a subject that I touched on on Friday in the debate about the Auditor General, b ecause I tell you I am current. So then I read Friday’s paper, right? And so they have a chart in there. Well, first of a ll, I mean, you know, I find the investigations editor for the Royal Gazette, really should go and look up in the dictionary “investigations.” Because invest igations are not sending emails to everybody on the planet and then reporting what everybody says. That is not an investigation. You actually have to go and do some work. In any case, Mr. Speaker, so now we are down to 28 government entities that are not current in their annual reporting. Mr. Speaker, we have been in Government two and a half years, t o be perfectly honest two years and eight months, in’it ? About that, about two years and eight months. So that means anything longer than three years is not ours, in’it?
An Hon. Member An Hon. MemberThat is pretty good math.
An Hon. Member An Hon. MemberYes, it is. Bermuda House of Assembly Lt. Col. Hon. David A. Burch: So, Mr. Speaker, you might be interested to learn that 9 of the 28 entities are 2 years or more out of date, and 19 are more than 3 yea rs out of date. So what does …
Yes, it is.
Bermuda House of Assembly Lt. Col. Hon. David A. Burch: So, Mr. Speaker, you might be interested to learn that 9 of the 28 entities are 2 years or more out of date, and 19 are more than 3 yea rs out of date. So what does that tell you, Mr. Speaker? That tells you that we probably should . . . the Minister of Finance, who says he is going to give more money to the Auditor General to, you know, be able to do her work in spite of the fact that she is quoted in this article in her 2018 report as stating, “ I believe that, for the present, the office is being r esourced adequately. ” She added this week, “ For the 2020- 21 fiscal year, the office is resourced adequately to address the financial statements in arrears.” So, Mr. Speaker, with that comment, I expect that we will see at the end of this year all of these ent ities up to date, because nowhere in this article either does it state who is at fault other than the inference is the PLP. And I do not re ad the online things, but I have a colleague of mine whose entertainment is not to read the stories, but to read the comments and then try and report them to me.
[Laughter]
Lt. Col. Hon. David A. BurchAnd so therefore, e ntertainment yet again. But wh at is not mentioned, Mr. Speaker, is who is responsible, or the fact that she said nothing in seven years —nothing, not a peep —or the fact that in the two entities that I am responsible for, the BLDC [Bermuda Land …
And so therefore, e ntertainment yet again. But wh at is not mentioned, Mr. Speaker, is who is responsible, or the fact that she said nothing in seven years —nothing, not a peep —or the fact that in the two entities that I am responsible for, the BLDC [Bermuda Land Development Corporation] and the golf cours es—in the case of the BLDC, when we came to Government, the last report was in 2012, Mr. Speaker. So not one, not two, not three, not four, not five of the time going, not a word! And all of a su dden—
An Hon. Member An Hon. MemberNot a dicky bird.
Lt. Col. Hon. David A. BurchNo, everybody is stealing that; I am going to come up with a new one now. I am going to have to use the phonetic alphabet to say what I really mean. [Laughter]
Lt. Col. Hon. David A. BurchThere is that, Mr. Speaker. And I am pleased to see that the Minister of Finance . . . because would we not all want to have these entities up to date? And in fairness, Mr. Speaker, in the case of the BLDC, I have been promised . . . …
There is that, Mr. Speaker. And I am pleased to see that the Minister of Finance . . . because would we not all want to have these entities up to date? And in fairness, Mr. Speaker, in the case of the BLDC, I have been promised . . . I do not understand this because I am not a bean - counter either. But I thi nk it has been a year now that we have been on the verge of, I do not know, getting there or something. And I do not understand what that means. And what I am hoping is that, as a result of these two comments in the Legislature I might actually get the report. Then I would be happy. Because then we can actually move on and figure out where it is that we are going and confirm for the people of this country that we are doing things in a proper manner. But I would ask, Mr. Speaker, the person to whom she ans wers, because I am on the verge . . . well, the Deputy Speaker’s cousin on the hill. But I am on the verge of writing to the House Committee which is responsible for the Office of the Auditor General to see if they could use some of their leverage to get her to agree to let us go out to the private sector. Because I do not think that . . . I could speak for my two ent ities; I just suspect the same is the case for all the ot her entities. I do not think any of these entities take any joy in being behind in t heir audits. But I will bet you cash money that in many instances, the Auditor General refuses to allow them to go to the private sector and conduct the audit. And then she could carry out some oversight. So it is a little disingenuous to be in the new spaper preaching some song- and-dance about how the Government needs to step up its game. But it is a lmost symptomatic of that office and the office- holders, the last 20, because the last three of them have had the same sort of attitude, Mr. Speaker, in my opi nion. They all sit in the tide, lie in the tide. And when the PLP is in Government, they go straight to do . . . they find their voice, get a cure to their laryngitis and have much to say about how it is that we are not managing the public purse. It is the usual narrative that they use on us. And I have resolved, Mr. Speaker, that rather than sit and listen to that narrative over and over and over and over again, I am not. I am going to call it out every time I see it or hear it, and say that it is a fals ehood. And I do not even think I actually have to do that, Mr. Speaker, because it is the same playbook. And even though Ms. Smith is struggling, and even though times are difficult, I know that when it comes time to mark in the report card (and that is not today) . . . I know when it comes time to mark in the report card they will say that the PLP did the best that it could and was on the right path to fixing things around here. And a lot of the narrative that they are hearing of negativity they will dismiss, because they will have a platform from 2017 as a report card to mark versus a narrative th at does not reflect reality. And they will remember the five years of the OBA in Government. And they will remember that one of their first steps and actions was to disregard the promises that they made in the 2012 election. We do not do that. There is not a meeting that this Gover nment has that we do not report or ask to report or r eview the promises that we made to the people of this country. And does that mean that is the only thing that we are going to actually do? No, it does not. It means we fix some other things along the way. But that is the roadmap because even in my district when people say we are not doing what they want us to do, I ask them, 3296 2 March 2020 Official Hansard Report
Bermuda House of Assembly Exactly what does that mean? Because if you do not have the book of promises, I can get you one; I still have a few. Or I have it online. I can get it electronically. You must use that as the measurement stick of whether we have done what we said we were going to do. And what I think that does, Mr. Speaker, for our electorate, is change the dynamic. It changes the whole conversation from one of I don’t trust politicians; they talk about blah- blah-blah, all the usual. If in fact you ask the people whom you ask for their vote to mark the report card based on the promises that you made to them on their doorstep, and if you have to remind them of what that is, then so be it. Because the one thing that you can count on from the Progres-sive Labour Party is that we do not shy away from any of our promises. We want them, we require them to hold [us] accountable. If the Deputy Leader has gotten over his nightmares . . . he only ever canvassed with me once in the last election and it was up in Cedar Hill. He is looking now. I remember because I laugh about it all the time. I will not call the name of the house we went to. But I will tell him afterwards. But we canvassed this house. And we got a good PLP reception. They cha llenged us. And they asked for certain things. And I told them in no uncertain terms that if they did not like the fact that we were going to stick to our promises, then they should vote for somebody else. The Deputy almost lost his mind. He said, You don’t tell people that. I said, Well, actually, I do. And I invited them to go vote for somebody else if they thought that, you know, we should do what the y wanted. And that young man and the rest of his family came out and voted for us. So I know that they know that they can challenge us on what we promised on their doorstep, that we do not need the daily as our messenger. That is the type of relationship that we have. I know again in my district I worry because as a Minister you have all these other responsibilities and all these other competing challenges. And I worry that I am neglecting my own district, especially since I lived with them for five years between 2012 and 2017. Because when you lose by 10 votes, it becomes per-sonal. And yes, you keep the list of those people who did not vote, who said they were going to. And that is the first conversation you have. It is the first convers ation you have wit h them. And you explain, and you educate them on the importance of participating in the process. Even if they do not tell you, or even if they are not going to vote for you, in my mind if you do not vote, you do not have a say for the whole five years. You just do not. It is not really true, because I have a really strong supporter who could not be here for the election and did not vote. But I like poking at people, too. And I told him, You can’t talk to me for five years. Send your daughter ; she voted. Anything you want you send it through her. You don’t participate, so you don’t have a say. The reality is that that is how it is supposed to work. You cannot be the person who did not participate in the democratic process and on J uly 19 th, 2017, you are the first person calling like, you know, the Minister, any of us, are your new best friends in the whole wide world.
[Inaudible interjection]
Lt. Col. Hon. David A. BurchNo. We have to have that conversation, first of all, about the fact that you did not participate, so you really should not have a say. I am going to make an exception this time. But it is worth having the conversation. Oh I am got it! It is worth …
No. We have to have that conversation, first of all, about the fact that you did not participate, so you really should not have a say. I am going to make an exception this time. But it is worth having the conversation. Oh I am got it! It is worth having the conversation because if we do not participate in the education of our people, they will not understand the challenges that we are facing in order to be able to deliver on what it is that we promised— that there is no pot of gold, there is no snapping of fingers, there is no magic wand, that we have to work at it. And I think that they can see clearly whether you are or you are not. And so, with that, Mr. Speaker, thank you.
The SpeakerThe SpeakerThank you. Is there any other Member? We recognise the Deputy Opposition Leader. Honourable Member, you have the floor. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Ms. Leah K. ScottThank you, Mr. Speaker. Mr. Speaker, I did not know about Tony Brannon’s remark until a little while ago. And to say it is offensive is not even adequate enough, number one. Number two, you know, all of us, or most of us, in this room have at some time …
Thank you, Mr. Speaker. Mr. Speaker, I did not know about Tony Brannon’s remark until a little while ago. And to say it is offensive is not even adequate enough, number one. Number two, you know, all of us, or most of us, in this room have at some time or another been to the Big Chill and supported Tony Brannon economically. Well, I have been. I have supported him economically. So the offence is not only that he can make such a co mment, but that we have supported him economically and he has benefited from —
An Hon. Member An Hon. MemberCockroaches.
Ms. Leah K. ScottEssentially. Benefits from coc kroaches. So our money has value, but we have no value. And he cannot think that this is acceptable. I am sure that he has been told about the backlash, and I do not think that there is anything that he can say that will change …
Essentially. Benefits from coc kroaches. So our money has value, but we have no value. And he cannot think that this is acceptable. I am sure that he has been told about the backlash, and I do not think that there is anything that he can say that will change his remarks. Oh, you know, I have black friends and I didn’t mean it. No. You said it. And it is an offence. And it is not something that can be accepted, and it is not something that can be taken lightly. And I for one will not be supporting any Tony Bra nBermuda House of Assembly non event economically. He will never, ever get another dime of mine. [Desk thumping]
Ms. Leah K. ScottAnd it is unfortunate because he had the Big Chill and he was working with Kassie, I think Lois Browne- Evans’s granddaughter. And I am sure that she would not be impressed with that comment. And I am sure that she would tell her granddaughter to no longer have any …
And it is unfortunate because he had the Big Chill and he was working with Kassie, I think Lois Browne- Evans’s granddaughter. And I am sure that she would not be impressed with that comment. And I am sure that she would tell her granddaughter to no longer have any association with him, because he does not have her best interest at heart. And all he is using black people for is personal and profitable gain. It is offensive. It is also offensive that he thinks that he can make a remark about the Government and think that it does not include every single MP in this House. Whether or not we are the Government —we have our fights, we may not like each other all the time, but we are all working towards a common goal, and that common goal is for the betterment of Bermuda. And this is not a remark that can be put aside that, Oh, I only meant the Government, b ecause we are all wor king together, all working for the betterment of Berm uda. So I am highly offended. And when I see Tony I will let him know that I am high ly offended. And there is no word that he could say to me, not even an apol-ogy, that will change this remark. Thank you, Mr. Speaker.
[Desk thumping]
The SpeakerThe SpeakerThank you, Honourable Member. Minister Simmons, would you like to contri bute to this evening? TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Jamahl S. Simmons: Thank you, Mr. Speaker. Mr. Speaker, this gentleman has a history of racism, a long history of racism. In 2007, he proudly proclaimed before the world …
Thank you, Honourable Member. Minister Simmons, would you like to contri bute to this evening?
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Hon. Jamahl S. Simmons: Thank you, Mr. Speaker. Mr. Speaker, this gentleman has a history of racism, a long history of racism. In 2007, he proudly proclaimed before the world on the Government YouTube channel that “black Bermudians, pressured by the Bermuda Industrial Union, destroyed tourism.” I am not paraphrasing; that is what he said. At that time, excuses were made. People said, Oh, yeah, he’s not that bad, you know. He’s got black friends. He does all that, that . . . As a community, we have allowed this, because that was not the first time he said something like this. He has said many things like this. And to the point that several years ago my wife called him out for his history of this racist beha viour. He went after her and saw me in town one day and says, Oh, you know, we need to bury the hatc het. You know, this is hurting my business. And I said, My parents didn’t teach me to bury the hatchet nowhere but in the hearts of my enemies. There will be no hatchet -burying with you. Mr. Speaker, we have a history in Bermuda that is unique because it is always up to us as black people to condemn racism. It is always up to us to call it out and hope and pray and appeal that somebody will see our humanity and they will condemn it alon gside us. We have a unique history in that we had a civil rights movem ent where people called for equality and justice. And a minute percentage of our white countrymen participated —minute. And so this is where, as black people, I can tell you this. Getting mad about it and making off about it is not good enough. I call on Bermudians to boycott anything associated with this man! Anything associated with him. Do not let his shadow make a dollar because he is a racist, a repeated racist, a proven racist. And all the black friends he wants to parade around with is not fooling any body. But here is the thing, Mr. Speaker. There was a business that was tagged in his statement. Have they condemned him?
An Hon. Member An Hon. MemberWho was the business? Hon. Jamahl S. Simmons: The business was Portofino restaurant. They need to condemn him. Those who employ him need to send him packing. We need to make an example of this individual like we have never done before, because we for-give. We had a gentleman before …
Who was the business?
Hon. Jamahl S. Simmons: The business was Portofino restaurant. They need to condemn him. Those who employ him need to send him packing. We need to make an example of this individual like we have never done before, because we for-give. We had a gentleman before the last election talk about “people should be “drawn and quartered.” We let it slide. No more letting this slide. There needs to be a consequence. We as black people can learn a lot from our brothers in the Jewish community. Nobody plays with them because you cannot play with them. Enough is enough. But I want to get to this point here. We are always the ones who have to condemn. We are al-ways the ones who have to be the moral authority. We are always the ones who have to turn the other cheek. We are always the ones who have to forgive. We are always the ones by ourselves. And you wonder wh y we do not come to your environmental marches in mass numbers. And you wonder why we do not come to your LGBTQ marches in numbers, because it is not a two -way street. I appreciate my colleagues in the One Bermuda Alliance who have stood up to condemn thi s. But as always, it is just us. I want to hear from the white members of One Bermuda Alliance. I want to hear from the Chamber of Commerce. I want to hear from the BTA [Bermuda Tourism Authority]. I want to hear from the BHA [Bermuda Hospitals Board]. We need to cancel this fool. So there is an opportunity to do something that our history has shown does not happen. As a country, black, white Bermudians, you are either 3298 2 March 2020 Official Hansard Report
Bermuda House of Assembly about it or you are just talking about it. We need to condemn him and end him. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. Any other Honourable Member? We recognise the Honourable Member from the East End. Honourable Member Ming, would you like to contribute in this debate?
Mrs. Renee MingGood evening, Mr. Speaker and listening audience.
The SpeakerThe SpeakerYes. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Mrs. Renee MingI find it appropriate that we are speaking about the comments of Mr. Brannon, b ecause I had a look at —
An Hon. Member An Hon. MemberTony Brannon.
Mrs. Renee MingHe is not in my company, Tony Brannon. Yes. I had a look at the comments and the pictures when they were sent to you and stuff. And I tell you this here. So many things go through your mind when you see things like that. And you know, I …
He is not in my company, Tony Brannon. Yes. I had a look at the comments and the pictures when they were sent to you and stuff. And I tell you this here. So many things go through your mind when you see things like that. And you know, I say, Oh, wo w, because I think that that would probably be what my first reaction would be. And I even had to say, I guess that’s real , right? Because, you know, we are in a world where people get hacked and things like that, Mr. Speaker. And so you do have to som etimes say, Was that real? Seriously? But when you start to delve down into it because your mind starts thinking, your processes start going a little bit, maybe it was a bit of frustration and anger in that too. But one thing that played on my mind specifical ly about that was the one with the police officer. I will declare my interest; I am married to one. But Mr. Brannon’s comments with regard to the retired police officer . . . unbecoming, unbecoming. And we were again referred to as cockroaches. Mr. Speak er, let me just set the record straight on this here. I am not a cockroach. I will not be r eferred to as a cockroach. I come from fine St. George’s stock. And I will not be referred to as som eone’s cockroach. So I will put that out there first and foremost . But when I saw him with the police officer, what really boggled my mind and what came to my mind almost immediately, Mr. Speaker, was this here: Is that how my husband’s colleagues think of me? Because I get around police officers. And then the second t hought that came to my mind was, Is that how colleagues thought on December 2 nd, 2016? And that is when it stung me, and that is when it hurt. I stood there on that day, and I watched police officers spraying what? Cockroaches? Okay? B ecause that is how deep that goes, you know. When you see stuff like that, you do not just look at it for the day of what it is you are reading, you know. It is an emotion that, for me it was anger after that, Mr. Speaker. And I am saying to myself, Wow. And then to put it bluntly, in my mind I thought, Is that how these white English police officers think about us Bermud ians, as cockroaches? There is a saying that my grandmother, who passed in January, said. She said it a lot. She used to say, Show me your company, and I’ll tell you who you are. She used to always tell us that, especially when we were coming up. Because when we were coming up, you know, sometimes we wanted to hang around those persons that we were not supposed to hang around. And she used to always say that t o us. She said, Show me your comp any, and I’ll tell you who are you. Make your bed up because you don’t know you’re how to come home to it. And always have on clean drawers. Everything she lived by, Mr. Speaker.
Mrs. Renee MingBut the more I thought about the post, the more I thought about December 2 nd, because for me December the 2nd is etched forever in my mind. And I am not going to tell you that I cannot get to a space of forgiveness, because I know that for …
But the more I thought about the post, the more I thought about December 2 nd, because for me December the 2nd is etched forever in my mind. And I am not going to tell you that I cannot get to a space of forgiveness, because I know that for me to do and be better , I had to get there. But when you see things like that, it brings you back into that space. And you do, and I did. And I said, Is that how white English police officers think of Bermudians, black Bermudians, as cockroaches? Disgraceful ! And then if I brin g it to the present day, Mr. Speaker, this is why immigration is so hard to discuss in Bermuda. Okay? When these things happen, This is why this man couldn’t even get a PRC after 29 years . . . this is why we have a problem discussing immigration in Berm uda! This is all part and parcel. And every time we see something like this, it is emotive, yes, for the context of the cockroaches. But it is a much bigger picture here. And sometimes people do not understand why immigration is so hard because guess what? When I have to get there and bring something to the people, they are going to say, Look at how he thought about us. And now he wants to stay here in this country? What, amongst the coc kroaches? So, Mr. Speaker, for me it went on many levels. And I am sure it did on everybody who sits here. But you sit on this side of the House or this side of the House, because you might be the cockroaches next time. I would not allow somebody to refer to you as that. Because even though I know sometimes we fight hard in here and debate, I still call many of my co lBermuda House of Assembly leagues on this side colleagues. Because I do believe that. I know some of them are not right -thinking, Mr. Speaker, like you because they stick up for Somerset.
[Laughter]
Mrs. Renee MingBut I still have mu ch love for them. So, Mr. Speaker, I did not really need to have long comments on this. I think that enough has been said, and more could even be said on this here. And when you see things like this, it clearly defines som …
But I still have mu ch love for them. So, Mr. Speaker, I did not really need to have long comments on this. I think that enough has been said, and more could even be said on this here. And when you see things like this, it clearly defines som etimes who we are as a country for some people. B ecause we will never be defined that for me. And with that, Mr. Speaker, I will close my comments.
The SpeakerThe SpeakerThank you, Honourable Member. Does any other Honourable Member wish to speak? We see the Minister De Silva. Would you like t o add a contribution? Hon. Zane J. S. De Silva: I sure would, Mr. Speaker.
The SpeakerThe SpeakerContinue on. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Zane J. S. De Silva: Mr. Speaker, what a sad day this is. But it is a sad day for some; it is a regular day for others. The good thing is, Mr. Speaker, that tonight could be —could be —a watershed …
Continue on.
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Hon. Zane J. S. De Silva: Mr. Speaker, what a sad day this is. But it is a sad day for some; it is a regular day for others. The good thing is, Mr. Speaker, that tonight could be —could be —a watershed night. Could be. Mr. Speaker, when I first saw these comments, you know the firs t thing I did? I sent it to my children. And I waited for the response from my chi ldren. And I am not going to repeat what they both said, separately. I did not write them together, wrote them separately. I will not say publicly what they said. But you know what, Mr. Speaker? In this House, in this country I have heard in all of my 60 years, Let’s get along. Let’s stop. Let’s stop all this racism! Let’s stop it. Tony Brannon tonight is being highlighted for his sickening comments about this Government and about black people generally, yes. You know who we are missing tonight? Rolfe Commissiong. That is who we are missing, because Rolfe would lay it on the line tonight. I am sure he will have something to say when he returns to this House.
[Inaudible interj ections and laughter ]
Hon. Zane J. S. De Silva: But, Mr. Speaker, Hamilton Princess, I believe (I stand to be corrected), currently hires Tony Brannon. And I would implore them to do the right thing —yesterday —and send him packing. Anyone else who hires T ony Brannon in the entertainment business should send him packing. You will know, Mr. Speaker, that I announced Friday gone that one of the things I want to do as the Minister of Tourism is increase entertainment in this country, and, in particular, by our local entertainers. And here we have a man who supposedly represents the hospitality industry making these sorts of comments, racist comments! Quite frankly, he needs to go. Wherever he is, he needs to go. As a person, it disgusts me. As a Tourism Minis ter . . . if anyone in these Chambers were the Tourism Minister, would it not totally disgust them? As someone who purports to be a Bermudian hospitality king in this country . . . and you know what, Mr. Speaker, what really burned at my heart when I saw those two posts? I do not know if everybody saw the two posts. There were two posts. It was one with a picture and another one was a post. You all probably saw the Portofino restaurant one. There was another one talking about the PRC [permanent residency certificate], the policeman who had done his time and gone back. Cockroaches . . . referring to this Government as cockroaches in his post and in his picture/post. I would say, and I think my honourable colleague Jamahl Simmons hinted on it a little bit. I would go a step further. When he suggested that anybody who thinks about or has a contract with him to end it, I would go further. Any establishment that hires him and needs work permits, we need to talk to the Imm igration Minister. Heat! Absolute heat nee ds to be applied. And people in this country say that, No! The PLP are the dividers in this country. We are always using the race card! We don’t welcome whites in the PLP. As I have told many people, Mr. Speaker, have you ever been to Alaska Hall? I am talking about white people now. You ever been to Alaska Hall? They say, No. Oh, I ain’t going. I’m not welcome. Why? You have never been! Do you like strawberry ice cream mixed with chocolate and vanilla?
An Hon. Member An Hon. MemberNo. Hon. Zane J. S. De Silva: No? I said, You ever tried it? [Inaudible interjections and laughter ] Hon. Zane J. S. De Silva: I was glad to hear the Honourable Deputy Leader speak about how she certainly will not support it, and the Opposition Leader Craig Cannonier speak. …
No.
Hon. Zane J. S. De Silva: No? I said, You ever tried it? [Inaudible interjections and laughter ]
Hon. Zane J. S. De Silva: I was glad to hear the Honourable Deputy Leader speak about how she certainly will not support it, and the Opposition Leader Craig Cannonier speak. But I w ant to hear from somebody else on that side.
An Hon. Member An Hon. MemberYou will. Hon. Zane J. S. De Silva: I hope so. I hope so. Okay. All right. Because Mr. Scott Pearman says as soon as 3300 2 March 2020 Official Hansard Report Bermuda House of Assembly I sit down he is going to speak. I hope he will, and I …
You will. Hon. Zane J. S. De Silva: I hope so. I hope so. Okay. All right. Because Mr. Scott Pearman says as soon as 3300 2 March 2020 Official Hansard Report
Bermuda House of Assembly I sit down he is going to speak. I hope he will, and I hope he does. Okay. I would like to have seen him stand up . . . you know, jump up like everybody else did tonight. But okay, maybe he is patient. Okay, all right. Okay, all right. Papa Bull and Baby Bull sitting up top of the hill; I got it. That is all right. But wha t I call for tonight, Mr. Speaker, is this. I call for Tony Brannon and anyone like Tony Brannon to stop, to stop, because Tony Brannon does not operate alone. He does not operate alone! And every time we talk about race in this country, it is the PLP. Black people are the ones who drive the race card in this country, talk about the race card, call the race card . . . You know what? The PLP do not need to call any race card and, in particular, when we talk about elections. Because black people decide who is the Government of this country! So let us think about that for a moment. The race card in this country is only used by one group of people, and it is people like Tony Brannon. And there are some other people in this country using the race card, too. They represent the OBA. They may not like to hear that tonight, but it is so true. So, Mr. Speaker, I am going to finish on this note. I implore not only businesses in this country to make him pay and set an example like we should have done for Rick Olson when he was the one that made that statement about black people in this country. He should have paid a heavy price for that comment. But, to me, he was let off the hook. We cannot continue to let racists in this country think that they can say anything they want about black people and get away with it. It must stop, and we must make them pay the price for thinking that they can say anything they want about us on this side of this House. They must start to pay the price.
The SpeakerThe SpeakerMember from constituency 22.
The SpeakerThe SpeakerWell, you have got 20 minutes. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Mr. Scott PearmanA few people this evening have called upon me to speak —I was going to do so an yway—including the Honourable Derrick Burgess. Mr. Speaker, we are here on audio. There is no video. But I am looking around this room at my 35 colleagues in this House. And let …
A few people this evening have called upon me to speak —I was going to do so an yway—including the Honourable Derrick Burgess. Mr. Speaker, we are here on audio. There is no video. But I am looking around this room at my 35 colleagues in this House. And let me say this: I see no cockroaches here, Mr. Brannon.
[Desk thumping]
Mr. Scott PearmanIt is a matter of respect. It is hard enough to be a politician in our divided Island day in, day out, dealing with the historic atrocities through which we have suffered, to then be denigrated in that fashion. And I have no hesitation whatsoever in condemning the remarks. And …
It is a matter of respect. It is hard enough to be a politician in our divided Island day in, day out, dealing with the historic atrocities through which we have suffered, to then be denigrated in that fashion. And I have no hesitation whatsoever in condemning the remarks. And I do so. But let me also add this, Mr. Speaker. The remarks are even more insensitive in the context in which I understand they were made. And I have not seen them; I have merely been told tonight what was said. But my understanding is that they were made in the context of a discussion about immigration. And we all, white, black, other, middle, Bermudians must be sensitive about immigration because it is a delicate topic. As the Minister who speaks for Immigration has said before, as my honourable colleague Ben Smith said on Friday night, it is a delicate and sensitive topic with a long and chequered history. And so we cannot come to that conversation armed with prejudice. We cannot come to that co nversation and denigrate, because that will not reach solution. We do need to have, and we are currently having, a serious conversation on this Island about immigration. And I have previously [commended] and I continue to commend the Minister and his bipartisan panel for their efforts. And T ony Brannon’s remarks, which I understand are accurately reported because I understand from someone behind me that he has apologised— but those remarks are entirely unacceptable, and they do not assist in any way this co nversation. And yes, I wholeheartedl y denounce them without hesitation. They are unacceptable. And as I said when I stood, I see no cockroaches here.
The SpeakerThe SpeakerThank you, Member. Minister, you jumped quickly that time. Mini ster Caines. Hon. Wayne Caines: Thank you, Mr. Speaker. The Sp eaker: You have your 20 minutes, sir. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Wayne Caines: Mr. Speaker, at 6:45 am this morning, I received a message from Mr. Tony …
Thank you, Member. Minister, you jumped quickly that time. Mini ster Caines.
Hon. Wayne Caines: Thank you, Mr. Speaker.
The Sp eaker: You have your 20 minutes, sir.
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Hon. Wayne Caines: Mr. Speaker, at 6:45 am this morning, I received a message from Mr. Tony Bra nnan. I was confused because, whilst we do talk from time to time on social media, I did not understand the context of the interaction. And he was apologising for something that I could not contextualise. And so, as I
Bermuda House of Assembly took the time to read the post . . . it was early in the morning and I still could not contextualise his apology . I went to the office. And as I got to the office, my colleagues started to share their thoughts on the post. And during the day I was actually able, at about lunchtime, to fully process the nature of what had transpired. Now remember, he had sent me an apology. I did not respond, because I believe I wanted to process what was being said, how this thing was being discussed. And I realised something. He was actually calling me the cockroach! Not existentially; he was referring to Shernette and Michael Caines’s son. And let me tell you why. I was making the decision with reference to the man who stood in the pi cture.
Some Hon. Members Some Hon. MembersAh, ah! Hon. Wayne Caines: So when you are talking about cockroaches, it was not an abstract conversation. It was referri ng to me as the man! Now, I was appointed as the Minister with r esponsibility for Immigration by the Premier. It is a so lemn task of which …
Ah, ah! Hon. Wayne Caines: So when you are talking about cockroaches, it was not an abstract conversation. It was referri ng to me as the man! Now, I was appointed as the Minister with r esponsibility for Immigration by the Premier. It is a so lemn task of which . . . I should say it is a solid and a sacred trust that I was given by the Premier and the people of Bermuda. It is something that I wear. And if there is anybody in the room who has ever had the responsibility as the Minister of Immigration, it is a heavy load to carry. If I am given a decision to make, I make that decision with every fibre of my being to be balanced, to do it in accordance with the law and after consideration of all of the facts. We have been making decisions with reference to immigration reform. When the caucus is di scussing immigration . . . and I will share this with my colleagues on the other side. My colleagues have been discussing this decision with the best interests of Bermuda at heart. And we have been in the room for about six or seven months as a collective, going through, discussing, and talking and white- boarding and discussing because this decision impacts every person in Bermuda. We have a bipartisan committee. When the bipartisan committee meets they are in a room. And we are talking and we are discussing. We are going backwards and forward. And everybody in the room is making decisions on what we believe is in the best interests of Bermuda. When people come into a room, oftentimes they have beliefs and there are things that are signif icant to them or to their community. And they put it on the table. Oftentimes, that has to be tempered with what is in the best interests of Bermuda. When the business community comes and they say, We need more people in Bermuda, we have to temper that with what is in the best interests of Bermuda. When people are saying they need training and development, we have to temper that and look at every stage. We are looking at what is in the best interests of the people of Bermuda. And so when we are in the midst of this di scussion that has the potential to polarise this country . . . we have seen what this debate has done to this country when it is done unmeasured. Has anybody forgotten the number of people who were walking and marching around Bermuda when it was not done in a tempered and a thought -through measure? Does anybody fail to understand what immigration, when it was weaponised in this country, di d to polarise this country over the last 25 years? We as the people in this room have made a decision that we are going to do it differently. And so when someone uses the term “coc kroaches,” they do not understand the language, [they do not understand] that it hearkens back to a time when people were speaking and they were denigrating the very essence of who we are as people. And I read the apology. And the apology went along the lines to say that, I did not realise that the term “ cockroaches ” was offensiv e. The apology went along the lines, I did not realise that the term “ cockroaches ” was used offensively as a racial slur. He did not say using the term “ cockroaches ” was wrong. His position was that I did not realise that it was used as a racial slur. Now, the challenge that I have is, Tony Brannon is a man who has been on the vanguard fighting for justice and equality in this country. If you are on the vanguard fighting for justice and equality, that is the vanguard where you must stand. That is the vanguard in which he stands. Over the weekend, the Mi nistry of National Security has something called the Hype Kings. Hype Kings, Mr. Speaker, is an initiative that is done at the Victor Scott Primary School. And we have taken young men and put them in a cohort. And they were asked to describe what has hurt them or what has scarred them. What has put an indelible print on their lives? And they shared words and scars that their parents or family members have said to them. And they do a five- minute soliloquy o n what people have said in their lives that has hurt them, that has irrevocably scarred them. Mr. Speaker, if you have not seen this, you must see it, where these young men spend times . . . a jarring, a really pivotal or significant theatrical. It is a vi deo where these young men talk about how words irrevocably have affected them. And I thought about the term “coc kroaches.” And I listened to what cousin Derrick Bur-gess was saying and how we view . . . And I listened to MP Jamahl Simmons, and the anger, th e passion that it breeds. And the reason why it breeds such significant anger and passion is because the people in this party work tirelessly on behalf of the people of this country. So you can say what you like when you do not agree with the policies and some of the procedures and the things we do. We expect that. This is partisan work. 3302 2 March 2020 Official Hansard Report
Bermuda House of Assembly Sometimes we come and we have positions that people do not like. And they say we were green. And they do not like these policies. Guess what? We like that. We have some people from Somerset, some people from St. George’s. And we get that there are times in this House where we sit on opposite sides of many issues. But like MP Pearman just said, there is a fundamental line of respect and honour in this House and in this country that we cannot cross. Mr. Speaker, to refer to Members of Government as cockroaches must be condemned by all right -thinking people in Bermuda. Take it out of the context of race. Put it in the context . . . take it out of the context of race. And I believe that it was said in the context of racism. But let us say we take it out of the context of race. That still does not make that acceptable. It is equally as repr ehensible to use it in the context of just plain leaders in this country. To refer to leaders in this country as cockroaches . . . it is still reprehensible. There is no excuse for it in any capacity of using this word.
An Hon. Member An Hon. MemberExactly. Hon. Wayne Caines: There is no reason to use the word. I believe that this has to be used as a lear ning lesson. I get the mea culpa. I, of all people, understand what that looks like and what that sounds like. But I can tell you that …
Exactly.
Hon. Wayne Caines: There is no reason to use the word. I believe that this has to be used as a lear ning lesson. I get the mea culpa. I, of all people, understand what that looks like and what that sounds like. But I can tell you that we in the next few weeks are going to be discussing immigration in this country. And I believe that this is an opportunit y for us to start this conversation or restart this conversation right. This is an opportunity for us to say, You know what? I know what I want this country to look like. And then we debate this conversation in this House. We have to elevate the tenor and the tone of this conversation. We have the opportunity as a country to have discussions about what we want Bermuda to look like. We have the opportunity to say and fight for what we believe in without discouraging each ot her, without using words of that n ature. Because guess what? If we go down a path where we use words and phrases of things like that, we are going to be all pulled aside, and nothing good can come out of that. There is nothing positive that can come out of that. Because when I read those words today, it pulled at a side of me, and it was not the side that evoked peace. It was not the side that evoked harmony in my community. And when there are sides of you that evoke a side that does not want to pull for harmony, you have to remember and b e reminded of why you do this. And I believe that as I have been asked and been chosen by the Premier and the people of Ber-muda to lead this conversation on immigration, we are seeing green shoots of hope. I believe that the legisl ation that we will bring will be balanced. I believe we have the opportunity . . . and I am not afraid to say it. We have the opportunity to continue to allow business to thrive in Bermuda, but to give Bermudians a place of primacy in their country. We have the opportunity to protect and give Bermudians the opportunity to be proud of being Bermudians. We have the opportunity to have a fair and balanced and well -adjusted society. And we should aim for that. We should aim for that. And I think that is something that, when we see this Bill, when we have the opportunity to discuss this Bill, this is an opportunity for something that we can be proud of. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Minister. I recognise the Honourable Member Smith. Honourable Member Smith, I think you would like to contribute to this debate.
The SpeakerThe SpeakerYou have your 20 minutes. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Mr. Ben SmithI just had the opportunity to see that Tony Brannon has tried to make an apology for what he said. The problem is that . . . So last week I spoke to the fact that immigration has been used as a wea pon in the past. I am going …
I just had the opportunity to see that Tony Brannon has tried to make an apology for what he said. The problem is that . . . So last week I spoke to the fact that immigration has been used as a wea pon in the past. I am going to put a little bit more detai l on that. It is not just any immigration; it has been r acial practices within immigration that have led to the scars that people in Bermuda feel when we talk about immigration. I grew up in a household with a father who was an entertainer. So specificall y, I understand entertainment in Bermuda, with a father who had to go through the back entrance of the hotel because he was not allowed to go to the front entrance. And it took a long time for him to fight those barriers to be able to be treated in way that he could walk through the front door of the establishment that he was going to work in and entertain the people who were paying the fees. So when somebody calls people in Bermuda cockroaches, I am acutely aware of what he meant when he said that. Somebody who worked with my father, and my father spoke highly of when my father was alive . . . to hear him make that kind of statement with that disrespect . . . The bigger issue is, at least we now know what he is thinking, because he said it out loud.
[Inau dible interjections]
Mr. Ben SmithThe problem that we have is there are a lot of people who do not say it out loud. But we are not sure whether that is what they are thinking when we are in the room. Bermuda House of Assembly We spent a lot of time and effort trying …
The problem that we have is there are a lot of people who do not say it out loud. But we are not sure whether that is what they are thinking when we are in the room.
Bermuda House of Assembly We spent a lot of time and effort trying to get this immigration situation right. And it is a balancing act. But the kind of comments that were made are the exact reason that we have to be so careful, because there are people who have those exact thoughts who do not say it. And we do not know. And you sit at the table with them. And you see them out. But you do not know whether that is actually what they are thinking about us —that we are cockroaches ; that we are lesser than; that we are not the same level of human that they are. That cannot be accepted at any time. And we collectively need to start to talk about this issue and start to make people understand that we will not accept that behaviour. And going forward, if that is the way you feel about people in Bermuda, you probably shouldn’t be here. And the issue is apologising and saying that you did not know that that term was racist is not accept able. It is not possible for you to not understand at this day and age . . . the fact that you are actually doi ng it online, we know that you have the ability to research anything. And you talk openly on an ongoing basis. And the part that has been highlighted is that he speaks openly about the rights of people. So to make that kind of comment, that insensitive com ment, we know that he knows better. Now, the important piece here is that not ev erybody gets painted with the same brush. Not every white person is a racist. And we cannot go down that path. But we have to understand that there are people amongst us who b ehave that way, who think that way. That is the group that we need to highlight. And whether you are white, black, rich or poor, you need to know that if you see somebody like that you need to tell them that that is not acceptable. And going forward, that will be the line that we will not allow anyone to cross. So Tony Brannon is going to have a completely different view of life tomorrow because he stepped in it. He made the kind of comment that he probably makes in back rooms, but he made it publi cly. And now he is going to have to pay the price for making that kind of comment. With that, thank you,
Mr. Speaker.
The SpeakerThank you, Honourable Member. Member from 36. Hon. Michael J. Scott: Thank you, Mr. Speaker. I promise to be very brief.
The SpeakerThe SpeakerThank you, sir. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Michael J. Scott: The occasion should not pass having regard to all that has been said, particularly by the Members of the legal profession and my co l-league, Mr. Smith. This occasion should not be allowed to pass without underscoring the …
Thank you, sir.
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Michael J. Scott: The occasion should not pass having regard to all that has been said, particularly by the Members of the legal profession and my co l-league, Mr. Smith. This occasion should not be allowed to pass without underscoring the gravity of this statement from Tony Brannon. As a matter of law, it is an offence under our Criminal Code for a person to cause hurt or fear or distress or alarm. And clearly, the alarm has been sounded in this House. To cause either fear or alarm as a consequence of saying or communicating through a mechanical means —which has happened in this case —words which elicit that alarm or distress . . . and that is what he has done. And under the Criminal Code, I simply want to . . . I will take my seat after this. It should be known by all Members of the House who are Legislators that what Mr. Brannon has communicated over this medium, which is section 200A of the Criminal Code. So he should be aware of the consequences of his dreadful behaviour. Thanks.
The SpeakerThe SpeakerThank you, Honourable Member. Now I recognise the Honourable Member, Mr. Simons. Honourable Member, you have your 20 minutes. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED
Mr. N. H. Cole SimonsThank you, thank you, Mr. Speaker. Mr. Speaker, I think the Honourable Member Zane De Silva hit the nail on the head. This gentl eman, Tony Brannon, wrote this piece of vile corr espondence because he was writing it to an audience. He was writing it to somebody, or a …
Thank you, thank you, Mr. Speaker. Mr. Speaker, I think the Honourable Member Zane De Silva hit the nail on the head. This gentl eman, Tony Brannon, wrote this piece of vile corr espondence because he was writing it to an audience. He was writing it to somebody, or a group of people, who he knew would support him. Let us not be mi staken about that, Mr. Speaker. He was not talking to us. He was talking to the silent crowd. And therein lies the problem that we have today in this country.
Mr. N. H. Cole SimonsAs a number of colleagues said, I refuse to place all of our white brothers and sisters in this category, because I know that the m ajority of white Bermudians do not subscribe to this behaviour. But I also know that there are a vast number of people who may …
As a number of colleagues said, I refuse to place all of our white brothers and sisters in this category, because I know that the m ajority of white Bermudians do not subscribe to this behaviour. But I also know that there are a vast number of people who may not voice what Tony has said, but if you follow their behaviour and how they deal with people who are different from them, on a day -to-day basis, in a so- called respectful, polite manner . . .
An Hon. Member An Hon. MemberThey are empat hetic.
Mr. N. H. Cole SimonsI would not even say they are empathetic. They are polite. But if you watch their behaviour, you will see the truth.
Some Hon. Members Some Hon. MembersYes. Exactly! 3304 2 March 2020 Official Hansard Report Bermuda House of Assembly Mr. N. H. Cole Simons: Do not judge a person by what they say. Judge them by what they do. That is what I have always been told. Mr. Speaker, let us be clear. I have been …
Yes. Exactly!
3304 2 March 2020 Official Hansard Report
Bermuda House of Assembly Mr. N. H. Cole Simons: Do not judge a person by what they say. Judge them by what they do. That is what I have always been told. Mr. Speaker, let us be clear. I have been in politics for 20 years —actually 22 years. And I would say this. I am OBA, prior to that UBP, and I have a lways admired my PLP friends. We may differ on how we are going to get to what is best for Bermuda. But I know that we are equally committed for what is best for Bermuda, even though we take different roads. But what bothers me, and still gets to my soul, Mr. Speaker, is when I am out and I hear people say, That PLP Government, they can’t do this, they don’t know that. It’s disgusting. And, Mr. Speaker, you know what? What bothers me is that I take it personal ly as code for black government. Mr. Speaker, I believe that my role for being here in this House as a Member of the OBA, and why I entered politics in Bermuda is because I wanted to try to take my steps to bridge the divide. That is my contribution. I could have easily joined the PLP, whom I still respect.
An Hon. Member An Hon. MemberSo why did you not? Another Hon. Member: It is not too late! It is not too late, Cole! [Laughter]
The SpeakerThe SpeakerSpeak to the Chair, you are all right.
Mr. N. H. Cole SimonsBut, Mr. Speaker, I was raised in a family whereby we embraced everyone. And I also felt that we need all Bermudians involved in politics. We need to engage all the academic r esources and the capital resources of black Bermudians and white Bermudians. Mr. Speaker, that was my motive …
But, Mr. Speaker, I was raised in a family whereby we embraced everyone. And I also felt that we need all Bermudians involved in politics. We need to engage all the academic r esources and the capital resources of black Bermudians and white Bermudians. Mr. Speaker, that was my motive for getting into politics. And on the way, Mr. Speaker, believe me, believe me, it has not been easy.
Mr. N. H. Cole SimonsAnd they do not have to say it. Welcome, Mr. Simons; nice to have you in my house. But at the end of the day, your soul speaks to you. And that is what you have to listen to. And you have to give everybody the dignity that they deserve …
And they do not have to say it. Welcome, Mr. Simons; nice to have you in my house. But at the end of the day, your soul speaks to you. And that is what you have to listen to. And you have to give everybody the dignity that they deserve and show them respect. And likewise, we should be carrying ourselves where respect is demanded and earned. Mr. Speaker, the Minister of Immigration made another comment that resonated with me. And what he said was that we have to elevate the narr ative. We in this House have to elevate the narrative. We can show Bermuda what it is like to be respectful, what it is like to run a country with dignity, even though we differ in how we do it. And at the end of the day, we can lead by just showing that we are resp ectful people in this House and we are respectful amongst the community. Mr. Speaker, the interesting thing is, and pe ople do not understand it when they see us up in the Common Room and the Dinner Room, you would never know that we were on opposing sides . Scott is there with Lovitta, Cousin Derrick. And we are all one as a family. Here in —
The SpeakerThe SpeakerAnd you do not need to speak and they are refereeing between you, right? There you go.
Mr. N. H. Cole SimonsHere in the Chamber, I say to people, Mr. S peaker, this is theatre. The real politics and the real honest conversations are held in the side rooms of this Parliament. We have to bring this conversation here and show the same respect and dignity that we have for each …
Here in the Chamber, I say to people, Mr. S peaker, this is theatre. The real politics and the real honest conversations are held in the side rooms of this Parliament. We have to bring this conversation here and show the same respect and dignity that we have for each other upstairs in this Chamber so that the media can see that we are working together for the benefit of the country. We are providing our criticism, our input to support, or sometimes disagree with Government initiatives. But that is democracy. But at the end of the day, if we can show dignity up here, we can set the pathway which Bermudians can follow. And at the end of the day, that momentum will trickle down to every family in this country. Will we get rid of all the racist people? No. That is human nature. But at the end of the day , if we put our foot forward and do the right thing and respect each other, these people who are on the right side of this equilibrium, these right -wingers, they know already that they will not have a place in this country. I saw somebody over on the Internet just now who basically was supporting Tony.
[Inaudible interjections]
Mr. N. H. Cole SimonsThat is my point. And he has got people supporting him. And that is why I am sa ying it is not just him. He is speaking for an audience, and that is where we still have work to do in this country. But, Mr. Speaker, I invite our parliamentarians …
That is my point. And he has got people supporting him. And that is why I am sa ying it is not just him. He is speaking for an audience, and that is where we still have work to do in this country. But, Mr. Speaker, I invite our parliamentarians to henceforth lead by example. Show that this is a House of dignity and respect, and just remember the way we get along with each other upstairs. Let us bring that i n this Chamber! And we will have a better Bermuda. Thank you. [Desk thumping]
The SpeakerThe SpeakerThank you. Bermuda House of Assembly All right. We recognise the Honourable Member from constituency 23. Honourable Member, you look like you would like to make your 20- minute contribution? Hon. Patricia J. Gordon -Pamplin: I will, Mr. Spea ker. Thank you.
The SpeakerThe SpeakerYou have the floor. Go right ahead. TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, my heart is very heavy. It is very heavy because when the Honourable Member from constituency 2 stood to his feet I whispered to my colleague opposite, …
You have the floor. Go right ahead.
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, my heart is very heavy. It is very heavy because when the Honourable Member from constituency 2 stood to his feet I whispered to my colleague opposite, the Minister, and I said, We should not be sitting here talking about people who are not here to defend the mselves. That was within the first perhaps sentence of what the Honourable Member had to say. Until I heard what he had to say . . . and I had not had the opportunity to see for myself what the Honourable Member Swan was talking about. The same Minister, Minister Caines, turned up the display on his iPhone and he shared it with us on this side. I do not know that any of us had actually seen it prior to. Some of us spend an inordinate amount of time on social media. And I used to at one point look at comments that were made. And if I felt somebody was going down the wrong path, I would think it to be my obligation to correct it. So I used to engage signif icantly until I came across situations where there are some people who do nothing but drain the energy o ut of the universe. They just suck the energy out of the universe. So I stopped. So I do not get the opportunity to see much of this nonsense that we have been di scussing tonight. But when the Honourable Minister showed us his phone, Mr. Speaker . . . there is very little that leaves me speechless. You know. I have been in this House an awful long time. Very little leaves me speechless. But what I saw and witnessed from that screen said one thing to me—that those comments deserve and require unanimous condemnation. There is not one decent or right -thinking person in this Chamber, irrespective of which side of the aisle you sit, who would support or condone that putrid expression that was articulated in that display. I almost do not even know what to say. Mr. Speaker, I know that within a family you can say whatever you want to about each other. But do not go outside that door and have somebody else talk about your sister or your brother, because those are fighting words. I have said to people, I am really gentle Jesus, meek and mild about anything in this life. And I can accept however hard I am knocked down. But attack my mother or my children, and I am crazy, with a capital K —with a capital K —for which I do not apologise, Mr. Speaker. And, Mr. Speaker, I look at the Members of this Honourable House in the same way that I would treat my defence of my sister and brother in the public arena. Like I said, we can go at it hammer and tongue, you know, like cats and dogs. But outside of this Chamber we are colleagues. Inside of this Chamber I can hear Members criticise, cajole, embellish, say things that are just plain untrue. And we take it on the chin because that is what we signed up for. In the cut-and-thrust of the political environment, we accept things that otherwise we might not. But when somebody wants to attack us as a group . . . because Government is not just the party that has managed to achieve the most numbers of votes and the most Members in this Honourable House. Government is all of us who were s ent here to represent the people who put us here. And we do so to the best of our ability. And if we cannot lock arms and hold hands and defend one another against this kind of vitriolic attack, then I think that we need to r ethink: Why are we here? Mr. S peaker, I can concur with and support all of the attitudes, all of the comments that have been made tonight in terms of how we should handle this particular situation in the public arena. I think that we each need to stand, condemn and say that this is not acceptable, knowing the things that we stand for, which ought to be integrity, which ought to be decency, which ought to be just anything that would em-brace positivity within our community, that is what we came to this Honourable House for. We did not com e to support somebody who wants to make snide and nasty remarks on the outside. And I ask that not only do we condemn when we hear these kinds of things, which are completely unacceptable, let it go right across the board. B ecause there are people who wil l make comments about us as Members of the OBA, there are people who will make comments about those on the other side as Members of the PLP. And they are equally as offensive. And I think that we have to be honest with ourselves to say that this behaviour is not acceptable. It is not acceptable to us as decent human beings. And with that failure for it to be acceptable to us, Mr. Speaker, we have to defend our principles in this Honourable House. And our principles dictate that we defend one another, that we embrace one another, that we respect one another, even though we may have differences. We ought to be able to express our differences and do so in such a way that we still exude the level of respect that is demanded of the position that we hold. We are here, Mr. Speaker, not because any of us likes to take licks, because Lord only knows being in this House, Mr. Speaker, you take licks. You take licks for what you say. You take licks for what 3306 2 March 2020 Official Hansard Report
Bermuda House of Assembly you do not say. You take licks if you had an idea that somebod y does not agree with. You take licks if you have an idea that somebody agrees with and this ot her body does not. And it is just the environment under which we operate. But there is absolutely no necessity for an ybody under any circumstance to be vile, disrespectful, egregious and just plain disgusting. And as my honourable colleague said, I don’t see any cockroaches in this place. Certainly I am not one, Mr. Speaker. I do not see one in this honourable place. And I am pr epared as an individual, as a mem ber of my team . . . and we have heard all the members of my team speak tonight, all of my colleagues. Not my team, because I do not want to make it seem like I am taking on the leadership.
[Laughter]
Hon. Patricia J. Gordon -Pamplin: I do not want peopl e talking about me, because they will say the wrong thing, they will say the wrong thing. But, Mr. Speaker, our entire team . . . and when I say our team, our team as OBA, our team as PLP, our team as being the Members of this Honourable House. We deserve better. We demand better. And we will not stop until we get better. Thank you, Mr. Speaker.
[Desk thumping]
The SpeakerThe SpeakerThank you, Honourable Member. Mr. Premier, you sprang up real quickly that time. I was looking to see if anybody was behind you. [Inaudible interjections] Hon. E. David Burt: Mr. Speaker.
The SpeakerThe SpeakerBut you are on your feet, so I acknowledge you now, Mr. Premier. How is that? TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. E. David Burt: Everyone is saying they want to go home. Unfortunately, I just want to make sur e I make it to the viewing for Ms. Grimes. …
But you are on your feet, so I acknowledge you now, Mr. Premier. How is that?
TONY BRANNON’S INSENSITIVE COMMENTS CONDEMNED Hon. E. David Burt: Everyone is saying they want to go home. Unfortunately, I just want to make sur e I make it to the viewing for Ms. Grimes. So I just want to make sure that we wind up this evening. Mr. Speaker, I had intended to get up and speak on a totally different topic. And I am not going to give much time and attention to Tony Brannon, because I know who Tony Brannon is. It does not in any way, shape or form surprise me what Tony Brannon says, because he has shown us who he is before. And it is as though if we forget or we do not want to believe. And I will make this point: Tony Brannon can get away with saying that to the Progressive Labour Party Government. But a young black man could nev-er get away with saying that to another government — because it would follow him forever.
The SpeakerThe SpeakerYep. Hon. E. David Burt: So when the Deputy Leader of the Opposition, or when the Minister for Tourism, or the Minister for Communications says that it is a question as to where people will stand, we will see where they stand. We will see if they actually will put …
Yep.
Hon. E. David Burt: So when the Deputy Leader of the Opposition, or when the Minister for Tourism, or the Minister for Communications says that it is a question as to where people will stand, we will see where they stand. We will see if they actually will put their money where their mouths are and condemn this, or whether or not it will just be okay because, guess what? Secretly they believe that I might be an animal or a bug, as well, and have no issue referring to me or my Cabinet Ministers as such. And so when I heard the Honourable Member for constituency 1 say she wonders if the police offi cers with whom she spends time think about her like that, the sad answer is yes. And so whether it is them, whether it is the persons who will take happily to commenting with no face on new sites, to call all types of derogatory names to persons inside this room, it is what it is, Mr. Speaker. But here is the thing. We do not work for Tony Brannon. We work for the people of this country who elected us to make this country a better place. And if we were to allow him to distract us from our work, then we would be doing a great disservice. So I am happy that Members across the aisle got up to condemn his remarks. But the truth will see whether or not and how long th at condemnation lasts, whether or not people mean it and actually believe it. Because as the Honourable Member, the Deputy Leader of the Opposition, said how she has gone to Big Chill events and all of that . . . again this is not the first time Tony Brann on has made outwardly racist comments in his life. It is not. This is who he is. And so it surprises me not one iota. And it pains me, too, because he sings with a very good friend of mine, Jesse Seymour. But, Mr. Speaker, I sincerely hope that as we all are in here condemning that behaviour, that we will remember the person and the reason for the condemnation. And we are not just doing it for political sound bites, that we are doing it because we mean it to signal a difference in the direction of our country.
COVID -19—CORONA VIRUS UPDATE
Hon. E. David Burt: Mr. Speaker, I just wanted to take this opportunity on motion to adjourn, as we are meeting every Monday, Wednesday and Friday, just to let members of the public know, because I know that a number of persons have been contacting m yself. Earlier today I was heading out to a meeting with the Minister of National Security and the Minister of Health and the Minister responsible for Communic ations dealing with the Bermuda Government’s preparations for the Coronavirus, which leads to the disease
Bermuda House of Assembly COVID -19. And I know that on my way out, I had said something. And the Opposition Leader had said, I want to hear more about it. What I am going to say is that the Minister of Health will likely be making a further Ministerial Statement to the House on Wednesday. But there will also be a press conference that will be held tomorrow after at 3:00 pm to give further updates. Additionally, there has been a video that has been put out by DCI [Department of Communication and Information] from the Chief Medical Officer this evening, which is now circulating, so that persons can be up to date and understand what precautions they themselves should be taking. But I want to let Members know that the Mini stry of Health, supported by the Ministry of National Security and the Cabinet Office, are working in unison on this. Public health emergencies are led by the Public Health Emergency Response Team. As of today’s meeting, the Disaster Risk and—
The SpeakerThe SpeakerDisaster — [Inaudible i nterjection] Hon. E. David Burt: Oh, thank you. Disaster Reduction and Risk Mitigation Team (as the Minister of N ational Security refers to it as the DRRM) is now embedded within the Public Health Emergency R esponse Team. And so the officers from the National Security …
Disaster — [Inaudible i nterjection] Hon. E. David Burt: Oh, thank you. Disaster Reduction and Risk Mitigation Team (as the Minister of N ational Security refers to it as the DRRM) is now embedded within the Public Health Emergency R esponse Team. And so the officers from the National Security who deal with these particular types of issues are also supporting the Public Health Emergency Response Team. There are additional precautions that will be taken at ports of entry, ensuring that funding has been made available for any type of defences or any type of investments that are needed from the Public Health Emergency Response Team. And we are examining all contingencies. I convened the meeting, Mr. Speaker, because I wanted to be sure that all government agencies were working toget her on this particular item. I am satisfied that all government agencies are working together on this particular issue. The Department of Public Health and the Chief Medical Officer have been working on this for years. Even though the Corona virus is new, there are other types of zoonotic viruses that emerge on a regular basis, and it is important that preparation is done in advance. There will be in- detail stuff that is going to be laid out at tomorrow’s press conferences. But in the issues regarding quar antine, in issues regarding field hospitals, in issues regarding whatever is needed, we are certainly making the preparations and we are pr epared to deal with the contingencies. And we are g oing to be making even more investments. What is most important, Mr. Speaker, is recognising that as a jurisdiction ourselves, we are in the tourism game. And we need to make sure that we pr o-tect ourselves as much as possible, contain ourselves as much as possible so that people can feel free and safe to travel to Bermuda during our holiday season. So there is a lot of work that is taking place. As I said, Mr. Speaker, there will be further an-nouncements that will be made at a press conference tomorrow and possibly a further Statement that is going to be made here on We dnesday. But I wanted Members of the House to know that the Government is working on it. There has been additional funding that has been made available by the Ministry of N ational Security for other items to be sourced. And there will be additional details which will come forward for all Members. So with that, Mr. Speaker, I thank you for your time, and I wish all Members a wonderful evening.
The SpeakerThe SpeakerThank you, Mr. Premier. With that, we stand adjourned until Wednesday morning at 10:00 am when we wil l resume the debate on this year’s budget. Members, have yourselves a good evening. [At 8:44 pm, the House stood adjourned until Wednesday, 4 March 2020.] 3308 2 March 2020 Official Hansard …